Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2019shares | |
Document Information [Line Items] | |
Document Type | 40-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2019 |
Entity Primary SIC Number | 1311 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | TRANSGLOBE ENERGY CORP |
Entity Central Index Key | 0000736744 |
Entity File Number | 001-31891 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | false |
Entity Address, Address Line One | Suite 2300 |
Entity Address, Address Line Two | 250 – Fifth Street SW |
Entity Address, City or Town | Calgary |
Entity Address, State or Province | AB |
Entity Address, Postal Zip Code | Canada T2P 0R4 |
Document Annual Report | true |
Document Registration Statement | false |
Annual Information Form | true |
Audited Annual Financial Statements | true |
Local Phone Number | 264-9888 |
City Area Code | (403) |
Entity Common Stock, Shares Outstanding | 72,542,071 |
Entity Interactive Data Current | Yes |
NASDAQ Global Select Market | |
Document Information [Line Items] | |
Trading Symbol | TGA |
Security Exchange Name | NASDAQ |
Title of 12(b) Security | Common Shares Without Par Value |
Toronto Stock Exchange | |
Document Information [Line Items] | |
Trading Symbol | TGL |
Title of 12(b) Security | Common Shares Without Par Value |
London Stock Market (AIM) | |
Document Information [Line Items] | |
Trading Symbol | TGL |
Title of 12(b) Security | Common Shares Without Par Value |
Consolidated Statements of Earn
Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
REVENUE | ||
Petroleum and natural gas sales, net of royalties | $ 140,096 | $ 176,227 |
Finance revenue | 471 | 570 |
Revenue | 140,567 | 176,797 |
EXPENSES | ||
Production and operating | 50,626 | 53,298 |
Selling costs | 1,287 | 2,103 |
General and administrative | 16,611 | 18,688 |
Foreign exchange gain | (147) | (289) |
Finance costs | 4,256 | 5,075 |
Depletion, depreciation and amortization | 34,948 | 34,291 |
Asset retirement obligation accretion | 215 | 270 |
Loss on financial instruments | 2,845 | 7,051 |
Impairment loss | 7,937 | 14,500 |
Gain on disposition of assets | (114) | (207) |
Total expenses | 118,464 | 134,780 |
Earnings before income taxes | 22,103 | 42,017 |
Income tax expense - current | 26,098 | 26,340 |
NET (LOSS) EARNINGS | (3,995) | 15,677 |
OTHER COMPREHENSIVE (LOSS) INCOME | ||
Currency translation adjustments | 2,073 | (3,732) |
COMPREHENSIVE (LOSS) INCOME | $ (1,922) | $ 11,945 |
Net (loss) earnings per share | ||
Basic | $ (0.06) | $ 0.22 |
Diluted | $ (0.06) | $ 0.22 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current | ||
Cash and cash equivalents | $ 33,251 | $ 51,705 |
Accounts receivable | 10,681 | 12,014 |
Derivative commodity contracts | 0 | 1,198 |
Prepaids and other | 4,338 | 5,385 |
Product inventory | 17,516 | 8,692 |
Current assets | 65,786 | 78,994 |
Non-Current | ||
Derivative commodity contracts | 0 | 171 |
Intangible exploration and evaluation assets | 33,706 | 36,266 |
Property and equipment | ||
Petroleum and natural gas assets | 196,150 | 195,263 |
Other | 4,296 | 3,079 |
Deferred taxes | 8,387 | 4,523 |
Assets | 308,325 | 318,296 |
Current | ||
Accounts payable and accrued liabilities | 32,156 | 28,007 |
Derivative commodity contracts | 217 | 0 |
Current portion of lease obligations | 1,219 | 0 |
Current liabilities | 33,592 | 28,007 |
Non-Current | ||
Long-term debt | 37,041 | 52,355 |
Asset retirement obligations | 13,612 | 12,113 |
Other long-term liabilities | 614 | 1,007 |
Lease obligations | 589 | 0 |
Deferred taxes | 8,387 | 4,523 |
Liabilities | 93,835 | 98,005 |
SHAREHOLDERS’ EQUITY | ||
Share capital | 152,805 | 152,084 |
Accumulated other comprehensive income (loss) | 1,134 | (939) |
Contributed surplus | 24,673 | 24,195 |
Retained earnings | 35,878 | 44,951 |
Equity | 214,490 | 220,291 |
Equity and liabilities | $ 308,325 | $ 318,296 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Share Capital [member] | Accumulated Other Comprehensive Income [member] | Contributed Surplus [member] | Retained Earnings [member] |
Balance, beginning of year at Dec. 31, 2017 | $ 152,084 | $ 2,793 | $ 23,329 | $ 31,801 | |
Stock options exercised | $ 0 | 0 | |||
Transfer from contributed surplus on exercise of options | 0 | 0 | |||
Currency translation adjustment | (3,732) | (3,732) | |||
Share-based compensation expense | 866 | ||||
Transfer to share capital on exercise of options | 0 | ||||
Net (loss) earnings | 15,677 | 15,677 | |||
Dividends paid, ordinary shares | (2,527) | ||||
Balance, end of year at Dec. 31, 2018 | 220,291 | 152,084 | (939) | 24,195 | 44,951 |
Stock options exercised | 547 | 547 | |||
Transfer from contributed surplus on exercise of options | 174 | 174 | |||
Currency translation adjustment | 2,073 | 2,073 | |||
Share-based compensation expense | 652 | ||||
Transfer to share capital on exercise of options | (174) | ||||
Net (loss) earnings | (3,995) | (3,995) | |||
Dividends paid, ordinary shares | (5,078) | ||||
Balance, end of year at Dec. 31, 2019 | $ 214,490 | $ 152,805 | $ 1,134 | $ 24,673 | $ 35,878 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
OPERATING | ||
Net (loss) earnings | $ (3,995) | $ 15,677 |
Adjustments for: | ||
Depletion, depreciation and amortization | 34,948 | 34,291 |
Asset retirement obligation accretion | 215 | 270 |
Deferred lease inducement | 0 | (90) |
Impairment loss | 7,937 | 14,500 |
Share-based compensation | 2,237 | 3,536 |
Finance costs | 4,256 | 5,075 |
Unrealized loss (gain) on financial instruments | 1,586 | (9,335) |
Unrealized gain on foreign currency translation | (153) | (135) |
Gain on asset dispositions | (114) | (207) |
Asset retirement obligations settled | (46) | (300) |
Changes in non-cash working capital | (2,035) | 5,910 |
Net cash generated by operating activities | 44,836 | 69,192 |
INVESTING | ||
Additions to intangible exploration and evaluation assets | (5,377) | (9,288) |
Additions to petroleum and natural gas assets | (30,626) | (30,832) |
Additions to other assets | (929) | (586) |
Proceeds from asset dispositions | 114 | 207 |
Changes in non-cash working capital | (291) | 251 |
Net cash used in investing activities | (37,109) | (40,248) |
FINANCING | ||
Issue of common shares for cash | 547 | 0 |
Interest paid | (3,664) | (4,767) |
Increase in long-term debt | 476 | 508 |
Payments on lease obligations | (1,945) | 0 |
Repayments of long-term debt | (16,523) | (17,797) |
Dividends paid | (5,078) | (2,527) |
Changes in non-cash working capital | (200) | (3) |
Net cash used in financing activities | (26,387) | (24,586) |
Currency translation differences relating to cash and cash equivalents | 206 | (102) |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (18,454) | 4,256 |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 51,705 | 47,449 |
CASH AND CASH EQUIVALENTS, END OF YEAR | $ 33,251 | $ 51,705 |
Corporate Information
Corporate Information | 12 Months Ended |
Dec. 31, 2019 | |
Corporate Information And Statement Of I F R S Compliance [Abstract] | |
Corporate Information | 1. CORPORATE INFORMATION TransGlobe Energy Corporation ("TransGlobe" or the "Company") and its subsidiaries are engaged in oil and natural gas exploration, development and production, and the acquisition of oil and natural gas properties. The Company's shares are traded on the Toronto Stock Exchange (“TSX”), the London Stock Exchange's Alternative Investment Market ("AIM") and the Global Select Market of the NASDAQ Stock Market (“NASDAQ”). TransGlobe is incorporated in Alberta, Canada and the address of its registered office is 2300, 250 – 5th Street SW, Calgary, Alberta, Canada, T2P 0R4. |
Basis of Preparation
Basis of Preparation | 12 Months Ended |
Dec. 31, 2019 | |
Corporate Information And Statement Of I F R S Compliance [Abstract] | |
Basis of Preparation | 2. BASIS OF PREPARATION The Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board. The accounting policies used in the preparation of the Consolidated Financial Statements are described in Note 3 Significant Accounting Policies The Company prepared the Consolidated Financial Statements on a going concern basis, which contemplates the realization of assets and liabilities in the normal course of business as they become due. Accordingly, the Consolidated Financial Statements have been prepared on a historical cost basis, except for cash and cash equivalents, derivative commodity contracts and other long-term liabilities that have been measured at fair value. The method used to measure fair value is discussed further in Notes 3 and 5. The Consolidated Financial Statements are presented and expressed in United States dollars (“US$”), unless otherwise noted. All references to $ are to United States dollars and references to C$ are to Canadian dollars. The Consolidated Financial Statements were authorized for issue by the Board of Directors on March 10, 2020. |
Statement of IFRS compliance | The Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board. The accounting policies used in the preparation of the Consolidated Financial Statements are described in Note 3 Significant Accounting Policies |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Significant Accounting Policies Abstract | |
Significant Accounting Policies | 3. SIGNIFICANT ACCOUNTING POLICIES The accounting policies set out below have been applied consistently to all subsidiaries and periods presented in these Consolidated Financial Statements. Basis of consolidation The Consolidated Financial Statements include the financial statements of the Company and its wholly-owned, controlled subsidiaries. Control exists when the Company has the power to govern the financial and operating policies of an entity, it is exposed to or has rights to variable returns associated with its involvement in the entity, and it has the ability to use that power to influence the amount of returns it is exposed to or has rights to. In assessing control, potential voting rights need to be considered. All subsidiaries of the Company are wholly-owned by the parent company, TransGlobe Energy Corporation. All intra-company transactions, balances, income and expenses, unrealized gains and losses are eliminated on consolidation. Foreign currency translation The Consolidated Financial Statements are presented in U.S. dollars. The Company's functional currency is the Canadian dollar, and the functional currency of all subsidiaries is the U.S. dollar. Foreign currency translations include the translation of foreign currency transactions and translation of the Canadian operations. Foreign currency translations occur when translating transactions in foreign currencies to the applicable functional currency of TransGlobe Energy Corporation and its subsidiaries. Gains and losses from foreign currency transactions are recorded as foreign exchange gains or losses. Foreign currency transaction translations occur as follows: • Income and expenses are translated at the prevailing rates on the date of the transaction • Non-monetary assets or liabilities are carried at the prevailing rates on the date of the transaction • Monetary items are translated at the prevailing rates at the balance sheet date Translation gains and losses occur when translating the financial statements of non-U.S. functional currency operations to the U.S. dollar. These translation gains and losses are recorded as currency translation adjustments and presented as other comprehensive income on the Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss). Translations occur as follows: • Income and expenses are translated at the date of the transaction • Assets and liabilities are translated at the prevailing rates on the balance sheet date Cash and cash equivalents Cash and cash equivalents include cash and short-term investments that mature within one month of the date of their purchase. Financial instruments Financial instruments are measured at fair value on initial recognition. Measurement in subsequent periods depends on the classification of the financial instrument: • Fair value through profit or loss - subsequently carried at fair value with changes recognized in net earnings (loss). Financial instruments under this classification include cash and cash equivalents, and derivative commodity contracts; and • Amortized cost - subsequently carried at amortized cost using the effective interest method. Financial instruments under this classification include accounts receivable, accounts payable and accrued liabilities and long-term debt. The Company enters into certain financial derivative contracts from time to time in order to reduce its exposure to market risks from fluctuations in commodity prices. These instruments are not used for trading or speculative purposes. The Company does not designate financial derivative contracts as effective accounting hedges, and thus does not apply hedge accounting, even though the Company considers all commodity contracts to be economic hedges. As a result, the Company's policy is to classify all financial derivative contracts at fair value through profit or loss and to record them on the Consolidated Balance Sheet at fair value with a corresponding gain or loss in net earnings (loss). Attributable transaction costs are recognized in net earnings (loss) when incurred. The estimated fair value of all derivative instruments is based on quoted market prices and/or third-party market indications and forecasts. Embedded derivatives are derivatives embedded in a host contract. They are recorded separately from the host contract when their economic characteristics and risks are not closely related to those of the host contract; when the terms of the embedded derivatives are the same as those of a freestanding derivative; and when the combined contract is not measured at fair value through profit or loss. Refer to Note 5 for the classification and measurement of these financial instruments. Share capital Common shares are classified as equity. Incremental costs directly attributable to the issue of common shares are recognized as a deduction from equity. Repurchase of the Company’s own equity instruments is recognized and deducted directly in equity. No gain or loss is recognized in profit or loss on the purchase, sale, issue or cancellation of the Company’s own equity instruments. Leases In January 2016, the IASB issued IFRS 16 which replaced IAS 17 Leases Determining Whether an Arrangement Contains a Lease TransGlobe adopted IFRS 16 as of January 1, 2019 using the modified retrospective approach. The modified retrospective approach does not require a restatement of prior period financial information as the cumulative effect is recognized as an adjustment to opening retained earnings and the Company applies the standard prospectively. There was no effect on the Company's retained earnings or prior period amounts as a result of adopting this standard. The cumulative effect of initially applying the standard was recognized as a $3.5 million increase to ROU assets (included in Property and equipment - "Petroleum and natural gas assets" and "Other assets") with a corresponding increase recorded in "Lease obligations". The ROU assets recognized were measured at amounts equal to the lease obligations. The weighted average incremental borrowing rate used to determine the lease obligation at adoption was approximately 9.8%. The assets and lease obligations recognized largely relate to the Company's head office lease in Calgary and drilling rigs in Egypt. TransGlobe applied the following expedients in adopting IFRS 16: • Certain short-term leases and leases of low-value assets identified on January 1, 2019 were not recognized on the balance sheet. • At January 1, 2019, TransGlobe recognized the lease payments due within one year as current lease obligations, and those payments outside of one year as non-current lease obligations. • At initial measurement, a single discount rate was applied to leases with similar characteristics. As a result of this adoption, TransGlobe has revised the description of its accounting policy for leases as follows: A contract is, or contains, a lease if the contract provides the right to control the use of an identified asset for a period of time in exchange for consideration. A lease obligation is recognized at the commencement of the lease term measured as the present value of the lease payments not already paid at that date. Interest expense is recognized on the lease obligations using the effective interest rate method and net payments are applied against the lease obligation. At the commencement date, a corresponding right-of-use asset is recognized at the amount of the lease obligation, adjusted for lease incentives received and initial direct costs. Depreciation is recognized on the right-of-use asset over the lease term. Property and equipment and intangible exploration and evaluation assets Exploration and evaluation assets Exploration and evaluation ("E&E") costs related to each license/prospect are initially capitalized within "intangible exploration and evaluation assets". Such E&E costs may include costs of license acquisition, technical services and studies, seismic acquisition, exploration drilling and testing, directly attributable expenses, including remuneration of production personnel and supervisory management, and the projected costs of retiring the assets (if any), but do not include pre-licensing costs incurred prior to having obtained the legal rights to explore an area, which are expensed directly to net earnings (loss) as they are incurred and presented as exploration expenses on the Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss). Intangible exploration and evaluation assets are not depleted. They are carried forward until technical feasibility and commercial viability of extracting a mineral resource is determined, at which point they are transferred to petroleum and natural gas ("PNG") assets. The technical feasibility and commercial viability is considered to be determined when proved and/or probable reserves are determined to exist or they can be empirically supported with actual production data or conclusive formation tests. Petroleum and natural gas assets PNG assets and other assets are recognized at cost less accumulated depletion, depreciation and amortization, and accumulated impairment losses. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, including qualifying E&E costs on reclassification from intangible exploration and evaluation assets, and for qualifying assets, where applicable, borrowing costs. When significant parts of an item of property and equipment have different useful lives, they are accounted for as separate items. Gains and losses on disposal of items of property and equipment, including oil and natural gas interests, are determined by comparing the proceeds from disposal with the carrying amount of property and equipment and are recognized in net earnings (loss) immediately. Subsequent costs Costs incurred subsequent to the determination of technical feasibility and commercial viability and the costs of replacing parts of property and equipment are recognized as petroleum properties or other assets only when they increase the future economic benefits embodied in the specific asset to which they relate. All other expenditures are recognized in profit or loss as incurred. Such capitalized property and equipment generally represent costs incurred in developing proved and/or probable reserves and bringing in or enhancing production from such reserves, and are accumulated on a well, field or geotechnical area basis, together with the discounted value of estimated future costs of asset retirement obligations. When components of PNG assets are replaced, disposed of or no longer in use, the carrying amount is derecognized. The costs of the day-to-day servicing of property, plant and equipment are recognized in net earnings (loss) as incurred. Depletion, depreciation and amortization The depletion, depreciation and amortization of PNG assets and other assets are recognized in net earnings (loss). The net carrying value of the PNG assets included in petroleum properties is depleted using the unit of production method by reference to the ratio of production in the year to the related proved and probable reserves using estimated future prices and costs. Costs subject to depletion include estimated future development costs necessary to bring those reserves into production. These estimates are reviewed by independent reserves engineers at least annually and determined in accordance with National Instrument 51-101 Standards of Disclosure of Oil and Gas Activities Furniture and fixtures are depreciated at declining balance rates of 20% to 30%, whereas vehicles and leasehold improvements are depreciated on a straight-line basis over their estimated useful lives. Depreciation methods, useful lives and residual values are reviewed at each reporting date. Product inventory Product inventory consists of the Company's unsold Egypt entitlement crude oil barrels, valued at the lower of cost, using the first-in, first-out method, or net realizable value. Cost includes operating expenses and depletion associated with the entitlement crude oil barrels as determined on a concession by concession basis. Impairment Financial assets carried at amortized cost At each reporting date, the Company assesses whether there is objective evidence that a financial asset carried at amortized cost is impaired. If such evidence exists, the Company recognizes an impairment loss in net earnings (loss). Impairment losses are reversed in subsequent periods if the impairment loss decrease can be related objectively to an event occurring after the impairment was recognized. An impairment loss in respect of a financial asset measured at amortized cost is calculated as the difference between its carrying amount, and the present value of the estimated future cash flows discounted at the original effective interest rate. Individually significant financial assets are tested for impairment on an individual basis. The remaining financial assets are assessed collectively in groups that share similar credit risk characteristics. Non-financial assets At each reporting date, the carrying amounts of the Company’s non-financial assets are reviewed to determine whether there is an indication of impairment, except for E&E assets, which are reviewed when circumstances indicate impairment may exist. If there is an indication of impairment, the asset's recoverable amount is estimated and compared to its carrying value. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generate cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the cash-generating unit). The recoverable amount of an asset or a cash-generating unit ("CGU") is the greater of its value in use and its fair value less costs to sell. The Company’s CGUs are not larger than a segment. In assessing both fair value less costs to sell and value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in net earnings (loss). For PNG assets, fair value less costs to sell and value in use is generally computed by reference to the present value of the future cash flows expected to be derived from production of proved and probable reserves. E&E assets are tested for impairment when they are transferred to petroleum properties and also if facts and circumstances suggest that the carrying amount of E&E assets may exceed the recoverable amount. Impairment indicators are evaluated at a CGU level. Indication of impairment includes: 1. Expiry or impending expiry of lease with no expectation of renewal; 2. Lack of budget or plans for substantive expenditures on further E&E; 3. Cessation of E&E activities due to a lack of commercially viable discoveries; and 4. Carrying amounts of E&E assets are unlikely to be recovered in full from a successful development project. Impairment losses recognized in prior years are assessed at each reporting date for indication that the loss has decreased or no longer exists. An impairment loss may be reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depletion and depreciation or amortization, if no impairment loss had been recognized. Share-based payment transactions Equity-settled transactions The cost of equity-settled transactions with employees is measured by reference to the fair value at the date at which equity instruments are granted and is recognized as an expense over the vesting period, which ends on the date on which the relevant employees become fully entitled to the award. Fair value is determined by using the lattice-based trinomial option pricing model. An estimated forfeiture rate is taken into consideration when assigning a fair value to options granted such that no expense is recognized for awards that do not ultimately vest. At each financial reporting date before vesting, the cumulative expense is calculated, which represents the extent to which the vesting period has expired and management’s best estimate of the number of equity instruments that will ultimately vest. The movement in cumulative expense since the previous financial reporting date is recognized in net earnings (loss), with a corresponding entry in contributed surplus in equity. When the terms of an equity-settled award are modified or a new award is designated as replacing a canceled or settled award, the cost based on the original award terms continues to be recognized over the remainder of the new vesting period for the incremental fair value of any modification, based on the difference between the fair value of the original award and the fair value of the modified award, both as measured on the date of the modification. No reduction is recognized if this difference is negative. Cash-settled transactions The expense related to the share units granted under these plans is measured at fair value using the lattice-based trinomial pricing model and is recognized over the vesting period, with a corresponding liability recognized on the Consolidated Balance Sheet. The grant date fair value of cash-settled units granted to employees is recognized as compensation expense within general and administrative expenses, with a corresponding increase in accounts payable, accrued liabilities and other long-term liabilities over the period that the employees become unconditionally entitled to the units. The amount recognized as an expense is adjusted to reflect the actual number of units for which the related service and non-market vesting conditions are met. Until the liability is ultimately settled, it is re-measured at each reporting date with changes to fair value recognized in net earnings (loss). Provisions and asset retirement obligations A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a rate that reflects current market assessments of the time value of money and the risks specific to the liability. Provisions are not recognized for future operating losses. The Company provides for asset retirement obligations on all of its Canadian operations based on current legislation and industry operating practices. The estimated present value of the asset retirement obligation is recorded as a long-term liability, with a corresponding increase in the carrying amount of the related asset. This increase is depleted with the related depletion unit and is allocated to a CGU for impairment testing. The liability is increased each reporting period to reflect the passage of time with a corresponding charge to accretion expense. The asset retirement obligation can also increase or decrease due to changes in the estimated timing of cash flows, changes in the discount rate and/or changes in the original estimated undiscounted costs. Increases or decreases in the obligation will result in a corresponding change in the carrying amount of the related asset. Actual costs incurred upon settlement of the asset retirement obligation are charged against the asset retirement obligation to the extent of the liability recorded. Asset retirement obligations are measured at each reporting period to reflect the discount rates in effect at that time. On an annual basis, the Company reviews its estimates of the expected costs to reclaim the net interest in its wells and facilities. Resulting changes are accounted for prospectively as a change in estimate. In accordance with all of the Company's Production Sharing Agreements and Production Sharing Concessions (collectively defined as "PSCs"), the Company does, not at any time, hold title to the lands on which it operates, and title to fixed and movable assets is transferred to the respective government when its total cost has been recovered through cost recovery, or at the time of termination of the PSC. Since the Company will not hold title to the land or the assets at the termination of the PSC, the Company does not have a legal obligation, nor the legal ability to decommission the Egypt assets. Furthermore, there is no explicit contractual obligation under the Company's PSCs for the abandonment of assets or reclamation of lands upon termination of the PSCs. Revenue recognition The Company's revenue is derived exclusively from contracts with customers, except for immaterial amounts related to interest and other income. Royalties are considered to be part of the price of the sale transaction and are therefore presented as a reduction to revenue. Revenue associated with the sale of crude oil, natural gas and natural gas liquids (“NGLs”) is measured based on the consideration specified in contracts with customers. Revenue from contracts with customers is recognized when the Company satisfies a performance obligation by transferring a good or service to a customer. A good or service is transferred when the customer obtains control of the good or service. The transfer of control of oil, natural gas and NGLs usually coincides with title passing to the customer and the customer taking physical possession. TransGlobe mainly satisfies its performance obligations at a point in time and the amounts of revenue recognized relating to performance obligations satisfied over time are not significant. Revenues associated with the sales of the Company’s crude oil in Egypt are recognized by reference to actual volumes sold and quoted market prices in active markets (Dated Brent), adjusted according to specific terms and conditions as applicable per the sales contracts. Revenue is measured at the fair value of the consideration received or receivable. For reporting purposes, the Company records the government’s share of production as royalties and taxes as all royalties and taxes are paid out of the government’s share of production. Revenues from the sale of crude oil, natural gas, condensate and NGLs in Canada are recognized by reference to actual volumes delivered at contracted delivery points and prices. Prices are determined by reference to quoted market prices in active markets (crude oil - NYMEX WTI, natural gas - AECO C, condensate - NYMEX WTI, and NGLs - various based on product), adjusted according to specific terms and conditions applicable per the sales contracts. Revenues are recognized prior to the deduction of transportation costs. Revenues are measured at the fair value of the consideration received. TransGlobe pays royalties to the Alberta provincial government and other mineral rights owners in accordance with the established royalty regime. Revenue segregated by product type and geographical market is disclosed in Note 25. Finance revenue and costs Finance revenue comprises interest income on funds invested. Interest income is recognized as it accrues in net earnings (loss), using the effective interest method. Finance costs comprise interest expense on borrowings. Borrowing costs incurred for qualifying assets are capitalized during the period of time that is required to complete and prepare the assets for their intended use or sale. Qualifying assets are comprised of those significant assets that require a period greater than one year to be available for their intended use. All other borrowing costs are recognized in net earnings (loss). Income tax Income tax expense is comprised of current and deferred tax. TransGlobe is subject to income taxes based on the tax legislation of each respective country in which TransGlobe conducts business. Current tax Current tax assets and liabilities for the current and prior periods are measured as the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the date of the Consolidated Financial Statements. The Company's contractual arrangements in Egypt stipulate that income taxes are paid by the government out of its entitlement share of production sharing oil. Such amounts are included in current income tax expense at the statutory rate in effect at the time of production. Deferred tax The Company determines the amount of deferred income tax assets and liabilities based on the difference between the carrying amounts of the assets and liabilities reported for financial accounting purposes from those reported for tax. Deferred income tax assets and liabilities are measured using the substantively enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to be recovered or settled. Deferred income tax assets are recognized to the extent it is probable the Company will have sufficient future taxable earnings available against which the unused tax losses can be utilized. Joint arrangements A joint arrangement involves joint control and offers joint ownership by the Company and other joint interest partners of the financial and operating policies, and of the assets associated with the arrangement. Joint arrangements are classified into one of two categories: joint operations or joint ventures. A joint operation is a joint arrangement whereby the Company and the other parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities relating to the arrangement. Parties involved in joint operations must recognize in relation to their interests in the joint operation their proportionate share of the revenues, expenses, assets and liabilities. A joint venture is a joint arrangement whereby the Company and the other parties that have joint control of the arrangement have rights to the net assets of the arrangement. Parties involved in joint ventures must recognize their interests in joint ventures as investments and must account for that investment using the equity method. In Canada, the Company conducts many of its oil and gas production activities through joint operations and the Consolidated Financial Statements reflect only the Company's proportionate interest in such activities. Joint control exists for contractual agreements governing TransGlobe's assets whereby TransGlobe has less than 100% working interest, all of the partners have control of the arrangement collectively, and spending on the project requires the unanimous consent of all parties that collectively control the arrangement and share the associated risks. TransGlobe does not have any joint arrangements that are individually material to the Company or that are structured through joint venture arrangements. In Egypt, joint arrangements in which the Company is involved are conducted pursuant to PSCs. Given the nature and contractual terms associated with the PSCs, the Company has determined that it has rights to the assets and obligations for the liabilities in all of its joint arrangements and that there are no joint arrangements where the Company has rights to the net assets. Accordingly, all joint arrangements have been classified as joint operations, and the Company has recognized its share of all revenues, expenses, assets and liabilities in accordance with the PSCs in the Consolidated Financial Statements. |
Critical Judgments and Accounti
Critical Judgments and Accounting Estimates | 12 Months Ended |
Dec. 31, 2019 | |
Corporate Information And Statement Of I F R S Compliance [Abstract] | |
Critical Judgments and Accounting Estimates | 4. CRITICAL JUDGMENTS AND ACCOUNTING ESTIMATES Timely preparation of financial statements in conformity with IFRS as issued by the International Accounting Standards Board requires that management make estimates and assumptions and use judgments that affect the application of accounting policies and the reported amounts of assets, liabilities, revenues and expenses. Such estimates primarily relate to unsettled transactions and events as of the date of the Consolidated Financial Statements. Accordingly, actual results may differ from estimated amounts as future confirming events occur. The effect of these estimates, assumptions and the use of judgments are explained throughout the notes to the Consolidated Financial Statements. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the year in which the estimates are revised and in any future years affected. The key sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities are discussed below. Recoverability of asset carrying values The recoverability of PNG asset carrying values are assessed at the CGU level. Determination of what constitutes a CGU is subject to management judgment of the lowest level at which there are identifiable cash inflows that are largely independent of the cash inflows of other groups of assets or properties. The factors used by TransGlobe to determine CGUs may vary by country due to unique operating and geographic circumstances in each country. In general, TransGlobe assesses the following factors in determining whether a group of assets generate largely independent cash inflows: • geographic proximity of the assets within a group to one another; • geographic proximity of the group of assets to other groups of assets; and • homogeneity of the production from the group of assets and the sharing of infrastructure used to process and/or transport production. In Egypt, each PSC is considered a separate CGU. In Canada, CGUs are determined by regional geography and one CGU has been identified. The asset composition of a CGU can directly impact the recoverability of the assets included therein. In assessing the recoverability of the Company's petroleum properties, each CGU's carrying value is compared to its recoverable amount, defined as the greater of its fair value less costs to sell and value-in-use. As at December 31, 2019 and December 31, 2018, the recoverable amounts of the Company's CGUs were estimated as their fair value less costs to sell based on the net present value of the after-tax cash flows from the oil and natural gas reserves of each CGU based on reserves estimated by the Company's independent reserves evaluator. Key input estimates used in the determination of cash flows from oil and natural gas reserves include the following: • Reserves - There are numerous uncertainties inherent in estimating oil and gas reserves. An external reserves engineering report which incorporates a full evaluation of reserves is prepared on an annual basis with internal reserves updates completed at each quarterly period. Estimating reserves is highly complex, requiring many judgments including forward price estimates, production costs, and recovery rates based on available geological, geophysical, engineering and economic data. Changes in these judgments may have a material impact on the estimated reserves. These estimates may change, resulting in either negative or positive impacts on net earnings (loss) as further information becomes available and as the economic environment changes. • Commodity prices - Forward price estimates of crude oil and natural gas prices are incorporated into the determination of expected future net cash flows. Commodity prices have fluctuated significantly in recent years due to global and regional factors including supply and demand fundamentals, inventory levels, foreign exchange rates, economic, and geopolitical factors. • Discount rate - The discount rate used to determine the net present value of future cash flows is based on the Company's estimated weighted average cost of capital. Changes in the economic environment could change the Company's weighted average cost of capital. Impairment tests were carried out at December 31, 2019 and were based on fair value less costs to sell calculations, using a discount rate of 15% for Egypt and 10% for Canada on future after-tax cash flows and the following commodity price estimates: Egypt 1 Canada 1 Brent Blend Crude Oil WTI Oil AECO Gas Edmonton Pentane Edmonton Butane Edmonton Propane Spec Ethane Exchange Rate Year $/Bbl $/Bbl $C/Mcf $C/Bbl $C/Bbl $C/Bbl $C/Bbl USD/CAD 2020 67.00 61.00 2.08 77.80 48.76 28.68 6.42 0.760 2021 68.00 63.00 2.35 79.22 51.82 31.09 7.36 0.770 2022 71.00 66.00 2.55 83.33 54.62 34.62 8.05 0.780 2023 73.00 68.00 2.65 86.54 56.89 36.06 8.39 0.780 2024 75.00 70.00 2.75 89.10 58.71 37.21 8.73 0.780 2025 76.00 72.00 2.85 91.67 60.53 38.37 9.08 0.780 2026 78.00 74.00 2.91 94.23 62.35 39.52 9.29 0.780 2027 79.81 75.81 2.97 96.55 64.00 40.56 9.48 0.780 2028 81.33 77.33 3.03 98.50 65.38 41.44 9.69 0.780 2029 82.88 78.88 3.09 100.49 66.79 42.33 9.91 0.780 Thereafter 2 +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr 0.780 1 2 Percentage change represents the increase in each year after 2029 to the end of the reserves life. Depletion of petroleum properties Reserves and resources are used in the units of production calculation for depletion, depreciation and amortization. Depletion of petroleum properties is calculated based on total proved plus probable reserves as well as estimated future development costs associated with these reserves as determined by the Company's independent reserves evaluator. See above for discussion of estimates and judgments involved in reserves estimation. Income taxes Related assets and liabilities are recognized for the estimated tax consequences between amounts included in the Consolidated Financial Statements and their tax base using substantively enacted future income tax rates. Timing of future revenue streams and future capital spending changes can affect the timing of any temporary differences, and accordingly affect the amount of the deferred tax asset or liability calculated at a point in time. Tax interpretations, regulations and legislation in the various jurisdictions in which TransGlobe and its subsidiaries operate are subject to change and interpretation. Such changes can affect the timing of the reversal of temporary tax differences, the tax rates in effect when such differences reverse and TransGlobe's ability to use tax losses and other tax pools in the future. The Company’s income tax filings are subject to audit by taxation authorities in different jurisdictions and the results of such audits may increase or decrease the tax liability. The determination of current and deferred tax amounts recognized in the Consolidated Financial Statements are based on management’s assessment of the tax positions, which includes consideration of their technical merits, communications with tax authorities and management’s view of the most likely outcome. These differences could materially impact net earnings (loss). Financial instruments The fair values of financial instruments are estimated based upon market and third-party inputs. These estimates are subject to change with fluctuations in commodity prices, interest rates, foreign currency exchange rates and estimates of non-performance risk. Share-based payments The fair value estimates of equity-settled and cash-settled share-based payment awards depend on certain assumptions including share price volatility, risk-free interest rate, the term of the awards, and the forfeiture rate which, by their nature, are subject to measurement uncertainty. Asset retirement obligations The provision for site restoration and abandonment in Canada is based on current legal and constructive requirements, technology, price levels and expected plans for remediation. Actual costs and cash outflows can differ from estimates because of changes in laws and regulations, public expectations, market conditions, discovery and analysis of site conditions and changes in technology. Recoverability of accounts receivable The recoverability of accounts receivable due from the Egyptian General Petroleum Company ("EGPC") is assessed to determine the carrying value of accounts receivable on the Company's Consolidated Balance Sheets. Management judgment is required in performing the recoverability assessment. No material credit losses have been experienced to date, and the Company expects to collect the accounts receivable balance in full. E&E Assets Management uses judgment to determine whether a sufficient amount of economically recoverable reserves have been discovered. This requires estimates of the quantity and realizable value of a discovery. E&E assets are subject to ongoing technical, commercial and management review to confirm the continued intent to establish the technical feasibility and commercial viability of the discovery. Leases Management uses judgement to determine the incremental borrowing rate and lease term related to the application of IFRS 16. Incremental borrowing rates are based on judgments including economic environment, term, currency, and the underlying risk inherent to the asset. The carrying amount of the right-of-use assets, lease obligations, and the resulting interest and depletion and depreciation expense, may differ due to changes in the market conditions and lease term. Lease terms are based on assumptions regarding extension terms that allow for operational flexibility and future market conditions. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments [Abstract] | |
Disclosure of financial instruments [text block] | 5. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT Fair values of financial instruments Financial instruments include cash and cash equivalents, accounts receivable, derivative commodity contracts, accounts payable and accrued liabilities and long-term debt. The Company has classified its cash and cash equivalents and derivative commodity contracts as fair value through profit or loss. Both are measured at fair value with subsequent changes recognized through net earnings (loss). Accounts receivable are classified as assets at amortized cost; accounts payable and accrued liabilities and long-term debt are classified as liabilities at amortized cost, all of which are measured initially at fair value, and subsequently at amortized cost. Transaction costs attributable to financial instruments carried at amortized cost are included in the initial measurement of the financial instrument and are subsequently amortized using the effective interest rate method. Carrying value and fair value of financial assets and liabilities are summarized as follows: December 31, 2019 December 31, 2018 Classification ($000s) Carrying Value Fair Value Carrying Value Fair Value Financial assets at fair value through profit or loss 33,251 33,251 53,074 53,074 Financial assets at amortized cost 10,681 10,681 12,014 12,014 Financial liabilities at fair value through profit or loss 217 217 - - Financial liabilities at amortized cost 69,197 69,695 80,362 81,228 Assets and liabilities as at December 31, 2019 that are measured at fair value are classified into levels reflecting the method used to make the measurements. Fair values of assets and liabilities included in Level 1 are determined by reference to quoted prices in active markets for identical assets and liabilities. Assets and liabilities in Level 2 include valuations using inputs other than quoted prices for which all significant inputs are observable, either directly or indirectly. Level 3 valuations are based on inputs that are unobservable and significant to the overall fair value measurement. The Company’s cash and cash equivalents and derivative commodity contracts are assessed on the fair value hierarchy described above. TransGlobe’s cash and cash equivalents are classified as Level 1. Derivative commodity contracts are classified as Level 2. Assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the placement within the fair value hierarchy level. There were no transfers between levels in the fair value hierarchy in the period. Derivative commodity contracts The nature of TransGlobe’s operations exposes it to fluctuations in commodity prices, interest rates and foreign currency exchange rates. TransGlobe monitors and, when appropriate, uses derivative financial instruments to manage its exposure to these fluctuations. All transactions of this nature entered into by TransGlobe are related to an underlying financial position or to future crude oil and natural gas production. TransGlobe does not use derivative financial instruments for speculative purposes. TransGlobe has elected not to designate any of its derivative financial instruments as accounting hedges and thus accounts for changes in fair value in net earnings (loss) at each reporting period. TransGlobe has not obtained collateral or other security to support its financial derivatives as management reviews the creditworthiness of its counterparties prior to entering into derivative contracts. The derivative financial instruments are initiated within the guidelines of the Company's corporate hedging policy. This includes linking all derivatives to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. In conjunction with the prepayment agreement (see Note 17), TransGlobe has also entered into a marketing contract with Mercuria Energy Trading S.A. ("Mercuria") to market nine million barrels of TransGlobe's entitlement production. The pricing of the crude oil sales will be based on market prices at the time of sale. The following table summarizes TransGlobe’s outstanding derivative commodity contract positions as at December 31, 2019, the fair values of which have been presented on the Consolidated Balance Sheet: Financial Brent crude oil contracts Period Hedged Contract Remaining Volume (bbl) Monthly Volume (bbl) Bought Put US$/bbl Sold Call US$/bbl Sold Put US$/bbl Jul 2020 - Dec 2020 3-Way Collar 300,000 50,000 54.00 70.00 45.00 Jan 2020 - Jun 2020 3-Way Collar 300,000 50,000 54.00 70.00 46.50 Jan 2020 - Jun 2020 3-Way Collar 150,000 25,000 55.00 72.70 45.00 The losses on financial instruments for 2019 and 2018 are comprised as follows: Years ended December 31 ($000s) 2019 2018 Realized derivative loss on commodity contracts settled during the year 1,259 16,386 Unrealized derivative loss (gain) on commodity contracts outstanding at year end 1,586 (9,335 ) Loss on financial instruments 2,845 7,051 Overview of Risk Management The Company’s activities expose it to a variety of financial risks that arise as a result of its exploration, development, production and financing activities: • Credit risk • Market risk • Liquidity risk The Board of Directors and Audit Committee oversee management’s establishment and execution of the Company’s risk management framework. Management has implemented and monitors compliance with risk management policies. The Company’s risk management policies are established to identify and analyze the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to market conditions and the Company’s activities. Credit risk Credit risk is the risk of financial loss if a customer or counterparty to a financial instrument fails to fulfill their contractual obligations. The Company’s exposure to credit risk primarily relates to cash equivalents and accounts receivable, the majority of which are in respect of oil and natural gas operations. The Company generally extends unsecured credit to these parties and therefore the collection of these amounts may be affected by changes in economic or other conditions. The Company has not experienced any material credit losses in its cash investments or in the collection of accounts receivable to date. TransGlobe's accounts receivable related to the Canadian operations are with customers and joint interest partners in the petroleum and natural gas industry, and are subject to normal industry credit risks. Receivables from petroleum and natural gas marketers are normally collected in due course. The Company currently sells its production to several purchasers under standard industry sale and payment terms. Purchasers of TransGlobe's natural gas, crude oil and natural gas liquids are subject to a periodic internal credit review to minimize the risk of non-payment. The Company has continued to closely monitor and reassess the creditworthiness of its counterparties, including financial institutions. Trade and other receivables are analyzed in the table below. ($000s) December 31, 2019 December 31, 2018 Neither impaired nor past due 3,636 5,540 Not impaired and past due in the following period: Within 30 days 226 829 31-60 days 131 212 61-90 days 5,672 102 Over 90 days 1,016 5,331 Accounts receivable 10,681 12,014 The Company completed two direct crude sale shipments in Egypt to third-party buyers during 2019. Depending on the Company's assessment of the credit of crude purchasers, they may be required to post irrevocable letters of credit to support the sales prior to the cargo liftings. During 2019, the Company also completed two sales of inventoried entitlement crude oil to EGPC for a total of 869.6 mbbls with total proceeds of $49.9 million. As at December 31, 2019, $5.7 million (December 31, 2018 – $7.2 million) of the total accounts receivable balance of $10.7 million (December 31, 2018 - $12.0 million) is due from EGPC. All accounts receivable are in good standing and collection is not considered to be at risk. The Company manages its credit risk on cash equivalents by investing only in term deposits with reputable banking institutions. Market risk Market risk is the risk or uncertainty arising from possible market price movements and the associated impact on future performance of the business. The market price movements that the Company is exposed to include commodity prices, foreign currency exchange rates and interest rates, all of which could adversely affect the value of the Company’s financial assets, liabilities and financial results. Commodity price risk The Company’s operational results and financial condition are partially dependent on the commodity prices received for its production of oil, natural gas and NGLs. The Company is exposed to commodity price risk on its derivative assets and liabilities which are used as part of the Company's risk management program to mitigate the effects of changes in commodity prices on future cash flows. While transactions of this nature relate to forecasted future petroleum and natural gas production, TransGlobe does not designate these derivative assets and liabilities as accounting hedges. As such, changes in commodity prices impact the fair value of derivative instruments and the corresponding gains or losses on derivative instruments. The estimated fair value of unrealized commodity contracts is reported on the Consolidated Balance Sheets, with any change in the unrealized positions recorded to net earnings (loss). The Company assesses these instruments on the fair value hierarchy and has classified the determination of fair value of these instruments as Level 2, as the fair values of these transactions are based on an approximation of the amounts that would have been received from counterparties to settle the transactions outstanding as at the date of the Consolidated Balance Sheets with reference to forward prices and market values provided by independent sources. The actual amounts realized may differ from these estimates. Foreign currency exchange risk As the Company’s business is conducted primarily in U.S. dollars and its financial instruments are primarily denominated in U.S. dollars, the Company’s exposure to foreign currency exchange risk relates primarily to certain cash and cash equivalents, accounts receivable, long-term debt, lease obligations and accounts payable and accrued liabilities denominated in Canadian dollars. When assessing the potential impact of foreign currency exchange risk, the Company believes that 10% volatility is a reasonable measure. The Company estimates that a 10% increase in the value of the Canadian dollar against the U.S. dollar would increase net loss for the year ended December 31, 2019 by approximately $1.3 million and conversely, a 10% decrease in the value of the Canadian dollar against the U.S. dollar would decrease net loss by $1.4 million for the same period. The Company does not utilize derivative instruments to manage this risk. The Company is also exposed to foreign currency exchange risk on cash balances denominated in Egyptian pounds and British Pounds sterling. Some collections of accounts receivable from the Egyptian Government are received in Egyptian pounds, and while the Company is generally able to spend the Egyptian pounds received on accounts payable denominated in Egyptian pounds, there remains foreign currency exchange risk exposure on Egyptian pound cash balances. Using month-end cash balances converted at month-end foreign exchange rates, the average Egyptian pound cash balance for 2019 was $2.3 million (2018 - $2.0 million) in equivalent U.S. dollars. The Company estimates that a 10% increase in the value of the Egyptian pound against the U.S. dollar would increase net loss for the year ended December 31, 2019 by approximately $0.2 million and conversely a 10% decrease in the value of the Egyptian pound against the U.S. dollar would decrease net loss by $0.2 million for the same period. The Company does not currently utilize derivative instruments to manage foreign currency exchange risk. The Company maintains nominal balances of British Pounds sterling to pay in-country costs incurred in operating its London office. Foreign exchange risk on these funds is not considered material. Interest rate risk Fluctuations in interest rates could result in a significant change in the amount the Company pays to service variable interest debt. No derivative contracts were entered into during 2019 to mitigate interest rate risk. When assessing interest rate risk applicable to the Company’s variable interest debt, the Company believes 1% volatility is a reasonable measure. The effect of interest rates increasing by 1% would increase the Company’s net loss, for the year ended December 31, 2019, by $0.5 million and conversely, the effect of interest rates decreasing by 1% would decrease the Company’s net loss, for the year ended December 31, 2019, by $0.5 million. Liquidity risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. Liquidity describes a company’s ability to access cash. Companies operating in the upstream oil and gas industry require sufficient cash in order to fund capital programs necessary to maintain and increase production and proved reserves, to acquire strategic oil and gas assets and to repay debt. The Company actively maintains credit facilities to ensure it has sufficient available funds to meet current and foreseeable financial requirements at a reasonable cost. The following are the contractual maturities of financial liabilities at December 31, 2019: Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt 3 Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude on-going operating costs, finance costs and payments required to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. As at December 31, 2019, the Company had $94.2 million of revolving credit facilities with $37.5 million drawn and $56.7 million available. The Company has a prepayment agreement with Mercuria that allows for a revolving balance of up to $75.0 million, of which $30.0 million is drawn. During 2019, the Company repaid $15.0 million of this facility. The Company also had a revolving Canadian reserves-based lending facility with ATB Financial (“ATB”) totaling C$25.0 million ($19.2 million), of which C$9.8 million ($7.5 million) was drawn. During 2019, the Company had drawings of C$0.6 million ($0.5 million) and repayments of C$2.0 million ($1.5 million) on this facility (See Note 17). The Company actively monitors its liquidity to ensure that its cash flows, credit facilities and working capital are adequate to support these financial liabilities, as well as the Company’s capital programs. To date, the Company has experienced no difficulties with transferring funds abroad. Capital disclosures The Company’s objective when managing capital is to ensure the Company will have the financial capacity, liquidity and flexibility to fund the ongoing exploration and development of its petroleum assets. The Company’s financial objectives and strategy have remained substantially unchanged over the last two completed fiscal years. These objectives and strategy are reviewed on an annual basis. TransGlobe remains in a relatively strong financial position, and will continue to focus on cost reductions and prudent stewardship of capital with the objective of maintaining a strong balance sheet. The Company was subject to financial covenants with the prepayment agreement and the reserves-based lending facility as at December 31, 2019 and 2018. The Company was in compliance with all financial covenants at December 31, 2019 and 2018 (see Note 17). The Company defines and computes its capital as follows: ($000s) 2019 2018 Long-term debt, including the current portion (net of unamortized transaction costs) 37,041 52,355 Current assets (65,786 ) (78,994 ) Current liabilities 33,592 28,007 Net debt obligations 4,847 1,368 Shareholders’ equity 214,490 220,291 Total capital 219,337 221,659 |
Finance Revenue and Costs
Finance Revenue and Costs | 12 Months Ended |
Dec. 31, 2019 | |
Analysis Of Income And Expense [Abstract] | |
Finance Revenue and Costs | 6. FINANCE REVENUE AND COSTS Finance revenue relates to interest earned on the Company’s bank account balances and term deposits. Finance costs recognized in net earnings (loss) were as follows: Years ended December 31 ($000s) 2019 2018 Interest on long-term debt 3,211 4,275 Interest on borrowing base facility 427 440 Amortization of deferred financing costs 368 360 Interest on lease obligations 250 - Finance costs 4,256 5,075 Interest paid (3,664 ) (4,767 ) |
Selling Costs
Selling Costs | 12 Months Ended |
Dec. 31, 2019 | |
Analysis Of Income And Expense [Abstract] | |
Selling Costs | 7. SELLING COSTS Selling costs include transportation and marketing costs associated with the sale of the Company's Egyptian crude oil production to third-party buyers and EGPC. The Company completed two direct crude oil sales to third-party buyers during the year ended December 31, 2019 (2018 - four). The Company also completed two sales of inventoried entitlement crude oil to EGPC in 2019. |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2019 | |
Subclassifications Of Assets Liabilities And Equities [Abstract] | |
Cash and Cash Equivalents | 8. CASH AND CASH EQUIVALENTS The following table reconciles TransGlobe's cash and cash equivalents: ($000s) December 31, 2019 December 31, 2018 Cash 12,251 33,893 Cash equivalents 21,000 17,812 Cash and cash equivalents 33,251 51,705 As at December 31, 2019 the Company's cash equivalents balance consisted of short-term deposits with an original term to maturity at purchase of three months or less. All of the Company's cash and cash equivalents are on deposit with high credit-quality financial institutions. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2019 | |
Subclassifications Of Assets Liabilities And Equities [Abstract] | |
Accounts Receivable | 9. ACCOUNTS RECEIVABLE Accounts receivable are comprised principally of amounts owed from EGPC. There were no amounts due from related parties and no loans to management or employees as at December 31, 2019 or December 31, 2018. As at December 31, 2018, the Company utilized $5.1 million of its accounts receivable from EGPC as a guarantee to support work commitments on the North West Sitra concession (see Note 18). These commitments were met as of December 31, 2018. No amounts of accounts receivable were utilized as a guarantee to support work commitments as at December 31, 2019. |
Product Inventory
Product Inventory | 12 Months Ended |
Dec. 31, 2019 | |
Inventories [Abstract] | |
Product Inventory | 10. PRODUCT INVENTORY Product inventory consists of the Company's entitlement crude oil barrels, which are valued at the lower of cost or net realizable value. Costs include operating expenses and depletion associated with crude oil entitlement barrels and are determined on a concession by concession basis. These amounts are initially capitalized and expensed when sold. As at December 31, 2019, the Company held 964.5 mbbls of entitlement crude oil in inventory valued at approximately $18.16/bbl (December 31, 2018 - 568.1 mbbls valued at approximately $15.30/bbl). During 2019, product inventory of $8.8 million was capitalized (2018 - $2.8 million expensed). |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | 11. INCOME TAXES The Company’s deferred income tax assets and liabilities are as follows: ($000s) 2019 2018 Deferred income tax asset and liability, beginning of year - - Expenses related to the origination and reversal of temporary differences for: Property and equipment (377 ) 6,381 Non-capital losses carried forward 304 (733 ) Long-term liabilities - (2 ) Share issue expenses - (1 ) Changes in unrecognized tax benefits 73 (5,645 ) Deferred income tax expense recognized in net earnings (loss) 8,387 4,523 Deferred income tax recovery recognized in net earnings (loss) (8,387 ) (4,523 ) Deferred income tax asset, end of year 8,387 4,523 Deferred income tax liability, end of year (8,387 ) (4,523 ) The Company has non-capital losses of $97.6 million (2018 - $84.3 million) that expire between 2027 and 2039. A deferred tax asset of $8.4 million (2018 - $4.5 million) was recognized in respect of unused tax losses in West Gharib. The Company has an additional $16.8 million (2018 - $14.2 million) in unrecognized tax benefits arising in foreign jurisdictions. Current income taxes represent income taxes incurred and paid under the laws of Egypt pursuant to the PSCs on the West Gharib, West Bakr and NW Gharib concessions. Income taxes vary from the amount that would be computed by applying the average Canadian statutory income tax rate of 26.5% (2018 - 27.0%) to income before taxes as follows: ($000s) 2019 2018 Income taxes calculated at the Canadian statutory rate 5,857 11,344 Increases (decreases) in income taxes resulting from: Non-deductible expenses (2,206 ) 2,087 Changes in unrecognized tax benefits 73 (5,646 ) Effect of tax rates in foreign jurisdictions 1 18,804 16,002 Changes in tax rates and other 3,570 2,553 Income tax expense - current 26,098 26,340 1 The Company's consolidated effective income tax rate for 2019 was 118.1% (2018 - 62.7%). |
Intangible Exploration and Eval
Intangible Exploration and Evaluation Assets | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Intangible Assets [Abstract] | |
Intangible Exploration and Evaluation Assets | 12. INTANGIBLE EXPLORATION AND EVALUATION ASSETS The following table reconciles the changes in TransGlobe's exploration and evaluation assets: ($000s) 2019 2018 Balance, beginning of year 36,266 41,478 Additions to exploration and evaluation assets 5,377 9,288 Impairment loss (7,937 ) (14,500 ) Balance, end of year 33,706 36,266 For the year ended December 31, 2019, the Company recorded a non-cash impairment loss of $7.9 million on its exploration and evaluation assets, which included an $8.3 million impairment loss on the South Alamein concession and $0.4 million of impairment recovery on the North West Sitra concession. The Company was unsuccessful in its attempts to secure military approval to access its desired drilling location in South Alamein. Based on the 2017 well results in the Boraq area, the limited commerciality of the original Boraq 2 discovery (2009) and continued access restrictions in the eastern area of the concession, the Company had fully impaired the remaining carrying value of South Alamein of $8.3 million and relinquished the concession in 2019. In 2018 the Company recorded an impairment loss of $14.5 million on its exploration and evaluation assets which was fully related to the North West Sitra concession. During the third quarter of 2019, the Company received a final settlement report from EGPC regarding the relinquished North West Sitra concession. The final settlement report resulted in a reduction of the original impairment loss recognized by $0.4 million. Exploration and evaluation assets as at December 31, 2019 includes $29.2 million in South Ghazalat (December 31, 2018 - $23.2 million), $nil in South Alamein (December 31, 2018 - $12.5 million), $4.0 million in Northwest Gharib (December 31, 2018 - $nil) and $0.5 million in Canada (2018 - $0.5 million). |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | 13. PROPERTY AND EQUIPMENT The following table reconciles the changes in TransGlobe's property and equipment assets: ($000s) PNG Assets Other Assets Total Cost Balance at December 31, 2017 648,229 15,525 663,754 Additions 30,832 586 31,418 Changes in estimate for asset retirement obligations 844 - 844 Balance at December 31, 2018 679,905 16,111 696,016 Increase in right-of-use assets (Note 3) 1,275 2,227 3,502 Additions 30,626 929 31,555 Change in estimate for asset retirement obligations (Note 14) 746 - 746 Balance at December 31, 2019 712,552 19,267 731,819 Accumulated depreciation, depletion, amortization and impairment losses Balance at December 31, 2017 451,850 12,040 463,890 Depletion, depreciation and amortization for the year 1 31,422 992 32,414 Balance at December 31, 2018 483,272 13,032 496,304 Depletion, depreciation and amortization for the year 1 35,136 1,939 37,075 Balance at December 31, 2019 518,408 14,971 533,379 Foreign Exchange Balance at December 31, 2017 4,602 - 4,602 Currency translation adjustments (5,972 ) - (5,972 ) Balance at December 31, 2018 (1,370 ) - (1,370 ) Currency translation adjustments 3,376 - 3,376 Balance at December 31, 2019 2,006 - 2,006 Net book value At December 31, 2018 195,263 3,079 198,342 At December 31, 2019 196,150 4,296 200,446 1 At December 31, 2019, the Company's market capitalization was less than its net asset value. Negative revisions due to economic factors were also noted in the Canadian CGU. These factors were identified as indicators of impairment and as a result, the Company completed impairment tests on all of its CGUs in accordance with IAS 36. It was determined that the carrying amounts of the CGUs did not exceed their fair value less costs to sell. Neither a 5% increase in the discount rate, nor a 5% decrease in the forward price estimates used in the impairment assessments would result in an impairment loss on the West Gharib, West Bakr, North West Gharib or Canadian CGUs. The following table discloses the carrying amount and depreciation charge for right-of-use assets by the class of underlying asset as at and for the year ended December 31, 2019: ($000s) PNG Assets Other Assets Total Depreciation for the year ended December 31, 2019 901 942 1,843 Net Book Value as at December 31, 2019 374 1,285 1,659 |
Asset Retirement Obligation
Asset Retirement Obligation | 12 Months Ended |
Dec. 31, 2019 | |
Other Provisions Contingent Liabilities And Contingent Assets [Abstract] | |
Asset Retirement Obligation | 14. ASSET RETIREMENT OBLIGATION The following table reconciles the change in TransGlobe's asset retirement obligation: ($000s) 2019 Balance, beginning of year 12,113 Changes in estimates for asset retirement obligations and additional obligations recognized 746 Obligations settled (46 ) Asset retirement obligation accretion 215 Effect of movements in foreign exchange rates 584 Balance, end of year 13,612 As at December 31, 2019, the entire asset retirement obligation balance related to the Company's Canadian operations. TransGlobe has estimated the net present value of its asset retirement obligation to be $13.6 million as at December 31, 2019 (2018 - $12.1 million) based on a total undiscounted future liability of $18.9 million (2018 - $18.3 million). These payments are expected to be made between 2020 and 2066. TransGlobe calculated the present value of the obligations using discount rates between 1.68% and 1.76% (2018 – 1.86% and 2.18%) to reflect the market assessment of the time value of money as well as risks specific to liabilities that have not been included in the cash flow estimates. The inflation rate used in determining the cash flow estimate was 2% per annum (2018 – 2% per annum). |
Lease Obligations
Lease Obligations | 12 Months Ended |
Dec. 31, 2019 | |
Lease Liabilities [Abstract] | |
Lease Obligations | 15. LEASE OBLIGATIONS The following table reconciles TransGlobe’s lease obligations: ($000s) At December 31, 2019 Less than 1 year 1,479 1 - 3 years 631 Total lease payments 2,110 Amounts representing interest 302 Present value of net lease payments 1,808 Current portion of lease obligations 1,219 Non-current portion of lease obligations 589 During the year ended December 31, 2019, the Company spent $0.3 million (2018 - $nil) on interest expense and paid a total cash outflow of $1.9 million (2018 - $nil) relating to lease obligations. |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Subclassifications Of Assets Liabilities And Equities [Abstract] | |
Accounts Payable and Accrued Liabilities | 16. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES Accounts payable and accrued liabilities are comprised of current trade payables and accrued expenses due to third-parties. There were no amounts due to related parties as at December 31, 2019 or December 31, 2018. |
Long-term Debt
Long-term Debt | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments [Abstract] | |
Long-term Debt | 17. LONG-TERM DEBT The following table reconciles the changes in TransGlobe's long-term debt: ($000s) ($000s) 2019 2018 Balance, beginning of year 52,355 69,999 Draws on revolving credit facility 476 508 Repayment of long-term debt (16,523 ) (17,797 ) Amortization of deferred financing costs 368 360 Effects of movements in foreign exchange rates 365 (715 ) Balance, end of year 37,041 52,355 The Company's interest-bearing loans and borrowings are measured at amortized cost. Based on the Company's current forecast of future production and prices the estimated future debt payments on long-term debt as of December 31, 2019 are as follows: ($000s) Prepayment Agreement Reserves Based Lending Facility Total 2020 - - - 2021 29,502 7,539 37,041 29,502 7,539 37,041 Prepayment Agreement As at As at ($000s) December 31, 2019 December 31, 2018 Prepayment agreement - amount drawn 30,000 45,000 Deferred financing costs (498 ) (866 ) 29,502 44,134 On February 10, 2017, the Company completed a $75 million crude oil prepayment agreement between its wholly-owned subsidiary, TransGlobe Petroleum International Inc. ("TPI") and Mercuria. TPI's obligations under the prepayment agreement are guaranteed by the Company and the subsidiaries of TPI (the "Guarantors"). The obligations of TPI and the Guarantors will be supported by, among other things, a pledge of equity held by the Company in TPI and a pledge of equity held by TPI in its subsidiaries. The funding arrangement has a term of four years, maturing March 31, 2021, and advances bear interest at a rate of LIBOR plus 6.0%. The funding arrangement is revolving with each advance to be satisfied through the delivery of crude oil to Mercuria. Further advances become available upon delivery of crude oil to Mercuria up to a maximum of $75.0 million and subject to compliance with the other terms and conditions of the prepayment agreement. The prepayment agreement was initially recognized at fair value, net of financing costs, and has subsequently been measured at amortized cost. Financing costs of $1.5 million are being amortized over the term of the prepayment agreement using the effective interest rate method. The Company is subject to certain financial covenants in accordance with the terms of the prepayment agreement. These covenants are tested on June 30 and December 31 of each year for the life of the prepayment agreement. The financial covenants include financial measures defined within the prepayment agreement that are not defined under IFRS. These financial measures are defined by the prepayment agreement as follows: • the ratio of the Company's total consolidated indebtedness (calculated by including any outstanding letters of credit or bank guarantees and adding back any cash held by the Company on a consolidated basis) on each financial covenant test date to the Company's consolidated net cash generated by (used in) operating activities (where net cash generated includes the fair market value of crude oil inventory held as at the financial covenant test date) for the trailing 12 month period ending on that financial covenant test date will not exceed 4.00:1.00. The ratio as at December 31, 2019 is 0.04:1.00 (2018 - 0.01:1.00); • the ratio of Current Assets of the Company on a consolidated basis (calculated, in the case of crude oil inventory, by adjusting the value to market value) to Current Liabilities of the Company on a consolidated basis on each financial covenant test date will not be less than 1.00:1.00. The ratio as at December 31, 2019 is 2.92:1.00 (2018 - 3.76:1.00); and • the ratio of the parent's non-consolidated asset value to the aggregate amount of indebtedness outstanding under the advance documents on each financial covenant test date will not be less than 2.00:3.00. The ratio as at December 31, 2019 is 11.50:3.00 (2018 - 8.03:3.00). As at December 31, 2019 and 2018, the Company was in compliance with all the financial covenants under the prepayment agreement. The Company is also subject to a cover ratio provision. The cover ratio, defined as the value of the Company's Egyptian forecasted entitlement crude oil production on a forward 12-month basis to the prepayment service obligations, must not be less than 1.25:1.00. Prepayment service obligations include the principal outstanding of the advances at the time and any costs, fees, expenses, interest and other amounts outstanding or forecasted to be due during the applicable prepayment period. In the event the cover ratio falls below 1.25:1.00, TransGlobe must: • reimburse in cash the relevant portion of the advances such that the cover ratio becomes equal to or greater than 1.25:1.00; and/or • amend the initial commercial contract to extend its duration and amend the maturity date under the agreement. The cover ratio as at December 31, 2019 is 2.73:1.00 (2018 - 2.21:1.00); the Company is in compliance with the cover ratio provision under the prepayment agreement. Reserves-Based Lending Facility As at As at ($000s) December 31, 2019 December 31, 2018 Reserves-based lending facility - amount drawn 7,539 8,221 As at December 31, 2019, the Company had in place a revolving Canadian reserves-based lending facility with ATB totaling C$25.0 million ($19.2 million), of which C$9.8 million ($7.5 million) was drawn. During 2019, the Company drew C$0.6 million ($0.5 million) and repaid C$2.0 million ($1.5 million) on this facility. The facility borrowing base is re-calculated no less frequently than on a semi-annual basis of May 31 and November 30 of each year, or as requested by the lender. Lender shall notify the Company of each change in the amount of the borrowing base. In the event that the lender re-calculates the borrowing base to be an amount that is less than the borrowings outstanding under the facility, the Company shall repay the difference between such borrowings outstanding and the new borrowing base within 45 days of receiving notice of the new borrowing base. The Company may request an extension of the term date by no later than 90 days prior to the then-current term date, and the lender may in its sole discretion agree to extend the term date for a further period of 364 days. Unless extended, before May 31, 2020, any unutilized amount of the facility will be canceled, and the amount of the facility will be reduced to the aggregate borrowings outstanding on that date. The balance of all amounts owing under the facility are due and payable in full on the date falling one year after the term date. If no extension is granted by the lender, the amounts owing pursuant to the facility are due at the maturity date. The facility bears interest at a rate of either ATB Prime or CDOR (Canadian Dollar Offered Rate) plus applicable margins that vary from 1.25% to 3.25% depending on the Company's net debt to trailing cash flow ratio. The revolving reserve-based lending facility was initially recognized at fair value, net of financing costs, and has subsequently been measured at amortized cost. Financing costs of $0.1 million were amortized over the initial term of the agreement using the effective interest rate method. The Company is subject to certain financial covenants in accordance with the terms of the agreement. These financial measures are defined by the agreement as follows: • the Company shall not permit the working capital ratio (calculated as current assets plus any undrawn availability under the facility, to current liabilities less any amount drawn under the facility) to fall below 1.00:1.00. The working capital ratio as at December 31, 2019 is 1.80:1.00 (2018 - 1.10:1.00); and • the Company shall not permit the ratio of net debt to trailing cash flows as at the end of any fiscal quarter to exceed 3.00:1.00. According to the agreement net debt is, as of the end of any fiscal quarter and as determined in accordance with IFRS on a non-consolidated basis, and without duplication, an amount equal to the amount of total debt less current assets. Trailing cash flow is defined as the two most recently completed fiscal quarters, annualized. The net debt to trailing cash flows ratio as at December 31, 2019 is 0.76:1.00 (2018 - 1.26:1.00). As at December 31, 2019 and 2018, the Company was in compliance with all the financial covenants under the reserves-based lending facility. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Other Provisions Contingent Liabilities And Contingent Assets [Abstract] | |
Commitments and Contingencies | 18. COMMITMENTS AND CONTINGENCIES As part of its principle business, the Company entered into arrangements and incurred obligations that will impact the Company’s future operations and liquidity. The principal commitments of the Company are as follows: Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude ongoing operating costs, finance costs and payments made to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. Pursuant to the PSC for North West Sitra in Egypt, the Company had a minimum financial commitment of $10.0 million and a work commitment for two wells and 300 square kilometers of 3-D seismic during the initial three-and-a-half-year exploration period, which commenced on January 8, 2015. The Company requested and received a six-month extension of the initial exploration period to January 7, 2019. The Company met its financial and operating commitments and based on well results did not elect to enter the second exploration phase. The concession was relinquished on January 7, 2019. Pursuant to the approved South Ghazalat development lease, the Company is committed to drill one exploration well during the initial four year period of the 20 year development lease. The Company has issued a production guarantee in the amount of $1.0 million which will be released when the commitment well has been drilled. In the normal course of its operations, the Company may be subject to litigation and claims. Although it is not possible to estimate the extent of potential costs, if any, management believes that the ultimate resolution of such contingencies would not have a material adverse impact on the results of operations, financial position or liquidity of the Company. The Company is not aware of any material provisions or other contingent liabilities as at December 31, 2019. |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2019 | |
Share Capital Reserves And Other Equity Interest [Abstract] | |
Share Capital | 19. SHARE CAPITAL The Company is authorized to issue an unlimited number of common shares with no par value. Shares in issue as at December 31, 2019 and December 31, 2018 are outlined below: 2019 2018 (000s) Shares Amount ($) Shares Amount ($) Balance, beginning of year 72,206 152,084 72,206 152,084 Stock options exercised 337 547 - - Contributed surplus re-class on exercise - 174 - - Balance, end of year 72,543 152,805 72,206 152,084 |
Share-based Payments
Share-based Payments | 12 Months Ended |
Dec. 31, 2019 | |
Share Based Payment Arrangements [Abstract] | |
Share-based Payments | 20. SHARE-BASED PAYMENTS Stock option plan The Company operates a stock option plan (the "Plan") to provide equity-settled share-based remuneration to directors, officers and employees. The number of common shares that may be issued pursuant to the exercise of options awarded under the Plan and all other Security-Based Compensation Arrangements of the Company is 10% of the common shares outstanding from time to time. All incentive stock options granted under the Plan have a per-share exercise price equal to the weighted average trading price of the common shares for the five trading days prior to the date of grant. Each tranche of an award with different vesting dates is considered a separate grant for the calculation of fair value and the resulting fair value is amortized over the vesting period of the respective tranche. The following tables summarize information about the stock options outstanding and exercisable at the dates indicated: 2019 2018 (000s) Number of Options Weighted-Average Exercise Price ($C) Number of Options Weighted-Average Exercise Price ($C) Options outstanding, beginning of year 4,876 3.60 4,959 5.10 Granted 976 2.83 1,071 2.62 Exercised (337 ) 2.18 - - Expired (1,034 ) 6.55 (1,154 ) 9.13 Options outstanding, end of year 4,481 2.86 4,876 3.60 Options exercisable, end of year 2,585 3.01 2,766 4.52 Options Outstanding Options Exercisable Exercise Price (C$) Number Outstanding at December 31, 2019 (000s) Weighted-Average Remaining Contractual Life (Years) Weighted-Average Exercise price (C$) Number Exercisable at December 31, 2019 (000s) Weighted-Average Remaining Contractual Life (Years) Weighted-Average Exercise price (C$) 2.16 - 2.17 826 2.4 2.16 550 2.4 2.16 2.18 - 2.41 1,002 1.2 2.19 1,002 1.2 2.19 2.42 - 3.73 966 3.4 2.62 322 3.4 2.62 3.74 - 3.91 976 4.2 2.83 - - - 3.92 - 4.99 711 0.4 4.99 711 0.4 4.99 4,481 2.4 2.86 2,585 1.5 3.01 Compensation expense of $0.7 million was recorded during the year ended December 31, 2019 (2018 - $0.9 million) in general and administrative expenses in the Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss) and Changes in Shareholders’ Equity in respect of stock options. The fair value of all common stock options granted is estimated on the date of grant using the lattice-based trinomial option pricing model. The weighted average fair value of options granted during the period and the assumptions used in their determination are noted below: 2019 2018 Weighted average fair market value per option (C$) 0.88 0.88 Risk free interest rate 1.54 % 2.14 % Expected volatility (based on actual historical volatility) 54.74 % 49.45 % Dividend rate 3.30 % - Expected forfeiture rate (non-executive employees) - - Suboptimal exercise factor 1.25 1.25 All options granted vest annually over a three-year period and expire five years after the grant date. During the year ended December 31, 2019, 0.3 million employee stock options valued at $0.5 million were exercised (2018 – nil). As at December 31, 2019 and December 31, 2018, the entire balance in contributed surplus was related to previously recognized share-based compensation expense on equity-settled stock options . Restricted share unit, performance share unit and deferred share unit plans In May 2014, the Company implemented a restricted share unit ("RSU") plan, a performance share unit ("PSU") plan and a deferred share unit ("DSU") plan. RSUs may be issued to directors, officers and employees of the Company, and each RSU entitles the holder to a cash payment equal to the fair market value of a TransGlobe common share on the vesting date of the RSU. All RSUs granted vest annually over a three-year period, and all must be settled within 30 days of their respective vesting dates. PSUs are similar to RSUs, except that the number of PSUs that ultimately vest is dependent on achieving certain performance targets and objectives as set by the Board of Directors. Depending on performance, PSUs can vest between 0% to 200% of the original PSU grant. All PSUs granted vest on the third anniversary of their grant date, and all must be settled within 60 days of their vesting dates. DSUs are similar to RSUs, except that they become fully vested on the date of grant and are only issued to directors of the Company. Distributions under the DSU plan do not occur until the retirement of the DSU holder from the Company's Board of Directors. The number of RSUs, PSUs and DSUs outstanding as at December 31, 2019 are as follows: (000s) RSUs PSUs DSUs Units outstanding, December 31, 2017 970 1,376 595 Granted 410 678 225 Exercised (361 ) (316 ) - Forfeited (163 ) (71 ) - Reinvested 8 16 8 Units outstanding, December 31, 2018 864 1,683 828 Granted 400 529 190 Exercised (381 ) (636 ) (454 ) Forfeited (70 ) (13 ) - Expired (15 ) - - Reinvested 41 77 25 Units outstanding, December 31, 2019 839 1,640 589 Compensation expense of $1.6 million was recorded in general and administrative expenses in the Consolidated Statement of Earnings (Loss) and Comprehensive Income (Loss) during the year ended December 31, 2019 in respect of share units granted under the three plans described above (2018 - $2.7 million). |
Per Share Amounts
Per Share Amounts | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Per Share Amounts | 21. PER SHARE AMOUNTS The weighted-average number of common shares outstanding (basic and diluted) for the year ended December 31, 2019 was 72,513,657 (2018 - basic 72,205,369; and diluted 72,631,320). These outstanding share amounts were used to calculate net earnings (loss) per share in the respective periods. In determining diluted net earnings (loss) per share, the Company assumes that the proceeds received from the exercise of “in-the-money” stock options are used to repurchase common shares at the average market price. In calculating the weighted-average number of diluted common shares outstanding for the year ended December 31, 2019, the Company excluded 4,480,935 stock options (2018 – 1,640,000) as their exercise price was greater than the average common share market price in the year. |
Dividends
Dividends | 12 Months Ended |
Dec. 31, 2019 | |
Interim Financial Reporting [Abstract] | |
Dividends | 22. DIVIDENDS During the year ended December 31, 2019, the Company paid the following dividends on its common shares: Ex-dividend date Record date Payment date Per share amount March 28, 2019 March 29, 2019 April 18, 2019 $ 0.035 August 29, 2019 August 30, 2019 September 13, 2019 $ 0.035 |
Related Party Disclosures
Related Party Disclosures | 12 Months Ended |
Dec. 31, 2019 | |
Related Party [Abstract] | |
Related Party Disclosures | 23. RELATED PARTY DISCLOSURES Details of controlled and consolidated entities active as at December 31, 2019 are as follows: Country of Incorporation Ownership Interest 2019 Ownership Interest 2018 TG Energy UK Ltd United Kingdom 100% 100% TransGlobe Petroleum International Inc. Turks & Caicos 100% 100% TG Holdings Yemen Inc. Turks & Caicos 100% 100% TransGlobe West Bakr Inc. Turks & Caicos 100% 100% TransGlobe West Gharib Inc. Turks & Caicos 100% 100% TG Holdings Egypt Inc. Turks & Caicos 100% 100% TG South Alamein Inc. Turks & Caicos 100% 100% TG South Mariut Inc. Turks & Caicos 100% 100% TG South Alamein II Inc. Turks & Caicos 100% 100% TG Energy Marketing Inc. Turks & Caicos 100% 100% TG NW Gharib Inc. Turks & Caicos 100% 100% TG SW Gharib Inc. Turks & Caicos 100% 100% TG SE Gharib Inc. Turks & Caicos 100% 100% TG S Ghazalat Inc. Turks & Caicos 100% 100% TransGlobe Petroleum Egypt Inc. Turks & Caicos 100% 100% |
Compensation of Key Management
Compensation of Key Management Personnel | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Of Key Management Personnel [Abstract] | |
Compensation of Key Management Personnel | 24. COMPENSATION OF KEY MANAGEMENT PERSONNEL Key management personnel have been identified as the Board of Directors and the four executive officers of the Company. Key management personnel remuneration consisted of the following: ($000s) 2019 2018 Salaries, incentives and short-term benefits 2,560 2,352 Share-based compensation 2,736 2,210 Total 5,296 4,562 |
Segmented Information
Segmented Information | 12 Months Ended |
Dec. 31, 2019 | |
Operating Segments [Abstract] | |
Segmented Information | 25. SEGMENTED INFORMATION The Company has two reportable segments for the years ended December 31, 2019 and December 31, 2018: the Arab Republic of Egypt and Canada. The Company, through its operating segments, is engaged primarily in oil exploration, development and production and the acquisition of oil and gas properties. In presenting information on the basis of operating segments, segment revenue is based on the geographical location of assets which is also consistent with the location of the segment customers. Segmented assets are also based on the geographical location of the assets. There are no inter-segment sales. The accounting policies of the operating segments are the same as the Company’s accounting policies. Years ended December 31 2019 2018 2019 2018 2019 2018 2019 2018 ($000s) Egypt Canada Corporate Total Revenue Oil sales 256,193 278,111 15,159 10,666 - - 271,352 288,777 Natural gas sales - - 2,705 2,632 - - 2,705 2,632 Natural gas liquids sales - - 4,872 7,735 - - 4,872 7,735 Less: royalties (136,616 ) (120,271 ) (2,217 ) (2,646 ) - - (138,833 ) (122,917 ) Petroleum and natural gas sales, net of royalties 119,577 157,840 20,519 18,387 - - 140,096 176,227 Finance revenue 45 87 - - 426 483 471 570 Total segmented revenue 119,622 157,927 20,519 18,387 426 483 140,567 176,797 Segmented expenses Production and operating 43,252 45,562 7,374 7,736 - - 50,626 53,298 Selling costs 1,287 2,103 - - - - 1,287 2,103 General and administrative 6,491 4,798 901 1,134 9,219 12,756 16,611 18,688 Foreign exchange gain - - - - (147 ) (289 ) (147 ) (289 ) Finance costs 3,767 4,635 456 440 33 - 4,256 5,075 Depletion, depreciation and amortization 26,345 26,271 7,790 7,711 813 309 34,948 34,291 Asset retirement obligation accretion - - 215 270 - - 215 270 Loss on financial instruments 2,845 6,755 - 296 - - 2,845 7,051 Impairment loss 7,937 14,500 - - - - 7,937 14,500 Gain on disposition of assets - - (114 ) (207 ) - - (114 ) (207 ) Income tax expense 26,098 26,340 - - - - 26,098 26,340 Segmented net earnings (loss) 1,600 26,963 3,897 1,007 (9,492 ) (12,293 ) (3,995 ) 15,677 Capital expenditures Exploration and development 27,239 28,673 9,525 11,965 - - 36,764 40,638 Corporate - - - - 168 68 168 68 Total capital expenditures 27,239 28,673 9,525 11,965 168 68 36,932 40,706 The carrying amounts of reportable segment assets and liabilities are as follows: As at December 31, 2019 As at December 31, 2018 ($000s) Egypt Canada Total Egypt Canada Total Assets Accounts receivable 6,266 3,874 10,140 9,031 2,525 11,556 Derivative commodity contracts - - - 1,369 - 1,369 Intangible exploration and evaluation assets 33,176 530 33,706 35,735 531 36,266 Property and equipment Petroleum and natural gas assets 117,591 78,559 196,150 123,043 72,220 195,263 Other assets 2,847 15 2,862 2,222 22 2,244 Other 48,652 2,269 50,921 58,518 1,296 59,814 Deferred taxes 8,387 - 8,387 4,523 - 4,523 Segmented assets 216,919 85,247 302,166 234,441 76,594 311,035 Non-segmented assets 6,159 7,261 Total assets 308,325 318,296 Liabilities Accounts payable and accrued liabilities 19,459 6,798 26,257 13,407 8,010 21,417 Derivative commodity contracts 217 - 217 - - - Long-term debt 29,502 7,539 37,041 44,134 8,221 52,355 Asset retirement obligation - 13,612 13,612 - 12,113 12,113 Lease obligation 718 276 994 - - - Deferred taxes 8,387 - 8,387 4,523 - 4,523 Segmented liabilities 58,283 28,225 86,508 62,064 28,344 90,408 Non-segmented liabilities 7,327 7,597 Total liabilities 93,835 98,005 |
Supplemental Cash flow Informat
Supplemental Cash flow Information | 12 Months Ended |
Dec. 31, 2019 | |
Statement Of Cash Flows [Abstract] | |
Supplemental Cash flow Information | 26. SUPPLEMENTAL CASH FLOW INFORMATION Changes in non-cash working capital consisted of the following: Years ended December 31 ($000s) 2019 2018 Operating activities (Increase) decrease in current assets Accounts receivable 1,333 6,076 Prepaids and other 637 97 Product inventory 1 (6,698 ) 905 (Decrease) increase in current liabilities Accounts payable and accrued liabilities 2,886 (1,975 ) Other long-term liabilities (193 ) 807 Total changes in non-cash working capital (2,035 ) 5,910 Investing activities Increase (decrease) in current assets Prepaids and other 4 (4 ) (Decrease) increase in current liabilities Accounts payable and accrued liabilities (295 ) 255 Total changes in non-cash working capital (291 ) 251 Financing activities Decrease in current liabilities Other liabilities (200 ) (3 ) Total changes in non-cash working capital (200 ) (3 ) 1 The change in non-cash working capital associated with product inventory represents the change in operating costs capitalized as product inventory in the respective periods. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies Changes In Accounting Estimates And Errors [Abstract] | |
Basis of consolidation | Basis of consolidation The Consolidated Financial Statements include the financial statements of the Company and its wholly-owned, controlled subsidiaries. Control exists when the Company has the power to govern the financial and operating policies of an entity, it is exposed to or has rights to variable returns associated with its involvement in the entity, and it has the ability to use that power to influence the amount of returns it is exposed to or has rights to. In assessing control, potential voting rights need to be considered. All subsidiaries of the Company are wholly-owned by the parent company, TransGlobe Energy Corporation. All intra-company transactions, balances, income and expenses, unrealized gains and losses are eliminated on consolidation. |
Foreign currency translation | Foreign currency translation The Consolidated Financial Statements are presented in U.S. dollars. The Company's functional currency is the Canadian dollar, and the functional currency of all subsidiaries is the U.S. dollar. Foreign currency translations include the translation of foreign currency transactions and translation of the Canadian operations. Foreign currency translations occur when translating transactions in foreign currencies to the applicable functional currency of TransGlobe Energy Corporation and its subsidiaries. Gains and losses from foreign currency transactions are recorded as foreign exchange gains or losses. Foreign currency transaction translations occur as follows: • Income and expenses are translated at the prevailing rates on the date of the transaction • Non-monetary assets or liabilities are carried at the prevailing rates on the date of the transaction • Monetary items are translated at the prevailing rates at the balance sheet date Translation gains and losses occur when translating the financial statements of non-U.S. functional currency operations to the U.S. dollar. These translation gains and losses are recorded as currency translation adjustments and presented as other comprehensive income on the Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss). Translations occur as follows: • Income and expenses are translated at the date of the transaction • Assets and liabilities are translated at the prevailing rates on the balance sheet date |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents include cash and short-term investments that mature within one month of the date of their purchase. |
Financial instruments | Financial instruments Financial instruments are measured at fair value on initial recognition. Measurement in subsequent periods depends on the classification of the financial instrument: • Fair value through profit or loss - subsequently carried at fair value with changes recognized in net earnings (loss). Financial instruments under this classification include cash and cash equivalents, and derivative commodity contracts; and • Amortized cost - subsequently carried at amortized cost using the effective interest method. Financial instruments under this classification include accounts receivable, accounts payable and accrued liabilities and long-term debt. The Company enters into certain financial derivative contracts from time to time in order to reduce its exposure to market risks from fluctuations in commodity prices. These instruments are not used for trading or speculative purposes. The Company does not designate financial derivative contracts as effective accounting hedges, and thus does not apply hedge accounting, even though the Company considers all commodity contracts to be economic hedges. As a result, the Company's policy is to classify all financial derivative contracts at fair value through profit or loss and to record them on the Consolidated Balance Sheet at fair value with a corresponding gain or loss in net earnings (loss). Attributable transaction costs are recognized in net earnings (loss) when incurred. The estimated fair value of all derivative instruments is based on quoted market prices and/or third-party market indications and forecasts. Embedded derivatives are derivatives embedded in a host contract. They are recorded separately from the host contract when their economic characteristics and risks are not closely related to those of the host contract; when the terms of the embedded derivatives are the same as those of a freestanding derivative; and when the combined contract is not measured at fair value through profit or loss. Refer to Note 5 for the classification and measurement of these financial instruments. |
Share capital | Share capital Common shares are classified as equity. Incremental costs directly attributable to the issue of common shares are recognized as a deduction from equity. Repurchase of the Company’s own equity instruments is recognized and deducted directly in equity. No gain or loss is recognized in profit or loss on the purchase, sale, issue or cancellation of the Company’s own equity instruments. |
Leases | Leases In January 2016, the IASB issued IFRS 16 which replaced IAS 17 Leases Determining Whether an Arrangement Contains a Lease TransGlobe adopted IFRS 16 as of January 1, 2019 using the modified retrospective approach. The modified retrospective approach does not require a restatement of prior period financial information as the cumulative effect is recognized as an adjustment to opening retained earnings and the Company applies the standard prospectively. There was no effect on the Company's retained earnings or prior period amounts as a result of adopting this standard. The cumulative effect of initially applying the standard was recognized as a $3.5 million increase to ROU assets (included in Property and equipment - "Petroleum and natural gas assets" and "Other assets") with a corresponding increase recorded in "Lease obligations". The ROU assets recognized were measured at amounts equal to the lease obligations. The weighted average incremental borrowing rate used to determine the lease obligation at adoption was approximately 9.8%. The assets and lease obligations recognized largely relate to the Company's head office lease in Calgary and drilling rigs in Egypt. TransGlobe applied the following expedients in adopting IFRS 16: • Certain short-term leases and leases of low-value assets identified on January 1, 2019 were not recognized on the balance sheet. • At January 1, 2019, TransGlobe recognized the lease payments due within one year as current lease obligations, and those payments outside of one year as non-current lease obligations. • At initial measurement, a single discount rate was applied to leases with similar characteristics. As a result of this adoption, TransGlobe has revised the description of its accounting policy for leases as follows: A contract is, or contains, a lease if the contract provides the right to control the use of an identified asset for a period of time in exchange for consideration. A lease obligation is recognized at the commencement of the lease term measured as the present value of the lease payments not already paid at that date. Interest expense is recognized on the lease obligations using the effective interest rate method and net payments are applied against the lease obligation. At the commencement date, a corresponding right-of-use asset is recognized at the amount of the lease obligation, adjusted for lease incentives received and initial direct costs. Depreciation is recognized on the right-of-use asset over the lease term. |
Intangible exploration and evaluation assets | Exploration and evaluation assets Exploration and evaluation ("E&E") costs related to each license/prospect are initially capitalized within "intangible exploration and evaluation assets". Such E&E costs may include costs of license acquisition, technical services and studies, seismic acquisition, exploration drilling and testing, directly attributable expenses, including remuneration of production personnel and supervisory management, and the projected costs of retiring the assets (if any), but do not include pre-licensing costs incurred prior to having obtained the legal rights to explore an area, which are expensed directly to net earnings (loss) as they are incurred and presented as exploration expenses on the Consolidated Statements of Earnings (Loss) and Comprehensive Income (Loss). Intangible exploration and evaluation assets are not depleted. They are carried forward until technical feasibility and commercial viability of extracting a mineral resource is determined, at which point they are transferred to petroleum and natural gas ("PNG") assets. The technical feasibility and commercial viability is considered to be determined when proved and/or probable reserves are determined to exist or they can be empirically supported with actual production data or conclusive formation tests. |
Property and equipment | Petroleum and natural gas assets PNG assets and other assets are recognized at cost less accumulated depletion, depreciation and amortization, and accumulated impairment losses. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, including qualifying E&E costs on reclassification from intangible exploration and evaluation assets, and for qualifying assets, where applicable, borrowing costs. When significant parts of an item of property and equipment have different useful lives, they are accounted for as separate items. Gains and losses on disposal of items of property and equipment, including oil and natural gas interests, are determined by comparing the proceeds from disposal with the carrying amount of property and equipment and are recognized in net earnings (loss) immediately. Subsequent costs Costs incurred subsequent to the determination of technical feasibility and commercial viability and the costs of replacing parts of property and equipment are recognized as petroleum properties or other assets only when they increase the future economic benefits embodied in the specific asset to which they relate. All other expenditures are recognized in profit or loss as incurred. Such capitalized property and equipment generally represent costs incurred in developing proved and/or probable reserves and bringing in or enhancing production from such reserves, and are accumulated on a well, field or geotechnical area basis, together with the discounted value of estimated future costs of asset retirement obligations. When components of PNG assets are replaced, disposed of or no longer in use, the carrying amount is derecognized. The costs of the day-to-day servicing of property, plant and equipment are recognized in net earnings (loss) as incurred. Depletion, depreciation and amortization The depletion, depreciation and amortization of PNG assets and other assets are recognized in net earnings (loss). The net carrying value of the PNG assets included in petroleum properties is depleted using the unit of production method by reference to the ratio of production in the year to the related proved and probable reserves using estimated future prices and costs. Costs subject to depletion include estimated future development costs necessary to bring those reserves into production. These estimates are reviewed by independent reserves engineers at least annually and determined in accordance with National Instrument 51-101 Standards of Disclosure of Oil and Gas Activities Furniture and fixtures are depreciated at declining balance rates of 20% to 30%, whereas vehicles and leasehold improvements are depreciated on a straight-line basis over their estimated useful lives. Depreciation methods, useful lives and residual values are reviewed at each reporting date. |
Product inventory | Product inventory Product inventory consists of the Company's unsold Egypt entitlement crude oil barrels, valued at the lower of cost, using the first-in, first-out method, or net realizable value. Cost includes operating expenses and depletion associated with the entitlement crude oil barrels as determined on a concession by concession basis. |
Impairment | Impairment Financial assets carried at amortized cost At each reporting date, the Company assesses whether there is objective evidence that a financial asset carried at amortized cost is impaired. If such evidence exists, the Company recognizes an impairment loss in net earnings (loss). Impairment losses are reversed in subsequent periods if the impairment loss decrease can be related objectively to an event occurring after the impairment was recognized. An impairment loss in respect of a financial asset measured at amortized cost is calculated as the difference between its carrying amount, and the present value of the estimated future cash flows discounted at the original effective interest rate. Individually significant financial assets are tested for impairment on an individual basis. The remaining financial assets are assessed collectively in groups that share similar credit risk characteristics. Non-financial assets At each reporting date, the carrying amounts of the Company’s non-financial assets are reviewed to determine whether there is an indication of impairment, except for E&E assets, which are reviewed when circumstances indicate impairment may exist. If there is an indication of impairment, the asset's recoverable amount is estimated and compared to its carrying value. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generate cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the cash-generating unit). The recoverable amount of an asset or a cash-generating unit ("CGU") is the greater of its value in use and its fair value less costs to sell. The Company’s CGUs are not larger than a segment. In assessing both fair value less costs to sell and value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in net earnings (loss). For PNG assets, fair value less costs to sell and value in use is generally computed by reference to the present value of the future cash flows expected to be derived from production of proved and probable reserves. E&E assets are tested for impairment when they are transferred to petroleum properties and also if facts and circumstances suggest that the carrying amount of E&E assets may exceed the recoverable amount. Impairment indicators are evaluated at a CGU level. Indication of impairment includes: 1. Expiry or impending expiry of lease with no expectation of renewal; 2. Lack of budget or plans for substantive expenditures on further E&E; 3. Cessation of E&E activities due to a lack of commercially viable discoveries; and 4. Carrying amounts of E&E assets are unlikely to be recovered in full from a successful development project. Impairment losses recognized in prior years are assessed at each reporting date for indication that the loss has decreased or no longer exists. An impairment loss may be reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depletion and depreciation or amortization, if no impairment loss had been recognized. |
Share-based payment transactions | Share-based payment transactions Equity-settled transactions The cost of equity-settled transactions with employees is measured by reference to the fair value at the date at which equity instruments are granted and is recognized as an expense over the vesting period, which ends on the date on which the relevant employees become fully entitled to the award. Fair value is determined by using the lattice-based trinomial option pricing model. An estimated forfeiture rate is taken into consideration when assigning a fair value to options granted such that no expense is recognized for awards that do not ultimately vest. At each financial reporting date before vesting, the cumulative expense is calculated, which represents the extent to which the vesting period has expired and management’s best estimate of the number of equity instruments that will ultimately vest. The movement in cumulative expense since the previous financial reporting date is recognized in net earnings (loss), with a corresponding entry in contributed surplus in equity. When the terms of an equity-settled award are modified or a new award is designated as replacing a canceled or settled award, the cost based on the original award terms continues to be recognized over the remainder of the new vesting period for the incremental fair value of any modification, based on the difference between the fair value of the original award and the fair value of the modified award, both as measured on the date of the modification. No reduction is recognized if this difference is negative. Cash-settled transactions The expense related to the share units granted under these plans is measured at fair value using the lattice-based trinomial pricing model and is recognized over the vesting period, with a corresponding liability recognized on the Consolidated Balance Sheet. The grant date fair value of cash-settled units granted to employees is recognized as compensation expense within general and administrative expenses, with a corresponding increase in accounts payable, accrued liabilities and other long-term liabilities over the period that the employees become unconditionally entitled to the units. The amount recognized as an expense is adjusted to reflect the actual number of units for which the related service and non-market vesting conditions are met. Until the liability is ultimately settled, it is re-measured at each reporting date with changes to fair value recognized in net earnings (loss). |
Provisions and asset retirement obligations | Provisions and asset retirement obligations A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a rate that reflects current market assessments of the time value of money and the risks specific to the liability. Provisions are not recognized for future operating losses. The Company provides for asset retirement obligations on all of its Canadian operations based on current legislation and industry operating practices. The estimated present value of the asset retirement obligation is recorded as a long-term liability, with a corresponding increase in the carrying amount of the related asset. This increase is depleted with the related depletion unit and is allocated to a CGU for impairment testing. The liability is increased each reporting period to reflect the passage of time with a corresponding charge to accretion expense. The asset retirement obligation can also increase or decrease due to changes in the estimated timing of cash flows, changes in the discount rate and/or changes in the original estimated undiscounted costs. Increases or decreases in the obligation will result in a corresponding change in the carrying amount of the related asset. Actual costs incurred upon settlement of the asset retirement obligation are charged against the asset retirement obligation to the extent of the liability recorded. Asset retirement obligations are measured at each reporting period to reflect the discount rates in effect at that time. On an annual basis, the Company reviews its estimates of the expected costs to reclaim the net interest in its wells and facilities. Resulting changes are accounted for prospectively as a change in estimate. In accordance with all of the Company's Production Sharing Agreements and Production Sharing Concessions (collectively defined as "PSCs"), the Company does, not at any time, hold title to the lands on which it operates, and title to fixed and movable assets is transferred to the respective government when its total cost has been recovered through cost recovery, or at the time of termination of the PSC. Since the Company will not hold title to the land or the assets at the termination of the PSC, the Company does not have a legal obligation, nor the legal ability to decommission the Egypt assets. Furthermore, there is no explicit contractual obligation under the Company's PSCs for the abandonment of assets or reclamation of lands upon termination of the PSCs. |
Revenue recognition | Revenue recognition The Company's revenue is derived exclusively from contracts with customers, except for immaterial amounts related to interest and other income. Royalties are considered to be part of the price of the sale transaction and are therefore presented as a reduction to revenue. Revenue associated with the sale of crude oil, natural gas and natural gas liquids (“NGLs”) is measured based on the consideration specified in contracts with customers. Revenue from contracts with customers is recognized when the Company satisfies a performance obligation by transferring a good or service to a customer. A good or service is transferred when the customer obtains control of the good or service. The transfer of control of oil, natural gas and NGLs usually coincides with title passing to the customer and the customer taking physical possession. TransGlobe mainly satisfies its performance obligations at a point in time and the amounts of revenue recognized relating to performance obligations satisfied over time are not significant. Revenues associated with the sales of the Company’s crude oil in Egypt are recognized by reference to actual volumes sold and quoted market prices in active markets (Dated Brent), adjusted according to specific terms and conditions as applicable per the sales contracts. Revenue is measured at the fair value of the consideration received or receivable. For reporting purposes, the Company records the government’s share of production as royalties and taxes as all royalties and taxes are paid out of the government’s share of production. Revenues from the sale of crude oil, natural gas, condensate and NGLs in Canada are recognized by reference to actual volumes delivered at contracted delivery points and prices. Prices are determined by reference to quoted market prices in active markets (crude oil - NYMEX WTI, natural gas - AECO C, condensate - NYMEX WTI, and NGLs - various based on product), adjusted according to specific terms and conditions applicable per the sales contracts. Revenues are recognized prior to the deduction of transportation costs. Revenues are measured at the fair value of the consideration received. TransGlobe pays royalties to the Alberta provincial government and other mineral rights owners in accordance with the established royalty regime. Revenue segregated by product type and geographical market is disclosed in Note 25. |
Finance revenue and costs | Finance revenue and costs Finance revenue comprises interest income on funds invested. Interest income is recognized as it accrues in net earnings (loss), using the effective interest method. Finance costs comprise interest expense on borrowings. Borrowing costs incurred for qualifying assets are capitalized during the period of time that is required to complete and prepare the assets for their intended use or sale. Qualifying assets are comprised of those significant assets that require a period greater than one year to be available for their intended use. All other borrowing costs are recognized in net earnings (loss). |
Income tax | Income tax Income tax expense is comprised of current and deferred tax. TransGlobe is subject to income taxes based on the tax legislation of each respective country in which TransGlobe conducts business. Current tax Current tax assets and liabilities for the current and prior periods are measured as the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the date of the Consolidated Financial Statements. The Company's contractual arrangements in Egypt stipulate that income taxes are paid by the government out of its entitlement share of production sharing oil. Such amounts are included in current income tax expense at the statutory rate in effect at the time of production. Deferred tax The Company determines the amount of deferred income tax assets and liabilities based on the difference between the carrying amounts of the assets and liabilities reported for financial accounting purposes from those reported for tax. Deferred income tax assets and liabilities are measured using the substantively enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to be recovered or settled. Deferred income tax assets are recognized to the extent it is probable the Company will have sufficient future taxable earnings available against which the unused tax losses can be utilized. |
Joint arrangements | Joint arrangements A joint arrangement involves joint control and offers joint ownership by the Company and other joint interest partners of the financial and operating policies, and of the assets associated with the arrangement. Joint arrangements are classified into one of two categories: joint operations or joint ventures. A joint operation is a joint arrangement whereby the Company and the other parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities relating to the arrangement. Parties involved in joint operations must recognize in relation to their interests in the joint operation their proportionate share of the revenues, expenses, assets and liabilities. A joint venture is a joint arrangement whereby the Company and the other parties that have joint control of the arrangement have rights to the net assets of the arrangement. Parties involved in joint ventures must recognize their interests in joint ventures as investments and must account for that investment using the equity method. In Canada, the Company conducts many of its oil and gas production activities through joint operations and the Consolidated Financial Statements reflect only the Company's proportionate interest in such activities. Joint control exists for contractual agreements governing TransGlobe's assets whereby TransGlobe has less than 100% working interest, all of the partners have control of the arrangement collectively, and spending on the project requires the unanimous consent of all parties that collectively control the arrangement and share the associated risks. TransGlobe does not have any joint arrangements that are individually material to the Company or that are structured through joint venture arrangements. In Egypt, joint arrangements in which the Company is involved are conducted pursuant to PSCs. Given the nature and contractual terms associated with the PSCs, the Company has determined that it has rights to the assets and obligations for the liabilities in all of its joint arrangements and that there are no joint arrangements where the Company has rights to the net assets. Accordingly, all joint arrangements have been classified as joint operations, and the Company has recognized its share of all revenues, expenses, assets and liabilities in accordance with the PSCs in the Consolidated Financial Statements. |
Critical Judgments and Accoun_2
Critical Judgments and Accounting Estimates (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Corporate Information And Statement Of I F R S Compliance [Abstract] | |
Forward commodity price estimates | Impairment tests were carried out at December 31, 2019 and were based on fair value less costs to sell calculations, using a discount rate of 15% for Egypt and 10% for Canada on future after-tax cash flows and the following commodity price estimates: Egypt 1 Canada 1 Brent Blend Crude Oil WTI Oil AECO Gas Edmonton Pentane Edmonton Butane Edmonton Propane Spec Ethane Exchange Rate Year $/Bbl $/Bbl $C/Mcf $C/Bbl $C/Bbl $C/Bbl $C/Bbl USD/CAD 2020 67.00 61.00 2.08 77.80 48.76 28.68 6.42 0.760 2021 68.00 63.00 2.35 79.22 51.82 31.09 7.36 0.770 2022 71.00 66.00 2.55 83.33 54.62 34.62 8.05 0.780 2023 73.00 68.00 2.65 86.54 56.89 36.06 8.39 0.780 2024 75.00 70.00 2.75 89.10 58.71 37.21 8.73 0.780 2025 76.00 72.00 2.85 91.67 60.53 38.37 9.08 0.780 2026 78.00 74.00 2.91 94.23 62.35 39.52 9.29 0.780 2027 79.81 75.81 2.97 96.55 64.00 40.56 9.48 0.780 2028 81.33 77.33 3.03 98.50 65.38 41.44 9.69 0.780 2029 82.88 78.88 3.09 100.49 66.79 42.33 9.91 0.780 Thereafter 2 +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr +2.0%/yr 0.780 1 2 Percentage change represents the increase in each year after 2029 to the end of the reserves life. |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments [Abstract] | |
Carrying value and fair value of financial assets | Carrying value and fair value of financial assets and liabilities are summarized as follows: December 31, 2019 December 31, 2018 Classification ($000s) Carrying Value Fair Value Carrying Value Fair Value Financial assets at fair value through profit or loss 33,251 33,251 53,074 53,074 Financial assets at amortized cost 10,681 10,681 12,014 12,014 Financial liabilities at fair value through profit or loss 217 217 - - Financial liabilities at amortized cost 69,197 69,695 80,362 81,228 |
Carrying value and fair value of financial liabilities | Carrying value and fair value of financial assets and liabilities are summarized as follows: December 31, 2019 December 31, 2018 Classification ($000s) Carrying Value Fair Value Carrying Value Fair Value Financial assets at fair value through profit or loss 33,251 33,251 53,074 53,074 Financial assets at amortized cost 10,681 10,681 12,014 12,014 Financial liabilities at fair value through profit or loss 217 217 - - Financial liabilities at amortized cost 69,197 69,695 80,362 81,228 |
Schedule of outstanding derivative commodity contract positions | The following table summarizes TransGlobe’s outstanding derivative commodity contract positions as at December 31, 2019, the fair values of which have been presented on the Consolidated Balance Sheet: Financial Brent crude oil contracts Period Hedged Contract Remaining Volume (bbl) Monthly Volume (bbl) Bought Put US$/bbl Sold Call US$/bbl Sold Put US$/bbl Jul 2020 - Dec 2020 3-Way Collar 300,000 50,000 54.00 70.00 45.00 Jan 2020 - Jun 2020 3-Way Collar 300,000 50,000 54.00 70.00 46.50 Jan 2020 - Jun 2020 3-Way Collar 150,000 25,000 55.00 72.70 45.00 |
Schedule of loss on financial instruments | The losses on financial instruments for 2019 and 2018 are comprised as follows: Years ended December 31 ($000s) 2019 2018 Realized derivative loss on commodity contracts settled during the year 1,259 16,386 Unrealized derivative loss (gain) on commodity contracts outstanding at year end 1,586 (9,335 ) Loss on financial instruments 2,845 7,051 |
Information about credit quality of neither past due nor impaired financial assets [text block] | Trade and other receivables are analyzed in the table below. ($000s) December 31, 2019 December 31, 2018 Neither impaired nor past due 3,636 5,540 Not impaired and past due in the following period: Within 30 days 226 829 31-60 days 131 212 61-90 days 5,672 102 Over 90 days 1,016 5,331 Accounts receivable 10,681 12,014 |
Disclosure of maturity analysis for non-derivative financial liabilities [text block] | The following are the contractual maturities of financial liabilities at December 31, 2019: Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt 3 Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude on-going operating costs, finance costs and payments required to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude ongoing operating costs, finance costs and payments made to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. |
Disclosure of objectives, policies and processes for managing capital [text block] | The Company defines and computes its capital as follows: ($000s) 2019 2018 Long-term debt, including the current portion (net of unamortized transaction costs) 37,041 52,355 Current assets (65,786 ) (78,994 ) Current liabilities 33,592 28,007 Net debt obligations 4,847 1,368 Shareholders’ equity 214,490 220,291 Total capital 219,337 221,659 |
Finance Revenue and Costs (Tabl
Finance Revenue and Costs (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Analysis Of Income And Expense [Abstract] | |
Schedule of finance costs recognized in earnings (loss) | Finance costs recognized in net earnings (loss) were as follows: Years ended December 31 ($000s) 2019 2018 Interest on long-term debt 3,211 4,275 Interest on borrowing base facility 427 440 Amortization of deferred financing costs 368 360 Interest on lease obligations 250 - Finance costs 4,256 5,075 Interest paid (3,664 ) (4,767 ) |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Subclassifications Of Assets Liabilities And Equities [Abstract] | |
Schedule of cash and cash equivalents | The following table reconciles TransGlobe's cash and cash equivalents: ($000s) December 31, 2019 December 31, 2018 Cash 12,251 33,893 Cash equivalents 21,000 17,812 Cash and cash equivalents 33,251 51,705 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Taxes [Abstract] | |
Disclosure of deferred income tax assets and liabilities | The Company’s deferred income tax assets and liabilities are as follows: ($000s) 2019 2018 Deferred income tax asset and liability, beginning of year - - Expenses related to the origination and reversal of temporary differences for: Property and equipment (377 ) 6,381 Non-capital losses carried forward 304 (733 ) Long-term liabilities - (2 ) Share issue expenses - (1 ) Changes in unrecognized tax benefits 73 (5,645 ) Deferred income tax expense recognized in net earnings (loss) 8,387 4,523 Deferred income tax recovery recognized in net earnings (loss) (8,387 ) (4,523 ) Deferred income tax asset, end of year 8,387 4,523 Deferred income tax liability, end of year (8,387 ) (4,523 ) |
Reconciliation of income tax expense | Income taxes vary from the amount that would be computed by applying the average Canadian statutory income tax rate of 26.5% (2018 - 27.0%) to income before taxes as follows: ($000s) 2019 2018 Income taxes calculated at the Canadian statutory rate 5,857 11,344 Increases (decreases) in income taxes resulting from: Non-deductible expenses (2,206 ) 2,087 Changes in unrecognized tax benefits 73 (5,646 ) Effect of tax rates in foreign jurisdictions 1 18,804 16,002 Changes in tax rates and other 3,570 2,553 Income tax expense - current 26,098 26,340 1 |
Intangible Exploration and Ev_2
Intangible Exploration and Evaluation Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Intangible Assets [Abstract] | |
Schedule of intangible exploration and evaluation assets | The following table reconciles the changes in TransGlobe's exploration and evaluation assets: ($000s) 2019 2018 Balance, beginning of year 36,266 41,478 Additions to exploration and evaluation assets 5,377 9,288 Impairment loss (7,937 ) (14,500 ) Balance, end of year 33,706 36,266 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Reconciliation of the changes in property and equipment assets | The following table reconciles the changes in TransGlobe's property and equipment assets: ($000s) PNG Assets Other Assets Total Cost Balance at December 31, 2017 648,229 15,525 663,754 Additions 30,832 586 31,418 Changes in estimate for asset retirement obligations 844 - 844 Balance at December 31, 2018 679,905 16,111 696,016 Increase in right-of-use assets (Note 3) 1,275 2,227 3,502 Additions 30,626 929 31,555 Change in estimate for asset retirement obligations (Note 14) 746 - 746 Balance at December 31, 2019 712,552 19,267 731,819 Accumulated depreciation, depletion, amortization and impairment losses Balance at December 31, 2017 451,850 12,040 463,890 Depletion, depreciation and amortization for the year 1 31,422 992 32,414 Balance at December 31, 2018 483,272 13,032 496,304 Depletion, depreciation and amortization for the year 1 35,136 1,939 37,075 Balance at December 31, 2019 518,408 14,971 533,379 Foreign Exchange Balance at December 31, 2017 4,602 - 4,602 Currency translation adjustments (5,972 ) - (5,972 ) Balance at December 31, 2018 (1,370 ) - (1,370 ) Currency translation adjustments 3,376 - 3,376 Balance at December 31, 2019 2,006 - 2,006 Net book value At December 31, 2018 195,263 3,079 198,342 At December 31, 2019 196,150 4,296 200,446 1 |
Schedule of Carrying Amount and Depreciation Charge for Right-of-use Assets by Class of Underlying Asset | The following table discloses the carrying amount and depreciation charge for right-of-use assets by the class of underlying asset as at and for the year ended December 31, 2019: ($000s) PNG Assets Other Assets Total Depreciation for the year ended December 31, 2019 901 942 1,843 Net Book Value as at December 31, 2019 374 1,285 1,659 |
Asset Retirement Obligation (Ta
Asset Retirement Obligation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Provisions Contingent Liabilities And Contingent Assets [Abstract] | |
Asset retirement obligation rollforward | The following table reconciles the change in TransGlobe's asset retirement obligation: ($000s) 2019 Balance, beginning of year 12,113 Changes in estimates for asset retirement obligations and additional obligations recognized 746 Obligations settled (46 ) Asset retirement obligation accretion 215 Effect of movements in foreign exchange rates 584 Balance, end of year 13,612 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Lease Liabilities [Abstract] | |
Reconciliation of Lease Obligations | The following table reconciles TransGlobe’s lease obligations: ($000s) At December 31, 2019 Less than 1 year 1,479 1 - 3 years 631 Total lease payments 2,110 Amounts representing interest 302 Present value of net lease payments 1,808 Current portion of lease obligations 1,219 Non-current portion of lease obligations 589 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments [Abstract] | |
Schedule of long-term debt | The following table reconciles the changes in TransGlobe's long-term debt: ($000s) ($000s) 2019 2018 Balance, beginning of year 52,355 69,999 Draws on revolving credit facility 476 508 Repayment of long-term debt (16,523 ) (17,797 ) Amortization of deferred financing costs 368 360 Effects of movements in foreign exchange rates 365 (715 ) Balance, end of year 37,041 52,355 Based on the Company's current forecast of future production and prices the estimated future debt payments on long-term debt as of December 31, 2019 are as follows: ($000s) Prepayment Agreement Reserves Based Lending Facility Total 2020 - - - 2021 29,502 7,539 37,041 29,502 7,539 37,041 Prepayment Agreement As at As at ($000s) December 31, 2019 December 31, 2018 Prepayment agreement - amount drawn 30,000 45,000 Deferred financing costs (498 ) (866 ) 29,502 44,134 Reserves-Based Lending Facility As at As at ($000s) December 31, 2019 December 31, 2018 Reserves-based lending facility - amount drawn 7,539 8,221 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies [Abstract] | |
Disclosure of maturity analysis for non-derivative financial liabilities [text block] | The following are the contractual maturities of financial liabilities at December 31, 2019: Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt 3 Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude on-going operating costs, finance costs and payments required to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. Payment Due by Period 1,2 ($000s) Recognized in Financial Statements Contractual Cash Flows Less than 1 year 1-3 years 4-5 years More than 5 years Accounts payable and accrued liabilities Yes-Liability 32,156 32,156 - - - Long-term debt Yes-Liability 37,539 - 37,539 - - Other long-term liabilities Yes-Liability 614 - 614 - - Derivative commodity contracts Yes-Liability 217 217 - - - Total 70,526 32,373 38,153 - - 1 Payments exclude ongoing operating costs, finance costs and payments made to settle derivatives. 2 Payments denominated in foreign currencies have been translated at December 31, 2019 exchange rates. 3 Excludes deferred financing costs of $0.5 million. |
Share Capital (Tables)
Share Capital (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share Capital Reserves And Other Equity Interest [Abstract] | |
Reconciliation of number of shares Issued | Shares in issue as at December 31, 2019 and December 31, 2018 are outlined below: 2019 2018 (000s) Shares Amount ($) Shares Amount ($) Balance, beginning of year 72,206 152,084 72,206 152,084 Stock options exercised 337 547 - - Contributed surplus re-class on exercise - 174 - - Balance, end of year 72,543 152,805 72,206 152,084 |
Share-based Payments (Tables)
Share-based Payments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share Based Payment Arrangements [Abstract] | |
Stock options outstanding and exercisable | The following tables summarize information about the stock options outstanding and exercisable at the dates indicated: 2019 2018 (000s) Number of Options Weighted-Average Exercise Price ($C) Number of Options Weighted-Average Exercise Price ($C) Options outstanding, beginning of year 4,876 3.60 4,959 5.10 Granted 976 2.83 1,071 2.62 Exercised (337 ) 2.18 - - Expired (1,034 ) 6.55 (1,154 ) 9.13 Options outstanding, end of year 4,481 2.86 4,876 3.60 Options exercisable, end of year 2,585 3.01 2,766 4.52 |
Range of exercise prices of outstanding share options | Options Outstanding Options Exercisable Exercise Price (C$) Number Outstanding at December 31, 2019 (000s) Weighted-Average Remaining Contractual Life (Years) Weighted-Average Exercise price (C$) Number Exercisable at December 31, 2019 (000s) Weighted-Average Remaining Contractual Life (Years) Weighted-Average Exercise price (C$) 2.16 - 2.17 826 2.4 2.16 550 2.4 2.16 2.18 - 2.41 1,002 1.2 2.19 1,002 1.2 2.19 2.42 - 3.73 966 3.4 2.62 322 3.4 2.62 3.74 - 3.91 976 4.2 2.83 - - - 3.92 - 4.99 711 0.4 4.99 711 0.4 4.99 4,481 2.4 2.86 2,585 1.5 3.01 |
Measurement of fair value of share options granted | The weighted average fair value of options granted during the period and the assumptions used in their determination are noted below: 2019 2018 Weighted average fair market value per option (C$) 0.88 0.88 Risk free interest rate 1.54 % 2.14 % Expected volatility (based on actual historical volatility) 54.74 % 49.45 % Dividend rate 3.30 % - Expected forfeiture rate (non-executive employees) - - Suboptimal exercise factor 1.25 1.25 |
Number of RSUs, PSUs and DSUs outstanding | The number of RSUs, PSUs and DSUs outstanding as at December 31, 2019 are as follows: (000s) RSUs PSUs DSUs Units outstanding, December 31, 2017 970 1,376 595 Granted 410 678 225 Exercised (361 ) (316 ) - Forfeited (163 ) (71 ) - Reinvested 8 16 8 Units outstanding, December 31, 2018 864 1,683 828 Granted 400 529 190 Exercised (381 ) (636 ) (454 ) Forfeited (70 ) (13 ) - Expired (15 ) - - Reinvested 41 77 25 Units outstanding, December 31, 2019 839 1,640 589 |
Dividends (Tables)
Dividends (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Interim Financial Reporting [Abstract] | |
Schedule of Dividends | During the year ended December 31, 2019, the Company paid the following dividends on its common shares: Ex-dividend date Record date Payment date Per share amount March 28, 2019 March 29, 2019 April 18, 2019 $ 0.035 August 29, 2019 August 30, 2019 September 13, 2019 $ 0.035 |
Related Party Disclosures (Tabl
Related Party Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party [Abstract] | |
Schedule of related party disclosures | Details of controlled and consolidated entities active as at December 31, 2019 are as follows: Country of Incorporation Ownership Interest 2019 Ownership Interest 2018 TG Energy UK Ltd United Kingdom 100% 100% TransGlobe Petroleum International Inc. Turks & Caicos 100% 100% TG Holdings Yemen Inc. Turks & Caicos 100% 100% TransGlobe West Bakr Inc. Turks & Caicos 100% 100% TransGlobe West Gharib Inc. Turks & Caicos 100% 100% TG Holdings Egypt Inc. Turks & Caicos 100% 100% TG South Alamein Inc. Turks & Caicos 100% 100% TG South Mariut Inc. Turks & Caicos 100% 100% TG South Alamein II Inc. Turks & Caicos 100% 100% TG Energy Marketing Inc. Turks & Caicos 100% 100% TG NW Gharib Inc. Turks & Caicos 100% 100% TG SW Gharib Inc. Turks & Caicos 100% 100% TG SE Gharib Inc. Turks & Caicos 100% 100% TG S Ghazalat Inc. Turks & Caicos 100% 100% TransGlobe Petroleum Egypt Inc. Turks & Caicos 100% 100% |
Compensation of Key Managemen_2
Compensation of Key Management Personnel (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Of Key Management Personnel [Abstract] | |
Schedule of key management personnel remuneration | Key management personnel remuneration consisted of the following: ($000s) 2019 2018 Salaries, incentives and short-term benefits 2,560 2,352 Share-based compensation 2,736 2,210 Total 5,296 4,562 |
Segmented Information (Tables)
Segmented Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Operating Segments [Abstract] | |
Disclosure of operating segments | Years ended December 31 2019 2018 2019 2018 2019 2018 2019 2018 ($000s) Egypt Canada Corporate Total Revenue Oil sales 256,193 278,111 15,159 10,666 - - 271,352 288,777 Natural gas sales - - 2,705 2,632 - - 2,705 2,632 Natural gas liquids sales - - 4,872 7,735 - - 4,872 7,735 Less: royalties (136,616 ) (120,271 ) (2,217 ) (2,646 ) - - (138,833 ) (122,917 ) Petroleum and natural gas sales, net of royalties 119,577 157,840 20,519 18,387 - - 140,096 176,227 Finance revenue 45 87 - - 426 483 471 570 Total segmented revenue 119,622 157,927 20,519 18,387 426 483 140,567 176,797 Segmented expenses Production and operating 43,252 45,562 7,374 7,736 - - 50,626 53,298 Selling costs 1,287 2,103 - - - - 1,287 2,103 General and administrative 6,491 4,798 901 1,134 9,219 12,756 16,611 18,688 Foreign exchange gain - - - - (147 ) (289 ) (147 ) (289 ) Finance costs 3,767 4,635 456 440 33 - 4,256 5,075 Depletion, depreciation and amortization 26,345 26,271 7,790 7,711 813 309 34,948 34,291 Asset retirement obligation accretion - - 215 270 - - 215 270 Loss on financial instruments 2,845 6,755 - 296 - - 2,845 7,051 Impairment loss 7,937 14,500 - - - - 7,937 14,500 Gain on disposition of assets - - (114 ) (207 ) - - (114 ) (207 ) Income tax expense 26,098 26,340 - - - - 26,098 26,340 Segmented net earnings (loss) 1,600 26,963 3,897 1,007 (9,492 ) (12,293 ) (3,995 ) 15,677 Capital expenditures Exploration and development 27,239 28,673 9,525 11,965 - - 36,764 40,638 Corporate - - - - 168 68 168 68 Total capital expenditures 27,239 28,673 9,525 11,965 168 68 36,932 40,706 The carrying amounts of reportable segment assets and liabilities are as follows: As at December 31, 2019 As at December 31, 2018 ($000s) Egypt Canada Total Egypt Canada Total Assets Accounts receivable 6,266 3,874 10,140 9,031 2,525 11,556 Derivative commodity contracts - - - 1,369 - 1,369 Intangible exploration and evaluation assets 33,176 530 33,706 35,735 531 36,266 Property and equipment Petroleum and natural gas assets 117,591 78,559 196,150 123,043 72,220 195,263 Other assets 2,847 15 2,862 2,222 22 2,244 Other 48,652 2,269 50,921 58,518 1,296 59,814 Deferred taxes 8,387 - 8,387 4,523 - 4,523 Segmented assets 216,919 85,247 302,166 234,441 76,594 311,035 Non-segmented assets 6,159 7,261 Total assets 308,325 318,296 Liabilities Accounts payable and accrued liabilities 19,459 6,798 26,257 13,407 8,010 21,417 Derivative commodity contracts 217 - 217 - - - Long-term debt 29,502 7,539 37,041 44,134 8,221 52,355 Asset retirement obligation - 13,612 13,612 - 12,113 12,113 Lease obligation 718 276 994 - - - Deferred taxes 8,387 - 8,387 4,523 - 4,523 Segmented liabilities 58,283 28,225 86,508 62,064 28,344 90,408 Non-segmented liabilities 7,327 7,597 Total liabilities 93,835 98,005 |
Supplemental Cash flow Inform_2
Supplemental Cash flow Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Statement Of Cash Flows [Abstract] | |
Changes in non-cash working capital | Changes in non-cash working capital consisted of the following: Years ended December 31 ($000s) 2019 2018 Operating activities (Increase) decrease in current assets Accounts receivable 1,333 6,076 Prepaids and other 637 97 Product inventory 1 (6,698 ) 905 (Decrease) increase in current liabilities Accounts payable and accrued liabilities 2,886 (1,975 ) Other long-term liabilities (193 ) 807 Total changes in non-cash working capital (2,035 ) 5,910 Investing activities Increase (decrease) in current assets Prepaids and other 4 (4 ) (Decrease) increase in current liabilities Accounts payable and accrued liabilities (295 ) 255 Total changes in non-cash working capital (291 ) 251 Financing activities Decrease in current liabilities Other liabilities (200 ) (3 ) Total changes in non-cash working capital (200 ) (3 ) 1 The change in non-cash working capital associated with product inventory represents the change in operating costs capitalized as product inventory in the respective periods. |
Significant Accounting Polici_3
Significant Accounting Policies (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure Of Property Plant And Equipment [Line Items] | |
Weighted average incremental borrowing rate | 9.80% |
Furniture and fixtures [member] | Bottom of range [member] | |
Disclosure Of Property Plant And Equipment [Line Items] | |
Depreciation at declining balance rates | 20.00% |
Furniture and fixtures [member] | Top of range [member] | |
Disclosure Of Property Plant And Equipment [Line Items] | |
Depreciation at declining balance rates | 30.00% |
IFRS 16 [member] | |
Disclosure Of Property Plant And Equipment [Line Items] | |
Gain or loss recognized in profit or loss on purchase,sale,issue or cancelation of equity instruments | $ 0 |
Effect on retained earnings or prior period amounts due to adoption of standards | 0 |
IFRS 16 [member] | Included in property and equipment - "Petroleum and natural gas assets" and "Other assets" [member] | |
Disclosure Of Property Plant And Equipment [Line Items] | |
Increase to ROU assets | $ 3,500,000 |
Critical Judgments and Accoun_3
Critical Judgments and Accounting Estimates - Narrative (Details) - Oil and natural gas reserves [member] | Dec. 31, 2019 |
Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Discount rate used in current measurement of fair value less costs of disposal | 15.00% |
Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Discount rate used in current measurement of fair value less costs of disposal | 10.00% |
Critical Judgments and Accoun_4
Critical Judgments and Accounting Estimates - Forward Commodity Price Estimates (Details) - Oil and natural gas reserves [member] | 12 Months Ended |
Dec. 31, 2019$ / $ | |
2020 [member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 67 |
2020 [member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 61 |
2020 [member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.08 |
2020 [member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 77.80 |
2020 [member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 48.76 |
2020 [member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 28.68 |
2020 [member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 6.42 |
2020 [member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.760 |
2021 [member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 68 |
2021 [member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 63 |
2021 [member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.35 |
2021 [member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 79.22 |
2021 [member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 51.82 |
2021 [member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 31.09 |
2021 [member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 7.36 |
2021 [member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.770 |
2022 [member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 71 |
2022 [member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 66 |
2022 [member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.55 |
2022 [member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 83.33 |
2022 [member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 54.62 |
2022 [member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 34.62 |
2022 [member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 8.05 |
2022 [member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2023 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 73 |
2023 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 68 |
2023 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.65 |
2023 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 86.54 |
2023 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 56.89 |
2023 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 36.06 |
2023 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 8.39 |
2023 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2024 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 75 |
2024 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 70 |
2024 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.75 |
2024 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 89.10 |
2024 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 58.71 |
2024 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 37.21 |
2024 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 8.73 |
2024 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2025 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 76 |
2025 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 72 |
2025 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.85 |
2025 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 91.67 |
2025 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 60.53 |
2025 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 38.37 |
2025 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 9.08 |
2025 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2026 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 78 |
2026 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 74 |
2026 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.91 |
2026 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 94.23 |
2026 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 62.35 |
2026 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 39.52 |
2026 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 9.29 |
2026 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2027 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 79.81 |
2027 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 75.81 |
2027 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 2.97 |
2027 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 96.55 |
2027 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 64 |
2027 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 40.56 |
2027 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 9.48 |
2027 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2028 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 81.33 |
2028 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 77.33 |
2028 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 3.03 |
2028 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 98.50 |
2028 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 65.38 |
2028 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 41.44 |
2028 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 9.69 |
2028 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
2029 [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 82.88 |
2029 [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 78.88 |
2029 [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 3.09 |
2029 [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 100.49 |
2029 [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 66.79 |
2029 [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 42.33 |
2029 [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity price (in dollars per unit) | 9.91 |
2029 [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
Thereafter [Member] | Oil [member] | Egypt [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Oil [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Gas [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Pentane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Butane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Propane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | Ethane [member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Percentage increase in commodity prices after 5 years to the end of reserve life | 2.00% |
Thereafter [Member] | USD to CAD Exchange Rate [Member] | Canada [member] | |
Average Sales Prices of Oil and Gas [Line Items] | |
Forward commodity exchange rate (in dollars per unit) | 0.780 |
Financial Instruments and Ris_3
Financial Instruments and Risk Management - Narrative (Details) | 12 Months Ended | |||
Dec. 31, 2019USD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2019CAD ($) | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Cash | $ 12,251,000 | $ 33,893,000 | ||
Maximum borrowing capacity | $ 56,700,000 | |||
Interest rate risk [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Possible change in risk variable percentage | 1.00% | 1.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Percent | 1.00% | 1.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Impact On Profit (Loss) | $ 500,000 | |||
Possible decrease in risk variable percentage | 1.00% | 1.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Decrease In Risk Variable, Impact On Profit (Loss) | $ 500,000 | |||
Canada dollars [member] | Currency risk [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Possible change in risk variable percentage | 10.00% | 10.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Percent | 10.00% | 10.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Impact On Profit (Loss) | $ 1,300,000 | |||
Possible decrease in risk variable percentage | 10.00% | 10.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Decrease In Risk Variable, Impact On Profit (Loss) | $ 1,400,000 | |||
Egypt pounds [member] | Currency risk [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Percent | 10.00% | 10.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Increase In Risk Variable, Impact On Profit (Loss) | $ 200,000 | |||
Possible decrease in risk variable percentage | 10.00% | 10.00% | ||
Sensitivity Analysis For Types Of Market Risk, Reasonably Possible Decrease In Risk Variable, Impact On Profit (Loss) | $ 200,000 | |||
Cash | 2,300,000 | 2,000,000 | ||
Revolving Reserves-Based Lending Facility [Member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Maximum borrowing capacity | 19,200,000 | $ 25,000,000 | ||
Repayments of non-current borrowings | 1,500,000 | $ 2,000,000 | ||
Revolving Credit Facility1 [Member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Proceeds from non-current borrowings | 476,000 | $ 600,000 | 508,000 | |
Prepayment agreement [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Repayments of non-current borrowings | 15,000,000 | |||
Gross carrying amount [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Borrowings | 94,200,000 | |||
Gross carrying amount [member] | Revolving Reserves-Based Lending Facility [Member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Maximum borrowing capacity | 19,200,000 | 25,000,000 | ||
Gross carrying amount [member] | Prepayment agreement [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Borrowings | 75,000,000 | |||
Gross carrying amount [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Borrowings | 37,500,000 | |||
Gross carrying amount [member] | Revolving Reserves-Based Lending Facility [Member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Borrowings | 7,500,000 | $ 9,800,000 | ||
Gross carrying amount [member] | Prepayment agreement [member] | ||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||
Borrowings | $ 30,000,000 | $ 45,000,000 |
Financial Instruments and Ris_4
Financial Instruments and Risk Management - Carrying Value and Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial liabilities at fair value through profit or loss, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at carrying value | $ 217 | $ 0 |
Financial liabilities at fair value | 217 | 0 |
Financial liabilities at amortised cost, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial liabilities at carrying value | 69,197 | 80,362 |
Financial liabilities at fair value | 69,695 | 81,228 |
Financial assets at fair value through profit or loss, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets at carrying value | 33,251 | 53,074 |
Financial assets at fair value | 33,251 | 53,074 |
Financial assets at amortised cost, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets at carrying value | 10,681 | 12,014 |
Financial assets at fair value | $ 10,681 | $ 12,014 |
Financial Instruments and Ris_5
Financial Instruments and Risk Management - Schedule of Derivative Commodity Contract Positions (Details) - Three-Way Collar Contract [Member] | 12 Months Ended |
Dec. 31, 2019$ / bblbbl | |
July 2020 - December 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Remaining Volume (bbl) | bbl | 300,000 |
Monthly Volume (bbl) | bbl | 50,000 |
January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Remaining Volume (bbl) | bbl | 300,000 |
Monthly Volume (bbl) | bbl | 50,000 |
January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Remaining Volume (bbl) | bbl | 150,000 |
Monthly Volume (bbl) | bbl | 25,000 |
Put Option1 [Member] | Long1 [Member] | July 2020 - December 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 54 |
Put Option1 [Member] | Long1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 54 |
Put Option1 [Member] | Long1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 55 |
Put Option1 [Member] | Short1 [Member] | July 2020 - December 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 45 |
Put Option1 [Member] | Short1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 46.50 |
Put Option1 [Member] | Short1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 45 |
Call Option1 [Member] | Short1 [Member] | July 2020 - December 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 70 |
Call Option1 [Member] | Short1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 70 |
Call Option1 [Member] | Short1 [Member] | January 2020 - June 2020 [Member] | |
Disclosure of detailed information about hedging instruments [line items] | |
Average price of hedging instrument | 72.70 |
Financial Instruments and Ris_6
Financial Instruments and Risk Management - Schedule of Losses on Financial Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of financial liabilities [line items] | ||
Loss on financial instruments | $ 2,845 | $ 7,051 |
Derivative commodity contracts [member] | ||
Disclosure of financial liabilities [line items] | ||
Realized derivative loss on commodity contracts settled during the year | 1,259 | 16,386 |
Unrealized derivative loss (gain) on commodity contracts outstanding at year end | $ 1,586 | $ (9,335) |
Financial Instruments and Ris_7
Financial Instruments and Risk Management - Credit Risk Relates to Trade Receivables (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)MBbls | Dec. 31, 2018USD ($) | |
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | $ 10,681 | $ 12,014 |
Revenue from sale of crude oil | 271,352 | 288,777 |
Neither impaired nor past due [member] | ||
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | 3,636 | 5,540 |
Not impaired and past due [member] | Within 30 days [member] | ||
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | 226 | 829 |
Not impaired and past due [member] | Past due 31-60 days [member] | ||
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | 131 | 212 |
Not impaired and past due [member] | Past due 61-90 days [member] | ||
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | 5,672 | 102 |
Not impaired and past due [member] | Past due over 90 days [member] | ||
Disclosure of credit risk exposure [line items] | ||
Accounts receivable | $ 1,016 | 5,331 |
Egyptian General Petroleum Corporation [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Volume bbl sold | MBbls | 869.6 | |
Accounts receivable | $ 5,700 | $ 7,200 |
Revenue from sale of crude oil | $ 49,900 |
Financial Instruments and Ris_8
Financial Instruments and Risk Management - Contractual Maturities of Financial Liabilities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | $ 70,526 |
Accounts payable and accrued liabilities [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 32,156 |
Long-term borrowings [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 37,539 |
Other long-term liabilities [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 614 |
Derivative commodity contracts [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 217 |
Not later than one year [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 32,373 |
Not later than one year [member] | Accounts payable and accrued liabilities [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 32,156 |
Not later than one year [member] | Derivative commodity contracts [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 217 |
1-3 years [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 38,153 |
1-3 years [member] | Long-term borrowings [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 37,539 |
1-3 years [member] | Other long-term liabilities [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | $ 614 |
Financial Instruments and Ris_9
Financial Instruments and Risk Management - Contractual Maturities of Financial Liabilities (Parenthetical) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Financial Instruments [Abstract] | |
Deferred financing costs | $ 0.5 |
Financial Instruments and Ri_10
Financial Instruments and Risk Management - Capital Disclosures (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Total Debt [abstract] | ||
Long-term debt, including the current portion (net of unamortized transaction costs) | $ 37,041 | $ 52,355 |
Current assets | (65,786) | (78,994) |
Current liabilities | 33,592 | 28,007 |
Total Capital [Abstract] | ||
Net debt obligations | 4,847 | 1,368 |
Shareholders’ equity | 214,490 | 220,291 |
Total capital | $ 219,337 | $ 221,659 |
Finance Revenue and Costs (Deta
Finance Revenue and Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of detailed information about borrowings [line items] | ||
Amortization of deferred financing costs | $ 368 | $ 360 |
Finance costs | 4,256 | 5,075 |
Interest paid | (3,664) | (4,767) |
Long-term borrowings [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Interest on borrowings | 3,211 | 4,275 |
Borrowing base facility [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Interest on borrowings | 427 | $ 440 |
Lease obligations [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Interest on borrowings | $ 250 |
Selling Costs (Details)
Selling Costs (Details) - sale | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Analysis Of Income And Expense [Abstract] | ||
Number of direct crude sales during period | 2 | 4 |
Number of inventoried entitlement crude sales | 2 |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Subclassifications Of Assets Liabilities And Equities [Abstract] | |||
Cash | $ 12,251 | $ 33,893 | |
Cash equivalents | 21,000 | 17,812 | |
Cash and cash equivalents | $ 33,251 | $ 51,705 | $ 47,449 |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Subclassifications Of Assets Liabilities And Equities [Abstract] | ||
Receivables due from related parties | $ 0 | $ 0 |
Receivable due from management or employees | 0 | 0 |
Accounts receivable balance as a guarantee to support work commitments | $ 0 | $ 5,100,000 |
Product Inventory (Details)
Product Inventory (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2019USD ($)$ / bblMBbls | Dec. 31, 2018USD ($)$ / bblMBbls | |
Proved Developed and Undeveloped Oil and Gas Reserve Quantities [Line Items] | ||
Number of barrels of crude oil in inventory | MBbls | 964,500 | 568,100 |
Inventories valuation rate | $ / bbl | 18.16 | 15.30 |
Product inventory recorded as an expense | $ 2.8 | |
Cost of inventories capitalized | $ 8.8 |
Income Taxes - Deferred Tax Rol
Income Taxes - Deferred Tax Rollforward (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Changes in unrecognized tax benefits | $ 73 | $ (5,645) |
Deferred income tax expense recognized in net earnings (loss) | 8,387 | 4,523 |
Deferred income tax recovery recognized in net earnings (loss) | (8,387) | (4,523) |
Deferred income tax asset, end of year | 8,387 | 4,523 |
Deferred income tax liability, end of year | (8,387) | (4,523) |
Property and equipment [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Expenses related to the origination and reversal of temporary differences for | (377) | 6,381 |
Non-capital losses carried forward [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Expenses related to the origination and reversal of temporary differences for | $ 304 | (733) |
Long-term liabilities [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Expenses related to the origination and reversal of temporary differences for | (2) | |
Share issue expenses [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Expenses related to the origination and reversal of temporary differences for | $ (1) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Non-capital losses with no deferred tax asset recognized | $ 97,600 | $ 84,300 |
Deferred tax assets | $ 8,387 | $ 4,523 |
Average effective tax rate | 118.10% | 62.70% |
Foreign countries [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Unrecognized tax benefits | $ 16,800 | $ 14,200 |
Canada [member] | ||
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | ||
Applicable tax rate | 26.50% | 27.00% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation Of Accounting Profit Multiplied By Applicable Tax Rates [Abstract] | ||
Income taxes calculated at the Canadian statutory rate | $ 5,857 | $ 11,344 |
Non-deductible expenses | (2,206) | 2,087 |
Changes in unrecognized tax benefits | 73 | (5,646) |
Effect of tax rates in foreign jurisdictions | 18,804 | 16,002 |
Changes in tax rates and other | 3,570 | 2,553 |
Income tax expense - current | $ 26,098 | $ 26,340 |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Income Tax Expense (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2019 | |
Egypt [member] | |
Disclosure Of Temporary Difference Unused Tax Losses And Unused Tax Credits [Line Items] | |
Statutory tax rate | 40.55% |
Intangible Exploration and Ev_3
Intangible Exploration and Evaluation Assets - Detailed Information About Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of changes in intangible assets other than goodwill [abstract] | ||
Balance, beginning of year | $ 36,266 | |
Balance, end of year | 33,706 | $ 36,266 |
Intangible exploration and evaluation assets [member] | ||
Reconciliation of changes in intangible assets other than goodwill [abstract] | ||
Balance, beginning of year | 36,266 | 41,478 |
Additions to exploration and evaluation assets | 5,377 | 9,288 |
Impairment loss | (7,937) | (14,500) |
Balance, end of year | $ 33,706 | $ 36,266 |
Intangible Exploration and Ev_4
Intangible Exploration and Evaluation Assets - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of detailed information about intangible assets [line items] | |||
Reduction of the original impairment loss | $ 7,937,000 | $ 14,500,000 | |
Canada [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 500,000 | 500,000 | |
South Alamein Concession [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 0 | 12,500,000 | |
South Ghazalat [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 29,200,000 | 23,200,000 | |
North West Gharib Concession [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 4,000,000 | 0 | |
Intangible exploration and evaluation assets [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Impairment loss | 7,937,000 | 14,500,000 | |
Intangible exploration and evaluation assets [member] | South Alamein Concession [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Non-cash impairment loss on its exploration and evaluation assets | 7,900,000 | ||
Impairment loss | 8,300,000 | ||
Intangible exploration and evaluation assets [member] | North West Sitra Concession [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Impairment loss | $ 14,500,000 | ||
Impairment recovery | $ 400,000 | ||
Reduction of the original impairment loss | $ 400,000 |
Property and Equipment - Reconc
Property and Equipment - Reconciliation of Property and Equipment Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | $ 198,342 | |
Currency translation adjustments | 2,073 | $ (3,732) |
Balance at end of period | 200,446 | 198,342 |
Gross carrying amount [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 696,016 | 663,754 |
Increase in right-of-use assets | 3,502 | |
Additions | 31,555 | 31,418 |
Change in estimate for asset retirement obligations | 746 | 844 |
Balance at end of period | 731,819 | 696,016 |
Accumulated depreciation, depletion, amortization and impairment [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 496,304 | 463,890 |
Depletion, depreciation and amortization for the year | 37,075 | 32,414 |
Balance at end of period | 533,379 | 496,304 |
Currency translation adjustments [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | (1,370) | 4,602 |
Currency translation adjustments | 3,376 | (5,972) |
Balance at end of period | 2,006 | (1,370) |
PNG Assets [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 195,263 | |
Balance at end of period | 196,150 | 195,263 |
PNG Assets [member] | Gross carrying amount [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 679,905 | 648,229 |
Increase in right-of-use assets | 1,275 | |
Additions | 30,626 | 30,832 |
Change in estimate for asset retirement obligations | 746 | 844 |
Balance at end of period | 712,552 | 679,905 |
PNG Assets [member] | Accumulated depreciation, depletion, amortization and impairment [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 483,272 | 451,850 |
Depletion, depreciation and amortization for the year | 35,136 | 31,422 |
Balance at end of period | 518,408 | 483,272 |
PNG Assets [member] | Currency translation adjustments [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | (1,370) | 4,602 |
Currency translation adjustments | 3,376 | (5,972) |
Balance at end of period | 2,006 | (1,370) |
Other Assets [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 3,079 | |
Balance at end of period | 4,296 | 3,079 |
Other Assets [member] | Gross carrying amount [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 16,111 | 15,525 |
Increase in right-of-use assets | 2,227 | |
Additions | 929 | 586 |
Change in estimate for asset retirement obligations | 0 | 0 |
Balance at end of period | 19,267 | 16,111 |
Other Assets [member] | Accumulated depreciation, depletion, amortization and impairment [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 13,032 | 12,040 |
Depletion, depreciation and amortization for the year | 1,939 | 992 |
Balance at end of period | 14,971 | 13,032 |
Other Assets [member] | Currency translation adjustments [member] | ||
Reconciliation of changes in property, plant and equipment [abstract] | ||
Balance at beginning of period | 0 | 0 |
Currency translation adjustments | 0 | 0 |
Balance at end of period | $ 0 | $ 0 |
Property and Equipment - Narrat
Property and Equipment - Narrative (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Percentage increase in discount rate used in impairment assessments | 5.00% |
Percentage decrease in discount rate used in impairment assessments | 5.00% |
Property and Equipment - Schedu
Property and Equipment - Schedule of Carrying Amount and Depreciation Charge for Right-of-use Assets by Class of Underlying Asset (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure Of Quantitative Information About Rightofuse Assets [Line Items] | |
Depreciation for the year ended December 31, 2019 | $ 1,843 |
Net Book Value as at December 31, 2019 | 1,659 |
PNG Assets [member] | |
Disclosure Of Quantitative Information About Rightofuse Assets [Line Items] | |
Depreciation for the year ended December 31, 2019 | 901 |
Net Book Value as at December 31, 2019 | 374 |
Other Assets [member] | |
Disclosure Of Quantitative Information About Rightofuse Assets [Line Items] | |
Depreciation for the year ended December 31, 2019 | 942 |
Net Book Value as at December 31, 2019 | $ 1,285 |
Asset Retirement Obligation - A
Asset Retirement Obligation - Asset Retirement Obligation Rollforward (Details) - Asset retirement obligation [member] $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of other provisions [Line Items] | |
Balance, beginning of year | $ 12,113 |
Changes in estimates for asset retirement obligations and additional obligations recognized | 746 |
Obligations settled | (46) |
Asset retirement obligation accretion | 215 |
Effect of movements in foreign exchange rates | 584 |
Balance, end of year | $ 13,612 |
Asset Retirement Obligation - N
Asset Retirement Obligation - Narrative (Details) - Asset retirement obligation [member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of contingent liabilities [line items] | ||
Provisions | $ 13,612 | $ 12,113 |
Undiscounted balance of asset retirement obligation | $ 18,900 | $ 18,300 |
Per annum inflation rate used to determine the cash flow estimate | 2.00% | 2.00% |
Bottom of range [member] | ||
Disclosure of contingent liabilities [line items] | ||
Discount rate used in the assessment of the time value of money | 1.68% | 1.86% |
Top of range [member] | ||
Disclosure of contingent liabilities [line items] | ||
Discount rate used in the assessment of the time value of money | 1.76% | 2.18% |
Lease Obligations - Reconciliat
Lease Obligations - Reconciliation of Lease Obligations (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure Of Maturity Analysis Of Operating Lease Payments [Line Items] | ||
Total lease payments | $ 2,110,000 | |
Amounts representing interest | 302,000 | $ 0 |
Present value of net lease payments | 1,808,000 | |
Current portion of lease obligations | 1,219,000 | 0 |
Lease obligations | 589,000 | $ 0 |
Less than 1 year [Member] | ||
Disclosure Of Maturity Analysis Of Operating Lease Payments [Line Items] | ||
Total lease payments | 1,479,000 | |
1-3 years [member] | ||
Disclosure Of Maturity Analysis Of Operating Lease Payments [Line Items] | ||
Total lease payments | $ 631,000 |
Lease Obligations - Narrative (
Lease Obligations - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Lease Liabilities [Abstract] | ||
Interest expense relating to lease obligations | $ 302,000 | $ 0 |
Total cash outflow relating to lease obligations | $ 1,900,000 | $ 0 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Subclassifications Of Assets Liabilities And Equities [Abstract] | ||
Current payables due to related parties | $ 0 | $ 0 |
Long-term Debt - Long-term Debt
Long-term Debt - Long-term Debt Rollforward (Details) $ in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018USD ($) | |
Disclosure of detailed information about borrowings [line items] | |||
Amortization of deferred financing costs | $ 368 | $ 360 | |
Long-term debt [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Beginning balance | 52,355 | 69,999 | |
Repayment of long-term debt | (16,523) | (17,797) | |
Amortization of deferred financing costs | 368 | 360 | |
Effects of movements in foreign exchange rates | 365 | (715) | |
Ending balance | 37,041 | 52,355 | |
Revolving Credit Facility1 [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Proceeds from non-current borrowings | $ 476 | $ 0.6 | $ 508 |
Long-term Debt - Estimate Futur
Long-term Debt - Estimate Future Debt Payments on Long-term Debt (Details) $ in Thousands, $ in Millions | Dec. 31, 2019USD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018USD ($) |
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | $ 37,041 | ||
Prepayment agreement [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | 29,502 | $ 44,134 | |
Revolving Reserves-Based Lending Facility [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | 7,539 | $ 9.8 | |
2020 [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | 0 | ||
2020 [member] | Prepayment agreement [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | 0 | ||
2020 [member] | Revolving Reserves-Based Lending Facility [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | 0 | ||
2021 [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | 37,041 | ||
2021 [member] | Prepayment agreement [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | 29,502 | ||
2021 [member] | Revolving Reserves-Based Lending Facility [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Borrowings | $ 7,539 |
Long-term Debt - Prepayment Agr
Long-term Debt - Prepayment Agreement (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of detailed information about borrowings [line items] | ||
Deferred financing costs | $ (500) | |
Long-term debt | 37,041 | |
Prepayment agreement [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Deferred financing costs | (498) | $ (866) |
Long-term debt | 29,502 | 44,134 |
Gross carrying amount [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings | 37,500 | |
Gross carrying amount [member] | Prepayment agreement [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Borrowings | $ 30,000 | $ 45,000 |
Long-term Debt - Narrative (Det
Long-term Debt - Narrative (Details) | Feb. 10, 2017USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2019CAD ($) |
Disclosure of detailed information about borrowings [line items] | |||||
Maximum borrowing capacity | $ 56,700,000 | ||||
Long-term debt | 37,041,000 | ||||
Long-term debt amount drew | 500,000 | $ 600,000 | |||
Amortization of deferred financing costs | $ 368,000 | $ 360,000 | |||
ATB prime or CDOR [member] | Bottom of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, adjustment to interest rate basis | 1.25% | 1.25% | |||
ATB prime or CDOR [member] | Top of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, adjustment to interest rate basis | 3.25% | 3.25% | |||
Prepayment agreement [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Maturity period on borrowings | 4 years | ||||
Deferred financing costs | $ 1,500,000 | ||||
Borrowings covenant, maximum consolidated indebtedness | 4 | 4 | |||
Borrowings covenant, minimum current ratio | 1 | 1 | |||
Non-consolidated assets to indebtedness outstanding ratio | 0.04 | 0.01 | 0.04 | ||
Current ratio | 2.92 | 3.76 | 2.92 | ||
Borrowings covenant, minimum non-consolidated assets to indebtedness outstanding ratio | 2 | 2 | |||
consolidated indebtedness ratio | 11.50 | 8.03 | 11.50 | ||
Borrowings covenant, minimum cover ratio | 1.25 | 1.25 | 1.25 | ||
Cover ratio | 2.73 | 2.21 | 2.73 | ||
Long-term debt | $ 29,502,000 | $ 44,134,000 | |||
Repayments of non-current borrowings | $ 15,000,000 | ||||
Prepayment agreement [member] | LIBOR [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, adjustment to interest rate basis | 6.00% | 6.00% | |||
Revolving Reserves-Based Lending Facility [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Maximum borrowing capacity | $ 19,200,000 | $ 25,000,000 | |||
Long-term debt | 7,539,000 | $ 9,800,000 | |||
Repayments of non-current borrowings | $ 1,500,000 | $ 2,000,000 | |||
Period to repay the difference in new borrowing base and borrowings outstanding | 45 days | 45 days | |||
Period prior to maturity date to request extension of maturity date | 90 days | 90 days | |||
Maturity extension term | 364 days | 364 days | |||
Borrowings covenant, minimum working capital ratio | 1 | 1 | |||
Working capital ratio | 1.80 | 1.10 | 1.80 | ||
Borrowings covenant, maximum net debt to trailing cash flows ratio | 3 | 3 | |||
Net debt to trailing cash flows ratio | 0.76 | 1.26 | 0.76 | ||
Revolving Reserves-Based Lending Facility [Member] | Deferred Financing Costs [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Amortization of deferred financing costs | $ 100,000 | ||||
Long-term borrowings [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Face amount of debt | 75,000,000 | ||||
Long-term borrowings [member] | Prepayment agreement [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Face amount of debt | $ 75,000,000 |
Long-term Debt - Reserves-Based
Long-term Debt - Reserves-Based Lending Facility (Details) $ in Thousands, $ in Millions | Dec. 31, 2019USD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018USD ($) |
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | $ 37,041 | ||
Revolving Reserves-Based Lending Facility [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | 7,539 | $ 9.8 | |
Gross carrying amount [member] | Revolving Reserves-Based Lending Facility [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Long-term debt | $ 7,539 | $ 8,221 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) $ in Thousands | Jan. 08, 2015USD ($)km²Well | Dec. 31, 2019USD ($) |
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | $ 70,526 | |
Subsidiaries [Member] | NW Sitra [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Financial commitment amount | $ 10,000 | |
Number of wells in a work commitment made by entity | Well | 2 | |
Number area of 3-D seismic included in a work commitment made by entity | km² | 300 | |
Exploration period in a work commitment | 3 years 6 months | |
Extension to the initial exploration period | 6 months | |
Number of wells in a work commitment made by entity | Well | 1 | |
Exploration period in a work commitment | 4 years | |
Commitments made by entity lease period | 20 years | |
Commitment made by entity guarantee amount | $ 1,000 | |
Accounts payable and accrued liabilities [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | $ 32,156 | |
Long-term borrowings [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 37,539 | |
Other long-term liabilities [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 614 | |
Derivative commodity contracts [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 217 | |
Not later than one year [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 32,373 | |
Not later than one year [member] | Accounts payable and accrued liabilities [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 32,156 | |
Not later than one year [member] | Derivative commodity contracts [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 217 | |
1-3 years [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 38,153 | |
1-3 years [member] | Long-term borrowings [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | 37,539 | |
1-3 years [member] | Other long-term liabilities [member] | ||
Disclosure of Commitments and Contingencies [Line Items] | ||
Derivative And Non-Derivative Financial Liabilities, Undiscounted Cash Flows | $ 614 |
Commitments and Contingencies_3
Commitments and Contingencies (Parenthetical) (Details) $ in Millions | Dec. 31, 2019USD ($) |
Other Provisions Contingent Liabilities And Contingent Assets [Abstract] | |
Deferred financing costs | $ 0.5 |
Share Capital - Reconciliation
Share Capital - Reconciliation of Number of Shares Issued (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Shares | ||
Balance, beginning of year | 72,206 | 72,206 |
Stock options exercised | 337 | 0 |
Balance, end of year | 72,543 | 72,206 |
Amount | ||
Balance, beginning of year | $ 152,084 | $ 152,084 |
Stock options exercised | 547 | 0 |
Transfer from contributed surplus on exercise of options | 174 | 0 |
Balance, end of year | $ 152,805 | $ 152,084 |
Share-based Payments - Narrativ
Share-based Payments - Narrative (Details) - USD ($) shares in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Shares authorized as a percentage of common shares outstanding from time to time | 10.00% | |
Share-based compensation expense from equity-settled arrangements | $ 700,000 | $ 900,000 |
Employee stock purchases and exercises of stock options (values) | $ 500,000 | 0 |
Number of share options exercised in share-based payment arrangement | 0.3 | |
Stock options [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Vesting period | 3 years | |
Expiration period | 5 years | |
Restricted Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Vesting period | 3 years | |
Settled period from vesting dates | 30 days | |
Performance Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Settled period from vesting dates | 60 days | |
Performance Share Units [member] | Bottom of range [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Performance share units vested percentage | 0.00% | |
Performance Share Units [member] | Top of range [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Performance share units vested percentage | 200.00% | |
Deferred Share Units (DFU), Restricted Share Units and Performance Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Compensation expenses recorded in G&A | $ 1,600,000 | $ 2,700,000 |
Share-based Payments - Stock Op
Share-based Payments - Stock Options Outstanding and Exercisable (Details) shares in Thousands | 12 Months Ended | |
Dec. 31, 2019shares$ / shares | Dec. 31, 2018shares$ / shares | |
Share Based Payment Arrangements [Abstract] | ||
Options outstanding, beginning of year | shares | 4,876 | 4,959 |
Granted | shares | 976 | 1,071 |
Exercised | shares | (337) | |
Expired | shares | (1,034) | (1,154) |
Options outstanding, end of year | shares | 4,481 | 4,876 |
Options exercisable, end of year | shares | 2,585 | 2,766 |
Options outstanding, beginning of year | $ / shares | $ 3.60 | $ 5.10 |
Granted | $ / shares | 2.83 | 2.62 |
Exercised | $ / shares | 2.18 | |
Expired | $ / shares | 6.55 | 9.13 |
Options outstanding, end of year | $ / shares | 2.86 | 3.60 |
Options exercisable, end of year | $ / shares | $ 3.01 | $ 4.52 |
Share-based Payments - Range of
Share-based Payments - Range of Exercise Prices of Outstanding Shares (Details) shares in Thousands | 12 Months Ended | ||
Dec. 31, 2019shares$ / shares | Dec. 31, 2018shares$ / shares | Dec. 31, 2017shares$ / shares | |
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 4,481 | 4,876 | 4,959 |
Weighted-average remaining contractual life of options outstanding | 2 years 4 months 24 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 2.86 | $ 3.60 | $ 5.10 |
Number of share options exercisable | shares | 2,585 | 2,766 | |
Weighted-average remaining contractual life of exercisable options | 1 year 6 months | ||
Weighted-average exercise price of options exercisable | $ / shares | $ 3.01 | $ 4.52 | |
2.16 - 2.17 [member] | |||
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 826 | ||
Weighted-average remaining contractual life of options outstanding | 2 years 4 months 24 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 2.16 | ||
Number of share options exercisable | shares | 550 | ||
Weighted-average remaining contractual life of exercisable options | 2 years 4 months 24 days | ||
Weighted-average exercise price of options exercisable | $ / shares | $ 2.16 | ||
2.18 - 2.41 [member] | |||
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 1,002 | ||
Weighted-average remaining contractual life of options outstanding | 1 year 2 months 12 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 2.19 | ||
Number of share options exercisable | shares | 1,002 | ||
Weighted-average remaining contractual life of exercisable options | 1 year 2 months 12 days | ||
Weighted-average exercise price of options exercisable | $ / shares | $ 2.19 | ||
2.42 - 3.73 [member] | |||
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 966 | ||
Weighted-average remaining contractual life of options outstanding | 3 years 4 months 24 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 2.62 | ||
Number of share options exercisable | shares | 322 | ||
Weighted-average remaining contractual life of exercisable options | 3 years 4 months 24 days | ||
Weighted-average exercise price of options exercisable | $ / shares | $ 2.62 | ||
3.74 - 3.91 [member] | |||
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 976 | ||
Weighted-average remaining contractual life of options outstanding | 4 years 2 months 12 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 2.83 | ||
3.92 - 4.99 [member] | |||
Disclosure of range of exercise prices of outstanding share options [line items] | |||
Number of options outstanding | shares | 711 | ||
Weighted-average remaining contractual life of options outstanding | 4 months 24 days | ||
Weighted-average exercise price of options outstanding | $ / shares | $ 4.99 | ||
Number of share options exercisable | shares | 711 | ||
Weighted-average remaining contractual life of exercisable options | 4 months 24 days | ||
Weighted-average exercise price of options exercisable | $ / shares | $ 4.99 |
Share-based Payments - Measurem
Share-based Payments - Measurement of Fair Value of Share Options Granted (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Payment Arrangements [Abstract] | ||
Weighted average fair market value per option (C$) | $ 0.88 | $ 0.88 |
Risk free interest rate | 1.54% | 2.14% |
Expected volatility (based on actual historical volatility) | 54.74% | 49.45% |
Dividend rate | 3.30% | 0.00% |
Expected forfeiture rate (non-executive employees) | 0.00% | 0.00% |
Suboptimal exercise factor | 1.25 | 1.25 |
Share-based Payments - Number o
Share-based Payments - Number of RSUs, PSUs and DSUs Outstanding (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Restricted Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Units outstanding, beginning of year | 864 | 970 |
Granted | 400 | 410 |
Exercised | (381) | (361) |
Forfeited | (70) | (163) |
Expired | (15) | |
Reinvested | 41 | 8 |
Units outstanding, end of year | 839 | 864 |
Performance Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Units outstanding, beginning of year | 1,683 | 1,376 |
Granted | 529 | 678 |
Exercised | (636) | (316) |
Forfeited | (13) | (71) |
Reinvested | 77 | 16 |
Units outstanding, end of year | 1,640 | 1,683 |
Deferred Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Units outstanding, beginning of year | 828 | 595 |
Granted | 190 | 225 |
Exercised | (454) | |
Reinvested | 25 | 8 |
Units outstanding, end of year | 589 | 828 |
Per Share Amounts (Details)
Per Share Amounts (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Weighted-average number of shares outstanding (in shares) | 72,513,657 | 72,205,369 |
Diluted weighted-average number of shares outstanding (in shares) | 72,513,657 | 72,631,320 |
Antidilutive securities excluded from EPS calculation (in shares) | 4,480,935 | 1,640,000 |
Dividends (Details)
Dividends (Details) - $ / shares | Sep. 13, 2019 | Apr. 18, 2019 |
Interim Financial Reporting [Abstract] | ||
Dividends recognized as distributions to owners of parent | $ 0.035 | $ 0.035 |
Related Party Disclosures (Deta
Related Party Disclosures (Details) - Subsidiaries [member] | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
TG Energy UK Ltd [Member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TransGlobe Petroleum International Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG Holdings Yemen Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TransGlobe West Bakr Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TransGlobe West Gharib Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG Holdings Egypt Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG South Alamein Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG South Mariut Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG South Alamein II Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG Energy Marketing Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG NW Gharib Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG SW Gharib Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG SE Gharib Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TG S Ghazalat Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
TransGlobe Petroleum Egypt Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest | 100.00% | 100.00% |
Compensation of Key Managemen_3
Compensation of Key Management Personnel (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party [Abstract] | ||
Salaries, incentives and short-term benefits | $ 2,560 | $ 2,352 |
Share-based compensation | 2,736 | 2,210 |
Total | $ 5,296 | $ 4,562 |
Segmented Information - Narrati
Segmented Information - Narrative (Details) - Segment | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating Segments [Abstract] | ||
Number of reportable segment | 2 | 2 |
Segmented Information - Operati
Segmented Information - Operating Segments Earnings and Capital Expenditures (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue | ||
Oil sales | $ 271,352 | $ 288,777 |
Natural gas sales | 2,705 | 2,632 |
Natural gas liquids sales | 4,872 | 7,735 |
Less: royalties | (138,833) | (122,917) |
Petroleum and natural gas sales, net of royalties | 140,096 | 176,227 |
Finance revenue | 471 | 570 |
Revenue | 140,567 | 176,797 |
Segmented expenses | ||
Production and operating | 50,626 | 53,298 |
Selling costs | 1,287 | 2,103 |
General and administrative | 16,611 | 18,688 |
Foreign exchange gain | (147) | (289) |
Finance costs | 4,256 | 5,075 |
Depletion, depreciation and amortization | 34,948 | 34,291 |
Asset retirement obligation accretion | 215 | 270 |
Loss on financial instruments | 2,845 | 7,051 |
Impairment loss | 7,937 | 14,500 |
Gain on disposition of assets | (114) | (207) |
Income tax expense | 26,098 | 26,340 |
Net (loss) earnings | (3,995) | 15,677 |
Capital expenditures | 36,932 | 40,706 |
Exploration and development [member] | ||
Segmented expenses | ||
Capital expenditures | 36,764 | 40,638 |
Corporate expenditures [member] | ||
Segmented expenses | ||
Capital expenditures | 168 | 68 |
Operating segments [member] | Egypt [member] | ||
Revenue | ||
Oil sales | 256,193 | 278,111 |
Natural gas sales | 0 | 0 |
Natural gas liquids sales | 0 | 0 |
Less: royalties | (136,616) | (120,271) |
Petroleum and natural gas sales, net of royalties | 119,577 | 157,840 |
Finance revenue | 45 | 87 |
Revenue | 119,622 | 157,927 |
Segmented expenses | ||
Production and operating | 43,252 | 45,562 |
Selling costs | 1,287 | 2,103 |
General and administrative | 6,491 | 4,798 |
Foreign exchange gain | 0 | 0 |
Finance costs | 3,767 | 4,635 |
Depletion, depreciation and amortization | 26,345 | 26,271 |
Asset retirement obligation accretion | 0 | 0 |
Loss on financial instruments | 2,845 | 6,755 |
Impairment loss | 7,937 | 14,500 |
Gain on disposition of assets | 0 | 0 |
Income tax expense | 26,098 | 26,340 |
Net (loss) earnings | 1,600 | 26,963 |
Capital expenditures | 27,239 | 28,673 |
Operating segments [member] | Egypt [member] | Exploration and development [member] | ||
Segmented expenses | ||
Capital expenditures | 27,239 | 28,673 |
Operating segments [member] | Egypt [member] | Corporate expenditures [member] | ||
Segmented expenses | ||
Capital expenditures | 0 | 0 |
Operating segments [member] | Canada [member] | ||
Revenue | ||
Oil sales | 15,159 | 10,666 |
Natural gas sales | 2,705 | 2,632 |
Natural gas liquids sales | 4,872 | 7,735 |
Less: royalties | (2,217) | (2,646) |
Petroleum and natural gas sales, net of royalties | 20,519 | 18,387 |
Finance revenue | 0 | 0 |
Revenue | 20,519 | 18,387 |
Segmented expenses | ||
Production and operating | 7,374 | 7,736 |
Selling costs | 0 | 0 |
General and administrative | 901 | 1,134 |
Foreign exchange gain | 0 | 0 |
Finance costs | 456 | 440 |
Depletion, depreciation and amortization | 7,790 | 7,711 |
Asset retirement obligation accretion | 215 | 270 |
Loss on financial instruments | 0 | 296 |
Impairment loss | 0 | 0 |
Gain on disposition of assets | (114) | (207) |
Income tax expense | 0 | 0 |
Net (loss) earnings | 3,897 | 1,007 |
Capital expenditures | 9,525 | 11,965 |
Operating segments [member] | Canada [member] | Exploration and development [member] | ||
Segmented expenses | ||
Capital expenditures | 9,525 | 11,965 |
Operating segments [member] | Canada [member] | Corporate expenditures [member] | ||
Segmented expenses | ||
Capital expenditures | 0 | 0 |
Non-segment [member] | ||
Revenue | ||
Oil sales | 0 | 0 |
Natural gas sales | 0 | 0 |
Natural gas liquids sales | 0 | 0 |
Less: royalties | 0 | 0 |
Petroleum and natural gas sales, net of royalties | 0 | 0 |
Finance revenue | 426 | 483 |
Revenue | 426 | 483 |
Segmented expenses | ||
Production and operating | 0 | 0 |
Selling costs | 0 | 0 |
General and administrative | 9,219 | 12,756 |
Foreign exchange gain | (147) | (289) |
Finance costs | 33 | 0 |
Depletion, depreciation and amortization | 813 | 309 |
Asset retirement obligation accretion | 0 | 0 |
Loss on financial instruments | 0 | 0 |
Impairment loss | 0 | 0 |
Gain on disposition of assets | 0 | 0 |
Income tax expense | 0 | 0 |
Net (loss) earnings | (9,492) | (12,293) |
Capital expenditures | 168 | 68 |
Non-segment [member] | Exploration and development [member] | ||
Segmented expenses | ||
Capital expenditures | 0 | 0 |
Non-segment [member] | Corporate expenditures [member] | ||
Segmented expenses | ||
Capital expenditures | $ 168 | $ 68 |
Segmented Information - Segment
Segmented Information - Segment Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Accounts receivable | $ 10,681 | $ 12,014 |
Intangible exploration and evaluation assets | 33,706 | 36,266 |
Petroleum and natural gas assets | 196,150 | 195,263 |
Other assets | 4,296 | 3,079 |
Deferred taxes | 8,387 | 4,523 |
Assets | 308,325 | 318,296 |
Liabilities | ||
Accounts payable and accrued liabilities | 32,156 | 28,007 |
Derivative commodity contracts | 217 | 0 |
Long-term debt | 37,041 | 52,355 |
Asset retirement obligation | 13,612 | 12,113 |
Lease obligation | 1,808 | |
Deferred taxes | 8,387 | 4,523 |
Liabilities | 93,835 | 98,005 |
Operating segments [member] | ||
Assets | ||
Accounts receivable | 10,140 | 11,556 |
Derivative commodity contracts | 1,369 | |
Intangible exploration and evaluation assets | 33,706 | 36,266 |
Petroleum and natural gas assets | 196,150 | 195,263 |
Other assets | 2,862 | 2,244 |
Other | 50,921 | 59,814 |
Deferred taxes | 8,387 | 4,523 |
Assets | 302,166 | 311,035 |
Liabilities | ||
Accounts payable and accrued liabilities | 26,257 | 21,417 |
Derivative commodity contracts | 217 | |
Long-term debt | 37,041 | 52,355 |
Asset retirement obligation | 13,612 | 12,113 |
Lease obligation | 994 | |
Deferred taxes | 8,387 | 4,523 |
Liabilities | 86,508 | 90,408 |
Operating segments [member] | Egypt [member] | ||
Assets | ||
Accounts receivable | 6,266 | 9,031 |
Derivative commodity contracts | 1,369 | |
Intangible exploration and evaluation assets | 33,176 | 35,735 |
Petroleum and natural gas assets | 117,591 | 123,043 |
Other assets | 2,847 | 2,222 |
Other | 48,652 | 58,518 |
Deferred taxes | 8,387 | 4,523 |
Assets | 216,919 | 234,441 |
Liabilities | ||
Accounts payable and accrued liabilities | 19,459 | 13,407 |
Derivative commodity contracts | 217 | |
Long-term debt | 29,502 | 44,134 |
Lease obligation | 718 | |
Deferred taxes | 8,387 | 4,523 |
Liabilities | 58,283 | 62,064 |
Operating segments [member] | Canada [member] | ||
Assets | ||
Accounts receivable | 3,874 | 2,525 |
Intangible exploration and evaluation assets | 530 | 531 |
Petroleum and natural gas assets | 78,559 | 72,220 |
Other assets | 15 | 22 |
Other | 2,269 | 1,296 |
Assets | 85,247 | 76,594 |
Liabilities | ||
Accounts payable and accrued liabilities | 6,798 | 8,010 |
Long-term debt | 7,539 | 8,221 |
Asset retirement obligation | 13,612 | 12,113 |
Lease obligation | 276 | |
Liabilities | 28,225 | 28,344 |
Non-segment [member] | ||
Assets | ||
Assets | 6,159 | 7,261 |
Liabilities | ||
Liabilities | $ 7,327 | $ 7,597 |
Supplemental Cash flow Inform_3
Supplemental Cash flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
(Increase) decrease in current assets | ||
Accounts receivable | $ 1,333 | $ 6,076 |
Prepaids and other | 637 | 97 |
Product inventory | (6,698) | 905 |
(Decrease) increase in current liabilities | ||
Accounts payable and accrued liabilities | 2,886 | (1,975) |
Other long-term liabilities | (193) | 807 |
Total changes in non-cash working capital | (2,035) | 5,910 |
Investing activities | ||
Prepaids and other | 4 | (4) |
Accounts payable and accrued liabilities | (295) | 255 |
Total changes in non-cash working capital | (291) | 251 |
Financing activities | ||
Other liabilities | (200) | (3) |
Total changes in non-cash working capital | $ (200) | $ (3) |