Epl Oil & Gas 10-Q 13 Nov 15 2016 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information	3 Months Ended
	Sep. 30, 2015shares
Document And Entity Information [Abstract]
Entity Registrant Name	EPL OIL & GAS, INC.
Entity Central Index Key	750,199
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--06-30
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0
Trading Symbol	EPL

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Current assets:
Cash and cash equivalents		$ 217
Trade accounts receivable - net	$ 55,146	71,323
Derivative financial instruments	1,970	888
Restricted cash	6,025	6,024
Prepaid expenses	1,523	1,831
Total current assets	64,664	80,283
Property and equipment, net - full cost method of accounting, including $397.7 million and $435.4 million of unevaluated properties not being amortized at September 30, 2015 and June 30, 2015, respectively	1,053,954	1,415,025
Restricted cash	21,008
Other assets and debt issuance costs, net of accumulated amortization	947	1,039
Total assets	1,140,573	1,496,347
Current liabilities:
Accounts payable	42,797	24,548
Due to EGC	190,401	170,728
Accrued liabilities	71,550	95,981
Asset retirement obligations	15,839	38,056
Derivative financial instruments		1,057
Current maturities of long-term debt	1,684	3,364
Total current liabilities	322,271	333,734
Long-term debt, less current maturities	686,018	689,459
Promissory note payable to EGC	325,000	325,000
Asset retirement obligations	196,004	202,306
Total Liabilities	$ 1,529,293	$ 1,550,499
Commitments and contingencies (Note 10)
Stockholders' equity:
Preferred stock, par value $0.001 per share. Authorized 1,000,000 shares; no shares issued and outstanding at September 30, 2015 and June 30, 2015
Common stock, par value $0.001 per share. Authorized 75,000,000 shares; shares issued and outstanding: 1,000 at September 30, 2015 and June 30, 2015
Additional paid-in capital	$ 1,599,341	$ 1,599,341
Accumulated deficit	(1,988,061)	(1,653,493)
Total stockholder's deficit	(388,720)	(54,152)
Total liabilities and stockholder's deficit	$ 1,140,573	$ 1,496,347

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Consolidated Balance Sheets [Abstract]
Unevaluated properties	$ 397,680	$ 435,429
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	1,000	1,000
Common stock, shares outstanding	1,000	1,000

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Revenue:
Oil sales	$ 73,372	$ 158,316
Natural gas sales	12,618	13,954
Gain on derivative financial instruments	2,778	21,857
Total Revenues	88,768	194,127
Costs and expenses:
Lease operating	26,153	56,300
Transportation	723	625
Depreciation, depletion and amortization	57,660	73,745
Accretion of asset retirement obligations	6,741	6,181
Impairment of oil and natural gas properties	308,078
Goodwill impairment		329,293
General and administrative expense	7,944	8,042
Taxes, other than on earnings	(935)	2,528
Other		21
Total costs and expenses	406,364	476,735
Operating Loss	(317,596)	(282,608)
Other income (expense):
Interest income	12
Interest expense	(16,984)	(10,901)
Total other expense	(16,972)	(10,901)
Loss before income taxes	(334,568)	(293,509)
Income tax expense (benefit)		12,847
Net loss	$ (334,568)	$ (306,356)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net loss	$ (334,568)	$ (306,356)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation, depletion and amortization	57,660	73,745
Accretion of asset retirement obligations	6,741	6,181
Change in fair value of derivative financial instruments	(2,064)	(20,045)
Deferred income taxes		12,847
Impairment of oil and natural gas properties	308,078
Goodwill impairment		329,293
Amortization of premium and debt issuance costs	(3,352)	(2,534)
Changes in operating assets and liabilities:
Trade accounts receivable	17,176	6,410
Prepaid expenses and other assets	312	(5,699)
Accounts payable and accrued expenses	2,818	(23,804)
Asset retirement obligation settlements	(36,865)	(7,190)
Net cash provided by operating activities	15,936	62,848
Net cash used in investing activities
Property acquisitions		(260)
Capital expenditures	(13,120)	(111,136)
Other property and equipment additions		(40)
Net cash used in investing activities	(13,120)	(111,436)
Cash flows provided by (used in) financing activities:
Payments on long-term debt	(1,698)
Cash restricted under revolving credit facility related to property sold	(21,008)
Advances from EGC	19,673	43,010
Net cash provided by (used in) financing activities	(3,033)	43,010
Net decrease in cash and cash equivalents	(217)	(5,578)
Cash and cash equivalents at beginning of period	217	5,601
Cash and cash equivalents at end of period		23
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Changes in capital expenditures accrued in accounts payable	(10,058)	19,285
Changes in asset retirement obligations	1,605	564
Interest	$ 22,694	$ 23,922

Organization and Summary of Sig

Organization and Summary of Significant Accounting Policies	3 Months Ended
	Sep. 30, 2015
Organization and Summary of Significant Accounting Policies [Abstract]
Organization and Summary of Significant Accounting Policies	(1) Organization and Summary of Significant Accounting Policies Nature of Operations. EPL Oil & Gas, Inc. (referred to herein as “we,” “our,” “us,” “EPL” or “the Company”) was incorporated as a Delaware corporation on January 29, 1998 and is a wholly-owned subsidiary of Energy XXI Gulf Coast, Inc. (“EGC”), a Delaware corporation and an indirect wholly-owned subsidiary of Energy XXI Ltd, an exempted company under the laws of Bermuda and our ultimate parent company (“Energy XXI” or “parent”). We operate as an independent oil and natural gas exploration and production company with our current operations concentrated in the U.S. Gulf of Mexico shelf (the “GoM shelf”) focusing on state and federal waters offshore Louisiana, which we consider our core area. Principles of Consolidation and Reporting. The accompanying consolidated financial statements include the accounts of EPL and its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the U.S. (“U.S. GAAP”). All significant intercompany transactions are eliminated in consolidation. Our interest in oil and natural gas exploration and production ventures and partnerships are proportionately consolidated. Interim Financial Statements . The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments of a normal and recurring nature considered necessary for a fair presentation have been included in the accompanying consolidated financial statements. The results of operations for the interim period are not necessarily indicative of the results that will be realized for the entire fiscal year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2015 Annual Report. Use of Estimates . The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates of proved reserves are key components of our depletion rate for our proved oil and natural gas properties and the full cost ceiling test limitation. Other items subject to estimates and assumptions include fair value estimates used in accounting for acquisitions and dispositions; carrying amounts of property, plant and equipment; goodwill; asset retirement obligations; deferred income taxes; and valuation of derivative financial instruments, among others. Accordingly, our accounting estimates require exercise of judgment by management in preparing such estimates. While we believe that the estimates and assumptions used in preparation of our consolidated financial statements are appropriate, actual results could differ from those estimates, and any such differences may be material. Recent Accounting Pronouncements. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. ASU No. 2014-09 is effective for annual periods beginning after December 15, 2017, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). We are evaluating the impact of the pending adoption of ASU No. 2014-09 on our financial position and results of operations and have not yet determined the method that will be adopted. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to assess an entity’s ability to continue as a going concern and to provide related footnote disclosures in certain circumstances. The standard is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016, with early adoption permitted. We are currently evaluating the provisions of ASU 2014-15 and assessing the impact, if any, it may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Interest – Imputation of Interest (Subtopic 835-30) (“ASU 2015-03”). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. In June 2015, the FASB issued ASU 2015-15 as an amendment to this guidance to address the absence of authoritative guidance for debt issuance costs related to line-of-credit arrangements. The SEC staff stated that they would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The ASU is effective for public entities for annual periods beginning after December 15, 2015, and interim periods within those annual reporting periods. Early adoption is permitted for financial statements that have not been previously issued. The guidance will be applied on a retrospective basis. We are currently evaluating the provisions of ASU 2015-03 and assessing the impact it may have on our consolidated financial position, results of operations or cash flows. In September 2015, the FASB issued ASU No. 2015-16, Business Combinations (Topic 805) – Simplifying the Accounting for Measurement-Period Adjustments (“ASU 2015-16”). ASU 2015-16 requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. It also requires that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The ASU is effective for public entities for annual periods beginning after December 15, 2015, and interim periods within those annual reporting periods. Early adoption is permitted for financial statements that have not been previously issued. The guidance will be applied prospectively. We are currently evaluating the provisions of ASU 2015-16 and assessing the impact, if any, it may have on our consolidated financial statements.

Pushdown Accounting and Goodwil

Pushdown Accounting and Goodwill	3 Months Ended
	Sep. 30, 2015
Pushdown Accounting and Goodwill [Abstract]
Pushdown Accounting and Goodwill	(2 ) Pushdown Accounting and Goodwill On June 3, 2014, Energy XXI, EGC, Clyde Merger Sub, Inc., a wholly owned subsidiary of EGC (“Merger Sub”), and EPL, completed the transactions contemplated by the Agreement and Plan of Merger, dated as of March 12, 2014 (as amended, the “Merger Agreement”), by and among Energy XXI, EGC, Merger Sub, and EPL, pursuant to which Merger Sub was merged with and into EPL with EPL continuing as the surviving corporation (the “Merger”). Pursuant to the Merger Agreement, at the effective time of the Merger (the “Effective Time”), the issued and outstanding shares of EPL common stock, par value $0.001 per share (“EPL Common Stock”), were converted, in the aggregate, into the right to receive merger consideration (the “Merger Consideration”) consisting of approximately 65% in cash and 35% in shares of common stock of Energy XXI, par value $0.005 per share (“Energy XXI Common Stock”). The Merger resulted in EPL becoming an indirect, wholly owned subsidiary of Energy XXI. Therefore, in the preparation of our financial statements, we have applied “pushdown” accounting, based on guidance from the Securities and Exchange Commission (“SEC”). Pushdown accounting refers to the use of the acquiring entity’s basis of accounting in the preparation of the acquired entity’s financial statements. In accordance with the acquisition method of accounting, the purchase price established in the Merger was allocated to the assets acquired and liabilities assumed based on their estimated fair values on the acquisition date. The excess of the total consideration over the estimated fair value of the amounts initially assigned to the identifiable assets acquired and liabilities assumed was recorded as goodwill. Goodwill recorded in connection with the Merger is not deductible for income tax purposes. ASC 350, Intangibles—Goodwill and Other (ASC 350), requires that intangible assets with indefinite lives, including goodwill, be evaluated for impairment on an annual basis or more frequently if events occur or circumstances change that could potentially result in impairment. Our annual goodwill impairment test is performed during the third quarter each fiscal year. Impairment testing for goodwill is performed at the reporting unit level. We have only one reporting unit, which includes all of our oil and natural gas properties. Accordingly, all of our goodwill, as well as all of our other assets and liabilities, are included in our single reporting unit. At September 30, 2014, we conducted a qualitative goodwill impairment assessment by examining relevant events and circumstances that could have a negative impact on our goodwill, such as macroeconomic conditions, industry and market conditions, cost factors that have a negative effect on earnings and cash flows, overall financial performance, dispositions and acquisitions, and any other relevant events or circumstances. After assessing the relevant events and circumstances for the qualitative impairment assessment, we determined that performing a quantitative goodwill impairment test was necessary. In the first step of the goodwill impairment test, we determined that the fair value of our reporting unit was less than the carrying amount, including goodwill, primarily due to price deterioration in forward pricing curves for oil and natural gas and an increase in our weighted average cost of capital used to estimate fair value, both factors which adversely impacted the fair value of our estimated reserves. Therefore, we performed the second step of the goodwill impairment test, which led us to conclude that there was no remaining implied fair value attributable to goodwill. As a result, we recorded a goodwill impairment charge of $329.3 million to reduce the carrying value of goodwill to zero at September 30, 2014. In estimating the fair value of our reporting unit and our estimated reserves, we used an income approach which estimated fair value primarily based on the anticipated cash flows associated with our estimated reserves, discounted using a weighted average cost of capital rate based on market participant data. The estimation of the fair value of our reporting unit includes the use of significant inputs not observable in the market, such as estimates of reserves quantities, the weighted average cost of capital (discount rate), future pricing beyond a certain period and estimated future capital and operating costs. The use of these unobservable inputs results in the fair value estimate being classified as a Level 3 measurement. Although we believe the assumptions and estimates used in the fair value calculation of our reporting unit are reasonable and appropriate, different assumptions and estimates could materially impact the analysis and resulting conclusions.

Property and Equipment

Property and Equipment	3 Months Ended
	Sep. 30, 2015
Property and Equipment [Abstract]
Property and Equipment	(3) Property and Equipment The following table summarizes our property and equipment. September 30, 2015 June 30, 2015 (In thousands) Proved oil and natural gas properties $ $ Unevaluated oil and natural gas properties Other Less: accumulated depreciation, depletion, amortization and impairment Total property and equipment, net of accumulated depreciation, depletion, amortization and impairment $ $ At September 30, 2015 and June 30, 2015, our investment in unevaluated properties primarily relates to the fair value of unproved oil and natural gas properties determined during the Merger. Costs associated with unevaluated properties are transferred to evaluated properties upon the earlier of 1) a determination as to whether there are any proved reserves related to the properties, or 2) ratably over a period of time of not more than four years. Under the full cost method of accounting at the end of each financial reporting period, we compare the present value of estimated future net cash flows from proved reserves (computed using the unweighted arithmetic average of the first-day-of-the-month historical price, net of applicable differentials, for each month within the previous 12-month period discounted at 10%, plus the lower of cost or fair market value of unproved properties and excluding cash flows related to estimated abandonment costs associated with developed properties) to the net full cost pool of oil and natural gas properties, net of related deferred income taxes. We refer to this comparison as a “ceiling test.” If the net capitalized costs of these oil and natural gas properties exceed the estimated discounted future net cash flows, we are required to write-down the value of our oil and natural gas properties to the amount of the discounted cash flows. At September 30, 2015, our ceiling test computations resulted in impairment of our oil and natural gas properties of $308.1 million. If the current low commodity price environment or downward trend in oil prices continues, there is a reasonable likelihood that we could incur further impairment to our full cost pool in fiscal 2016 based on the average oil and natural gas price calculated as the unweighted arithmetic average of the first-day-of-the-month price for each month within the previous 12-month period under the SEC pricing methodology.

Asset Retirement Obligations

Asset Retirement Obligations	3 Months Ended
	Sep. 30, 2015
Asset Retirement Obligations [Abstract]
Asset Retirement Obligations	(4) Asset Retirement Obligations The following table reconciles the changes to our asset retirement obligations. Three Months Ended September 30, 2015 (in thousands) Beginning of period total $ Accretion expense Liabilities incurred Liabilities settled End of period total Less: End of period, current portion End of period, noncurrent portion $

Indebtedness

Indebtedness	3 Months Ended
	Sep. 30, 2015
Indebtedness [Abstract]
Indebtedness	(5) Indebtedness The following table sets forth our indebtedness. September 30, June 30, 2015 2015 (In thousands) 8.25% senior notes due 2018 $ $ Revolving credit sub-facility Derivative instruments premium financing Total debt Less current maturities Long term debt Promissory note payable to EGC Noncurrent portion of indebtedness $ $ Revolving Credit Sub-Facility On July 31, 2015, EGC and EPL entered into the Eleventh Amendment and Waiver (the “Eleventh Amendment”) to their second amended and restated first lien credit agreement (the “First Lien Credit Agreement” or “Revolving Credit Facility ”) . This facility, as amended, has a maximum facility amount and borrowing base of $ 500 million, of which such amount $150 million is the borrowing base for EPL under the sub-facility established for EPL under the First Lien Credit Agreement (“Revolving Credit Sub-Facility”). The scheduled date of maturity of the First Lien Credit Agreement is April 9, 2018 , provided however that the maturity date will accelerate to a date 210 days prior to the date of maturity of EGC’s outstanding 9.25% unsecured notes due December 2017 (the “9.25% Senior Notes”) if such notes are not prepaid, redeemed or refinanced prior to such prior date, or to a date 210 days prior to the date of maturity of our outstanding 8.25% senior notes due February 2018 (the “8.25% Senior Notes”) if such notes are not prepaid, redeemed or refinanced prior to such prior date, or otherwise to a date that is 180 days prior to the date of maturity of any other permitted second lien or permitted third lien indebtedness or certain permitted unsecured indebtedness or any refinancings of such indebtedness if such indebtedness would come due prior to April 9, 2018 . This facility, as amended, permitted EGC to make a loan to us in the amount of $325 million using proceeds from the incurrence of additional permitted second lien or third lien indebtedness of EGC and for us to secure such loan by providing liens on substantially all of our assets that are second in priority to the liens of the lenders under the First Lien Credit Agreement pursuant to the terms of an intercreditor agreement and restricting the transfer of EGC’s rights in respect of such loan or making any prepayment or otherwise making modifications of the terms of such arrangements. Borrowings are limited to a borrowing base based on oil and natural gas reserve values which are re-determined on a periodic basis. We and our lenders are currently in the process of our fall borrowing base redetermination, which we expect to conclude during December 2015. The Revolving Credit Facility is secured by mortgages on at least 90% of the value of EGC and its subsidiaries’ (other than EPL and its subsidiaries until they become guarantors of the EGC indebtedness under the First Lien Credit Agreement) proved reserves and proved developed producing reserves, but with the threshold for such properties of EPL and its subsidiaries (until they become guarantors of the EGC indebtedness under the First Lien Credit Agreement) at 85% . Currently, the facility bears interest based on the borrowing base usage, at either the applicable London Interbank Offered Rate (“LIBOR”), plus applicable margins ranging from 2.75% to 3.75% or an alternate base rate based on the federal funds effective rate plus applicable margins ranging from 1.75% to 2.75% . The applicable commitment fee under the facility is 0.50% . The First Lien Credit Agreement contains certain restrictions on the prepayment and repayment of outstanding note indebtedness of EGC and its subsidiaries, including the prohibition on using proceeds from credit extensions under the First Lien Credit Agreement for any such prepayment or repayment and the requirement that EGC have net liquidity at the time thereof of at least $250 million. In addition, EGC is required to have pro forma net liquidity of $250 million at the time of any refinancing of outstanding indebtedness. Lender consent is required for any asset disposition that would have the effect of reducing the borrowing base by more than $5 million in the aggregate. The Eleventh Amendment waived certain provisions of the First Lien Credit Agreement to permit EGC to acquire the remaining equity interests of M21K, LLC as well as an additional minor acquisition and disposition. The First Lien Credit Agreement, as amended, requires that EPL and EGC maintain certain financial covenants separately for so long as the 8.25% Senior Notes remain outstanding. We are currently subject to the following financial covenants: ( a) a consolidated maximum first lien leverage ratio of 1.25 to 1.0 and (b) a consolidated maximum secured leverage ratio of no more than 3.75 to 1.0. If the 8.25% Senior Note are no longer outstanding and certain other conditions are met, EGC will be subject to the following financial covenants on a consolidated basis: (a) a consolidated maximum net first lien leverage ratio of 1.25 to 1.0, (b) a consolidated maximum net secured leverage ratio of no more than 3.75 to 1.0 , provided that if the 8.25% Senior Notes are refinanced with new secured debt, the liens of which are junior in priority to the Revolving Credit Facility indebtedness, then the maximum ratio permitted would be 4.25 to 1.0, and (c) a minimum current ratio of no less than 1.0 to 1.0 . Since required lender consent to the specific terms of the transaction with respect to the sale of the East Bay field had not been obtained, EGC and EPL were in technical default under the First Lien Credit Agreement at June 30, 2015. On July 14, 2015, we obtained a waiver to this event of default, which waiver required us to deposit $21 million into an account subject to a control agreement in favor of the administrative agent under the First Lien Credit Agreement. Such amount will remain on deposit until the next redetermination of the borrowing base, unless used to repay a borrowing base deficiency. Upon the next redetermination, any amounts remaining in the account will be used to make an immediate payment toward any borrowing base deficiency at the time of such redetermination, and so long as no event of default shall have occurred, any amount remaining after payment in full of any borrowing base deficiency shall be released and paid to EGC. As of September 30, 2015, we had $150 million in borrowings outstanding under the First Lien Credit Agreement, as amended, to which we are party with EGC, and we were in compliance with all covenants thereunder. As part of our quarterly compliance certificates required under our revolving credit agreement and also as a condition to borrow funds or issue letters of credit under our revolving credit agreement, we must make certain representations, including representations about our solvency, and we must remain in compliance with the financial ratios in our revolving credit facility, as amended to date. Generally, the solvency representation requires, among other things, for us to determine at the time we desire to make a future borrowing, or issue or extend letters of credit, that the fair market value of our assets exceeds the face amount of our liabilities. The current commodity environment creates substantial uncertainty in determining fair market value of oil and natural gas assets which accordingly may impact our ability to continue to give the required representation. In addition, b ased on projected market conditions and commodity prices, we currently expect that we will not be in compliance with certain covenants under the First Lien C redit A greement in certain future periods, including periods prior to June 30, 2016. We continue to focus on reducing our leverage and are working with our bank group on certain amendments to the First Lien Credit Agreement to address these concerns. There can be no assurance any of these discussions or transactions will prove successful. Absent success in these pursuits, a resultant breach under the Revolving Credit Facility would cause a default under such facility, potentially resulting in acceleration of all amounts outstanding under the Revolving Credit Facility . If the lenders under the Revolving C redit F acility were to accelerate the indebtedness under the Revolving Credit Facility as a result of such defaults, such acceleration could cause a cross-default or cross-acceleration of all of our other outstanding indebtedness. Such a cross-default or cross-acceleration could have a wider impact on our liquidity than might otherwise arise from a default or acceleration of a single debt instrument. If an event of default occurs, or if other debt agreements cross-default, and the lenders under the affected debt agreements accelerate the maturity of any loans or other debt outstanding, we may not have sufficient liquidity to repay all of our outstanding indebtedness. Promissory Note On March 12, 2015, in connection with EGC’s issuance of its 11.0% senior secured second lien notes due 2020 (the “11.0% Notes”) , we entered into a $325.0 million secured second lien promissory note between us, as the maker, and EGC, as the payee (the “Promissory Note”). Proceeds from the Promissory Note were used to repay a like amount of the outstanding borrowings under the Revolving Credit Sub-Facility. The Promissory Note bears interest at an annual rate of 10% , has a maturity date of October 9, 2018 , and is secured by a second priority lien on certain of our assets that secure the obligations under the First Lien Credit Agreement. EGC may release the collateral securing the Promissory Note at any time. The note has not been, and will not be, registered under the Securities Act of 1933, as amended or the securities laws of any other jurisdiction. We have an option to prepay this note in whole or in part at any time, without penalty or premium. The note bears interest from the date of issuance with interest due quarterly, in arrears, on January 5 th , April 5 th , July 5 th , and October 5 th , beginning September 5, 2015. 8.25% Senior Notes The 8.25% senior notes consist of $510.0 million in aggregate principal amount ($ 536.0 million carrying value at September 30, 2015) of our 8.25% senior notes due 2018 (the “8.25% Senior Notes”) issued under an Indenture dated February 14, 2011 (the “2011 Indenture”). The 8.25% Senior Notes bear interest from the date of their issuance at an annual rate of 8.25% with interest due semi-annually, in arrears, on February 15 th and August 15 th of each year. The 8.25% Senior Notes are fully and unconditionally guaranteed, jointly and severally, on an unsecured senior basis initially by each of our existing direct and indirect domestic subsidiaries (other than immaterial subsidiaries). The 8.25% Senior Notes will mature on February 15, 2018 . As a result of pushdown accounting, the effective interest rate on the 8.25% Senior Notes is approximately 5.8% . During October 2015, we repurchased $29.8 million in aggregate principal amount of the 8.25% Notes due 2018 in open market transactions at a total price of approximately $10.0 million, and we will record a gain on this repurchase of approximately $19.8 million, plus the amount of associated unamortized premium, during the three months ended December 31, 2015. Derivative Instruments Premium Financing We finance premiums on derivative instruments that we purchase with our hedge counterparties. Substantially all of our hedge transactions are with lenders under the Revolving Credit Sub-Facility. Derivative instruments premium financing is accounted for as debt and this indebtedness is pari passu with borrowings under the Revolving Credit Sub-Facility. The derivative instruments premium financing is structured to mature when the derivative instrument settles so that we realize the value, net of derivative instrument premium financing. As of September 30, 2015, our outstanding derivative instruments premium financing discounted at our approximate borrowing cost of 2.5% per annum totaled $1.7 million. Interest Expense For the three months ended September 30, 2015 and 2014, interest expense consisted of the following: Three Months Ended September 30, 2015 2014 (In thousands) 8.25% senior notes due 2018 $ $ Amortization of fair value premium - 8.25% senior notes Revolving credit sub-facility Promissory note payable to EGC - Derivative instruments premium financing and other $ $

Derivative Financial Instrument

Derivative Financial Instruments	3 Months Ended
	Sep. 30, 2015
Derivative Financial Instruments [Abstract]
Derivative Financial Instruments	( 6 ) Derivative Financial Instruments We utilize derivative instruments in the form of natural gas and crude oil put, swap and collar arrangements and combinations of these instruments in order to manage the price risk associated with future crude oil and natural gas production. Derivative financial instruments are recorded at fair value and included as either assets or liabilities in the consolidated balance sheets. We net derivative assets and liabilities for counterparties where we have a legal right of offset. Any premiums paid or financed on derivative financial instruments are capitalized as part of the derivative assets or derivative liabilities, as appropriate, at the time the premiums are paid or financed. Changes in fair value of these outstanding derivative financial instruments are recognized in earnings and included in gain (loss) on derivative financial instruments as a component of revenues in the accompanying consolidated statements of operations. The following table sets forth our derivative instrument s outstanding as of September 30, 2015. Oil Contracts Weighted Average Contract Price Volume Sub Remaining Contract Term Type of Contract Index (MBbls) Floor Floor Ceiling October 2015 - December 2015 Three-Way Collars ARGUS-LLS 1,012 $ 32.73 $ 45.00 $ 75.45 Gas Contracts Swap Fixed Volume Price Remaining Contract Term Type of Contract Index (MMBtu) (4/Mmbtu) October 2015 - December 2015 Fixed Price Swaps NYMEX-HH 369 $ 4.31 The effect of derivative financial instruments on our consolidated statements of operations was as follows: Three Months Ended September 30, Gain (loss) on derivative financial instruments 2015 2014 Cash settlements, net of purchased put premium amortization $ $ Change in fair value Total gain on derivative financial instruments $ $ We monitor the creditworthiness of our counterparties. However, we are not able to predict sudden changes in counterparties’ creditworthiness. In addition, even if such changes are not sudden, we may be limited in our ability to mitigate an increase in counterparty credit risk. Possible actions would be to transfer our position to another counterparty or request a voluntary termination of the derivative contracts resulting in a cash settlement. Should one of these financial counterparties not perform, we may not realize the benefit of some of our derivative instruments under lower commodity prices and could incur a loss. At September 30, 2015, we had no deposits for collateral with our counterparties.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Sep. 30, 2015
Fair Value Measurements [Abstract]
Fair Value Measurements	(7) Fair Value Measurements Certain assets and liabilities are measured at fair value on a recurring basis in our consolidated balance sheets. Valuation techniques are generally classified into three categories: the market approach; the income approach; and the cost approach. The selection and application of one or more of these techniques requires significant judgment and is primarily dependent upon the characteristics of the asset or liability, the principal (or most advantageous) market in which participants would transact for the asset or liability and the quality and availability of inputs. Inputs to valuation techniques are classified as either observable or unobservable within the following hierarchy: · Level 1 – quoted prices in active markets for identical assets or liabilities. · Level 2 – inputs other than quoted prices that are observable for an asset or liability. These include: quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs). · Level 3 – unobservable inputs that reflect our own expectations about the assumptions that market participants would use in measuring the fair value of an asset or liability. For cash and cash equivalents, restricted cash, accounts receivable, prepaid expenses, accounts payable, and accrued liabilities, the carrying amounts approximate fair value due to the short-term nature or maturity of the instruments. For the 8.25% Senior Notes, the fair value is estimated based on quoted prices in a market that is not an active market, which are Level 2 inputs within the fair value hierarchy. The carrying value of the revolving credit facility approximates its fair value because the interest rate is variable and reflective of market rates, which are Level 2 inputs within the fair value hierarchy. Our commodity derivative instruments consist of financially settled crude oil and natural gas swaps and three way collars. We estimate the fair values of these instruments based on published forward commodity price curves, market volatility and contract terms as of the date of the estimate. The discount rate used in the discounted cash flow projections is based on published LIBOR rates. The fair values of commodity derivative instruments in an asset position include a measure of counterparty nonperformance risk, and the fair values of commodity derivative instruments in a liability position include a measure of our own nonperformance risk, each based on the current published issuer-weighted corporate default rates. See Note 6 – Derivative Financial Instruments. During the three months ended September 30, 2015, we did not have any transfers from or to Level 3. The following table sets forth our financial assets and liabilities that are accounted for at fair value on a recurring basis. September 30, June 30, 2015 2015 (in thousands) Assets Derivative financial instruments Current $ $ Total derivative financial instruments subject to enforceable netting agreement Gross amounts offset in consolidated balance sheets - Net amounts presented in consolidated balance sheets $ $ Liabilities Derivative financial instruments Current $ $ Total derivative financial instruments subject to enforceable netting agreement Gross amounts offset in consolidated balance sheets - Net amounts presented in consolidated balance sheets $ - $ The following table sets forth the carrying values and estimated fair values of our long-term debt instruments which are classified as Level 2 financial instruments. September 30, 2015 June 30, 2015 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 8.25% senior notes $ $ $ $ Revolving credit sub-facility Promissory note payable to EGC Total $ $ $ $ The 8.25% Senior Notes contain an option to redeem up to 35% of the aggregate principal amount of the notes outstanding with the net cash proceeds of certain equity offerings. This option is considered an embedded derivative and is classified as a Level 3 financial instrument for which the estimated fair value at September 30, 2015 is not material.

Income Taxes

Income Taxes	3 Months Ended
	Sep. 30, 2015
Income Taxes [Abstract]
Income Taxes	(8 ) Income Taxes We are a (U.S.) Delaware company and, as a result of the Merger, a direct subsidiary of EGC. We are a member of a consolidated group of corporations for U.S. federal income tax purposes where Energy XXI, Inc., (the “U.S. Parent”) is the parent entity. Energy XXI indirectly owns 100% of U.S. Parent, but is not a member of the U.S. consolidated group. We operate through our various subsidiaries in the United States as they apply to our current ownership structure. ASC Topic 740 , Income Taxes , provides that the income tax amounts presented in the separate financial statements of a subsidiary entity that is a member of a consolidated group should be based upon a reasonable allocation of the income tax amounts of that group. We allocate income tax expense/benefit and deferred tax items between affiliates as if each affiliate prepared a separate U.S. income tax return for the reporting period. We have recorded no income tax-related intercompany balances with affiliates. W e esti m ate the annual effe c ti v e tax rate f o r t h e c u rre n t fiscal year a n d a pp ly it to i n ter i m p erio d s. Currently, our estimated annual effective tax/(benefit) rate is zero . Our actual effective tax/(benefit) rate for the three months ended September 30, 2015 was also zero . The variance from the U.S. statutory rate of 35% is primarily due to continued recorded and forecast losses that, based on present circumstances, will not result in us recording a current income tax benefit. Rather, all increases in net deferred tax assets (primarily related to net operating loss (“NOL”) carryovers net of deferred tax liability from oil and natural gas properties’ net book carrying values exceeding their corresponding tax bases) will be completely offset by increases in valuation allowances. As required by ASC Topic 740-270, Income Taxes: Interim Reporting , we forecast our tax position for the year, and may not record an additional tax benefit in an interim period unless we believe that we would be allowed to record a net deferred tax asset at the end of the year. At this time, we do not have such a belief (due to a preponderance of negative evidence as to future realizability) and accordingly reflect a current deferred tax benefit of zero. We continue to evaluate the need for the valuation allowance based on current and expected earnings and other factors, and adjust it accordingly.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Sep. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions	( 9 ) Related Party Transactions On June 3, 2014, we entered an intercompany services and cost allocation agreement with Energy XXI Services, LLC (“Energy Services”), an affiliate of the Company. Services provided by Energy Services include management, legal, accounting, tax, corporate secretarial, human resources, employee benefit administration, office space and other furniture and equipment management, and other support services. Cost of these services for the three months ended September 30, 2015 was approximately $ 9.3 million, of which approximately $7.5 million is included in general and administrative expense. Cost of these services for the three months ended September 30, 2014 was approximately $ 4.0 million, of which approximately $3.7 million is included in general and administrative expense. On March 12, 2015 , in connection with EGC’s issuance of the 11.0% Notes, we entered into the Promissory Note with a face value of $325 million. The Promissory Note bears interest at an annual rate of 10% , ha s a maturity date of October 9, 2018 , and is secured by a second priority lien on certain of our assets that secure the obligations under the First Lien Credit Agreement. Interest expense on the Promissory Note amounted to approximately $8.3 million for the three months ended September 30, 2015. See Note 5 - Indebtedness for more information regarding the Promissory Note.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Sep. 30, 2015
Commitments and Contingencies [Abstract]
Commitments and Contingencies	(1 0 ) Commitments and Contingencies Litigation. We are involved in various legal proceedings and claims, which arise in the ordinary course of our business. We do not believe the ultimate resolution of any such actions will have a material effect on our consolidated financial position, results of operations or cash flows. Performance Bonds. As of September 30, 2015, we had $180.8 million of performance bonds outstanding relating to assets in the Gulf of Mexico . As a lessee and operator of oil and natural gas leases on the federal Outer Continental Shelf (OCS), approximately $58.3 million of our performance bonds are lease and/or area bonds issued to the Bureau of Ocean Energy Management (“ BOEM ”) that assure our commitment to comply with the terms and conditions of those leases. We also maintain approximately $122.5 million in performance bonds issued to predecessor third party assignors including certain state regulatory bodies of certain of the wells and facilities on these leases pursuant to a contractual commitment made by us to those third parties at the time of assignment with respect to the eventual decommissioning of those wells and facilities. In April 2015, we received letters from the BOEM stating that certain of our subsidiaries no longer qualify for waiver of certain supplemental bonding requirements for potential offshore decommissioning, plugging and abandonment liabilities. The letters notified us that certain of our subsidiaries must provide approximately $ 566.5 million in supplemental financial assurance and/or bonding for their offshore oil and gas leases, rights-of-way, and rights-of-use and easements. In June 2015, we reached agreements with the BOEM pursuant to which we provided $ 54.7 million of supplemental bonds issued to the BOEM (which is reflected in the $58.3 million in lease and/or area bonds discussed above) , and the BOEM agreed to withdraw its orders with regard to supplemental bonding and postpone until November 15, 2015 the issuance of further requirements of us related to these supplemental financial assurance and/or bonding obligations. On June 30, 2015, we sold the East Bay field , and as a result, the $566.5 million of requested supplemental financial assurance and/or bonding required by the BOEM in April 2015 was reduced by approximately $178 million. Since our June 2015 agreements with the BOEM, we have worked towards preparing a long-term financial assurance plan that we could submit to the BOEM for approval. We have held meetings with the BOEM in furtherance of the plan’s development and, while a version of the long-term financial assurance plan could be submitted by November 15, 2015, we are currently seeking a 30-day extension to the November 15, 2015 date in order to augment the final plan in light of new information received. In October 2015, we received information from the BOEM indicating that, following November 15, 2015, we may receive additional demands of supplemental financial assurance for amounts in addition to the $ 566.5 m illion initially sought by the BOEM in April 2015, primarily relating to certain properties that are no longer exempt from supplemental bonding as a result of co-owners losing their exemptions. We believe that a substantial portion of the additional supplemental financial assurance and/or bonding that may be sought by the BOEM may relate to circumstances that could eventually be removed from our responsibility (in terms of providing added assurance or bonding), including, for example, lease interests of co-lessees, leases that have since been divested by us, and leases where we are not the permitted operator and no drilling of wells has occurred. Our request for a 30-day extension from the November 15, 2015 date for submittal of the long-term financial assurance plan is in part to give us time to evaluate and address these potential additional liabilities. We would expect that most, if not all, of our co-lessees with the remaining working interest in such lease interests will provide their share of the bonding. Consequently, we expect that the BOEM will assess additional supplemental financial assurance and/or bonding requirements on us in such other letters that may be issued after November 15, 2015 if these items are not otherwise addressed in our long-term financial assurance plan. If we are successful in obtaining the 30-day extension, we intend for our long-term financial assurance plan to address these additional financial assurance requirements for which we received information in October 2015. Please note if our co-lessees and us are unable to agree on allocation of supplemental financial assurance and/or bonding amounts for such specified leases and present such agreed upon allocations to the BOEM for approval, the BOEM may direct supplemental financial assurance and/or bonding amounts for 100% of the lease interests to us, which would substantially increase the supplemental financial assurance and/or bonding requirements. Unrelated to the BOEM’s April 2015 directive, o n September 22, 2015, the BOEM issued Draft Guidance relating to supplemental bonding procedures that will, among other things, eliminate the “waiver” exemption currently allowed by the BOEM with respect to supplemental bonding and, instead, broaden the self-insurance approach that would allow more operators on the OCS to seek self-insurance for a portion of their supplemental bond obligations, but only for an amount that is no more than 10% of such operators’ tangible net worth. In addition, the Draft Guidance would implement a phased-in period for establishing compliance with supplemental bonding obligations, whereby operators may seek payment of estimated costs of decommissioning obligations owed under a “tailored plan” that is approved by the BOEM and would require payment of the supplemental bonding amount in three approximately equal installment s of one-third each, by no later than 120, 240 and 360 calendar days, respectively, from the date of BOEM approval of the tailored plan. Furthermore, with issuance of an Advanced Notice of Proposed Rulemaking in August 2014, the BOEM is actively seeking to bolster its financial assurance requirements mandated by rule for all companies operating in federal waters. While the Draft Guidance, once implemented by the BOEM, would allow an increased number of operators (relative to those operators under the existing Notice to Lessees (“NTL”) regarding supplemental financial assurance and bonding) to self-insure for their decommissioning liabilities that is no more than 10% of their tangible net worth, there is no assurance that the BOEM will allow us to utilize self-insurance programs and we currently do not plan for self-insurance under the long-term financial assurance plan that we plan to submit to the BOEM. In addition to the Draft Guidance describing revised supplemental bonding procedures that may be used by the bureau, the BOEM is actively seeking to bolster its financial assurance requirements mandated by rule for all companies operating in federal waters. The cost of compliance with our existing supplemental bonding requirements, including the directives issued by the BOEM in April 2015 and June 2015, any other future directives, or any other changes to the BOEM’s current NTL supplemental bonding requirements or supplemental bonding regulations applicable to us or our subsidiaries’ properties could materially and adversely affect our financial condition, cash flows, and results of operations. In addition, we may be required to provide cash collateral or letters of credit to support the issuance of such bonds or other surety. Such letters of credit would likely be issued under our credit facility and would reduce the amount of borrowings available under such facility in the amount of any such letter of credit obligations. We can provide no assurance that we can continue to obtain bonds or other surety in all cases or that we will have sufficient availability under our credit facility to support such supplemental bonding requirements. If we are unable to obtain the additional required bonds or assurances as requested, the BOEM may require any of our operations on federal leases to be suspended or terminated, and such action could have a material effect on our business, prospects, results of operations, financial condition, and liquidity. Other. We maintain restricted escrow funds as required by certain contractual arrangements. At September 30, 2015, our restricted cash included $21 million related to the East Bay sale which will remain restricted until our next borrowing base redetermination and approximately $ 6.0 million in a trust for future plugging, abandonment and other decommissioning costs related to the East Bay field, which will be transferred to the buyer of our interests in that field. We and our oil and gas joint interest owners are subject to periodic audits of the joint interest accounts for leases in which we participate and/or operate. As a result of these joint interest audits, amounts payable or receivable by us for costs incurred or revenue distributed by the operator or by us on a lease may be adjusted, resulting in adjustments to our net costs or revenues and the related cash flows. When they occur, these adjustments are recorded in the current period, which generally is one or more years after the related cost or revenue was incurred or recognized by the joint account. We do not believe any such adjustments will be material.

Supplemental Condensed Consolid

Supplemental Condensed Consolidating Financial Information	3 Months Ended
	Sep. 30, 2015
Supplemental Condensed Consolidating Financial Information [Abstract]
Supplemental Condensed Consolidating Financial Information	( 11 ) Supplemental Condensed Consolidating Financial Information In connection with issuing the 8.25% Senior Notes described in Note 5 - Indebtedness, all of our existing direct and indirect domestic subsidiaries (other than immaterial subsidiaries) eac h of which is 100% owned by EPL (the “Guarantor Subsidiaries”) , jointly and severally guaranteed the payment obligations under our 8.25% Senior Notes. The guarantees are full and unconditional, as those terms are used in Rule 3-10 of Regulation S-X, except that a Guarantor Subsidiary can be automatically released and relieved of its obligations under certain customary circumstances contained in the 2011 Indenture. So long as other applicable provisions of the indenture are adhered to, these customary circumstances include: when a Guarantor Subsidiary is declared “unrestricted” for covenant purposes, when the requirements for legal defeasance or covenant defeasance or to discharge the indenture have been satisfied, or when the Guarantor Subsidiary is sold or sells all of its assets. The following supplemental financial information sets forth, on a consolidating basis, the balance sheets, statements of operations and cash flow information for EPL (Parent Company Only) and for the Guarantor Subsidiaries. We have not presented separate financial statements and other disclosures concerning the Guarantor Subsidiaries, or for any individual Guarantor Subsidiary, because management has determined that such information is not material to investors. The supplemental condensed consolidating financial information has been prepared pursuant to the rules and regulations for condensed financial information and does not include all disclosures included in annual financial statements. The principal eliminating entries eliminate investments in subsidiaries and intercompany balances . EPL OIL & GAS, INC. Supplemental Condensed Consolidating Balance Sheet As of September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ - $ - $ - $ - Trade accounts receivable - net - - Intercompany receivables - - Fair value of commodity derivative instruments - - Restricted cash - - Prepaid expenses - - Total current assets Net property and equipment - Restricted cash - - Investment in affiliates - - Other assets - - Total assets $ $ $ $ LIABILITIES AND STOCKHOLDER'S DEFICIT Current liabilities: Accounts payable $ $ - $ - $ Due to EGC - - Intercompany payables - - Accrued liabilities - - Asset retirement obligations - - Current maturities of long-term debt - - Total current liabilities - Long-term debt - - Promissory note payable to EGC - - Asset retirement obligations - - Total liabilities - Stockholder's equity (deficit): Preferred stock - - - - Common stock - - - - Additional paid-in capital Retained earnings (accumulated deficit) Total stockholder's equity (deficit) Total liabilities and stockholder's equity (deficit) $ $ $ $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Balance Sheet As of June 30, 201 5 (AUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ $ - $ - $ Trade accounts receivable - net - Intercompany receivables - - Derivative financial instruments - - Restricted cash - - Prepaid expenses - - Total current assets Net property and equipment - Investment in affiliates - - Other assets - - Total assets $ $ $ $ LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ $ $ $ Due to EGC - - Intercompany payables - - Accrued liabilities - - Asset retirement obligations - - Derivative financial instruments - - Current maturities of long-term debt - - Total current liabilities Long-term debt - - Intercompany promissory note - - Asset retirement obligations - - Total liabilities Stockholder's equity (deficit): Preferred stock - - - - Common stock - - - - Additional paid-in capital Retained earnings (accumulated deficit) Total stockholder's equity (deficit) Total liabilities and stockholder's equity (deficit) $ $ $ $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Operations Three Months Ended September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Revenues Oil sales $ $ - $ - $ Natural gas sales - - Gain on derivative instruments - - Total revenues - - Costs and expenses Lease operating - - Transportation - - Depreciation, depletion and amortization - - Accretion of asset retirement obligations - - Impairment of oil and natural gas properties - - General and administrative - - Taxes, other than on earnings - - Total costs and expenses - - Income (loss) from operations - - Other income (expense): Interest income - - Interest expense - - Income from equity investments - - - - Total other expense, net - - Income (loss) before income taxes - - Income tax expense - - - - Net income (loss) $ $ - $ - $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Operations Three Months Ended September 30 , 201 4 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Revenues Oil sales $ $ $ - $ Natural gas sales Gain on derivative instruments - - Total revenues - Costs and expenses Lease operating - Transportation - Depreciation, depletion and amortization - Accretion of asset retirement obligations - Goodwill impairment - - General and administrative - - Taxes, other than on earnings - Other - - Total costs and expenses - Income (loss) from operations - Other income (expense): Interest expense - - Income from equity investments - - Total other expense, net - Income (loss) before income taxes Income tax expense - Net income (loss) $ $ $ $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Cash Flows Three Months Ended September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Net cash provided by operating activities $ $ - $ - $ Cash flows used in investing activities: Capital expenditures - - Net cash used in investing activities - - Cash flows provided by (used in) financing activities: Payments on long-term debt - - Cash restricted under revolving credit facility related to property sold - - Advances from EGC - - Net cash used in financing activities - - Net decrease in cash and cash equivalents - - Cash and cash equivalents at beginning of period - - Cash and cash equivalents at end of period $ - $ - $ - $ - EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Cash Flows Three Months Ended September 30 , 201 4 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Net cash provided by operating activities $ $ $ - $ Cash flows used in investing activities: Property acquisitions - - Capital expenditures - Other property and equipment additions - - Net cash used in investing activities - Cash flows provided by financing activities: Advances from EGC - - Net cash provided by financing activities - - Net decrease in cash and cash equivalents - - Cash and cash equivalents at beginning of period - - Cash and cash equivalents at end of period $ $ - $ - $

Organization and Summary of S17

Organization and Summary of Significant Accounting Policies (Policy)	3 Months Ended
	Sep. 30, 2015
Organization and Summary of Significant Accounting Policies [Abstract]
Nature of Operations	Nature of Operations. EPL Oil & Gas, Inc. (referred to herein as “we,” “our,” “us,” “EPL” or “the Company”) was incorporated as a Delaware corporation on January 29, 1998 and is a wholly-owned subsidiary of Energy XXI Gulf Coast, Inc. (“EGC”), a Delaware corporation and an indirect wholly-owned subsidiary of Energy XXI Ltd, an exempted company under the laws of Bermuda and our ultimate parent company (“Energy XXI” or “parent”). We operate as an independent oil and natural gas exploration and production company with our current operations concentrated in the U.S. Gulf of Mexico shelf (the “GoM shelf”) focusing on state and federal waters offshore Louisiana, which we consider our core area.
Principles of Consolidation and Reporting	Principles of Consolidation and Reporting. The accompanying consolidated financial statements include the accounts of EPL and its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the U.S. (“U.S. GAAP”). All significant intercompany transactions are eliminated in consolidation. Our interest in oil and natural gas exploration and production ventures and partnerships are proportionately consolidated.
Interim Financial Statements	Interim Financial Statements . The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments of a normal and recurring nature considered necessary for a fair presentation have been included in the accompanying consolidated financial statements. The results of operations for the interim period are not necessarily indicative of the results that will be realized for the entire fiscal year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2015 Annual Report.
Use of Estimates	Use of Estimates . The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates of proved reserves are key components of our depletion rate for our proved oil and natural gas properties and the full cost ceiling test limitation. Other items subject to estimates and assumptions include fair value estimates used in accounting for acquisitions and dispositions; carrying amounts of property, plant and equipment; goodwill; asset retirement obligations; deferred income taxes; and valuation of derivative financial instruments, among others. Accordingly, our accounting estimates require exercise of judgment by management in preparing such estimates. While we believe that the estimates and assumptions used in preparation of our consolidated financial statements are appropriate, actual results could differ from those estimates, and any such differences may be material.
Recent Accounting Pronouncements	Recent Accounting Pronouncements. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. ASU No. 2014-09 is effective for annual periods beginning after December 15, 2017, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). We are evaluating the impact of the pending adoption of ASU No. 2014-09 on our financial position and results of operations and have not yet determined the method that will be adopted. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to assess an entity’s ability to continue as a going concern and to provide related footnote disclosures in certain circumstances. The standard is effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016, with early adoption permitted. We are currently evaluating the provisions of ASU 2014-15 and assessing the impact, if any, it may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Interest – Imputation of Interest (Subtopic 835-30) (“ASU 2015-03”). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. In June 2015, the FASB issued ASU 2015-15 as an amendment to this guidance to address the absence of authoritative guidance for debt issuance costs related to line-of-credit arrangements. The SEC staff stated that they would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The ASU is effective for public entities for annual periods beginning after December 15, 2015, and interim periods within those annual reporting periods. Early adoption is permitted for financial statements that have not been previously issued. The guidance will be applied on a retrospective basis. We are currently evaluating the provisions of ASU 2015-03 and assessing the impact it may have on our consolidated financial position, results of operations or cash flows. In September 2015, the FASB issued ASU No. 2015-16, Business Combinations (Topic 805) – Simplifying the Accounting for Measurement-Period Adjustments (“ASU 2015-16”). ASU 2015-16 requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. It also requires that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The ASU is effective for public entities for annual periods beginning after December 15, 2015, and interim periods within those annual reporting periods. Early adoption is permitted for financial statements that have not been previously issued. The guidance will be applied prospectively. We are currently evaluating the provisions of ASU 2015-16 and assessing the impact, if any, it may have on our consolidated financial statements.

Property and Equipment (Tables)

Property and Equipment (Tables)	3 Months Ended
	Sep. 30, 2015
Property and Equipment [Abstract]
Property and Equipment	The following table summarizes our property and equipment. September 30, 2015 June 30, 2015 (In thousands) Proved oil and natural gas properties $ $ Unevaluated oil and natural gas properties Other Less: accumulated depreciation, depletion, amortization and impairment Total property and equipment, net of accumulated depreciation, depletion, amortization and impairment $ $

Asset Retirement Obligations (T

Asset Retirement Obligations (Tables)	3 Months Ended
	Sep. 30, 2015
Asset Retirement Obligations [Abstract]
Schedule of Changes in Asset Retirement Obligations	The following table reconciles the changes to our asset retirement obligations. Three Months Ended September 30, 2015 (in thousands) Beginning of period total $ Accretion expense Liabilities incurred Liabilities settled End of period total Less: End of period, current portion End of period, noncurrent portion $

Indebtedness (Tables)

Indebtedness (Tables)	3 Months Ended
	Sep. 30, 2015
Indebtedness [Abstract]
Schedule of Indebtedness	The following table sets forth our indebtedness. September 30, June 30, 2015 2015 (In thousands) 8.25% senior notes due 2018 $ $ Revolving credit sub-facility Derivative instruments premium financing Total debt Less current maturities Long term debt Promissory note payable to EGC Noncurrent portion of indebtedness $ $
Interest Expense	For the three months ended September 30, 2015 and 2014, interest expense consisted of the following: Three Months Ended September 30, 2015 2014 (In thousands) 8.25% senior notes due 2018 $ $ Amortization of fair value premium - 8.25% senior notes Revolving credit sub-facility Promissory note payable to EGC - Derivative instruments premium financing and other $ $

Derivative Financial Instrume21

Derivative Financial Instruments (Tables)	3 Months Ended
	Sep. 30, 2015
Derivative Financial Instruments [Abstract]
Schedule of Derivative Instruments Outstanding	The following table sets forth our derivative instrument s outstanding as of September 30, 2015. Oil Contracts Weighted Average Contract Price Volume Sub Remaining Contract Term Type of Contract Index (MBbls) Floor Floor Ceiling October 2015 - December 2015 Three-Way Collars ARGUS-LLS 1,012 $ 32.73 $ 45.00 $ 75.45 Gas Contracts Swap Fixed Volume Price Remaining Contract Term Type of Contract Index (MMBtu) (4/Mmbtu) October 2015 - December 2015 Fixed Price Swaps NYMEX-HH 369 $ 4.31
Components of Gain (Loss) on Derivative Instruments	The effect of derivative financial instruments on our consolidated statements of operations was as follows: Three Months Ended September 30, Gain (loss) on derivative financial instruments 2015 2014 Cash settlements, net of purchased put premium amortization $ $ Change in fair value Total gain on derivative financial instruments $ $

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Sep. 30, 2015
Fair Value Measurements [Abstract]
Schedule of Fair Value Measurements of Assets and Liabilities	During the three months ended September 30, 2015, we did not have any transfers from or to Level 3. The following table sets forth our financial assets and liabilities that are accounted for at fair value on a recurring basis. September 30, June 30, 2015 2015 (in thousands) Assets Derivative financial instruments Current $ $ Total derivative financial instruments subject to enforceable netting agreement Gross amounts offset in consolidated balance sheets - Net amounts presented in consolidated balance sheets $ $ Liabilities Derivative financial instruments Current $ $ Total derivative financial instruments subject to enforceable netting agreement Gross amounts offset in consolidated balance sheets - Net amounts presented in consolidated balance sheets $ - $
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments	September 30, 2015 June 30, 2015 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 8.25% senior notes $ $ $ $ Revolving credit sub-facility Promissory note payable to EGC Total $ $ $ $

Supplemental Condensed Consol23

Supplemental Condensed Consolidating Financial Information (Tables)	3 Months Ended
	Sep. 30, 2015
Supplemental Condensed Consolidating Financial Information [Abstract]
Supplemental Condensed Consolidating Balance Sheet	EPL OIL & GAS, INC. Supplemental Condensed Consolidating Balance Sheet As of September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ - $ - $ - $ - Trade accounts receivable - net - - Intercompany receivables - - Fair value of commodity derivative instruments - - Restricted cash - - Prepaid expenses - - Total current assets Net property and equipment - Restricted cash - - Investment in affiliates - - Other assets - - Total assets $ $ $ $ LIABILITIES AND STOCKHOLDER'S DEFICIT Current liabilities: Accounts payable $ $ - $ - $ Due to EGC - - Intercompany payables - - Accrued liabilities - - Asset retirement obligations - - Current maturities of long-term debt - - Total current liabilities - Long-term debt - - Promissory note payable to EGC - - Asset retirement obligations - - Total liabilities - Stockholder's equity (deficit): Preferred stock - - - - Common stock - - - - Additional paid-in capital Retained earnings (accumulated deficit) Total stockholder's equity (deficit) Total liabilities and stockholder's equity (deficit) $ $ $ $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Balance Sheet As of June 30, 201 5 (AUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ $ - $ - $ Trade accounts receivable - net - Intercompany receivables - - Derivative financial instruments - - Restricted cash - - Prepaid expenses - - Total current assets Net property and equipment - Investment in affiliates - - Other assets - - Total assets $ $ $ $ LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ $ $ $ Due to EGC - - Intercompany payables - - Accrued liabilities - - Asset retirement obligations - - Derivative financial instruments - - Current maturities of long-term debt - - Total current liabilities Long-term debt - - Intercompany promissory note - - Asset retirement obligations - - Total liabilities Stockholder's equity (deficit): Preferred stock - - - - Common stock - - - - Additional paid-in capital Retained earnings (accumulated deficit) Total stockholder's equity (deficit) Total liabilities and stockholder's equity (deficit) $ $ $ $
Supplemental Condensed Consolidating Statement of Operations	EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Operations Three Months Ended September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Revenues Oil sales $ $ - $ - $ Natural gas sales - - Gain on derivative instruments - - Total revenues - - Costs and expenses Lease operating - - Transportation - - Depreciation, depletion and amortization - - Accretion of asset retirement obligations - - Impairment of oil and natural gas properties - - General and administrative - - Taxes, other than on earnings - - Total costs and expenses - - Income (loss) from operations - - Other income (expense): Interest income - - Interest expense - - Income from equity investments - - - - Total other expense, net - - Income (loss) before income taxes - - Income tax expense - - - - Net income (loss) $ $ - $ - $ EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Operations Three Months Ended September 30 , 201 4 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Revenues Oil sales $ $ $ - $ Natural gas sales Gain on derivative instruments - - Total revenues - Costs and expenses Lease operating - Transportation - Depreciation, depletion and amortization - Accretion of asset retirement obligations - Goodwill impairment - - General and administrative - - Taxes, other than on earnings - Other - - Total costs and expenses - Income (loss) from operations - Other income (expense): Interest expense - - Income from equity investments - - Total other expense, net - Income (loss) before income taxes Income tax expense - Net income (loss) $ $ $ $
Supplemental Condensed Consolidating Statement of Cash Flows	EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Cash Flows Three Months Ended September 30 , 201 5 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Net cash provided by operating activities $ $ - $ - $ Cash flows used in investing activities: Capital expenditures - - Net cash used in investing activities - - Cash flows provided by (used in) financing activities: Payments on long-term debt - - Cash restricted under revolving credit facility related to property sold - - Advances from EGC - - Net cash used in financing activities - - Net decrease in cash and cash equivalents - - Cash and cash equivalents at beginning of period - - Cash and cash equivalents at end of period $ - $ - $ - $ - EPL OIL & GAS, INC. Supplemental Condensed Consolidating Statement of Cash Flows Three Months Ended September 30 , 201 4 (UNAUDITED) Parent Company Guarantor Only Subsidiaries Eliminations Consolidated (In thousands) Net cash provided by operating activities $ $ $ - $ Cash flows used in investing activities: Property acquisitions - - Capital expenditures - Other property and equipment additions - - Net cash used in investing activities - Cash flows provided by financing activities: Advances from EGC - - Net cash provided by financing activities - - Net decrease in cash and cash equivalents - - Cash and cash equivalents at beginning of period - - Cash and cash equivalents at end of period $ $ - $ - $

Pushdown Accounting and Goodw24

Pushdown Accounting and Goodwill (Narrative) (Details) $ / shares in Units, $ in Thousands	Jun. 03, 2014$ / shares	Sep. 30, 2015segment$ / shares	Sep. 30, 2014USD ($)	Jun. 30, 2015$ / shares
Common stock, par value		$ 0.001		$ 0.001
Number of reporting units | segment		1
Goodwill impairment | $			$ 329,293
Goodwill | $			0
Parent Company [Member]
Common stock, par value	$ 0.005
Goodwill impairment | $			$ 329,293
EPL Oil & Gas Inc [Member]
Common stock, par value	$ 0.001
Aggregate consideration paid in acquirer stock	35.00%
Aggregate consideration paid in cash	65.00%

Property and Equipment (Narrati

Property and Equipment (Narrative) (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2015USD ($)
Impairment of oil and natural gas properties	$ 308,078
Parent Company [Member]
Impairment of oil and natural gas properties	$ 308,078

Property and Equipment (Schedul

Property and Equipment (Schedule of Property and Equipment) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Property and Equipment [Abstract]
Proved oil and natural gas properties	$ 3,035,428	$ 2,993,012
Unevaluated oil and natural gas properties	397,680	435,429
Other	3,116	3,116
Less: accumulated depreciation, depletion and amortization	(2,382,270)	(2,016,532)
Net property and equipment	$ 1,053,954	$ 1,415,025

Asset Retirement Obligations (S

Asset Retirement Obligations (Schedule of Changes in Asset Retirement Obligations) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2015
Asset Retirement Obligations [Abstract]
Beginning of period total	$ 240,362
Accretion expense	6,741	$ 6,181
Liabilities incurred	1,605
Liabilities settled	(36,865)
End of period total	211,843
Less: Current portion	(15,839)		$ (38,056)
End of period, noncurrent portion	$ 196,004		$ 202,306

Indebtedness (Narrative) (Detai

Indebtedness (Narrative) (Details)	Jul. 31, 2015USD ($)	Jul. 14, 2015USD ($)	Mar. 12, 2015USD ($)	Jun. 03, 2014USD ($)	Oct. 31, 2015USD ($)	Sep. 30, 2015USD ($)	Jun. 30, 2015USD ($)
Debt Instrument [Line Items]
Carrying value of debt						$ 686,018,000	$ 689,459,000
Derivative instrument premium financing outstanding						$ 1,700,000
Derivative discount rate						2.50%
Total debt outstanding						$ 687,702,000	692,823,000
Revolving Credit Sub-Facility [Member]
Debt Instrument [Line Items]
Debt maturity date	Apr. 9, 2018
Total debt outstanding						150,000,000	150,000,000
Required deposit amount as a result of default		$ 21,000,000
Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member]
Debt Instrument [Line Items]
Debt instrument, change in maturity date	210 days
Applicable commitment fee, percentage	0.50%
Percentage of secured mortgage	85.00%
Threshold requirement for oil and gas properties required to be secured by mortgages	90.00%
Minimum required liquidity	$ 250,000,000
Reduction in borrowing base due to amendment	(5,000,000)
Current borrowing base	500,000,000
Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member] | EPL Oil & Gas Inc [Member]
Debt Instrument [Line Items]
Current borrowing base	$ 150,000,000
Minimum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member]
Debt Instrument [Line Items]
Current ratio	1
Minimum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member] | Market Rate Applies [Member]
Debt Instrument [Line Items]
Applicable margin above LIBOR or the base rate	2.75%
Maximum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member]
Debt Instrument [Line Items]
Secured debt leverage ratio	4.25
Maximum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member] | Market Rate Applies [Member]
Debt Instrument [Line Items]
Applicable margin above LIBOR or the base rate	3.75%
Maximum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member] | Notes Remain Outstanding [Member]
Debt Instrument [Line Items]
Total leverage ratio	1.25
Secured debt leverage ratio	3.75
Maximum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member] | Notes No Longer Outstanding [Member]
Debt Instrument [Line Items]
Total leverage ratio	1.25
Secured debt leverage ratio	3.75
8.25% Notes Due 2018 [Member]
Debt Instrument [Line Items]
Senior notes, face amount				$ 510,000,000
Senior notes, stated percentage				8.25%
Debt issuance date				Feb. 14, 2011
Debt maturity date				Feb. 15, 2018
Effective interest rate				5.80%
Total debt outstanding						$ 536,018,000	$ 539,459,000
8.25% Notes Due 2018 [Member] | Subsequent Event [Member]
Debt Instrument [Line Items]
Debt instrument, repurchased face amount					$ 29,800,000
Proceeds from (repayments of) notes payable					10,000,000
Gain (loss) on repurchase of debt instrument					$ 19,800,000
11.0% Notes Due 2020 [Member]
Debt Instrument [Line Items]
Senior notes, stated percentage			11.00%
Debt maturity date			Mar. 15, 2020
10% Promissory Note Due 2018 [Member]
Debt Instrument [Line Items]
Senior notes, face amount			$ 325,000,000
Senior notes, stated percentage			10.00%
Debt issuance date			Mar. 12, 2015
Debt maturity date			Oct. 9, 2018
Federal Funds Rate [Member] | Minimum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member]
Debt Instrument [Line Items]
Applicable margin above LIBOR or the base rate	1.75%
Federal Funds Rate [Member] | Maximum [Member] | Revolving Credit Sub-Facility [Member] | Eleventh Amendment as of July 31, 2015 [Member]
Debt Instrument [Line Items]
Applicable margin above LIBOR or the base rate	2.75%

Indebtedness (Schedule of Indeb

Indebtedness (Schedule of Indebtedness) (Details) - USD ($) $ in Thousands	Jul. 31, 2015	Jun. 03, 2014	Sep. 30, 2015	Jun. 30, 2015
Total indebtedness			$ 687,702	$ 692,823
Less: current maturities			(1,684)	(3,364)
Long-term debt, less current maturities			686,018	689,459
Promissory note payable to EGC			325,000	325,000
Noncurrent portion of indebtedness including promissory note			1,011,018	1,014,459
8.25% Notes Due 2018 [Member]
Total indebtedness			536,018	539,459
Noncurrent portion of indebtedness including promissory note			536,018	539,459
Senior notes, stated percentage		8.25%
Debt maturity date		Feb. 15, 2018
Derivative Instruments Premium Financing [Member]
Total indebtedness			1,684	3,364
Revolving Credit Sub-Facility [Member]
Total indebtedness			150,000	150,000
Noncurrent portion of indebtedness including promissory note			$ 150,000	$ 150,000
Debt maturity date	Apr. 9, 2018

Indebtedness (Interest Expense)

Indebtedness (Interest Expense) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Debt Instrument [Line Items]
Interest expense	$ 16,984	$ 10,901
Parent Company [Member]
Debt Instrument [Line Items]
Interest expense	16,984	10,901
Revolving Credit Sub-Facility [Member]
Debt Instrument [Line Items]
Interest expense	1,490	2,961
8.25% Notes Due 2018 [Member]
Debt Instrument [Line Items]
Interest expense	10,519	10,519
Derivative Instruments Premium Financing [Member]
Debt Instrument [Line Items]
Interest expense	110	(45)
10% Promissory Note Due 2018 [Member]
Debt Instrument [Line Items]
Interest expense	8,306
Premium Amortization [Member] | 8.25% Notes Due 2018 [Member]
Debt Instrument [Line Items]
Interest expense	$ (3,441)	$ (2,534)

Derivative Financial Instrume31

Derivative Financial Instruments (Narrative) (Details) $ in Thousands	Sep. 30, 2015USD ($)
Derivative Financial Instruments [Abstract]
Deposits for collateral with counterparties	$ 0

Derivative Financial Instrume32

Derivative Financial Instruments (Schedule of Derivative Instruments Outstanding) (Details) - October 2015 to December 2015 [Member]	Sep. 30, 2015MMBTU$ / MMBTU$ / bblMMBbls
NYMEX-HH [Member] | Gas Contract [Member] | Fixed Price Swaps [Member]
Derivative [Line Items]
Volume, Gas Contracts | MMBTU	369
Average Swap Price | $ / MMBTU	4.31
Argus LLS [Member] | Oil Contract [Member] | Three-Way Collars [Member]
Derivative [Line Items]
Volume, Oil Contracts | MMBbls	1,012
Sub Floor	32.73
Floor	45
Ceiling	75.45

Derivative Financial Instrume33

Derivative Financial Instruments (Components of Gain (Loss) on Derivative Instruments) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Derivative Instruments, Gain (Loss) [Line Items]
Cash settlements, net of purchased put premium	$ 714	$ 1,812
Change in fair value	2,064	20,045
Realized mark to market loss	2,778	21,857
Gas Contract [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Change in fair value	$ 2,064	$ 20,045

Fair Value Measurements (Schedu

Fair Value Measurements (Schedule of Fair Value Measurements of Assets and Liabilities) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015
Assets:
Derivative financial instruments, Current	$ 2,461	$ 888
Total derivative financial instruments subject to enforceable netting agreement	2,461	888
Gross amounts offset in balance sheet	(491)
Net amounts present in the balance sheet	1,970	888
Liabilities:
Derivative financial instruments, Current	491	1,057
Total derivative financial instruments subject to enforceable netting agreement	491	1,057
Gross amounts offset in balance sheet	$ (491)
Net amounts presented in consolidated balance sheets		$ 1,057

Fair Value Measurements (Sche35

Fair Value Measurements (Schedule of Carrying Values and Estimated Fair Values of Debt Instruments) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015	Jun. 03, 2014
Debt Instrument [Line Items]
Carrying Value	$ 1,011,018	$ 1,014,459
Estimated Fair Value	613,955	781,000
8.25% Notes Due 2018 [Member]
Debt Instrument [Line Items]
Senior notes, stated percentage			8.25%
Carrying Value	$ 536,018	539,459
Maximum debt redemption rate	35.00%
Estimated Fair Value	$ 138,955	306,000
Revolving Credit Sub-Facility [Member]
Debt Instrument [Line Items]
Carrying Value	150,000	150,000
Estimated Fair Value	150,000	150,000
Revolving Credit Sub-Facility [Member] | Intercompany Promissory Note [Member]
Debt Instrument [Line Items]
Carrying Value	325,000	325,000
Estimated Fair Value	$ 325,000	$ 325,000

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Details)	3 Months Ended
	Sep. 30, 2015
Income Taxes [Abstract]
Percentage of Energy XXI's ownership interest	100.00%
Estimated annual effective tax expense/(benefit) rate	0.00%
Actual effective tax expense/(benefit) rate	0.00%
Statutory federal income tax rate	35.00%

Related Party Transactions (Nar

Related Party Transactions (Narrative) (Details) - USD ($)	Mar. 12, 2015	Sep. 30, 2015	Sep. 30, 2014
Related Party Transaction [Line Items]
Related party cost included in general and administrative expenses		$ 7,944,000	$ 8,042,000
Interest expense		16,984,000	10,901,000
Energy XXI LTD [Member]
Related Party Transaction [Line Items]
Related party costs		9,300,000	4,000,000
Related party cost included in general and administrative expenses		7,500,000	$ 3,700,000
11.0% Notes Due 2020 [Member]
Related Party Transaction [Line Items]
Senior notes, stated percentage	11.00%
Debt maturity date	Mar. 15, 2020
10% Promissory Note Due 2018 [Member]
Related Party Transaction [Line Items]
Debt issuance date	Mar. 12, 2015
Senior notes, stated percentage	10.00%
Senior notes, face amount	$ 325,000,000
Debt maturity date	Oct. 9, 2018
Interest expense		$ 8,306,000

Commitments and Contingencies (

Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Thousands	Nov. 15, 2015	Jun. 30, 2015	Apr. 30, 2015	Sep. 30, 2015
Loss Contingencies [Line Items]
Performance bonds				$ 180,800
Supplemental bonding required by Bureau of Ocean Energy Management.			$ (178,000)	$ 566,500
Bureau of Ocean Management, Supplemental bonding payment, terms				whereby operators may seek payment of estimated costs of decommissioning obligations owed under a "tailored plan" that is approved by the BOEM and would require payment of the supplemental bonding amount in three approximately equal installments of one-third each, by no later than 120, 240 and 360 calendar days, respectively, from the date of BOEM approval of the tailored plan.
Supplemental bonds provided to BOEM		$ 54,700
Restricted escrow funds' trust				$ 6,000
Restricted cash				21,008
Predecessor Third Party Assignors Including Certain State Regulatory Bodies [Member]
Loss Contingencies [Line Items]
Performance bonds				122,500
Scenario, Forecast [Member]
Loss Contingencies [Line Items]
Percentage of lease interest directed for bonding requirement	100.00%
East Bay Sale [Member]
Loss Contingencies [Line Items]
Escrow deposit				6,000
Restricted cash				21,000
Lease Bonds [Member]
Loss Contingencies [Line Items]
Performance bonds				58,300
Parent Company [Member]
Loss Contingencies [Line Items]
Restricted cash				$ 21,008

Supplemental Condensed Consol39

Supplemental Condensed Consolidating Financial Information (Narrative) (Details)	3 Months Ended
	Sep. 30, 2015	Jun. 03, 2014
Percentage of ownership interest	100.00%
8.25% Notes Due 2018 [Member]
Senior notes, stated percentage		8.25%

Supplemental Condensed Consol40

Supplemental Condensed Consolidating Financial Information (Supplemental Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jun. 30, 2015	Sep. 30, 2014	Jun. 30, 2014
Cash and cash equivalents		$ 217	$ 23	$ 5,601
Trade accounts receivable - net	$ 55,146	71,323
Derivative financial instruments	1,970	888
Restricted cash	6,025	6,024
Prepaid expenses	1,523	1,831
Total current assets	64,664	80,283
Net property and equipment	1,053,954	1,415,025
Goodwill			0
Restricted cash	21,008
Other assets	947	1,039
Total assets	1,140,573	1,496,347
Accounts payable	42,797	24,548
Accrued expenses	71,550	95,981
Asset retirement obligations	15,839	38,056
Derivative financial instruments		1,057
Due to EGC	190,401	170,728
Current maturities of long-term debt	1,684	3,364
Total current liabilities	322,271	333,734
Long-term debt, less current maturities	686,018	689,459
Promissory note payable to EGC	325,000	325,000
Asset retirement obligations	196,004	202,306
Total Liabilities	$ 1,529,293	$ 1,550,499
Preferred stock
Common stock
Additional paid-in capital	$ 1,599,341	$ 1,599,341
Accumulated deficit	(1,988,061)	(1,653,493)
Total stockholders' equity	(388,720)	(54,152)
Total liabilities and stockholder's deficit	1,140,573	1,496,347
Parent Company [Member]
Cash and cash equivalents		217	$ 23	$ 5,601
Trade accounts receivable - net	55,146	71,406
Derivative financial instruments	1,970	888
Restricted cash	6,025	6,024
Prepaid expenses	1,523	1,831
Total current assets	64,664	80,366
Net property and equipment	1,051,005	1,412,076
Investment in affiliates	130,705	130,705
Restricted cash	21,008
Other assets	947	1,039
Total assets	1,268,329	1,624,186
Accounts payable	42,797	24,217
Intercompany payables	127,756	128,170
Accrued expenses	71,550	95,981
Asset retirement obligations	15,839	38,056
Derivative financial instruments		1,057
Due to EGC	190,401	170,728
Current maturities of long-term debt	1,684	3,364
Total current liabilities	450,027	461,573
Long-term debt, less current maturities	686,018	689,459
Promissory note payable to EGC	325,000	325,000
Asset retirement obligations	196,004	202,306
Total Liabilities	$ 1,657,049	$ 1,678,338
Preferred stock
Common stock
Additional paid-in capital	$ 1,599,341	$ 1,599,341
Accumulated deficit	(1,988,061)	(1,653,493)
Total stockholders' equity	(388,720)	(54,152)
Total liabilities and stockholder's deficit	1,268,329	1,624,186
Guarantor Subsidiaries [Member]
Intercompany receivables	127,756	128,170
Total current assets	127,756	128,170
Net property and equipment	2,949	2,949
Total assets	$ 130,705	131,119
Accounts payable		414
Total current liabilities		414
Total Liabilities		$ 414
Preferred stock
Common stock
Additional paid-in capital	$ 85,479	$ 85,479
Accumulated deficit	45,226	45,226
Total stockholders' equity	130,705	130,705
Total liabilities and stockholder's deficit	130,705	131,119
Consolidation, Eliminations [Member]
Trade accounts receivable - net		(83)
Intercompany receivables	(127,756)	(128,170)
Total current assets	(127,756)	(128,253)
Investment in affiliates	(130,705)	(130,705)
Total assets	(258,461)	(258,958)
Accounts payable		(83)
Intercompany payables	(127,756)	(128,170)
Total current liabilities	(127,756)	(128,253)
Total Liabilities	$ (127,756)	$ (128,253)
Preferred stock
Common stock
Additional paid-in capital	$ (85,479)	$ (85,479)
Accumulated deficit	(45,226)	(45,226)
Total stockholders' equity	(130,705)	(130,705)
Total liabilities and stockholder's deficit	$ (258,461)	$ (258,958)

Supplemental Condensed Consol41

Supplemental Condensed Consolidating Financial Information (Supplemental Condensed Consolidating Statement of Operations) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Oil sales	$ 73,372	$ 158,316
Natural gas sales	12,618	13,954
Gain on derivative financial instruments	2,778	21,857
Total Revenues	88,768	194,127
Lease operating	26,153	56,300
Transportation	723	625
Impairment of oil and natural gas properties	308,078
Goodwill impairment		329,293
Depreciation, depletion and amortization	57,660	73,745
Accretion of asset retirement obligations	6,741	6,181
Related party cost included in general and administrative expenses	7,944	8,042
Taxes, other than on earnings	(935)	2,528
Other		21
Total costs and expenses	406,364	476,735
Income from operations	(317,596)	(282,608)
Interest income	12
Interest expense	(16,984)	(10,901)
Total other expense	(16,972)	(10,901)
Loss before income taxes	(334,568)	(293,509)
Income tax expense (benefit)		12,847
Net loss	(334,568)	(306,356)
Parent Company [Member]
Oil sales	73,372	140,715
Natural gas sales	12,618	13,857
Gain on derivative financial instruments	2,778	21,857
Total Revenues	88,768	176,429
Lease operating	26,153	52,574
Transportation	723	624
Impairment of oil and natural gas properties	308,078
Goodwill impairment		329,293
Depreciation, depletion and amortization	57,660	68,005
Accretion of asset retirement obligations	6,741	5,343
Related party cost included in general and administrative expenses	7,944	8,042
Taxes, other than on earnings	(935)	105
Other		21
Total costs and expenses	406,364	464,007
Income from operations	(317,596)	(287,578)
Interest income	12
Interest expense	(16,984)	(10,901)
Income (loss) from equity investments		3,134
Total other expense	(16,972)	(7,767)
Loss before income taxes	(334,568)	(295,345)
Income tax expense (benefit)		11,011
Net loss	$ (334,568)	(306,356)
Guarantor Subsidiaries [Member]
Oil sales		17,601
Natural gas sales		97
Total Revenues		17,698
Lease operating		3,726
Transportation		1
Depreciation, depletion and amortization		5,740
Accretion of asset retirement obligations		838
Taxes, other than on earnings		2,423
Total costs and expenses		12,728
Income from operations		4,970
Loss before income taxes		4,970
Income tax expense (benefit)		1,836
Net loss		3,134
Consolidation, Eliminations [Member]
Income (loss) from equity investments		(3,134)
Total other expense		(3,134)
Loss before income taxes		(3,134)
Net loss		$ (3,134)

Supplemental Condensed Consol42

Supplemental Condensed Consolidating Financial Information (Supplemental Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Net cash provided by operating activities	$ 15,936	$ 62,848
Property acquisitions		(260)
Capital expenditures	(13,120)	(111,136)
Other property and equipment additions		(40)
Net cash used in investing activities	(13,120)	(111,436)
Payments on long-term debt	(1,698)
Cash restricted under revolving credit facility related to property sold	(21,008)
Advances from EGC	19,673	43,010
Net cash provided by (used in) financing activities	(3,033)	43,010
Net increase in cash and cash equivalents	(217)	(5,578)
Cash and cash equivalents at beginning of period	217	5,601
Cash and cash equivalents at end of period		23
Parent Company [Member]
Net cash provided by operating activities	15,936	58,897
Property acquisitions		(260)
Capital expenditures	(13,120)	(107,185)
Other property and equipment additions		(40)
Net cash used in investing activities	(13,120)	(107,485)
Payments on long-term debt	(1,698)
Cash restricted under revolving credit facility related to property sold	(21,008)
Advances from EGC	19,673	43,010
Net cash provided by (used in) financing activities	(3,033)	43,010
Net increase in cash and cash equivalents	(217)	(5,578)
Cash and cash equivalents at beginning of period	$ 217	5,601
Cash and cash equivalents at end of period		23
Guarantor Subsidiaries [Member]
Net cash provided by operating activities		3,951
Capital expenditures		(3,951)
Net cash used in investing activities		$ (3,951)