Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 05, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | EXCO RESOURCES INC | |
Entity Central Index Key | 316,300 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 283,412,228 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 32,029 | $ 9,068 |
Restricted cash | 15,595 | 11,150 |
Accounts receivable, net: | ||
Oil and natural gas | 32,323 | 52,674 |
Joint interest | 20,435 | 25,905 |
Other | 4,300 | 3,813 |
Derivative financial instruments - commodity derivatives | 1,012 | 0 |
Inventory and other | 7,131 | 8,007 |
Total current assets | 112,825 | 110,617 |
Equity investments | 24,682 | 24,365 |
Oil and natural gas properties (full cost accounting method): | ||
Unproved oil and natural gas properties and development costs not being amortized | 101,944 | 97,080 |
Proved developed and undeveloped oil and natural gas properties | 2,953,279 | 2,939,923 |
Accumulated depletion | (2,713,447) | (2,702,245) |
Oil and natural gas properties, net | 341,776 | 334,758 |
Other property and equipment, net | 23,405 | 23,661 |
Deferred financing costs, net | 4,205 | 4,376 |
Derivative financial instruments - commodity derivatives | 662 | 482 |
Goodwill | 163,155 | 163,155 |
Total assets | 670,710 | 661,414 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 48,927 | 54,762 |
Revenues and royalties payable | 105,995 | 120,845 |
Accrued interest payable | 6,575 | 4,701 |
Current portion of asset retirement obligations | 344 | 344 |
Income taxes payable | 0 | 0 |
Derivative financial instruments - commodity derivatives | 9,376 | 27,711 |
Current maturities of long-term debt | 50,000 | 50,000 |
Total current liabilities | 221,217 | 258,363 |
Long-term debt | 1,142,782 | 1,258,538 |
Deferred income taxes | 3,830 | 2,802 |
Derivative financial instruments - commodity derivatives | 0 | 464 |
Derivative financial instruments - common share warrants | 155,136 | 0 |
Asset retirement obligations and other long-term liabilities | 13,188 | 13,153 |
Shareholders’ equity: | ||
Common shares, $0.001 par value; 780,000,000 authorized shares; 284,006,891 shares issued and 283,412,228 shares outstanding at March 31, 2017; 283,568,268 shares issued and 282,973,605 shares outstanding at December 31, 2016 | 284 | 284 |
Additional paid-in capital | 3,536,085 | 3,537,815 |
Accumulated deficit | (4,394,180) | (4,402,373) |
Treasury shares, at cost; 594,663 shares at March 31, 2017 and December 31, 2016 | (7,632) | (7,632) |
Total shareholders' equity | (865,443) | (871,906) |
Total liabilities and shareholders' equity | $ 670,710 | $ 661,414 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, authorized shares | 780,000,000 | 780,000,000 |
Common stock, shares issued | 284,006,891 | 283,568,268 |
Common stock, shares outstanding | 283,412,228 | 282,973,605 |
Treasury stock, shares | 594,663 | 594,663 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues: | ||
Oil | $ 16,192 | $ 15,483 |
Natural gas | 53,164 | 36,166 |
Purchased natural gas and marketing | 7,173 | 4,441 |
Total revenues | 76,529 | 56,090 |
Costs and expenses: | ||
Oil and natural gas operating costs | 8,498 | 9,478 |
Production and ad valorem taxes | 3,435 | 4,640 |
Gathering and transportation | 27,353 | 25,105 |
Purchased natural gas | 6,452 | 5,966 |
Depletion, depreciation and amortization | 11,508 | 29,001 |
Impairment of oil and natural gas properties | 0 | 134,599 |
Accretion of discount on asset retirement obligations | 212 | 912 |
General and administrative | 4,415 | 10,897 |
Other operating items | 1,069 | 190 |
Total costs and expenses | 62,942 | 220,788 |
Operating income (loss) | 13,587 | (164,698) |
Other income (expense): | ||
Interest expense, net | (19,952) | (19,257) |
Gain on derivative financial instruments - commodity derivatives | 15,533 | 16,591 |
Gain on derivative financial instruments - common share warrants | 6,004 | 0 |
Gain (loss) on restructuring and extinguishment of debt | (6,272) | 45,114 |
Other income | 4 | 12 |
Equity income (loss) | 317 | (7,910) |
Total other income (expense) | (4,366) | 34,550 |
Income (loss) before income taxes | 9,221 | (130,148) |
Income tax expense | 1,028 | 0 |
Net income (loss) | $ 8,193 | $ (130,148) |
Basic: | ||
Net income (loss) (in dollars per share) | $ 0.03 | $ (0.47) |
Weighted average common shares outstanding | 280,727 | 278,357 |
Diluted: | ||
Net income (loss) (in dollars per share) | $ 0.03 | $ (0.47) |
Weighted average common shares and common share equivalents outstanding | 281,078 | 278,357 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Activities: | ||
Net income (loss) | $ 8,193 | $ (130,148) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Deferred income tax expense | 1,028 | 0 |
Depletion, depreciation and amortization | 11,508 | 29,001 |
Equity-based compensation | (2,382) | 3,813 |
Accretion of discount on asset retirement obligations | 212 | 912 |
Impairment of oil and natural gas properties | 0 | 134,599 |
(Gain) loss from equity investments | (317) | 7,910 |
Gain on derivative financial instruments - commodity derivatives | (15,533) | (16,591) |
Cash receipts (payments) of commodity derivative financial instruments | (4,459) | 16,790 |
Gain on derivative financial instruments - common share warrants | (6,004) | 0 |
Amortization of deferred financing costs and discount on debt issuance | 4,402 | 3,121 |
Other non-operating items | (21) | (20) |
(Gain) loss on restructuring and extinguishment of debt | 6,272 | (45,114) |
Effect of changes in: | ||
Restricted cash with related party | 0 | (1,201) |
Accounts receivable | 24,431 | 38,295 |
Other current assets | 772 | (102) |
Accounts payable and other current liabilities | (22,906) | (13,284) |
Net cash provided by operating activities | 5,196 | 27,981 |
Investing Activities: | ||
Additions to oil and natural gas properties, gathering assets and equipment | (11,857) | (32,486) |
Restricted cash | (4,445) | (5,184) |
Net changes in amounts due to joint ventures | (3,723) | 1,001 |
Net cash used in investing activities | (20,025) | (36,669) |
Financing Activities: | ||
Borrowings under EXCO Resources Credit Agreement | 25,000 | 297,897 |
Repayments under EXCO Resources Credit Agreement | (253,592) | (232,397) |
Proceeds received from issuance of 1.5 Lien Notes, net | 295,530 | 0 |
Payments on Exchange Term Loan | (10,512) | (12,639) |
Repurchases of senior unsecured notes | 0 | (7,863) |
Debt financing costs and other | (18,636) | (2,341) |
Net cash provided by financing activities | 37,790 | 42,657 |
Net increase in cash | 22,961 | 33,969 |
Cash at beginning of period | 9,068 | 12,247 |
Cash at end of period | 32,029 | 46,216 |
Supplemental Cash Flow Information: | ||
Cash interest payments | 14,778 | 15,583 |
Income tax payments | 0 | 0 |
Supplemental non-cash investing and financing activities: | ||
Capitalized equity-based compensation | 356 | 260 |
Capitalized interest | $ 1,290 | $ 1,339 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Treasury Stock | Additional paid-in capital | Accumulated deficit |
Beginning Balance (in shares) at Dec. 31, 2015 | 283,634 | (595) | |||
Beginning Balance at Dec. 31, 2015 | $ (662,323) | $ 276 | $ (7,632) | $ 3,522,153 | $ (4,177,120) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Equity-based compensation | 4,458 | 4,458 | |||
Restricted stock issued, net of cancellations (in shares) | 337 | ||||
Restricted stock issued, net of cancellations | 0 | $ 0 | |||
Common stock dividends | 7 | 7 | |||
Net income (loss) | (130,148) | (130,148) | |||
Ending Balance at Mar. 31, 2016 | (788,006) | $ 276 | $ (7,632) | 3,526,611 | (4,307,261) |
Ending Balance (in shares) at Mar. 31, 2016 | 283,971 | (595) | |||
Beginning Balance (in shares) at Dec. 31, 2016 | 283,568 | (595) | |||
Beginning Balance at Dec. 31, 2016 | (871,906) | $ 284 | $ (7,632) | 3,537,815 | (4,402,373) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Equity-based compensation | (1,730) | (1,730) | |||
Restricted stock issued, net of cancellations (in shares) | 439 | ||||
Restricted stock issued, net of cancellations | 0 | $ 0 | |||
Net income (loss) | 8,193 | 8,193 | |||
Ending Balance at Mar. 31, 2017 | $ (865,443) | $ 284 | $ (7,632) | $ 3,536,085 | $ (4,394,180) |
Ending Balance (in shares) at Mar. 31, 2017 | 284,007 | (595) |
Organization And Basis Of Prese
Organization And Basis Of Presentation | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and basis of presentation | Organization and basis of presentation Unless the context requires otherwise, references in this Quarterly Report on Form 10-Q to “EXCO,” “EXCO Resources,” “Company,” “we,” “us,” and “our” are to EXCO Resources, Inc. and its consolidated subsidiaries. We are an independent oil and natural gas company engaged in the exploration, exploitation, acquisition, development and production of onshore U.S. oil and natural gas properties with a focus on shale resource plays. Our principal operations are conducted in certain key U.S. oil and natural gas areas including Texas, Louisiana and the Appalachia region. The following is a brief discussion of our producing regions. • East Texas and North Louisiana The East Texas and North Louisiana regions are primarily comprised of our Haynesville and Bossier shale assets. We have a joint venture with a wholly owned subsidiary of Royal Dutch Shell, plc, ("Shell") covering an undivided 50% interest in the majority of our Haynesville and Bossier shale assets in East Texas and North Louisiana. The East Texas and North Louisiana regions also include certain assets outside of the joint venture in the Haynesville and Bossier shales. We serve as the operator for most of our properties in the East Texas and North Louisiana regions. • South Texas The South Texas region is primarily comprised of our Eagle Ford shale assets. We serve as the operator for most of our properties in the South Texas region. On April 7, 2017 , we entered into a definitive agreement with a subsidiary of Venado Oil and Gas, LLC ("Venado") to divest our oil and natural gas properties and surface acreage in South Texas. See "Note 12. Subsequent events" for additional discussion of this divestiture. • Appalachia The Appalachia region is primarily comprised of Marcellus shale assets. We have a joint venture with Shell covering our Marcellus shale assets in the Appalachia region ("Appalachia JV"). EXCO and Shell each own an undivided 50% interest in the Appalachia JV and a 49.75% working interest in the Appalachia JV's properties. The remaining 0.5% working interest is held by a jointly owned operating entity ("OPCO") that operates the Appalachia JV's properties. We own a 50% interest in OPCO. The accompanying Condensed Consolidated Balance Sheets as of March 31, 2017 and December 31, 2016 , Condensed Consolidated Statements of Operations, Condensed Consolidated Statements of Cash Flows and Condensed Consolidated Statements of Changes in Shareholders’ Equity for the three months ended March 31, 2017 and 2016 are for EXCO and its subsidiaries. The unaudited Condensed Consolidated Financial Statements and related footnotes are presented in accordance with generally accepted accounting principles in the United States ("GAAP"). We have prepared the accompanying unaudited interim financial statements pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") and in the opinion of management, such financial statements reflect all adjustments necessary to fairly present the consolidated financial position of EXCO at March 31, 2017 and its results of operations and cash flows for the periods presented. We have omitted certain information and disclosures normally included in annual financial statements prepared in accordance with GAAP pursuant to those rules and regulations, although we believe that the disclosures we have made are adequate to make the information presented not misleading. These unaudited interim financial statements should be read in conjunction with our audited consolidated financial statements and related footnotes included in EXCO's Annual Report on Form 10-K for the year ended December 31, 2016 , filed with the SEC on March 16, 2017 ("2016 Form 10-K"). In preparing the accompanying financial statements, management has made certain estimates and assumptions that affect reported amounts in the financial statements and disclosures. The results of operations for the interim periods are not necessarily indicative of the results we expect for the full year. Going Concern Assessment and Management’s Plans These unaudited Condensed Consolidated Financial Statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities and other commitments in the normal course of business. Our liquidity and ability to maintain compliance with debt covenants have been negatively impacted by the prolonged depressed oil and natural gas price environment, levels of indebtedness, and gathering, transportation and certain other commercial contracts. We define liquidity as cash and restricted cash plus the unused borrowing base under our credit agreement ("Liquidity"). On March 15, 2017, we closed a series of transactions intended to improve our Liquidity and capital structure. This included the issuance of $300.0 million in aggregate principal amount of senior secured 1.5 lien notes due March 20, 2022 ("1.5 Lien Notes"), exchange of $682.8 million in aggregate principal amount of our senior secured second lien term loans due October 26, 2020 ("Second Lien Term Loans") for a like amount of senior 1.75 lien term loans due October 26, 2020 ("1.75 Lien Term Loans," and such exchange, the "Second Lien Term Loan Exchange") and issuance of warrants to purchase our common shares. Other than set forth below, under the terms of the indenture governing the 1.5 Lien Notes and the credit agreement governing the 1.75 Lien Term Loans, we may, at our discretion prior to December 31, 2018 and subject to certain limitations thereafter, make interest payments in cash, common shares or additional indebtedness (such interest payments in common shares or additional indebtedness, "PIK Payments"). The proceeds from the issuance of the 1.5 Lien Notes were primarily utilized to repay the outstanding indebtedness under our revolving credit agreement ("EXCO Resources Credit Agreement"). In connection with these transactions, the EXCO Resources Credit Agreement was amended to reduce the borrowing base to $150.0 million , permit the issuance of the 1.5 Lien Notes and the exchanges of Second Lien Term Loans, and modify certain financial covenants. See further discussion of these transactions as part of "Note 7. Debt". The payment of interest in common shares on the 1.5 Lien Notes and 1.75 Lien Term Loans would improve our Liquidity and future cash flows. Our ability to pay interest in common shares is restricted until the Requisite Shareholder Approval, as defined below, is obtained. The amount of PIK Payments paid in additional 1.5 Lien Notes or 1.75 Lien Term Loans is subject to incurrence covenants within our debt agreements that limit our aggregate secured indebtedness to $1.2 billion . If we do not receive the shareholder vote to approve the issuance of common shares in connection with the 1.5 Lien Notes and 1.75 Lien Term Loans, then we may be required to pay interest in cash that would further restrict our Liquidity and ability to comply with debt covenants. Furthermore, if the Requisite Shareholder Approval is not obtained by September 30, 2017, the interest rate for cash and PIK Payments on the 1.5 Lien Notes will significantly increase. The modified covenants in the EXCO Resources Credit Agreement include a requirement for our ratio of consolidated EBITDAX to consolidated interest expense ("Interest Coverage Ratio") to exceed a minimum of 1.75 to 1.0 for the fiscal quarter ending September 30, 2017 and 2.0 to 1.0 for fiscal quarters thereafter. The definition of consolidated interest expense utilized in the Interest Coverage Ratio excludes payments in common shares or additional indebtedness on the 1.5 Lien Notes and 1.75 Lien Term Loans. The consolidated EBITDAX and consolidated interest expense utilized in this calculation are annualized beginning with the fiscal quarter ending September 30, 2017. Therefore, the receipt of the Requisite Shareholder Approval and payment of interest in common shares is essential to our ability to maintain compliance with this covenant. Furthermore, our ability to maintain compliance with other financial covenants under the EXCO Resources Credit Agreement would be negatively impacted if we are not able to pay interest in common shares. We will seek approval at our annual meeting of shareholders on May 31, 2017 to (i) permit the issuance of common shares to pay interest on the 1.5 Lien Notes and 1.75 Lien Term Loans and permit the issuance of common shares upon the exercise of the warrants associated with the 1.5 Lien Notes and 1.75 Lien Term Loans, in each case for purposes of New York Stock Exchange rules, and (ii) approve a reverse stock split at a ratio of between 1-for- 10 and 1-for- 20 , with the ratio within such range to be determined at the discretion of the Board of Directors, with a reduction in the total number of authorized common shares based on one-fifth of the reverse share split ratio (collectively referred to as "Requisite Shareholder Approval"). The issuance of common shares requires the affirmative vote of a majority of the votes cast by the holders of our outstanding common shares, and the reverse stock split requires that holders of at least two-thirds of outstanding shares approve the proposal. Certain of our related parties and members of our Board of Directors held approximately 46% of the total common shares outstanding as of March 31, 2017. The issuance of the 1.5 Lien Notes and the exchange transactions involving the 1.75 Lien Term Loans were approved by a special committee of the Board of Directors consisting of the sole disinterested member of the Board of Directors. The Board of Directors authorized and approved the transactions based on the recommendation of the special committee. However, there is no assurance that the Requisite Shareholders Approval will be obtained. Therefore, the receipt of the Requisite Shareholder Approval was deemed to be outside of our control in accordance with Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") 205-40, Going Concern and our ability to pay interest in common shares was not factored into our analysis regarding our ability to continue as a going concern. If we are not able to obtain the Requisite Shareholder Approval, it is probable that we will not meet the minimum requirement under the Interest Coverage Ratio for the twelve-month period following the date of these unaudited Condensed Consolidated Financial Statements, which could result in an event of default under the EXCO Resources Credit Agreement. We entered into an agreement to divest our oil and natural gas properties and surface acreage in South Texas on April 7, 2017 and the transaction is expected to close in early June 2017. Upon the closing of the South Texas divestiture, the borrowing base under the EXCO Resources Credit Agreement will be $100.0 million , including letters of credit, until the date of the next redetermination, which is scheduled to occur on or around November 1, 2017. The proceeds from the sale would significantly increase our Liquidity and primarily be utilized to fund the acquisition and development of oil and natural gas properties in other regions. Therefore, this would reduce the need to incur indebtedness under the EXCO Resources Credit Agreement and mitigate the impact if we are not able to comply with the debt covenants. However, no assurance can be given as to outcome or timing of the divestiture and the intent and ability of the buyer to consummate the transaction was deemed to be outside of our control in accordance with FASB ASC 205-40. Therefore, the divestiture was not factored into our analysis regarding our ability to continue as a going concern. If we are not able to comply with our debt covenants or do not have sufficient Liquidity to conduct our business operations in future periods, we may be required, but unable, to refinance all or part of our existing debt, seek covenant relief from our lenders, sell assets, incur additional indebtedness, or issue equity on terms acceptable to us, if at all, and may be required to surrender assets pursuant to the security provisions of the EXCO Resources Credit Agreement. Therefore, our ability to continue our planned principal business operations would be dependent on the actions of our lenders or obtaining additional debt and/or equity financing to repay outstanding indebtedness under the EXCO Resources Credit Agreement. These factors raise substantial doubt about our ability to continue as a going concern. If the Requisite Shareholder Approval is obtained, we may elect to pay interest on the 1.5 Lien Notes and 1.75 Lien Term Loans in common shares at our sole discretion until December 31, 2018. Upon obtaining the Requisite Shareholder Approval, we plan to pay interest on the 1.5 Lien Notes and 1.75 Lien Term Loans in common shares during this period. In addition, the expected divestiture of our assets in South Texas would further improve our Liquidity. If we obtain the Requisite Shareholder Approval or if we divest our assets in South Texas, we expect that we would have sufficient Liquidity for the twelve-month period following the date of these Condensed Consolidated Financial Statements. The accompanying unaudited Condensed Consolidated Financial Statements do not include any adjustments to reflect the possible future effects of this uncertainty on the recoverability or classification of recorded asset amounts or the amounts or classification of liabilities. |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant accounting policies | Significant accounting policies We consider significant accounting policies to be those related to our estimates of proved reserves, oil and natural gas properties, derivatives, business combinations, equity-based compensation, goodwill, revenue recognition, asset retirement obligations and income taxes. The policies include significant estimates made by management using information available at the time the estimates were made. However, these estimates could change materially if different information or assumptions were used. These policies and others are summarized in our 2016 Form 10-K. Recent accounting pronouncements In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"). The FASB and the International Accounting Standards Board ("IASB") jointly issued this comprehensive new revenue recognition standard that will supersede nearly all existing revenue recognition guidance under GAAP. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under currently applicable guidance, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. During 2016, the FASB issued four additional ASUs that primarily clarified the implementation guidance on principal versus agent considerations, performance obligations and licensing, collectability, presentation of sales taxes and other similar taxes collected from customers, and non-cash consideration. ASU 2014-09 is effective for annual and interim periods beginning after December 15, 2017 and permits the use of either the retrospective or cumulative effect transition method. We are currently assessing the impact of ASU 2014-09 and the related updates and clarifications and are performing a review of the new guidance. We intend to adopt ASU 2014-09 and the related updates for the interim and annual periods beginning after December 15, 2017. During 2017, we plan to assess our contracts and consider the method of adoption. We are currently unable to quantify the impact the standard will have on our consolidated financial condition and results of operations; however, based on our preliminary analysis, we do not believe this standard will have a material impact, if any, on our consolidated financial condition and results of operations. |
Asset Retirement Obligations
Asset Retirement Obligations | 3 Months Ended |
Mar. 31, 2017 | |
Asset Retirement Obligation [Abstract] | |
Asset retirement obligations | Asset retirement obligations The following is a reconciliation of our asset retirement obligations for the three months ended March 31, 2017 : (in thousands) Asset retirement obligations at beginning of period $ 11,289 Activity during the period: Liabilities incurred during the period 1 Liabilities settled during the period (77 ) Accretion of discount 212 Asset retirement obligations at end of period 11,425 Less current portion 344 Long-term portion $ 11,081 Our asset retirement obligations are determined using discounted cash flow methodologies based on inputs and assumptions developed by management. We do not have any assets that are legally restricted for purposes of settling asset retirement obligations. |
Oil and Natural Gas Properties
Oil and Natural Gas Properties | 3 Months Ended |
Mar. 31, 2017 | |
Oil and Gas Property [Abstract] | |
Oil and natural gas properties | Oil and natural gas properties We use the full cost method of accounting, which involves capitalizing all acquisition, exploration, exploitation and development costs of oil and natural gas properties. Once we incur costs, they are recorded in the depletable pool of proved properties or in unproved properties, collectively, the full cost pool. We review our unproved oil and natural gas property costs on a quarterly basis to assess for impairment or the need to transfer unproved costs to proved properties as a result of extensions or discoveries from drilling operations or determination that no proved reserves are attributable to such costs. The majority of our undeveloped properties are held-by-production, which reduces the risk of impairment as a result of lease expirations. There were no impairments of unproved properties during the three months ended March 31, 2017 or 2016. At the end of each quarterly period, companies that use the full cost method of accounting for their oil and natural gas properties must compute a limitation on capitalized costs ("ceiling test"). The ceiling test involves comparing the net book value of the full cost pool, after taxes, to the full cost ceiling limitation defined below. In the event the full cost ceiling limitation is less than the full cost pool, we are required to record an impairment of our oil and natural gas properties. The full cost ceiling limitation is computed as the sum of the present value of estimated future net revenues from our proved reserves by applying the average price as prescribed by the SEC, less estimated future expenditures (based on current costs) to develop and produce the proved reserves, discounted at 10% , plus the cost of properties not being amortized and the lower of cost or estimated fair value of unproved properties included in the costs being amortized, net of income tax effects. The ceiling test for each period presented was based on the following average spot prices, in each case adjusted for quality factors and regional differentials to derive estimated future net revenues. Prices presented in the table below are the trailing twelve-month simple average spot prices at the first of the month for natural gas at Henry Hub ("HH") and West Texas Intermediate ("WTI") crude oil at Cushing, Oklahoma. The fluctuations demonstrate the volatility in oil and natural gas prices between each of the periods and have a significant impact on our ceiling test limitation. Average spot prices Oil (per Bbl) Natural gas (per Mmbtu) March 31, 2017 $ 47.61 $ 2.73 December 31, 2016 42.75 2.48 We did no t recognize an impairment to our proved oil and natural gas properties for the three months ended March 31, 2017 , and we recognized an impairment to our proved oil and natural gas properties of $134.6 million for the three months ended March 31, 2016 . The impairment during 2016 was primarily due to the decline in oil and natural gas prices. The possibility and amount of any future impairments is difficult to predict, and will depend, in part, upon future oil and natural gas prices to be utilized in the ceiling test, estimates of proved reserves, future capital expenditures and operating costs. Our proved undeveloped reserves, other than the proved undeveloped reserves associated with certain wells expected to be drilled and/or completed during 2017, remained reclassified in unproved primarily due to the uncertainty regarding the financing required to develop these reserves. These reserves remained classified as unproved due to our inability to meet the reasonable certainty criteria for recording proved undeveloped reserves, as prescribed under the SEC requirements, as the uncertainty regarding our availability of capital required to develop these reserves still existed at March 31, 2017. A significant amount of our proved undeveloped reserves that were reclassified to unproved remain economic at current prices, and we may report proved undeveloped reserves in future filings if we determine we have the financial capability to execute a development plan. The evaluation of impairment of our oil and natural gas properties includes estimates of proved reserves. There are inherent uncertainties in estimating quantities of proved reserves including projecting the future rates of production and the timing of development activities. The accuracy of any reserve estimate is a function of the quality of available data, and engineering and geological interpretation and judgment. Results of drilling, testing and production subsequent to the date of the estimate may justify revisions of such estimate. Accordingly, reserve estimates often differ from the quantities of oil and natural gas that are ultimately recovered. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings (loss) per share The following table presents the basic and diluted earnings (loss) per share computations for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in thousands, except per share data) 2017 2016 Basic net income (loss) per common share: Net income (loss) $ 8,193 $ (130,148 ) Weighted average common shares outstanding 280,727 278,357 Net income (loss) per basic common share $ 0.03 $ (0.47 ) Diluted net income (loss) per common share: Net income (loss) $ 8,193 $ (130,148 ) Weighted average common shares outstanding 280,727 278,357 Dilutive effect of: Stock options — — Restricted shares and restricted share units 351 — Warrants — — Weighted average common shares and common share equivalents outstanding 281,078 278,357 Net income (loss) per diluted common share $ 0.03 $ (0.47 ) Diluted net income (loss) per common share for the three months ended March 31, 2017 and 2016 is computed in the same manner as basic net income (loss) per share after assuming the issuance of common shares for all potentially dilutive common share equivalents, which include stock options, restricted share units, restricted share awards and warrants issued to Energy Strategic Advisory Services LLC ("ESAS"), whether exercisable or not. The computation of diluted net income (loss) per share excluded 48,483,322 and 91,285,813 antidilutive share equivalents for the three months ended March 31, 2017 and 2016 , respectively. The antidilutive common share equivalents for the three months ended March 31, 2017 primarily related to out-of-the-money warrants issued to ESAS. No share and per-share amounts have been adjusted to give effect to our proposed reverse share split that will be voted upon at our annual meeting of shareholders on May 31, 2017. The issuance of warrants and potential for interest payments in the Company's common shares related to the 1.5 Lien Notes and 1.75 Lien Term Loans could materially change the number of common shares or potential common shares outstanding. The warrants issued in connection with the issuance of the 1.5 Lien Notes and 1.75 Lien Term Loans will not be included in our earnings (loss) per share calculation until the Requisite Shareholder Approval is obtained to permit the exercisability of the warrants. Once the Requisite Shareholder Approval is obtained, warrants representing the right to purchase our common shares at an exercise price of $0.01 will be included in our weighted average common shares outstanding and used in the computation of our basic net income (loss) per common share, and warrants representing the right to purchase our common shares at an exercise price of $0.93 will be considered in the calculation of diluted weighted average common shares outstanding using the treasury stock method. See further discussion of the warrants and potential common shares to be issued in connection with the 1.5 Lien Notes and 1.75 Lien Term Loans in "Note 6. Derivative Financial Instruments" and "Note 7. Debt". |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 31, 2017 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Derivative financial instruments | Derivative financial instruments Our derivative financial instruments are comprised of commodity derivatives and common share warrants. The table below outlines the classification of our derivative financial instruments on our Condensed Consolidated Balance Sheets and their financial impact on our Condensed Consolidated Statements of Operations. Fair Value of Derivative Financial Instruments (in thousands) March 31, 2017 December 31, 2016 Current assets Derivative financial instruments - commodity derivatives $ 1,012 $ — Long-term assets Derivative financial instruments - commodity derivatives 662 482 Current liabilities Derivative financial instruments - commodity derivatives (9,376 ) (27,711 ) Long-term liabilities Derivative financial instruments - commodity derivatives — (464 ) Net commodity derivative financial instruments $ (7,702 ) $ (27,693 ) Long-term liabilities Derivative financial instruments - common share warrants $ (155,136 ) $ — Effect of Derivative Financial Instruments Three Months Ended March 31, (in thousands) 2017 2016 Gain on derivative financial instruments - commodity derivatives $ 15,533 $ 16,591 Gain on derivative financial instruments - common share warrants 6,004 — Commodity derivative financial instruments Our primary objective in entering into commodity derivative financial instruments is to manage our exposure to commodity price fluctuations, protect our returns on investments and achieve a more predictable cash flow from operations. These transactions limit exposure to declines in commodity prices, but also limit the benefits we would realize if commodity prices increase. When prices for oil and natural gas are volatile, a significant portion of the effect of our commodity derivative financial instruments consists of non-cash income or expense due to changes in the fair value. Cash losses or gains only arise from payments made or received on monthly settlements of contracts or if we terminate a contract prior to its expiration. We do not designate our commodity derivative financial instruments as hedging instruments for financial accounting purposes and, as a result, we recognize the change in the respective instruments’ fair value in earnings. Settlements in the normal course of maturities of our derivative financial instrument contracts result in cash receipts from, or cash disbursements to, our derivative contract counterparties. Changes in the fair value of our derivative financial instrument contracts, which include both cash settlements and non-cash changes in fair value, are included in earnings with a corresponding increase or decrease in the Condensed Consolidated Balance Sheets fair value amounts. Our oil and natural gas derivative instruments are comprised of the following instruments: Swaps : These contracts allow us to receive a fixed price and pay a floating market price to the counterparty for the hedged commodity. Collars : A collar is a combination of options including a sold call and a purchased put. These contracts allow us to participate in the upside of commodity prices to the ceiling of the call option and provide us with downside protection through the put option. If the market price is below the strike price of the purchased put at the time of settlement then the counterparty pays us the excess. If the market price is above the strike price of the sold call at the time of settlement, we pay the counterparty the excess. These transactions were conducted contemporaneously with a single counterparty and resulted in a net cashless transaction. We place our commodity derivative financial instruments with the financial institutions that are lenders under the EXCO Resources Credit Agreement that we believe have high quality credit ratings. To mitigate our risk of loss due to default, we have entered into master netting agreements with counterparties to our commodity derivative financial instruments that allow us to offset our asset position with our liability position in the event of a default by the counterparty. Our credit rating and financial condition may restrict our ability to enter into certain types of commodity derivative financial instruments and limit the maturity of the contracts with counterparties. We have historically entered into commodity derivative financial instruments with the financial institutions that are lenders under the EXCO Resources Credit Agreement. Therefore, our ability to enter into commodity derivative financial instruments may be limited beyond the maturity of the EXCO Resources Credit Agreement in July 2018. We are currently evaluating alternatives to enter into commodity derivative financial instruments beyond this date, which may include counterparties that are not lenders under the EXCO Resources Credit Agreement. These alternatives may include agreements with counterparties on a secured or unsecured basis. If we enter into commodity derivative financial instruments that require us to post collateral, this could further constrain our Liquidity. Our derivative contracts also contain rights that could result in the early termination of our derivative contracts and cash payments to our counterparties due to an event of default under the EXCO Resources Credit Agreement. The following table presents the volumes and fair value of our commodity derivative financial instruments as of March 31, 2017 : (dollars in thousands, except prices) Volume Bbtu/Mbbl Weighted average strike price per Mmbtu/Bbl Fair value at March 31, 2017 Natural gas: Swaps: Remainder of 2017 27,500 $ 3.05 $ (6,439 ) 2018 3,650 3.15 373 Collars: Remainder of 2017 8,250 (1,421 ) Sold call 3.28 Purchased put 2.87 Total natural gas $ (7,487 ) Oil: Swaps: Remainder of 2017 137 $ 50.00 $ (215 ) Total oil $ (215 ) Total commodity derivative financial instruments $ (7,702 ) At December 31, 2016 , we had outstanding swap and collar contracts covering 41,950 and 10,950 Bbtu, respectively, of natural gas and we had outstanding swap contracts covering 183 Mbbls of oil. At March 31, 2017 , the average forward NYMEX WTI oil prices per Bbl for the remainder of 2017 were $51.63 and the average forward NYMEX HH natural gas prices per Mmbtu for the remainder of 2017 and calendar year 2018 were $3.32 and $3.04 , respectively. Our commodity derivative financial instruments covered approximately 63% and 46% of production volumes for the three months ended March 31, 2017 and 2016 , respectively. Common share warrants In connection with the issuance of the 1.5 Lien Notes, on March 15, 2017, we issued warrants to the investors of 1.5 Lien Notes representing the right to purchase an aggregate of up to 322,580,655 common shares (assuming a cash exercise) at an exercise price of $0.93 per share ("Financing Warrants"), and warrants representing the right to purchase an aggregate of up to 6,471,433 common shares (assuming a cash exercise) at an exercise price of $0.01 per share (“Commitment Fee Warrants”). In addition, certain exchanging holders of the Second Lien Term Loans received warrants representing the right to purchase an aggregate of up to 19,883,077 common shares (assuming a cash exercise) at an exercise price of $0.01 per share ("Amendment Fee Warrants", and with the Commitment Fee Warrants and Financing Warrants, collectively referred to as the "2017 Warrants"). The exercisability of the 2017 Warrants is subject to certain conditions, including the receipt of the Requisite Shareholder Approval. Each of the 2017 Warrants has an exercise term of 5 years from the date that Requisite Shareholder Approval is obtained and, subject to certain exceptions, may be exercised by cash or cashless exercise. The Financing Warrants are subject to an anti-dilution adjustment in the event we issue common shares for consideration less than the market value of our common shares or exercise price of the Financing Warrants, subject to certain adjustments and exceptions. The Commitment Fee Warrants and the Amendment Fee Warrants are subject to an anti-dilution adjustment in the event we issue common shares at a price per share less than $0.70 per share, subject to certain exceptions and adjustments. The 2017 Warrants are accounted for as derivatives in accordance with FASB ASC Topic 815, Derivatives and Hedging , ("ASC 815"), and required to be classified as liabilities due to the types of anti-dilution adjustments. We record the warrants as non-current liabilities at fair value, with the increase or decrease in fair value being recognized in earnings. The 2017 Warrants will be measured at fair value on a recurring basis until the date of exercise or the date of expiration. The 2017 Warrants had a fair value of $161.1 million at the date of issuance on March 15, 2017 and a fair value of $155.1 million on March 31, 2017. As a result, we recorded a gain of $6.0 million on revaluation of the warrants during the three months ended March 31, 2017 in " Gain on derivative financial instruments - common share warrants " on the Condensed Consolidated Statements of Operations. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2017 | |
Long-term Debt, Current and Noncurrent [Abstract] | |
Debt | Debt The carrying value of our total debt is summarized as follows: (in thousands) March 31, 2017 December 31, 2016 EXCO Resources Credit Agreement $ — $ 228,592 1.5 Lien Notes 300,000 — Unamortized discount on 1.5 Lien Notes (152,546 ) — 1.75 Lien Term Loans 855,332 — Unamortized discount on 1.75 Lien Term Loans (21,009 ) — Exchange Term Loan 24,633 590,477 Fairfax Term Loan — 300,000 2018 Notes 131,576 131,576 Unamortized discount on 2018 Notes (449 ) (520 ) 2022 Notes 70,169 70,169 Deferred financing costs, net (14,924 ) (11,756 ) Total debt 1,192,782 1,308,538 Less amounts due within one year 50,000 50,000 Total debt due after one year $ 1,142,782 $ 1,258,538 March 31, 2017 (in thousands) Carrying value Deferred reduction in carrying value Unamortized discount/deferred financing costs Principal balance EXCO Resources Credit Agreement $ — $ — $ — $ — 1.5 Lien Notes 147,454 — 152,546 300,000 1.75 Lien Term Loans 834,323 (172,578 ) 21,009 682,754 Exchange Term Loan 24,633 (7,387 ) — 17,246 2018 Notes 131,127 — 449 131,576 2022 Notes 70,169 — — 70,169 Deferred financing costs, net (14,924 ) — 14,924 — Total debt $ 1,192,782 $ (179,965 ) $ 188,928 $ 1,201,745 Terms and conditions of our debt obligations are discussed below. EXCO Resources Credit Agreement Concurrently with the issuance of the 1.5 Lien Notes and as a condition precedent thereto, on March 15, 2017, we amended the EXCO Resources Credit Agreement to, among other things, permit the issuance of the 1.5 Lien Notes and the exchanges of Second Lien Term Loans, reduce the borrowing base thereunder to $150.0 million and modify certain financial covenants. The next borrowing base redetermination for the EXCO Resources Credit Agreement is scheduled to occur on or around November 1, 2017. Upon the closing of the South Texas divestiture, the borrowing base under the EXCO Resources Credit Agreement will be reduced to $100.0 million until the date of the next redetermination. The maturity date of the EXCO Resources Credit Agreement is July 31, 2018 . The interest rate grid for the revolving commitment under the EXCO Resources Credit Agreement ranges from London Interbank Offered Rate ("LIBOR") plus 225 bps to 325 bps (or alternate base rate ("ABR") plus 125 bps to 225 bps), depending on our borrowing base usage. As of March 31, 2017 , we were in compliance with the financial covenants (defined in the EXCO Resources Credit Agreement), which required that: • our cash (as defined in the agreement) plus unused commitments under the EXCO Resources Credit Agreement cannot be less than (i) $50.0 million as of the end of a fiscal month and (ii ) $70.0 million as of the end of a fiscal quarter ("Minimum Liquidity Test"); and • our ratio of aggregate revolving credit exposure to consolidated EBITDAX ("Aggregate Revolving Credit Exposure Ratio") cannot exceed 1.2 to 1.0 as of the end of any fiscal quarter. Aggregate revolving credit exposure utilized in the Aggregate Revolving Credit Exposure Ratio includes borrowings and letters of credit under the EXCO Resources Credit Agreement. In addition, we are required to maintain a ratio of consolidated EBITDAX to consolidated interest expense (“Interest Coverage Ratio”) of at least 1.75 to 1.0 for the fiscal quarter ending September 30, 2017 and 2.0 to 1.0 for fiscal quarters thereafter. The consolidated EBITDAX and consolidated interest expense utilized in this ratio are based on the most recent fiscal quarter ended multiplied by 4.0 as of September 30, 2017, the most recent two fiscal quarters ended multiplied by 2.0 as of December 31, 2017, the most recent three fiscal quarters ended multiplied by 4/3 as of March 31, 2018, and the trailing twelve month period for fiscal quarters ending thereafter. The definition of consolidated interest expense includes cash interest payments that are accounted for as reductions in the carrying amount of indebtedness in accordance with FASB ASC 470-60, Troubled Debt Restructuring by Debtors . Consolidated interest expense is limited to payments in cash, and excludes PIK Payments on the 1.5 Lien Notes and 1.75 Lien Term Loans. 1.5 Lien Notes On March 15, 2017, we issued an aggregate of $300.0 million of 1.5 Lien Notes due March 20, 2022 to affiliates of Fairfax Financial Holdings Limited ("Fairfax"), Bluescape Resources Company LLC ("Bluescape") and Oaktree Capital Management, LP ("Oaktree"), and an unaffiliated investor. The 1.5 Lien Notes bear interest at a cash interest rate of 8% per annum, or, if we elect to make interest payments on the 1.5 Lien Notes with our common shares or, in certain circumstances, by issuing additional 1.5 Lien Notes, at an interest rate of 11% per annum. Interest is payable bi-annually on March 20 and September 20 of each year, commencing on September 20, 2017. As described in “Note 6. Derivative financial instruments,” in connection with the issuance of the 1.5 Lien Notes, we also issued the Commitment Fee Warrants and the Financing Warrants. The combined fair value of the Commitment Fee Warrants and the Financing Warrants of $148.6 million as of March 15, 2017 and $4.5 million of cash paid to certain investors who elected to receive cash in lieu of Commitment Fee Warrants was recorded as a discount to the 1.5 Lien Notes. The discount and $4.3 million of transaction costs incurred related to the transaction are being amortized to interest expense over the life of the 1.5 Lien Notes. We used the majority of the proceeds from the issuance of the 1.5 Lien Notes to repay the entire amount outstanding under the EXCO Resources Credit Agreement. 1.75 Lien Term Loans and Second Lien Term Loan Exchange During 2015, we closed a 12.5% senior secured second lien term loan with certain affiliates of Fairfax in the aggregate principal amount of $300.0 million ("Fairfax Term Loan") and a 12.5% senior secured second lien term loan with certain unsecured noteholders in the aggregate principal amount of $400.0 million (“Exchange Term Loan" and together with the Fairfax Term Loan, "Second Lien Term Loans"). The proceeds from the Exchange Term Loan were used to repurchase a portion of the outstanding senior unsecured notes due September 15, 2018 ("2018 Notes") and senior unsecured notes due April 15, 2022 ("2022 Notes") in exchange for the holders of such notes agreeing to act as lenders in connection with the Exchange Term Loan. The exchange was accounted for as a troubled debt restructuring pursuant to FASB ASC 470-60, Troubled Debt Restructuring by Debtors . The future undiscounted cash flows from the Exchange Term Loan through its maturity were less than the carrying amounts of the retired 2018 Notes and 2022 Notes. As a result, the carrying amount of the Exchange Term Loan was adjusted to equal the total undiscounted future cash payments, including interest and principal. All cash payments under the terms of the Exchange Term Loan, whether designated as interest or as principal amount, reduce the carrying amount and no interest expense is recognized. In connection with the offering of the 1.5 Lien Notes, on March 15, 2017, we completed the Second Lien Term Loan Exchange whereby approximately $682.8 million in aggregate principal amount of the outstanding Second Lien Term Loans, consisting of all of the outstanding indebtedness under the Fairfax Term Loan and approximately $382.8 million in aggregate principal amount of the Exchange Term Loan, were exchanged for approximately $682.8 million in aggregate principal amount of 1.75 Lien Term Loans. As a result of the Second Lien Term Loan Exchange, the Fairfax Term Loan was deemed satisfied and paid in full and was terminated. In addition, by participating in the Second Lien Term Loan Exchange, each exchanging lender was deemed to consent to an amendment to the Second Lien Term Loans that eliminated substantially all of the restrictive covenants and events of default in the agreements governing the Second Lien Term Loans. Following the Second Lien Term Loan Exchange, the Company has approximately $17.2 million in aggregate principal amount of Second Lien Term Loans outstanding, consisting entirely of the remaining portion of the Exchange Term Loan. The Second Lien Term Loan Exchange was accounted for as a modification of debt, and no gain or loss was recognized on the exchange. As described in “Note 6. Derivative financial instruments,” in connection with the issuance of the 1.75 Lien Term Loans, we also issued the Amendment Fee Warrants. The combined fair value of the Amendment Fee Warrants issued to the lenders of the 1.75 Lien Term Loans on March 15, 2017 of $12.6 million and $8.6 million of cash paid to the lenders who elected to receive cash in lieu of warrants was recorded as a discount to the 1.75 Lien Term Loans, and is being amortized to interest expense over the life of the loans. The transaction costs related to the Second Lien Term Loan Exchange of $6.3 million were recorded in " Gain (loss) on restructuring and extinguishment of debt " in our Condensed Consolidated Statements of Operations for the three months ended March 31, 2017. The 1.75 Lien Term Loans are due on October 26, 2020, bear interest at a cash rate of 12.5% per annum, or, if we elect to pay interest on the 1.75 Lien Term Loans with our common shares or, in certain circumstances, by issuing additional 1.75 Lien Term Loans, at an interest rate of 15.0% per annum. PIK Payments under the 1.5 Lien Notes and the 1.75 Lien Term Loans The indenture governing the 1.5 Lien Notes and the credit agreement governing the 1.75 Lien Term Loans allow us to make PIK Payments subject to certain limitations. Our ability to issue common shares for the PIK Payments is restricted until the Requisite Shareholder Approval is obtained. If the Requisite Shareholder Approval is not obtained by September 30, 2017, the cash interest on the 1.5 Lien Notes shall accrue at a rate of 15.0% per annum and the interest rate for PIK Payments shall accrue at a rate of 20.0% per annum. Further, the issuance of common shares as a PIK Payment cannot result in a beneficial owner, directly or indirectly, owning more than 50% of the outstanding common stock. Prior to December 31, 2018, provided the Requisite Shareholder Approval is obtained, we may make PIK Payments on the 1.5 Lien Notes and the 1.75 Lien Term Loans in our sole discretion. Once the Requisite Shareholder Approval is obtained, we expect to make PIK Payments on the 1.5 Lien Notes and the 1.75 Lien Term Loans throughout the remainder of 2017 and 2018. After December 31, 2018, the amount of PIK Payments we are permitted to make will depend on our level of liquidity, which, for the purposes of 1.5 Lien Notes and 1.75 Lien Term Loans, is defined as (i) the sum of (a) our unrestricted cash and cash equivalents and (b) any amounts available to be borrowed under the EXCO Resources Credit Agreement (to the extent then available) less (ii) the face amount of any letters of credit outstanding under the EXCO Resources Credit Agreement. The PIK Payment percentage after December 31, 2018 decreases from 100% to 0% as the level of liquidity increases from less than $150.0 million to greater than $225.0 million , respectively. Covenants, events of default and other material provisions under the 1.5 Lien Notes and the 1.75 Lien Term Loans The 1.5 Lien Notes and 1.75 Lien Term Loans are guaranteed by substantially all of EXCO’s subsidiaries, with the exception of certain non-guarantor subsidiaries and our jointly-held equity investments with Shell. The 1.5 Lien Notes and 1.75 Lien Term Loans are secured by second priority liens and third priority liens, respectively, on substantially all of EXCO’s assets and such guarantors. Subject to certain exceptions, the covenants under the indenture governing the 1.5 Lien Notes and the credit agreement governing the 1.75 Lien Term Loans limit our ability and the ability of our restricted subsidiaries to, among other things: • pay dividends or make other distributions or redeem or repurchase our common shares; • prepay, redeem or repurchase certain debt; • enter into agreements restricting the subsidiary guarantors’ ability to pay dividends to us or another subsidiary guarantor, make loans or advances to us or transfer assets to us; • engage in asset sales or substantially alter the business that we conduct; • enter into transactions with affiliates; • consolidate, merge or dispose of assets; • incur liens; and • enter into sale/leaseback transactions. In addition, the indenture governing the 1.5 Lien Notes includes restrictions on our ability to incur additional indebtedness, including debt under the EXCO Resources Credit Agreement in excess of $150.0 million , among other things and subject to certain restrictions. We may incur debt under the EXCO Resources Credit Agreement up to $200.0 million if we obtain consent from holders of a majority in principal amount of the 1.5 Lien Notes. The indenture governing the 1.5 Lien Notes and the credit agreement governing the 1.75 Lien Term Loans require that net cash proceeds of certain asset sales be used within one year to acquire or develop oil and natural gas properties or we must use the proceeds to repay, redeem or repurchase a portion of the EXCO Resources Credit Agreement, 1.5 Lien Notes or 1.75 Lien Term Loans. We intend to primarily use the proceeds from the sale of our assets in South Texas to fund the acquisition and development of oil and natural gas properties in other regions. In connection with the offering of the 1.5 Lien Notes and the Second Lien Term Loan Exchange, we entered into an amended and restated intercreditor agreement, under which the lenders of the remaining outstanding portion of the Exchange Term Loan agreed to subordinate their security interest in the collateral to the interests of the holders of the 1.5 Lien Notes, the 1.75 Lien Term Loans and the lenders under EXCO Resources Credit Agreement. In addition, the lenders of the 1.75 Lien Term Loans agreed to subordinate their security interest in the collateral to the interests of the holders of the 1.5 Lien Notes and the lenders under the EXCO Resources Credit Agreement, and the holders of the 1.5 Lien Notes agreed to subordinate their security interest in the collateral to the lenders under the EXCO Resources Credit Agreement. 2018 Notes The 2018 Notes are guaranteed on a senior unsecured basis by a majority of EXCO’s subsidiaries, with the exception of certain non-guarantor subsidiaries and our jointly held equity investments with Shell. Our equity investments, other than OPCO, have been designated as unrestricted subsidiaries under the indenture governing the 2018 Notes. During 2015 and 2016, we completed exchanges and a series of open market repurchases of the 2018 Notes significantly reducing the aggregate principal amount outstanding. As of March 31, 2017 , $131.6 million in principal was outstanding on the 2018 Notes. Interest accrues at 7.5% per annum and is payable semi-annually in arrears on March 15 and September 15 of each year. 2022 Notes The 2022 Notes were issued at 100.0% of the principal amount and bear interest at a rate of 8.5% per annum, payable in arrears on April 15 and October 15 of each year. During 2015 and 2016, we completed exchanges and a series of open market repurchases of the 2022 Notes significantly reducing the aggregate principal amount outstanding. As of March 31, 2017 , $70.2 million was outstanding on the 2022 Notes. The 2022 Notes rank equally in right of payment to any existing and future senior unsecured indebtedness of the Company (including the 2018 Notes) and are guaranteed on a senior unsecured basis by EXCO’s consolidated subsidiaries that are guarantors of the indebtedness under the EXCO Resources Credit Agreement. The 2022 Notes were issued under the same base indenture governing the 2018 Notes and the supplemental indenture governing the 2022 Notes contains similar covenants to those in the supplemental indenture governing the 2018 Notes. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Fair value measurements We value our derivatives and other financial instruments according to FASB ASC 820, Fair Value Measurements and Disclosures , which defines fair value as the exchange price that would be received for an asset or paid to transfer a liability ("exit price") in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. We categorize the inputs used in measuring fair value into a three-tier fair value hierarchy. These tiers include: Level 1 – Observable inputs, such as quoted market prices in active markets, for substantially identical assets and liabilities. Level 2 – Observable inputs other than quoted prices within Level 1 for similar assets and liabilities. These include quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data. If the asset or liability has a specified or contractual term, the input must be observable for substantially the full term of the asset or liability. Level 3 – Unobservable inputs that are supported by little or no market activity, generally requiring development of fair value assumptions by management. During the three months ended March 31, 2017 and 2016 there were no changes in the fair value level classifications, except that the Exchange Term Loan was reclassified to Level 3. Fair value of derivative financial instruments The following table presents a summary of the estimated fair value of our derivative financial instruments as of March 31, 2017 and December 31, 2016 . March 31, 2017 (in thousands) Level 1 Level 2 Level 3 Total Derivative financial instruments - commodity derivatives $ — $ (7,702 ) $ — $ (7,702 ) Derivative financial instruments - common share warrants — (155,136 ) — (155,136 ) December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Derivative financial instruments - commodity derivatives $ — $ (27,693 ) $ — $ (27,693 ) Derivative financial instruments - commodity derivatives We evaluate commodity derivative assets and liabilities in accordance with master netting agreements with the derivative counterparties, but report them on a gross basis in our Condensed Consolidated Balance Sheets. Net commodity derivative asset values are determined primarily by quoted futures prices and utilization of the counterparties’ credit-adjusted risk-free rate curves and net commodity derivative liabilities are determined by utilization of our credit-adjusted risk-free rate curve. The credit-adjusted risk-free rates of our counterparties are based on an independent market-quoted credit default swap rate curve for the counterparties’ debt plus the LIBOR curve as of the end of the reporting period. Our credit-adjusted risk-free rate is based on the blended rate of independent market-quoted credit default swap rate curves for companies that have the same credit rating as us plus the LIBOR curve as of the end of the reporting period. The valuation of our commodity price derivatives, represented by oil and natural gas swaps and collar contracts, is discussed below. Oil derivatives . Our oil derivatives are swap contracts for notional barrels of oil at fixed NYMEX oil index prices. The asset and liability values attributable to our oil derivatives as of the end of the reporting period are based on (i) the contracted notional volumes, (ii) independent active NYMEX futures price quotes for oil index prices, and (iii) the applicable credit-adjusted risk-free rate curve, as described above. Natural gas derivatives . Our natural gas derivatives consisted of swap and collar contracts for notional Mmbtus of natural gas at posted price indexes, including NYMEX HH swap and option contracts. The asset and liability values attributable to our natural gas derivatives as of the end of the reporting period are based on (i) the contracted notional volumes, (ii) independent active NYMEX futures price quotes for natural gas, (iii) the applicable credit-adjusted risk-free rate curve, as described above, and (iv) the implied rates of volatility inherent in the option contracts. The implied rates of volatility were determined based on the average of historical HH natural gas prices. The fair value of our commodity derivative financial instruments may be different from the settlement value based on company-specific inputs, such as credit ratings, futures markets and forward curves, and readily available buyers or sellers. Derivative financial instruments - common share warrants The liability attributable to our common share warrants as of the issuance date and the end of each reporting period was measured using the Black-Scholes model based on inputs including our share price, volatility, expected remaining life and the risk-free rate of return. The implied rates of volatility were determined based on historical prices of our common shares over a period consistent with the expected remaining life. Common share warrants are measured at fair value on a recurring basis until the date of exercise or the date of expiration. See further details on the fair value of our derivative financial instruments in “Note 6. Derivative financial instruments”. Fair value of other financial instruments Our financial instruments include cash and cash equivalents, accounts receivable and payable and accrued liabilities. The carrying amount of these instruments approximates fair value because of their short-term nature. The carrying values of our borrowings under the EXCO Resources Credit Agreement approximate fair value, as these are subject to short-term floating interest rates that approximate the rates available to us for those periods. The estimated fair values of our senior notes and term loans are presented below. The estimated fair values of the 2018 Notes and 2022 Notes have been calculated based on quoted prices in active markets. The estimated fair value of the 1.5 Lien Notes has been calculated based on quoted prices obtained from third-party pricing sources and is classified as Level 3. The estimated fair value of the 1.75 Lien Term Loans has been calculated based on a discounted cash flow model and is classified as Level 3. The 2017 Warrants are considered freestanding financial instruments and are not considered in the determination of the fair value of the 1.5 Lien Notes and 1.75 Lien Term Loans. The estimated fair value of the Exchange Term Loan was calculated based on quoted prices obtained from third-party sources and classified as Level 2 during 2016. During the three months ended March 31, 2017, we reclassified the fair value of the Exchange Term Loan into Level 3 due to the lack of market activity and significant observable inputs. See "Note 7. Debt" for the carrying value and the principal balance of each debt instrument included in the table below. March 31, 2017 (in thousands) Level 1 Level 2 Level 3 Total 1.5 Lien Notes $ — $ — $ 290,625 $ 290,625 1.75 Lien Term Loans — — 547,569 547,569 Exchange Term Loan — — 12,935 12,935 2018 Notes 91,199 — — 91,199 2022 Notes 36,094 — — 36,094 December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Exchange Term Loan $ — $ 294,000 $ — $ 294,000 Fairfax Term Loan — 222,000 — 222,000 2018 Notes 79,028 — — 79,028 2022 Notes 35,260 — — 35,260 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income taxes We evaluate our estimated annual effective income tax rate based on current and forecasted business results and enacted tax laws on a quarterly basis and apply this tax rate to our ordinary income or loss to calculate our estimated tax liability or benefit. We have accumulated financial deferred tax assets primarily due to losses arising from impairments to the carrying value of our oil and natural gas properties that are subject to valuation allowances. Our valuation allowances decreased $2.9 million for the three months ended March 31, 2017 . As a result of cumulative financial operating losses, we have recognized net valuation allowances of approximately $1.4 billion that have fully offset our net deferred tax assets as of March 31, 2017 . The valuation allowances will continue to be recognized until the realization of future deferred tax benefits are more likely than not to become utilized. The valuation allowances do not impact future utilization of the underlying tax attributes. The utilization of our net operating loss carryforwards ("NOLs") to offset taxable income in future periods may be limited if we undergo an ownership change based on the criteria in Section 382 of the Internal Revenue Code. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related party transactions | Related party transactions OPCO OPCO serves as the operator of our wells in the Appalachia JV and we advance funds to OPCO on an as needed basis. We did not advance any funds to OPCO during three months ended March 31, 2017 or 2016 . OPCO may distribute any excess cash equally between us and Shell when its operating cash flows are sufficient to meet its capital requirements. There are service agreements between us and OPCO whereby we provide administrative and technical services for which we are reimbursed. For the three months ended March 31, 2017 and 2016 , these transactions included the following: Three Months Ended March 31, (in thousands) 2017 2016 Amounts received from OPCO $ 1,921 $ 5,119 As of March 31, 2017 and December 31, 2016 , the amounts owed were as follows: (in thousands) March 31, 2017 December 31, 2016 Amounts due to EXCO (1) $ 558 $ 618 Amounts due from EXCO (1) 9,901 13,624 (1) Advances to OPCO are recorded in "Other current assets" in our Condensed Consolidated Balance Sheets. Any amounts we owe to OPCO are netted against the advance until the advances are utilized. If the advances are fully utilized, we record amounts owed in "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets. ESAS We have a services and investment agreement with ESAS, a wholly owned subsidiary of Bluescape. C. John Wilder, Executive Chairman of Bluescape, is the Executive Chairman of our Board of Directors. As consideration for the services provided under the agreement, EXCO pays ESAS a monthly fee of $300,000 and an annual incentive payment of up to $2.4 million per year that is based on EXCO’s common share price achieving certain performance hurdles as compared to a peer group. Amounts due to ESAS are recorded in "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets. We did not make an accrual for the annual incentive payment at March 31, 2017 or December 31, 2016 as a result of EXCO's performance rank. In connection with the services and investment agreement, EXCO issued warrants to ESAS in four tranches representing the right to purchase an aggregate of 80,000,000 common shares. These warrants may become exercisable in the future if our common shares achieve certain performance metrics compared to a peer group as of March 31, 2019. The measurement of the warrants is accounted for in accordance with ASC Topic 505-50, Equity-Based Payments to Non-Employees , which requires the warrants to be re-measured each interim reporting period until the completion of the services on March 31, 2019 and an adjustment is recorded in the statement of operations within equity-based compensation expense. For the three months ended March 31, 2017 and 2016, we recognized income of $3.6 million and expense of $2.0 million , respectively, of equity-based compensation related to the warrants. The income recorded during the three months ended March 31, 2017 was due to a significant decrease in the fair value of the warrants primarily as a result of a decrease in the Company's share price. ESAS holds $70.0 million in aggregate principal amount of 1.5 Lien Notes and $47.9 million in aggregate principal amount of 1.75 Lien Term Loans, as well as Financing Warrants representing the right to purchase an aggregate of 75,268,818 common shares at an exercise price equal to $0.93 per share. ESAS received a consent fee of $1.6 million in cash for exchanging its interest in the Exchange Term Loan, and a commitment fee of $2.1 million in cash in connection with the issuance of the 1.5 Lien Notes. At March 31, 2017 , ESAS was the beneficial owner of approximately 6.5% of our outstanding common shares based on public filings with the SEC. During the three months ended March 31, 2017 , ESAS received $1.2 million of interest payments on the Exchange Term Loan. As described above, ESAS is a wholly owned subsidiary of Bluescape, and C. John Wilder, the Executive Chairman of our Board of Directors, is Bluescape’s Executive Chairman. As Bluescape’s Executive Chairman, Mr. Wilder has the power to direct the affairs of Bluescape and, indirectly, ESAS, and may be deemed to share ESAS’s interest in the 1.5 Lien Notes, 1.75 Lien Term Loans and our common shares. Fairfax Samuel Mitchell, a member of our Board of Directors, serves as a Managing Director of Hamblin Watsa Investment Counsel Ltd. ("Hamblin Watsa"), the investment manager of Fairfax and certain affiliates thereof, and certain affiliates of Fairfax hold, directly or indirectly, $151.0 million in aggregate principal amount of 1.5 Lien Notes and $412.1 million in aggregate principal amount of 1.75 Lien Term Loans, as well as Financing Warrants representing the right to purchase an aggregate of 162,365,599 common shares at an exercise price equal to $0.93 per share, Commitment Fee Warrants representing the right to purchase an aggregate of 6,471,433 common shares at an exercise price equal to $0.01 per share and Amendment Fee Warrants representing the right to purchase an aggregate of 19,412,035 common shares at an exercise price equal to $0.01 per share. At March 31, 2017 , Fairfax was the beneficial owner of approximately 9.7% of our outstanding common shares based on public filings with the SEC. During the three months ended March 31, 2017 , Fairfax received $10.6 million of interest payments on the Fairfax Term Loan and the Exchange Term Loan. Oaktree B. James Ford, a member of our Board of Directors, serves as a Senior Adviser of Oaktree. Certain affiliates of Oaktree hold, directly or indirectly, $39.5 million in aggregate principal amount of 1.5 Lien Notes and warrants representing the right to purchase an aggregate of 42,473,119 common shares at an exercise price equal to $0.93 per share. In addition, Oaktree also received a commitment fee of $1.2 million in cash in connection with the issuance of the 1.5 Lien Notes. At March 31, 2017 , Oaktree was the beneficial owner of approximately 10.9% of our outstanding common shares based on public filings with the SEC. |
Condensed Consolidating Financi
Condensed Consolidating Financial Statements | 3 Months Ended |
Mar. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed consolidating financial statements | Condensed consolidating financial statements As of March 31, 2017, the majority of EXCO’s subsidiaries were guarantors under the EXCO Resources Credit Agreement, the indenture governing the 1.5 Lien Notes, the credit agreement governing the 1.75 Lien Term Loans and the indentures governing the 2018 Notes and 2022 Notes. All of our unrestricted subsidiaries under the 1.5 Lien Notes, 1.75 Lien Term Loans and the indentures governing the 2018 Notes and 2022 Notes are considered non-guarantor subsidiaries. Set forth below are condensed consolidating financial statements of EXCO, the guarantor subsidiaries and the non-guarantor subsidiaries. The 1.5 Lien Notes, 1.75 Lien Term Loans, 2018 Notes and 2022 Notes, which were issued by EXCO Resources, Inc., are jointly and severally guaranteed by substantially all of our subsidiaries (referred to as Guarantor Subsidiaries). For purposes of this footnote, EXCO Resources, Inc. is referred to as Resources to distinguish it from the Guarantor Subsidiaries. Each of the Guarantor Subsidiaries is a 100% owned subsidiary of Resources and the guarantees are unconditional as they relate to the assets of the Guarantor Subsidiaries. The following financial information presents consolidating financial statements, which include: • Resources; • the Guarantor Subsidiaries; • the Non-Guarantor Subsidiaries; • elimination entries necessary to consolidate Resources, the Guarantor Subsidiaries and the Non-Guarantor Subsidiaries; and • EXCO on a consolidated basis. Investments in subsidiaries are accounted for using the equity method of accounting for the disclosures within this footnote. The financial information for the Guarantor Subsidiaries and the Non-Guarantor Subsidiaries is presented on a combined basis. The elimination entries primarily eliminate investments in subsidiaries and intercompany balances and transactions. EXCO RESOURCES, INC. CONDENSED CONSOLIDATING BALANCE SHEET (Unaudited) March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents $ 43,025 $ (10,996 ) $ — $ — $ 32,029 Restricted cash — 15,595 — — 15,595 Other current assets 6,117 59,084 — — 65,201 Total current assets 49,142 63,683 — — 112,825 Equity investments — — 24,682 — 24,682 Oil and natural gas properties (full cost accounting method): Unproved oil and natural gas properties and development costs not being amortized — 101,944 — — 101,944 Proved developed and undeveloped oil and natural gas properties 332,401 2,620,878 — — 2,953,279 Accumulated depletion (330,776 ) (2,382,671 ) — — (2,713,447 ) Oil and natural gas properties, net 1,625 340,151 — — 341,776 Other property and equipment, net 507 22,898 — — 23,405 Investments in and advances to affiliates, net 440,865 — — (440,865 ) — Deferred financing costs, net 4,205 — — — 4,205 Derivative financial instruments - commodity derivatives 662 — — — 662 Goodwill 13,293 149,862 — — 163,155 Total assets $ 510,299 $ 576,594 $ 24,682 $ (440,865 ) $ 670,710 Liabilities and shareholders' equity Current liabilities $ 73,639 $ 147,578 $ — $ — $ 221,217 Long-term debt 1,142,782 — — — 1,142,782 Derivative financial instruments - common share warrants 155,136 — — — 155,136 Other long-term liabilities 4,185 12,833 — — 17,018 Payable to parent — 2,344,583 — (2,344,583 ) — Total shareholders' equity (865,443 ) (1,928,400 ) 24,682 1,903,718 (865,443 ) Total liabilities and shareholders' equity $ 510,299 $ 576,594 $ 24,682 $ (440,865 ) $ 670,710 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING BALANCE SHEET December 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents $ 24,610 $ (15,542 ) $ — $ — $ 9,068 Restricted cash — 11,150 — — 11,150 Other current assets 6,463 83,936 — — 90,399 Total current assets 31,073 79,544 — — 110,617 Equity investments — — 24,365 — 24,365 Oil and natural gas properties (full cost accounting method): Unproved oil and natural gas properties and development costs not being amortized — 97,080 — — 97,080 Proved developed and undeveloped oil and natural gas properties 331,823 2,608,100 — — 2,939,923 Accumulated depletion (330,776 ) (2,371,469 ) — — (2,702,245 ) Oil and natural gas properties, net 1,047 333,711 — — 334,758 Other property and equipment, net 568 23,093 — — 23,661 Investments in and advances to affiliates, net 430,168 — — (430,168 ) — Deferred financing costs, net 4,376 — — — 4,376 Derivative financial instruments - commodity derivatives 482 — — — 482 Goodwill 13,293 149,862 — — 163,155 Total assets $ 481,007 $ 586,210 $ 24,365 $ (430,168 ) $ 661,414 Liabilities and shareholders' equity Current liabilities $ 90,671 $ 167,692 $ — $ — $ 258,363 Long-term debt 1,258,538 — — — 1,258,538 Other long-term liabilities 3,704 12,715 — — 16,419 Payable to parent — 2,337,585 — (2,337,585 ) — Total shareholders' equity (871,906 ) (1,931,782 ) 24,365 1,907,417 (871,906 ) Total liabilities and shareholders' equity $ 481,007 $ 586,210 $ 24,365 $ (430,168 ) $ 661,414 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) For the three months ended March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Revenues: Oil and natural gas $ — $ 69,356 $ — $ — $ 69,356 Purchased natural gas and marketing — 7,173 — — 7,173 Total revenues — 76,529 — — 76,529 Costs and expenses: Oil and natural gas production — 11,933 — — 11,933 Gathering and transportation — 27,353 — — 27,353 Purchased natural gas — 6,452 — — 6,452 Depletion, depreciation and amortization 61 11,447 — — 11,508 Impairment of oil and natural gas properties — — — — — Accretion of discount on asset retirement obligations — 212 — — 212 General and administrative (10,667 ) 15,082 — — 4,415 Other operating items 398 671 — — 1,069 Total costs and expenses (10,208 ) 73,150 — — 62,942 Operating income 10,208 3,379 — — 13,587 Other income (expense): Interest expense, net (19,952 ) — — — (19,952 ) Gain on derivative financial instruments - commodity derivatives 15,533 — — — 15,533 Gain on derivative financial instruments - common share warrants 6,004 — — — 6,004 Loss on restructuring and extinguishment of debt (6,272 ) — — — (6,272 ) Other income 1 3 — — 4 Equity income — — 317 — 317 Net income from consolidated subsidiaries 3,699 — — (3,699 ) — Total other income (expense) (987 ) 3 317 (3,699 ) (4,366 ) Income before income taxes 9,221 3,382 317 (3,699 ) 9,221 Income tax expense 1,028 — — — 1,028 Net income $ 8,193 $ 3,382 $ 317 $ (3,699 ) $ 8,193 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) For the three months ended March 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Revenues: Oil and natural gas $ — $ 51,649 $ — $ — $ 51,649 Purchased natural gas and marketing — 4,441 — — 4,441 Total revenues — 56,090 — — 56,090 Costs and expenses: Oil and natural gas production 3 14,115 — — 14,118 Gathering and transportation — 25,105 — — 25,105 Purchased natural gas — 5,966 — — 5,966 Depletion, depreciation and amortization 119 28,882 — — 29,001 Impairment of oil and natural gas properties 547 134,052 — — 134,599 Accretion of discount on asset retirement obligations — 912 — — 912 General and administrative (3,967 ) 14,864 — — 10,897 Other operating items (407 ) 597 — — 190 Total costs and expenses (3,705 ) 224,493 — — 220,788 Operating income (loss) 3,705 (168,403 ) — — (164,698 ) Other income (expense): Interest expense, net (19,257 ) — — — (19,257 ) Gain on derivative financial instruments - commodity derivatives 16,591 — — — 16,591 Gain on extinguishment of debt 45,114 — — — 45,114 Other income 2 10 — — 12 Equity loss — — (7,910 ) — (7,910 ) Net loss from consolidated subsidiaries (176,303 ) — — 176,303 — Total other income (expense) (133,853 ) 10 (7,910 ) 176,303 34,550 Loss before income taxes (130,148 ) (168,393 ) (7,910 ) 176,303 (130,148 ) Income tax expense — — — — — Net loss $ (130,148 ) $ (168,393 ) $ (7,910 ) $ 176,303 $ (130,148 ) EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) For the three months ended March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Operating Activities: Net cash provided by (used in) operating activities $ (12,106 ) $ 17,302 $ — $ — $ 5,196 Investing Activities: Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions (271 ) (11,586 ) — — (11,857 ) Restricted cash — (4,445 ) — — (4,445 ) Net changes in amounts due to joint ventures — (3,723 ) — — (3,723 ) Advances/investments with affiliates (6,998 ) 6,998 — — — Net cash used in investing activities (7,269 ) (12,756 ) — — (20,025 ) Financing Activities: Borrowings under EXCO Resources Credit Agreement 25,000 — — — 25,000 Repayments under EXCO Resources Credit Agreement (253,592 ) — — — (253,592 ) Proceeds received from issuance of 1.5 Lien Notes, net 295,530 — — — 295,530 Payments on Exchange Term Loan (10,512 ) — — — (10,512 ) Debt financing costs and other (18,636 ) — — — (18,636 ) Net cash provided by financing activities 37,790 — — — 37,790 Net increase in cash 18,415 4,546 — — 22,961 Cash at beginning of period 24,610 (15,542 ) — — 9,068 Cash at end of period $ 43,025 $ (10,996 ) $ — $ — $ 32,029 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) For the three months ended March 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Operating Activities: Net cash provided by operating activities $ 7,762 $ 20,219 $ — $ — $ 27,981 Investing Activities: Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions (428 ) (32,058 ) — — (32,486 ) Restricted cash — (5,184 ) — — (5,184 ) Net changes in amounts due to joint ventures — 1,001 — — 1,001 Advances/investments with affiliates (24,343 ) 24,343 — — — Net cash used in investing activities (24,771 ) (11,898 ) — — (36,669 ) Financing Activities: Borrowings under EXCO Resources Credit Agreement 297,897 — — — 297,897 Repayments under EXCO Resources Credit Agreement (232,397 ) — — — (232,397 ) Payment on Exchange Term Loan (12,639 ) — — — (12,639 ) Repurchases of senior unsecured notes (7,863 ) — — — (7,863 ) Debt financing costs and other (2,341 ) — — — (2,341 ) Net cash provided by financing activities 42,657 — — — 42,657 Net increase in cash 25,648 8,321 — — 33,969 Cash at beginning of period 34,296 (22,049 ) — — 12,247 Cash at end of period $ 59,944 $ (13,728 ) $ — $ — $ 46,216 |
Subsequent Event (Notes)
Subsequent Event (Notes) | 3 Months Ended |
Mar. 31, 2017 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | Subsequent events On April 7, 2017 , we entered into a definitive agreement with Venado to divest our oil and natural gas properties and surface acreage in South Texas. The purchase price of $300.0 million is subject to customary closing conditions and adjustments based on an effective date of January 1, 2017. Concurrently with the execution of the agreement, Venado made a deposit of $30.0 million with a third party escrow agent. During the three months ended March 31, 2017, these properties produced approximately 4.0 Mboe per day and revenues less direct operating expenses were $10.7 million . The Company expects the transaction to close in early June 2017; however, no assurance can be given as to outcome or timing of such transaction. We intend to use the proceeds to fund the acquisition and development of oil and natural gas properties in other regions. |
Summary Of Significant Accoun19
Summary Of Significant Accounting Policies (Policy) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Industry Specific Policies, Oil and Gas | Oil and natural gas properties We use the full cost method of accounting, which involves capitalizing all acquisition, exploration, exploitation and development costs of oil and natural gas properties. Once we incur costs, they are recorded in the depletable pool of proved properties or in unproved properties, collectively, the full cost pool. We review our unproved oil and natural gas property costs on a quarterly basis to assess for impairment or the need to transfer unproved costs to proved properties as a result of extensions or discoveries from drilling operations or determination that no proved reserves are attributable to such costs. The majority of our undeveloped properties are held-by-production, which reduces the risk of impairment as a result of lease expirations. There were no impairments of unproved properties during the three months ended March 31, 2017 or 2016. At the end of each quarterly period, companies that use the full cost method of accounting for their oil and natural gas properties must compute a limitation on capitalized costs ("ceiling test"). The ceiling test involves comparing the net book value of the full cost pool, after taxes, to the full cost ceiling limitation defined below. In the event the full cost ceiling limitation is less than the full cost pool, we are required to record an impairment of our oil and natural gas properties. The full cost ceiling limitation is computed as the sum of the present value of estimated future net revenues from our proved reserves by applying the average price as prescribed by the SEC, less estimated future expenditures (based on current costs) to develop and produce the proved reserves, discounted at 10% , plus the cost of properties not being amortized and the lower of cost or estimated fair value of unproved properties included in the costs being amortized, net of income tax effects. The ceiling test for each period presented was based on the following average spot prices, in each case adjusted for quality factors and regional differentials to derive estimated future net revenues. Prices presented in the table below are the trailing twelve-month simple average spot prices at the first of the month for natural gas at Henry Hub ("HH") and West Texas Intermediate ("WTI") crude oil at Cushing, Oklahoma. The fluctuations demonstrate the volatility in oil and natural gas prices between each of the periods and have a significant impact on our ceiling test limitation. Average spot prices Oil (per Bbl) Natural gas (per Mmbtu) March 31, 2017 $ 47.61 $ 2.73 December 31, 2016 42.75 2.48 We did no t recognize an impairment to our proved oil and natural gas properties for the three months ended March 31, 2017 , and we recognized an impairment to our proved oil and natural gas properties of $134.6 million for the three months ended March 31, 2016 . The impairment during 2016 was primarily due to the decline in oil and natural gas prices. The possibility and amount of any future impairments is difficult to predict, and will depend, in part, upon future oil and natural gas prices to be utilized in the ceiling test, estimates of proved reserves, future capital expenditures and operating costs. Our proved undeveloped reserves, other than the proved undeveloped reserves associated with certain wells expected to be drilled and/or completed during 2017, remained reclassified in unproved primarily due to the uncertainty regarding the financing required to develop these reserves. These reserves remained classified as unproved due to our inability to meet the reasonable certainty criteria for recording proved undeveloped reserves, as prescribed under the SEC requirements, as the uncertainty regarding our availability of capital required to develop these reserves still existed at March 31, 2017. A significant amount of our proved undeveloped reserves that were reclassified to unproved remain economic at current prices, and we may report proved undeveloped reserves in future filings if we determine we have the financial capability to execute a development plan. The evaluation of impairment of our oil and natural gas properties includes estimates of proved reserves. There are inherent uncertainties in estimating quantities of proved reserves including projecting the future rates of production and the timing of development activities. The accuracy of any reserve estimate is a function of the quality of available data, and engineering and geological interpretation and judgment. Results of drilling, testing and production subsequent to the date of the estimate may justify revisions of such estimate. Accordingly, reserve estimates often differ from the quantities of oil and natural gas that are ultimately recovered. |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Asset Retirement Obligation [Abstract] | |
Schedule of Asset Retirement Obligations | The following is a reconciliation of our asset retirement obligations for the three months ended March 31, 2017 : (in thousands) Asset retirement obligations at beginning of period $ 11,289 Activity during the period: Liabilities incurred during the period 1 Liabilities settled during the period (77 ) Accretion of discount 212 Asset retirement obligations at end of period 11,425 Less current portion 344 Long-term portion $ 11,081 |
Oil and Natural Gas Properties
Oil and Natural Gas Properties Oil and Natural Gas Properties (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Oil and Gas Property [Abstract] | |
Average spot price | Average spot prices Oil (per Bbl) Natural gas (per Mmbtu) March 31, 2017 $ 47.61 $ 2.73 December 31, 2016 42.75 2.48 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Basic And Diluted Earnings Per Share Computations | The following table presents the basic and diluted earnings (loss) per share computations for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in thousands, except per share data) 2017 2016 Basic net income (loss) per common share: Net income (loss) $ 8,193 $ (130,148 ) Weighted average common shares outstanding 280,727 278,357 Net income (loss) per basic common share $ 0.03 $ (0.47 ) Diluted net income (loss) per common share: Net income (loss) $ 8,193 $ (130,148 ) Weighted average common shares outstanding 280,727 278,357 Dilutive effect of: Stock options — — Restricted shares and restricted share units 351 — Warrants — — Weighted average common shares and common share equivalents outstanding 281,078 278,357 Net income (loss) per diluted common share $ 0.03 $ (0.47 ) |
Derivative Financial Instrume23
Derivative Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Fair Value Of Derivative Financial Instruments | Fair Value of Derivative Financial Instruments (in thousands) March 31, 2017 December 31, 2016 Current assets Derivative financial instruments - commodity derivatives $ 1,012 $ — Long-term assets Derivative financial instruments - commodity derivatives 662 482 Current liabilities Derivative financial instruments - commodity derivatives (9,376 ) (27,711 ) Long-term liabilities Derivative financial instruments - commodity derivatives — (464 ) Net commodity derivative financial instruments $ (7,702 ) $ (27,693 ) Long-term liabilities Derivative financial instruments - common share warrants $ (155,136 ) $ — |
Effect Of Derivative Financial Instruments | Effect of Derivative Financial Instruments Three Months Ended March 31, (in thousands) 2017 2016 Gain on derivative financial instruments - commodity derivatives $ 15,533 $ 16,591 Gain on derivative financial instruments - common share warrants 6,004 — |
Fair Value Of Oil And Natural Gas Derivative Financial Instruments | The following table presents the volumes and fair value of our commodity derivative financial instruments as of March 31, 2017 : (dollars in thousands, except prices) Volume Bbtu/Mbbl Weighted average strike price per Mmbtu/Bbl Fair value at March 31, 2017 Natural gas: Swaps: Remainder of 2017 27,500 $ 3.05 $ (6,439 ) 2018 3,650 3.15 373 Collars: Remainder of 2017 8,250 (1,421 ) Sold call 3.28 Purchased put 2.87 Total natural gas $ (7,487 ) Oil: Swaps: Remainder of 2017 137 $ 50.00 $ (215 ) Total oil $ (215 ) Total commodity derivative financial instruments $ (7,702 ) |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Long-term Debt, Current and Noncurrent [Abstract] | |
Schedule Of Debt | The carrying value of our total debt is summarized as follows: (in thousands) March 31, 2017 December 31, 2016 EXCO Resources Credit Agreement $ — $ 228,592 1.5 Lien Notes 300,000 — Unamortized discount on 1.5 Lien Notes (152,546 ) — 1.75 Lien Term Loans 855,332 — Unamortized discount on 1.75 Lien Term Loans (21,009 ) — Exchange Term Loan 24,633 590,477 Fairfax Term Loan — 300,000 2018 Notes 131,576 131,576 Unamortized discount on 2018 Notes (449 ) (520 ) 2022 Notes 70,169 70,169 Deferred financing costs, net (14,924 ) (11,756 ) Total debt 1,192,782 1,308,538 Less amounts due within one year 50,000 50,000 Total debt due after one year $ 1,142,782 $ 1,258,538 March 31, 2017 (in thousands) Carrying value Deferred reduction in carrying value Unamortized discount/deferred financing costs Principal balance EXCO Resources Credit Agreement $ — $ — $ — $ — 1.5 Lien Notes 147,454 — 152,546 300,000 1.75 Lien Term Loans 834,323 (172,578 ) 21,009 682,754 Exchange Term Loan 24,633 (7,387 ) — 17,246 2018 Notes 131,127 — 449 131,576 2022 Notes 70,169 — — 70,169 Deferred financing costs, net (14,924 ) — 14,924 — Total debt $ 1,192,782 $ (179,965 ) $ 188,928 $ 1,201,745 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary Of Estimated Fair Value Of Derivative Financial Instruments | The following table presents a summary of the estimated fair value of our derivative financial instruments as of March 31, 2017 and December 31, 2016 . March 31, 2017 (in thousands) Level 1 Level 2 Level 3 Total Derivative financial instruments - commodity derivatives $ — $ (7,702 ) $ — $ (7,702 ) Derivative financial instruments - common share warrants — (155,136 ) — (155,136 ) December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Derivative financial instruments - commodity derivatives $ — $ (27,693 ) $ — $ (27,693 ) |
Schedule Of Estimated Fair Value Of Other Financial Instruments | March 31, 2017 (in thousands) Level 1 Level 2 Level 3 Total 1.5 Lien Notes $ — $ — $ 290,625 $ 290,625 1.75 Lien Term Loans — — 547,569 547,569 Exchange Term Loan — — 12,935 12,935 2018 Notes 91,199 — — 91,199 2022 Notes 36,094 — — 36,094 December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Exchange Term Loan $ — $ 294,000 $ — $ 294,000 Fairfax Term Loan — 222,000 — 222,000 2018 Notes 79,028 — — 79,028 2022 Notes 35,260 — — 35,260 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | For the three months ended March 31, 2017 and 2016 , these transactions included the following: Three Months Ended March 31, (in thousands) 2017 2016 Amounts received from OPCO $ 1,921 $ 5,119 As of March 31, 2017 and December 31, 2016 , the amounts owed were as follows: (in thousands) March 31, 2017 December 31, 2016 Amounts due to EXCO (1) $ 558 $ 618 Amounts due from EXCO (1) 9,901 13,624 (1) Advances to OPCO are recorded in "Other current assets" in our Condensed Consolidated Balance Sheets. Any amounts we owe to OPCO are netted against the advance until the advances are utilized. If the advances are fully utilized, we record amounts owed in "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets. |
Condensed Consolidating Finan27
Condensed Consolidating Financial Statements (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule Of Condensed Consolidating Balance Sheet | EXCO RESOURCES, INC. CONDENSED CONSOLIDATING BALANCE SHEET (Unaudited) March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents $ 43,025 $ (10,996 ) $ — $ — $ 32,029 Restricted cash — 15,595 — — 15,595 Other current assets 6,117 59,084 — — 65,201 Total current assets 49,142 63,683 — — 112,825 Equity investments — — 24,682 — 24,682 Oil and natural gas properties (full cost accounting method): Unproved oil and natural gas properties and development costs not being amortized — 101,944 — — 101,944 Proved developed and undeveloped oil and natural gas properties 332,401 2,620,878 — — 2,953,279 Accumulated depletion (330,776 ) (2,382,671 ) — — (2,713,447 ) Oil and natural gas properties, net 1,625 340,151 — — 341,776 Other property and equipment, net 507 22,898 — — 23,405 Investments in and advances to affiliates, net 440,865 — — (440,865 ) — Deferred financing costs, net 4,205 — — — 4,205 Derivative financial instruments - commodity derivatives 662 — — — 662 Goodwill 13,293 149,862 — — 163,155 Total assets $ 510,299 $ 576,594 $ 24,682 $ (440,865 ) $ 670,710 Liabilities and shareholders' equity Current liabilities $ 73,639 $ 147,578 $ — $ — $ 221,217 Long-term debt 1,142,782 — — — 1,142,782 Derivative financial instruments - common share warrants 155,136 — — — 155,136 Other long-term liabilities 4,185 12,833 — — 17,018 Payable to parent — 2,344,583 — (2,344,583 ) — Total shareholders' equity (865,443 ) (1,928,400 ) 24,682 1,903,718 (865,443 ) Total liabilities and shareholders' equity $ 510,299 $ 576,594 $ 24,682 $ (440,865 ) $ 670,710 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING BALANCE SHEET December 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Assets Current assets: Cash and cash equivalents $ 24,610 $ (15,542 ) $ — $ — $ 9,068 Restricted cash — 11,150 — — 11,150 Other current assets 6,463 83,936 — — 90,399 Total current assets 31,073 79,544 — — 110,617 Equity investments — — 24,365 — 24,365 Oil and natural gas properties (full cost accounting method): Unproved oil and natural gas properties and development costs not being amortized — 97,080 — — 97,080 Proved developed and undeveloped oil and natural gas properties 331,823 2,608,100 — — 2,939,923 Accumulated depletion (330,776 ) (2,371,469 ) — — (2,702,245 ) Oil and natural gas properties, net 1,047 333,711 — — 334,758 Other property and equipment, net 568 23,093 — — 23,661 Investments in and advances to affiliates, net 430,168 — — (430,168 ) — Deferred financing costs, net 4,376 — — — 4,376 Derivative financial instruments - commodity derivatives 482 — — — 482 Goodwill 13,293 149,862 — — 163,155 Total assets $ 481,007 $ 586,210 $ 24,365 $ (430,168 ) $ 661,414 Liabilities and shareholders' equity Current liabilities $ 90,671 $ 167,692 $ — $ — $ 258,363 Long-term debt 1,258,538 — — — 1,258,538 Other long-term liabilities 3,704 12,715 — — 16,419 Payable to parent — 2,337,585 — (2,337,585 ) — Total shareholders' equity (871,906 ) (1,931,782 ) 24,365 1,907,417 (871,906 ) Total liabilities and shareholders' equity $ 481,007 $ 586,210 $ 24,365 $ (430,168 ) $ 661,414 |
Schedule Of Condensed Consolidating Statement Of Operations | EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) For the three months ended March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Revenues: Oil and natural gas $ — $ 69,356 $ — $ — $ 69,356 Purchased natural gas and marketing — 7,173 — — 7,173 Total revenues — 76,529 — — 76,529 Costs and expenses: Oil and natural gas production — 11,933 — — 11,933 Gathering and transportation — 27,353 — — 27,353 Purchased natural gas — 6,452 — — 6,452 Depletion, depreciation and amortization 61 11,447 — — 11,508 Impairment of oil and natural gas properties — — — — — Accretion of discount on asset retirement obligations — 212 — — 212 General and administrative (10,667 ) 15,082 — — 4,415 Other operating items 398 671 — — 1,069 Total costs and expenses (10,208 ) 73,150 — — 62,942 Operating income 10,208 3,379 — — 13,587 Other income (expense): Interest expense, net (19,952 ) — — — (19,952 ) Gain on derivative financial instruments - commodity derivatives 15,533 — — — 15,533 Gain on derivative financial instruments - common share warrants 6,004 — — — 6,004 Loss on restructuring and extinguishment of debt (6,272 ) — — — (6,272 ) Other income 1 3 — — 4 Equity income — — 317 — 317 Net income from consolidated subsidiaries 3,699 — — (3,699 ) — Total other income (expense) (987 ) 3 317 (3,699 ) (4,366 ) Income before income taxes 9,221 3,382 317 (3,699 ) 9,221 Income tax expense 1,028 — — — 1,028 Net income $ 8,193 $ 3,382 $ 317 $ (3,699 ) $ 8,193 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (Unaudited) For the three months ended March 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Revenues: Oil and natural gas $ — $ 51,649 $ — $ — $ 51,649 Purchased natural gas and marketing — 4,441 — — 4,441 Total revenues — 56,090 — — 56,090 Costs and expenses: Oil and natural gas production 3 14,115 — — 14,118 Gathering and transportation — 25,105 — — 25,105 Purchased natural gas — 5,966 — — 5,966 Depletion, depreciation and amortization 119 28,882 — — 29,001 Impairment of oil and natural gas properties 547 134,052 — — 134,599 Accretion of discount on asset retirement obligations — 912 — — 912 General and administrative (3,967 ) 14,864 — — 10,897 Other operating items (407 ) 597 — — 190 Total costs and expenses (3,705 ) 224,493 — — 220,788 Operating income (loss) 3,705 (168,403 ) — — (164,698 ) Other income (expense): Interest expense, net (19,257 ) — — — (19,257 ) Gain on derivative financial instruments - commodity derivatives 16,591 — — — 16,591 Gain on extinguishment of debt 45,114 — — — 45,114 Other income 2 10 — — 12 Equity loss — — (7,910 ) — (7,910 ) Net loss from consolidated subsidiaries (176,303 ) — — 176,303 — Total other income (expense) (133,853 ) 10 (7,910 ) 176,303 34,550 Loss before income taxes (130,148 ) (168,393 ) (7,910 ) 176,303 (130,148 ) Income tax expense — — — — — Net loss $ (130,148 ) $ (168,393 ) $ (7,910 ) $ 176,303 $ (130,148 ) |
Schedule Of Condensed Consolidating Statement Of Cash Flows | EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) For the three months ended March 31, 2017 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Operating Activities: Net cash provided by (used in) operating activities $ (12,106 ) $ 17,302 $ — $ — $ 5,196 Investing Activities: Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions (271 ) (11,586 ) — — (11,857 ) Restricted cash — (4,445 ) — — (4,445 ) Net changes in amounts due to joint ventures — (3,723 ) — — (3,723 ) Advances/investments with affiliates (6,998 ) 6,998 — — — Net cash used in investing activities (7,269 ) (12,756 ) — — (20,025 ) Financing Activities: Borrowings under EXCO Resources Credit Agreement 25,000 — — — 25,000 Repayments under EXCO Resources Credit Agreement (253,592 ) — — — (253,592 ) Proceeds received from issuance of 1.5 Lien Notes, net 295,530 — — — 295,530 Payments on Exchange Term Loan (10,512 ) — — — (10,512 ) Debt financing costs and other (18,636 ) — — — (18,636 ) Net cash provided by financing activities 37,790 — — — 37,790 Net increase in cash 18,415 4,546 — — 22,961 Cash at beginning of period 24,610 (15,542 ) — — 9,068 Cash at end of period $ 43,025 $ (10,996 ) $ — $ — $ 32,029 EXCO RESOURCES, INC. CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited) For the three months ended March 31, 2016 (in thousands) Resources Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Operating Activities: Net cash provided by operating activities $ 7,762 $ 20,219 $ — $ — $ 27,981 Investing Activities: Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions (428 ) (32,058 ) — — (32,486 ) Restricted cash — (5,184 ) — — (5,184 ) Net changes in amounts due to joint ventures — 1,001 — — 1,001 Advances/investments with affiliates (24,343 ) 24,343 — — — Net cash used in investing activities (24,771 ) (11,898 ) — — (36,669 ) Financing Activities: Borrowings under EXCO Resources Credit Agreement 297,897 — — — 297,897 Repayments under EXCO Resources Credit Agreement (232,397 ) — — — (232,397 ) Payment on Exchange Term Loan (12,639 ) — — — (12,639 ) Repurchases of senior unsecured notes (7,863 ) — — — (7,863 ) Debt financing costs and other (2,341 ) — — — (2,341 ) Net cash provided by financing activities 42,657 — — — 42,657 Net increase in cash 25,648 8,321 — — 33,969 Cash at beginning of period 34,296 (22,049 ) — — 12,247 Cash at end of period $ 59,944 $ (13,728 ) $ — $ — $ 46,216 |
Organization And Basis Of Pre28
Organization And Basis Of Presentation (Narrative) (Details) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017USD ($) | Dec. 31, 2017 | Sep. 30, 2017 | Mar. 15, 2017USD ($) | |
Debt instrument, face amount | $ 1,201,745 | |||
Maximum secured debt | $ 1,200,000 | |||
Decrease in common stock , based on the reverse stock split, ratio | 0.2 | |||
OPCO [Member] | ||||
Working interest in equity investment | 0.50% | |||
Percentage of ownership interest | 50.00% | |||
East Texas/North Louisiana JV [Member] | ||||
Ownership percentage in joint venture | 50.00% | |||
Appalachia JV [Member] | ||||
Ownership percentage in joint venture | 50.00% | |||
Proportional working interest | 49.75% | |||
1.5 Lien Notes [Member] | ||||
Debt instrument, face amount | $ 300,000 | |||
1.75 Lien Notes [Member] | ||||
Debt instrument, face amount | $ 682,754 | |||
Scenario, Forecast [Member] | EXCO Resources Credit Agreement [Member] | ||||
Debt instrument, covenant, interest coverage ratio | 2 | 1.75 | ||
Secured Debt [Member] | 1.5 Lien Notes [Member] | ||||
Debt instrument, face amount | $ 300,000 | |||
Secured Debt [Member] | 1.75 Lien Notes [Member] | ||||
Debt instrument, face amount | 682,800 | |||
board of directors [Member] | ||||
Beneficial ownership of outstanding common shares | 46.00% | |||
South Texas [Member] | Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | ||||
Maximum borrowing capacity, upon divestiture | $ 100,000 | |||
Minimum [Member] | ||||
Stock split, conversion ratio, if approved | 10 | |||
Maximum [Member] | ||||
Stock split, conversion ratio, if approved | 20 |
Asset Retirement Obligations (S
Asset Retirement Obligations (Schedule of Reconciliation of Asset Retirement Obligations) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | |||
Asset retirement obligations at beginning of period | $ 11,289 | ||
Liabilities incurred during the period | 1 | ||
Liabilities settled during the period | (77) | ||
Accretion of discount | 212 | $ 912 | |
Asset retirement obligations at end of period | 11,425 | ||
Less current portion | 344 | $ 344 | |
Long-term portion | $ 11,081 |
Oil and Natural Gas Propertie30
Oil and Natural Gas Properties (Narrative) (Details) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2017USD ($)$ / bbl$ / MMBTU | Mar. 31, 2016USD ($) | Dec. 31, 2016$ / bbl$ / MMBTU | |
Oil and Gas Property [Abstract] | |||
Impairment of unproved costs to proved properties | $ 0 | $ 0 | |
Reference prices per mmbtu of natural gas | $ / MMBTU | 2.73 | 2.48 | |
Reference Prices Per Bbl Of Oil | $ / bbl | 47.61 | 42.75 | |
Impairment of oil and natural gas properties | $ 0 | $ 134,599,000 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net income (loss) | $ 8,193 | $ (130,148) |
Weighted average common shares outstanding | 280,727 | 278,357 |
Net income (loss) per basic common share | $ 0.03 | $ (0.47) |
Dilutive Effect of Warrants | 0 | 0 |
Weighted average common and common equivalent shares outstanding | 281,078 | 278,357 |
Net income (loss) per diluted common share | $ 0.03 | $ (0.47) |
Stock Options [Member] | ||
Dilutive effect of stock equivalents | 0 | 0 |
Restricted Stock [Member] | ||
Dilutive effect of stock equivalents | 351 | 0 |
Earnings Per Share Earnings Per
Earnings Per Share Earnings Per Share (Details Textual) - $ / shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.01 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 48,483,322 | 91,285,813 |
Financing Warrants [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.93 |
Derivative Financial Instrume33
Derivative Financial Instruments (Fair Value Of Derivative Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Mar. 15, 2017 | Dec. 31, 2016 |
Derivatives, Fair Value [Line Items] | |||
Derivative financial instruments - commodity derivatives - Current assets | $ 1,012 | $ 0 | |
Derivative financial instruments - commodity derivatives - Long-term assets | 662 | 482 | |
Derivative financial instruments - commodity derivatives - Current liabilities | (9,376) | (27,711) | |
Derivative financial instruments - commodity derivatives - Long-term liabilities | 0 | (464) | |
Derivative financial instruments - common share warrants - Long-term liabilities | (155,136) | $ (161,100) | 0 |
Commodity Contract [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative financial instruments - commodity derivatives - Current assets | 1,012 | 0 | |
Derivative financial instruments - commodity derivatives - Long-term assets | 662 | 482 | |
Derivative financial instruments - commodity derivatives - Current liabilities | (9,376) | (27,711) | |
Derivative financial instruments - commodity derivatives - Long-term liabilities | 0 | (464) | |
Net commodity derivative financial instruments | $ (7,702) | $ (27,693) |
Derivative Financial Instrume34
Derivative Financial Instruments (Effect Of Derivative Financial Instruments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain on derivative financial instruments - commodity derivatives | $ 15,533 | $ 16,591 |
Commodity Contract [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain on derivative financial instruments - commodity derivatives | 15,533 | 16,591 |
Equity Contract [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain on derivative financial instruments - commodity derivatives | $ 6,004 | $ 0 |
Derivative Financial Instrume35
Derivative Financial Instruments (Fair Value Of Oil And Natural Gas Derivative Financial Instruments) (Details) bbl in Thousands, MMBTU in Thousands, $ in Thousands | Mar. 31, 2017USD ($)MMBTU$ / MMBTU$ / bblbbl | Dec. 31, 2016MMBTUbbl |
Oil [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Other Derivatives Not Designated as Hedging Instruments at Fair Value, Net | $ (215) | |
Oil [Member] | Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Volume (oil) | bbl | 183 | |
Oil [Member] | Swap [Member] | 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Volume (oil) | bbl | 137 | |
Weighted average strike price per Mmbtu/Bbl | $ / bbl | 50 | |
Fair Value of Derivative Financial Instrument | $ (215) | |
Natural Gas [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Other Derivatives Not Designated as Hedging Instruments at Fair Value, Net | $ (7,487) | |
Natural Gas [Member] | Collar [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Natural Gas Mmbtu | MMBTU | 10,950 | |
Natural Gas [Member] | Collar [Member] | 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Natural Gas Mmbtu | MMBTU | 8,250 | |
Fair Value of Derivative Financial Instrument | $ (1,421) | |
Natural Gas [Member] | Collar [Member] | Short [Member] | Call Option [Member] | 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Weighted average strike price per Mmbtu/Bbl | $ / MMBTU | 3.28 | |
Natural Gas [Member] | Collar [Member] | Long [Member] | Put Option [Member] | 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Weighted average strike price per Mmbtu/Bbl | $ / MMBTU | 2.87 | |
Natural Gas [Member] | Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Natural Gas Mmbtu | MMBTU | 41,950 | |
Natural Gas [Member] | Swap [Member] | 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Natural Gas Mmbtu | MMBTU | 27,500 | |
Weighted average strike price per Mmbtu/Bbl | $ / MMBTU | 3.05 | |
Fair Value of Derivative Financial Instrument | $ (6,439) | |
Natural Gas [Member] | Swap [Member] | 2018 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Natural Gas Mmbtu | MMBTU | 3,650 | |
Weighted average strike price per Mmbtu/Bbl | $ / MMBTU | 3.15 | |
Fair Value of Derivative Financial Instruments | $ 373 |
Derivative Financial Instrume36
Derivative Financial Instruments (Narrative) (Details) $ / shares in Units, bbl in Thousands, MMBTU in Thousands, $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017USD ($)MMBTU$ / shares$ / MMBTU$ / bblbbl | Mar. 31, 2016USD ($) | Mar. 15, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)MMBTUbbl | |
Derivative [Line Items] | ||||
Fair value of warrants | $ | $ 155,136 | $ 161,100 | $ 0 | |
Gain on derivative financial instruments - common share warrants | $ | $ 6,004 | $ 0 | ||
Percentage Of Derivative Instruments To Equivalent Production | 63.00% | 46.00% | ||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.01 | |||
Price per share required for anti-dilution adjustment related to Commitment Fee Warrants and Amendment Fee Warrants | $ / shares | $ 0.70 | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ | $ 15,533 | $ 16,591 | ||
Oil [Member] | 2017 [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Average Forward Price | $ / bbl | 51.63 | |||
Oil [Member] | Swap [Member] | ||||
Derivative [Line Items] | ||||
Investment Contract Volume | bbl | 183 | |||
Oil [Member] | Swap [Member] | 2017 [Member] | ||||
Derivative [Line Items] | ||||
Investment Contract Volume | bbl | 137 | |||
Natural Gas [Member] | 2017 [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Average Forward Price | $ / MMBTU | 3.32 | |||
Natural Gas [Member] | 2018 [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Average Forward Price | $ / MMBTU | 3.04 | |||
Natural Gas [Member] | Swap [Member] | ||||
Derivative [Line Items] | ||||
Natural gas volume | MMBTU | 41,950 | |||
Natural Gas [Member] | Swap [Member] | 2017 [Member] | ||||
Derivative [Line Items] | ||||
Natural gas volume | MMBTU | 27,500 | |||
Natural Gas [Member] | Swap [Member] | 2018 [Member] | ||||
Derivative [Line Items] | ||||
Natural gas volume | MMBTU | 3,650 | |||
Natural Gas [Member] | Collar [Member] | ||||
Derivative [Line Items] | ||||
Natural gas volume | MMBTU | 10,950 | |||
Natural Gas [Member] | Collar [Member] | 2017 [Member] | ||||
Derivative [Line Items] | ||||
Natural gas volume | MMBTU | 8,250 | |||
Financing Warrants [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.93 | |||
Commitment Fee Warrants [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | 0.01 | |||
Amendment Fee Warrants [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.01 | |||
Secured Debt [Member] | Financing Warrants [Member] | 1.5 Lien Notes [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 322,580,655 | |||
Secured Debt [Member] | Commitment Fee Warrants [Member] | 1.5 Lien Notes [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 6,471,433 | |||
Secured Debt [Member] | Amendment Fee Warrants [Member] | 1.75 Lien Notes [Member] | ||||
Derivative [Line Items] | ||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 19,883,077 | |||
Equity Contract [Member] | ||||
Derivative [Line Items] | ||||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ | $ 6,004 | $ 0 |
Debt (Schedule Of Long-Term Deb
Debt (Schedule Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Mar. 15, 2017 | Dec. 31, 2016 | Oct. 26, 2015 |
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 1,201,745 | |||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | (179,965) | |||
Deferred financing costs, net | (14,924) | $ (11,756) | ||
Total Debt | 1,192,782 | 1,308,538 | ||
Less amounts due within one year | 50,000 | 50,000 | ||
Long-term Debt, Excluding Current Maturities | 1,142,782 | 1,258,538 | ||
Debt Instrument, Unamortized Discount and Deferred Financing Costs | 188,928 | |||
1.5 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Secured Debt | 300,000 | |||
Debt instrument, face amount | 300,000 | |||
Debt Instrument | 147,454 | 0 | ||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | 0 | |||
Unamortized discount | (152,546) | 0 | ||
1.75 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Secured Debt | 855,332 | |||
Debt instrument, face amount | 682,754 | |||
Debt Instrument | 834,323 | 0 | ||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | (172,578) | |||
Unamortized discount | (21,009) | 0 | ||
Senior Unsecured Notes due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 131,576 | |||
Debt Instrument | 131,576 | 131,576 | ||
Unamortized discount | (449) | (520) | ||
Senior Unsecured Notes due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 70,169 | |||
Debt Instrument | 70,169 | 70,169 | ||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility under credit agreement | 0 | 228,592 | ||
Senior Notes [Member] | Exchange Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Secured Debt | 24,633 | $ 382,754 | 590,477 | |
Debt instrument, face amount | 17,246 | $ 400,000 | ||
Senior Notes [Member] | Fairfax Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 0 | $ 300,000 | $ 300,000 | |
Senior Notes [Member] | Senior Unsecured Notes due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 131,127 | |||
Senior Notes [Member] | Senior Unsecured Notes due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 70,169 | |||
Secured Debt [Member] | 1.5 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 300,000 | |||
Secured Debt [Member] | 1.75 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 682,800 | |||
Secured Debt [Member] | Exchange Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 24,633 | |||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | $ (7,387) |
Debt Debt (Detailed Summary) (D
Debt Debt (Detailed Summary) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Mar. 15, 2017 | Dec. 31, 2016 | Oct. 26, 2015 |
Debt Instrument [Line Items] | ||||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | $ (179,965) | |||
Debt Instrument, Unamortized Discount and Deferred Financing Costs | 188,928 | |||
Debt instrument, face amount | 1,201,745 | |||
Deferred financing costs, net | 14,924 | $ 11,756 | ||
Total Debt | 1,192,782 | 1,308,538 | ||
1.5 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 147,454 | 0 | ||
Debt Instrument, Unamortized Discount | 152,546 | 0 | ||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | 0 | |||
Debt instrument, face amount | 300,000 | |||
1.75 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 834,323 | 0 | ||
Debt Instrument, Unamortized Discount | 21,009 | 0 | ||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | (172,578) | |||
Debt instrument, face amount | 682,754 | |||
Senior Unsecured Notes due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 131,576 | 131,576 | ||
Debt Instrument, Unamortized Discount | 449 | 520 | ||
Debt instrument, face amount | 131,576 | |||
Senior Unsecured Notes due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 70,169 | 70,169 | ||
Debt instrument, face amount | 70,169 | |||
Secured Debt [Member] | 1.5 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 300,000 | |||
Secured Debt [Member] | 1.75 Lien Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 682,800 | |||
Secured Debt [Member] | Exchange Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 24,633 | |||
Debt Instrument, Deferred Reduction In Carrying Value of Long Term Debt | (7,387) | |||
Senior Notes [Member] | Exchange Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 17,246 | $ 400,000 | ||
Senior Notes [Member] | Fairfax Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | 0 | 300,000 | $ 300,000 | |
Senior Notes [Member] | Senior Unsecured Notes due 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 131,127 | |||
Senior Notes [Member] | Senior Unsecured Notes due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument | 70,169 | |||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility under credit agreement | $ 0 | $ 228,592 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) | Mar. 15, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Mar. 31, 2018multiple | Dec. 31, 2017multiple | Sep. 30, 2017multiple | Dec. 31, 2016USD ($) | Oct. 26, 2015USD ($) |
Debt Instrument [Line Items] | ||||||||
Debt instrument, face amount | $ 1,201,745,000 | |||||||
Payments of Financing Costs | 18,636,000 | $ 2,341,000 | ||||||
Transaction costs | $ 6,272,000 | $ (45,114,000) | ||||||
Common Stock Outstanding, Percentage | 50.00% | |||||||
PIK Payment, Liquidity Level Less Than One Hundred and Fifty Million Dollars, Percentage | 100.00% | |||||||
PIK Payment, Liquidity Level,Two Hundred and Twenty Five Million Dollars or Greater, Percentage | 0.00% | |||||||
Debt Instrument, Maximum Borrowing Restriction After Consent | $ 200,000,000 | |||||||
Liquidity Level, For Hundred Percentage PIK Payment | 150,000,000 | |||||||
Liquidity Level, For Zero Percentage PIK Payment | 225,000,000 | |||||||
EXCO Resources Credit Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt Instrument, Covenant, Minimum Liquidity to be Maintained, End of the Month | 50,000,000 | |||||||
Debt Instrument, Covenant, Minimum Liquidity to be Maintained, End of the Quarter | $ 70,000,000 | |||||||
Debt Instrument, Covenant, Ratio of Aggregate Credit Exposure to EBITDAX | 1.2 | |||||||
1.5 Lien Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, face amount | $ 300,000,000 | |||||||
Secured Debt | 300,000,000 | |||||||
Debt instrument, principal outstanding | $ 147,454,000 | $ 0 | ||||||
1.5 Lien Notes [Member] | Secured Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 8.00% | |||||||
Debt instrument, face amount | $ 300,000,000 | |||||||
Debt Instrument, Additional Debt or Common Shares Issued, Stated Interest Rate | 11.00% | |||||||
Commitment Fees Warrants and Financing Warrants, Fair Value Disclosure | $ 148,600,000 | |||||||
Payments of Financing Costs | 4,500,000 | |||||||
Debt Issuance Costs, Line of Credit Arrangements, Gross | 4,300,000 | |||||||
Debt Instrument, If Requisite Shareholder Approvals Are Not Obtained, Interest Rate, Stated Percentage | 15.00% | |||||||
Debt Instrument, If Requisite Shareholder Approvals Are Not Obtained, Interest Rate for PIK Payments, Stated Percentage | 20.00% | |||||||
1.75 Lien Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, face amount | $ 682,754,000 | |||||||
Secured Debt | 855,332,000 | |||||||
Debt instrument, principal outstanding | $ 834,323,000 | 0 | ||||||
1.75 Lien Notes [Member] | Secured Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 12.50% | |||||||
Debt instrument, face amount | 682,800,000 | |||||||
Amendment Fee Warrants, Fair Value Disclosure | 12,600,000 | |||||||
Debt Instrument, Additional Debt or Common Shares Issued, Stated Interest Rate | 15.00% | |||||||
Payments of Financing Costs | 8,600,000 | |||||||
Exchange Term Loan [Member] | Secured Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, principal outstanding | $ 24,633,000 | |||||||
Exchange Term Loan [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 12.50% | |||||||
Debt instrument, face amount | 17,246,000 | $ 400,000,000 | ||||||
Secured Debt | 382,754,000 | 24,633,000 | 590,477,000 | |||||
Fairfax Term Loan [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 12.50% | |||||||
Debt instrument, face amount | $ 0 | 300,000,000 | $ 300,000,000 | |||||
Senior Unsecured Notes due 2018 [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 7.50% | |||||||
Debt instrument, face amount | $ 131,576,000 | |||||||
Debt instrument, principal outstanding | 131,576,000 | 131,576,000 | ||||||
Senior Unsecured Notes due 2018 [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, principal outstanding | $ 131,127,000 | |||||||
Senior Unsecured Notes due 2022 [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate | 8.50% | |||||||
Debt instrument, face amount | $ 70,169,000 | |||||||
Debt instrument, principal outstanding | $ 70,169,000 | $ 70,169,000 | ||||||
Debt instrument, issued price, percentage | 100.00% | |||||||
Senior Unsecured Notes due 2022 [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, principal outstanding | $ 70,169,000 | |||||||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Current borrowing capacity | $ 150,000,000 | |||||||
Line of credit facility, maturity date | Jul. 31, 2018 | |||||||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 2.25% | |||||||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 3.25% | |||||||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | Alternate Base Rate (ABR) [Member] | Minimum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.25% | |||||||
Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | Alternate Base Rate (ABR) [Member] | Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 2.25% | |||||||
South Texas [Member] | Revolving Credit Facility [Member] | EXCO Resources Credit Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Maximum borrowing capacity, upon divestiture | $ 100,000,000 | |||||||
Scenario, Forecast [Member] | EXCO Resources Credit Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, covenant, interest coverage ratio | 2 | 1.75 | ||||||
Debt Instrument, Covenant, Multiple for Interest Expense | multiple | 1.33 | 2 | 4 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Estimated Fair Value Of Derivative Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Mar. 15, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - common share warrants | $ (155,136) | $ (161,100) | $ 0 |
Level 1 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - common share warrants | 0 | ||
Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - common share warrants | (155,136) | ||
Level 3 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - common share warrants | 0 | ||
Commodity Contract [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - commodity derivatives | (7,702) | (27,693) | |
Commodity Contract [Member] | Level 1 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - commodity derivatives | 0 | 0 | |
Commodity Contract [Member] | Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - commodity derivatives | (7,702) | (27,693) | |
Commodity Contract [Member] | Level 3 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative financial instruments - commodity derivatives | $ 0 | $ 0 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule Of Estimated Fair Value Of Other Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
1.5 Lien Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | $ 290,625 | |
1.5 Lien Notes [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | |
1.5 Lien Notes [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | |
1.5 Lien Notes [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 290,625 | |
1.75 Lien Notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 547,569 | |
1.75 Lien Notes [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | |
1.75 Lien Notes [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | |
1.75 Lien Notes [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 547,569 | |
Senior Unsecured Notes due 2018 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 91,199 | $ 79,028 |
Senior Unsecured Notes due 2018 [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 91,199 | 79,028 |
Senior Unsecured Notes due 2018 [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 0 |
Senior Unsecured Notes due 2018 [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 0 |
Senior Unsecured Notes due 2022 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 36,094 | 35,260 |
Senior Unsecured Notes due 2022 [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 36,094 | 35,260 |
Senior Unsecured Notes due 2022 [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 0 |
Senior Unsecured Notes due 2022 [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 0 |
Exchange Term Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 12,935 | 294,000 |
Exchange Term Loan [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 0 |
Exchange Term Loan [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | 294,000 |
Exchange Term Loan [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | $ 12,935 | 0 |
Fairfax Term Loan [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 222,000 | |
Fairfax Term Loan [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 0 | |
Fairfax Term Loan [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | 222,000 | |
Fairfax Term Loan [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt Instrument, Fair Value Disclosure | $ 0 |
Income Taxes (Details)
Income Taxes (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Income Tax Disclosure [Abstract] | |
Change in valuation allowance | $ 2.9 |
Recognized net valuation allowance | $ 1,400 |
Related Party Transactions (Det
Related Party Transactions (Details) - OPCO [Member] - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | ||
Advances to OPCO | $ 0 | $ 0 | ||
Amounts received from OPCO | 1,921 | $ 5,119 | ||
Amounts due to EXCO | [1] | 558 | $ 618 | |
Amounts due from EXCO | [1] | $ 9,901 | $ 13,624 | |
[1] | Advances to OPCO are recorded in "Other current assets" in our Condensed Consolidated Balance Sheets. Any amounts we owe to OPCO are netted against the advance until the advances are utilized. If the advances are fully utilized, we record amounts owed in "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets. |
Related Party Transactions Rela
Related Party Transactions Related Party Transactions (Narrative) (Details) - USD ($) | Mar. 15, 2017 | Mar. 31, 2017 | Mar. 31, 2016 |
Related Party Transaction [Line Items] | |||
Interest Paid | $ 14,778,000 | $ 15,583,000 | |
Debt instrument, face amount | $ 1,201,745,000 | ||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.01 | ||
Payments of Financing Costs | $ 18,636,000 | 2,341,000 | |
Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Beneficial ownership of outstanding common shares | 9.70% | ||
Interest Paid | $ 10,600,000 | ||
Energy Strategic Advisory Services LLC (ESAS) [Member] | |||
Related Party Transaction [Line Items] | |||
Beneficial ownership of outstanding common shares | 6.50% | ||
Interest Paid | $ 1,200,000 | ||
Services and Investment Agreement, Monthly Fee | $ 300,000 | ||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 80,000,000 | ||
Equity-based compensation related to warrants | $ (3,600,000) | $ 2,000,000 | |
Oaktree [Member] | |||
Related Party Transaction [Line Items] | |||
Beneficial ownership of outstanding common shares | 10.90% | ||
1.5 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | $ 300,000,000 | ||
1.75 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 682,754,000 | ||
Secured Debt [Member] | 1.5 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | $ 300,000,000 | ||
Payments of Financing Costs | 4,500,000 | ||
Secured Debt [Member] | 1.5 Lien Notes [Member] | Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 151,000,000 | ||
Secured Debt [Member] | 1.5 Lien Notes [Member] | Energy Strategic Advisory Services LLC (ESAS) [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 70,000,000 | ||
Payments of Financing Costs | 2,100,000 | ||
Secured Debt [Member] | 1.5 Lien Notes [Member] | Oaktree [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 39,500,000 | ||
Payments of Financing Costs | 1,200,000 | ||
Secured Debt [Member] | 1.75 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 682,800,000 | ||
Payments of Financing Costs | $ 8,600,000 | ||
Secured Debt [Member] | 1.75 Lien Notes [Member] | Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 412,100,000 | ||
Secured Debt [Member] | 1.75 Lien Notes [Member] | Energy Strategic Advisory Services LLC (ESAS) [Member] | |||
Related Party Transaction [Line Items] | |||
Debt instrument, face amount | 47,900,000 | ||
Payments of Financing Costs | $ 1,600,000 | ||
Commitment Fee Warrants [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.01 | ||
Commitment Fee Warrants [Member] | Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 6,471,433 | ||
Commitment Fee Warrants [Member] | Secured Debt [Member] | 1.5 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 6,471,433 | ||
Financing Warrants [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.93 | ||
Financing Warrants [Member] | Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 162,365,599 | ||
Financing Warrants [Member] | Energy Strategic Advisory Services LLC (ESAS) [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 75,268,818 | ||
Financing Warrants [Member] | Secured Debt [Member] | 1.5 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 322,580,655 | ||
Financing Warrants [Member] | Secured Debt [Member] | 1.5 Lien Notes [Member] | Oaktree [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 42,473,119 | ||
Amendment Fee Warrants [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.01 | ||
Amendment Fee Warrants [Member] | Fairfax [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 19,412,035 | ||
Amendment Fee Warrants [Member] | Secured Debt [Member] | 1.75 Lien Notes [Member] | |||
Related Party Transaction [Line Items] | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 19,883,077 | ||
Maximum [Member] | Energy Strategic Advisory Services LLC (ESAS) [Member] | |||
Related Party Transaction [Line Items] | |||
Services and Investment Agreement, Annual Incentive Payment, Maximum | $ 2,400,000 |
Condensed Consolidating Finan45
Condensed Consolidating Financial Statements (Schedule Of Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Mar. 15, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
Current assets: | |||||
Cash and cash equivalents | $ 32,029 | $ 9,068 | $ 46,216 | $ 12,247 | |
Restricted cash | 15,595 | 11,150 | |||
Other current assets | 65,201 | 90,399 | |||
Total current assets | 112,825 | 110,617 | |||
Equity investments | 24,682 | 24,365 | |||
Unproved oil and natural gas properties and development costs not being amortized | 101,944 | 97,080 | |||
Proved developed and undeveloped oil and natural gas properties | 2,953,279 | 2,939,923 | |||
Accumulated depletion | (2,713,447) | (2,702,245) | |||
Oil and natural gas properties, net | 341,776 | 334,758 | |||
Other property and equipment, net | 23,405 | 23,661 | |||
Investments in and advances to affiliates, net | 0 | 0 | |||
Deferred financing costs, net | 4,205 | 4,376 | |||
Derivative financial instruments - commodity derivatives | 662 | 482 | |||
Goodwill | 163,155 | 163,155 | |||
Total assets | 670,710 | 661,414 | |||
Liabilities and shareholders’ equity | |||||
Current liabilities | 221,217 | 258,363 | |||
Long-term debt | 1,142,782 | 1,258,538 | |||
Derivative financial instruments - common share warrants | 155,136 | $ 161,100 | 0 | ||
Other long-term liabilities | 17,018 | 16,419 | |||
Payable to parent | 0 | 0 | |||
Total shareholders' equity | (865,443) | (871,906) | (788,006) | (662,323) | |
Total liabilities and shareholders' equity | 670,710 | 661,414 | |||
Resources [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 43,025 | 24,610 | 59,944 | 34,296 | |
Restricted cash | 0 | 0 | |||
Other current assets | 6,117 | 6,463 | |||
Total current assets | 49,142 | 31,073 | |||
Equity investments | 0 | 0 | |||
Unproved oil and natural gas properties and development costs not being amortized | 0 | 0 | |||
Proved developed and undeveloped oil and natural gas properties | 332,401 | 331,823 | |||
Accumulated depletion | (330,776) | (330,776) | |||
Oil and natural gas properties, net | 1,625 | 1,047 | |||
Other property and equipment, net | 507 | 568 | |||
Investments in and advances to affiliates, net | 440,865 | 430,168 | |||
Deferred financing costs, net | 4,205 | 4,376 | |||
Derivative financial instruments - commodity derivatives | 662 | 482 | |||
Goodwill | 13,293 | 13,293 | |||
Total assets | 510,299 | 481,007 | |||
Liabilities and shareholders’ equity | |||||
Current liabilities | 73,639 | 90,671 | |||
Long-term debt | 1,142,782 | 1,258,538 | |||
Derivative financial instruments - common share warrants | 155,136 | ||||
Other long-term liabilities | 4,185 | 3,704 | |||
Payable to parent | 0 | 0 | |||
Total shareholders' equity | (865,443) | (871,906) | |||
Total liabilities and shareholders' equity | 510,299 | 481,007 | |||
Guarantor Subsidiaries [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | (10,996) | (15,542) | (13,728) | (22,049) | |
Restricted cash | 15,595 | 11,150 | |||
Other current assets | 59,084 | 83,936 | |||
Total current assets | 63,683 | 79,544 | |||
Equity investments | 0 | 0 | |||
Unproved oil and natural gas properties and development costs not being amortized | 101,944 | 97,080 | |||
Proved developed and undeveloped oil and natural gas properties | 2,620,878 | 2,608,100 | |||
Accumulated depletion | (2,382,671) | (2,371,469) | |||
Oil and natural gas properties, net | 340,151 | 333,711 | |||
Other property and equipment, net | 22,898 | 23,093 | |||
Investments in and advances to affiliates, net | 0 | 0 | |||
Deferred financing costs, net | 0 | 0 | |||
Derivative financial instruments - commodity derivatives | 0 | 0 | |||
Goodwill | 149,862 | 149,862 | |||
Total assets | 576,594 | 586,210 | |||
Liabilities and shareholders’ equity | |||||
Current liabilities | 147,578 | 167,692 | |||
Long-term debt | 0 | 0 | |||
Derivative financial instruments - common share warrants | 0 | ||||
Other long-term liabilities | 12,833 | 12,715 | |||
Payable to parent | 2,344,583 | 2,337,585 | |||
Total shareholders' equity | (1,928,400) | (1,931,782) | |||
Total liabilities and shareholders' equity | 576,594 | 586,210 | |||
Non-Guarantor Subsidiaries [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | |
Restricted cash | 0 | 0 | |||
Other current assets | 0 | 0 | |||
Total current assets | 0 | 0 | |||
Equity investments | 24,682 | 24,365 | |||
Unproved oil and natural gas properties and development costs not being amortized | 0 | 0 | |||
Proved developed and undeveloped oil and natural gas properties | 0 | 0 | |||
Accumulated depletion | 0 | 0 | |||
Oil and natural gas properties, net | 0 | 0 | |||
Other property and equipment, net | 0 | 0 | |||
Investments in and advances to affiliates, net | 0 | 0 | |||
Deferred financing costs, net | 0 | 0 | |||
Derivative financial instruments - commodity derivatives | 0 | 0 | |||
Goodwill | 0 | 0 | |||
Total assets | 24,682 | 24,365 | |||
Liabilities and shareholders’ equity | |||||
Current liabilities | 0 | 0 | |||
Long-term debt | 0 | 0 | |||
Derivative financial instruments - common share warrants | 0 | ||||
Other long-term liabilities | 0 | 0 | |||
Payable to parent | 0 | 0 | |||
Total shareholders' equity | 24,682 | 24,365 | |||
Total liabilities and shareholders' equity | 24,682 | 24,365 | |||
Consolidation, Eliminations [Member] | |||||
Current assets: | |||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 | |
Restricted cash | 0 | 0 | |||
Other current assets | 0 | 0 | |||
Total current assets | 0 | 0 | |||
Equity investments | 0 | 0 | |||
Unproved oil and natural gas properties and development costs not being amortized | 0 | 0 | |||
Proved developed and undeveloped oil and natural gas properties | 0 | 0 | |||
Accumulated depletion | 0 | 0 | |||
Oil and natural gas properties, net | 0 | 0 | |||
Other property and equipment, net | 0 | 0 | |||
Investments in and advances to affiliates, net | (440,865) | (430,168) | |||
Deferred financing costs, net | 0 | 0 | |||
Derivative financial instruments - commodity derivatives | 0 | 0 | |||
Goodwill | 0 | 0 | |||
Total assets | (440,865) | (430,168) | |||
Liabilities and shareholders’ equity | |||||
Current liabilities | 0 | 0 | |||
Long-term debt | 0 | 0 | |||
Derivative financial instruments - common share warrants | 0 | ||||
Other long-term liabilities | 0 | 0 | |||
Payable to parent | (2,344,583) | (2,337,585) | |||
Total shareholders' equity | 1,903,718 | 1,907,417 | |||
Total liabilities and shareholders' equity | $ (440,865) | $ (430,168) |
Condensed Consolidating Finan46
Condensed Consolidating Financial Statements (Schedule Of Condensed Consolidating Statement Of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Oil and natural gas | $ 69,356 | $ 51,649 |
Purchased natural gas and marketing | 7,173 | 4,441 |
Total revenues | 76,529 | 56,090 |
Oil and natural gas production | 11,933 | 14,118 |
Gathering and transportation | 27,353 | 25,105 |
Purchased natural gas | 6,452 | 5,966 |
Depletion, depreciation and amortization | 11,508 | 29,001 |
Impairment of oil and natural gas properties | 0 | 134,599 |
Accretion of discount on asset retirement obligations | 212 | 912 |
General and administrative | 4,415 | 10,897 |
Other operating items | 1,069 | 190 |
Total costs and expenses | 62,942 | 220,788 |
Operating income (loss) | 13,587 | (164,698) |
Interest expense, net | (19,952) | (19,257) |
Gain on derivative financial instruments - commodity derivatives | 15,533 | 16,591 |
Gain on derivative financial instruments - common share warrants | 6,004 | 0 |
Gain (Loss) on Restructuring of Debt and Extinguishment of Debt | (6,272) | 45,114 |
Other income (loss) | 4 | 12 |
Equity income (loss) | 317 | (7,910) |
Net earnings (loss) from consolidated subsidiaries | 0 | 0 |
Total other income (expense) | (4,366) | 34,550 |
Income (loss) before income taxes | 9,221 | (130,148) |
Income tax expense | 1,028 | 0 |
Net income (loss) | 8,193 | (130,148) |
Resources [Member] | ||
Oil and natural gas | 0 | 0 |
Purchased natural gas and marketing | 0 | 0 |
Total revenues | 0 | 0 |
Oil and natural gas production | 0 | 3 |
Gathering and transportation | 0 | 0 |
Purchased natural gas | 0 | 0 |
Depletion, depreciation and amortization | 61 | 119 |
Impairment of oil and natural gas properties | 0 | 547 |
Accretion of discount on asset retirement obligations | 0 | 0 |
General and administrative | (10,667) | (3,967) |
Other operating items | 398 | (407) |
Total costs and expenses | (10,208) | (3,705) |
Operating income (loss) | 10,208 | 3,705 |
Interest expense, net | (19,952) | (19,257) |
Gain on derivative financial instruments - commodity derivatives | 15,533 | 16,591 |
Gain on derivative financial instruments - common share warrants | 6,004 | |
Gain (Loss) on Restructuring of Debt and Extinguishment of Debt | (6,272) | 45,114 |
Other income (loss) | 1 | 2 |
Equity income (loss) | 0 | 0 |
Net earnings (loss) from consolidated subsidiaries | 3,699 | (176,303) |
Total other income (expense) | (987) | (133,853) |
Income (loss) before income taxes | 9,221 | (130,148) |
Income tax expense | 1,028 | 0 |
Net income (loss) | 8,193 | (130,148) |
Guarantor Subsidiaries [Member] | ||
Oil and natural gas | 69,356 | 51,649 |
Purchased natural gas and marketing | 7,173 | 4,441 |
Total revenues | 76,529 | 56,090 |
Oil and natural gas production | 11,933 | 14,115 |
Gathering and transportation | 27,353 | 25,105 |
Purchased natural gas | 6,452 | 5,966 |
Depletion, depreciation and amortization | 11,447 | 28,882 |
Impairment of oil and natural gas properties | 0 | 134,052 |
Accretion of discount on asset retirement obligations | 212 | 912 |
General and administrative | 15,082 | 14,864 |
Other operating items | 671 | 597 |
Total costs and expenses | 73,150 | 224,493 |
Operating income (loss) | 3,379 | (168,403) |
Interest expense, net | 0 | 0 |
Gain on derivative financial instruments - commodity derivatives | 0 | 0 |
Gain on derivative financial instruments - common share warrants | 0 | |
Gain (Loss) on Restructuring of Debt and Extinguishment of Debt | 0 | 0 |
Other income (loss) | 3 | 10 |
Equity income (loss) | 0 | 0 |
Net earnings (loss) from consolidated subsidiaries | 0 | 0 |
Total other income (expense) | 3 | 10 |
Income (loss) before income taxes | 3,382 | (168,393) |
Income tax expense | 0 | 0 |
Net income (loss) | 3,382 | (168,393) |
Non-Guarantor Subsidiaries [Member] | ||
Oil and natural gas | 0 | 0 |
Purchased natural gas and marketing | 0 | 0 |
Total revenues | 0 | 0 |
Oil and natural gas production | 0 | 0 |
Gathering and transportation | 0 | 0 |
Purchased natural gas | 0 | 0 |
Depletion, depreciation and amortization | 0 | 0 |
Impairment of oil and natural gas properties | 0 | 0 |
Accretion of discount on asset retirement obligations | 0 | 0 |
General and administrative | 0 | 0 |
Other operating items | 0 | 0 |
Total costs and expenses | 0 | 0 |
Operating income (loss) | 0 | 0 |
Interest expense, net | 0 | 0 |
Gain on derivative financial instruments - commodity derivatives | 0 | 0 |
Gain on derivative financial instruments - common share warrants | 0 | |
Gain (Loss) on Restructuring of Debt and Extinguishment of Debt | 0 | 0 |
Other income (loss) | 0 | 0 |
Equity income (loss) | 317 | (7,910) |
Net earnings (loss) from consolidated subsidiaries | 0 | 0 |
Total other income (expense) | 317 | (7,910) |
Income (loss) before income taxes | 317 | (7,910) |
Income tax expense | 0 | 0 |
Net income (loss) | 317 | (7,910) |
Consolidation, Eliminations [Member] | ||
Oil and natural gas | 0 | 0 |
Purchased natural gas and marketing | 0 | 0 |
Total revenues | 0 | 0 |
Oil and natural gas production | 0 | 0 |
Gathering and transportation | 0 | 0 |
Purchased natural gas | 0 | 0 |
Depletion, depreciation and amortization | 0 | 0 |
Impairment of oil and natural gas properties | 0 | 0 |
Accretion of discount on asset retirement obligations | 0 | 0 |
General and administrative | 0 | 0 |
Other operating items | 0 | 0 |
Total costs and expenses | 0 | 0 |
Operating income (loss) | 0 | 0 |
Interest expense, net | 0 | 0 |
Gain on derivative financial instruments - commodity derivatives | 0 | 0 |
Gain on derivative financial instruments - common share warrants | 0 | |
Gain (Loss) on Restructuring of Debt and Extinguishment of Debt | 0 | 0 |
Other income (loss) | 0 | 0 |
Equity income (loss) | 0 | 0 |
Net earnings (loss) from consolidated subsidiaries | (3,699) | 176,303 |
Total other income (expense) | (3,699) | 176,303 |
Income (loss) before income taxes | (3,699) | 176,303 |
Income tax expense | 0 | 0 |
Net income (loss) | $ (3,699) | $ 176,303 |
Condensed Consolidating Finan47
Condensed Consolidating Financial Statements (Schedule Of Condensed Consolidating Statement Of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Net cash provided by (used in) operating activities | $ 5,196 | $ 27,981 |
Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions | (11,857) | (32,486) |
Restricted cash | (4,445) | (5,184) |
Net changes in amounts due to joint ventures | (3,723) | 1,001 |
Advances/investments with affiliates | 0 | 0 |
Net cash used in investing activities | (20,025) | (36,669) |
Borrowings under EXCO Resources Credit Agreement | 25,000 | 297,897 |
Repayments under EXCO Resources Credit Agreement | (253,592) | (232,397) |
Proceeds received from issuance of 1.5 Lien Notes, net | 295,530 | 0 |
Payments on Exchange Term Loan | (10,512) | (12,639) |
Repurchases of senior unsecured notes | 0 | (7,863) |
Debt financing costs and other | (18,636) | (2,341) |
Net cash provided by financing activities | 37,790 | 42,657 |
Net increase in cash | 22,961 | 33,969 |
Cash at beginning of period | 9,068 | 12,247 |
Cash at end of period | 32,029 | 46,216 |
Resources [Member] | ||
Net cash provided by (used in) operating activities | (12,106) | 7,762 |
Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions | (271) | (428) |
Restricted cash | 0 | 0 |
Net changes in amounts due to joint ventures | 0 | 0 |
Advances/investments with affiliates | (6,998) | (24,343) |
Net cash used in investing activities | (7,269) | (24,771) |
Borrowings under EXCO Resources Credit Agreement | 25,000 | 297,897 |
Repayments under EXCO Resources Credit Agreement | (253,592) | (232,397) |
Proceeds received from issuance of 1.5 Lien Notes, net | 295,530 | |
Payments on Exchange Term Loan | (10,512) | (12,639) |
Repurchases of senior unsecured notes | (7,863) | |
Debt financing costs and other | (18,636) | (2,341) |
Net cash provided by financing activities | 37,790 | 42,657 |
Net increase in cash | 18,415 | 25,648 |
Cash at beginning of period | 24,610 | 34,296 |
Cash at end of period | 43,025 | 59,944 |
Guarantor Subsidiaries [Member] | ||
Net cash provided by (used in) operating activities | 17,302 | 20,219 |
Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions | (11,586) | (32,058) |
Restricted cash | (4,445) | (5,184) |
Net changes in amounts due to joint ventures | (3,723) | 1,001 |
Advances/investments with affiliates | 6,998 | 24,343 |
Net cash used in investing activities | (12,756) | (11,898) |
Borrowings under EXCO Resources Credit Agreement | 0 | 0 |
Repayments under EXCO Resources Credit Agreement | 0 | 0 |
Proceeds received from issuance of 1.5 Lien Notes, net | 0 | |
Payments on Exchange Term Loan | 0 | 0 |
Repurchases of senior unsecured notes | 0 | |
Debt financing costs and other | 0 | 0 |
Net cash provided by financing activities | 0 | 0 |
Net increase in cash | 4,546 | 8,321 |
Cash at beginning of period | (15,542) | (22,049) |
Cash at end of period | (10,996) | (13,728) |
Non-Guarantor Subsidiaries [Member] | ||
Net cash provided by (used in) operating activities | 0 | 0 |
Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions | 0 | 0 |
Restricted cash | 0 | 0 |
Net changes in amounts due to joint ventures | 0 | 0 |
Advances/investments with affiliates | 0 | 0 |
Net cash used in investing activities | 0 | 0 |
Borrowings under EXCO Resources Credit Agreement | 0 | 0 |
Repayments under EXCO Resources Credit Agreement | 0 | 0 |
Proceeds received from issuance of 1.5 Lien Notes, net | 0 | |
Payments on Exchange Term Loan | 0 | 0 |
Repurchases of senior unsecured notes | 0 | |
Debt financing costs and other | 0 | 0 |
Net cash provided by financing activities | 0 | 0 |
Net increase in cash | 0 | 0 |
Cash at beginning of period | 0 | 0 |
Cash at end of period | 0 | 0 |
Consolidation, Eliminations [Member] | ||
Net cash provided by (used in) operating activities | 0 | 0 |
Additions to oil and natural gas properties, gathering assets and equipment and property acquisitions | 0 | 0 |
Restricted cash | 0 | 0 |
Net changes in amounts due to joint ventures | 0 | 0 |
Advances/investments with affiliates | 0 | 0 |
Net cash used in investing activities | 0 | 0 |
Borrowings under EXCO Resources Credit Agreement | 0 | 0 |
Repayments under EXCO Resources Credit Agreement | 0 | 0 |
Proceeds received from issuance of 1.5 Lien Notes, net | 0 | |
Payments on Exchange Term Loan | 0 | 0 |
Repurchases of senior unsecured notes | 0 | |
Debt financing costs and other | 0 | 0 |
Net cash provided by financing activities | 0 | 0 |
Net increase in cash | 0 | 0 |
Cash at beginning of period | 0 | 0 |
Cash at end of period | $ 0 | $ 0 |
Subsequent Event (Details)
Subsequent Event (Details) $ in Thousands | Apr. 07, 2017USD ($)MBoe | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) |
Subsequent Event [Line Items] | |||
Revenues less operating expenses | $ 13,587 | $ (164,698) | |
Venado [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | |||
Subsequent Event [Line Items] | |||
Production, Barrels of Oil Equivalents, Per Day | MBoe | 4 | ||
Revenues less operating expenses | $ 10,700 | ||
Venado [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Scenario, Forecast [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Purchase price | $ 300,000 | ||
Deposit | $ 30,000 |