EP Energy (EPEGQ) 10-Q 8 Nov 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Oct. 31, 2018
Entity Information [Line Items]
Entity Registrant Name	EP Energy Corp
Entity Central Index Key	1,584,952
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Class A
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		256,672,389
Class B
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		240,122

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Operating revenues
Financial derivatives	$ (44)	$ (23)	$ (122)	$ 92
Total operating revenues	294	219	845	842
Operating expenses
Oil and natural gas purchases	3	0	3	2
Transportation costs	25	29	76	86
Lease operating expense	46	42	123	121
General and administrative	21	25	68	71
Depreciation, depletion and amortization	127	118	376	368
Gain on sale of assets	(1)	0	(1)	0
Impairment charges	0	1	0	2
Exploration and other expense	2	6	3	10
Taxes, other than income taxes	22	16	63	50
Total operating expenses	245	237	711	710
Operating income	49	(18)	134	132
Other income	2	0	2	0
Gain (loss) on extinguishment/modification of debt	0	24	48	(16)
Interest expense	(95)	(80)	(268)	(245)
Loss before income taxes	(44)	(74)	(84)	(129)
Income tax benefit	0	2	0	7
Net loss	$ (44)	$ (72)	$ (84)	$ (122)
Basic and diluted net income (loss) per common share
Net income (loss) (in dollars per share)	$ (0.18)	$ (0.29)	$ (0.34)	$ (0.50)
Basic and diluted weighted average common shares outstanding (in shares)	248	246	247	246
Oil
Operating revenues
Operating revenues	$ 287	$ 189	$ 820	$ 595
Natural gas
Operating revenues
Operating revenues	15	27	55	84
NGLs
Operating revenues
Operating revenues	$ 36	$ 26	$ 92	$ 71

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Current assets
Cash and cash equivalents	$ 56	$ 27
Restricted cash	0	18
Accounts receivable
Customer, net of allowance of less than $1 in 2018 and 2017	182	158
Other, net of allowance of $1 in 2018 and 2017	56	13
Income tax receivable	0	9
Materials and supplies	15	16
Derivative instruments	0	18
Assets held for sale	0	172
Prepaid assets	6	35
Total current assets	315	466
Property, plant and equipment, at cost
Oil and natural gas properties	8,392	7,532
Other property, plant and equipment	75	69
Total property, plant and equipment, gross	8,467	7,601
Less accumulated depreciation, depletion and amortization	3,554	3,179
Total property, plant and equipment, net	4,913	4,422
Other assets
Derivative instruments	1	4
Unamortized debt issue costs - revolving credit facility	8	6
Other	2	2
Total other assets	11	12
Total assets	5,239	4,900
Accounts payable
Trade	119	88
Other	158	158
Derivative instruments	71	17
Accrued interest	112	62
Liabilities related to assets held for sale	0	2
Short-term debt, net of debt issue costs	8	21
Other accrued liabilities	95	100
Total current liabilities	563	448
Long-term debt, net of debt issue costs	4,295	4,022
Other long-term liabilities
Derivative instruments	12	0
Asset retirement obligations	39	33
Other	13	5
Total non-current liabilities	4,359	4,060
Commitments and contingencies (Note 8)
Stockholders’ equity
Preferred stock, $0.01 par value; 50 million shares authorized; no shares issued or outstanding	0	0
Treasury stock (at cost), less than one million shares at September 30, 2018 and December 31, 2017	0	(3)
Additional paid-in capital	3,532	3,526
Accumulated deficit	(3,218)	(3,134)
Total stockholders’ equity	317	392
Total liabilities and equity	5,239	4,900
Class A
Stockholders’ equity
Common Stock	3	3
Class B
Stockholders’ equity
Common Stock	$ 0	$ 0

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Customer receivables, allowance (less than)	$ 1	$ 1
Other receivables, allowance	$ 1	$ 1
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	50,000,000	50,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Treasury stock (at cost, less than) (in shares)	1,000,000	1,000,000
Class A
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common shares, shares authorized (in shares)	550,000,000	550,000,000
Common shares, shares issued (in shares)	257,000,000	252,000,000
Common shares, shares outstanding (in shares)	257,000,000	252,000,000
Class B
Common shares, par value (in dollars per share)	$ 0.01	$ 0.01
Common shares, shares authorized (in shares)	200,000	300,000
Common shares, shares issued (in shares)	200,000	300,000
Common shares, shares outstanding (in shares)	200,000	300,000

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities
Net loss	$ (44)	$ (72)	$ (84)	$ (122)
Adjustments to reconcile net loss to net cash provided by operating activities
Depreciation, depletion and amortization	127	118	376	368
Gain on sale of assets	(1)	0	(1)	0
Impairment charges	0	1	0	2
(Gain) loss on extinguishment/modification of debt	0	(24)	(48)	16
Other non-cash income items			22	24
Asset and liability changes
Accounts receivable			(68)	(25)
Accounts payable			18	26
Derivative instruments			87	(7)
Accrued interest			50	40
Other asset changes			15	(12)
Other liability changes			13	(12)
Net cash provided by operating activities			380	298
Cash flows from investing activities
Cash paid for capital expenditures			(559)	(405)
Proceeds from the sale of assets			175	0
Cash paid for acquisitions			(275)	(29)
Net cash used in investing activities			(659)	(434)
Cash flows from financing activities
Proceeds from issuance of long-term debt			1,805	1,645
Repayments and repurchases of long-term debt			(1,431)	(1,484)
Fees/costs on debt exchange			(62)	0
Debt issue costs			(21)	(21)
Other			(1)	(3)
Net cash provided by financing activities			290	137
Change in cash, cash equivalents and restricted cash			11	1
Cash, cash equivalents and restricted cash - beginning of period			45	20
Cash, cash equivalents and restricted cash - end of period	$ 56	$ 21	$ 56	$ 21

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - USD ($) shares in Millions, $ in Millions	Total	Treasury Stock	Additional Paid-in Capital	Retained Earnings (Accumulated Deficit)	Class A Stock	Class A StockCommon Stock	Class B Stock	Class B StockCommon Stock	Previously Reported [Member]	Previously Reported [Member]Treasury Stock	Previously Reported [Member]Additional Paid-in Capital	Previously Reported [Member]Retained Earnings (Accumulated Deficit)	Previously Reported [Member]Class A Stock	Previously Reported [Member]Class B Stock
Balance at beginning of period (in shares) at Dec. 31, 2016						251		0.8					251	0.8
Balance at beginning of period at Dec. 31, 2016	$ 606	$ (3)	$ 3,547	$ (2,940)		$ 2		$ 0	$ 606	$ (3)	$ 3,546	$ (2,939)	$ 2	$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation (in shares)						4		(0.1)
Stock Issued During Period, Value, Share-based Compensation, Gross						$ 1
Share-based compensation	(3)		(4)
Net loss	(47)			(47)
Balance at end of period (in shares) at Mar. 31, 2017						255		0.7
Balance at end of period at Mar. 31, 2017	556	(3)	3,543	(2,987)		$ 3		$ 0
Balance at beginning of period (in shares) at Dec. 31, 2016						251		0.8					251	0.8
Balance at beginning of period at Dec. 31, 2016	606	(3)	3,547	(2,940)		$ 2		$ 0	$ 606	$ (3)	$ 3,546	$ (2,939)	$ 2	$ 0
Increase (Decrease) in Stockholders' Equity
Net loss	(122)
Balance at end of period (in shares) at Sep. 30, 2017						255		0.7
Balance at end of period at Sep. 30, 2017	491	(3)	3,553	(3,062)		$ 3		$ 0
Cumulative Effect of New Accounting Principle in Period of Adoption			1	(1)
Balance at beginning of period (in shares) at Mar. 31, 2017						255		0.7
Balance at beginning of period at Mar. 31, 2017	556	(3)	3,543	(2,987)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation	6		6
Net loss	(3)			(3)
Balance at end of period (in shares) at Jun. 30, 2017						255		0.7
Balance at end of period at Jun. 30, 2017	559	(3)	3,549	(2,990)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation	4		4
Net loss	(72)			(72)
Balance at end of period (in shares) at Sep. 30, 2017						255		0.7
Balance at end of period at Sep. 30, 2017	491	(3)	3,553	(3,062)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation (in shares)						(3)		0
Share-based compensation	(27)		(27)
Net loss	(72)			(72)
Balance at end of period (in shares) at Dec. 31, 2017					252	252	0.3	0.3
Balance at end of period at Dec. 31, 2017	392	(3)	3,526	(3,134)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation (in shares)						(1)
Share-based compensation	0	(1)	1
Net loss	18			18
Balance at end of period (in shares) at Mar. 31, 2018						251		0.3
Balance at end of period at Mar. 31, 2018	410	(4)	3,527	(3,116)		$ 3		$ 0
Balance at beginning of period (in shares) at Dec. 31, 2017					252	252	0.3	0.3
Balance at beginning of period at Dec. 31, 2017	392	(3)	3,526	(3,134)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation	6
Net loss	(84)
Balance at end of period (in shares) at Sep. 30, 2018					257	257	0.2	0.3
Balance at end of period at Sep. 30, 2018	317	0	3,532	(3,218)		$ 3		$ 0
Balance at beginning of period (in shares) at Mar. 31, 2018						251		0.3
Balance at beginning of period at Mar. 31, 2018	410	(4)	3,527	(3,116)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation (in shares)						6
Share-based compensation	3	4	(1)
Net loss	(58)			(58)
Balance at end of period (in shares) at Jun. 30, 2018						257		0.3
Balance at end of period at Jun. 30, 2018	355	0	3,526	(3,174)		$ 3		$ 0
Increase (Decrease) in Stockholders' Equity
Share-based compensation (in shares)						0
Share-based compensation		0	6
Net loss	(44)			(44)
Balance at end of period (in shares) at Sep. 30, 2018					257	257	0.2	0.3
Balance at end of period at Sep. 30, 2018	$ 317	$ 0	$ 3,532	$ (3,218)		$ 3		$ 0

Basis of Presentation and Signi

Basis of Presentation and Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Significant Accounting Policies	Basis of Presentation and Significant Accounting Policies Basis of Presentation We prepared this Quarterly Report on Form 10-Q under the rules and regulations of the United States Securities and Exchange Commission (SEC) and in accordance with United States generally accepted accounting principles (U.S. GAAP) as it applies to interim financial statements. Because this is an interim period report presented using a condensed format, it does not include all of the disclosures required by U.S. GAAP and should be read along with our 2017 Annual Report on Form 10-K. The condensed consolidated financial statements as of September 30, 2018 and 2017 are unaudited. The consolidated balance sheet as of December 31, 2017 has been derived from the audited consolidated balance sheet included in our 2017 Annual Report on Form 10-K. In our opinion, all adjustments which are of a normal, recurring nature are reflected to fairly present these interim period results. The results for any interim period are not necessarily indicative of the expected results for the entire year. Significant Accounting Policies In the first quarter of 2018, we adopted Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, which clarifies the principles for recognizing revenue and develops a common revenue standard for U.S. GAAP and International Financial Reporting Standards. As permitted under ASU No. 2014-09, we elected to utilize the modified retrospective approach, which did not have a material impact on our financial statements. There were no other changes in significant accounting policies as described in the 2017 Annual Report on Form 10-K . New Accounting Pronouncements Issued But Not Yet Adopted The following accounting standards have been issued but not yet adopted as of September 30, 2018 . Leases. In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases, which requires lessees to recognize right-of-use assets and liabilities on the balance sheet and disclose key information about leasing arrangements. Adoption of this standard is required beginning in the first quarter of 2019 and we anticipate adopting this standard on a modified retrospective basis, recognizing a cumulative-effect adjustment to the opening balance of retained earnings, if any, upon adoption. In addition, we plan to make certain permitted elections upon adoption around lease classification of contracts and land easements existing prior to the adoption date and not recognizing short-term leases on our balance sheet. We continue to evaluate our contracts and other agreements to assess the impact this update will have on our financial statements, processes, policies and internal controls.

Acquisitions and Divestitures

Acquisitions and Divestitures	9 Months Ended
	Sep. 30, 2018
Business Combinations [Abstract]
Acquisitions and Divestitures	Acquisitions and Divestitures Acquisitions . In the first quarter of 2018, we completed the acquisition of producing properties and proved undeveloped acreage in Eagle Ford for approximately $246 million , after customary adjustments. Of the total purchase price, we paid $221 million upon closing during the first quarter of 2018 and $25 million to the buyer as a deposit in December 2017. In July 2018, we completed an acquisition of additional working interests in certain producing properties in Eagle Ford for approximately $31 million , subject to customary post-closing adjustments. Our balance sheet reflects the cost of each of these assets acquired during the year as proved properties. Divestitures. In the first quarter of 2018, we completed the sale of certain assets in Northeastern Utah (NEU), formerly Altamont, for approximately $177 million , after customary adjustments. Of the total sales price, we received a deposit of $18 million (reflected in restricted cash in the balance sheet) in December 2017 and additional cash proceeds of $159 million upon closing. We treated this sale as a normal retirement reflecting the difference between net cash proceeds and the underlying net book value of the assets sold in accumulated depreciation rather than recording a gain on sale of assets. As of December 31, 2017, we classified the assets and liabilities associated with the assets to be sold as held for sale in our consolidated balance sheet.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Effective Tax Rate. Interim period income taxes are computed by applying an anticipated annual effective tax rate to year-to-date income or loss, except for significant, unusual or infrequently occurring items, which income tax effects are recorded in the period in which they occur. Changes in tax laws or rates are recorded in the period they are enacted. For both the quarter and nine months ended September 30, 2018 , our effective tax rates were approximately 0% . For the quarter and nine months ended September 30, 2017 , our effective tax rates were approximately 4% and 6% , respectively. Our effective tax rates in 2018 and 2017 differed from the statutory rates of 21% and 35% , respectively, primarily as a result of our recognition of a full valuation allowance on our net deferred tax assets. For the quarters ended September 30, 2018 and 2017 , we recorded adjustments to the valuation allowance on our net deferred tax assets, which offset deferred income tax benefit of $10 million and $24 million , respectively, and offset deferred income tax benefit of $18 million and $36 million for the nine months ended September 30, 2018 and 2017 , respectively. Other. During 2017, we recorded a provisional effect of the Tax Cuts and Jobs Act (the Act). While there was no overall impact on our financial statements from the Act, we are still analyzing certain aspects of the Act with available guidance and have no adjustments to the recorded provisional amounts. We evaluate the realization of our deferred tax assets and record any associated valuation allowance after considering cumulative book losses, the reversal of existing temporary differences, the existence of taxable income in prior carryback years, tax planning strategies and future taxable income for each of our taxable jurisdictions. Based upon the evaluation of the available evidence, we maintained a valuation allowance against our net deferred tax assets of $662 million as of September 30, 2018 . The Company’s and certain subsidiaries’ income tax years after 2013 remain open and subject to examination by both federal and state tax authorities, and in the second quarter of 2018 we were notified of an IRS examination of our 2016 U.S. tax return. During the nine months ended September 30, 2018 , we also received federal and state refunds of $9 million .

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share We exclude potentially dilutive securities from the determination of diluted earnings per share (as well as their related income statement impacts) when their impact on net income per common share is antidilutive. Potentially dilutive securities consist of our stock options, restricted stock, performance share unit awards and performance unit awards. For the quarters and nine months ended September 30, 2018 and 2017 , we incurred net losses and accordingly excluded all potentially dilutive securities from the determination of diluted earnings per share as their impact on loss per common share was antidilutive.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair Value Measurements	Fair Value Measurements We use various methods to determine the fair values of our financial instruments. The fair value of a financial instrument depends on a number of factors, including the availability of observable market data over the contractual term of the underlying instrument. We separate the fair value of our financial instruments into three levels (Levels 1, 2 and 3) based on our assessment of the availability of observable market data and the significance of non-observable data used to determine fair value. As of September 30, 2018 and December 31, 2017 , all of our derivative financial instruments were classified as Level 2. Our assessment of the level of an instrument can change over time based on the maturity or liquidity of the instrument. The following table presents the carrying amounts and estimated fair values of our financial instruments: September 30, 2018 December 31, 2017 Carrying Amount Fair Value Carrying Amount Fair Value (in millions) Short-term debt $ 8 $ 8 $ 21 $ 19 Long-term debt (see Note 7) $ 4,395 $ 3,808 $ 4,072 $ 3,248 Derivative instruments $ (82 ) $ (82 ) $ 5 $ 5 As of September 30, 2018 and December 31, 2017 , the carrying amount of cash and cash equivalents, accounts receivable and accounts payable represent fair value because of the short-term nature of these instruments. We hold long-term debt obligations with various terms. We estimated the fair value of debt (representing a Level 2 fair value measurement) primarily based on quoted market prices for the same or similar issuances, considering our credit risk. Oil, Natural Gas and NGLs Derivative Instruments. We attempt to mitigate a portion of our commodity price risk and stabilize cash flows associated with forecasted sales of oil, natural gas and NGLs through the use of financial derivatives. As of September 30, 2018 , we had derivative contracts in the form of fixed price swaps, collars and three-way collars on 13 MMBbls of oil ( 4 MMBbls in 2018 and 9 MMBbls in 2019). In addition to our oil derivatives, we had derivative contracts in the form of fixed price swaps on 14 TBtu of natural gas ( 7 TBtu in 2018 and 7 TBtu in 2019) and 23 MMGal of ethane and propane fixed price swaps in 2018. As of December 31, 2017 , we had derivative contracts for 14 MMBbls of oil, 33 TBtu of natural gas and 92 MMGal of ethane and propane. In addition to the contracts above, we have derivative contracts related to locational basis differences on our oil and natural gas production. None of our derivative contracts are designated as accounting hedges. The following table presents the fair value associated with our derivative financial instruments as of September 30, 2018 and December 31, 2017 . All of our derivative instruments are subject to master netting arrangements, which provide for the unconditional right of offset for all derivative assets and liabilities with a given counterparty in the event of default. We present assets and liabilities related to these instruments in our consolidated balance sheets as either current or non-current assets or liabilities based on their anticipated settlement date, net of the impact of master netting agreements. On derivative contracts recorded as assets in the table below, we are exposed to the risk that our counterparties may not perform. Level 2 Derivative Assets Derivative Liabilities Gross Fair Value Balance Sheet Location Gross Fair Value Balance Sheet Location Impact of Netting Current Non- current Impact of Netting Current Non- current (in millions) (in millions) September 30, 2018 Derivative instruments $ 21 $ (20 ) $ — $ 1 $ (103 ) $ 20 $ (71 ) $ (12 ) December 31, 2017 Derivative instruments $ 33 $ (11 ) $ 18 $ 4 $ (28 ) $ 11 $ (17 ) $ — For the quarters ended September 30, 2018 and 2017 , we recorded derivative losses of $44 million and $23 million , respectively. For the nine months ended September 30, 2018 and 2017 , we recorded a derivative loss of $122 million and a derivative gain of $92 million , respectively. Derivative gains and losses on our oil, natural gas and NGLs financial derivative instruments are recorded in operating revenues in our consolidated income statements.

Property, Plant and Equipment

Property, Plant and Equipment	9 Months Ended
	Sep. 30, 2018
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Property, Plant and Equipment	Property, Plant and Equipment Oil and Natural Gas Properties . As of September 30, 2018 and December 31, 2017 , we had approximately $4.9 billion and $4.4 billion , respectively, of total property, plant, and equipment, net of accumulated depreciation, depletion and amortization on our consolidated balance sheets, substantially all of which relates to proved and unproved oil and natural gas properties. Our capitalized costs related to proved and unproved oil and natural gas properties by area were as follows: September 30, 2018 December 31, 2017 (in millions) Proved Eagle Ford $ 3,865 $ 3,219 Permian 2,831 2,705 Northeastern Utah (formerly Altamont) 1,637 1,542 Total Proved 8,333 7,466 Unproved Permian 59 66 Less accumulated depletion (3,512 ) (3,137 ) Net capitalized costs for oil and natural gas properties $ 4,880 $ 4,395 For both of the quarter and nine months ended September 30, 2018 , we recorded less than $1 million of amortization of unproved leasehold costs in exploration expense in our consolidated income statement. For the quarter and nine months ended September 30, 2017 , we recorded approximately $2 million and $4 million , respectively, of amortization of unproved leasehold costs in exploration expense in our consolidated income statement. Suspended well costs were not material as of September 30, 2018 or December 31, 2017 . We evaluate capitalized costs related to proved properties upon a triggering event (e.g., a significant continued decline in forward commodity prices) to determine if an impairment of such properties has occurred. Capitalized costs associated with unproved properties (e.g., leasehold acquisition costs associated with non-producing areas) are also assessed upon a triggering event for impairment based on estimated drilling plans and capital expenditures, which may also change relative to forward commodity prices and/or potential lease expirations. Commodity price declines may cause changes to our capital spending levels, production rates, levels of proved reserves and development plans, which may result in an impairment of the carrying value of our proved and/or unproved properties in the future. Generally, economic recovery of unproved reserves in non-producing or unproved areas is not yet supported by actual production or conclusive formation tests, but may be confirmed by continuing exploration and development activities. Our ability to retain our leases and thus, recover our non-producing leasehold costs is dependent upon a number of factors including our levels of drilling activity, which may include drilling the acreage on our own behalf or jointly with partners, or our ability to modify or extend our leases. Should commodity prices not justify sufficient capital allocation to the continued development of properties where we have non-producing leasehold costs, we could incur impairment charges of our unproved property costs. Asset Retirement Obligations. We have legal asset retirement obligations associated with the retirement of our oil and natural gas wells and related infrastructure. We settle these obligations when production on those wells is exhausted, when we no longer plan to use them or when we abandon them. We accrue these obligations when we can estimate the timing and amount of their settlement. In estimating the liability associated with our asset retirement obligations, we utilize several assumptions, including a credit-adjusted risk-free rate between 7 percent and 9 percent on a significant portion of our obligations and a projected inflation rate of 2.5 percent . Changes in estimates in the table below represent changes to the expected amount and timing of payments to settle our asset retirement obligations. Typically, these changes primarily result from obtaining new information about the timing of our obligations to plug and abandon oil and natural gas wells and the costs to do so, or reassessing our assumptions in light of changing market conditions. The net asset retirement liability as of September 30, 2018 on our consolidated balance sheet in other current and non-current liabilities and the changes in the net liability from January 1 through September 30, 2018 were as follows: 2018 (in millions) Net asset retirement liability at January 1 $ 35 Liabilities incurred 1 Accretion expense 2 Changes in estimate 3 Net asset retirement liability at September 30 $ 41 Capitalized Interest. Interest expense is reflected in our financial statements net of capitalized interest. We capitalize interest primarily on the costs associated with drilling and completing wells until production begins using a weighted average interest rate on our outstanding borrowings. Capitalized interest for the quarter and nine months ended September 30, 2018 was approximately $2 million and $4 million , respectively. Capitalized interest for the quarter and nine months ended September 30, 2017 was approximately $1 million and $3 million , respectively.

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2018
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt Listed below are our debt obligations as of the periods presented: Interest Rate September 30, 2018 December 31, 2017 (in millions) RBL credit facility - due November 23, 2021 (1) Variable $ — $ 595 Senior secured term loans: Due May 24, 2018 (2)(3) Variable — 21 Due April 30, 2019 (4) Variable 8 8 Senior secured notes: Due May 1, 2024 9.375% 1,092 — Due November 29, 2024 8.00% 500 500 Due February 15, 2025 8.00% 1,000 1,000 Due May 15, 2026 7.75% 1,000 — Senior unsecured notes: Due May 1, 2020 9.375% 246 1,200 Due September 1, 2022 7.75% 195 250 Due June 15, 2023 6.375% 362 519 Total debt 4,403 4,093 Less short-term debt, net of debt issue costs of less than $1 million (8 ) (21 ) Total long-term debt 4,395 4,072 Less debt discount and non-current portion of unamortized debt issue costs (5) (100 ) (50 ) Total long-term debt, net $ 4,295 $ 4,022 (1) Carries interest at a specified margin over LIBOR of 2.50% to 3.50% , based on borrowing utilization. (2) Issued at 99% of par and carries interest at a specified margin over LIBOR of 2.75% , with a minimum LIBOR floor of 0.75% . As of December 31, 2017 , the effective interest rate of the term loan was 4.23% . (3) In April 2018, we retired the term loan in full. (4) Carries interest at a specified margin over the LIBOR of 3.50% , with a minimum LIBOR floor of 1.00% . As of September 30, 2018 and December 31, 2017 , the effective interest rate for the term loan was 5.81% and 4.98% , respectively. (5) Includes debt discount of $44 million and less than $1 million as of September 30, 2018 and December 31, 2017, respectively, associated with our senior secured notes maturing in 2024 and unamortized debt issue costs of $64 million and $56 million as of September 30, 2018 and December 31, 2017, respectively. During the second quarter of 2018, we issued $1 billion of 7.75% senior secured notes which mature in 2026 and used the proceeds (less fees and expenses) to repay $907 million of the amounts outstanding at that time under our Reserve-Based Loan Facility (RBL Facility). In conjunction with issuing the notes, we also reduced the amount of RBL Facility commitments to $629 million , which resulted in recording a loss of $2 million reflecting the elimination of associated unamortized debt-issue costs. During the first quarter of 2018, we completed an exchange of approximately $1,147 million of our senior unsecured notes maturing in May 2020, September 2022 and June 2023 for new 9.375% senior secured notes maturing in 2024 with an aggregate principal amount of approximately $1,092 million . The exchange transaction was accounted for as a modification of debt for our senior unsecured notes maturing in May 2020 and an extinguishment of debt for our senior unsecured notes maturing in September 2022 and June 2023. In conjunction with the exchange, we incurred approximately $62 million in related fees, recording $48 million as debt discount associated with exchanging our 2020 notes and $12 million in loss on modification of debt. In addition, we recorded a net gain on extinguishment of debt in the amount of $53 million primarily associated with retiring a portion of our 2022 and 2023 notes at less than face value. In 2018 and 2017, we also repurchased additional debt as follows: Quarter ended September 30, Nine months ended September 30, 2018 2017 2018 2017 (in millions) Debt repurchased - face value (1) — 101 19 157 Cash paid — 76 10 118 Gain on extinguishment of debt (2) — 24 9 37 (1) In 2018 and 2017, repurchases were associated with 2022 and 2023 senior unsecured notes and 2020 and 2023 senior unsecured notes, respectively. (2) Includes $1 million and $2 million for the quarter and nine months ended September 30, 2017, respectively, of non-cash expense related to eliminating associated unamortized debt issue costs. In 2017, we issued $1 billion of 8.00% senior secured notes maturing in 2025, using the proceeds to repay certain senior secured term loans and notes and repay a portion of the amounts outstanding under our RBL Facility. In conjunction with these transactions, we recorded a loss on extinguishment of debt of approximately $53 million (including $30 million in non-cash expense related to eliminating associated unamortized debt issue costs and debt discounts). Reserve-based Loan Facility. We have an RBL Facility which allows us to borrow funds or issue letters of credit (LCs) up to $629 million . The RBL Facility matures in November 2021. As of September 30, 2018 , we had $610 million of capacity remaining with approximately $19 million of LCs issued and no amounts outstanding under the RBL Facility. The RBL Facility is collateralized by certain of our oil and natural gas properties and has a borrowing base subject to semi-annual redetermination. In November 2018, our RBL borrowing base was reaffirmed at $1.36 billion and total commitments remained at $629 million . Downward revisions of our oil and natural gas reserves volume and value due to declines in commodity prices, the impact of lower estimated capital spending in response to lower prices, performance revisions, or sales of assets or the incurrence of certain types of additional debt, among other items, could cause a reduction of our borrowing base in the future, and these reductions could be significant. Restrictive Provisions/Covenants. The availability of borrowings under our RBL Facility and our ability to incur additional indebtedness is subject to various financial and non-financial covenants and restrictions, including first lien debt to EBITDAX and current ratio financial covenants. First lien debt for purposes of the covenant only includes amounts borrowed under our RBL Facility. As part of our RBL Facility amendment in May 2018, we (i) extended our first lien debt to EBITDAX financial covenant and reduced the ratio to 2.25 to 1.00 and (ii) included a financial covenant for a current ratio (as defined in the RBL Facility) to be not less than 1.00 to 1.00. As of September 30, 2018 , we were in compliance with our debt covenants. Under our various debt agreements, we are limited in our ability to repurchase certain tranches of non-RBL Facility debt. Certain other covenants and restrictions, among other things, also limit or place certain conditions on our ability to incur or guarantee additional indebtedness, make restricted payments, pay dividends on equity interests, redeem, repurchase or retire equity interests or subordinated indebtedness, sell assets, make investments, create certain liens, prepay debt obligations, engage in certain transactions with affiliates, and enter into certain hedging agreements.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Matters We and our subsidiaries and affiliates are parties to various legal actions and claims that arise in the ordinary course of our business. For each matter, we evaluate the merits of the case or claim, our exposure to the matter, possible legal or settlement strategies and the likelihood of an unfavorable outcome. If we determine that an unfavorable outcome is probable and can be estimated, we establish the necessary accruals. While the outcome of our current matters cannot be predicted with certainty and there are still uncertainties related to the costs we may incur, based upon our evaluation and experience to date, we believe we have established appropriate reserves for these matters. It is possible, however, that new information or future developments could require us to reassess our potential exposure and adjust our accruals accordingly, and these adjustments could be material. As of September 30, 2018 , we had approximately $5 million accrued for all outstanding legal matters. FairfieldNodal v. EP Energy E&P Company , L.P. On March 3, 2014, Fairfield filed suit against one of our subsidiaries in the 157th District Court of Harris County, Texas, claiming we were contractually obligated to pay a transfer fee of approximately $21 million for seismic licensing, triggered by a change in control with the Sponsors’ (affiliates of Apollo Global Management LLC, Riverstone Holdings LLC, Access Industries and Korea National Oil Corporation, collectively, the Sponsors) acquisition of our predecessor entity in 2012. Prior to the change in control, we had unilaterally terminated the seismic licensing agreements, and we returned the applicable seismic data. Fairfield also claimed EP Energy did not properly maintain the confidentiality of the seismic data and interpretations made from it. In April 2015, the district court granted summary judgment to EP Energy, and Fairfield then appealed. On July 6, 2017, an intermediate court of appeals in Texas reversed the judgment related to the transfer fee and denied rehearing on October 5, 2017. We filed a petition for review in the Texas Supreme Court in December 2017, and the court has ordered briefing on the merits. At this time, we are unable to estimate the amount or range of possible loss, if any, on this matter. Weyerhaeuser Company v. Pardee Minerals LLC, et al. On July 5, 2017, Weyerhaeuser filed suit against one of our subsidiaries, among other defendants, in the United States District Court for the Western District of Louisiana. Weyerhaeuser seeks to recoup the value of production after November 2006 (approximately $15.6 million ) plus judicial interest (approximately $7.8 million at this time) from certain wells drilled by EP Energy between 2002 and 2013 on leases Weyerhaeuser claims were invalid. Weyerhaeuser alleges that lessees prior to EP Energy had not drilled wells in good faith to perpetuate the associated mineral servitude (rights conveyed to produce minerals), rendering EP Energy’s subsequent lease invalid. A trial date has been set for May 13, 2019. At this time, we are unable to estimate the amount or range of possible loss, if any, on this matter. Indemnifications and Other Matters. We periodically enter into indemnification arrangements as part of the divestiture of assets or businesses. These arrangements include, but are not limited to, indemnifications for income taxes, the resolution of existing disputes, environmental and other contingent matters. In addition, under various laws or regulations, we could be subject to the imposition of certain liabilities. For example, the decline in commodity prices has created an environment where there is an increased risk that owners and/or operators of assets previously purchased from us may no longer be able to satisfy plugging and abandonment obligations that attach to such assets. In that event, under various laws or regulations, we could be required to assume all, or a portion of the plugging or abandonment obligations on assets we no longer own or operate. As of September 30, 2018 , we had approximately $4 million accrued related to these indemnifications and other matters. Non-Income Tax Matters. We are under a number of examinations by taxing authorities related to non-income tax matters. As of September 30, 2018 , we had approximately $43 million accrued (in other accrued liabilities in our consolidated balance sheet) in connection with ongoing examinations related to certain prior period non-income tax matters. Environmental Matters We are subject to existing federal, state and local laws and regulations governing environmental quality, pollution control and greenhouse gas (GHG) emissions. Numerous governmental agencies, such as the Environmental Protection Agency (EPA), issue regulations which often require difficult and costly compliance measures that carry substantial administrative, civil and criminal penalties and may result in injunctive obligations for non-compliance. Our management believes that we are in substantial compliance with applicable environmental laws and regulations, and we have not experienced any material adverse effect from compliance with these environmental requirements. For additional details on certain environmental matters, including matters related to climate change, air quality and other emissions, hydraulic fracturing regulations and waste handling, refer to the Risk Factors section of our 2017 Annual Report on Form 10-K. While our reserves for environmental matters are currently not material, there are still uncertainties related to the ultimate costs we may incur in the future in order to comply with increasingly strict environmental laws, regulations, and orders of regulatory agencies, as well as claims for damages to property and the environment or injuries to employees and other persons resulting from our current or past operations. Based upon our evaluation and experience to date, however, we believe our accruals for these matters are adequate. It is possible that new information or future developments could result in substantial additional costs and liabilities which could require us to reassess our potential exposure related to these matters and to adjust our accruals accordingly, and these adjustments could be material.

Long-Term Incentive Compensatio

Long-Term Incentive Compensation	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Long-Term Incentive Compensation	Long-Term Incentive Compensation Our long-term incentive (LTI) programs consist of restricted stock, stock options and performance shares/units. Refer to our 2017 Annual Report on Form 10-K for further description regarding the terms and details of these awards. Restricted Stock. A summary of the changes in our non-vested restricted shares for the nine months ended September 30, 2018 is presented below: Number of Shares Weighted Average Grant Date Fair Value per Share Non-vested at December 31, 2017 5,283,986 $ 4.93 Granted 6,905,525 $ 1.94 Vested (1,891,999 ) $ 5.65 Forfeited (1,411,984 ) $ 4.27 Non-vested at September 30, 2018 8,885,528 $ 2.56 Performance Share Units. In May 2018, we granted 599,040 PSUs to certain EP Energy employees. The grant date fair value of the 2018 awards was approximately $4 million as determined by a Monte Carlo simulation, utilizing an expected volatility of approximately 90% and a risk free rate of approximately 3% . As of September 30, 2018 , we had a total of 1,501,920 PSUs outstanding. PSUs will be earned based upon the achievement of specified stock price goals over a four -year performance period and will vest over a weighted average period of five years. Our PSUs are treated as an equity award with the expense recognized on an accelerated basis over the life of the award. Performance Units. Our performance units become payable upon achievement of a level of total shareholder return and may be settled in either stock or cash at the election of the Board of Directors. These awards are treated as a liability award for accounting purposes with the expense recognized on an accelerated basis over the life of the award and fair value remeasured at each reporting period. During the nine months ended September 30, 2018 , we made no payments in connection with awards that vested and had less than $1 million accrued related to unvested outstanding performance unit awards. We record compensation expense on all of our LTI awards as general and administrative expense over the requisite service period. Pre-tax compensation expense related to all of our LTI awards (both equity and liability based), net of the impact of forfeitures, was approximately $5 million for both of the quarters ended September 30, 2018 and 2017 , and $10 million for both of the nine months ended September 30, 2018 and 2017 . Included in pre-tax compensation expense for the nine months ended September 30, 2017 was approximately $7 million of forfeitures recorded during the quarter ended March 31, 2017. As of September 30, 2018 , we had unrecognized compensation expense of $28 million . We will recognize an additional $4 million related to our outstanding awards during the remainder of 2018, $22 million over the remaining requisite service periods subsequent to 2018 and $2 million should a specified capital transaction occur and the right to such amounts become non-forfeitable.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2018
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Joint Venture. In 2017, we entered into a drilling joint venture with Wolfcamp Drillco Operating L.P. (the Investor), which is managed and controlled by an affiliate of Apollo Global Management LLC, to fund future oil and natural gas development in the Permian basin. Subsequently, Access Industries acquired an indirect minority ownership interest in the Investor and therefore is also indirectly responsible for funding a portion of the Investor’s capital commitment. The Investor agreed to fund 60 percent of the estimated drilling, completion and equipping costs in the joint venture wells, divided into two approximately $225 million investment tranches, in exchange for a 50 percent working interest. Once the Investor achieves a 12 percent internal rate of return on its invested capital in each tranche, its working interest reverts to 15 percent . We have substantially completed the planned activity in the first tranche. In April 2018, we amended the drilling joint venture to direct the second tranche investment to the Eagle Ford. The first wells in the second tranche began producing in the third quarter of 2018. We are the operator of the joint venture assets. At September 30, 2018 and December 31, 2017, we had accounts receivable of $46 million and $5 million , respectively, from our Investor and accounts payable of $13 million and $10 million , respectively, to our Investor reflected in our consolidated balance sheet.

Basis of Presentation and Sig_2

Basis of Presentation and Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation We prepared this Quarterly Report on Form 10-Q under the rules and regulations of the United States Securities and Exchange Commission (SEC) and in accordance with United States generally accepted accounting principles (U.S. GAAP) as it applies to interim financial statements. Because this is an interim period report presented using a condensed format, it does not include all of the disclosures required by U.S. GAAP and should be read along with our 2017 Annual Report on Form 10-K. The condensed consolidated financial statements as of September 30, 2018 and 2017 are unaudited. The consolidated balance sheet as of December 31, 2017 has been derived from the audited consolidated balance sheet included in our 2017 Annual Report on Form 10-K. In our opinion, all adjustments which are of a normal, recurring nature are reflected to fairly present these interim period results. The results for any interim period are not necessarily indicative of the expected results for the entire year.
Significant Accounting Policies and New Accounting Pronouncements Issued But Not Yet Adopted	Significant Accounting Policies In the first quarter of 2018, we adopted Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, which clarifies the principles for recognizing revenue and develops a common revenue standard for U.S. GAAP and International Financial Reporting Standards. As permitted under ASU No. 2014-09, we elected to utilize the modified retrospective approach, which did not have a material impact on our financial statements. There were no other changes in significant accounting policies as described in the 2017 Annual Report on Form 10-K . New Accounting Pronouncements Issued But Not Yet Adopted The following accounting standards have been issued but not yet adopted as of September 30, 2018 . Leases. In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases, which requires lessees to recognize right-of-use assets and liabilities on the balance sheet and disclose key information about leasing arrangements. Adoption of this standard is required beginning in the first quarter of 2019 and we anticipate adopting this standard on a modified retrospective basis, recognizing a cumulative-effect adjustment to the opening balance of retained earnings, if any, upon adoption. In addition, we plan to make certain permitted elections upon adoption around lease classification of contracts and land easements existing prior to the adoption date and not recognizing short-term leases on our balance sheet. We continue to evaluate our contracts and other agreements to assess the impact this update will have on our financial statements, processes, policies and internal controls.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of carrying amounts and estimated fair values of the financial instruments	The following table presents the carrying amounts and estimated fair values of our financial instruments: September 30, 2018 December 31, 2017 Carrying Amount Fair Value Carrying Amount Fair Value (in millions) Short-term debt $ 8 $ 8 $ 21 $ 19 Long-term debt (see Note 7) $ 4,395 $ 3,808 $ 4,072 $ 3,248 Derivative instruments $ (82 ) $ (82 ) $ 5 $ 5
Schedule of fair value associated with derivative financial instruments	The following table presents the fair value associated with our derivative financial instruments as of September 30, 2018 and December 31, 2017 . All of our derivative instruments are subject to master netting arrangements, which provide for the unconditional right of offset for all derivative assets and liabilities with a given counterparty in the event of default. We present assets and liabilities related to these instruments in our consolidated balance sheets as either current or non-current assets or liabilities based on their anticipated settlement date, net of the impact of master netting agreements. On derivative contracts recorded as assets in the table below, we are exposed to the risk that our counterparties may not perform. Level 2 Derivative Assets Derivative Liabilities Gross Fair Value Balance Sheet Location Gross Fair Value Balance Sheet Location Impact of Netting Current Non- current Impact of Netting Current Non- current (in millions) (in millions) September 30, 2018 Derivative instruments $ 21 $ (20 ) $ — $ 1 $ (103 ) $ 20 $ (71 ) $ (12 ) December 31, 2017 Derivative instruments $ 33 $ (11 ) $ 18 $ 4 $ (28 ) $ 11 $ (17 ) $ —

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	9 Months Ended
	Sep. 30, 2018
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Schedule of capitalized costs of proved and unproven properties	Our capitalized costs related to proved and unproved oil and natural gas properties by area were as follows: September 30, 2018 December 31, 2017 (in millions) Proved Eagle Ford $ 3,865 $ 3,219 Permian 2,831 2,705 Northeastern Utah (formerly Altamont) 1,637 1,542 Total Proved 8,333 7,466 Unproved Permian 59 66 Less accumulated depletion (3,512 ) (3,137 ) Net capitalized costs for oil and natural gas properties $ 4,880 $ 4,395
Schedule of changes in net asset retirement liability	The net asset retirement liability as of September 30, 2018 on our consolidated balance sheet in other current and non-current liabilities and the changes in the net liability from January 1 through September 30, 2018 were as follows: 2018 (in millions) Net asset retirement liability at January 1 $ 35 Liabilities incurred 1 Accretion expense 2 Changes in estimate 3 Net asset retirement liability at September 30 $ 41

Long-Term Debt (Tables)

Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2018
Extinguishment of Debt [Line Items]
Schedule of Debt [Table Text Block]	In 2018 and 2017, we also repurchased additional debt as follows: Quarter ended September 30, Nine months ended September 30, 2018 2017 2018 2017 (in millions) Debt repurchased - face value (1) — 101 19 157 Cash paid — 76 10 118 Gain on extinguishment of debt (2) — 24 9 37 (1) In 2018 and 2017, repurchases were associated with 2022 and 2023 senior unsecured notes and 2020 and 2023 senior unsecured notes, respectively. (2) Includes $1 million and $2 million for the quarter and nine months ended September 30, 2017, respectively, of non-cash expense related to eliminating associated unamortized debt issue costs.
Schedule of debt obligations	Listed below are our debt obligations as of the periods presented: Interest Rate September 30, 2018 December 31, 2017 (in millions) RBL credit facility - due November 23, 2021 (1) Variable $ — $ 595 Senior secured term loans: Due May 24, 2018 (2)(3) Variable — 21 Due April 30, 2019 (4) Variable 8 8 Senior secured notes: Due May 1, 2024 9.375% 1,092 — Due November 29, 2024 8.00% 500 500 Due February 15, 2025 8.00% 1,000 1,000 Due May 15, 2026 7.75% 1,000 — Senior unsecured notes: Due May 1, 2020 9.375% 246 1,200 Due September 1, 2022 7.75% 195 250 Due June 15, 2023 6.375% 362 519 Total debt 4,403 4,093 Less short-term debt, net of debt issue costs of less than $1 million (8 ) (21 ) Total long-term debt 4,395 4,072 Less debt discount and non-current portion of unamortized debt issue costs (5) (100 ) (50 ) Total long-term debt, net $ 4,295 $ 4,022 (1) Carries interest at a specified margin over LIBOR of 2.50% to 3.50% , based on borrowing utilization. (2) Issued at 99% of par and carries interest at a specified margin over LIBOR of 2.75% , with a minimum LIBOR floor of 0.75% . As of December 31, 2017 , the effective interest rate of the term loan was 4.23% . (3) In April 2018, we retired the term loan in full. (4) Carries interest at a specified margin over the LIBOR of 3.50% , with a minimum LIBOR floor of 1.00% . As of September 30, 2018 and December 31, 2017 , the effective interest rate for the term loan was 5.81% and 4.98% , respectively. (5) Includes debt discount of $44 million and less than $1 million as of September 30, 2018 and December 31, 2017, respectively, associated with our senior secured notes maturing in 2024 and unamortized debt issue costs of $64 million and $56 million as of September 30, 2018 and December 31, 2017, respectively.

Long-Term Incentive Compensat_2

Long-Term Incentive Compensation (Tables)	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of changes in non-vested restricted shares	A summary of the changes in our non-vested restricted shares for the nine months ended September 30, 2018 is presented below: Number of Shares Weighted Average Grant Date Fair Value per Share Non-vested at December 31, 2017 5,283,986 $ 4.93 Granted 6,905,525 $ 1.94 Vested (1,891,999 ) $ 5.65 Forfeited (1,411,984 ) $ 4.27 Non-vested at September 30, 2018 8,885,528 $ 2.56

Acquisitions and Divestitures (

Acquisitions and Divestitures (Details) - USD ($) $ in Millions	1 Months Ended		3 Months Ended	9 Months Ended
	Jan. 31, 2018	Dec. 31, 2017	Mar. 31, 2018	Sep. 30, 2018	Sep. 30, 2017
Property, Plant and Equipment [Line Items]
Payments upon closing				$ 275	$ 29
Altamont
Property, Plant and Equipment [Line Items]
Sale price of assets			$ 177
Deposit received related to divestiture		$ 18
Additional cash proceeds			$ 159
Producing Propereties and Undeveloped Acreage
Property, Plant and Equipment [Line Items]
Purchase price	$ 246			$ 31
Payments upon closing	$ 221
Deposit paid in advance of acquisition		$ 25

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Income Tax Disclosure [Abstract]
Effective tax rate	0.00%	4.00%	0.00%	6.00%
Deferred income tax (expense) benefit	$ 10	$ 24	$ 18	$ 36
Valuation allowance against net deferred tax assets	$ 662		662
Federal and state refunds received			$ 9

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of carrying amounts and estimated fair values of the financial instruments (Details) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Carrying amounts and estimated fair values of financial instruments
Long-term debt (see Note 7)	$ 4,395	$ 4,072
Carrying Amount
Carrying amounts and estimated fair values of financial instruments
Short-term debt	8	21
Long-term debt (see Note 7)	4,395	4,072
Derivative instruments	(82)	5
Fair Value
Carrying amounts and estimated fair values of financial instruments
Short-term debt	8	19
Long-term debt (see Note 7)	3,808	3,248
Derivative instruments	$ (82)	$ 5

Fair Value Measurements - Narra

Fair Value Measurements - Narrative (Details) TBTU in Thousands, MMGal in Millions, $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2018USD ($)contract	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)TBTUcontractMMGalMMBbls	Sep. 30, 2017USD ($)	Dec. 31, 2017TBTUMMGalMMBbls
Credit Derivatives [Line Items]
Number of derivative contracts designated as accounting hedges | contract	0		0
Gain (loss) on derivative instruments | $	$ (44)	$ (23)	$ (122)	$ 92
Oil Derivative | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Volume notional amount | MMBbls			13		14
Oil Derivative | 2018 Fixed Price Swaps | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Volume notional amount | MMBbls			4
Oil Derivative | 2019 Fixed Price Swaps | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Volume notional amount | MMBbls			9
Natural Gas Derivative | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Energy notional amount in custom measurement | TBTU			14		33
Natural Gas Derivative | 2018 Fixed Price Swaps | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Energy notional amount in custom measurement | TBTU			7
Natural Gas Derivative | 2019 Fixed Price Swaps | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Energy notional amount in custom measurement | TBTU			7
Ethane and Propane Derivative | Derivatives not designated as accounting hedges
Credit Derivatives [Line Items]
Volume in custom measurement | MMGal			23		92

Fair Value Measurements - Sch_2

Fair Value Measurements - Schedule of fair value associated with derivative financial instruments (Details) - Level 2 - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Derivative Assets
Gross Fair Value	$ 21	$ 33
Impact of Netting	(20)	(11)
Derivative Liabilities
Gross Fair Value	(103)	(28)
Impact of Netting	20	11
Current assets
Derivative Assets
Derivatives instruments	0	18
Non-current assets
Derivative Assets
Derivatives instruments	1	4
Current liabilities
Derivative Liabilities
Derivatives instruments	(71)	(17)
Non-current liabilities
Derivative Liabilities
Derivatives instruments	$ (12)	$ 0

Property, Plant and Equipment -

Property, Plant and Equipment - Narrative (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Dec. 31, 2017USD ($)
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Total property, plant and equipment, net	$ 4,913		$ 4,913		$ 4,422
Amortization of unproved leasehold costs (less than for 2018)	1	$ 2	$ 1	$ 4
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Projected inflation rate			2.50%
Capitalized Interest
Capitalized interest	$ 2	$ 1	$ 4	$ 3
Risk-Free Interest Rate | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Credit-adjusted risk-free rate	0.07		0.07
Risk-Free Interest Rate | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Credit-adjusted risk-free rate	0.09		0.09

Property, Plant and Equipment_2

Property, Plant and Equipment - Proved and Unproved Capitalized Costs (Details) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Proved	$ 8,333	$ 7,466
Less accumulated depletion	(3,512)	(3,137)
Net capitalized costs for oil and natural gas properties	4,880	4,395
Eagle Ford
Property, Plant and Equipment [Line Items]
Proved	3,865	3,219
Permian
Property, Plant and Equipment [Line Items]
Proved	2,831	2,705
Unproved	59	66
Altamont
Property, Plant and Equipment [Line Items]
Proved	$ 1,637	$ 1,542

Property, Plant and Equipment_3

Property, Plant and Equipment - Changes in Net Asset Retirement Obligations (Details) $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)
Changes in net asset retirement liability
Net asset retirement liability at beginning of period	$ 35
Liabilities incurred	1
Accretion expense	2
Changes in estimate	3
Net asset retirement liability at end of period	$ 41

Long-Term Debt - Schedule of De

Long-Term Debt - Schedule of Debt Obligations (Details) - USD ($)	9 Months Ended
	Sep. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017
Debt Instrument [Line Items]
Total debt	$ 4,403,000,000		$ 4,093,000,000
Less short-term debt, net of debt issue costs of less than $1 million	(8,000,000)		(21,000,000)
Total long-term debt	4,395,000,000		4,072,000,000
Less debt discount and non-current portion of unamortized debt issue costs	(100,000,000)		(50,000,000)
Total long-term debt, net	4,295,000,000		4,022,000,000
Debt issue costs (less than)	1,000,000		1,000,000
Senior Secured Term Loans Due May 24, 2018
Debt Instrument [Line Items]
Total debt	$ 0		$ 21,000,000
Debt instrument issuance as a percentage of par value	99.00%
Effective interest rate			4.23%
Senior Secured Term Loans Due May 24, 2018 | LIBOR
Debt Instrument [Line Items]
Specified margin on reference rate	2.75%
Senior Secured Term Loans Due May 24, 2018 | LIBOR | Minimum
Debt Instrument [Line Items]
Floor on variable rate	0.75%
Senior Secured Term Loans Due April 30, 2019
Debt Instrument [Line Items]
Total debt	$ 8,000,000		$ 8,000,000
Effective interest rate	5.81%		4.98%
Senior Secured Term Loans Due April 30, 2019 | LIBOR
Debt Instrument [Line Items]
Specified margin on reference rate	3.50%
Senior Secured Term Loans Due April 30, 2019 | LIBOR | Minimum
Debt Instrument [Line Items]
Floor on variable rate	1.00%
Senior Secured Notes Due May 1, 2024
Debt Instrument [Line Items]
Interest Rate	9.375%	9.375%
Total debt	$ 1,092,000,000		$ 0
Senior Secured Notes Due November 29, 2024
Debt Instrument [Line Items]
Interest Rate	8.00%
Total debt	$ 500,000,000		500,000,000
Senior Secured Notes Due February 15, 2025
Debt Instrument [Line Items]
Interest Rate	8.00%
Total debt	$ 1,000,000,000		1,000,000,000	$ 1,000,000,000
Senior Secured Notes Due 15 May 2026
Debt Instrument [Line Items]
Interest Rate	7.75%
Total debt	$ 1,000,000,000		0
Senior Unsecured Notes Due May 1, 2020
Debt Instrument [Line Items]
Interest Rate	9.375%
Total debt	$ 246,000,000		1,200,000,000
Senior Unsecured Notes Due September 1, 2022
Debt Instrument [Line Items]
Interest Rate	7.75%
Total debt	$ 195,000,000		250,000,000
Senior Unsecured Notes Due June 15, 2023
Debt Instrument [Line Items]
Interest Rate	6.375%
Total debt	$ 362,000,000		519,000,000
Line of Credit | Reserve-Based Loan Facility Due November 2021
Debt Instrument [Line Items]
Total debt	$ 0		$ 595,000,000
Line of Credit | Reserve-Based Loan Facility Due November 2021 | LIBOR | Minimum
Debt Instrument [Line Items]
Specified margin on reference rate	2.50%
Line of Credit | Reserve-Based Loan Facility Due November 2021 | LIBOR | Maximum
Debt Instrument [Line Items]
Specified margin on reference rate	3.50%

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details)	1 Months Ended	3 Months Ended		9 Months Ended
	May 31, 2018USD ($)	Mar. 31, 2018USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Nov. 06, 2018USD ($)	Dec. 31, 2017USD ($)
Debt Instrument [Line Items]
Repayments and repurchases of long-term debt				$ 1,431,000,000	$ 1,484,000,000
Debt outstanding				4,295,000,000			$ 4,022,000,000
Fees/costs on debt exchange				62,000,000	0
Debt issuance costs				64,000,000			56,000,000
Debt outstanding				4,403,000,000			4,093,000,000
Unsecured Debt [Member]
Debt Instrument [Line Items]
Debt Instrument, Repurchased Face Amount			$ 101,000,000		101,000,000
Repurchased debt amount			157,000,000	19,000,000	157,000,000
Gain (loss) on extinguishment of debt			24,000,000	9,000,000	37,000,000
Repayments of debt outstanding			76,000,000	$ 10,000,000	118,000,000
Debt outstanding		$ 1,147,000,000
Write-off of previously unamortized debt issue costs and non-cash expense related to eliminating associated unamortized debt issue costs and debt discounts			1,000,000		2,000,000
Senior Unsecured Notes Due September 1, 2022
Debt Instrument [Line Items]
Stated interest rate				7.75%
Debt outstanding				$ 195,000,000			250,000,000
Senior Unsecured Notes Due June 15, 2023
Debt Instrument [Line Items]
Stated interest rate				6.375%
Debt outstanding				$ 362,000,000			519,000,000
Senior Secured Notes Due May 1, 2024
Debt Instrument [Line Items]
Gain (loss) on extinguishment of debt		53,000,000
Face amount of debt instrument		$ 1,092,000,000
Stated interest rate		9.375%		9.375%
Fees/costs on debt exchange		$ 62,000,000
Debt discount		48,000,000
Loss on modification of debt		$ 12,000,000
Debt outstanding				$ 1,092,000,000			0
Senior Secured Notes Due February 15, 2025
Debt Instrument [Line Items]
Gain (loss) on extinguishment of debt					(53,000,000)
Stated interest rate				8.00%
Write-off of previously unamortized debt issue costs and non-cash expense related to eliminating associated unamortized debt issue costs and debt discounts					30,000,000
Debt outstanding			$ 1,000,000,000	$ 1,000,000,000	$ 1,000,000,000		1,000,000,000
Senior Secured Notes Due 2024
Debt Instrument [Line Items]
Debt discount				44,000,000			1,000,000
Line of Credit
Debt Instrument [Line Items]
Remaining capacity				610,000,000
Letters of credit issued				19,000,000
Senior Secured Notes Due 15 May 2026 | Senior Notes
Debt Instrument [Line Items]
Face amount of debt instrument	$ 1,000,000,000
Stated interest rate	7.75%
Line of Credit | Reserve-Based Loan Facility Due November 2021
Debt Instrument [Line Items]
Gain (loss) on extinguishment of debt	$ (2,000,000)
Repayments of debt outstanding	907,000,000
Maximum borrowing capacity	$ 629,000,000			629,000,000
Debt outstanding				$ 0			$ 595,000,000
First lien debt to EBITDAX ratio	2.25
Current ratio	1
Subsequent Event [Member] | Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity						$ 1,360,000,000

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Millions	Jul. 05, 2017	Mar. 03, 2014	Sep. 30, 2018
Legal Matters
Legal Matters
Amount accrued			$ 5
FairfieldNodal v. EP Energy E&P, Company L.P.
Legal Matters
Damages sought		$ 21
Weyerhauser Company v. Pardee Minerals LLC, Value of Production
Legal Matters
Damages sought	$ 15.6
Weyerhauser Company v. Pardee Minerals LLC, Judicial Interest
Legal Matters
Damages sought	$ 7.8
Indemnification and Other Matters
Legal Matters
Amount accrued			4
Sales and Use Tax Adjustment
Legal Matters
Amount accrued in connection with ongoing examinations related to certain prior period non-income tax matters			$ 43

Long-Term Incentive Compensat_3

Long-Term Incentive Compensation - Summary of Changes in Non-Vested Restricted Shares (Details) - Restricted stock	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Number of Shares
Non-vested at beginning of period (in shares) | shares	5,283,986
Granted (in shares) | shares	6,905,525
Vested (in shares) | shares	(1,891,999)
Forfeited (in shares) | shares	(1,411,984)
Non-vested at end of period (in shares) | shares	8,885,528
Weighted Average Grant Date Fair Value per Share
Non-vested at beginning of period (in dollars per share) | $ / shares	$ 4.93
Granted (in dollars per share) | $ / shares	1.94
Vested (in dollars per share) | $ / shares	5.65
Forfeitures (in dollars per share) | $ / shares	4.27
Non-vested at end of period (in dollars per share) | $ / shares	$ 2.56

Long-Term Incentive Compensat_4

Long-Term Incentive Compensation - Narrative (Details) - USD ($)	1 Months Ended	3 Months Ended			9 Months Ended
	May 31, 2018	Sep. 30, 2018	Sep. 30, 2017	Mar. 31, 2017	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Pre-tax compensation expense related to all LTI awards, net of impact of forfeitures		$ 5,000,000	$ 5,000,000		$ 10,000,000	$ 10,000,000
Forfeitures				$ 7,000,000
Unrecognized compensation expense		28,000,000			28,000,000
Additional compensation cost to be recognized in remainder of fiscal year		4,000,000			4,000,000
Estimated compensation cost to be recognized over remaining requisite service periods		22,000,000			22,000,000
Estimated compensation cost to be recognized should a specified capital transaction occur		$ 2,000,000			$ 2,000,000
Performance Share Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	599,040
Grant date fair value of awards	$ 4,000,000
Expected volatility rate	90.00%
Risk free rate	3.00%
Number of shares outstanding (in shares)		1,501,920			1,501,920
Performance period	4 years
Weighted average vesting period	5 years
Performance Unit Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Payment made in connection with awards that vested					$ 0
Amount accrued related to unvested outstanding performance unit awards (less than)		$ 1,000,000			$ 1,000,000

Related Party Transactions (Det

Related Party Transactions (Details) $ in Millions	12 Months Ended
	Dec. 31, 2017USD ($)tranche	Sep. 30, 2018USD ($)
Related Party Transaction [Line Items]
Other Receivables, Net, Current	$ 13	$ 56
Accounts Payable, Other, Current	$ 158	158
Percent Investor agreed to fund	60.00%
Number of investment tranches | tranche	2
Amount of capital from Investor per investment tranche	$ 225
Percent of working interest exchanged	50.00%
Internal rate of return on capital percent	12.00%
Percent of working interest Investor will revert to once internal rate of return is achieved in each tranche	15.00%
Investor [Member]
Related Party Transaction [Line Items]
Other Receivables, Net, Current	$ 5	46
Accounts Payable, Other, Current	$ 10	$ 13