Jones Energy (JONEQ) 10-Q 6 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Oct. 30, 2015
Entity Registrant Name	Jones Energy, Inc.
Entity Central Index Key	1,573,166
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Class A common stock
Entity Common Stock, Shares Outstanding		30,519,153
Class B common stock
Entity Common Stock, Shares Outstanding		31,273,130

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets
Cash	$ 22,698	$ 13,566
Restricted cash	277	149
Accounts receivable, net
Oil and gas sales	26,610	51,482
Joint interest owners	13,978	41,761
Other	13,932	12,512
Commodity derivative assets	117,186	121,519
Other current assets	2,498	3,374
Total current assets	197,179	244,363
Oil and gas properties, net, at cost under the successful efforts method	1,665,732	1,638,860
Other property, plant and equipment, net	4,136	4,048
Commodity derivative assets	95,102	87,055
Other assets	18,751	20,352
Deferred tax assets	1,135	171
Total assets	1,982,035	1,994,849
Current liabilities
Trade accounts payable	47,300	136,337
Oil and gas sales payable	42,145	70,469
Accrued liabilities	32,182	19,401
Commodity derivative liabilities	20
Deferred tax liabilities	470	718
Asset retirement obligations	3,311	3,074
Total current liabilities	125,428	229,999
Long-term debt	100,000	360,000
Senior notes	737,487	500,000
Deferred revenue	11,856	13,377
Commodity derivative liabilities		28
Asset retirement obligations	12,260	10,536
Liability under tax receivable agreement	40,009	803
Deferred tax liabilities	21,896	26,756
Total liabilities	$ 1,048,936	$ 1,141,499
Commitments and contingencies (Note 8)
Stockholders' equity
Treasury stock	$ (358)	$ (358)
Additional paid-in-capital	361,355	178,763
Retained earnings	35,933	38,950
Stockholders' equity	396,992	217,405
Non-controlling interest	536,107	635,945
Total stockholders' equity	933,099	853,350
Total liabilities and stockholders' equity	1,982,035	1,994,849
Class A common stock
Stockholders' equity
Common stock	31	13
Class B common stock
Stockholders' equity
Common stock	$ 31	$ 37

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2015	Dec. 31, 2014
Treasury stock, shares	22,602	22,602
Class A common stock
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	30,531,278	12,672,260
Common Stock, shares outstanding	30,508,676	12,649,658
Class B common stock
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	31,283,607	36,719,499
Common Stock, shares outstanding	31,283,607	36,719,499

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Operating revenues
Oil and gas sales	$ 46,499	$ 99,707	$ 156,955	$ 303,370
Other revenues	653	639	2,210	1,610
Total operating revenues	47,152	100,346	159,165	304,980
Operating costs and expenses
Lease operating	8,872	11,183	32,930	30,306
Production and ad valorem taxes	2,513	5,044	9,292	18,248
Exploration	5,556	266	6,184	3,278
Depletion, depreciation and amortization	52,766	50,491	156,151	137,490
Accretion of ARO liability	210	206	610	573
General and administrative	9,628	6,925	27,572	18,723
Other operating			4,188
Total operating expenses	79,545	74,115	236,927	208,618
Operating income (loss)	(32,393)	26,231	(77,762)	96,362
Other income (expense)
Interest expense	(16,722)	(11,849)	(47,553)	(34,659)
Net gain (loss) on commodity derivatives	90,483	41,163	111,714	(9,785)
Other income (expense)	(7)	30	(1,631)	97
Other income (expense), net	73,754	29,344	62,530	(44,347)
Income (loss) before income tax	41,361	55,575	(15,232)	52,015
Income tax provision (benefit)	6,519	5,550	(4,590)	5,736
Net income (loss)	34,842	50,025	(10,642)	46,279
Net income (loss) attributable to non-controlling interests	21,604	40,893	(7,625)	37,835
Net income (loss) attributable to controlling interests	$ 13,238	$ 9,132	$ (3,017)	$ 8,444
Earnings (loss) per share:
Basic (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68
Diluted (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68
Weighted average shares outstanding:
Basic	30,432	12,508	25,591	12,503
Diluted	30,432	12,573	25,591	12,540

Consolidated Statement of Chang

Consolidated Statement of Changes In Stockholders' Equity - 9 months ended Sep. 30, 2015 - USD ($) shares in Thousands, $ in Thousands	Common StockClass A common stock	Common StockClass B common stock	Treasury StockClass A common stock	Additional Paid-in-Capital	Retained (Deficit) Earnings	Non-controlling Interest	Total
Balance at Dec. 31, 2014	$ 13	$ 37	$ (358)	$ 178,763	$ 38,950	$ 635,945	$ 853,350
Balance (in shares) at Dec. 31, 2014	12,622	36,719	23
Increase (Decrease) Stockholders' equity
Sale of common stock	$ 12			123,189			123,201
Sale of common stock (in shares)	12,263
Exchange of Class B Shares for Class A Shares	$ 6	$ (6)		54,116		(92,213)	(38,097)
Exchange of Class B shares for Class A shares (in shares)	5,436	(5,436)
Stock-compensation expense				5,287			5,287
Vested restricted shares	121
Net income (loss)					(3,017)	(7,625)	(10,642)
Balance at Sep. 30, 2015	$ 31	$ 31	$ (358)	$ 361,355	$ 35,933	$ 536,107	$ 933,099
Balance (in shares) at Sep. 30, 2015	30,442	31,283	23

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities
Net income (loss)	$ (10,642)	$ 46,279
Adjustments to reconcile net income (loss) to net cash provided by operating activities
Exploration (dry hole and lease abandonment)	5,250	2,952
Depletion, depreciation, and amortization	156,151	137,490
Accretion of ARO liability	610	573
Amortization of debt issuance costs	3,379	6,129
Stock compensation expense	5,287	2,707
Other non-cash compensation expense	326	380
Amortization of deferred revenue	(1,521)	(862)
(Gain) loss on commodity derivatives	(111,714)	9,785
(Gain) loss on sales of assets	(10)	(97)
Deferred income tax provision	(4,590)	5,823
Other - net	1,178	241
Changes in operating assets and liabilities
Accounts receivable	54,244	(4,961)
Other assets	848	631
Accrued interest expense	9,577	16,611
Accounts payable and accrued liabilities	(19,184)	28,151
Net cash provided by operations	89,189	251,832
Cash flows from investing activities
Additions to oil and gas properties	(280,528)	(343,405)
Net adjustments to purchase price of properties acquired		15,709
Proceeds from sales of assets	37	99
Acquisition of other property, plant and equipment	(1,034)	(1,196)
Current period settlements of matured derivative contracts	103,858	(14,228)
Change in restricted cash	(129)	(52)
Net cash used in investing	(177,796)	(343,073)
Cash flows from financing activities
Proceeds from issuance of long-term debt	75,000	80,000
Repayment under long-term debt	(335,000)	(468,000)
Proceeds from senior notes	236,475	500,000
Purchases of treasury stock		(358)
Payment of debt issuance costs	(1,514)	(11,431)
Proceeds from sale of common stock	122,778
Net cash provided by financing	97,739	100,211
Net increase in cash	9,132	8,970
Cash
Beginning of period	13,566	23,820
End of period	22,698	32,790
Supplemental disclosure of cash flow information
Cash paid for interest	34,594	10,787
Change in accrued additions to oil and gas properties	(94,552)	58,501
Current additions to ARO	$ 1,355	$ 1,205

Organization and Description of

Organization and Description of Business	9 Months Ended
	Sep. 30, 2015
Organization and Description of Business
Organization and Description of Business	1. Organization and Description of Business Organization Jones Energy, Inc. (the “Company”) was formed in March 2013 as a Delaware corporation to become a publicly-traded entity and the holding company of Jones Energy Holdings, LLC (“JEH”). As the sole managing member of JEH, the Company is responsible for all operational, management and administrative decisions relating to JEH’s business and consolidates the financial results of JEH and its subsidiaries. JEH was formed as a Delaware limited liability company on December 16, 2009 through investments made by the Jones family and through private equity funds managed by Metalmark Capital and Wells Fargo Energy Capital (collectively, the “Pre-IPO owners”). JEH acts as a holding company of operating subsidiaries that own and operate assets that are used in the exploration, development, production and acquisition of oil and natural gas properties. The Company’s certificate of incorporation authorizes two classes of common stock, Class A common stock and Class B common stock. The Class B common stock is held by the owners of JEH prior to the Company’s initial public offering (“IPO”) and can be exchanged (together with a corresponding number of units representing membership interests in JEH (“JEH Units”)) for shares of Class A common stock on a one-for-one basis, subject to customary conversion rate adjustments for stock splits, stock dividends and reclassifications and other similar transactions. The Class B common stock has no economic rights but entitles its holders to one vote on all matters to be voted on by the Company’s stockholders generally. As a result of the IPO and as of October 30, 2015, the Pre-IPO owners had 74.7% and 50.6%, respectively, of the total economic interest in JEH, but with no voting rights or management power over JEH, resulting in the Company reporting this ownership interest as a non-controlling interest. Description of Business The Company is engaged in the exploration, development, production and acquisition of oil and natural gas properties in the mid-continent United States. The Company’s assets are located within the Anadarko and Arkoma basins of Texas and Oklahoma, and are owned by JEH and its operating subsidiaries. The Company is headquartered in Austin, Texas. Restatement of Previously Issued Financial Statements In conjunction with our 2014 year-end audit and the preparation of our annual Form 10-K, we identified an error in our previously issued 2014 quarterly financial statements which would have been material to such statements if not restated. We recorded the adjustments on a quarterly basis in the prior periods. The Consolidated Statement of Operations for the three and nine months ended September 30, 2014 were restated to record $2.6 million and $7.0 million, respectively, of additional depletion, depreciation and amortization expense and net income was reduced by $2.2 million and $6.2 million accordingly. The impact of the restatement to the three and nine month periods ended September 30, 2014 are summarized in the table below: Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 (in thousands) As Reported As Restated As Reported As Restated Oil and gas properties $ $ $ $ Depletion, depreciation and amortization $ $ $ $ Operating income $ $ $ $ Net income (loss) $ $ $ $ Net income (loss) attributable to non-controlling interests $ $ $ $ Net income (loss) attributable to controlling interests $ $ $ $ Basic earnings (loss) per share $ $ $ $ Diluted earnings (loss) per share $ $ $ $ Revision of Previously Issued Financial Statements During the first quarter of 2015, we identified an error in our previously issued Form 10-K for the year ended December 31, 2014 related to the over accrual for production taxes which would have been material to the first quarter and could be material to projected 2015 annual results if recorded as an out of period adjustment in such period. Therefore we will revise our Consolidated Statement of Operations for the year and quarter ended December 31, 2014 in the December 31, 2015 Form 10-K to reduce Production Taxes by $1.6 million and increase Income Tax Provision by $0.1 million related to an accrual for production taxes that was not properly reversed at December 31, 2014. As a result, net income will be increased for the year and quarter ended December 31, 2014 by $1.5 million, resulting in an increase in earnings per share of $0.02. The balance sheet impacts of the revision, which are reflected in this Form 10-Q, are included in the table below. This revision had no impact on our net cash provided by operations in our Consolidated Statement of Cash Flows for the nine months ended September 30, 2014. We have determined that this error is not material to the consolidated financial statements of any prior period presented. In addition, we identified an error in our previously issued Form 10-K for the year ended December 31, 2014 related to the exchange of Class B shares for Class A shares. Therefore we revised our Consolidated Balance Sheet and Statement of Changes in Stockholders’ Equity for the year ended December 31, 2014 as noted in the table below. This revision had no impact on Class A or Class B shares outstanding at December 31, 2014. We have determined that this error is not material to the consolidated financial statements of any prior period presented. December 31, 2014 Exchange of Class B December 31, 2014 As Reported Production tax shares As Revised Accounts Receivable, Oil and gas sales $ $ $ Deferred tax liabilities $ $ $ Additional paid in capital $ $ $ Retained earnings $ $ $ Non-controlling interest $ $ $ ) $

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2015
Significant Accounting Policies
Significant Accounting Policies	2. Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). All significant intercompany transactions and balances have been eliminated in consolidation. The financial statements reported for September 30, 2015, and the three and nine month periods then ended include the Company and all of its subsidiaries. Certain prior period amounts have been reclassified to conform to the current presentation. These reclassifications include the reclassification of ad valorem taxes of $0.1 million and $3.3 million from Lease Operating Expense to Production and Ad Valorem Taxes in the Consolidated Statement of Operations for the three and nine months ended September 30, 2014, respectively. These interim financial statements have not been audited. However, in the opinion of management, all adjustments necessary for a fair statement of the financial statements have been included. As these are interim financial statements, they do not include all disclosures required for financial statements prepared in conformity with GAAP. Interim period results are not necessarily indicative of results of operations or cash flows for a full year. These consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, they do not include all disclosures required by GAAP and should be read in conjunction with our most recent audited consolidated financial statements included in Jones Energy, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2014. Use of Estimates In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent liabilities, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Changes in estimates are recorded prospectively. Significant assumptions are required in the valuation of proved and unproved oil and natural gas reserves, which affect the Company’s estimates of depletion expense, impairment, and the allocation of value in our business combinations. Significant assumptions are also required in the Company’s estimates of the net gain or loss on commodity derivative assets and liabilities, fair value associated with business combinations, and asset retirement obligations (“ARO”). Oil and Gas Properties The Company accounts for its oil and natural gas exploration and production activities under the successful efforts method of accounting. Oil and gas properties consisted of the following at September 30, 2015 and December 31, 2014: September 30, December 31, (in thousands of dollars) 2015 2014 Mineral interests in properties Unproved $ $ Proved Wells and equipment and related facilities Less: Accumulated depletion and impairment ) ) Net oil and gas properties $ $ Costs to acquire mineral interests in oil and natural gas properties are capitalized. Costs to drill and equip development wells and the related asset retirement costs are capitalized. The costs to drill and equip exploratory wells are capitalized pending determination of whether the Company has discovered proved commercial reserves. If proved commercial reserves are not discovered, such drilling costs are charged to expense. In some circumstances, it may be uncertain whether proved commercial reserves have been found when drilling has been completed. Such exploratory well drilling costs may continue to be capitalized if the anticipated reserve quantity is sufficient to justify its completion as a producing well and sufficient progress in assessing the reserves and the economic and operating viability of the project is being made. During the nine months ended September 30, 2015 we had no material capitalized costs associated with exploratory wells. The Company capitalizes interest on expenditures for significant exploration and development projects that last more than six months while activities are in progress to bring the assets to their intended use. The Company did not capitalize any interest during the nine months ended September 30, 2015 as no projects lasted more than six months. Depletion of oil and gas properties amounted to $52.5 million and $155.3 million for the three and nine months ended September 30, 2015, respectively, and $50.3 million and $136.7 million for the three and nine months ended September 30, 2014, respectively. Other Property, Plant and Equipment Other property, plant and equipment consisted of the following at September 30, 2015 and December 31, 2014: September 30, December 31, (in thousands of dollars) 2015 2014 Leasehold improvements $ $ Furniture, fixtures, computers and software Vehicles Aircraft Other Less: Accumulated depreciation and amortization ) ) Net other property, plant and equipment $ $ Other property, plant and equipment is depreciated on a straight-line basis over the estimated useful lives of the property, plant and equipment, which range from three years to ten years. Depreciation and amortization of other property, plant and equipment amounted to $0.3 million and $0.9 million during the three and nine months ended September 30, 2015, respectively, and $0.2 million and $0.8 million during the three and nine months ended September 30, 2014, respectively. Commodity Derivatives The Company records its commodity derivative instruments on the Consolidated Balance Sheet as either an asset or liability measured at its fair value. Changes in the derivative’s fair value are recognized currently in earnings, unless specific hedge accounting criteria are met. During the nine month periods ended September 30, 2015 and 2014, the Company elected not to designate any of its commodity price risk management activities as cash-flow or fair value hedges. The changes in the fair values of outstanding financial instruments are recognized as gains or losses in the period of change. Although the Company does not designate its commodity derivative instruments as cash-flow hedges, management uses those instruments to reduce the Company’s exposure to fluctuations in commodity prices related to its natural gas and oil production. Net gains and losses, at fair value, are included on the Consolidated Balance Sheet as current or noncurrent assets or liabilities based on the anticipated timing of cash settlements under the related contracts. Changes in the fair value of commodity derivative contracts are recorded in earnings as they occur and are included in the Other Income (Expense) caption on the Consolidated Statement of Operations. See Note 3, “Fair Value Measurement,” for disclosure about the fair values of commodity derivative instruments. Asset Retirement Obligations The Company’s asset retirement obligations consist of future plugging and abandonment expenses on oil and natural gas properties. A summary of the Company’s ARO for the nine months ended September 30, 2015 is as follows: (in thousands of dollars) Balance at December 31, 2014 $ Liabilities incurred Accretion of ARO liability Liabilities settled ) Change in estimate Balance at September 30, 2015 Less: Current portion of ARO ) Total long-term ARO at September 30, 2015 $ Tax Receivable Agreement In connection with the IPO, the Company entered into a Tax Receivable Agreement (the “TRA”) which obligates the Company to make payments to certain current and former owners equal to 85% of the applicable cash savings that the Company realizes as a result of tax attributes arising from exchanges of JEH Units and shares of the Company’s Class B common stock held by those owners for shares of the Company’s Class A common stock. The Company will retain the benefit of the remaining 15% of these tax savings. As a result of exchanges made through September 30, 2015, the Company has accrued future tax benefits of $47.1 million and has accounted for this amount as a reduction of deferred tax liabilities on its consolidated balance sheet. As of September 30, 2015, the Company has recorded a liability of $40.0 million associated with its future obligations under the TRA. The actual amount and timing of payments to be made under the TRA will depend upon a number of factors, including the amount and timing of taxable income generated in the future, changes in future tax rates, the use of loss carryovers, and the portion of the Company’s payments under the TRA constituting imputed interest. To the extent the Company does not realize all of the tax benefits in future years or in the event of a change in future tax rates, this liability may change. As of September 30, 2015, the Company has made no payments under the TRA and does not anticipate making a payment under the TRA in 2015. Stock Compensation Effective January 1, 2010, JEH implemented a management incentive plan that provided indirect awards of membership interests in JEH to members of senior management (“management units”). The management unit grants awarded prior to the initial filing of the IPO registration statement in March 2013 had a dual vesting schedule. Grants awarded after the filing of the initial IPO registration statement have a single vesting structure with equal annual installments and were valued at the IPO price, adjusted for equivalent shares. In connection with the IPO, both the vested and unvested management units were converted into the right to receive an indirect interest in JEH Units and shares of Class B common stock. Under the Jones Energy, Inc. 2013 Omnibus Incentive Plan (the “LTIP”), established in conjunction with the Company’s IPO, the Company reserved 3,850,000 shares of Class A common stock for director and employee stock-based compensation awards. The Company granted performance unit and restricted stock unit awards to certain officers and employees under the LTIP during 2014 and 2015. The fair value of the performance units was based on the grant date fair value (using a Monte Carlo simulation model) and is expensed on a straight-line basis over the applicable three-year performance period. The number of shares of Class A common stock issuable upon vesting of the performance unit awards ranges from zero to 200% based on the Company’s total shareholder return relative to an industry peer group over the applicable three-year performance period. The fair value of the restricted stock unit awards was based on the value of the Company’s Class A common stock on the date of grant and is expensed on a straight-line basis over the applicable vesting period. The Company granted each of the outside members of the Board of Directors shares of restricted Class A common stock under the LTIP in 2014 and 2015. The fair value of the restricted stock grants was based on the value of the Company’s Class A common stock on the date of grant and is expensed on a straight-line basis over the applicable vesting period. Refer to Note 6, “Stock-based Compensation,” for additional information regarding director and employee stock-based compensation awards. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers,” which creates a new topic in the ASC, topic 606, “Revenue from Contracts with Customers.” This ASU sets forth a five-step model for determining when and how revenue is recognized. Under the model, an entity will be required to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. Additional disclosures will be required to describe the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. In August 2015, the FASB issued ASU 2015-14 which deferred the effective date of ASU 2014-09 by one year. The amendments are now effective for interim and annual reporting periods beginning after December 15, 2018 and may be applied on either a full or modified retrospective basis. Early adoption is permitted. We are currently evaluating the effect that the adoption of Update 2014-09 and Update 2015-14 will have on our financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” This ASU requires management to evaluate whether there are conditions or events that raise substantial doubt about an entity’s ability to continue as a “going concern” and to provide disclosures when certain criteria are met. Substantial doubt exists when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are issued (or available to be issued). The amendments are effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted. We do not expect the adoption of these disclosures to have a significant impact on the Company’s consolidated financial statements. In January 2015, the FASB issued ASU No. 2015- 01, Income Statement—Extraordinary and Unusual Items. This ASU removes the concept of extraordinary items from GAAP. Under existing guidance, an entity is required to separately disclose extraordinary items, net of tax, in the income statement after income from continuing operations if an event or transaction is of an unusual nature and occurs infrequently. This separate, net-of-tax presentation will no longer be allowed. The amendments are effective for interim and annual reporting periods beginning after December 15, 2015. The Company does not expect the adoption of this guidance to have a material impact on its financial position, cash flows or results of operations. In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. Entities that have historically presented debt issuance costs as an asset, related to a recognized debt liability, will be required to present those costs as a direct deduction from the carrying amount of that debt liability. The ASU does not change the recognition, measurement, or subsequent measurement guidance for debt issuance costs. Adoption of this ASU will be applied retrospectively. In August 2015, the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Subtopic 835-30) (“Update 2015-15”), which addresses the presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements, given the absence of authoritative guidance within Update 2015-03 for debt issuance costs related to line-of-credit arrangements. The amendments are effective for interim and annual reporting periods beginning after December 15, 2015. We are currently evaluating the effect that the adoption of Update 2015-03 and Update 2015-15 will have on our financial statements.

Fair Value Measurement

Fair Value Measurement	9 Months Ended
	Sep. 30, 2015
Fair Value Measurement
Fair Value Measurement	3. Fair Value Measurement Fair Value of Financial Instruments The Company determines fair value amounts using available market information and appropriate valuation methodologies. Fair value is the price that would be received to sell an asset or would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methods may have a material effect on the estimated fair value amounts. The Company enters into a variety of derivative financial instruments, which may include over-the-counter instruments, such as natural gas, crude oil, and natural gas liquid price hedge contracts. The Company utilizes valuation techniques that maximize the use of observable inputs, where available. If listed market prices or quotes are not published, fair value is determined based upon a market quote, adjusted by other market-based or independently sourced market data, such as trading volume, historical commodity volatility, and counterparty-specific considerations. These adjustments may include amounts to reflect counterparty credit quality, the time value of money, and the liquidity of the market. Counterparty credit valuation adjustments are necessary when the market price of an instrument is not indicative of the fair value as a result of the credit quality of the counterparty. Generally, market quotes assume that all counterparties have low default rates and equal credit quality. Therefore, an adjustment may be necessary to reflect the quality of a specific counterparty to determine the fair value of the instrument. The Company currently has all derivative positions placed and held by members of its lending group, which have high credit quality. Liquidity valuation adjustments are necessary when the Company is not able to observe a recent market price for financial instruments that trade in less active markets. Exchange traded contracts are valued at market value without making any additional valuation adjustments; therefore, no liquidity reserve is applied. Valuation Hierarchy Fair value measurements are grouped into a three-level valuation hierarchy. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. A financial instrument’s categorization within the hierarchy is based upon the input that requires the highest degree of judgment in the determination of the instrument’s fair value. The three levels are defined as follows: Level 1 Pricing inputs are based on published prices in active markets for identical assets or liabilities as of the reporting date. The Company does not classify any of its financial instruments as Level 1. Level 2 Pricing inputs include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, as of the reporting date. Contracts that are not traded on a recognized exchange or are tied to pricing transactions for which forward curve pricing is readily available are classified as Level 2 instruments. These include natural gas, crude oil and some natural gas liquids price swaps and natural gas basis swaps. Level 3 Pricing inputs include significant inputs that are generally unobservable from objective sources. The Company classifies natural gas liquid swaps and basis swaps for which future pricing is not readily available as Level 3. The Company obtains estimates from independent third parties for its open positions and subjects those to the credit adjustment criteria described above. The financial instruments carried at fair value as of September 30, 2015 and December 31, 2014, by consolidated balance sheet caption and by valuation hierarchy as described above, are as follows: September 30, 2015 (in thousands of dollars) Fair Value Measurements Commodity Derivative Instruments (Level 1) (Level 2) (Level 3) Total Current assets $ — $ $ $ Long-term assets — Current liabilities — ) — ) Long-term liabilities — — — — December 31, 2014 (in thousands of dollars) Fair Value Measurements Commodity Derivative Instruments (Level 1) (Level 2) (Level 3) Total Current assets $ — $ $ $ Long-term assets — Current liabilities — — — — Long-term liabilities — — ) ) The following table represents quantitative information about Level 3 inputs used in the fair value measurement of the Company’s commodity derivative contracts as of September 30, 2015. (in thousands of dollars) Commodity Derivative Quantitative Information About Level 3 Fair Value Measurements Instruments Fair Value Valuation Technique Unobservable Input Range Natural gas liquid swaps $ Use a discounted cash flow approach using inputs including forward price statements from counterparties Natural gas liquid futures prices $8.09 - $59.78 per barrel Significant increases/decreases in natural gas liquid futures prices in isolation would result in a significantly lower/higher fair value measurement. The following table presents the changes in the Level 3 financial instruments for the nine months ended September 30, 2015. Changes in fair value of Level 3 instruments represent changes in gains and losses for the periods that are reported in other income (expense). New contracts entered into during the year are generally entered into at no cost with changes in fair value from the date of agreement representing the entire fair value of the instrument. Transfers between levels are evaluated at the end of the reporting period. (in thousands of dollars) Balance at December 31, 2014, net $ Purchases ) Settlements ) Transfers to Level 2 ) Transfers to Level 3 — Changes in fair value Balance at September 30, 2015, net $ Transfers from Level 3 to Level 2 represent the Company’s natural gas liquid and gas basis swaps for which observable forward curve pricing information has become readily available. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The following table provides the fair value of financial instruments which may not be recorded at fair value in the consolidated financial statements: September 30, 2015 December 31, 2014 (in thousands of dollars) Principal Amount Fair Value Principal Amount Fair Value Debt: Revolver $ $ $ $ 2022 Notes 2023 Notes — — The Revolver (as defined in Note 5) is categorized as Level 3 in the valuation hierarchy as the debt is not publicly traded and no observable market exists to determine the fair value; however, the carrying value of the Revolver approximates fair value, as it is subject to short-term floating interest rates that approximate the rates available to the Company for those periods. The fair value of the 2022 Notes (as defined in Note 5) is based on pricing that is readily available in the public market. Accordingly, the 2022 Notes are classified as Level 1 in the valuation hierarchy as the pricing is based on quoted market prices for the debt securities and is actively traded. The fair value of the 2023 Notes (as defined in Note 5) is based on indicative pricing that is available in the public market. Accordingly, the 2023 Notes are classified as Level 2 in the valuation hierarchy as the pricing is based on quoted market prices for the debt securities but is not actively traded. The Company reviews its oil and gas properties for impairment purposes by comparing the expected undiscounted future cash flows at a field level to the unamortized capitalized cost of the asset. Significant assumptions associated with the calculation of future cash flows used in the impairment analysis include the Company’s estimate of future commodity prices, production costs, development expenditures, production, risk-adjusted discount rates, and other relevant data. As such, the fair value of oil and gas properties used in estimating impairment represents a nonrecurring Level 3 measurement. The Company assessed its proved and unproved properties for impairment as of September 30, 2015 and no impairment charges were recorded. However, future price declines, or a period of sustained low commodity prices, could result in a significant impairment charge in future periods. Furthermore, in addition to commodity prices, our production rates, levels of proved reserves, future development costs, and other factors affect our impairment analyses and may lead to an impairment charge in future periods.

Commodity Derivative Instrument

Commodity Derivative Instruments	9 Months Ended
	Sep. 30, 2015
Commodity Derivative Instruments.
Commodity Derivative Instruments	4. Commodity Derivative Instruments The Company had various commodity derivatives in place as of September 30, 2015 and December 31, 2014, as follows: Hedging Positions September 30, 2015 Weighted Final Low High Average Expiration Oil swaps Exercise price $ $ $ Barrels per month June 2019 Natural gas swaps Exercise price $ $ $ mmbtu per month June 2019 Basis swaps Contract differential $ ) $ ) $ ) mmbtu per month March 2016 Natural gas liquids swaps Exercise price $ $ $ Barrels per month December 2017 December 31, 2014 Weighted Final Low High Average Expiration Oil swaps Exercise price $ $ $ Barrels per month December 2018 Natural gas swaps Exercise price $ $ $ mmbtu per month December 2018 Basis swaps Contract differential $ ) $ ) $ ) mmbtu per month March 2016 Natural gas liquids swaps Exercise price $ $ $ Barrels per month December 2017 The Company recognized net gains on derivative instruments of $90.5 million and net gains of $111.7 million for the three and nine months ended September 30, 2015, respectively, and net gains on derivative instruments of $41.2 million and net losses of $9.8 million for the three and nine months ended September 30, 2014, respectively. Offsetting Assets and Liabilities As of September 30, 2015, the counterparties to our commodity derivative contracts consisted of seven financial institutions. All of our counterparties or their affiliates are also lenders under our credit facility. Therefore, we are not generally required to post additional collateral under our derivative agreements. Our derivative agreements contain set-off provisions that state that in the event of default or early termination, any obligation owed by the defaulting party may be offset against any obligation owed to the defaulting party. The following table presents information about our commodity derivative contracts which are netted on our Consolidated Balance Sheet as of September 30, 2015 and December 31, 2014: (in thousands) Gross Amounts of Recognized Assets / Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Assets / Liabilities Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net Amount September 30, 2015 Commodity derivative contracts Assets $ $ ) $ $ — $ Liabilities ) ) — ) December 31, 2014 Commodity derivative contracts Assets $ $ ) $ $ — $ Liabilities ) ) — )

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2015
Long-Term Debt
Long-Term Debt	5. Long-Term Debt Senior Unsecured Notes Senior notes consisted of the following at September 30, 2015 and December 31, 2014: (in thousands of dollars) September 30,2015 December 31, 2014 2022 Notes $ $ 2023 Notes — Total principal amount Less: unamortized discount ) — Total carrying amount $ $ On April 1, 2014, JEH and Jones Energy Finance Corp., JEH’s wholly-owned subsidiary formed for the sole purpose of co-issuing certain of JEH’s debt (together the “Issuers”), sold $500.0 million in aggregate principal amount of the Issuers’ 6.75% senior notes due 2022 (the “2022 Notes”). The Company used the net proceeds from the issuance of the 2022 Notes to repay all outstanding borrowings under the Term Loan ($160.0 million), a portion of the outstanding borrowings under the Revolver ($308.0 million) and for working capital and general corporate purposes. The Company subsequently terminated the Term Loan in accordance with its terms. The 2022 Notes bear interest at a rate of 6.75% per year, payable semi-annually on April 1 and October 1 of each year beginning October 1, 2014. As of September 30, 2015, the Company had $16.9 million in interest accrued related to the 2022 Notes. Total interest expense related to the 2022 Notes amounted to $8.4 million and $25.3 million for the three and nine months ended September 30, 2015, respectively. On February 23, 2015, the Issuers sold $250.0 million in aggregate principal amount of 9.25% senior notes due 2023 (the “2023 Notes”) in a private placement to affiliates of GSO Capital Partners LP and Magnetar Capital LLC. The 2023 Notes were issued at a discounted price equal to 94.59% of the principal amount. The Company used the $236.5 million net proceeds from the issuance of the 2023 Notes to repay outstanding borrowings under the Revolver and for working capital and general corporate purposes. The 2023 Notes bear interest at a rate of 9.25% per year, payable semi-annually on March 15 and September 15 of each year beginning September 15, 2015. As of September 30, 2015, the Company had $1.0 million in interest accrued related to the 2023 Notes. Total interest expense related to the 2023 Notes amounted to $5.8 million and $13.9 million for the three and nine months ended September 30, 2015, respectively. The 2022 and 2023 Notes are guaranteed on a senior unsecured basis by the Company and by all of its significant subsidiaries. The 2022 and 2023 Notes will be senior in right of payment to any future subordinated indebtedness of the Issuers. The Company may redeem the 2022 Notes at any time on or after April 1, 2017 and the 2023 Notes at any time on or after March 15, 2018 at a declining redemption price set forth in the respective indentures, plus accrued and unpaid interest. The indentures governing the 2022 and 2023 Notes are substantially similar and contain covenants that, among other things, limit the ability of the Company to incur additional indebtedness or issue certain preferred stock, pay dividends on capital stock, transfer or sell assets, make investments, create certain liens, enter into agreements that restrict dividends or other payments from the Company’s restricted subsidiaries to the Company, consolidate, merge or transfer all of the Company’s assets, engage in transactions with affiliates or create unrestricted subsidiaries. However, many of these covenants will be suspended if the Notes are rated investment grade. Other Long-Term Debt The Company entered into two credit agreements dated December 31, 2009, with Wells Fargo Bank N.A.: the Senior Secured Revolving Credit Facility (the “Revolver”) and the Second Lien Term Loan (the “Term Loan”), each of which have been or were amended periodically. On April 1, 2014, the Term Loan was repaid in full and terminated in connection with the issuance of the 2022 Notes. On November 6, 2014, the Company amended the Revolver to, among other things, increase the borrowing base under the Revolver from $550.0 million to $625.0 million until the next redetermination thereof, and extend the maturity date of the Revolver to November 6, 2019. The Company’s oil and gas properties are pledged as collateral to secure its obligations under the Revolver. The borrowing base on the Revolver was subsequently adjusted to $562.5 million in accordance with its terms as a result of the issuance of the 2023 Notes in February 2015 and was reaffirmed at this level effective April 1, 2015. Effective October 8, 2015, the borrowing base was reduced to $510 million during the semi-annual borrowing base re-determination. The terms of the Revolver require the Company to make periodic payments of interest on the loans outstanding thereunder, with all outstanding principal and interest under the Revolver due on the maturity date. The Revolver is subject to a borrowing base which limits the amount of borrowings which may be drawn thereunder. The borrowing base will be redetermined by the lenders at least semi-annually on or about April 1 and October 1 of each year. Interest on the Revolver is calculated, at the Company’s option, at either (a) the London Interbank Offered (“LIBO”) rate for the applicable interest period plus a margin of 1.50% to 2.50% based on the level of borrowing base utilization at such time or (b) the greatest of the federal funds rate plus 0.50%, the one-month adjusted LIBO rate plus 1.00%, or the prime rate announced by Wells Fargo Bank, N.A. in effect on such day, in each case plus a margin of 0.50% to 1.50% based on the level of borrowing base utilization at such time. For the three and nine months ended September 30, 2015, the average interest rates under the Revolver were 2.31% and 2.40%, respectively, on average outstanding balances of $100.0 million and $156.7 million, respectively. For the three and nine months ended September 30, 2014, the average interest rates under the Revolver were 2.17% and 2.54%, respectively, on average outstanding balances of $261.0 million and $334.6 million, respectively. Total interest and commitment fees under the Revolver were $1.0 million and $4.0 million for the three and nine months ended September 30, 2015 and $1.8 million and $6.7 million for the three and nine months ended September 30, 2014. Total interest and commitment fees under the Term Loan were $3.6 million for the nine months ended September 30, 2014. No interest and commitment fees were incurred under the Term Loan for the three months ended September 30, 2014. $3.8 million in unamortized deferred financing costs were written off to interest expense during the nine months ended September 30, 2014 in connection with the repayment of the Term Loan. We are subject to certain covenants under the Revolver which include, but are not limited to, restrictions on asset sales, distributions to members, and incurrence of additional indebtedness, and financial covenants which require the maintenance of certain financial ratios, including a maximum leverage ratio and a minimum current ratio. The Company was in compliance with these covenants at September 30, 2015.

Stock-based Compensation

Stock-based Compensation	9 Months Ended
	Sep. 30, 2015
Stock-based Compensation
Stock-based Compensation	6. Stock-based Compensation Management Unit Awards Prior to the IPO, JEH granted management units to certain officers and employees under a previously existing management incentive plan. These awards had various vesting schedules, and a portion of the management units vested in a lump sum at the IPO date. In connection with the IPO, both the vested and unvested management units were converted into the right to receive JEH Units and shares of Class B common stock. No new JEH Units or shares of Class B common stock are created upon a vesting event. The JEH Units (together with a corresponding number of shares of Class B common stock) will become exchangeable under this plan into a like number of shares of Class A common stock upon vesting or forfeiture. No new management units have been awarded since the IPO. Grants listed below reflect the transfer of JEH units that occurred upon forfeiture. The following table summarizes information related to the vesting of JEH Units as of September 30, 2015: JEH Units Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited ) Vested ) Unvested at September 30, 2015 $ Stock compensation expense associated with the JEH Units was $0.3 million and $0.9 million for the three and nine months ended September 30, 2015, respectively, and $0.4 million and $1.2 million for the three and nine months ended September 30, 2014, respectively, and is included in general and administrative expenses on the Company’s Consolidated Statement of Operations. Restricted Stock Unit Awards The Company has outstanding restricted stock unit awards granted to certain officers and employees of the Company. The fair value of the restricted stock unit awards was based on the value of the Company’s Class A common stock on the date of grant and is expensed on a straight-line basis over the applicable vesting period. The following table summarizes information related to the total number of units awarded to officers and employees as of September 30, 2015: Restricted Stock Unit Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited ) Vested ) Unvested at September 30, 2015 $ Stock compensation expense associated with the employee restricted stock unit awards was $0.9 million and $2.1 million for the three and nine months ended September 30, 2015, respectively, and $0.4 million and $0.6 million for the three and nine months ended September 30, 2014, respectively, and is included in general and administrative expenses on the Company’s Consolidated Statement of Operations. Performance Unit Awards The Company has outstanding performance unit awards granted to certain officers of the Company. Upon the completion of the applicable three-year performance period, each officer will vest in a number of performance units. The percent of awarded performance units in which each officer vests at such time will range from 0% to 200% based on the Company’s total shareholder return relative to an industry peer group over the applicable three-year performance period. Each vested performance unit is exchangeable for one share of the Company’s Class A common stock. The grant date fair value of the performance units was determined using a Monte Carlo simulation model, which results in an estimated percentage of performance units earned. The fair value of the performance units is expensed on a straight-line basis over the applicable three-year performance period. The following table summarizes information related to the total number of units awarded to the officers as of September 30, 2015: Performance Unit Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited — — Vested — — Unvested at September 30, 2015 $ Stock compensation expense associated with the performance unit awards was $0.7 million and $1.7 million for the three and nine months ended September 30, 2015, respectively, and $0.4 million and $0.6 million for the three and nine months ended September 30, 2014, respectively, and is included in general and administrative expenses on the Company’s Consolidated Statement of Operations. Restricted Stock Awards The Company has outstanding restricted stock awards granted to non-employee members of the Board of Directors. The restricted stock will vest upon the director serving as a director of the Company for a one-year service period in accordance with the terms of the award. The fair value of the awards was based on the price of the Company’s Class A common stock on the date of grant. The following table summarizes information related to the total value of the awards to the Board of Directors as of September 30, 2015: Restricted Stock Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited — — Vested ) Unvested at September 30, 2015 Stock compensation expense associated with the Board of Directors awards was $0.1 million and $0.4 million for the three and nine months ended September 30, 2015, respectively, and $0.1 million and $0.3 million for the three and nine months ended September 30, 2014, respectively, and is included in general and administrative expenses on the Company’s Consolidated Statement of Operations.

Earnings (loss) per Share

Earnings (loss) per Share	9 Months Ended
	Sep. 30, 2015
Earnings (loss) per Share
Earnings (loss) per Share	7. Earnings (loss) per Share Basic earnings per share (“EPS”) is computed by dividing net income (loss) attributable to controlling interests by the weighted-average number of shares of Class A common stock outstanding during the period. Shares of Class B common stock are not included in the calculation of earnings per share because they are not participating securities and have no economic interest in the Company. Diluted earnings per share takes into account the potential dilutive effect of shares that could be issued by the Company in conjunction with stock awards that have been granted to directors and employees. In accordance with ASC 260, Earnings Per Share, awards of nonvested shares shall be considered outstanding as of the respective grant dates for purposes of computing diluted EPS even though the award is contingent upon vesting. For the three and nine months ended September 30, 2015, 788,636 restricted stock units, 67,380 shares of restricted stock, and 554,420 performance units were excluded from the calculation as they would have had an anti-dilutive effect. The following is a calculation of the basic and diluted weighted-average number of shares of Class A common stock outstanding and EPS for the three and nine months ended September 30, 2015 and September 30, 2014. Three Months Ended September 30 Nine Months Ended September 30 (in thousands, except per share data) 2015 2014 (Restated) 2015 2014 (Restated) Income (numerator): Net income (loss) attributable to controlling interests $ $ $ ) $ Weighted-average shares (denominator): Weighted-average number of shares of Class A common stock - basic Weighted-average number of shares of Class A common stock - diluted Earnings (loss) per share: Basic $ $ $ ) $ Diluted $ $ $ ) $ The sum of the quarterly earnings (loss) per share amounts differ from the total earnings (loss) per share for the nine months ended September 30, 2015 due to the change in weighted-average shares outstanding.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies
Commitments and Contingencies	8. Commitments and Contingencies The Company is subject to legal proceedings and claims that arise in the ordinary course of its business. The Company believes that the final disposition of such matters will not have a material adverse effect on its financial position, results of operations, or liquidity.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2015
Income Taxes
Income Taxes	9. Income Taxes Following its IPO, the Company began recording federal and state income tax liabilities associated with its status as a corporation. Prior to the IPO, the Company only recorded a provision for Texas franchise tax as the Company’s taxable income or loss was includable in the income tax returns of the individual partners and members. The Company will recognize a tax liability on its share of pre-tax book income, exclusive of the non-controlling interest. JEH is not subject to income tax at the federal level and only recognizes Texas franchise tax expense. The Company’s effective tax rate for the three and nine months ended September 30, 2015 was 15.8% and 30.1%, respectively. The effective rate differs from the statutory rate of 35% due to net income allocated to the non-controlling interest, percentage depletion, state income taxes, and other permanent differences between book and tax accounting. The Company’s income tax provision was an expense of $6.5 million and a benefit of $4.6 million for the three and nine months ended September 30, 2015, respectively, and an expense of $5.5 million and $5.7 million for the three and nine months ended September 30, 2014, respectively. See the table below for the allocation of the income tax provision between the controlling and non-controlling interests. Three months ended September 30, Nine months ended September 30, (in thousands of dollars) 2015 (Restated) 2014 2015 (Restated) 2014 Jones Energy, Inc. $ $ $ ) $ Non-controlling interest ) ) Total tax provision (benefit) $ $ $ ) $ The Company had deferred tax assets for its federal and state loss carryforwards at September 30, 2015 recorded in non-current deferred taxes. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. As of September 30, 2015, management determined that a valuation allowance was not required for the tax loss carryforwards as they are expected to be fully utilized before expiration.

Subsidiary Guarantors

Subsidiary Guarantors	9 Months Ended
	Sep. 30, 2015
Subsidiary Guarantors
Subsidiary Guarantors	10. Subsidiary Guarantors On April 1, 2014, the Issuers sold $500.0 million in aggregate principal amount of the 2022 Notes. On February 23, 2015, the Issuers sold $250.0 million in aggregate principal amount of the 2023 Notes. The 2022 Notes and the 2023 Notes are guaranteed on a senior unsecured basis by the Company and by all of JEH’s current subsidiaries (except Jones Energy Finance Corp. and two immaterial subsidiaries) and certain future subsidiaries, including any future subsidiaries that guarantee any indebtedness under the Revolver. Each subsidiary guarantor is 100% owned by JEH, and all guarantees are full and unconditional, subject to customary exceptions pursuant to the indentures governing our 2022 and 2023 Notes, as discussed below, and joint and several with all other subsidiary guarantees and the parent guarantee. Any subsidiaries of JEH other than the subsidiary guarantors and Jones Energy Finance Corp. are immaterial. Guarantees of the 2022 Notes and 2023 Notes will be released under certain circumstances, including (i) in connection with any sale or other disposition of (a) all or substantially all of the properties or assets of a guarantor (including by way of merger or consolidation) or (b) all of the capital stock of such guarantor, in each case, to a person that is not the Company or a restricted subsidiary of the Company, (ii) if the Company designates any restricted subsidiary that is a guarantor as an unrestricted subsidiary, (iii) upon legal defeasance, covenant defeasance or satisfaction and discharge of the applicable indenture, or (iv) at such time as such guarantor ceases to guarantee any other indebtedness of the Company or any other guarantor. The Company is a holding company whose sole material asset is an equity interest in JEH. The Company is the sole managing member of JEH and is responsible for all operational, management and administrative decisions related to JEH’s business. In accordance with JEH’s limited liability company agreement, the Company may not be removed as the sole managing member of JEH. As of September 30, 2015, the Company held approximately 49.4% of the economic interest in JEH, with the remaining 50.6% economic interest held by a group of investors that owned interests in JEH prior to the Company’s IPO (the “Existing Owners”). The Existing Owners have no voting rights with respect to their economic interest in JEH. The Company has two classes of common stock, Class A common stock, which was sold to investors in the IPO, and Class B common stock. Pursuant to the Company’s certificate of incorporation, each share of Class A common stock is entitled to one vote per share, and the shares of Class A common stock are entitled to 100% of the economic interests in the Company. Each share of Class B common stock has no economic rights in the Company, but entitles its holder to one vote on all matters to be voted on by the Company’s stockholders generally. In connection with a reorganization that occurred immediately prior to the IPO, each Existing Owner was issued a number of shares of Class B common stock that was equal to the number of JEH Units that such Existing Owner held. Holders of the Company’s Class A common stock and Class B common stock generally vote together as a single class on all matters presented to the Company’s stockholders for their vote or approval. Accordingly, the Existing Owners collectively have a number of votes in the Company equal to the aggregate number of JEH Units that they hold. The Existing Owners have the right, pursuant to the terms of an Exchange Agreement by and among the Company, JEH and each of the Existing Owners, to exchange their JEH Units (together with a corresponding number of shares of Class B common stock) for shares of Class A common stock on a one-for-one basis, subject to customary conversion rate adjustments for stock splits, stock dividends and reclassifications and other similar transactions. As a result, the Company expects that over time the Company will have an increasing economic interest in JEH as Class B common stock and JEH Units are exchanged for Class A common stock. Moreover, any transfers of JEH Units outside of the Exchange Agreement (other than permitted transfers to affiliates) must be approved by the Company. The Company intends to retain full voting and management control over JEH. Jones Energy, Inc. Condensed Consolidating Balance Sheet September 30, 2015 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash $ $ $ $ $ — $ Restricted cash — — — — Accounts receivable, net Oil and gas sales — — — — Joint interest owners — — — — Other — — Commodity derivative assets — — — — Other current assets — — — Intercompany receivable — — ) — Total current assets ) Oil and gas properties, net, at cost under the successful efforts method — — — — Other property, plant and equipment, net — — — Commodity derivative assets — — — — Other assets — — — Deferred tax assets — — — — Investment in subsidiaries — — — ) — Total assets $ $ $ $ $ ) $ Liabilities and Stockholders’ Equity Current liabilities Trade accounts payable $ — $ $ $ — $ — $ Oil and gas sales payable — — — — Accrued liabilities — — — Commodity derivative liabilities — — — — Deferred tax liabilities — — — — Asset retirement obligations — — — — Intercompany payable — — ) — Total current liabilities — ) Long-term debt — — — — Senior notes — — — — Deferred revenue — — — — Asset retirement obligations — — — — Liability under tax receivable agreement — — — — Deferred tax liabilities — — — Total liabilities ) Stockholders’ / members’ equity Members’ equity — ) ) — Class A common stock, $0.001 par value; 30,531,278 shares issued and 30,508,676 shares outstanding — — — — Class B common stock, $0.001 par value; 31,283,607 shares issued and outstanding — — — — Treasury stock, at cost; 22,602 shares ) — — — — ) Additional paid-in-capital — — — — Retained earnings — — — — Stockholders’ equity ) ) Non-controlling interest — — — — Total stockholders’ equity ) ) Total liabilities and stockholders’ equity $ $ $ $ $ ) $ Jones Energy, Inc. Condensed Consolidating Balance Sheet December 31, 2014 (in thousands of dollars) JEI(Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash $ $ $ $ $ — $ Restricted Cash — — — — Accounts receivable, net Oil and gas sales — — — — Joint interest owners — — — — Other — — Commodity derivative assets — — — — Other current assets — — — Intercompany receivable — — ) — Total current assets ) Oil and gas properties, net, at cost under the successful efforts method — — — — Other property, plant and equipment, net — — — Commodity derivative assets — — — — Other assets — — — Deferred tax assets — — — — Investment in subsidiaries — — — ) — Total assets $ $ $ $ $ ) $ Liabilities and Stockholders’ Equity Current liabilities Trade accounts payable $ — $ $ $ — $ — $ Oil and gas sales payable — — — — Accrued liabilities — — — Deferred tax liabilities — — — — Asset retirement obligations — — — — Intercompany payable — — ) — Total current liabilities — ) Long-term debt — — — — Senior notes — — — — Deferred revenue — — — — Commodity derivative liabilities — — — — Asset retirement obligations — — — — Liability under tax receivable agreement — — — — Deferred tax liabilities — — — Total liabilities ) Stockholders’ / members’ equity Members’ equity — ) ) — Class A common stock, $0.001 par value; 12,672,260 shares issued and 12,649,658 shares outstanding — — — — Class B common stock, $0.001 par value; 36,719,499 shares issued and 36,719,499 shares outstanding — — — — Treasury stock, at cost: 22,602 shares ) — — — — ) Additional paid-in-capital — — — — Retained earnings — — — — Stockholders’equity ) ) Non-controlling interest — — — — Total stockholders’ equity ) ) Total liabilities and stockholders’ equity $ $ $ $ $ ) $ Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Nine Months Ended September 30, 2015 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Other operating — — — — Total operating expenses — — Operating income (loss) — ) ) ) — ) Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — ) — — ) Other income (expense), net — ) — — Income (loss) before income tax — ) ) — ) Equity interest in income ) — — — — Income tax provision ) ) — — — ) Net income (loss) ) ) ) ) Net income (loss) attributable to non-controlling interests — — — — ) ) Net income (loss) attributable to controlling interests $ ) $ — $ — $ — $ — $ ) Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Three Months Ended September 30, 2015 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) ) ) — ) Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — ) — — ) Other income (expense), net — ) — — Income (loss) before income tax — ) ) — Equity interest in income — — — ) — Income tax provision ) — — — Net income (loss) ) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Nine Months Ended September 30, 2014 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) ) — Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — ) — — — ) Other income (expense) — — — — Other income (expense), net — ) ) — — ) Income (loss) before income tax — ) ) — Equity interest in income — — — ) — Income tax provision — — — Net income (loss) ) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Three Months Ended September 30, 2014 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) — Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — — — — Other income (expense), net — ) — — Income (loss) before income tax — ) — Equity interest in income — — — ) — Income tax provision — — — Net income (loss) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2015 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Cash flows from operating activities Net income (loss) $ ) $ $ ) $ ) $ $ ) Adjustments to reconcile net income (loss) to net cash provided by operating activities ) ) ) Net cash (used in) / provided by operations ) ) — — Cash flows from investing activities Additions to oil and gas properties — — ) — — ) Proceeds from sales of assets — — — — Acquisition of other property, plant and equipment — — ) — — ) Current period settlements of matured derivative contracts — — — — Change in restricted cash — — ) — — ) Net cash (used in) / provided by investing — ) — — ) Cash flows from financing activities Proceeds from issuance of long-term debt — — — — Repayment under long-term debt — ) — — — ) Proceeds from senior notes — — — — Payment of debt issuance costs — ) — — — ) Proceeds from sale of common stock, net of expense — — — — Net cash (used in) / provided by financing ) — — — Net increase (decrease) in cash — — — Cash Beginning of period — End of period $ $ $ $ $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2014 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Cash flows from operating activities Net income (loss) $ $ ) $ $ ) $ ) $ Adjustments to reconcile net income (loss) to net cash provided by operating activities ) ) Net cash (used in) / provided by operations ) — — Cash flows from investing activities Additions to oil and gas properties — — ) — — ) Net adjustments to purchase price of properties acquired — — — — Proceeds from sales of assets — — — — Acquisition of other property, plant and equipment — — ) — — ) Current period settlements of matured derivative contracts — ) — — — ) Change in restricted cash — — ) — — ) Net cash (used in) / provided by investing — ) ) — — ) Cash flows from financing activities Proceeds from issuance of long-term debt — — — — Repayment under long-term debt — ) — — — ) Proceeds from senior notes — — — — Payment of debt issuance costs — ) — — — ) Purchase of treasury stock ) — — — — ) Net cash (used in) / provided by financing ) — — — Net increase (decrease) in cash — ) — — Cash Beginning of period — End of period $ $ $ $ $ — $

Significant Accounting Polici17

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2015
Significant Accounting Policies
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). All significant intercompany transactions and balances have been eliminated in consolidation. The financial statements reported for September 30, 2015, and the three and nine month periods then ended include the Company and all of its subsidiaries. Certain prior period amounts have been reclassified to conform to the current presentation. These reclassifications include the reclassification of ad valorem taxes of $0.1 million and $3.3 million from Lease Operating Expense to Production and Ad Valorem Taxes in the Consolidated Statement of Operations for the three and nine months ended September 30, 2014, respectively. These interim financial statements have not been audited. However, in the opinion of management, all adjustments necessary for a fair statement of the financial statements have been included. As these are interim financial statements, they do not include all disclosures required for financial statements prepared in conformity with GAAP. Interim period results are not necessarily indicative of results of operations or cash flows for a full year. These consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, they do not include all disclosures required by GAAP and should be read in conjunction with our most recent audited consolidated financial statements included in Jones Energy, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2014.
Use of Estimates	Use of Estimates In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent liabilities, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Changes in estimates are recorded prospectively. Significant assumptions are required in the valuation of proved and unproved oil and natural gas reserves, which affect the Company’s estimates of depletion expense, impairment, and the allocation of value in our business combinations. Significant assumptions are also required in the Company’s estimates of the net gain or loss on commodity derivative assets and liabilities, fair value associated with business combinations, and asset retirement obligations (“ARO”).
Oil and Gas Properties	Oil and Gas Properties The Company accounts for its oil and natural gas exploration and production activities under the successful efforts method of accounting. Oil and gas properties consisted of the following at September 30, 2015 and December 31, 2014: September 30, December 31, (in thousands of dollars) 2015 2014 Mineral interests in properties Unproved $ $ Proved Wells and equipment and related facilities Less: Accumulated depletion and impairment ) ) Net oil and gas properties $ $ Costs to acquire mineral interests in oil and natural gas properties are capitalized. Costs to drill and equip development wells and the related asset retirement costs are capitalized. The costs to drill and equip exploratory wells are capitalized pending determination of whether the Company has discovered proved commercial reserves. If proved commercial reserves are not discovered, such drilling costs are charged to expense. In some circumstances, it may be uncertain whether proved commercial reserves have been found when drilling has been completed. Such exploratory well drilling costs may continue to be capitalized if the anticipated reserve quantity is sufficient to justify its completion as a producing well and sufficient progress in assessing the reserves and the economic and operating viability of the project is being made. During the nine months ended September 30, 2015 we had no material capitalized costs associated with exploratory wells. The Company capitalizes interest on expenditures for significant exploration and development projects that last more than six months while activities are in progress to bring the assets to their intended use. The Company did not capitalize any interest during the nine months ended September 30, 2015 as no projects lasted more than six months. Depletion of oil and gas properties amounted to $52.5 million and $155.3 million for the three and nine months ended September 30, 2015, respectively, and $50.3 million and $136.7 million for the three and nine months ended September 30, 2014, respectively.
Other Property, Plant and Equipment	Other Property, Plant and Equipment Other property, plant and equipment consisted of the following at September 30, 2015 and December 31, 2014: September 30, December 31, (in thousands of dollars) 2015 2014 Leasehold improvements $ $ Furniture, fixtures, computers and software Vehicles Aircraft Other Less: Accumulated depreciation and amortization ) ) Net other property, plant and equipment $ $ Other property, plant and equipment is depreciated on a straight-line basis over the estimated useful lives of the property, plant and equipment, which range from three years to ten years. Depreciation and amortization of other property, plant and equipment amounted to $0.3 million and $0.9 million during the three and nine months ended September 30, 2015, respectively, and $0.2 million and $0.8 million during the three and nine months ended September 30, 2014, respectively.
Commodity Derivatives	Commodity Derivatives The Company records its commodity derivative instruments on the Consolidated Balance Sheet as either an asset or liability measured at its fair value. Changes in the derivative’s fair value are recognized currently in earnings, unless specific hedge accounting criteria are met. During the nine month periods ended September 30, 2015 and 2014, the Company elected not to designate any of its commodity price risk management activities as cash-flow or fair value hedges. The changes in the fair values of outstanding financial instruments are recognized as gains or losses in the period of change. Although the Company does not designate its commodity derivative instruments as cash-flow hedges, management uses those instruments to reduce the Company’s exposure to fluctuations in commodity prices related to its natural gas and oil production. Net gains and losses, at fair value, are included on the Consolidated Balance Sheet as current or noncurrent assets or liabilities based on the anticipated timing of cash settlements under the related contracts. Changes in the fair value of commodity derivative contracts are recorded in earnings as they occur and are included in the Other Income (Expense) caption on the Consolidated Statement of Operations. See Note 3, “Fair Value Measurement,” for disclosure about the fair values of commodity derivative instruments.
Asset Retirement Obligations	Asset Retirement Obligations The Company’s asset retirement obligations consist of future plugging and abandonment expenses on oil and natural gas properties. A summary of the Company’s ARO for the nine months ended September 30, 2015 is as follows: (in thousands of dollars) Balance at December 31, 2014 $ Liabilities incurred Accretion of ARO liability Liabilities settled ) Change in estimate Balance at September 30, 2015 Less: Current portion of ARO ) Total long-term ARO at September 30, 2015 $
Tax Receivable Agreement	Tax Receivable Agreement In connection with the IPO, the Company entered into a Tax Receivable Agreement (the “TRA”) which obligates the Company to make payments to certain current and former owners equal to 85% of the applicable cash savings that the Company realizes as a result of tax attributes arising from exchanges of JEH Units and shares of the Company’s Class B common stock held by those owners for shares of the Company’s Class A common stock. The Company will retain the benefit of the remaining 15% of these tax savings. As a result of exchanges made through September 30, 2015, the Company has accrued future tax benefits of $47.1 million and has accounted for this amount as a reduction of deferred tax liabilities on its consolidated balance sheet. As of September 30, 2015, the Company has recorded a liability of $40.0 million associated with its future obligations under the TRA. The actual amount and timing of payments to be made under the TRA will depend upon a number of factors, including the amount and timing of taxable income generated in the future, changes in future tax rates, the use of loss carryovers, and the portion of the Company’s payments under the TRA constituting imputed interest. To the extent the Company does not realize all of the tax benefits in future years or in the event of a change in future tax rates, this liability may change. As of September 30, 2015, the Company has made no payments under the TRA and does not anticipate making a payment under the TRA in 2015.
Stock Compensation	Stock Compensation Effective January 1, 2010, JEH implemented a management incentive plan that provided indirect awards of membership interests in JEH to members of senior management (“management units”). The management unit grants awarded prior to the initial filing of the IPO registration statement in March 2013 had a dual vesting schedule. Grants awarded after the filing of the initial IPO registration statement have a single vesting structure with equal annual installments and were valued at the IPO price, adjusted for equivalent shares. In connection with the IPO, both the vested and unvested management units were converted into the right to receive an indirect interest in JEH Units and shares of Class B common stock. Under the Jones Energy, Inc. 2013 Omnibus Incentive Plan (the “LTIP”), established in conjunction with the Company’s IPO, the Company reserved 3,850,000 shares of Class A common stock for director and employee stock-based compensation awards. The Company granted performance unit and restricted stock unit awards to certain officers and employees under the LTIP during 2014 and 2015. The fair value of the performance units was based on the grant date fair value (using a Monte Carlo simulation model) and is expensed on a straight-line basis over the applicable three-year performance period. The number of shares of Class A common stock issuable upon vesting of the performance unit awards ranges from zero to 200% based on the Company’s total shareholder return relative to an industry peer group over the applicable three-year performance period. The fair value of the restricted stock unit awards was based on the value of the Company’s Class A common stock on the date of grant and is expensed on a straight-line basis over the applicable vesting period. The Company granted each of the outside members of the Board of Directors shares of restricted Class A common stock under the LTIP in 2014 and 2015. The fair value of the restricted stock grants was based on the value of the Company’s Class A common stock on the date of grant and is expensed on a straight-line basis over the applicable vesting period. Refer to Note 6, “Stock-based Compensation,” for additional information regarding director and employee stock-based compensation awards.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers,” which creates a new topic in the ASC, topic 606, “Revenue from Contracts with Customers.” This ASU sets forth a five-step model for determining when and how revenue is recognized. Under the model, an entity will be required to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. Additional disclosures will be required to describe the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. In August 2015, the FASB issued ASU 2015-14 which deferred the effective date of ASU 2014-09 by one year. The amendments are now effective for interim and annual reporting periods beginning after December 15, 2018 and may be applied on either a full or modified retrospective basis. Early adoption is permitted. We are currently evaluating the effect that the adoption of Update 2014-09 and Update 2015-14 will have on our financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” This ASU requires management to evaluate whether there are conditions or events that raise substantial doubt about an entity’s ability to continue as a “going concern” and to provide disclosures when certain criteria are met. Substantial doubt exists when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are issued (or available to be issued). The amendments are effective for interim and annual reporting periods beginning after December 15, 2016. Early adoption is permitted. We do not expect the adoption of these disclosures to have a significant impact on the Company’s consolidated financial statements. In January 2015, the FASB issued ASU No. 2015- 01, Income Statement—Extraordinary and Unusual Items. This ASU removes the concept of extraordinary items from GAAP. Under existing guidance, an entity is required to separately disclose extraordinary items, net of tax, in the income statement after income from continuing operations if an event or transaction is of an unusual nature and occurs infrequently. This separate, net-of-tax presentation will no longer be allowed. The amendments are effective for interim and annual reporting periods beginning after December 15, 2015. The Company does not expect the adoption of this guidance to have a material impact on its financial position, cash flows or results of operations. In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. Entities that have historically presented debt issuance costs as an asset, related to a recognized debt liability, will be required to present those costs as a direct deduction from the carrying amount of that debt liability. The ASU does not change the recognition, measurement, or subsequent measurement guidance for debt issuance costs. Adoption of this ASU will be applied retrospectively. In August 2015, the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Subtopic 835-30) (“Update 2015-15”), which addresses the presentation or subsequent measurement of debt issuance costs related to line-of-credit arrangements, given the absence of authoritative guidance within Update 2015-03 for debt issuance costs related to line-of-credit arrangements. The amendments are effective for interim and annual reporting periods beginning after December 15, 2015. We are currently evaluating the effect that the adoption of Update 2015-03 and Update 2015-15 will have on our financial statements.

Organization and Description 18

Organization and Description of Business (Tables)	9 Months Ended
	Sep. 30, 2015
Organization and Description of Business
Summary of the impact of the restatement	Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 (in thousands) As Reported As Restated As Reported As Restated Oil and gas properties $ $ $ $ Depletion, depreciation and amortization $ $ $ $ Operating income $ $ $ $ Net income (loss) $ $ $ $ Net income (loss) attributable to non-controlling interests $ $ $ $ Net income (loss) attributable to controlling interests $ $ $ $ Basic earnings (loss) per share $ $ $ $ Diluted earnings (loss) per share $ $ $ $
Summary of the balance sheet impacts of the revision	December 31, 2014 Exchange of Class B December 31, 2014 As Reported Production tax shares As Revised Accounts Receivable, Oil and gas sales $ $ $ Deferred tax liabilities $ $ $ Additional paid in capital $ $ $ Retained earnings $ $ $ Non-controlling interest $ $ $ ) $

Significant Accounting Polici19

Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2015
Significant Accounting Policies
Schedule of oil and gas properties	September 30, December 31, (in thousands of dollars) 2015 2014 Mineral interests in properties Unproved $ $ Proved Wells and equipment and related facilities Less: Accumulated depletion and impairment ) ) Net oil and gas properties $ $
Schedule of other property, plant and equipment	September 30, December 31, (in thousands of dollars) 2015 2014 Leasehold improvements $ $ Furniture, fixtures, computers and software Vehicles Aircraft Other Less: Accumulated depreciation and amortization ) ) Net other property, plant and equipment $ $
Summary of the Company's ARO	(in thousands of dollars) Balance at December 31, 2014 $ Liabilities incurred Accretion of ARO liability Liabilities settled ) Change in estimate Balance at September 30, 2015 Less: Current portion of ARO ) Total long-term ARO at September 30, 2015 $

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	9 Months Ended
	Sep. 30, 2015
Fair Value Measurement
Schedule of financial instruments carried at fair value	September 30, 2015 (in thousands of dollars) Fair Value Measurements Commodity Derivative Instruments (Level 1) (Level 2) (Level 3) Total Current assets $ — $ $ $ Long-term assets — Current liabilities — ) — ) Long-term liabilities — — — — December 31, 2014 (in thousands of dollars) Fair Value Measurements Commodity Derivative Instruments (Level 1) (Level 2) (Level 3) Total Current assets $ — $ $ $ Long-term assets — Current liabilities — — — — Long-term liabilities — — ) )
Schedule of quantitative information about Level 3 inputs used in the fair value measurement	(in thousands of dollars) Commodity Derivative Quantitative Information About Level 3 Fair Value Measurements Instruments Fair Value Valuation Technique Unobservable Input Range Natural gas liquid swaps $ Use a discounted cash flow approach using inputs including forward price statements from counterparties Natural gas liquid futures prices $8.09 - $59.78 per barrel
Schedule of changes in fair value of Level 3 financial instruments	(in thousands of dollars) Balance at December 31, 2014, net $ Purchases ) Settlements ) Transfers to Level 2 ) Transfers to Level 3 — Changes in fair value Balance at September 30, 2015, net $
Schedule of fair value of financial instruments that are not recorded at fair value in the consolidated financial statements	September 30, 2015 December 31, 2014 (in thousands of dollars) Principal Amount Fair Value Principal Amount Fair Value Debt: Revolver $ $ $ $ 2022 Notes 2023 Notes — —

Commodity Derivative Instrume21

Commodity Derivative Instruments (Tables)	9 Months Ended
	Sep. 30, 2015
Commodity Derivative Instruments.
Schedule of various commodity derivatives in place to offset uncertain price fluctuations that could affect the entity's future operations	September 30, 2015 Weighted Final Low High Average Expiration Oil swaps Exercise price $ $ $ Barrels per month June 2019 Natural gas swaps Exercise price $ $ $ mmbtu per month June 2019 Basis swaps Contract differential $ ) $ ) $ ) mmbtu per month March 2016 Natural gas liquids swaps Exercise price $ $ $ Barrels per month December 2017 December 31, 2014 Weighted Final Low High Average Expiration Oil swaps Exercise price $ $ $ Barrels per month December 2018 Natural gas swaps Exercise price $ $ $ mmbtu per month December 2018 Basis swaps Contract differential $ ) $ ) $ ) mmbtu per month March 2016 Natural gas liquids swaps Exercise price $ $ $ Barrels per month December 2017
Schedule of commodity derivative contracts that are netted on Consolidated Balance Sheet	(in thousands) Gross Amounts of Recognized Assets / Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Assets / Liabilities Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net Amount September 30, 2015 Commodity derivative contracts Assets $ $ ) $ $ — $ Liabilities ) ) — ) December 31, 2014 Commodity derivative contracts Assets $ $ ) $ $ — $ Liabilities ) ) — )

Long-Term Debt (Tables)

Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2015
Long-Term Debt
Summary of senior notes	(in thousands of dollars) September 30,2015 December 31, 2014 2022 Notes $ $ 2023 Notes — Total principal amount Less: unamortized discount ) — Total carrying amount $ $

Stock-based Compensation (Table

Stock-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2015
Officers and employees | Restricted Stock
Stock-based Compensation
Summary of information related to the Units/shares or awards	Restricted Stock Unit Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited ) Vested ) Unvested at September 30, 2015 $
Officers and employees | Performance Unit Awards
Stock-based Compensation
Summary of information related to the Units/shares or awards	Performance Unit Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited — — Vested — — Unvested at September 30, 2015 $
Non-employee members of Board Of Directors | Restricted Stock
Stock-based Compensation
Summary of information related to the Units/shares or awards	Restricted Stock Awards Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited — — Vested ) Unvested at September 30, 2015
Management incentive plan | Management units | Management
Stock-based Compensation
Summary of information related to the Units/shares or awards	JEH Units Weighted Average Grant Date Fair Value per Share Unvested at January 1, 2015 $ Granted Forfeited ) Vested ) Unvested at September 30, 2015 $

Earnings (loss) per Share (Tabl

Earnings (loss) per Share (Tables)	9 Months Ended
	Sep. 30, 2015
Earnings (loss) per Share
Schedule of calculation of the basic and diluted weighted-average shares and EPS	Three Months Ended September 30 Nine Months Ended September 30 (in thousands, except per share data) 2015 2014 (Restated) 2015 2014 (Restated) Income (numerator): Net income (loss) attributable to controlling interests $ $ $ ) $ Weighted-average shares (denominator): Weighted-average number of shares of Class A common stock - basic Weighted-average number of shares of Class A common stock - diluted Earnings (loss) per share: Basic $ $ $ ) $ Diluted $ $ $ ) $

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2015
Income Taxes
Schedule of allocation of the income tax provision between the controlling and non-controlling interests	Three months ended September 30, Nine months ended September 30, (in thousands of dollars) 2015 (Restated) 2014 2015 (Restated) 2014 Jones Energy, Inc. $ $ $ ) $ Non-controlling interest ) ) Total tax provision (benefit) $ $ $ ) $

Subsidiary Guarantors26

Subsidiary Guarantors	9 Months Ended
	Sep. 30, 2015
Subsidiary Guarantors
Condensed Consolidating Balance Sheet	Jones Energy, Inc. Condensed Consolidating Balance Sheet September 30, 2015 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash $ $ $ $ $ — $ Restricted cash — — — — Accounts receivable, net Oil and gas sales — — — — Joint interest owners — — — — Other — — Commodity derivative assets — — — — Other current assets — — — Intercompany receivable — — ) — Total current assets ) Oil and gas properties, net, at cost under the successful efforts method — — — — Other property, plant and equipment, net — — — Commodity derivative assets — — — — Other assets — — — Deferred tax assets — — — — Investment in subsidiaries — — — ) — Total assets $ $ $ $ $ ) $ Liabilities and Stockholders’ Equity Current liabilities Trade accounts payable $ — $ $ $ — $ — $ Oil and gas sales payable — — — — Accrued liabilities — — — Commodity derivative liabilities — — — — Deferred tax liabilities — — — — Asset retirement obligations — — — — Intercompany payable — — ) — Total current liabilities — ) Long-term debt — — — — Senior notes — — — — Deferred revenue — — — — Asset retirement obligations — — — — Liability under tax receivable agreement — — — — Deferred tax liabilities — — — Total liabilities ) Stockholders’ / members’ equity Members’ equity — ) ) — Class A common stock, $0.001 par value; 30,531,278 shares issued and 30,508,676 shares outstanding — — — — Class B common stock, $0.001 par value; 31,283,607 shares issued and outstanding — — — — Treasury stock, at cost; 22,602 shares ) — — — — ) Additional paid-in-capital — — — — Retained earnings — — — — Stockholders’ equity ) ) Non-controlling interest — — — — Total stockholders’ equity ) ) Total liabilities and stockholders’ equity $ $ $ $ $ ) $ Jones Energy, Inc. Condensed Consolidating Balance Sheet December 31, 2014 (in thousands of dollars) JEI(Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Assets Current assets Cash $ $ $ $ $ — $ Restricted Cash — — — — Accounts receivable, net Oil and gas sales — — — — Joint interest owners — — — — Other — — Commodity derivative assets — — — — Other current assets — — — Intercompany receivable — — ) — Total current assets ) Oil and gas properties, net, at cost under the successful efforts method — — — — Other property, plant and equipment, net — — — Commodity derivative assets — — — — Other assets — — — Deferred tax assets — — — — Investment in subsidiaries — — — ) — Total assets $ $ $ $ $ ) $ Liabilities and Stockholders’ Equity Current liabilities Trade accounts payable $ — $ $ $ — $ — $ Oil and gas sales payable — — — — Accrued liabilities — — — Deferred tax liabilities — — — — Asset retirement obligations — — — — Intercompany payable — — ) — Total current liabilities — ) Long-term debt — — — — Senior notes — — — — Deferred revenue — — — — Commodity derivative liabilities — — — — Asset retirement obligations — — — — Liability under tax receivable agreement — — — — Deferred tax liabilities — — — Total liabilities ) Stockholders’ / members’ equity Members’ equity — ) ) — Class A common stock, $0.001 par value; 12,672,260 shares issued and 12,649,658 shares outstanding — — — — Class B common stock, $0.001 par value; 36,719,499 shares issued and 36,719,499 shares outstanding — — — — Treasury stock, at cost: 22,602 shares ) — — — — ) Additional paid-in-capital — — — — Retained earnings — — — — Stockholders’equity ) ) Non-controlling interest — — — — Total stockholders’ equity ) ) Total liabilities and stockholders’ equity $ $ $ $ $ ) $
Condensed Consolidating Statement of Operations and Comprehensive Income	Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Nine Months Ended September 30, 2015 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Other operating — — — — Total operating expenses — — Operating income (loss) — ) ) ) — ) Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — ) — — ) Other income (expense), net — ) — — Income (loss) before income tax — ) ) — ) Equity interest in income ) — — — — Income tax provision ) ) — — — ) Net income (loss) ) ) ) ) Net income (loss) attributable to non-controlling interests — — — — ) ) Net income (loss) attributable to controlling interests $ ) $ — $ — $ — $ — $ ) Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Three Months Ended September 30, 2015 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) ) ) — ) Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — ) — — ) Other income (expense), net — ) — — Income (loss) before income tax — ) ) — Equity interest in income — — — ) — Income tax provision ) — — — Net income (loss) ) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Nine Months Ended September 30, 2014 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) ) — Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — ) — — — ) Other income (expense) — — — — Other income (expense), net — ) ) — — ) Income (loss) before income tax — ) ) — Equity interest in income — — — ) — Income tax provision — — — Net income (loss) ) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Operations and Comprehensive Income Three Months Ended September 30, 2014 (in thousands) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Operating revenues Oil and gas sales $ — $ — $ $ — $ — $ Other revenues — — — Total operating revenues — — — Operating costs and expenses Lease operating — — — — Production and ad valorem taxes — — — — Exploration — — — — Depletion, depreciation and amortization — — — Accretion of ARO liability — — — — General and administrative — — Total operating expenses — — Operating income (loss) — ) — Other income (expense) Interest expense — ) ) — — ) Net gain on commodity derivatives — — — — Other income (expense) — — — — Other income (expense), net — ) — — Income (loss) before income tax — ) — Equity interest in income — — — ) — Income tax provision — — — Net income (loss) ) ) Net income (loss) attributable to non-controlling interests — — — — Net income (loss) attributable to controlling interests $ $ — $ — $ — $ — $
Condensed Consolidating Statement of Cash Flows	Jones Energy, Inc. Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2015 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Cash flows from operating activities Net income (loss) $ ) $ $ ) $ ) $ $ ) Adjustments to reconcile net income (loss) to net cash provided by operating activities ) ) ) Net cash (used in) / provided by operations ) ) — — Cash flows from investing activities Additions to oil and gas properties — — ) — — ) Proceeds from sales of assets — — — — Acquisition of other property, plant and equipment — — ) — — ) Current period settlements of matured derivative contracts — — — — Change in restricted cash — — ) — — ) Net cash (used in) / provided by investing — ) — — ) Cash flows from financing activities Proceeds from issuance of long-term debt — — — — Repayment under long-term debt — ) — — — ) Proceeds from senior notes — — — — Payment of debt issuance costs — ) — — — ) Proceeds from sale of common stock, net of expense — — — — Net cash (used in) / provided by financing ) — — — Net increase (decrease) in cash — — — Cash Beginning of period — End of period $ $ $ $ $ — $ Jones Energy, Inc. Condensed Consolidating Statement of Cash Flows Nine Months Ended September 30, 2014 (in thousands of dollars) JEI (Parent) Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Consolidated Cash flows from operating activities Net income (loss) $ $ ) $ $ ) $ ) $ Adjustments to reconcile net income (loss) to net cash provided by operating activities ) ) Net cash (used in) / provided by operations ) — — Cash flows from investing activities Additions to oil and gas properties — — ) — — ) Net adjustments to purchase price of properties acquired — — — — Proceeds from sales of assets — — — — Acquisition of other property, plant and equipment — — ) — — ) Current period settlements of matured derivative contracts — ) — — — ) Change in restricted cash — — ) — — ) Net cash (used in) / provided by investing — ) ) — — ) Cash flows from financing activities Proceeds from issuance of long-term debt — — — — Repayment under long-term debt — ) — — — ) Proceeds from senior notes — — — — Payment of debt issuance costs — ) — — — ) Purchase of treasury stock ) — — — — ) Net cash (used in) / provided by financing ) — — — Net increase (decrease) in cash — ) — — Cash Beginning of period — End of period $ $ $ $ $ — $

Organization and Description 27

Organization and Description of Business (Details)	Oct. 30, 2015	Jul. 29, 2013	Sep. 30, 2015Voteclass
Organization and description of business
Number of classes of common stock | class			2
Number of votes for each holder of common stock			1
Existing Owners
Organization and description of business
Exchange ratio			1
Economic interest (as a percent)	50.60%	74.70%

Organization and Description 28

Organization and Description of Business (Details 2) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Restatement of Previously Issued Financial Statements
Oil and gas properties	$ 1,665,732	$ 1,526,735	$ 1,665,732	$ 1,526,735	$ 1,638,860
Depletion, depreciation and amortization	52,766	50,491	156,151	137,490
Operating income	(32,393)	26,231	(77,762)	96,362
Net income (loss)	34,842	50,025	(10,642)	46,279
Net income (loss) attributable to non-controlling interests	21,604	40,893	(7,625)	37,835
Net income (loss) attributable to controlling interests	$ 13,238	$ 9,132	$ (3,017)	$ 8,444
Basic earnings (loss) per share (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68
Diluted earnings (loss) per share (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68
As Reported
Restatement of Previously Issued Financial Statements
Oil and gas properties		$ 1,533,704		$ 1,533,704
Depletion, depreciation and amortization		47,965		130,521
Operating income		28,757		103,331
Net income (loss)		52,230		52,434
Net income (loss) attributable to non-controlling interests		42,701		42,879
Net income (loss) attributable to controlling interests		$ 9,529		$ 9,555
Basic earnings (loss) per share (in dollars per share)		$ 0.76		$ 0.76
Diluted earnings (loss) per share (in dollars per share)		$ 0.76		$ 0.76
Understated depletion on wells drilled during fiscal year 2014 | Adjustment
Restatement of Previously Issued Financial Statements
Depletion, depreciation and amortization		$ 2,600		$ 7,000
Net income (loss) attributable to controlling interests	$ (2,200)		$ (6,200)

Organization and Description 29

Organization and Description of Business (Details 3) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Revision of Previously Issued Financial Statements
Production Taxes	$ 2,513		$ 5,044	$ 9,292	$ 18,248
Income Tax Provision	6,519		5,550	(4,590)	5,736
Net income (loss) attributable to controlling interests	13,238		9,132	(3,017)	8,444
Net cash provided by operations				89,189	251,832
Accounts Receivable, Oil and gas sales	26,610	$ 51,482		26,610		$ 51,482
Deferred tax liabilities	21,896	26,756		21,896		26,756
Additional paid-in-capital	361,355	178,763		361,355		178,763
Retained earnings	35,933	38,950		35,933		38,950
Non-controlling interest	$ 536,107	635,945		$ 536,107		635,945
As Reported
Revision of Previously Issued Financial Statements
Net income (loss) attributable to controlling interests			$ 9,529		9,555
Accounts Receivable, Oil and gas sales		49,861				49,861
Deferred tax liabilities		26,612				26,612
Additional paid-in-capital		177,133				177,133
Retained earnings		38,682				38,682
Non-controlling interest		636,366				636,366
Adjustment | Production tax
Revision of Previously Issued Financial Statements
Production Taxes		(1,600)				(1,600)
Income Tax Provision		100				100
Net income (loss) attributable to controlling interests		$ 1,500				$ 1,500
Earnings per share (in dollars per share)		$ 0.02				$ 0.02
Net cash provided by operations					$ 0
Accounts Receivable, Oil and gas sales		$ 1,621				$ 1,621
Deferred tax liabilities		144				144
Retained earnings		268				268
Non-controlling interest		1,209				1,209
Adjustment | Exchange of Class B shares
Revision of Previously Issued Financial Statements
Additional paid-in-capital		1,630				1,630
Non-controlling interest		$ (1,630)				$ (1,630)
Class A common stock
Revision of Previously Issued Financial Statements
Common Stock, shares outstanding	30,508,676	12,649,658		30,508,676		12,649,658
Class A common stock | Adjustment | Exchange of Class B shares
Revision of Previously Issued Financial Statements
Common Stock, shares outstanding		0				0
Class B common stock
Revision of Previously Issued Financial Statements
Common Stock, shares outstanding	31,283,607	36,719,499		31,283,607		36,719,499
Class B common stock | Adjustment | Exchange of Class B shares
Revision of Previously Issued Financial Statements
Common Stock, shares outstanding		0				0

Significant Accounting Polici30

Significant Accounting Policies (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Basis of Presentation
Lease operating	$ 8,872	$ 11,183	$ 32,930	$ 30,306
Production and ad valorem taxes	$ 2,513	5,044	$ 9,292	18,248
Reclassification of ad valorem taxes | Adjustment
Basis of Presentation
Lease operating		(100)		(3,300)
Production and ad valorem taxes		$ 100		$ 3,300

Significant Accounting Polici31

Significant Accounting Policies (Details 2) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)project	Sep. 30, 2014USD ($)	Dec. 31, 2014USD ($)
Mineral interests in properties
Unproved	$ 74,639		$ 74,639		$ 94,526
Proved	1,025,630		1,025,630		1,001,194
Wells and equipment and related facilities	1,276,980		1,276,980		1,094,202
Gross oil and gas properties	2,377,249		2,377,249		2,189,922
Less: Accumulated depletion and impairment	(711,517)		(711,517)		(551,062)
Net oil and gas properties	1,665,732	$ 1,526,735	1,665,732	$ 1,526,735	$ 1,638,860
Costs capitalized in connection with exploratory wells	0		$ 0
Minimum project period for capitalization of interest on expenditures			6 months
Number of projects for which interest on expenditure is capitalized | project			0
Depletion of oil and gas properties	$ 52,500	$ 50,300	$ 155,300	$ 136,700

Significant Accounting Polici32

Significant Accounting Policies (Details 3) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Other Property, Plant and Equipment
Gross other property, plant and equipment	$ 7,979		$ 7,979		$ 7,062
Less: Accumulated depreciation and amortization	(3,843)		(3,843)		(3,014)
Net other property, plant and equipment	4,136		4,136		4,048
Depreciation and amortization of other property, plant and equipment	300	$ 200	$ 900	$ 800
Minimum
Other Property, Plant and Equipment
Estimated useful lives			3 years
Maximum
Other Property, Plant and Equipment
Estimated useful lives			10 years
Leasehold improvements
Other Property, Plant and Equipment
Gross other property, plant and equipment	1,208		$ 1,208		1,218
Furniture, fixtures, computers and software
Other Property, Plant and Equipment
Gross other property, plant and equipment	4,075		4,075		3,727
Vehicles
Other Property, Plant and Equipment
Gross other property, plant and equipment	1,537		1,537		988
Aircraft
Other Property, Plant and Equipment
Gross other property, plant and equipment	910		910		910
Other
Other Property, Plant and Equipment
Gross other property, plant and equipment	$ 249		$ 249		$ 219

Significant Accounting Polici33

Significant Accounting Policies (Details 4) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Asset Retirement Obligations
Balance at beginning of period	$ 13,610
Liabilities incurred	1,355	$ 1,205
Liabilities settled	(19)
Accretion of ARO liability	610
Change in estimate	15
Balance at end of period	$ 15,571

Significant Accounting Polici34

Significant Accounting Policies (Details 5) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Asset Retirement Obligations
ARO liability at end of period	$ 15,571	$ 13,610
Less: Current portion of ARO	(3,311)	(3,074)
Total long-term ARO at end of period	$ 12,260	$ 10,536

Significant Accounting Polici35

Significant Accounting Policies (Details 6) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Tax Receivable Agreement
Cash savings to be paid under tax receivable agreement with JEH and the pre-IPO owners (as a percent)	85.00%
Benefits of cash savings retained under tax receivable agreement (as a percent)	15.00%
Liabilities recorded	$ 0
Future tax benefits	47,100
Liability under tax receivable agreement	$ 40,009	$ 803

Significant Accounting Polici36

Significant Accounting Policies (Details 7) - shares	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Performance Unit Awards
Stock Compensation
Performance period of shareholder return	3 years	3 years
Stock-based Compensation expensed recognition period	3 years
2013 Omnibus Incentive Plan | Class A common stock
Stock Compensation
Shares reserved (in shares)	3,850,000
Minimum | Performance Unit Awards
Stock Compensation
Number of shares of common stock issuable upon vesting of the performance share awards (as a percent)	0.00%	0.00%
Maximum | Performance Unit Awards
Stock Compensation
Number of shares of common stock issuable upon vesting of the performance share awards (as a percent)	200.00%	200.00%

Fair Value Measurement (Details

Fair Value Measurement (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Valuation Hierarchy
Current assets	$ 117,186	$ 121,519
Long-term assets	95,102	87,055
Current liabilities	(20)
Long-term liabilities		(28)
Recurring | Commodity Derivative Instruments
Valuation Hierarchy
Current assets	117,186	121,519
Long-term assets	95,102	87,055
Current liabilities	(20)
Long-term liabilities		(28)
Recurring | Level 2 | Commodity Derivative Instruments
Valuation Hierarchy
Current assets	116,377	120,604
Long-term assets	94,827	85,162
Current liabilities	(20)
Recurring | Level 3 | Commodity Derivative Instruments
Valuation Hierarchy
Current assets	809	915
Long-term assets	$ 275	1,893
Long-term liabilities		$ (28)

Fair Value Measurement (Detai38

Fair Value Measurement (Details 2) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2015USD ($)$ / bbl	Dec. 31, 2014USD ($)$ / bbl
Natural gas liquids | Swaps | Minimum
Commodity Derivative Instruments - Assets
Natural gas liquid futures prices (in dollars per barrel)	8.09	8.09
Natural gas liquids | Swaps | Maximum
Commodity Derivative Instruments - Assets
Natural gas liquid futures prices (in dollars per barrel)	95.24	95.24
Commodity Derivative Instruments
Commodity Derivative Instruments - Assets
Fair Value | $	$ 213,019	$ 208,646
Discounted cash flow approach | Level 3 | Commodity Derivative Instruments | Natural gas liquids | Swaps
Commodity Derivative Instruments - Assets
Fair Value | $	$ 1,084
Discounted cash flow approach | Level 3 | Commodity Derivative Instruments | Natural gas liquids | Swaps | Minimum
Commodity Derivative Instruments - Assets
Natural gas liquid futures prices (in dollars per barrel)	8.09
Discounted cash flow approach | Level 3 | Commodity Derivative Instruments | Natural gas liquids | Swaps | Maximum
Commodity Derivative Instruments - Assets
Natural gas liquid futures prices (in dollars per barrel)	59.78

Fair Value Measurement (Detai39

Fair Value Measurement (Details 3) $ in Thousands	9 Months Ended
	Sep. 30, 2015USD ($)
Changes in fair value of Level 3 instruments
Balance at the beginning of the period	$ 2,780
Purchases	(17)
Settlements	(750)
Transfer to Level 2	(1,115)
Changes in fair value	186
Balance at the end of the period	$ 1,084

Fair Value Measurement (Detai40

Fair Value Measurement (Details 4) - Nonrecurring - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Carrying Amount | 2022 Notes | Senior notes
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	$ 500,000	$ 500,000
Carrying Amount | 2023 Notes | Senior notes
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	250,000
Carrying Amount | Revolver
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	100,000	360,000
Fair Value | 2022 Notes | Senior notes
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	399,690	384,375
Fair Value | 2023 Notes | Senior notes
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	232,345
Fair Value | Revolver
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Debt	$ 100,000	$ 360,000

Fair Value Measurement (Detai41

Fair Value Measurement (Details 5) $ in Millions	9 Months Ended
	Sep. 30, 2015USD ($)
Fair Value Measurement
Impairment of unproved properties	$ 0
Impairment of proved properties	$ 0

Commodity Derivative Instrume42

Commodity Derivative Instruments (Details) $ in Millions	3 Months Ended			9 Months Ended		12 Months Ended
	Sep. 30, 2015USD ($)	Jun. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)bbl / moMMBTU / mo$ / bbl$ / MMBTU	Sep. 30, 2014USD ($)	Dec. 31, 2014bbl / moMMBTU / mo$ / bbl$ / MMBTU
Basis swaps | Minimum
Derivative instruments and hedging activities
Contract differential (in dollars per mmbtu)				(0.39)		(0.39)
Nonmonetary notional amount | MMBTU / mo				320,000		320,000
Basis swaps | Maximum
Derivative instruments and hedging activities
Contract differential (in dollars per mmbtu)				(0.11)		(0.11)
Nonmonetary notional amount | MMBTU / mo				750,000		980,000
Basis swaps | Weighted Average
Derivative instruments and hedging activities
Contract differential (in dollars per mmbtu)				(0.25)		(0.21)
Nonmonetary notional amount | MMBTU / mo				538,333		716,667
Oil | Swaps | Minimum
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				54.53		75.05
Nonmonetary notional amount | bbl / mo				54,000		45,000
Oil | Swaps | Maximum
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				100.87		100.95
Nonmonetary notional amount | bbl / mo				197,357		184,054
Oil | Swaps | Weighted Average
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				79.73		84.20
Nonmonetary notional amount | bbl / mo				103,522		113,852
Natural gas | Swaps | Minimum
Derivative instruments and hedging activities
Exercise price (in dollars per mmbtu)				2.82		3.37
Nonmonetary notional amount | MMBTU / mo				450,000		710,000
Natural gas | Swaps | Maximum
Derivative instruments and hedging activities
Exercise price (in dollars per mmbtu)				6.45		6.45
Nonmonetary notional amount | MMBTU / mo				1,640,000		1,772,584
Natural gas | Swaps | Weighted Average
Derivative instruments and hedging activities
Exercise price (in dollars per mmbtu)				4.27		4.40
Nonmonetary notional amount | MMBTU / mo				1,076,575		1,175,275
Natural gas liquids | Swaps | Minimum
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				8.09		8.09
Nonmonetary notional amount | bbl / mo				2,000		2,000
Natural gas liquids | Swaps | Maximum
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				95.24		95.24
Nonmonetary notional amount | bbl / mo				145,000		143,000
Natural gas liquids | Swaps | Weighted Average
Derivative instruments and hedging activities
Exercise price (in dollars per barrels) | $ / bbl				34.08		42.46
Nonmonetary notional amount | bbl / mo				61,407		50,444
Commodity Derivative Instruments
Derivative instruments and hedging activities
Net gains (Losses) recognized on derivative instruments | $	$ 90.5	$ 90.5	$ 41.2	$ 111.7	$ (9.8)

Commodity Derivative Instrume43

Commodity Derivative Instruments (Details 2)	Sep. 30, 2015Counterparty
Commodity Derivative Instruments.
Number of counterparties to commodity derivative contracts	7

Commodity Derivative Instrume44

Commodity Derivative Instruments (Details 3) - Commodity Derivative Instruments - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Assets
Gross Amounts of Recognized Assets	$ 213,019	$ 208,646
Gross Amounts Offset in the Balance Sheet	(731)	(72)
Net Amounts of Assets Presented in the Balance Sheet	212,288	208,574
Net Amount	$ 212,288	$ 208,574

Commodity Derivative Instrume45

Commodity Derivative Instruments (Details 4) - Commodity Derivative Instruments - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Liabilities
Gross Amounts of Recognized Liabilities	$ (751)	$ (100)
Gross Amounts Offset in the Balance Sheet	731	72
Net Amounts of Liabilities Presented in the Balance Sheet	(20)	(28)
Net Amount	$ (20)	$ (28)

Long-Term Debt (Details)

Long-Term Debt (Details) $ in Thousands	Feb. 23, 2015USD ($)	Apr. 01, 2014USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Oct. 08, 2015USD ($)	Apr. 01, 2015USD ($)	Dec. 31, 2014USD ($)	Nov. 06, 2014USD ($)	Nov. 05, 2014USD ($)	Dec. 31, 2009agreement
Long-Term Debt
Total carrying amount			$ 737,487		$ 737,487				$ 500,000
Interest expense			16,722	$ 11,849	47,553	$ 34,659
Proceeds from Issuance of Senior Long-term Debt					236,475	$ 500,000
Number of credit agreements | agreement												2
Senior notes
Long-Term Debt
Total Principal Amount / Face Value			750,000		750,000				500,000
Less: unamortized discount			(12,513)		(12,513)
Total carrying amount			737,487		737,487				500,000
2022 Notes | Senior notes
Long-Term Debt
Total Principal Amount / Face Value		$ 500,000	500,000		500,000				$ 500,000
Stated interest rate (as a percent)		6.75%
Interest expense			8,400		25,300
Accrued interest			16,900		16,900
2023 Notes
Long-Term Debt
Interest expense			5,800		13,900
2023 Notes | Senior notes
Long-Term Debt
Total Principal Amount / Face Value	$ 250,000		250,000		250,000
Stated interest rate (as a percent)	9.25%
Interest expense					5,800
Discount of principal amount, as a percentage	94.59%
Proceeds from Issuance of Senior Long-term Debt	$ 236,500
Accrued interest			$ 1,000		$ 1,000
Revolver
Long-Term Debt
Repayment of borrowings		$ 308,000
Borrowing base							$ 510,000	$ 562,500		$ 625,000	$ 550,000
Average interest rates (as a percent)			2.31%	2.17%	2.40%	2.54%
Average outstanding balance			$ 100,000	$ 261,000	$ 156,700	$ 334,600
Total interest and commitment fees			$ 1,000	1,800	$ 4,000	6,700
Revolver | London Interbank Offered Rate (LIBOR) | Minimum
Long-Term Debt
Margin interest rate (as a percent)					1.50%
Revolver | London Interbank Offered Rate (LIBOR) | Maximum
Long-Term Debt
Margin interest rate (as a percent)					2.50%
Revolver | Federal Funds Effective Swap Rate
Long-Term Debt
Margin interest rate (as a percent)					0.50%
Revolver | Base rate | Minimum
Long-Term Debt
Margin interest rate (as a percent)					0.50%
Revolver | Base rate | Maximum
Long-Term Debt
Margin interest rate (as a percent)					1.50%
Revolver | One Month Adjust LIBO Rate
Long-Term Debt
Margin interest rate (as a percent)					1.00%
Term Loan
Long-Term Debt
Repayment of borrowings		$ 160,000
Total interest and commitment fees				0		3,600
Unamortized deferred financing costs				$ 3,800		$ 3,800

Stock-based Compensation (Detai

Stock-based Compensation (Details) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2015USD ($)director$ / sharesshares	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)director$ / sharesshares	Sep. 30, 2014USD ($)	Dec. 31, 2014$ / sharesshares
Restricted Stock
Weighted Average Grant Date Fair Value per Share
Exchangeable ratio of vested performance unit (as a percent)			1.00%
Performance Unit Awards
Weighted Average Grant Date Fair Value per Share
Stock-based Compensation expensed recognition period			3 years
Performance period of shareholder return			3 years		3 years
Performance Unit Awards | Minimum
Weighted Average Grant Date Fair Value per Share
Number of shares of common stock issuable upon vesting of the performance unit awards (as a percent)			0.00%		0.00%
Performance Unit Awards | Maximum
Weighted Average Grant Date Fair Value per Share
Number of shares of common stock issuable upon vesting of the performance unit awards (as a percent)			200.00%		200.00%
General and administrative expenses | Performance Unit Awards
Weighted Average Grant Date Fair Value per Share
Stock compensation expense | $	$ 0.7	$ 0.4	$ 1.7	$ 0.6
General and administrative expenses | Restricted Stock Unit Awards
Weighted Average Grant Date Fair Value per Share
Stock compensation expense | $	$ 0.9	0.4	$ 2.1	0.6
Officers and employees | Performance Unit Awards
Units/ Awards
Unvested at the beginning of the period (in shares)			192,998
Granted (in shares)			361,422
Unvested at the end of the period (in shares)	554,420		554,420		192,998
Weighted Average Grant Date Fair Value per Share
Unvested at the beginning of the period (in dollars per share) | $ / shares			$ 21.65
Granted (in dollars per share) | $ / shares			10.27
Unvested at the end of the period (in dollars per share) | $ / shares	$ 14.23		$ 14.23		$ 21.65
Non-employee members of Board Of Directors | Restricted Stock
Units/ Awards
Unvested at the beginning of the period (in shares)			27,430
Granted (in shares)			67,380
Vested (in shares)			(27,430)
Unvested at the end of the period (in shares)	67,380		67,380		27,430
Weighted Average Grant Date Fair Value per Share
Unvested at the beginning of the period (in dollars per share) | $ / shares			$ 18.77
Granted (in dollars per share) | $ / shares			7.30
Vested (in dollars per share) | $ / shares			18.77
Unvested at the end of the period (in dollars per share) | $ / shares	$ 7.30		$ 7.30		$ 18.77
Stock compensation expense | $	$ 0.1	0.1	$ 0.4	0.3
Non-employee members of Board Of Directors | Class A common stock | Restricted Stock
Weighted Average Grant Date Fair Value per Share
Number of non-employee members of the Board of Directors to whom awards were granted | director	1		1
Management units | Officers and employees | Restricted Stock Unit Awards
Units/ Awards
Unvested at the beginning of the period (in shares)			324,897
Granted (in shares)			567,689
Forfeited (in shares)			(10,108)
Vested (in shares)			(93,842)
Unvested at the end of the period (in shares)	788,636		788,636		324,897
Weighted Average Grant Date Fair Value per Share
Unvested at the beginning of the period (in dollars per share) | $ / shares			$ 17.33
Granted (in dollars per share) | $ / shares			9.63
Forfeited (in dollars per share) | $ / shares			14.82
Vested (in dollars per share) | $ / shares			17.11
Unvested at the end of the period (in dollars per share) | $ / shares	$ 11.84		$ 11.84		$ 17.33
Management incentive plan | Management units | JEH | General and administrative expenses
Weighted Average Grant Date Fair Value per Share
Stock compensation expense | $	$ 0.3	$ 0.4	$ 0.9	$ 1.2
Management incentive plan | Management units | JEH | Management
Units/ Awards
Unvested at the beginning of the period (in shares)			274,385
Granted (in shares)			1,909
Forfeited (in shares)			(1,909)
Vested (in shares)			(76,319)
Unvested at the end of the period (in shares)	198,066		198,066		274,385
Weighted Average Grant Date Fair Value per Share
Unvested at the beginning of the period (in dollars per share) | $ / shares			$ 15
Granted (in dollars per share) | $ / shares			15
Forfeited (in dollars per share) | $ / shares			15
Vested (in dollars per share) | $ / shares			15
Unvested at the end of the period (in dollars per share) | $ / shares	$ 15		$ 15		$ 15

Earnings (loss) per Share (Deta

Earnings (loss) per Share (Details) - shares	3 Months Ended	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2015
Restricted Stock
Earnings per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	788,636
Restricted Stock Unit Awards
Earnings per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount		67,380
Performance Unit Awards
Earnings per Share
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount		554,420
Class B common stock
Earnings per Share
Economic interest (as a percent)		0.00%

Earnings (loss) per Share (De49

Earnings (loss) per Share (Details 2) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income (numerator):
Net income (loss) attributable to controlling interests	$ 13,238	$ 9,132	$ (3,017)	$ 8,444
Weighted-average shares (denominator):
Weighted-average number of shares of Class A common stock - basic	30,432	12,508	25,591	12,503
Weighted-average number of shares of Class A common stock - diluted	30,432	12,573	25,591	12,540
Earnings (loss) per share:
Basic (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68
Diluted (in dollars per share)	$ 0.44	$ 0.73	$ (0.12)	$ 0.68

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Taxes
Effective tax rate (as a percent)	15.80%		30.10%
Statutory rate (as a percent)			35.00%
Income tax provision (benefit)
Jones Energy, Inc.	$ 7,157	$ 4,954	$ (3,195)	$ 4,739
Non-controlling interests	(638)	596	(1,395)	997
Income tax provision (benefit)	$ 6,519	$ 5,550	$ (4,590)	$ 5,736

Subsidiary Guarantors (Details)

Subsidiary Guarantors (Details) $ in Thousands	Oct. 30, 2015	Jul. 29, 2013	Sep. 30, 2015USD ($)class	Feb. 23, 2015USD ($)	Dec. 31, 2014USD ($)	Apr. 01, 2014USD ($)
Subsidiary Guarantors
Classes of stock, number | class			2
Class A common stock
Subsidiary Guarantors
Economic interests			100.00%
Votes per share entitled to stockholders			1
Class B common stock
Subsidiary Guarantors
Economic interest (as a percent)			0.00%
Economic interests			0.00%
Votes per share entitled to stockholders			1
Issuers
Subsidiary Guarantors
Economic interest			49.40%
Existing Owners
Subsidiary Guarantors
Economic interest (as a percent)	50.60%	74.70%
Existing Owners | Class A common stock
Subsidiary Guarantors
Ratio in which JEH Units and Class B common stock is exchanged for Class A common stock			1
Senior notes
Subsidiary Guarantors
Issuance of debt			$ 750,000		$ 500,000
Senior notes | 2022 Notes
Subsidiary Guarantors
Issuance of debt			500,000		$ 500,000	$ 500,000
Senior notes | 2023 Notes
Subsidiary Guarantors
Issuance of debt			$ 250,000	$ 250,000
Issuers | Guarantor Subsidiaries
Subsidiary Guarantors
Ownership percentage in subsidiary guarantors			100.00%
Existing Owners | Issuers
Subsidiary Guarantors
Economic interest (as a percent)			50.60%

Subsidiary Guarantors (Details

Subsidiary Guarantors (Details 2) - USD ($) $ / shares in Units, $ in Thousands	Sep. 30, 2015	Dec. 31, 2014	Sep. 30, 2014
Current assets
Cash	$ 22,698	$ 13,566
Restricted cash	277	149
Accounts receivable, net
Oil and gas sales	26,610	51,482
Joint interest owners	13,978	41,761
Other	13,932	12,512
Commodity derivative assets	117,186	121,519
Other current assets	2,498	3,374
Total current assets	197,179	244,363
Oil and gas properties, net, at cost under the successful efforts method	1,665,732	1,638,860	$ 1,526,735
Other property, plant and equipment, net	4,136	4,048
Commodity derivative assets	95,102	87,055
Other assets	18,751	20,352
Deferred tax assets	1,135	171
Total assets	1,982,035	1,994,849
Current liabilities
Trade accounts payable	47,300	136,337
Oil and gas sales payable	42,145	70,469
Accrued liabilities	32,182	19,401
Commodity derivative liabilities	20
Deferred tax liabilities	470	718
Asset retirement obligations	3,311	3,074
Total current liabilities	125,428	229,999
Long-term debt	100,000	360,000
Senior notes	737,487	500,000
Deferred revenue	11,856	13,377
Commodity derivative liabilities		28
Asset retirement obligations	12,260	10,536
Liability under tax receivable agreement	40,009	803
Deferred tax liabilities	21,896	26,756
Total liabilities	1,048,936	1,141,499
Stockholders' / members' equity
Treasury stock	(358)	(358)
Additional paid-in-capital	361,355	178,763
Retained earnings	35,933	38,950
Stockholders' equity	396,992	217,405
Non-controlling interest	536,107	635,945
Total stockholders' equity	933,099	853,350
Total liabilities and stockholders' equity	$ 1,982,035	$ 1,994,849
Treasury stock, shares	22,602	22,602
Class A common stock
Stockholders' / members' equity
Common stock	$ 31	$ 13
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	30,531,278	12,672,260
Common Stock, shares outstanding	30,508,676	12,649,658
Class B common stock
Stockholders' / members' equity
Common stock	$ 31	$ 37
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	31,283,607	36,719,499
Common Stock, shares outstanding	31,283,607	36,719,499
Eliminations
Accounts receivable, net
Intercompany receivable	$ (1,152,223)	$ (1,208,554)
Total current assets	(1,152,223)	(1,208,554)
Investment in Subsidiaries	(443,322)	(233,496)
Total assets	(1,595,545)	(1,442,050)
Current liabilities
Intercompany payable	(1,371,451)	(1,212,370)
Total current liabilities	(1,371,451)	(1,212,370)
Total liabilities	(1,371,451)	(1,212,370)
Stockholders' / members' equity
Members' equity	(760,201)	(865,625)
Non-controlling interest	536,107	635,945
Total stockholders' equity	(224,094)	(229,680)
Total liabilities and stockholders' equity	(1,595,545)	(1,442,050)
JEI (Parent)
Current assets
Cash	100	100
Accounts receivable, net
Other	154	102
Intercompany receivable	10,437	4,576
Total current assets	10,691	4,778
Deferred tax assets	1,135	171
Investment in Subsidiaries	443,322	233,496
Total assets	455,148	238,445
Current liabilities
Liability under tax receivable agreement	40,009	803
Deferred tax liabilities	18,147	20,237
Total liabilities	58,156	21,040
Stockholders' / members' equity
Treasury stock	(358)	(358)
Additional paid-in-capital	361,355	178,763
Retained earnings	35,933	38,950
Stockholders' equity	396,992	217,405
Total stockholders' equity	396,992	217,405
Total liabilities and stockholders' equity	$ 455,148	$ 238,445
Treasury stock, shares	22,602	22,602
JEI (Parent) | Class A common stock
Stockholders' / members' equity
Common stock	$ 31	$ 13
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	30,531,278	12,672,260
Common Stock, shares outstanding	30,508,676	12,649,658
JEI (Parent) | Class B common stock
Stockholders' / members' equity
Common stock	$ 31	$ 37
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares issued	31,283,607	36,719,499
Common Stock, shares outstanding	31,283,607	36,719,499
Issuers
Current assets
Cash	$ 3,286	$ 1,000
Accounts receivable, net
Other	12,922	8,788
Commodity derivative assets	117,186	121,519
Other current assets	579	451
Intercompany receivable	1,141,786	1,203,978
Total current assets	1,275,759	1,335,736
Commodity derivative assets	95,102	87,055
Other assets	18,499	20,098
Total assets	1,389,360	1,442,889
Current liabilities
Trade accounts payable	178	288
Accrued liabilities	18,233	8,914
Commodity derivative liabilities	20
Deferred tax liabilities	470	718
Total current liabilities	18,901	9,920
Long-term debt	100,000	360,000
Senior notes	737,487	500,000
Deferred revenue	11,856	13,377
Commodity derivative liabilities		28
Deferred tax liabilities	3,749	6,519
Total liabilities	871,993	889,844
Stockholders' / members' equity
Members' equity	517,367	553,045
Total stockholders' equity	517,367	553,045
Total liabilities and stockholders' equity	1,389,360	1,442,889
Guarantor Subsidiaries
Current assets
Cash	19,282	12,436
Restricted cash	277	149
Accounts receivable, net
Oil and gas sales	26,610	51,482
Joint interest owners	13,978	41,761
Other	856	3,622
Other current assets	1,919	2,923
Total current assets	62,922	112,373
Oil and gas properties, net, at cost under the successful efforts method	1,665,732	1,638,860
Other property, plant and equipment, net	3,408	3,252
Other assets	252	254
Total assets	1,732,314	1,754,739
Current liabilities
Trade accounts payable	47,122	136,049
Oil and gas sales payable	42,145	70,469
Accrued liabilities	13,949	10,487
Asset retirement obligations	3,311	3,074
Intercompany payable	1,369,031	1,210,042
Total current liabilities	1,475,558	1,430,121
Asset retirement obligations	12,260	10,536
Total liabilities	1,487,818	1,440,657
Stockholders' / members' equity
Members' equity	244,496	314,082
Total stockholders' equity	244,496	314,082
Total liabilities and stockholders' equity	1,732,314	1,754,739
Non-Guarantor Subsidiaries
Current assets
Cash	30	30
Accounts receivable, net
Total current assets	30	30
Other property, plant and equipment, net	728	796
Total assets	758	826
Current liabilities
Intercompany payable	2,420	2,328
Total current liabilities	2,420	2,328
Total liabilities	2,420	2,328
Stockholders' / members' equity
Members' equity	(1,662)	(1,502)
Total stockholders' equity	(1,662)	(1,502)
Total liabilities and stockholders' equity	$ 758	$ 826

Subsidiary Guarantors (Detail53

Subsidiary Guarantors (Details 3) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Operating revenues
Oil and gas sales	$ 46,499	$ 99,707	$ 156,955	$ 303,370
Other revenues	653	639	2,210	1,610
Total operating revenues	47,152	100,346	159,165	304,980
Operating costs and expenses
Lease operating	8,872	11,183	32,930	30,306
Production and ad valorem taxes	2,513	5,044	9,292	18,248
Exploration	5,556	266	6,184	3,278
Depletion, depreciation and amortization	52,766	50,491	156,151	137,490
Accretion of ARO liability	210	206	610	573
General and administrative	9,628	6,925	27,572	18,723
Other operating			4,188
Total operating expenses	79,545	74,115	236,927	208,618
Operating income (loss)	(32,393)	26,231	(77,762)	96,362
Other income (expense)
Interest expense	(16,722)	(11,849)	(47,553)	(34,659)
Net loss on commodity derivatives	90,483	41,163	111,714	(9,785)
Other income (expense)	(7)	30	(1,631)	97
Other income (expense), net	73,754	29,344	62,530	(44,347)
Income (loss) before income tax	41,361	55,575	(15,232)	52,015
Income Tax Provision	6,519	5,550	(4,590)	5,736
Net income (loss)	34,842	50,025	(10,642)	46,279
Net income (loss) attributable to non-controlling interests	21,604	40,893	(7,625)	37,835
Net income (loss) attributable to controlling interests	13,238	9,132	(3,017)	8,444
Eliminations
Other income (expense)
Equity interest in income	(20,509)	(13,954)	5,587	(12,963)
Net income (loss)	(20,509)	(13,954)	5,587	(12,963)
Net income (loss) attributable to non-controlling interests	21,604	40,893	(7,625)	37,835
JEI (Parent)
Other income (expense)
Equity interest in income	20,509	13,954	(5,587)	12,963
Income Tax Provision	7,271	4,822	(2,570)	4,519
Net income (loss)	13,238	9,132	(3,017)	8,444
Net income (loss) attributable to controlling interests	13,238	9,132	(3,017)	8,444
Issuers
Operating revenues
Other revenues	493	336	1,521	862
Total operating revenues	493	336	1,521	862
Operating costs and expenses
General and administrative	6,730	83	9,715	3,403
Total operating expenses	6,730	83	9,715	3,403
Operating income (loss)	(6,237)	253	(8,194)	(2,541)
Other income (expense)
Interest expense	(16,533)	(11,028)	(46,681)	(33,662)
Net loss on commodity derivatives	90,483	41,163	111,714	(9,785)
Other income (expense)	(23)		(2,324)
Other income (expense), net	73,927	30,135	62,709	(43,447)
Income (loss) before income tax	67,690	30,388	54,515	(45,988)
Income Tax Provision	(752)	728	(2,020)	1,217
Net income (loss)	68,442	29,660	56,535	(47,205)
Guarantor Subsidiaries
Operating revenues
Oil and gas sales	46,499	99,707	156,955	303,370
Other revenues	160	303	689	748
Total operating revenues	46,659	100,010	157,644	304,118
Operating costs and expenses
Lease operating	8,872	11,183	32,930	30,306
Production and ad valorem taxes	2,513	5,044	9,292	18,248
Exploration	5,556	266	6,184	3,278
Depletion, depreciation and amortization	52,743	50,468	156,083	137,422
Accretion of ARO liability	210	206	610	573
General and administrative	2,853	6,820	17,765	15,253
Other operating			4,188
Total operating expenses	72,747	73,987	227,052	205,080
Operating income (loss)	(26,088)	26,023	(69,408)	99,038
Other income (expense)
Interest expense	(189)	(821)	(872)	(997)
Other income (expense)	16	30	693	97
Other income (expense), net	(173)	(791)	(179)	(900)
Income (loss) before income tax	(26,261)	25,232	(69,587)	98,138
Net income (loss)	(26,261)	25,232	(69,587)	98,138
Non-Guarantor Subsidiaries
Operating costs and expenses
Depletion, depreciation and amortization	23	23	68	68
General and administrative	45	22	92	67
Total operating expenses	68	45	160	135
Operating income (loss)	(68)	(45)	(160)	(135)
Other income (expense)
Income (loss) before income tax	(68)	(45)	(160)	(135)
Net income (loss)	$ (68)	$ (45)	$ (160)	$ (135)

Subsidiary Guarantors (Detail54

Subsidiary Guarantors (Details 4) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities
Net income (loss)	$ 34,842	$ 50,025	$ (10,642)	$ 46,279
Adjustments to reconcile net income (loss) to net cash provided by operating activities			99,831	205,553
Net cash provided by operations			89,189	251,832
Cash flows from investing activities
Additions to oil and gas properties			(280,528)	(343,405)
Net adjustments to purchase price of properties acquired				15,709
Proceeds from sales of assets			37	99
Acquisition of other property, plant and equipment			(1,034)	(1,196)
Current period settlements of matured derivative contracts			103,858	(14,228)
Change in restricted cash			(129)	(52)
Net cash used in investing			(177,796)	(343,073)
Cash flows from financing activities
Proceeds from issuance of long-term debt			75,000	80,000
Repayment under long-term debt			(335,000)	(468,000)
Proceeds from senior notes			236,475	500,000
Payment of debt issuance costs			(1,514)	(11,431)
Proceeds from sale of common stock			122,778
Net cash provided by financing			97,739	100,211
Purchases of treasury stock				(358)
Net increase in cash			9,132	8,970
Cash
Beginning of period			13,566	23,820
End of period	22,698	32,790	22,698	32,790
Eliminations
Cash flows from operating activities
Net income (loss)	(20,509)	(13,954)	5,587	(12,963)
Adjustments to reconcile net income (loss) to net cash provided by operating activities			(5,587)	12,963
JEI (Parent)
Cash flows from operating activities
Net income (loss)	13,238	9,132	(3,017)	8,444
Adjustments to reconcile net income (loss) to net cash provided by operating activities			(119,761)	(8,086)
Net cash provided by operations			(122,778)	358
Cash flows from financing activities
Proceeds from sale of common stock			122,778
Net cash provided by financing			122,778	(358)
Purchases of treasury stock				(358)
Cash
Beginning of period			100	100
End of period	100	100	100	100
Issuers
Cash flows from operating activities
Net income (loss)	68,442	29,660	56,535	(47,205)
Adjustments to reconcile net income (loss) to net cash provided by operating activities			(133,068)	(43,930)
Net cash provided by operations			(76,533)	(91,135)
Cash flows from investing activities
Current period settlements of matured derivative contracts			103,858	(14,228)
Net cash used in investing			103,858	(14,228)
Cash flows from financing activities
Proceeds from issuance of long-term debt			75,000	80,000
Repayment under long-term debt			(335,000)	(468,000)
Proceeds from senior notes			236,475	500,000
Payment of debt issuance costs			(1,514)	(11,431)
Net cash provided by financing			(25,039)	100,569
Net increase in cash			2,286	(4,794)
Cash
Beginning of period			1,000	6,000
End of period	3,286	1,206	3,286	1,206
Guarantor Subsidiaries
Cash flows from operating activities
Net income (loss)	(26,261)	25,232	(69,587)	98,138
Adjustments to reconcile net income (loss) to net cash provided by operating activities			358,087	244,471
Net cash provided by operations			288,500	342,609
Cash flows from investing activities
Additions to oil and gas properties			(280,528)	(343,405)
Net adjustments to purchase price of properties acquired				15,709
Proceeds from sales of assets			37	99
Acquisition of other property, plant and equipment			(1,034)	(1,196)
Change in restricted cash			(129)	(52)
Net cash used in investing			(281,654)	(328,845)
Cash flows from financing activities
Net increase in cash			6,846	13,764
Cash
Beginning of period			12,436	17,650
End of period	19,282	31,414	19,282	31,414
Non-Guarantor Subsidiaries
Cash flows from operating activities
Net income (loss)	(68)	(45)	(160)	(135)
Adjustments to reconcile net income (loss) to net cash provided by operating activities			160	135
Cash
Beginning of period			30	70
End of period	$ 30	$ 70	$ 30	$ 70