Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Jan. 31, 2021 | Jun. 30, 2020 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2020 | ||
Entity File Number | 1-8754 | ||
Entity Registrant Name | SILVERBOW RESOURCES, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 20-3940661 | ||
Entity Address, Address Line One | 575 North Dairy Ashford | ||
Entity Address, Address Line Two | Suite 1200 | ||
Entity Address, City or Town | Houston | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 77079 | ||
City Area Code | (281) | ||
Local Phone Number | 874-2700 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | SBOW | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Public Float | $ 14,623,839 | ||
Entity Common Stock, Shares Outstanding | 11,936,679 | ||
Entity Central Index Key | 0000351817 | ||
Current Fiscal Year End Date | --12-31 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Filer Category | Non-accelerated Filer | ||
Document Transition Report | false | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | true | ||
Entity Shell Company | false | ||
Document Annual Report | true |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 2,118 | $ 1,358 |
Accounts receivable | 25,850 | 36,996 |
Fair value of commodity derivatives | 4,821 | 12,833 |
Other current assets | 2,184 | 2,121 |
Total Current Assets | 34,973 | 53,308 |
Property and Equipment: | ||
Property and Equipment, Full-Cost Method, including $28,090 and $41,201 of unproved property costs not being amortized | 1,343,373 | 1,247,717 |
Less - Accumulated depreciation, depletion, and amortization | (801,279) | (380,728) |
Property and Equipment, Net | 542,094 | 866,989 |
Operating Lease, Right-of-Use Asset | 4,366 | 9,374 |
Fair value of long-term commodity derivatives | 281 | 3,854 |
Deferred Tax Assets, Net | 0 | 22,669 |
Other Long-Term Assets | 1,421 | 3,622 |
Total Assets | 583,135 | 959,816 |
Current Liabilities: | ||
Accounts payable and accrued liabilities | 26,991 | 39,343 |
Fair value of commodity derivatives | 8,171 | 6,644 |
Accrued capital costs | 7,324 | 17,889 |
Accrued interest | 983 | 1,397 |
Current lease liability | 3,473 | 6,707 |
Undistributed oil and gas revenues | 11,098 | 9,166 |
Total Current Liabilities | 58,040 | 81,146 |
Long-Term Debt | 424,905 | 472,900 |
Non-current lease liability | 951 | 2,813 |
Deferred tax liabilities, net | 303 | 1,582 |
Asset Retirement Obligation | 4,533 | 4,055 |
Fair value of long-term commodity derivatives | 2,946 | 1,613 |
Other long-term liabilities | 424 | 0 |
Stockholders' Equity: | ||
Preferred Stock, Value, Outstanding | 0 | 0 |
Common Stock, Value, Issued | 121 | 119 |
Additional paid-in capital | 297,712 | 292,916 |
Treasury Stock, Value | (2,372) | (2,282) |
Retained earnings (Accumulated deficit) | (204,428) | 104,954 |
Total Stockholders' Equity (Deficit) | 91,033 | 395,707 |
Total Liabilities and Stockholders' Equity | $ 583,135 | $ 959,816 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Capitalized Costs, Unproved Properties | $ 28,090 | $ 41,201 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 12,053,763 | 11,895,032 |
Common stock, shares outstanding | 11,936,679 | 11,806,679 |
Treasury stock shares held, at cost | 117,084 | 88,353 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues: | ||
Oil and gas sales | $ 177,386 | $ 288,631 |
Costs and Expenses: | ||
General and administrative, net | 22,608 | 24,851 |
Depreciation, depletion, and amortization | 64,564 | 95,915 |
Accretion of asset retirement obligation | 354 | 329 |
Lease operating cost | 21,360 | 20,763 |
Results of Operations, Expense, Other | 8 | 628 |
Results of Operations, Transportation Costs | 20,649 | 26,968 |
Severance and other taxes | 10,514 | 13,874 |
Write-down of oil and gas properties | 355,948 | 0 |
Total Operating Expenses | 496,005 | 183,328 |
Operating Income (Loss) | (318,619) | 105,303 |
Net gain (loss) on commodity derivatives | 61,304 | 24,242 |
Interest expense, net | (31,228) | (36,561) |
Other income (expense), net | 72 | 90 |
Income (Loss) Before Income Taxes | (288,471) | 93,074 |
Provision (Benefit) for Income Taxes | 20,911 | (21,582) |
Net Income (Loss) | $ (309,382) | $ 114,656 |
Per Share Amounts- | ||
Earnings (Loss) Per Share, Basic | $ (25.99) | $ 9.76 |
Earnings (Loss) Per Share, Diluted | $ (25.99) | $ 9.74 |
Weighted Average Shares Outstanding - Basic | 11,902 | 11,753 |
Weighted Average Shares Outstanding - Diluted | 11,902 | 11,778 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings (Deficit) |
Beginning Balance | $ 274,827,000 | $ 118,000 | $ 286,281,000 | $ (1,870,000) | $ (9,702,000) |
Purchase of treasury shares | (412,000) | 0 | 0 | (412,000) | 0 |
Issuance of restricted stock | 0 | 1,000 | (1,000) | 0 | 0 |
Amortization of share-based compensation | 6,636,000 | 0 | 6,636,000 | 0 | 0 |
Net Income (Loss) | 114,656,000 | 0 | 0 | 0 | 114,656,000 |
Beginning Balance | 395,707,000 | 119,000 | 292,916,000 | (2,282,000) | 104,954,000 |
Shares issued from option exercise | 0 | 0 | 0 | 0 | 0 |
Purchase of treasury shares | (90,000) | 0 | 0 | (90,000) | 0 |
Issuance of restricted stock | 1,000 | 2,000 | (1,000) | 0 | 0 |
Amortization of share-based compensation | 4,797,000 | 0 | 4,797,000 | 0 | 0 |
Net Income (Loss) | (309,382,000) | 0 | 0 | 0 | (309,382,000) |
Beginning Balance | $ 91,033,000 | $ 121,000 | $ 297,712,000 | $ (2,372,000) | $ (204,428,000) |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Shares issued from stock option exercises | 5 | 0 |
Purchase of treasury shares (shares) | 28,731 | 22,482 |
Issuance of common stock (shares) | 0 | 0 |
Issuance of restricted stock (shares) | 158,726 | 137,060 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Cash Flows from Operating Activities: | ||
Net Income (Loss) | $ (309,382) | $ 114,656 |
Adjustments to reconcile net income to net cash provided by operation activities - | ||
Write-down of oil and gas properties | 355,948 | 0 |
Depreciation, depletion, and amortization | 64,564 | 95,915 |
Accretion of asset retirement obligation | 354 | 329 |
Deferred income taxes | 21,390 | (22,101) |
Stock-based compensation expense | 4,557 | 6,148 |
Gain (Loss) on Sale of Derivatives | (61,304) | (24,242) |
Cash Received (Paid) On Settlements of Derivative Contracts | 78,421 | 24,631 |
Asset Retirement Obligation, Cash Paid to Settle | (94) | (83) |
Write off of Deferred Debt Issuance Cost | 557 | 82 |
Other Noncash Income (Expense) | 3,061 | 2,930 |
Change in assets and liabilities- | ||
(Increase) decrease in accounts receivable and other assets | 9,011 | 11,605 |
Increase (decrease) in accounts payable and accrued liabilities | (977) | (7,100) |
Increase (decrease) in income taxes payable | 480 | (519) |
Increase (decrease) in accrued interest | (414) | (116) |
Net Cash Provided by Operating Activities | 165,212 | 203,173 |
Cash Flows from Investing Activities: | ||
Additions to property and equipment | (114,738) | (282,660) |
Acquisition of properties | (4,544) | 0 |
Proceeds from (adjustments to) the sale of property and equipment | 4,777 | (96) |
Payments for (Proceeds from) Other Investing Activities | (826) | (5,112) |
Net Cash Used in Investing Activities | (115,331) | (287,868) |
Cash Flows from Financing Activities: | ||
Proceeds from bank borrowings | 107,000 | 381,000 |
Payments of bank borrowings | (156,000) | (297,000) |
Purchase of treasury shares | (90) | (412) |
Payments of debt issuance costs | (31) | 0 |
Net Cash Provided by (Used in) Financing Activities | (49,121) | 83,588 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Excluding Exchange Rate Effect | 760 | (1,107) |
Total Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 2,118 | 1,358 |
Supplemental Disclosures of Cash Flows Information: | ||
Cash paid during period for interest, net of amounts capitalized | 28,929 | 34,408 |
Increase (decrease) in accrued payables for capital | $ (19,365) | $ (21,584) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation . The accompanying consolidated financial statements include the accounts of SilverBow Resources and its wholly owned subsidiary, SilverBow Resources Operating LLC, which are engaged in the exploration, development, acquisition, and operation of oil and gas properties, with a focus on oil and natural gas reserves in the Eagle Ford trend in Texas. Our undivided interests in oil and gas properties are accounted for using the proportionate consolidation method, whereby our proportionate share of the assets, liabilities, revenues, and expenses are included in the appropriate classifications in the accompanying consolidated financial statements. Intercompany balances and transactions have been eliminated in preparing the accompanying consolidated financial statements. COVID-19 . In March and April 2020, the COVID-19 pandemic caused volatility in the market price for crude oil due to the disruption of global supply and demand. In March, the spot price of West Texas Intermediate (“WTI”) crude oil declined over 50% in response to reductions in global demand due to the COVID-19 pandemic and announcements by Saudi Arabia and Russia of plans to increase crude oil production. Following this unprecedented collapse in crude oil prices, the spot price of Brent and WTI crude oil closed at approximately $15 and $21 per barrel, respectively, on March 31, 2020. In April 2020, WTI oil prices declined further to approximately $10 per barrel for May 2020 delivery. Crude oil prices fell further in April but partially recovered during the second quarter of 2020 with Brent and WTI crude oil closing at approximately $41 and $39 per barrel, respectively, on June 30, 2020. Crude oil prices traded slightly higher in the third quarter of 2020 with Brent and WTI crude closing at approximately $42 and $40 per barrel, on September 30, 2020. Crude oil prices continued to improve in the fourth quarter of 2020 with Brent and WTI crude closing at approximately $52 and $49 per barrel, respectively, on December 31, 2020. In response to these market conditions, including the COVID-19 pandemic and the decline in oil prices and economic outlook, the Company released its sole drilling rig in April 2020, and deferred the completion and placement on production of eight wells until the second half of 2020. In the third quarter of 2020, the Company restarted completions activity and returned to sales all previously curtailed oil volumes and a substantial portion of natural gas volumes. Approximately 20 million cubic feet per day (“MMcf/d”) of net gas production remained shut-in at quarter-end. The Company began returning these volumes to production in late October 2020 to align with favorable natural gas prices, with all previously shut-in volumes returned to production as of December 31, 2020. The full impact of the COVID-19 pandemic continues to evolve as of the date of this report. As such, the full magnitude that the pandemic will have on the Company’s financial condition, liquidity, and future results of operations is uncertain. Management is actively monitoring the impact of the COVID-19 pandemic on the Company's financial condition, liquidity, operations, suppliers, industry and workforce. In addition, if the depressed pricing environment continues for an extended period, it may in the future lead to (i) a further reduction in oil and natural gas reserves, including the possible further removal of proved undeveloped reserves (ii) further impairment of proved and/or unproved oil and natural gas properties and a potential increase in depletion expense and (iii) reductions in the borrowing base under the Credit Agreement as discussed in Note 4. If the COVID-19 pandemic and volatile oil price environment continues, it may have a material adverse effect on the Company’s operating cash flows, liquidity, and future development plans. Subsequent Events . We have evaluated subsequent events requiring potential accrual or disclosure in our condensed consolidated financial statements. On February 5, 2021, and in the ordinary course of business, the Company entered into a new five-year lease agreement for office space in Houston, Texas. The operating lease begins on May 18, 2021. Through February 26, 2021, the Company entered into additional derivative contracts. The following tables summarize the weighted-average prices as well as future production volumes for our future derivative contracts entered into after December 31, 2020: Oil Derivative Contracts Total Volumes (Bbls) (1) Weighted-Average Price 2021 Contracts Swap Purchase Contracts 1Q21 (2) 13,750 $ 53.10 2Q21 (2) 51,050 $ 53.22 2022 Contracts Swap Contracts 1Q22 45,000 $ 50.00 2Q22 45,500 $ 50.00 3Q22 46,000 $ 50.00 4Q22 46,000 $ 50.00 (1) Bbl refers to one barrel of oil. (2) Transaction for a swap purchase to reduce overall hedge position. Oil Derivative Contracts Total Volumes Weighted-Average Price Calendar Monthly Roll Differential Swaps 2022 Contracts 1Q22 90,000 $ 0.18 2Q22 91,000 $ 0.18 3Q22 92,000 $ 0.18 4Q22 92,000 $ 0.18 Natural Gas Derivative Contracts Total Volumes Weighted-Average Collar Floor Price Weighted-Average Collar Call Price 2021 Contracts 2Q21 1,820,000 $ 2.83 $ 2.98 3Q21 1,850,000 $ 2.88 $ 3.09 4Q21 1,840,000 $ 2.95 $ 3.18 2022 Contracts 1Q22 3,150,000 $ 2.95 $ 3.31 Natural Gas Basis Derivative Swaps Total Volumes (MMBtu) Weighted Average Price 2022 Contracts 1Q22 900,000 $ (0.030) 2Q22 910,000 $ (0.030) 3Q22 920,000 $ (0.030) 4Q22 920,000 $ (0.030) NGL Contracts Total Volumes Weighted-Average Price 2021 Contracts 1Q21 101,714 $ 23.14 2Q21 144,733 $ 24.13 3Q21 146,324 $ 24.13 4Q21 146,324 $ 24.13 Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and the reported amounts of certain revenues and expenses during each reporting period. Such estimates and assumptions are subject to a number of risks and uncertainties that may cause actual results to differ materially from such estimates. Significant estimates and assumptions underlying these financial statements include: • the estimated quantities of proved oil and natural gas reserves used to compute depletion of oil and natural gas properties, the related present value of estimated future net cash flows therefrom, and the Ceiling Test impairment calculation, • estimates related to the collectability of accounts receivable and the credit worthiness of our customers, • estimates of the counterparty bank risk related to letters of credit that our customers may have issued on our behalf, • estimates of future costs to develop and produce reserves, • accruals related to oil and gas sales, capital expenditures and lease operating expenses, • estimates in the calculation of share-based compensation expense, • estimates of our ownership in properties prior to final division of interest determination, • the estimated future cost and timing of asset retirement obligations, • estimates made in our income tax calculations, • estimates in the calculation of the fair value of commodity derivative assets and liabilities, • estimates in the assessment of current litigation claims against the Company, • estimates in amounts due with respect to open state regulatory audits, and • estimates on future lease obligations. While we are not currently aware of any material revisions to any of our estimates, there may be future revisions to our estimates resulting from matters such as new accounting pronouncements, changes in ownership interests, payouts, joint venture audits, reallocations by purchasers or pipelines, or other corrections and adjustments common in the oil and gas industry, many of which relate to prior periods. These types of adjustments cannot be currently estimated and are expected to be recorded in the period during which the adjustments are known. We are subject to legal proceedings, claims, liabilities and environmental matters that arise in the ordinary course of business. We accrue for losses when such losses are considered probable and the amounts can be reasonably estimated. Property and Equipment. We follow the “full-cost” method of accounting for oil and natural gas property and equipment costs. Under this method of accounting, all productive and nonproductive costs incurred in the exploration, development, and acquisition of oil and natural gas reserves are capitalized. Such costs may be incurred both prior to and after the acquisition of a property and include lease acquisitions, geological and geophysical services, drilling, completion, and equipment. Internal costs incurred that are directly identified with exploration, development, and acquisition activities undertaken by us for our own account, and which are not related to production, general corporate overhead, or similar activities, are also capitalized. For the years ended December 31, 2020 and 2019, such internal costs when capitalized totaled $3.5 million and $5.3 million, respectively. Interest costs are also capitalized to unproved oil and natural gas properties (refer to Note 4 of these Notes to Consolidated Financial Statements for further discussion on capitalized interest costs). The “Property and Equipment” balances on the accompanying consolidated balance sheets are summarized for presentation purposes. The following is a detailed breakout of our “Property and Equipment” balances (in thousands): December 31, December 31, Property and Equipment Proved oil and gas properties $ 1,310,008 $ 1,201,296 Unproved oil and gas properties 28,090 41,201 Furniture, fixtures, and other equipment 5,275 5,220 Less – Accumulated depreciation, depletion, amortization & impairment (801,279) (380,728) Property and Equipment, Net $ 542,094 $ 866,989 No gains or losses are recognized upon the sale or disposition of oil and natural gas properties, except in transactions involving a significant amount of reserves or where the proceeds from the sale of oil and natural gas properties would significantly alter the relationship between capitalized costs and proved reserves of oil and natural gas attributable to a cost center. Internal costs associated with selling properties are expensed as incurred. We compute the provision for depreciation, depletion and amortization (“DD&A”) of oil and natural gas properties using the unit-of-production method. Under this method, we compute the provision by multiplying the total unamortized costs of oil and gas properties—including future development costs, gas processing facilities, and both capitalized asset retirement obligations and undiscounted abandonment costs of wells to be drilled, net of salvage values, but excluding costs of unproved properties—by an overall rate determined by dividing the physical units of oil and natural gas produced (which excludes natural gas consumed in operations) during the period by the total estimated units of proved oil and natural gas reserves (which excludes natural gas consumed in operations) at the beginning of the period. Future development costs are estimated on a property-by-property basis based on current economic conditions. The period over which we will amortize these properties is dependent on our production from these properties in future years. Furniture, fixtures, and other equipment are recorded at cost and are depreciated by the straight-line method at rates based on the estimated useful lives of the property, which range between two Geological and geophysical (“G&G”) costs incurred on developed properties are recorded in “Proved oil and gas properties” and therefore subject to amortization. G&G costs incurred that are associated with unproved properties are capitalized in “Unproved oil and gas properties” and evaluated as part of the total capitalized costs associated with a prospect. The cost of unproved properties not being amortized is assessed quarterly, on a property-by-property basis, to determine whether such properties have been impaired. In determining whether such costs should be impaired, we evaluate current drilling results, lease expiration dates, current oil and gas industry conditions, economic conditions, capital availability, and available geological and geophysical information. Any impairment assessed is added to the cost of proved properties being amortized. Full-Cost Ceiling Test . At the end of each quarterly reporting period, the unamortized cost of oil and natural gas properties (including natural gas processing facilities, capitalized asset retirement obligations, net of related salvage values and deferred income taxes) is limited to the sum of the estimated future net revenues from proved properties (excluding cash outflows from recognized asset retirement obligations, including future development and abandonment costs of wells to be drilled, using the preceding 12-months’ average price based on closing prices on the first day of each month, adjusted for price differentials, discounted at 10%, and the lower of cost or fair value of unproved properties) adjusted for related income tax effects (“Ceiling Test”). The calculations of the Ceiling Test and provision for DD&A are based on estimates of proved reserves. There are numerous uncertainties inherent in estimating quantities of proved reserves and in projecting the future rates of production, timing, and plan of development. The accuracy of any reserves estimate is a function of the quality of available data and of engineering and geological interpretation and judgment. Results of drilling, testing, and production subsequent to the date of the estimate may justify revision of such estimates. Accordingly, reserves estimates are often different from the quantities of oil and natural gas that are ultimately recovered. There was a $355.9 million ceiling test write-down for the year ended December 31, 2020. There was no write-down for the year ended December 31, 2019. If future capital expenditures outpace future discounted net cash flows in our reserve calculations, if we have significant declines in our oil and natural gas reserves volumes (which also reduces our estimate of discounted future net cash flows from proved oil and natural gas reserves) or if oil or natural gas prices remain depressed or continue to decline, it is possible that non-cash write-downs of our oil and natural gas properties will occur in the future. We cannot control and cannot predict what future prices for oil and natural gas will be; therefore we cannot estimate the amount of any potential future non-cash write-down of our oil and natural gas properties due to decreases in oil or natural gas prices. Revenue Recognition . Our reported oil and gas sales are comprised of revenues from oil, natural gas and natural gas liquids (“NGLs”) sales. Revenues from each product stream are recognized at the point when control of the product is transferred to the customer and collectability is reasonably assured. Prices for our products are either negotiated on a monthly basis or tied to market indices. The Company has determined that these contracts represent performance obligations which are satisfied when control of the commodity transfers to the customer, typically through the delivery of the specified commodity to a designated delivery point. Natural gas revenues are recognized based on the actual volume of natural gas sold to the purchasers. The following table provides information regarding our oil and gas sales, by product, reported on the Consolidated Statements of Operations for years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Oil, natural gas and NGLs sales: Oil $ 57,651 $ 92,833 Natural gas 105,234 170,558 NGLs 14,500 25,241 Total $ 177,386 $ 288,631 Accounts Receivable, Net . We assess the collectability of accounts receivable, and based on our judgment, we accrue a reserve when we believe a receivable may not be collected. At both December 31, 2020 and 2019, we had an allowance for doubtful accounts of less than $0.1 million. The allowance for doubtful accounts has been deducted from the total “Accounts receivable, net” balance on the accompanying consolidated balance sheets. At December 31, 2020, our “Accounts receivable, net” balance included $18.8 million for oil and gas sales, $4.0 million due from joint interest owners, $2.4 million for severance tax credit receivables and $0.7 million for other receivables. At December 31, 2019, our “Accounts receivable, net” balance included $24.6 million for oil and gas sales, $3.7 million for joint interest owners, $5.4 million for severance tax credit receivables and $3.3 million for other receivables. Supervision Fees . Consistent with industry practice, we charge a supervision fee to the wells we operate including our wells in which we own up to a 100% working interest. Supervision fees are recorded as a reduction to “General and administrative, net”, on the accompanying consolidated statements of operations. The amount of supervision fees charged for each of the years ended December 31, 2020 and 2019 did not exceed our actual costs incurred. The total amount of supervision fees charged to the wells we operated was $4.4 million and $4.9 million for the years ended December 31, 2020 and 2019, respectively. Income Taxes. Deferred taxes are determined based on the estimated future tax effects of differences between the financial statement and tax basis of assets and liabilities, given the provisions of the enacted tax laws. Tax positions are evaluated for recognition using a more-likely-than-not threshold, and those tax positions requiring recognition are measured as the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. Our policy is to record interest and penalties relating to uncertain tax positions in income tax expense. At December 31, 2020, we did not have any accrued liability for uncertain tax positions. In March and April 2020, the COVID-19 pandemic caused volatility in the market price for crude oil due to the disruption of global supply and demand. In response to these market conditions and given the decline in oil prices and economic outlook for our Company, during the quarter ended June 30, 2020, management determined that it was not more likely than not that the Company would realize future cash benefits from its remaining federal carryover items and other deferred tax assets and, accordingly, recorded a full valuation allowance in the second quarter to offset its net deferred tax assets in excess of deferred tax liabilities. This resulted in tax expense of $21.2 million through the second quarter of 2020. Our income tax provision of $20.9 million for the year ended December 31, 2020 is inclusive of a state income tax benefit of $1.8 million. During the second quarter of 2019, the Company was able to complete several operational initiatives that resulted in increased production, lower development costs and expanded inventory of development prospects. The results of these initiatives led management to determine, after weighing both positive and negative evidence, that the Company would more likely than not be able to realize the benefits of its deferred tax assets. Accordingly, the Company released the valuation allowance resulting in a net deferred income tax benefit of $21.6 million, which is net of $1.1 million of state income tax expense, for the year ended December 31, 2019 On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The CARES Act, among other things, includes provisions relating to refundable payroll tax credits, deferment of employer-side Social Security payments, net operating loss carryback periods, alternative minimum tax credit refunds and modifications to the net interest deduction limitation. On December 27, 2020, President Trump signed into law the Consolidated Appropriations Act, 2021 (the “Appropriations Act”). The Appropriations Act funds the federal government to the end of the fiscal year and provides further COVID-19 economic relief, including expansion of the employee retention credit. The Company continues to examine the impact that the CARES Act and the Appropriations Act may have on its business but does not currently expect either to have a material effect on its financial condition, results of operation, or liquidity. Accounts Payable and Accrued Liabilities . The “Accounts payable and accrued liabilities” balances on the accompanying consolidated balance sheets are summarized below (in thousands): December 31, December 31, Trade accounts payable $ 15,930 $ 26,121 Accrued operating expenses 2,491 3,873 Accrued compensation costs 3,771 4,601 Asset retirement obligations – current portion 441 392 Accrued non-income based taxes 1,819 1,413 Accrued corporate and legal fees 150 109 Other payables 2,389 2,834 Total accounts payable and accrued liabilities $ 26,991 $ 39,343 Cash and Cash Equivalents. We consider all highly liquid instruments with an initial maturity of three months or less to be cash equivalents. These amounts do not include cash balances that are contractually restricted. Credit Risk Due to Certain Concentrations. We extend credit, primarily in the form of uncollateralized oil and gas sales and joint interest owners' receivables, to various companies in the oil and gas industry, which results in a concentration of credit risk. The concentration of credit risk may be affected by changes in economic or other conditions within our industry and may accordingly impact our overall credit risk. However, we believe that the risk of these unsecured receivables is mitigated by the size, reputation, and nature of the companies to which we extend credit. From certain customers we also obtain letters of credit or parent company guarantees, if applicable, to reduce risk of loss. For the years ended December 31, 2020 and 2019, parties that accounted for 10% or more of our total oil and gas receipts were as follows: Purchasers greater than 10% Year Ended December 31, 2020 Year Ended December 31, 2019 Kinder Morgan 19 % 31 % Plains Marketing 17 % 14 % Twin Eagle 17 % 13 % Trafigura US 13 % * Shell Trading * 11 % *Oil and gas receipts less than 10% Treasury Stock. Our treasury stock repurchases are reported at cost and are included in “Treasury stock held, at cost” on the accompanying consolidated balance sheets. For the years ended December 31, 2020 and 2019, we purchased 28,731 and 22,482 treasury shares to satisfy withholding tax obligations arising upon the vesting of restricted shares. New Accounting Pronouncements . In March 2020, the FASB issued ASU No. 2020-03. ASU 2020-03 improves and clarifies various financial instruments topics, including the current expected credit loss standard (“CECL”). ASU 2020-03 includes seven different issues that describe the areas of improvement and the related amendments to GAAP, intended to make the standards easier to understand and apply by eliminating inconsistencies and providing clarifications. This guidance is effective beginning on January 1, 2023 for smaller reporting companies. We are still assessing the requirements to determine the impact of this guidance on our consolidated financial statements. Leases . In February 2016, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842), which requires lessees to record most leases on the balance sheet. Under the new guidance, lease classification as either a finance lease or an operating lease will determine how lease-related revenue and expense are recognized. The guidance was effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company adopted this standard on January 1, 2019 using the modified retrospective transition approach with an effective date of January 1, 2019. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share (“Basic EPS”) has been computed using the weighted average number of common shares outstanding during each period. Diluted earnings per share ("Diluted EPS") assumes, as of the beginning of the period, exercise of stock options and restricted stock grants using the treasury stock method. Diluted EPS also assumes conversion of performance-based restricted stock units to common shares based on the number of shares (if any) that would be issuable, according to predetermined performance and market goals, if the end of the reporting period was the end of the performance period. The following is a reconciliation of the numerators and denominators used in the calculation of Basic EPS and Diluted EPS for the periods indicated below (in thousands, except per share amounts): Year Ended December 31, 2020 Year Ended December 31, 2019 Net Income (Loss) Shares Per Share Net Income (Loss) Shares Per Share Basic EPS: Net Income (Loss) and Share Amounts $ (309,382) 11,902 $ (25.99) $ 114,656 11,753 $ 9.76 Dilutive Securities: Restricted Stock Unit Awards — 25 Stock Option Awards — — Diluted EPS: Net Income (Loss) and Assumed Share Conversions $ (309,382) 11,902 $ (25.99) $ 114,656 11,778 $ 9.74 Approximately 0.3 million and 0.5 million stock options to purchase shares were not included in the computation of Diluted EPS for the years ended December 31, 2020 and 2019 respectively, because these stock options were antidilutive. Approximately 0.2 million and 0.3 million shares of restricted stock units that could be converted to common shares were not included in the computation of Diluted EPS for the years ended December 31, 2020 and 2019, respectively, because they were antidilutive. Approximately 0.1 million performance-based restricted stock units were not included in the computation of Diluted EPS for each of the years ended December 31, 2020 and 2019 because they were antidilutive. Approximately 2.1 million warrants to purchase common stock were not included in the computation of Diluted EPS for the year ended December 31, 2019 because these warrants were antidilutive. There were no warrants to purchase common stock for the year ended December 31, 2020 as the warrants expired. |
Provision (Benefit) for Income
Provision (Benefit) for Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Provision (Benefit) for Income Taxes | Provision (Benefit) for Income TaxesIncome (Loss) before taxes is as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Income (Loss) Before Income Taxes $ (288,471) $ 93,074 The following is an analysis of the consolidated income tax provision (benefit) (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Current $ (480) $ 519 Deferred 21,391 (22,101) Total $ 20,911 $ (21,582) Reconciliations of income taxes computed using the U.S. Federal statutory rate of (21%) to the effective income tax rate are as follows: Year Ended December 31, 2020 Year Ended December 31, 2019 Federal Statutory Rate 21.0 % 21.0 % State tax provisions (benefits), net of federal benefits 0.6 % 1.0 % Executive compensation limitation — % 0.3 % Other, net (0.2) % 0.1 % Valuation allowance adjustments (28.6) % (45.5) % Effective rate (7.2) % (23.0) % The tax effects of temporary differences representing the net deferred tax asset (liability) at December 31, 2020 and 2019 were as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Deferred tax assets: Federal net operating loss (“NOL”) carryovers $ 93,293 $ 67,610 Other carryover items 610 552 Asset retirement obligations 1,074 960 Share-based compensation 959 1,210 Lease liability 929 1,999 Other 1,029 874 Valuation allowance (82,618) — Total deferred tax assets $ 15,276 $ 73,205 Deferred tax liabilities: Oil and gas exploration and development costs $ (13,008) $ (48,329) Derivative contracts (1,653) (1,820) Leased assets (917) (1,968) Other (1) (1) Total deferred tax liabilities (15,579) (52,118) Net deferred tax asset (liabilities) $ (303) $ 21,087 State net deferred tax liabilities $ (303) $ (1,582) Federal net deferred tax assets — 22,669 Net deferred tax asset (liabilities) $ (303) $ 21,087 The Company’s valuation allowance balance was $82.6 million and $0 million at December 31, 2020 and 2019, respectively. The Company recorded a net deferred tax liability for state income tax purposes at December 31, 2020 and 2019. The Company’s NOL carryforward asset is attributable to Federal tax losses of $115 million generated from 2013 through 2015, $160 million generated in 2017 and $170 million generated from 2018 through 2020. The losses generated between 2013 and 2015 are subject to an annual utilization limit under Sec. 382. These losses will expire between 2034 and 2035 if not utilized. The 2017 loss will expire in 2037 if not utilized. The 2018, 2019 and 2020 losses will not expire under the current tax code, but their usage will be limited to 80% of taxable income. Our U.S. federal and most state income tax returns from 2017 forward are subject to examination. For years prior to 2017 our U.S. federal returns are subject to examination to the extent of our net operating loss (NOL) carryforwards. Our Texas tax returns from 2016 forward are subject to examination. There are no material unresolved items related to periods previously audited by the taxing authorities. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt The Company's long-term debt consisted of the following (in thousands): December 31, 2020 December 31, 2019 Credit Facility Borrowings (1) $ 230,000 $ 279,000 Second Lien Notes due 2024 200,000 200,000 430,000 479,000 Unamortized discount on Second Lien Notes due 2024 (1,295) (1,550) Unamortized debt issuance cost on Second Lien Notes due 2024 (3,800) (4,550) Total Long-Term Debt $ 424,905 $ 472,900 (1) Unamortized debt issuance costs on our Credit Facility borrowings are included in “Other Long-Term Assets” in our consolidated balance sheet. As of December 31, 2020 and 2019, we had $1.4 million and $3.1 million, respectively, in unamortized debt issuance costs on our Credit Facility borrowings. Revolving Credit Facility. Amounts outstanding under our Credit Facility (defined below) were $230.0 million and $279.0 million as of December 31, 2020 and 2019, respectively. The Company is a party to a First Amended and Restated Senior Secured Revolving Credit Agreement with JPMorgan Chase Bank, National Association, as administrative agent, and certain lenders party thereto, as amended (such agreement, the “Credit Agreement” and the borrowing facility provided thereby, the “Credit Facility”). The Company entered into the Sixth Amendment to the Credit Facility, effective November 2, 2020 (the “Sixth Amendment”), which among other things, (i) decreased the borrowing base under the Credit Facility to $310 million (from $330 million) as part of the regularly scheduled semi-annual redetermination and (ii) decreased the ratio of total debt to EBITDA (defined below) to not exceed 3.5 to 1.0. The Credit Facility matures April 19, 2022 and provides for a maximum credit amount of $600 million and a current borrowing base of $310 million as of December 31, 2020. The borrowing base is regularly redetermined on or about May and November of each calendar year and is subject to additional adjustments from time to time, including for asset sales, elimination or reduction of hedge positions and incurrence of other debt. Additionally, each of the Company and the administrative agent may request an unscheduled redetermination of the borrowing base between scheduled redeterminations. The amount of the borrowing base is determined by the lenders in their discretion in accordance with their oil and gas lending criteria at the time of the relevant redetermination. The Company may also request the issuance of letters of credit under the Credit Agreement in an aggregate amount up to $25 million, which reduces the amount of available borrowings under the borrowing base in the amount of such issued and outstanding letters of credit. There were no outstanding letters of credit as of December 31, 2020 and 2019. Interest under the Credit Facility accrues at the Company’s option either at an Alternative Base Rate plus the applicable margin (“ABR Loans”) or the LIBOR Rate plus the applicable margin (“Eurodollar Loans”). Since May 12, 2020, the applicable margin ranged from 1.75% to 2.75% for ABR Loans and 2.75% to 3.75% for Eurodollar Loans. The Alternate Base Rate and LIBOR Rate are defined, and the applicable margins are set forth, in the Credit Agreement. Undrawn amounts under the Credit Facility are subject to a 0.50% commitment fee. To the extent that a payment default exists and is continuing, all amounts outstanding under the Credit Facility will bear interest at 2.00% per annum above the rate and margin otherwise applicable thereto. In July 2017, the United Kingdom’s Financial Conduct Authority, which regulates LIBOR, announced that it intends to phase out LIBOR by the end of 2021. At the present time, the Credit Facility is subject to LIBOR rates but has a term that extends beyond the end of 2021 when LIBOR will be phased out. The Sixth Amendment includes technical updates to address this matter, and we are currently evaluating the potential impact of eventual replacement of the LIBOR interest rate. The obligations under the Credit Agreement are secured, subject to certain exceptions, by a first priority lien on substantially all assets of the Company and its subsidiary, including a first priority lien on properties attributed with at least 85% of estimated proved reserves of the Company and its subsidiary. The Credit Agreement contains the following financial covenants: • a ratio of total debt to earnings before interest, tax, depreciation and amortization ("EBITDA"), as defined in the Credit Agreement, for the most recently completed four fiscal quarters, not to exceed 4.0 to 1.0 as of the last day of each fiscal quarter for any fiscal quarter ending on or before September 30, 2020 and (ii) 3.5 to 1.0 as of the last day of each fiscal quarter, commencing with fiscal quarter ending December 31, 2020; and • a current ratio, as defined in the Credit Agreement, which includes in the numerator available borrowings undrawn under the borrowing base, of not less than 1.0 to 1.0 as of the last day of each fiscal quarter. As of December 31, 2020, the Company was in compliance with all financial covenants under the Credit Agreement. Maintaining or increasing our borrowing base under our Credit Facility is dependent on many factors, including commodities pricing, our hedge positions, changes in our lender's lending criteria and our ability to raise capital to drill wells to replace produced reserves. Additionally, the Credit Agreement contains certain representations, warranties and covenants, including but not limited to, limitations on incurring debt and liens, limitations on making certain restricted payments, limitations on investments, limitations on asset sales and hedge unwinds, limitations on transactions with affiliates and limitations on modifying organizational documents and material contracts. The Credit Agreement contains customary events of default. If an event of default occurs and is continuing, the lenders may declare all amounts outstanding under the Credit Facility to be immediately due and payable. Total interest expense on the Credit Facility, which includes commitment fees and amortization of debt issuance costs, was $12.6 million and $15.7 million for the years ended December 31, 2020 and 2019, respectively. The amount of commitment fee amortization included in interest expense, net was $0.4 million and $0.7 million for the years ended December 31, 2020 and 2019, respectively. There was no capitalized interest and $0.2 million on our unproved properties for the years ended December 31, 2020 and 2019, respectively. Senior Secured Second Lien Notes . On December 15, 2017, the Company entered into a Note Purchase Agreement for Senior Secured Second Lien Notes (as amended, the “Note Purchase Agreement”, such second lien facility, the “Second Lien” and such notes, the “Second Lien Notes”) among the Company as issuer, U.S. Bank National Association as agent and collateral agent and certain holders that are a party thereto, and issued notes in an initial principal amount of $200.0 million, with a $2.0 million discount, for net proceeds of $198.0 million. The Company has the ability, subject to the satisfaction of certain conditions (including compliance with the Asset Coverage Ratio described below and the agreement of the holders to purchase such additional notes), to issue additional notes in a principal amount not to exceed $100.0 million. The Second Lien matures on December 15, 2024. Interest on the Second Lien is payable quarterly and accrues at LIBOR plus 7.5%; provided that if LIBOR ceases to be available, the Second Lien provides for a mechanism to use ABR (an alternate base rate) plus 6.5% as the applicable interest rate. The definitions of LIBOR and ABR are set forth in the Second Lien. To the extent that a payment, insolvency or, at the holders’ election, another default exists and is continuing, all amounts outstanding under the Second Lien will bear interest at 2.0% per annum above the rate and margin otherwise applicable thereto. Additionally, to the extent the Company were to default on the Second Lien, this would potentially trigger a cross-default under our Credit Facility. The Company has the right, to the extent permitted under the Credit Facility and subject to the terms and conditions of the Second Lien, to optionally prepay the notes, subject to the following repayment fees: during year three, 2.0% of the principal amount of the Second Lien being prepaid; during year four, 1.0% of the principal amount of the Second Lien being prepaid; and thereafter, no premium. Additionally, the Second Lien contains customary mandatory prepayment obligations upon asset sales (including hedge terminations), casualty events and incurrences of certain debt, subject to, in certain circumstances, reinvestment periods. The obligations under the Second Lien are secured, subject to certain exceptions and other permitted liens (including the liens created under the Credit Facility), by a perfected security interest, second in priority to the liens securing our Credit Facility, and mortgage lien on substantially all assets of the Company and its subsidiary, including a mortgage lien on oil and gas properties attributed with at least 85% of estimated PV-9 (defined below), of proved reserves of the Company and its subsidiary and 85% of the book value attributed to the PV-9 of the non-proved oil and gas properties of the Company. PV-9 is determined using commodity price assumptions by the administrative agent of the Credit Facility. PV-9 value is the estimated future net revenues to be generated from the production of proved reserves discounted to present value using an annual discount rate of 9%. The Second Lien contains an Asset Coverage Ratio, which is only tested (i) as a condition to issuance of additional notes and (ii) in connection with certain asset sales in order to determine whether the proceeds of such asset sale must be applied as a prepayment of the notes and includes in the numerator the PV-10 (defined below), based on forward strip pricing, plus the swap mark-to-market value of the commodity derivative contracts of the Company and its restricted subsidiary and in the denominator the total net indebtedness of the Company and its restricted subsidiary, of not less than 1.25 to 1.0 as of each date of determination (the “Asset Coverage Ratio”). PV-10 Value is the estimated future net revenues to be generated from the production of proved reserves discounted to present value using an annual discount rate of 10%. The Second Lien also contains a financial covenant measuring the ratio of total net debt to EBITDA, as defined in the Note Purchase Agreement, for the most recently completed four fiscal quarters, not to exceed 4.5 to 1.0 as of the last day of each fiscal quarter. As of December 31, 2020, the Company was in compliance with all financial covenants under the Second Lien. The Second Lien contains certain customary representations, warranties and covenants, including but not limited to, limitations on incurring debt and liens, limitations on making certain restricted payments, limitations on investments, limitations on asset sales and hedge unwinds, limitations on transactions with affiliates and limitations on modifying organizational documents and material contracts. The Second Lien contains customary events of default. If an event of default occurs and is continuing, the lenders may declare all amounts outstanding under the Second Lien to be immediately due and payable. As of December 31, 2020, net amounts recorded for the Second Lien Notes were $194.9 million, net of unamortized debt discount and debt issuance costs. Interest expense on the Second Lien totaled $18.6 million and $21.1 million for the years ended December 31, 2020 and 2019, respectively. Debt Issuance Costs . Our policy is to capitalize upfront commitment fees and other direct expenses associated with our line of credit arrangement and then amortize such costs ratably over the term of the arrangement, regardless of whether there are any outstanding borrowings. |
Price-Risk Management Price-Ris
Price-Risk Management Price-Risk Management (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Price-Risk Management Activities | Price-Risk Management Activities Derivatives are recorded on the balance sheet at fair value with changes in fair value recognized in earnings. The changes in the fair value of our derivatives are recognized in “Gain (loss) on commodity derivatives, net” on the accompanying consolidated statements of operations. We have a price-risk management policy to use derivative instruments to protect against declines in oil and natural gas prices, primarily through the purchase of commodity price swaps and collars as well as basis swaps. During the years ended December 31, 2020 and 2019, the Company recorded gains of $61.3 million and $24.2 million, respectively, relating to our derivative activities. The Company received net cash payments of $78.4 million and $24.6 million for settled derivative contracts during the years ended December 31, 2020 and 2019, respectively. Included in our collected cash payments during the year ended December 31, 2020 was $38.3 million for monetized derivative contracts received in the first quarter of 2020. At December 31, 2020 and 2019, we had $0.8 million and $2.9 million, respectively, in receivables for settled derivatives which were included on the accompanying consolidated balance sheet in “Accounts receivable, net” and were subsequently collected in January 2021 and 2020, respectively. At December 31, 2020 and 2019, we also had $0.8 million and $0.2 million, respectively, in payables for settled derivatives which were included on the accompanying consolidated balance sheet in “Accounts payable and accrued liabilities” and were subsequently paid in January 2021 and 2020, respectively. The fair values of our swap contracts are computed using observable market data whereas our collar contracts are valued using a Black-Scholes pricing model and are periodically verified against quotes from brokers. At December 31, 2020 there was $4.8 million and $0.3 million in current unsettled derivative assets and long-term unsettled derivative assets, respectively, and $8.2 million and $2.9 million in current unsettled derivative liabilities and long-term unsettled derivative liabilities, respectively. At December 31, 2019, the Company had $12.8 million and $3.9 million in current unsettled derivative assets and long-term unsettled derivative assets, respectively, and $6.6 million and $1.6 million in current unsettled derivative liabilities and long-term unsettled derivative liabilities, respectively. The Company uses an International Swap and Derivatives Association master agreement for our derivative contracts. This is an industry-standardized contract containing the general conditions of our derivative transactions including provisions relating to netting derivative settlement payments under certain circumstances (such as default). For reporting purposes, the Company has elected to not offset the asset and liability fair value amounts of its derivatives on the accompanying balance sheets. Under the right of set-off, there was an $6.0 million net fair value liability at December 31, 2020 and $8.4 million net fair value asset at December 31, 2019. For further discussion related to the fair value of the Company's derivatives, refer to Note 10 of these Notes to Consolidated Financial Statements. The following tables summarize the weighted average prices as well as future production volumes for our future derivative contracts in place as of December 31, 2020. Oil Derivative Swaps Total Volumes (Bbls) Weighted Average Price Weighted Average Collar Floor Price Weighted Average Collar Call Price 2021 Contracts 1Q21 143,538 $ 51.89 2Q21 195,646 $ 51.93 3Q21 179,759 $ 51.19 4Q21 163,812 $ 52.39 2022 Contracts 1Q22 88,455 $ 36.79 3Q22 108,100 $ 41.58 Collar Contracts 2021 Contracts 1Q21 155,475 $ 34.15 $ 39.24 2Q21 116,980 $ 34.33 $ 40.30 3Q21 90,620 $ 34.34 $ 39.87 4Q21 84,640 $ 34.70 $ 41.01 2022 Contracts 1Q22 40,500 $ 40.00 $ 45.55 2Q22 115,850 $ 39.25 $ 46.20 Natural Gas Derivative Swaps Total Volumes (MMBtu) Weighted Average Price Weighted Average Collar Floor Price Weighted Average Collar Call Price 2021 Contracts 1Q21 2,398,078 $ 2.74 2Q21 832,255 $ 2.42 3Q21 330,000 $ 2.62 4Q21 290,000 $ 2.69 Collar Contracts 2021 Contracts 1Q21 7,027,800 $ 2.53 $ 3.33 2Q21 5,911,000 $ 2.26 $ 2.70 3Q21 6,045,175 $ 2.15 $ 2.70 4Q21 5,311,000 $ 2.35 $ 2.76 2022 Contracts 1Q22 4,415,000 $ 2.50 $ 3.35 2Q22 4,200,000 $ 2.23 $ 2.70 3Q22 3,933,000 $ 2.39 $ 2.74 Natural Gas Basis Derivative Swaps Total Volumes (MMBtu) Weighted Average Price 2021 Contracts 1Q21 9,900,000 $ (0.022) 2Q21 10,010,000 $ (0.022) 3Q21 10,120,000 $ (0.022) 4Q21 10,120,000 $ (0.022) 2022 Contracts 1Q22 1,800,000 $ (0.080) 2Q22 1,820,000 $ (0.080) 3Q22 1,840,000 $ (0.080) 4Q22 1,840,000 $ (0.080) Oil Basis Derivative Swaps Total Volumes (Bbls) Weighted Average Price 2021 Contracts 1Q21 373,750 $ 1.19 2Q21 329,150 $ 1.22 3Q21 262,200 $ 1.27 4Q21 241,500 $ 1.28 Calendar Monthly Roll Differential Swaps 2021 Contracts 1Q21 367,000 $ (0.40) 2Q21 313,900 $ (0.37) 3Q21 253,000 $ (0.34) 4Q21 241,500 $ (0.33) 2022 Contracts 1Q22 90,000 $ (0.12) 2Q22 91,000 $ (0.12) 3Q22 92,000 $ (0.12) 4Q22 92,000 $ (0.12) |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies We have gas transportation and processing minimum obligations amounting to $5.2 million for 2021, $3.9 million for 2022, $2.6 million for 2023, $1.6 million for 2024, $1.1 million for 2025 and $14.4 million in the aggregate. In the ordinary course of business, we are party to various legal actions, which arise primarily from our activities as operator of oil and natural gas wells. In management's opinion, the outcome of any such currently pending legal actions will not have a material adverse effect on our financial position or results of operations. |
Share-Based Compensation Share-
Share-Based Compensation Share-Based Compensation (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Share-Based Compensation | Share-Based Compensation Plans In 2016, the Company adopted the 2016 Equity Incentive Plan (as amended from time to time, the “2016 Plan”). The Company also adopted the Inducement Plan (as amended from time to time, the “Inducement Plan,” and, together with the 2016 Plan, the “Plans”) on December 15, 2016. The Company accounts for forfeitures in compensation cost when they occur. The Company computes a deferred tax benefit for restricted stock awards (“RSUs”), performance-based stock units (“PSUs”) and stock options designed to generate future tax deductions by applying its effective tax rate to the expense recorded. For restricted stock units, the Company's actual tax deduction is based on the value of the units at the time of vesting. The expense for awards issued to both employees and non-employees, which was recorded in “General and administrative, net” in the accompanying consolidated statements of operations was $4.6 million and $6.1 million for the years ended December 31, 2020 and 2019 respectively. Capitalized share-based compensation was $0.2 million and $0.5 million for the years ended December 31, 2020 and 2019, respectively. We view stock option awards and restricted stock unit awards with graded vesting as single awards with an expected life equal to the average expected life of component awards, and we amortize the awards on a straight-line basis over the life of the awards. Our shares available for future grant under the Plans were 726,723 at December 31, 2020. On April 2, 2019, our Board of Directors authorized a one-time grant of market-based awards (both RSUs and PSUs) in exchange for the cancellation of special equity awards (both RSUs and stock options) made to our named executive officers on August 9, 2018 (the “Equity Award Exchange”). As required under the terms of the 2016 Plan, this Equity Award Exchange was subject to shareholder approval. Pursuant to the Equity Award Exchange our executives were given the opportunity to exchange out-of-the-money or “underwater” stock options that were granted in August 2018 and certain RSUs also granted in August 2018 to receive a new equity award that consists of 50% time-based RSUs and 50% PSUs, granted under the 2016 Plan. The incremental compensation cost associated with the Equity Award Exchange was determined to be $1.2 million. This incremental cost was measured as the excess of the fair value of each new equity award, measured as of the date the new equity awards were granted, over the fair value of the stock options and RSUs surrendered in exchange for the new equity awards, measured immediately prior to the cancellation. This incremental compensation cost is being recognized ratably over the vesting period or performance period, as applicable, of the new equity awards. Stock Option Awards The compensation cost related to these awards is based on the grant date fair value and is expensed over the vesting period (generally one five At December 31, 2020, we had $0.6 million in unrecognized compensation cost related to stock option awards. The following table represents stock option award activity for the year ended December 31, 2020: Shares Wtd. Avg. Options outstanding, beginning of period 324,324 $ 27.68 Options expired (20,619) $ 26.96 Options outstanding, end of period 303,705 $ 27.73 Options exercisable, end of period 206,179 $ 28.41 Our outstanding stock option awards at December 31, 2020 had no measurable aggregate intrinsic value. At December 31, 2020 the weighted-average remaining contract life of stock option awards outstanding was 4.8 years and exercisable was 4.0 years. The stock option awards exercisable as of December 31, 2020 had no intrinsic value. Restricted Stock Units The Plans allow for the issuance of restricted stock unit awards that generally may not be sold or otherwise transferred until certain restrictions have lapsed. The compensation cost related to these awards is based on the grant date fair value and is typically expensed over the requisite service period (generally one five As of December 31, 2020, we had unrecognized compensation expense of $2.4 million related to our restricted stock units which is expected to be recognized over a weighted-average period of 1.1 years. The following table provides information regarding restricted stock unit activity for the year ended December 31, 2020: Shares Wtd. Avg. Restricted units outstanding, beginning of period 342,683 $ 22.10 Restricted stock units granted 397,285 $ 2.83 Restricted stock units forfeited (6,326) $ 19.46 Restricted stock units vested (158,726) $ 21.38 Restricted stock units outstanding, end of period 574,916 $ 9.02 Performance-Based Stock Units On February 20, 2018, the Company granted 30,700 performance share units for which the number of shares earned is based on the total shareholder return (“TSR”) of the Company's common stock relative to the TSR of its selected peers during the performance period from January 1, 2018 to December 31, 2020. The awards contain market conditions which allow a payout ranging between 0% payout and 200% of the target payout. The fair value as of the date of valuation was $41.66 per unit or 150.61% of the stock price. The compensation expense for these awards is based on the per unit grant date valuation using a Monte-Carlo simulation multiplied by the target payout level. The payout level is calculated based on actual stock price performance achieved during the performance period. The awards have a cliff-vesting period of three On May 21, 2019, the Company granted an additional 99,500 performance-based stock units (as part of the Equity Award Exchange discussed above) for which the number of shares earned is based on the TSR of the Company's common stock relative to the TSR of its selected peers during the performance period from January 1, 2019 to December 31, 2021. The awards contain market conditions which allow a payout ranging between 0% payout and 200% of the target payout. The fair value as of the grant date was $18.86 per unit or 112.9% of stock price. The awards have a cliff-vesting period of three As of December 31, 2020, we had unrecognized compensation expense of $1.0 million related to our performance-based stock units based on the assumption of 100.0% target payout. The remaining weighted-average performance period is 1.0 years. No shares vested during the year ended December 31, 2020. Employee Savings Plan We have a savings plan under Section 401(k) of the Internal Revenue Code. The Company contributed on behalf of eligible employees an amount up to 100% of the first 6% of compensation based on the contributions made by the eligible employees in 2020 and 2019. The Company's plan contributions of $0.6 million for both the years ended December 31, 2020 and 2019, respectively, were paid in cash during each pay period. These amounts were recorded as “General and administrative, net” on the accompanying consolidated statements of operations. |
Leases Leases (Notes)
Leases Leases (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Leases SilverBow Resources has contractual agreements for its corporate office lease, vehicle fleet, drilling rigs, compressors, treating equipment, and for surface use rights. For leases with a primary term of more than 12 months, a right-of-use (“ROU”) asset and the corresponding lease liability is recorded. The Company determines at inception if an arrangement is an operating or financing lease. All of the Company’s leases are operating leases. The initial asset and liability balances are recorded at the present value of the payment obligations over the lease term. If lease terms include options to extend the lease and it is reasonably certain that the Company will exercise that option, the lease term used for capitalization includes the expected renewal periods. Most leases do not provide an implicit interest rate. Unless the lease contract contains an implicit interest rate, the Company uses its incremental borrowing rate at the time of lease inception to compute the fair value of the lease payments. The ROU asset balance and current and non-current lease liabilities are reported separately on the accompanying Consolidated Balance Sheets. Certain leases have payment terms that vary based on the usage of the underlying assets. Variable lease payments are not included in ROU assets and lease liabilities. Leases with an initial term of 12 months or less are not recorded on the balance sheet, and the Company does not account for lease and non-lease components separately. The Company recognizes lease expense on a straight-line basis over the lease term. Lease costs represent the straight-line lease expense of ROU assets and short-term leases. The components of lease cost are classified as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Lease Costs Included in the Asset Additions in the Condensed Consolidated Balance Sheets Property, plant and equipment acquisitions - short-term leases $ 3,774 $ 10,573 Property, plant and equipment acquisitions - operating leases 10 41 Total lease costs in property, plant and equipment additions $ 3,784 $ 10,614 Year Ended December 31, 2020 Year Ended December 31, 2019 Lease Costs Included in the Condensed Consolidated Statements of Operations Lease operating costs - short-term leases $ 724 $ 2,071 Lease operating costs - operating leases 5,655 3,945 General and administrative, net - operating leases 704 681 Total lease cost expensed $ 7,083 $ 6,697 The lease term and the discount rate related to the Company's leases are as follows: As of December 31, 2020 Weighted-average remaining lease term (in years) 1.9 Weighted-average discount rate 4.5 % As of December 31, 2020, the Company's future undiscounted cash payment obligation for its operating lease liabilities are as follows (in thousands): As of December 31, 2020 2020 $ 3,573 2021 542 2022 166 2023 38 2024 39 Thereafter 287 Total undiscounted lease payments $ 4,645 Present value adjustment (221) Net operating lease liabilities $ 4,424 Supplemental cash flow information related to leases was as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows $ 6,352 $ 4,609 Investing cash flows $ 10 $ 41 Rental and lease expense was $5.8 million and $5.4 million for the years ended December 31, 2020 and 2019, respectively. The rental and lease expense primarily relates to compressor rentals and the lease of our office space in Houston, Texas. During 2016 the Company entered into a four |
Acquisitions and Dispositions
Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations [Abstract] | |
Acquisitions and Dispositions | Acquisitions and DispositionsEffective December 22, 2017, the Company closed a purchase and sale contract to sell the Company's wellbores and facilities in Bay De Chene and recorded a $16.3 million obligation related to the funding of certain plugging and abandonment costs. Of the $16.3 million original obligation, $0.8 million and $5.1 million was paid during the years ended December 31, 2020 and 2019, respectively. The remaining obligation under this contract is $1.6 million and is carried in the accompanying consolidated balance sheet as a current liability in “Accounts payable and accrued liabilities” as of December 31, 2020. On April 3, 2020, we acquired additional properties in the Eagle Ford for approximately $5.0 million, including assumed liabilities. The acquisition included eight producing wells, basic infrastructure and acreage in Webb, La Salle, and McMullen Counties. We allocated all of the purchase price to proved oil and gas properties. The Company accounted for this transaction as an asset acquisition with the properties added to our full cost pool balance. On May 13, 2020, the Company divested an overriding royalty interest in Converse and Niobrara Counties, Wyoming for approximately $4.8 million. The sales of our Wyoming assets did not significantly alter the relationship between capitalized costs and proved reserves, and as such, all proceeds were recorded as adjustments to our domestic full cost pool with no gain or loss recognized. These consolidated financial statements include the results of our Wyoming operations through the date of sale. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair Value on a Recurring Basis . Our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, derivatives, the Credit Facility and the Second Lien Notes. The carrying amounts of cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to the highly liquid or short-term nature of these instruments. The fair values of our derivative contracts are computed using observable market data whereas our derivative collar contracts are valued using a Black-Scholes pricing model and are periodically verified against quotes from brokers. These are considered Level 2 valuations (defined below). The carrying value of our Credit Facility and Second Lien approximates fair value because the respective borrowing rates do not materially differ from market rates for similar borrowings. These are considered Level 3 valuations (defined below). The fair value hierarchy has three levels based on the reliability of the inputs used to determine the fair value (in millions): Level 1 – Uses quoted prices in active markets for identical, unrestricted assets or liabilities. Instruments in this category have comparable fair values for identical instruments in active markets. Level 2 – Uses quoted prices for similar assets or liabilities in active markets or observable inputs for assets or liabilities in non-active markets. Instruments in this category are periodically verified against quotes from brokers and include our commodity derivatives that we value using commonly accepted industry-standard models which contain inputs such as contract prices, risk-free rates, volatility measurements and other observable market data that are obtained from independent third-party sources. Level 3 – Uses unobservable inputs for assets or liabilities that are in non-active markets. The following table presents our assets and liabilities that are measured on a recurring basis as of December 31, 2020 and 2019, and are categorized using the fair value hierarchy. For additional discussion related to the fair value of the Company's derivatives, refer to Note 5 of these Notes to Consolidated Financial Statements. Fair Value Measurements at (in millions) Total Quoted Prices in Significant Other Significant December 31, 2020 Assets Natural Gas Derivatives $ 1.5 $ — $ 1.5 $ — Natural Gas Basis Derivatives $ 1.1 $ — $ 1.1 $ — Oil Derivatives $ 2.5 $ — $ 2.5 $ — Liabilities Natural Gas Derivatives $ 4.0 $ — $ 4.0 $ — Natural Gas Basis Derivatives $ 0.4 $ — $ 0.4 $ — Oil Derivatives $ 5.9 $ — $ 5.9 $ — Oil Basis Derivatives $ 0.8 $ — $ 0.8 $ — December 31, 2019 Assets Natural Gas Derivatives $ 11.7 $ — $ 11.7 $ — Natural Gas Basis Derivatives $ 3.4 $ — $ 3.4 $ — Oil Derivatives $ 1.6 $ — $ 1.6 $ — Liabilities Natural Gas Derivatives $ 0.2 $ — $ 0.2 $ — Natural Gas Basis Derivatives $ 0.9 $ — $ 0.9 $ — Oil Derivatives $ 7.0 $ — $ 7.0 $ — Oil Basis Derivatives $ 0.1 $ — $ 0.1 $ — Our current and long-term unsettled derivative assets and liabilities in the table above are measured at gross fair value and are shown on the accompanying condensed consolidated balance sheets in “Fair value of commodity derivatives” and “Fair value of long-term commodity derivatives,” respectively. |
Asset Retirement Obligations As
Asset Retirement Obligations Asset Retirement Obligations (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations | Asset Retirement Obligations Liabilities for legal obligations associated with the retirement obligations of tangible long-lived assets are initially recorded at fair value in the period in which they are incurred. When a liability is initially recorded, the carrying amount of the related asset is increased. The liability is discounted from the expected date of abandonment. Over time, accretion of the liability is recognized each period, and the capitalized cost is amortized on a unit-of-production basis as part of depreciation, depletion, and amortization expense for our oil and gas properties. Upon settlement of the liability, the Company either settles the obligation for its recorded amount or incurs a gain or loss upon settlement which is included in the “Property and Equipment” balance on our accompanying consolidated balance sheets. The following provides a roll-forward of our asset retirement obligations (in thousands): Asset Retirement Obligations as of December 31, 2018 $ 4,259 Accretion expense 329 Liabilities incurred for new wells and facilities construction 250 Reductions due to plugged wells and facilities (82) Revisions in estimates (309) Asset Retirement Obligations as of December 31, 2019 $ 4,447 Accretion expense 354 Liabilities incurred for new wells and facilities construction 281 Reductions due to plugged wells and facilities (103) Revisions in estimates (5) Asset Retirement Obligations as of December 31, 2020 $ 4,974 At December 31, 2020 and 2019, approximately $0.4 million of our asset retirement obligations were classified as current liabilities in “Accounts payable and accrued liabilities” on the accompanying consolidated balance sheets. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation . The accompanying consolidated financial statements include the accounts of SilverBow Resources and its wholly owned subsidiary, SilverBow Resources Operating LLC, which are engaged in the exploration, development, acquisition, and operation of oil and gas properties, with a focus on oil and natural gas reserves in the Eagle Ford trend in Texas. Our undivided interests in oil and gas properties are accounted for using the proportionate consolidation method, whereby our proportionate share of the assets, liabilities, revenues, and expenses are included in the appropriate classifications in the accompanying consolidated financial statements. Intercompany balances and transactions have been eliminated in preparing the accompanying consolidated financial statements. |
Use of Estimates | Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) requires us to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and the reported amounts of certain revenues and expenses during each reporting period. Such estimates and assumptions are subject to a number of risks and uncertainties that may cause actual results to differ materially from such estimates. Significant estimates and assumptions underlying these financial statements include: • the estimated quantities of proved oil and natural gas reserves used to compute depletion of oil and natural gas properties, the related present value of estimated future net cash flows therefrom, and the Ceiling Test impairment calculation, • estimates related to the collectability of accounts receivable and the credit worthiness of our customers, • estimates of the counterparty bank risk related to letters of credit that our customers may have issued on our behalf, • estimates of future costs to develop and produce reserves, • accruals related to oil and gas sales, capital expenditures and lease operating expenses, • estimates in the calculation of share-based compensation expense, • estimates of our ownership in properties prior to final division of interest determination, • the estimated future cost and timing of asset retirement obligations, • estimates made in our income tax calculations, • estimates in the calculation of the fair value of commodity derivative assets and liabilities, • estimates in the assessment of current litigation claims against the Company, • estimates in amounts due with respect to open state regulatory audits, and • estimates on future lease obligations. While we are not currently aware of any material revisions to any of our estimates, there may be future revisions to our estimates resulting from matters such as new accounting pronouncements, changes in ownership interests, payouts, joint venture audits, reallocations by purchasers or pipelines, or other corrections and adjustments common in the oil and gas industry, many of which relate to prior periods. These types of adjustments cannot be currently estimated and are expected to be recorded in the period during which the adjustments are known. |
Property and Equipment | Property and Equipment. We follow the “full-cost” method of accounting for oil and natural gas property and equipment costs. Under this method of accounting, all productive and nonproductive costs incurred in the exploration, development, and acquisition of oil and natural gas reserves are capitalized. Such costs may be incurred both prior to and after the acquisition of a property and include lease acquisitions, geological and geophysical services, drilling, completion, and equipment. Internal costs incurred that are directly identified with exploration, development, and acquisition activities undertaken by us for our own account, and which are not related to production, general corporate overhead, or similar activities, are also capitalized. For the years ended December 31, 2020 and 2019, such internal costs when capitalized totaled $3.5 million and $5.3 million, respectively. Interest costs are also capitalized to unproved oil and natural gas properties (refer to Note 4 of these Notes to Consolidated Financial Statements for further discussion on capitalized interest costs). The “Property and Equipment” balances on the accompanying consolidated balance sheets are summarized for presentation purposes. The following is a detailed breakout of our “Property and Equipment” balances (in thousands): December 31, December 31, Property and Equipment Proved oil and gas properties $ 1,310,008 $ 1,201,296 Unproved oil and gas properties 28,090 41,201 Furniture, fixtures, and other equipment 5,275 5,220 Less – Accumulated depreciation, depletion, amortization & impairment (801,279) (380,728) Property and Equipment, Net $ 542,094 $ 866,989 No gains or losses are recognized upon the sale or disposition of oil and natural gas properties, except in transactions involving a significant amount of reserves or where the proceeds from the sale of oil and natural gas properties would significantly alter the relationship between capitalized costs and proved reserves of oil and natural gas attributable to a cost center. Internal costs associated with selling properties are expensed as incurred. We compute the provision for depreciation, depletion and amortization (“DD&A”) of oil and natural gas properties using the unit-of-production method. Under this method, we compute the provision by multiplying the total unamortized costs of oil and gas properties—including future development costs, gas processing facilities, and both capitalized asset retirement obligations and undiscounted abandonment costs of wells to be drilled, net of salvage values, but excluding costs of unproved properties—by an overall rate determined by dividing the physical units of oil and natural gas produced (which excludes natural gas consumed in operations) during the period by the total estimated units of proved oil and natural gas reserves (which excludes natural gas consumed in operations) at the beginning of the period. Future development costs are estimated on a property-by-property basis based on current economic conditions. The period over which we will amortize these properties is dependent on our production from these properties in future years. Furniture, fixtures, and other equipment are recorded at cost and are depreciated by the straight-line method at rates based on the estimated useful lives of the property, which range between two Geological and geophysical (“G&G”) costs incurred on developed properties are recorded in “Proved oil and gas properties” and therefore subject to amortization. G&G costs incurred that are associated with unproved properties are capitalized in “Unproved oil and gas properties” and evaluated as part of the total capitalized costs associated with a prospect. The cost of unproved properties not being amortized is assessed quarterly, on a property-by-property basis, to determine whether such properties have been impaired. In determining whether such costs should be impaired, we evaluate current drilling results, lease expiration dates, current oil and gas industry conditions, economic conditions, capital availability, and available geological and geophysical information. Any impairment assessed is added to the cost of proved properties being amortized. |
Full-Cost Ceiling Test | Full-Cost Ceiling Test . At the end of each quarterly reporting period, the unamortized cost of oil and natural gas properties (including natural gas processing facilities, capitalized asset retirement obligations, net of related salvage values and deferred income taxes) is limited to the sum of the estimated future net revenues from proved properties (excluding cash outflows from recognized asset retirement obligations, including future development and abandonment costs of wells to be drilled, using the preceding 12-months’ average price based on closing prices on the first day of each month, adjusted for price differentials, discounted at 10%, and the lower of cost or fair value of unproved properties) adjusted for related income tax effects (“Ceiling Test”). The calculations of the Ceiling Test and provision for DD&A are based on estimates of proved reserves. There are numerous uncertainties inherent in estimating quantities of proved reserves and in projecting the future rates of production, timing, and plan of development. The accuracy of any reserves estimate is a function of the quality of available data and of engineering and geological interpretation and judgment. Results of drilling, testing, and production subsequent to the date of the estimate may justify revision of such estimates. Accordingly, reserves estimates are often different from the quantities of oil and natural gas that are ultimately recovered. There was a $355.9 million ceiling test write-down for the year ended December 31, 2020. There was no write-down for the year ended December 31, 2019. If future capital expenditures outpace future discounted net cash flows in our reserve calculations, if we have significant declines in our oil and natural gas reserves volumes (which also reduces our estimate of discounted future net cash flows from proved oil and natural gas reserves) or if oil or natural gas prices remain depressed or continue to decline, it is possible that non-cash write-downs of our oil and natural gas properties will occur in the future. We cannot control and cannot predict what future |
Revenue Recognition | Revenue Recognition. Our reported oil and gas sales are comprised of revenues from oil, natural gas and natural gas liquids (“NGLs”) sales. Revenues from each product stream are recognized at the point when control of the product is transferred to the customer and collectability is reasonably assured. Prices for our products are either negotiated on a monthly basis or tied to market indices. The Company has determined that these contracts represent performance obligations which are satisfied when control of the commodity transfers to the customer, typically through the delivery of the specified commodity to a designated delivery point. Natural gas revenues are recognized based on the actual volume of natural gas sold to the purchasers. |
Accounts Receivable | Accounts Receivable, Net . We assess the collectability of accounts receivable, and based on our judgment, we accrue a reserve when we believe a receivable may not be collected. At both December 31, 2020 and 2019, we had an allowance for doubtful accounts of less than $0.1 million. The allowance for doubtful accounts has been deducted from the total “Accounts receivable, net” balance on the accompanying consolidated balance sheets. |
Supervision Fees | Supervision Fees. Consistent with industry practice, we charge a supervision fee to the wells we operate including our wells in which we own up to a 100% working interest. Supervision fees are recorded as a reduction to “General and administrative, net”, on the accompanying consolidated statements of operations |
Income Taxes | Income Taxes. Deferred taxes are determined based on the estimated future tax effects of differences between the financial statement and tax basis of assets and liabilities, given the provisions of the enacted tax laws. Tax positions are evaluated for recognition using a more-likely-than-not threshold, and those tax positions requiring recognition are measured as the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. Our policy is to record interest and penalties relating to uncertain tax positions in income tax expense. At December 31, 2020, we did not have any accrued liability for uncertain tax positions. In March and April 2020, the COVID-19 pandemic caused volatility in the market price for crude oil due to the disruption of global supply and demand. In response to these market conditions and given the decline in oil prices and economic outlook for our Company, during the quarter ended June 30, 2020, management determined that it was not more likely than not that the Company would realize future cash benefits from its remaining federal carryover items and other deferred tax assets and, accordingly, recorded a full valuation allowance in the second quarter to offset its net deferred tax assets in excess of deferred tax liabilities. This resulted in tax expense of $21.2 million through the second quarter of 2020. Our income tax provision of $20.9 million for the year ended December 31, 2020 is inclusive of a state income tax benefit of $1.8 million. During the second quarter of 2019, the Company was able to complete several operational initiatives that resulted in increased production, lower development costs and expanded inventory of development prospects. The results of these initiatives led management to determine, after weighing both positive and negative evidence, that the Company would more likely than not be able to realize the benefits of its deferred tax assets. Accordingly, the Company released the valuation allowance resulting in a net deferred income tax benefit of $21.6 million, which is net of $1.1 million of state income tax expense, for the year ended December 31, 2019 On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The CARES Act, among other things, includes provisions relating to refundable payroll tax credits, deferment of employer-side Social Security payments, net operating loss carryback periods, alternative minimum tax credit refunds and modifications to the net interest deduction limitation. On December 27, 2020, President Trump signed into law the Consolidated Appropriations Act, 2021 (the “Appropriations Act”). The Appropriations Act funds the federal government to the end of the fiscal year and provides further COVID-19 economic relief, including expansion of the employee retention credit. The Company continues to examine the impact that the CARES Act and the Appropriations Act may have on its business but does not currently expect either to have a material effect on its financial condition, results of operation, or liquidity. |
Accounts Payable and Accrued Liabilities | Accounts Payable and Accrued Liabilities . The “Accounts payable and accrued liabilities” balances on the accompanying consolidated balance sheets are summarized below (in thousands): December 31, December 31, Trade accounts payable $ 15,930 $ 26,121 Accrued operating expenses 2,491 3,873 Accrued compensation costs 3,771 4,601 Asset retirement obligations – current portion 441 392 Accrued non-income based taxes 1,819 1,413 Accrued corporate and legal fees 150 109 Other payables 2,389 2,834 Total accounts payable and accrued liabilities $ 26,991 $ 39,343 |
Cash and Cash Equivalents and Restricted Cash | Cash and Cash Equivalents. We consider all highly liquid instruments with an initial maturity of three months or less to be cash equivalents. These amounts do not include cash balances that are contractually restricted. |
Credit Risk Due To Certain Concentrations | Credit Risk Due to Certain Concentrations. We extend credit, primarily in the form of uncollateralized oil and gas sales and joint interest owners' receivables, to various companies in the oil and gas industry, which results in a concentration of credit risk. The concentration of credit risk may be affected by changes in economic or other conditions within our industry and may accordingly impact our overall credit risk. However, we believe that the risk of these unsecured receivables is mitigated by the size, reputation, and nature of the companies to which we extend credit. From certain customers we also obtain letters of credit or parent company guarantees, if applicable, to reduce risk of loss. |
Treasury Stock | Treasury Stock. Our treasury stock repurchases are reported at cost and are included in “Treasury stock held, at cost” on the accompanying consolidated balance sheets. For the years ended December 31, 2020 and 2019, we purchased 28,731 and 22,482 treasury shares to satisfy withholding tax obligations arising upon the vesting of restricted shares. |
New Accounting Pronouncements | New Accounting Pronouncements . In March 2020, the FASB issued ASU No. 2020-03. ASU 2020-03 improves and clarifies various financial instruments topics, including the current expected credit loss standard (“CECL”). ASU 2020-03 includes seven different issues that describe the areas of improvement and the related amendments to GAAP, intended to make |
Earnings Per Share Earning Per
Earnings Per Share Earning Per Share (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per ShareBasic earnings per share (“Basic EPS”) has been computed using the weighted average number of common shares outstanding during each period. Diluted earnings per share ("Diluted EPS") assumes, as of the beginning of the period, exercise of stock options and restricted stock grants using the treasury stock method. Diluted EPS also assumes conversion of performance-based restricted stock units to common shares based on the number of shares (if any) that would be issuable, according to predetermined performance and market goals, if the end of the reporting period was the end of the performance period. |
Long-Term Debt Long-Term Debt (
Long-Term Debt Long-Term Debt (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt Issuance Costs | Debt Issuance Costs . Our policy is to capitalize upfront commitment fees and other direct expenses associated with our line of credit arrangement and then amortize such costs ratably over the term of the arrangement, regardless of whether there are any outstanding borrowings. |
Price-Risk Management Price-R_2
Price-Risk Management Price-Risk Management (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Price-Risk Management Activities, Policy | Price-Risk Management ActivitiesDerivatives are recorded on the balance sheet at fair value with changes in fair value recognized in earnings. The changes in the fair value of our derivatives are recognized in “Gain (loss) on commodity derivatives, net” on the accompanying consolidated statements of operations. We have a price-risk management policy to use derivative instruments to protect against declines in oil and natural gas prices, primarily through the purchase of commodity price swaps and collars as well as basis swaps. |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies We have gas transportation and processing minimum obligations amounting to $5.2 million for 2021, $3.9 million for 2022, $2.6 million for 2023, $1.6 million for 2024, $1.1 million for 2025 and $14.4 million in the aggregate. In the ordinary course of business, we are party to various legal actions, which arise primarily from our activities as operator of oil and natural gas wells. In management's opinion, the outcome of any such currently pending legal actions will not have a material adverse effect on our financial position or results of operations. |
Share-Based Compensation Shar_2
Share-Based Compensation Share-Based Compensation (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Share-based Compensation | Share-Based Compensation Plans In 2016, the Company adopted the 2016 Equity Incentive Plan (as amended from time to time, the “2016 Plan”). The Company also adopted the Inducement Plan (as amended from time to time, the “Inducement Plan,” and, together with the 2016 Plan, the “Plans”) on December 15, 2016. The Company accounts for forfeitures in compensation cost when they occur. The Company computes a deferred tax benefit for restricted stock awards (“RSUs”), performance-based stock units (“PSUs”) and stock options designed to generate future tax deductions by applying its effective tax rate to the expense recorded. For restricted stock units, the Company's actual tax deduction is based on the value of the units at the time of vesting. The expense for awards issued to both employees and non-employees, which was recorded in “General and administrative, net” in the accompanying consolidated statements of operations was $4.6 million and $6.1 million for the years ended December 31, 2020 and 2019 respectively. Capitalized share-based compensation was $0.2 million and $0.5 million for the years ended December 31, 2020 and 2019, respectively. We view stock option awards and restricted stock unit awards with graded vesting as single awards with an expected life equal to the average expected life of component awards, and we amortize the awards on a straight-line basis over the life of the awards. Our shares available for future grant under the Plans were 726,723 at December 31, 2020. |
Leases Leases (Policies)
Leases Leases (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Lessee, Leases [Policy Text Block] | Leases SilverBow Resources has contractual agreements for its corporate office lease, vehicle fleet, drilling rigs, compressors, treating equipment, and for surface use rights. For leases with a primary term of more than 12 months, a right-of-use (“ROU”) asset and the corresponding lease liability is recorded. The Company determines at inception if an arrangement is an operating or financing lease. All of the Company’s leases are operating leases. The initial asset and liability balances are recorded at the present value of the payment obligations over the lease term. If lease terms include options to extend the lease and it is reasonably certain that the Company will exercise that option, the lease term used for capitalization includes the expected renewal periods. Most leases do not provide an implicit interest rate. Unless the lease contract contains an implicit interest rate, the Company uses its incremental borrowing rate at the time of lease inception to compute the fair value of the lease payments. The ROU asset balance and current and non-current lease liabilities are reported separately on the accompanying Consolidated Balance Sheets. Certain leases have payment terms that vary based on the usage of the underlying assets. Variable lease payments are not included in ROU assets and lease liabilities. Leases with an initial term of 12 months or less are not recorded on the balance sheet, and the Company does not account for lease and non-lease components separately. The Company recognizes lease expense on a straight-line basis over the lease term. |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value Measurements Fair Value on a Recurring Basis . Our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, derivatives, the Credit Facility and the Second Lien Notes. The carrying amounts of cash and cash equivalents, accounts receivable, and accounts payable approximate fair value due to the highly liquid or short-term nature of these instruments. The fair values of our derivative contracts are computed using observable market data whereas our derivative collar contracts are valued using a Black-Scholes pricing model and are periodically verified against quotes from brokers. These are considered Level 2 valuations (defined below). The carrying value of our Credit Facility and Second Lien approximates fair value because the respective borrowing rates do not materially differ from market rates for similar borrowings. These are considered Level 3 valuations (defined below). The fair value hierarchy has three levels based on the reliability of the inputs used to determine the fair value (in millions): Level 1 – Uses quoted prices in active markets for identical, unrestricted assets or liabilities. Instruments in this category have comparable fair values for identical instruments in active markets. Level 2 – Uses quoted prices for similar assets or liabilities in active markets or observable inputs for assets or liabilities in non-active markets. Instruments in this category are periodically verified against quotes from brokers and include our commodity derivatives that we value using commonly accepted industry-standard models which contain inputs such as contract prices, risk-free rates, volatility measurements and other observable market data that are obtained from independent third-party sources. Level 3 – Uses unobservable inputs for assets or liabilities that are in non-active markets. |
Asset Retirement Obligations _2
Asset Retirement Obligations Asset Retirement Obligations (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations, Policy | Asset Retirement Obligations Liabilities for legal obligations associated with the retirement obligations of tangible long-lived assets are initially recorded at fair value in the period in which they are incurred. When a liability is initially recorded, the carrying amount of the related asset is increased. The liability is discounted from the expected date of abandonment. Over time, accretion of the liability is recognized each period, and the capitalized cost is amortized on a unit-of-production basis as part of depreciation, depletion, and amortization expense for our oil and gas properties. Upon settlement of the liability, the Company either settles the obligation for its recorded amount or incurs a gain or loss upon settlement which is included in the “Property and Equipment” balance on our accompanying consolidated balance sheets. |
Summary of Signigicant Accounti
Summary of Signigicant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Subsequent Events | Subsequent Events . We have evaluated subsequent events requiring potential accrual or disclosure in our condensed consolidated financial statements. On February 5, 2021, and in the ordinary course of business, the Company entered into a new five-year lease agreement for office space in Houston, Texas. The operating lease begins on May 18, 2021. Through February 26, 2021, the Company entered into additional derivative contracts. The following tables summarize the weighted-average prices as well as future production volumes for our future derivative contracts entered into after December 31, 2020: Oil Derivative Contracts Total Volumes (Bbls) (1) Weighted-Average Price 2021 Contracts Swap Purchase Contracts 1Q21 (2) 13,750 $ 53.10 2Q21 (2) 51,050 $ 53.22 2022 Contracts Swap Contracts 1Q22 45,000 $ 50.00 2Q22 45,500 $ 50.00 3Q22 46,000 $ 50.00 4Q22 46,000 $ 50.00 (1) Bbl refers to one barrel of oil. (2) Transaction for a swap purchase to reduce overall hedge position. Oil Derivative Contracts Total Volumes Weighted-Average Price Calendar Monthly Roll Differential Swaps 2022 Contracts 1Q22 90,000 $ 0.18 2Q22 91,000 $ 0.18 3Q22 92,000 $ 0.18 4Q22 92,000 $ 0.18 Natural Gas Derivative Contracts Total Volumes Weighted-Average Collar Floor Price Weighted-Average Collar Call Price 2021 Contracts 2Q21 1,820,000 $ 2.83 $ 2.98 3Q21 1,850,000 $ 2.88 $ 3.09 4Q21 1,840,000 $ 2.95 $ 3.18 2022 Contracts 1Q22 3,150,000 $ 2.95 $ 3.31 Natural Gas Basis Derivative Swaps Total Volumes (MMBtu) Weighted Average Price 2022 Contracts 1Q22 900,000 $ (0.030) 2Q22 910,000 $ (0.030) 3Q22 920,000 $ (0.030) 4Q22 920,000 $ (0.030) NGL Contracts Total Volumes Weighted-Average Price 2021 Contracts 1Q21 101,714 $ 23.14 2Q21 144,733 $ 24.13 3Q21 146,324 $ 24.13 4Q21 146,324 $ 24.13 |
Property and Equipment | The following is a detailed breakout of our “Property and Equipment” balances (in thousands): December 31, December 31, Property and Equipment Proved oil and gas properties $ 1,310,008 $ 1,201,296 Unproved oil and gas properties 28,090 41,201 Furniture, fixtures, and other equipment 5,275 5,220 Less – Accumulated depreciation, depletion, amortization & impairment (801,279) (380,728) Property and Equipment, Net $ 542,094 $ 866,989 |
Disaggregation of Revenue | The following table provides information regarding our oil and gas sales, by product, reported on the Consolidated Statements of Operations for years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Oil, natural gas and NGLs sales: Oil $ 57,651 $ 92,833 Natural gas 105,234 170,558 NGLs 14,500 25,241 Total $ 177,386 $ 288,631 |
Accounts Payable and Accrued Liabilities | Accounts Payable and Accrued Liabilities . The “Accounts payable and accrued liabilities” balances on the accompanying consolidated balance sheets are summarized below (in thousands): December 31, December 31, Trade accounts payable $ 15,930 $ 26,121 Accrued operating expenses 2,491 3,873 Accrued compensation costs 3,771 4,601 Asset retirement obligations – current portion 441 392 Accrued non-income based taxes 1,819 1,413 Accrued corporate and legal fees 150 109 Other payables 2,389 2,834 Total accounts payable and accrued liabilities $ 26,991 $ 39,343 |
Oil and Gas receipts greater than 10% | For the years ended December 31, 2020 and 2019, parties that accounted for 10% or more of our total oil and gas receipts were as follows: Purchasers greater than 10% Year Ended December 31, 2020 Year Ended December 31, 2019 Kinder Morgan 19 % 31 % Plains Marketing 17 % 14 % Twin Eagle 17 % 13 % Trafigura US 13 % * Shell Trading * 11 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Reconciliation of the numerators and denominators used in the calculation of Basic and Diluted EPS | The following is a reconciliation of the numerators and denominators used in the calculation of Basic EPS and Diluted EPS for the periods indicated below (in thousands, except per share amounts): Year Ended December 31, 2020 Year Ended December 31, 2019 Net Income (Loss) Shares Per Share Net Income (Loss) Shares Per Share Basic EPS: Net Income (Loss) and Share Amounts $ (309,382) 11,902 $ (25.99) $ 114,656 11,753 $ 9.76 Dilutive Securities: Restricted Stock Unit Awards — 25 Stock Option Awards — — Diluted EPS: Net Income (Loss) and Assumed Share Conversions $ (309,382) 11,902 $ (25.99) $ 114,656 11,778 $ 9.74 |
Provision (Benefit) for Incom_2
Provision (Benefit) for Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary of income (Loss) from continuing operations before taxes | Income (Loss) before taxes is as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Income (Loss) Before Income Taxes $ (288,471) $ 93,074 |
Summary of consolidated income tax provision (benefit) | The following is an analysis of the consolidated income tax provision (benefit) (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Current $ (480) $ 519 Deferred 21,391 (22,101) Total $ 20,911 $ (21,582) |
Reconciliations of income taxes computed using the U.S. Federal statutory rate to the effective income tax rates | Reconciliations of income taxes computed using the U.S. Federal statutory rate of (21%) to the effective income tax rate are as follows: Year Ended December 31, 2020 Year Ended December 31, 2019 Federal Statutory Rate 21.0 % 21.0 % State tax provisions (benefits), net of federal benefits 0.6 % 1.0 % Executive compensation limitation — % 0.3 % Other, net (0.2) % 0.1 % Valuation allowance adjustments (28.6) % (45.5) % Effective rate (7.2) % (23.0) % |
Tax effects of temporary differences representing the net deferred tax asset (liability) | The tax effects of temporary differences representing the net deferred tax asset (liability) at December 31, 2020 and 2019 were as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Deferred tax assets: Federal net operating loss (“NOL”) carryovers $ 93,293 $ 67,610 Other carryover items 610 552 Asset retirement obligations 1,074 960 Share-based compensation 959 1,210 Lease liability 929 1,999 Other 1,029 874 Valuation allowance (82,618) — Total deferred tax assets $ 15,276 $ 73,205 Deferred tax liabilities: Oil and gas exploration and development costs $ (13,008) $ (48,329) Derivative contracts (1,653) (1,820) Leased assets (917) (1,968) Other (1) (1) Total deferred tax liabilities (15,579) (52,118) Net deferred tax asset (liabilities) $ (303) $ 21,087 State net deferred tax liabilities $ (303) $ (1,582) Federal net deferred tax assets — 22,669 Net deferred tax asset (liabilities) $ (303) $ 21,087 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Long-term debt | The Company's long-term debt consisted of the following (in thousands): December 31, 2020 December 31, 2019 Credit Facility Borrowings (1) $ 230,000 $ 279,000 Second Lien Notes due 2024 200,000 200,000 430,000 479,000 Unamortized discount on Second Lien Notes due 2024 (1,295) (1,550) Unamortized debt issuance cost on Second Lien Notes due 2024 (3,800) (4,550) Total Long-Term Debt $ 424,905 $ 472,900 (1) Unamortized debt issuance costs on our Credit Facility borrowings are included in “Other Long-Term Assets” in our consolidated balance sheet. As of December 31, 2020 and 2019, we had $1.4 million and $3.1 million, respectively, in unamortized debt issuance costs on our Credit Facility borrowings. |
Price-Risk Management Price-R_3
Price-Risk Management Price-Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments [Table Text Block] | The following tables summarize the weighted average prices as well as future production volumes for our future derivative contracts in place as of December 31, 2020. Oil Derivative Swaps Total Volumes (Bbls) Weighted Average Price Weighted Average Collar Floor Price Weighted Average Collar Call Price 2021 Contracts 1Q21 143,538 $ 51.89 2Q21 195,646 $ 51.93 3Q21 179,759 $ 51.19 4Q21 163,812 $ 52.39 2022 Contracts 1Q22 88,455 $ 36.79 3Q22 108,100 $ 41.58 Collar Contracts 2021 Contracts 1Q21 155,475 $ 34.15 $ 39.24 2Q21 116,980 $ 34.33 $ 40.30 3Q21 90,620 $ 34.34 $ 39.87 4Q21 84,640 $ 34.70 $ 41.01 2022 Contracts 1Q22 40,500 $ 40.00 $ 45.55 2Q22 115,850 $ 39.25 $ 46.20 Natural Gas Derivative Swaps Total Volumes (MMBtu) Weighted Average Price Weighted Average Collar Floor Price Weighted Average Collar Call Price 2021 Contracts 1Q21 2,398,078 $ 2.74 2Q21 832,255 $ 2.42 3Q21 330,000 $ 2.62 4Q21 290,000 $ 2.69 Collar Contracts 2021 Contracts 1Q21 7,027,800 $ 2.53 $ 3.33 2Q21 5,911,000 $ 2.26 $ 2.70 3Q21 6,045,175 $ 2.15 $ 2.70 4Q21 5,311,000 $ 2.35 $ 2.76 2022 Contracts 1Q22 4,415,000 $ 2.50 $ 3.35 2Q22 4,200,000 $ 2.23 $ 2.70 3Q22 3,933,000 $ 2.39 $ 2.74 Natural Gas Basis Derivative Swaps Total Volumes (MMBtu) Weighted Average Price 2021 Contracts 1Q21 9,900,000 $ (0.022) 2Q21 10,010,000 $ (0.022) 3Q21 10,120,000 $ (0.022) 4Q21 10,120,000 $ (0.022) 2022 Contracts 1Q22 1,800,000 $ (0.080) 2Q22 1,820,000 $ (0.080) 3Q22 1,840,000 $ (0.080) 4Q22 1,840,000 $ (0.080) Oil Basis Derivative Swaps Total Volumes (Bbls) Weighted Average Price 2021 Contracts 1Q21 373,750 $ 1.19 2Q21 329,150 $ 1.22 3Q21 262,200 $ 1.27 4Q21 241,500 $ 1.28 Calendar Monthly Roll Differential Swaps 2021 Contracts 1Q21 367,000 $ (0.40) 2Q21 313,900 $ (0.37) 3Q21 253,000 $ (0.34) 4Q21 241,500 $ (0.33) 2022 Contracts 1Q22 90,000 $ (0.12) 2Q22 91,000 $ (0.12) 3Q22 92,000 $ (0.12) 4Q22 92,000 $ (0.12) |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock Option Valuation Assumptions | The compensation cost related to these awards is based on the grant date fair value and is expensed over the vesting period (generally one five |
Stock Option Activity | The following table represents stock option award activity for the year ended December 31, 2020: Shares Wtd. Avg. Options outstanding, beginning of period 324,324 $ 27.68 Options expired (20,619) $ 26.96 Options outstanding, end of period 303,705 $ 27.73 Options exercisable, end of period 206,179 $ 28.41 |
Restricted Stock Units Activity | The following table provides information regarding restricted stock unit activity for the year ended December 31, 2020: Shares Wtd. Avg. Restricted units outstanding, beginning of period 342,683 $ 22.10 Restricted stock units granted 397,285 $ 2.83 Restricted stock units forfeited (6,326) $ 19.46 Restricted stock units vested (158,726) $ 21.38 Restricted stock units outstanding, end of period 574,916 $ 9.02 |
Leases Leases (Tables)
Leases Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | Lease costs represent the straight-line lease expense of ROU assets and short-term leases. The components of lease cost are classified as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Lease Costs Included in the Asset Additions in the Condensed Consolidated Balance Sheets Property, plant and equipment acquisitions - short-term leases $ 3,774 $ 10,573 Property, plant and equipment acquisitions - operating leases 10 41 Total lease costs in property, plant and equipment additions $ 3,784 $ 10,614 Year Ended December 31, 2020 Year Ended December 31, 2019 Lease Costs Included in the Condensed Consolidated Statements of Operations Lease operating costs - short-term leases $ 724 $ 2,071 Lease operating costs - operating leases 5,655 3,945 General and administrative, net - operating leases 704 681 Total lease cost expensed $ 7,083 $ 6,697 |
Lessee, Operating Lease, Disclosure [Table Text Block] | The lease term and the discount rate related to the Company's leases are as follows: As of December 31, 2020 Weighted-average remaining lease term (in years) 1.9 Weighted-average discount rate 4.5 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | As of December 31, 2020, the Company's future undiscounted cash payment obligation for its operating lease liabilities are as follows (in thousands): As of December 31, 2020 2020 $ 3,573 2021 542 2022 166 2023 38 2024 39 Thereafter 287 Total undiscounted lease payments $ 4,645 Present value adjustment (221) Net operating lease liabilities $ 4,424 |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | Supplemental cash flow information related to leases was as follows (in thousands): Year Ended December 31, 2020 Year Ended December 31, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows $ 6,352 $ 4,609 Investing cash flows $ 10 $ 41 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table presents our assets and liabilities that are measured on a recurring basis as of December 31, 2020 and 2019, and are categorized using the fair value hierarchy. For additional discussion related to the fair value of the Company's derivatives, refer to Note 5 of these Notes to Consolidated Financial Statements. Fair Value Measurements at (in millions) Total Quoted Prices in Significant Other Significant December 31, 2020 Assets Natural Gas Derivatives $ 1.5 $ — $ 1.5 $ — Natural Gas Basis Derivatives $ 1.1 $ — $ 1.1 $ — Oil Derivatives $ 2.5 $ — $ 2.5 $ — Liabilities Natural Gas Derivatives $ 4.0 $ — $ 4.0 $ — Natural Gas Basis Derivatives $ 0.4 $ — $ 0.4 $ — Oil Derivatives $ 5.9 $ — $ 5.9 $ — Oil Basis Derivatives $ 0.8 $ — $ 0.8 $ — December 31, 2019 Assets Natural Gas Derivatives $ 11.7 $ — $ 11.7 $ — Natural Gas Basis Derivatives $ 3.4 $ — $ 3.4 $ — Oil Derivatives $ 1.6 $ — $ 1.6 $ — Liabilities Natural Gas Derivatives $ 0.2 $ — $ 0.2 $ — Natural Gas Basis Derivatives $ 0.9 $ — $ 0.9 $ — Oil Derivatives $ 7.0 $ — $ 7.0 $ — Oil Basis Derivatives $ 0.1 $ — $ 0.1 $ — |
Asset Retirement Obligations _3
Asset Retirement Obligations Asset Retirement Obligations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Roll-forward of our asset retirement obligations | The following provides a roll-forward of our asset retirement obligations (in thousands): Asset Retirement Obligations as of December 31, 2018 $ 4,259 Accretion expense 329 Liabilities incurred for new wells and facilities construction 250 Reductions due to plugged wells and facilities (82) Revisions in estimates (309) Asset Retirement Obligations as of December 31, 2019 $ 4,447 Accretion expense 354 Liabilities incurred for new wells and facilities construction 281 Reductions due to plugged wells and facilities (103) Revisions in estimates (5) Asset Retirement Obligations as of December 31, 2020 $ 4,974 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 177,386 | $ 288,631 |
Concentration Risk, Percentage | 10.00% | |
Property, Plant and Equipment [Abstract] | ||
Proved oil and gas properties | $ 1,310,008 | 1,201,296 |
Unproved oil and gas properties | 28,090 | 41,201 |
Furniture, fixtures, and other equipment | 5,275 | 5,220 |
Less - Accumulated depreciation, depletion, and amortization | (801,279) | (380,728) |
Property, Plant and Equipment, Net | 542,094 | 866,989 |
Accounts Payable and Accrued Liabilities [Abstract] | ||
Trade accounts payable | 15,930 | 26,121 |
Accrued operating expenses | 2,491 | 3,873 |
Accrued payroll costs | 3,771 | 4,601 |
Asset retirement obligation - current portion | 441 | 392 |
Accrued taxes | 1,819 | 1,413 |
Accrued Professional Fees, Current | 150 | 109 |
Other payables | 2,389 | 2,834 |
Total accounts payable and accrued liabilities | $ 26,991 | $ 39,343 |
Kinder Morgan Concentration Risk [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration Risk, Percentage | 19.00% | 31.00% |
Plains Marketing Concentration Risk [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration Risk, Percentage | 17.00% | 14.00% |
Twin Eagle Concentration Risk [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration Risk, Percentage | 17.00% | 13.00% |
Shell Trading Concentration Risk [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration Risk, Percentage | 11.00% | |
Trafigura US | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration Risk, Percentage | 13.00% | |
Oil sales [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 57,651 | $ 92,833 |
Natural gas sales [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 105,234 | 170,558 |
NGL sales [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 14,500 | $ 25,241 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Textual) $ in Thousands, MMcf in Millions | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)bblMMBTU$ / MMBTU$ / Boeshares | Dec. 31, 2019USD ($)shares | Feb. 26, 2021MMBTUbbl$ / MMBTU$ / Boe | Sep. 30, 2020MMcf | Apr. 21, 2020 | Mar. 31, 2020 | |
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Brent Spot Price | 41 | 52 | 42 | 15 | |||
WTI Spot Price | 39 | 49 | 40 | 21 | |||
WTI May 2020 Pricing | 10 | ||||||
Curtailed Natural Gas Volumes | MMcf | 20 | ||||||
Total capitalized internal costs | $ | $ 3,500 | $ 5,300 | |||||
Write-down of oil and gas properties | $ | $ 355,948 | 0 | |||||
Discount rate for estimated future net revenues from proved properties | 10.00% | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ | $ 177,386 | 288,631 | |||||
Allowance for doubtful accounts receivable, current | $ | 100 | 100 | |||||
Accounts receivable from oil and gas sales | $ | 18,800 | 24,600 | |||||
Accounts receivable related to joint interest owners | $ | 4,000 | 3,700 | |||||
Severance tax credit receivables | $ | 2,400 | 5,400 | |||||
Other receivables | $ | $ 700 | 3,300 | |||||
Percentage of working interest in wells | 100.00% | ||||||
Total amount of supervision fees charged to wells | $ | $ 4,400 | 4,900 | |||||
Income Tax Expense (Benefit) | $ | $ 21,200 | 20,911 | (21,582) | ||||
Current State and Local Tax Expense (Benefit) | $ | $ (1,800) | $ 1,100 | |||||
Treasury Stock, Shares, Acquired | shares | 28,731 | 22,482 | |||||
Operating Lease, Right-of-Use Asset | $ | $ 4,366 | $ 9,374 | |||||
Concentration Risk, Percentage | 10.00% | ||||||
First Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.022) | ||||||
First Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 7,027,800 | ||||||
Derivative, Average Floor Price | 2.53 | ||||||
Derivative, Average Cap Price | 3.33 | ||||||
First Quarter 2021 [Member] | Natural Gas Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | 2.74 | ||||||
First Quarter 2021 [Member] | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 155,475 | ||||||
Derivative, Average Floor Price | 34.15 | ||||||
Derivative, Average Cap Price | 39.24 | ||||||
First Quarter 2021 [Member] | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.89 | ||||||
First Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 367,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.40) | ||||||
First Quarter 2021 [Member] | Swap Purchase | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 13,750 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 53.10 | ||||||
First Quarter 2021 [Member] | NGL Contract | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 101,714 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 23.14 | ||||||
Second Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.022) | ||||||
Second Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 5,911,000 | ||||||
Derivative, Average Floor Price | 2.26 | ||||||
Derivative, Average Cap Price | 2.70 | ||||||
Second Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 1,820,000 | ||||||
Derivative, Average Floor Price | 2.83 | ||||||
Derivative, Average Cap Price | 2.98 | ||||||
Second Quarter 2021 [Member] | Natural Gas Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | 2.42 | ||||||
Second Quarter 2021 [Member] | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 116,980 | ||||||
Derivative, Average Floor Price | 34.33 | ||||||
Derivative, Average Cap Price | 40.30 | ||||||
Second Quarter 2021 [Member] | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.93 | ||||||
Second Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 313,900 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.37) | ||||||
Second Quarter 2021 [Member] | Swap Purchase | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 51,050 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 53.22 | ||||||
Second Quarter 2021 [Member] | NGL Contract | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 144,733 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 24.13 | ||||||
Third Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.022) | ||||||
Third Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 6,045,175 | ||||||
Derivative, Average Floor Price | 2.15 | ||||||
Derivative, Average Cap Price | 2.70 | ||||||
Third Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 1,850,000 | ||||||
Derivative, Average Floor Price | 2.88 | ||||||
Derivative, Average Cap Price | 3.09 | ||||||
Third Quarter 2021 [Member] | Natural Gas Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | 2.62 | ||||||
Third Quarter 2021 [Member] | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 90,620 | ||||||
Derivative, Average Floor Price | 34.34 | ||||||
Derivative, Average Cap Price | 39.87 | ||||||
Third Quarter 2021 [Member] | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.19 | ||||||
Third Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 253,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.34) | ||||||
Third Quarter 2021 [Member] | NGL Contract | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 146,324 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 24.13 | ||||||
Fourth Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.022) | ||||||
Fourth Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 5,311,000 | ||||||
Derivative, Average Floor Price | 2.35 | ||||||
Derivative, Average Cap Price | 2.76 | ||||||
Fourth Quarter 2021 [Member] | Natural Gas Derivative [Member] | Collar Contracts [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 1,840,000 | ||||||
Derivative, Average Floor Price | 2.95 | ||||||
Derivative, Average Cap Price | 3.18 | ||||||
Fourth Quarter 2021 [Member] | Natural Gas Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | 2.69 | ||||||
Fourth Quarter 2021 [Member] | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 84,640 | ||||||
Derivative, Average Floor Price | 34.70 | ||||||
Derivative, Average Cap Price | 41.01 | ||||||
Fourth Quarter 2021 [Member] | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 52.39 | ||||||
Fourth Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 241,500 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.33) | ||||||
Fourth Quarter 2021 [Member] | NGL Contract | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 146,324 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 24.13 | ||||||
First Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.080) | ||||||
First Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 900,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.030) | ||||||
First Quarter 2022 | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 4,415,000 | ||||||
Derivative, Average Floor Price | 2.50 | ||||||
Derivative, Average Cap Price | 3.35 | ||||||
First Quarter 2022 | Natural Gas Derivative [Member] | Collar Contracts [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 3,150,000 | ||||||
Derivative, Average Floor Price | 2.95 | ||||||
Derivative, Average Cap Price | 3.31 | ||||||
First Quarter 2022 | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 40,500 | ||||||
Derivative, Average Floor Price | 40 | ||||||
Derivative, Average Cap Price | 45.55 | ||||||
First Quarter 2022 | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 36.79 | ||||||
First Quarter 2022 | Oil Derivative [Member] | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 45,000 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 50 | ||||||
First Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 90,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.12) | ||||||
First Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 90,000 | ||||||
Derivative, Swap Type, Average Fixed Price | 0.18 | ||||||
Second Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.080) | ||||||
Second Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 910,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.030) | ||||||
Second Quarter 2022 | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 4,200,000 | ||||||
Derivative, Average Floor Price | 2.23 | ||||||
Derivative, Average Cap Price | 2.70 | ||||||
Second Quarter 2022 | Oil Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 115,850 | ||||||
Derivative, Average Floor Price | 39.25 | ||||||
Derivative, Average Cap Price | 46.20 | ||||||
Second Quarter 2022 | Oil Derivative [Member] | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 45,500 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 50 | ||||||
Second Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 91,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.12) | ||||||
Second Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 91,000 | ||||||
Derivative, Swap Type, Average Fixed Price | 0.18 | ||||||
Third Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.080) | ||||||
Third Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 920,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.030) | ||||||
Third Quarter 2022 | Natural Gas Derivative [Member] | Collar Contracts [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 3,933,000 | ||||||
Derivative, Average Floor Price | 2.39 | ||||||
Derivative, Average Cap Price | 2.74 | ||||||
Third Quarter 2022 | Oil Derivative [Member] | Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 41.58 | ||||||
Third Quarter 2022 | Oil Derivative [Member] | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 46,000 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 50 | ||||||
Third Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 92,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.12) | ||||||
Third Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 92,000 | ||||||
Derivative, Swap Type, Average Fixed Price | 0.18 | ||||||
Fourth Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Swap Type, Average Fixed Price | (0.080) | ||||||
Fourth Quarter 2022 | Natural Gas Basis Derivative [Member] | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | MMBTU | 920,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.030) | ||||||
Fourth Quarter 2022 | Oil Derivative [Member] | Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 46,000 | ||||||
Derivative, Swap Type, Average Fixed Price | $ / Boe | 50 | ||||||
Fourth Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 92,000 | ||||||
Derivative, Swap Type, Average Fixed Price | (0.12) | ||||||
Fourth Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | Basis Swap [Member] | Subsequent Event | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Derivative, Nonmonetary Notional Amount | bbl | 92,000 | ||||||
Derivative, Swap Type, Average Fixed Price | 0.18 | ||||||
Kinder Morgan Concentration Risk [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Concentration Risk, Percentage | 19.00% | 31.00% | |||||
Plains Marketing Concentration Risk [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Concentration Risk, Percentage | 17.00% | 14.00% | |||||
Twin Eagle Concentration Risk [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Concentration Risk, Percentage | 17.00% | 13.00% | |||||
Shell Trading Concentration Risk [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Concentration Risk, Percentage | 11.00% | ||||||
Trafigura US | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Concentration Risk, Percentage | 13.00% | ||||||
Minimum [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Property, Plant and Equipment, Useful Life | 2 years | ||||||
Maximum [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Property, Plant and Equipment, Useful Life | 20 years | ||||||
Oil sales [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ | $ 57,651 | $ 92,833 | |||||
Natural gas sales [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ | 105,234 | 170,558 | |||||
NGL sales [Member] | |||||||
Summary of Significant Accounting Policies (Textual) [Abstract] | |||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ | $ 14,500 | $ 25,241 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Basic EPS: | ||
Net Income (Loss) | $ (309,382) | $ 114,656 |
Income, Share Amounts | 11,902 | 11,753 |
Earnings (Loss) Per Share, Basic | $ (25.99) | $ 9.76 |
Dilutive Securities: | ||
Dilutive Restricted Stock Unit Awards | 0 | 25 |
Dilutive Stock Option Awards | 0 | 0 |
Diluted EPS: | ||
Net Income (Loss) Available to Common Stockholders, Diluted | $ (309,382) | $ 114,656 |
Weighted Average Number of Shares Outstanding, Diluted | 11,902 | 11,778 |
Earnings (Loss) Per Share, Diluted | $ (25.99) | $ 9.74 |
Stock Options [Member] | ||
Earnings Per Share (Textual) [Abstract] | ||
Antidilutive shares not included in the computation of diluted EPS | 300 | 500 |
Restricted Stock Units (RSUs) [Member] | ||
Earnings Per Share (Textual) [Abstract] | ||
Antidilutive shares not included in the computation of diluted EPS | 200 | 300 |
Performance Shares [Member] | ||
Earnings Per Share (Textual) [Abstract] | ||
Antidilutive shares not included in the computation of diluted EPS | 100 | 100 |
Warrant [Member] | ||
Earnings Per Share (Textual) [Abstract] | ||
Antidilutive shares not included in the computation of diluted EPS | 0 | 2,100 |
Provision (Benefit) for Incom_3
Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Summary of income (Loss) from continuing operations before taxes | ||
Income (Loss) Before Income Taxes | $ (288,471) | $ 93,074 |
Consolidated income tax provisi
Consolidated income tax provision (benefit) (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Summary of consolidated income tax provision (benefit) | |||
Current income taxes | $ (480) | $ 519 | |
Deferred Income Tax Expense (Benefit) | 21,391 | (22,101) | |
Income tax provision (benefit) | $ 21,200 | $ 20,911 | $ (21,582) |
Reconciliation of income taxes
Reconciliation of income taxes using federal statutory rate to effective income tax rate (Details) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliations of income taxes computed using the U.S. Federal statutory rate to the effective income tax rates | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% |
State tax provisions (benefits), net of federal benefits | 0.60% | 1.00% |
Executive compensation limitation | 0.00% | 0.30% |
Other, net | (0.20%) | 0.10% |
Valuation allowance adjustments | (28.60%) | (45.50%) |
Effective rate | (7.20%) | (23.00%) |
Tax effects of temporary differ
Tax effects of temporary differences representing the net DTA (DTL) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred tax assets: | ||
DTA, Federal net operating losses (NOLs) | $ 93,293 | $ 67,610 |
DTA, Other loss carryforwards | 610 | 552 |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Asset Retirement Obligations | 1,074 | 960 |
DTA, Unrealized share-based compensation | 959 | 1,210 |
Deferred Tax Assets, Tax Deferred Expense, Other | 929 | 1,999 |
DTA, Other | 1,029 | 874 |
DTA, Valuation Allowance | (82,618) | 0 |
Total deferred tax assets | 15,276 | 73,205 |
Deferred tax liabilities: | ||
DTL, Oil and gas exploration and development costs | (13,008) | (48,329) |
Deferred Tax Liabilities, Derivatives | (1,653) | (1,820) |
Deferred Tax Liabilities, Leasing Arrangements | (917) | (1,968) |
DTL, Other | (1) | (1) |
Total deferred tax liabilites | 15,579 | 52,118 |
Net deferred tax liabilities | (303) | 21,087 |
State deferred tax liabilities, net | (303) | (1,582) |
Federal deferred tax assets, net | $ 0 | $ 22,669 |
Provision (Benefit) for Incom_4
Provision (Benefit) for Income Taxes (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Effective income tax rate reconciliation, percent | 21.00% | 21.00% |
Deferred Tax Assets, Valuation Allowance | $ 82,618 | $ 0 |
Operating Loss Carryforward, Income Tax Limitation | 80.00% | |
Tax Year 2015 [Member] | ||
Operating Loss Carryforwards | $ 115,000 | |
Tax Year 2017 [Member] | ||
Operating Loss Carryforwards | 160,000 | |
Tax Year 2020 | ||
Operating Loss Carryforwards | $ 170,000 |
Long-Term Debt (Details)
Long-Term Debt (Details) $ in Thousands | Nov. 02, 2020USD ($) | May 12, 2020USD ($) | Dec. 15, 2017USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Apr. 19, 2017USD ($) |
Bank Borrowings | ||||||
Long-Term Debt, excluding current maturities | $ 424,905 | $ 472,900 | ||||
Interest expense including commitment fees and amortization of debt issuance costs relating to the credit facility | 31,228 | 36,561 | ||||
Second Lien | ||||||
Long-term Debt, Gross | $ 430,000 | 479,000 | ||||
Discount Rate for Estimated Future Net Revenues from Proved Properties | 10.00% | |||||
Line of Credit [Member] | ||||||
Bank Borrowings | ||||||
Capitalized interest on our unproved properties | $ 0 | 200 | ||||
New Credit Facility [Member] | ||||||
Bank Borrowings | ||||||
Debt Issuance Costs, Net | (1,400) | (3,100) | ||||
New Credit Facility [Member] | Line of Credit [Member] | ||||||
Bank Borrowings | ||||||
Long-Term Debt, excluding current maturities | 230,000 | 279,000 | ||||
Line of Credit, current borrowing base | $ 310,000 | $ 330,000 | 310,000 | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 600,000 | |||||
Line of Credit, Letters of Credit Issuable | $ 25,000 | |||||
Line of Credit Facility, Commitment Fee Percentage | 0.50% | |||||
Line of Credit, Additional Interest Due to Payment Default | 2.00% | |||||
Line of Credit, Required Security Interest on Oil and Gas Properties | 85.00% | |||||
Line of Credit, Covenant, Debt to EBITDA Ratio, Minimum | 3.5 | 4 | ||||
Line of Credit, Covenant, Current Ratio, Minimum | 1 | |||||
Interest expense including commitment fees and amortization of debt issuance costs relating to the credit facility | 12,600 | 15,700 | ||||
Commitment fees included in interest expense, net | 400 | 700 | ||||
New Credit Facility [Member] | Line of Credit [Member] | Minimum [Member] | Alternative Base Interest Rate [Member] | ||||||
Bank Borrowings | ||||||
Debt Instrument escalating basis spread on base rate | 0.0175 | |||||
Debt instrument escalating rates for eurodollar rate loans | 0.0275 | |||||
New Credit Facility [Member] | Line of Credit [Member] | Maximum [Member] | Alternative Base Interest Rate [Member] | ||||||
Bank Borrowings | ||||||
Debt Instrument escalating basis spread on base rate | 0.0275 | |||||
Debt instrument escalating rates for eurodollar rate loans | 0.0375 | |||||
Second Lien Notes [Member] | ||||||
Bank Borrowings | ||||||
Debt Issuance Costs, Net | (3,800) | (4,550) | ||||
Long-Term Debt, excluding current maturities | $ 198,000 | 200,000 | 200,000 | |||
Interest expense including commitment fees and amortization of debt issuance costs relating to the credit facility | 18,600 | 21,100 | ||||
Second Lien | ||||||
Long-term Debt, Gross | 200,000 | |||||
Debt Instrument, Unamortized Discount | (2,000) | (1,295) | $ (1,550) | |||
Additional notes issuable | $ 100,000 | |||||
Additional interest in the event of default | 0.020 | |||||
Make whole premium during year 3 | 0.020 | |||||
Make whole premium during year 4 | 0.010 | |||||
Second Lien, Required Security Interest on Proved Reserves | 85.00% | |||||
Second Lien, Required Security Interest on Oil and Gas Properties | 85.00% | |||||
Discount Rate for Estimated Future Net Revenues for Proved Properties at 9% | 9.00% | |||||
Second Lien, Asset Coverage Ratio, Minimum | 1.25 | |||||
Discount Rate for Estimated Future Net Revenues from Proved Properties | 10.00% | |||||
Second Lien, Covenant, Debt to EBITDA Ratio, Minimum | 4.5 | |||||
Long-term Debt | $ 194,900 | |||||
Second Lien Notes [Member] | Alternative Base Interest Rate [Member] | ||||||
Bank Borrowings | ||||||
Debt Instrument escalating basis spread on base rate | 0.065 | |||||
Second Lien Notes [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||
Bank Borrowings | ||||||
Debt Instrument escalating basis spread on base rate | 0.075 |
Price-Risk Management Price-R_4
Price-Risk Management Price-Risk Management (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)bblMMBTU$ / MMBTU$ / Boe | Dec. 31, 2019USD ($) | |
Derivative [Line Items] | ||
Gain (Loss) on Price Risk Derivatives, Net | $ | $ 61,300 | $ 24,200 |
Cash Received (Paid) On Settlements of Derivative Contracts | $ | 78,421 | 24,631 |
Cash Received (Paid) On Monetized Derivative Contracts | $ | 38,300 | |
Receivables for Settled Derivatives | $ | 800 | 2,900 |
Payables for Settled Derivatives | $ | 800 | 200 |
Derivative, Fair Value, Net | $ | (6,000) | 8,400 |
Other Current Assets [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | $ | 4,800 | 12,800 |
Other Noncurrent Assets [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | $ | 300 | 3,900 |
Other Current Liabilities [Member] | ||
Derivative [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ | 8,200 | 6,600 |
Other Noncurrent Liabilities [Member] | ||
Derivative [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ | $ 2,900 | $ 1,600 |
Swap [Member] | First Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 143,538 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.89 | |
Swap [Member] | First Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 2,398,078 | |
Derivative, Swap Type, Average Fixed Price | 2.74 | |
Swap [Member] | Second Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 195,646 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.93 | |
Swap [Member] | Second Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 832,255 | |
Derivative, Swap Type, Average Fixed Price | 2.42 | |
Swap [Member] | Third Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 179,759 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 51.19 | |
Swap [Member] | Third Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 330,000 | |
Derivative, Swap Type, Average Fixed Price | 2.62 | |
Swap [Member] | Fourth Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 163,812 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 52.39 | |
Swap [Member] | Fourth Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 290,000 | |
Derivative, Swap Type, Average Fixed Price | 2.69 | |
Swap [Member] | First Quarter 2022 | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 88,455 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 36.79 | |
Swap [Member] | Third Quarter 2022 | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Portion of Future Oil and Gas Production Being Hedged | bbl | 108,100 | |
Derivative, Swap Type, Average Fixed Price | $ / Boe | 41.58 | |
Collar Contracts [Member] | First Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 34.15 | |
Derivative, Average Cap Price | 39.24 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 155,475 | |
Collar Contracts [Member] | First Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.53 | |
Derivative, Average Cap Price | 3.33 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 7,027,800 | |
Collar Contracts [Member] | Second Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 34.33 | |
Derivative, Average Cap Price | 40.30 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 116,980 | |
Collar Contracts [Member] | Second Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.26 | |
Derivative, Average Cap Price | 2.70 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 5,911,000 | |
Collar Contracts [Member] | Third Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 34.34 | |
Derivative, Average Cap Price | 39.87 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 90,620 | |
Collar Contracts [Member] | Third Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.15 | |
Derivative, Average Cap Price | 2.70 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 6,045,175 | |
Collar Contracts [Member] | Fourth Quarter 2021 [Member] | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 34.70 | |
Derivative, Average Cap Price | 41.01 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 84,640 | |
Collar Contracts [Member] | Fourth Quarter 2021 [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.35 | |
Derivative, Average Cap Price | 2.76 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 5,311,000 | |
Collar Contracts [Member] | First Quarter 2022 | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 40 | |
Derivative, Average Cap Price | 45.55 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 40,500 | |
Collar Contracts [Member] | First Quarter 2022 | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.50 | |
Derivative, Average Cap Price | 3.35 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 4,415,000 | |
Collar Contracts [Member] | Second Quarter 2022 | Oil Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 39.25 | |
Derivative, Average Cap Price | 46.20 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 115,850 | |
Collar Contracts [Member] | Second Quarter 2022 | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.23 | |
Derivative, Average Cap Price | 2.70 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 4,200,000 | |
Collar Contracts [Member] | Third Quarter 2022 | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Floor Price | 2.39 | |
Derivative, Average Cap Price | 2.74 | |
Derivative, Nonmonetary Notional Amount | MMBTU | 3,933,000 | |
Basis Swap [Member] | First Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 9,900,000 | |
Derivative, Swap Type, Average Fixed Price | (0.022) | |
Basis Swap [Member] | First Quarter 2021 [Member] | Oil Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | 1.19 | |
Derivative, Nonmonetary Notional Amount | bbl | 373,750 | |
Basis Swap [Member] | First Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.40) | |
Derivative, Nonmonetary Notional Amount | bbl | 367,000 | |
Basis Swap [Member] | Second Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 10,010,000 | |
Derivative, Swap Type, Average Fixed Price | (0.022) | |
Basis Swap [Member] | Second Quarter 2021 [Member] | Oil Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | 1.22 | |
Derivative, Nonmonetary Notional Amount | bbl | 329,150 | |
Basis Swap [Member] | Second Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.37) | |
Derivative, Nonmonetary Notional Amount | bbl | 313,900 | |
Basis Swap [Member] | Third Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 10,120,000 | |
Derivative, Swap Type, Average Fixed Price | (0.022) | |
Basis Swap [Member] | Third Quarter 2021 [Member] | Oil Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | 1.27 | |
Derivative, Nonmonetary Notional Amount | bbl | 262,200 | |
Basis Swap [Member] | Third Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.34) | |
Derivative, Nonmonetary Notional Amount | bbl | 253,000 | |
Basis Swap [Member] | Fourth Quarter 2021 [Member] | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 10,120,000 | |
Derivative, Swap Type, Average Fixed Price | (0.022) | |
Basis Swap [Member] | Fourth Quarter 2021 [Member] | Oil Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | 1.28 | |
Derivative, Nonmonetary Notional Amount | bbl | 241,500 | |
Basis Swap [Member] | Fourth Quarter 2021 [Member] | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.33) | |
Derivative, Nonmonetary Notional Amount | bbl | 241,500 | |
Basis Swap [Member] | First Quarter 2022 | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 1,800,000 | |
Derivative, Swap Type, Average Fixed Price | (0.080) | |
Basis Swap [Member] | First Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.12) | |
Derivative, Nonmonetary Notional Amount | bbl | 90,000 | |
Basis Swap [Member] | Second Quarter 2022 | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 1,820,000 | |
Derivative, Swap Type, Average Fixed Price | (0.080) | |
Basis Swap [Member] | Second Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.12) | |
Derivative, Nonmonetary Notional Amount | bbl | 91,000 | |
Basis Swap [Member] | Third Quarter 2022 | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 1,840,000 | |
Derivative, Swap Type, Average Fixed Price | (0.080) | |
Basis Swap [Member] | Third Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.12) | |
Derivative, Nonmonetary Notional Amount | bbl | 92,000 | |
Basis Swap [Member] | Fourth Quarter 2022 | Natural Gas Basis Derivative [Member] | ||
Derivative [Line Items] | ||
Future Gas Production Hedged in MMBtu (Energy Item Type) | MMBTU | 1,840,000 | |
Derivative, Swap Type, Average Fixed Price | (0.080) | |
Basis Swap [Member] | Fourth Quarter 2022 | Oil Basis Calendar Monthly Roll Differential Swap | ||
Derivative [Line Items] | ||
Derivative, Swap Type, Average Fixed Price | (0.12) | |
Derivative, Nonmonetary Notional Amount | bbl | 92,000 |
Commitments and Contingencies (
Commitments and Contingencies (Details Textual) - Gas transportation and processing obligations [Member] $ in Millions | Dec. 31, 2020USD ($) |
Obligations (Textual) | |
Contractual Obligation, Due in Next Fiscal Year | $ 5.2 |
Contractual Obligation, Due in Second Year | 3.9 |
Contractual Obligation, Due in Third Year | 2.6 |
Contractual Obligation, Due in Fourth Year | 1.6 |
Contractual Obligation, Due in Fifth Year | 1.1 |
Contractual Obligation | $ 14.4 |
Share-Based Compensation (Detai
Share-Based Compensation (Details 1) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Restricted Stock Units (RSUs) [Member] | ||
Restricted stock activity | ||
Restricted units outstanding | 574,916 | 342,683 |
Restricted units outstanding, weighted average price | $ 9.02 | $ 22.10 |
Restricted stock units granted | 397,285 | |
Restricted stock units granted, weighted average price | $ 2.83 | |
Restricted stock units forfeited | (6,326) | |
Restricted stock units forfeited, weighted average price | $ 19.46 | |
Restricted stock units vested | (158,726) | |
Restricted stock units vested, weighted average price | $ 21.38 | |
Share-based Payment Arrangement, Option [Member] | ||
Stock option activity in shares and weighted average price | ||
Options outstanding, beginning of period, shares | 324,324 | |
Options outstanding, beginning of period, weighted average price | $ 27.68 | |
Options expired | (20,619) | |
Options expired, weighted average price | $ 26.96 | |
Options outstanding, end of period, shares | 303,705 | |
Options outstanding, end of period, weighted average price | $ 27.73 | |
Options exercisable, end of period, shares | 206,179 | |
Options exercisable, end of period, weighted average price | $ 28.41 |
Share-Based Compensation (Det_2
Share-Based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Dec. 31, 2020 | May 21, 2019 | Feb. 20, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Apr. 02, 2019 |
Stock-Based Compensation Plan | ||||||
Share-based compensation expenses | $ 4,557 | $ 6,148 | ||||
Share-based Payment Arrangement, Amount Capitalized | $ 200 | 500 | ||||
Shares available for future grant under stock compensation plans | 726,723 | 726,723 | ||||
Employee Savings Plan [Abstract] | ||||||
Employee Savings Plan, Employer Matching Contribution, Percent | 100.00% | |||||
Employee Savings Plan, Maximum Annual Contribution Per Employee, Percent | 6.00% | |||||
Employee Savings Plan, Employer Discretionary Contribution Amount | $ 600 | 600 | ||||
General and Administrative Expense [Member] | ||||||
Stock-Based Compensation Plan | ||||||
Share-based compensation expenses | 4,600 | $ 6,100 | ||||
Share-based Payment Arrangement, Option - Equity Exchange Award [Member] | ||||||
Stock Option Awards | ||||||
Unrecognized compensation cost related to stock awards | $ 1,200 | |||||
Share-based Payment Arrangement, Option [Member] | ||||||
Stock Option Awards | ||||||
Unrecognized compensation cost related to stock awards | $ 600 | 600 | ||||
Outstanding stock options aggregate intrinsic value | 0 | $ 0 | ||||
Remaining contract life of outstanding stock options. | 4 years 9 months 18 days | |||||
Remaining contract life of exercisable stock option | 4 years | |||||
Intrinsic value of exercised stock option | $ 0 | |||||
Restricted Stock Units (RSUs) [Member] | ||||||
Stock-Based Compensation Plan | ||||||
Equity Award Exchange Percentage of Award | 50.00% | |||||
Stock Option Awards | ||||||
Unrecognized compensation cost related to stock awards | 2,400 | $ 2,400 | ||||
Restricted Stock Units [Abstract] | ||||||
Weighted average recognition period of cost related to stock awards | 1 year 1 month 6 days | |||||
Performance Share Units [Abstract] | ||||||
Restricted stock units granted | 397,285 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 2.83 | |||||
Restricted stock units vested | 158,726 | |||||
Performance-based stock unit [Member] | ||||||
Stock-Based Compensation Plan | ||||||
Equity Award Exchange Percentage of Award | 50.00% | |||||
Stock Option Awards | ||||||
Unrecognized compensation cost related to stock awards | $ 1,000 | $ 1,000 | ||||
Restricted Stock Units [Abstract] | ||||||
Weighted average recognition period of cost related to stock awards | 1 year | |||||
Performance Share Units [Abstract] | ||||||
Restricted stock units granted | 99,500 | 30,700 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 18.86 | $ 41.66 | ||||
Percent of payout for performance based stock units | 100.00% | 112.90% | 150.61% | 100.00% | ||
Restricted stock units vested | 0 | |||||
Minimum Payout [Member] | Share-based Payment Arrangement, Option [Member] | ||||||
Restricted Stock Units [Abstract] | ||||||
Vesting period | 1 year | |||||
Minimum Payout [Member] | Restricted Stock Units (RSUs) [Member] | ||||||
Restricted Stock Units [Abstract] | ||||||
Vesting period | 1 year | |||||
Minimum Payout [Member] | Performance-based stock unit [Member] | ||||||
Performance Share Units [Abstract] | ||||||
Percent of payout for performance based stock units | 0.00% | 0.00% | ||||
Maximum Payout [Member] | Share-based Payment Arrangement, Option [Member] | ||||||
Restricted Stock Units [Abstract] | ||||||
Vesting period | 5 years | |||||
Maximum Payout [Member] | Restricted Stock Units (RSUs) [Member] | ||||||
Restricted Stock Units [Abstract] | ||||||
Vesting period | 5 years | |||||
Maximum Payout [Member] | Performance-based stock unit [Member] | ||||||
Performance Share Units [Abstract] | ||||||
Percent of payout for performance based stock units | 200.00% | 200.00% | ||||
Performance Period for Award | 3 years |
Leases Leases (Details)
Leases Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2017 | |
Lessee, Lease, Description [Line Items] | |||
Lease, Cost | $ 7,083 | $ 6,697 | |
Operating Lease, Weighted Average Remaining Lease Term | 1 year 10 months 24 days | ||
Operating Lease, Weighted Average Discount Rate, Percent | 4.50% | ||
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year | $ 3,573 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Two | 542 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Three | 166 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Four | 38 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Five | 39 | ||
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 287 | ||
Lessee, Operating Lease, Liability, Payments, Due | 4,645 | ||
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | (221) | ||
Operating Lease, Liability | 4,424 | ||
Operating Lease, Payments | 6,352 | 4,609 | |
Operating Lease, Payments, Use | 10 | 41 | |
Operating Leases, Rent Expense | 5,800 | 5,400 | |
Building [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 4 years | ||
Operating Leases, Future Minimum Payments Due | 300 | ||
General and Administrative Expense [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating Lease, Cost | 704 | 681 | |
Lease Operating Expense [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Short-term Lease, Cost | 724 | 2,071 | |
Operating Lease, Cost | 5,655 | 3,945 | |
Property, Plant and Equipment [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Short-term Lease, Cost | 3,774 | 10,573 | |
Operating Lease, Cost | 10 | 41 | |
Lease, Cost | $ 3,784 | $ 10,614 |
Acquisitions and Dispositions (
Acquisitions and Dispositions (Details) - USD ($) $ in Thousands | May 13, 2020 | Apr. 03, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 22, 2017 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Payments for (Proceeds from) Other Investing Activities | $ 826 | $ 5,112 | |||
Payments to Acquire Oil and Gas Property | 4,544 | $ 0 | |||
Bay De Chene [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Purchase and sale contract | $ 16,300 | ||||
Cash to be released for purchase and sale contract | $ 1,600 | ||||
Eagle Ford Acquisition | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Payments to Acquire Oil and Gas Property | $ 5,000 | ||||
Wyoming Disposition | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 4,800 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Recurring [Member] - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Natural Gas Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | $ 1.5 | $ 11.7 |
Derivative Liability | 4 | 0.2 |
Natural Gas Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 1.1 | 3.4 |
Derivative Liability | 0.4 | 0.9 |
Oil Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 2.5 | 1.6 |
Derivative Liability | 5.9 | 7 |
Oil Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Liability | 0.8 | 0.1 |
Fair Value, Inputs, Level 1 [Member] | Natural Gas Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Natural Gas Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Oil Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Oil Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Natural Gas Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 1.5 | 11.7 |
Derivative Liability | 4 | 0.2 |
Fair Value, Inputs, Level 2 [Member] | Natural Gas Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 1.1 | 3.4 |
Derivative Liability | 0.4 | 0.9 |
Fair Value, Inputs, Level 2 [Member] | Oil Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 2.5 | 1.6 |
Derivative Liability | 5.9 | 7 |
Fair Value, Inputs, Level 2 [Member] | Oil Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Liability | 0.8 | 0.1 |
Fair Value, Inputs, Level 3 [Member] | Natural Gas Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Natural Gas Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Oil Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Asset | 0 | 0 |
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Oil Basis Derivative [Member] | ||
Debt Instrument [Line Items] | ||
Derivative Liability | $ 0 | $ 0 |
Asset Retirement Obligations _4
Asset Retirement Obligations Asset Retirement Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Asset Retirement Obligation Disclosure [Abstract] | |||
Asset Retirement Obligation | $ 4,974 | $ 4,447 | $ 4,259 |
Accretion expense | 354 | 329 | |
Liabilities incurred for new wells and facilities construction | 281 | 250 | |
Asset Retirement Obligation, Liabilities Plugged | (103) | (82) | |
Revisions in estimates | (5) | (309) | |
Asset retirement obligation - current portion | $ 441 | $ 392 |
Uncategorized Items - sbow-2020
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | $ 2,465,000 |