Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 15, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
ICFR Auditor Attestation Flag | true | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Transition Report | false | ||
Entity File Number | 001-37419 | ||
Entity Registrant Name | PDC ENERGY, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 95-2636730 | ||
Entity Address, Address Line One | 1775 Sherman Street, | ||
Entity Address, Address Line Two | Suite 3000 | ||
Entity Address, City or Town | Denver | ||
Entity Address, State or Province | CO | ||
Entity Address, Postal Zip Code | 80203 | ||
City Area Code | 303 | ||
Local Phone Number | 860-5800 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | PDCE | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Smaller Reporting Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 96,329,829 | ||
Entity Public Float | $ 4.5 | ||
Entity Central Index Key | 0000077877 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Auditor [Line Items] | |
Auditor Firm ID | 238 |
Auditor Location | Denver, Colorado |
Auditor Name | PricewaterhouseCoopers LLP |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 33,829 | $ 2,623 |
Accounts receivable, net | 398,605 | 244,251 |
Fair value of derivatives | 17,909 | 48,869 |
Prepaid expense and other assets | 8,230 | 12,505 |
Total current assets | 458,573 | 308,248 |
Properties and equipment, net | 4,814,865 | 4,859,199 |
Fair value of derivatives | 15,177 | 9,565 |
Other assets | 48,051 | 60,961 |
Total Assets | 5,336,666 | 5,237,973 |
Current liabilities: | ||
Accounts payable | 127,891 | 90,635 |
Production tax liability | 99,583 | 124,475 |
Fair value of derivatives | 304,870 | 98,152 |
Funds held for distribution | 285,861 | 177,132 |
Interest payable | 10,482 | 14,734 |
Other accrued liabilities | 91,409 | 81,715 |
Other long-term debt, current | 0 | 193,014 |
Liabilities, Current, Total | 920,096 | 779,857 |
Long-term debt | 942,084 | 1,409,548 |
Deferred income taxes | 26,383 | 0 |
Asset retirement obligations | 127,526 | 132,637 |
Fair value of derivatives | 95,561 | 36,359 |
Other liabilities | 314,769 | 264,034 |
Total Liabilities | 2,426,419 | 2,622,435 |
Commitments and contingencies | ||
Shareholders' Equity: | ||
Common shares - par value $0.01 per share, 150,000,000 authorized, 96,468,071 and 99,758,720 issued as of December 31, 2021 and 2020, respectively | 965 | 998 |
Additional Paid in Capital | 3,161,941 | 3,387,754 |
Retained Earnings (Accumulated Deficit) | (249,954) | (772,265) |
Treasury shares - at cost, 54,960 and 37,510 as of December 31, 2021 and 2020, respectively | (2,705) | (949) |
Total Stockholders' Equity | 2,910,247 | 2,615,538 |
Liabilities and Equity, Total | $ 5,336,666 | $ 5,237,973 |
Balance Sheet Parentheticals (P
Balance Sheet Parentheticals (Parentheticals) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Commitments and contingencies | ||
Common Stock, Par or Stated Value Per Share | 96,468,071 | 99,758,720 |
Common Stock, Par or Stated Value Per Share | 150,000,000 | 150,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common shares - par value $0.01 per share, 150,000,000 authorized, 96,468,071 and 99,758,720 issued as of December 31, 2021 and 2020, respectively | $ 965,000 | $ 998,000 |
Treasury Stock, Value | 2,705,000 | 949,000 |
Treasury Stock, Carrying Basis | $ 54,960 | $ 37,510 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues: | |||
Crude oil, natural gas and NGLs sales | $ 2,552,558 | $ 1,152,555 | $ 1,307,275 |
Commodity price risk management gain (loss), net | (701,456) | 180,270 | (162,844) |
Other Income | 4,808 | 6,401 | 11,692 |
Revenues, Total | 1,855,910 | 1,339,226 | 1,156,123 |
Costs, expenses and other: | |||
Lease operating expenses | 180,659 | 161,346 | 142,248 |
Production tax expense | 165,209 | 59,368 | 80,754 |
Transportation, gathering and processing expenses | 100,403 | 77,835 | 46,353 |
Exploration, geologic and geophysical expense | 1,064 | 1,376 | 4,054 |
General and administrative expense | 127,733 | 161,087 | 161,753 |
Depreciation, depletion and amortization | 635,184 | 619,739 | 644,152 |
Accretion of asset retirement obligations | 12,086 | 10,072 | 6,117 |
Impairment of properties and equipment | 402 | 882,393 | 38,536 |
Loss (gain) on sale of properties and equipment | (912) | (724) | 9,734 |
Other expenses | 2,490 | 10,272 | 11,317 |
Total cost, expenses and other | 1,224,318 | 1,982,764 | 1,145,018 |
Income (loss) from operations | 631,592 | (643,538) | 11,105 |
Interest expense | (82,698) | (88,684) | (71,099) |
Income (Loss) before income taxes | 548,894 | (732,222) | (59,994) |
Income tax benefit (expense) | (26,583) | 7,902 | 3,322 |
Net Income (loss) | $ 522,311 | $ (724,320) | $ (56,672) |
Basic | $ 5.30 | $ (7.37) | $ (0.89) |
Diluted | $ 5.22 | $ (7.37) | $ (0.89) |
Weighted-average common shares outstanding: | |||
Basic | 98,546 | 98,251 | 64,032 |
Diluted | 100,154 | 98,251 | 64,032 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income (loss) | $ 522,311 | $ (724,320) | $ (56,672) |
Adjustments to net income (loss) to reconcile to net cash provided by operating activities: | |||
Net change in fair value of unsettled commodity derivatives | 291,268 | 99,001 | 145,246 |
Depreciation, depletion and amortization | 635,184 | 619,739 | 644,152 |
Impairment of properties and equipment | 402 | 882,393 | 38,536 |
Accretion of asset retirement obligations | 12,086 | 10,072 | 6,117 |
Non-cash stock-based compensation | 23,023 | 22,200 | 23,837 |
Loss (gain) on sale of properties and equipment | 912 | 724 | (9,734) |
Amortization and write-off of debt discount, premium and issuance costs | 13,468 | 16,772 | 13,575 |
Gain (Loss) on Extinguishment of Debt | 6,927 | 0 | 0 |
Deferred income taxes | 26,383 | (6,530) | (2,256) |
Other | 2,451 | 3,004 | 3,155 |
Accounts receivable | (153,717) | 139,664 | (88,304) |
Other assets | 24,678 | (5,341) | (11,560) |
Production tax liability | 41,381 | (50,803) | 22,240 |
Accounts payable and accrued expenses | 40,183 | (66,183) | (29,578) |
Funds held for distribution | 108,729 | (23,621) | (7,298) |
Asset retirement obligations | (28,595) | (27,491) | (21,511) |
Other liabilities | (17,454) | (17,753) | 168,813 |
Net cash from operating activities | 1,547,796 | 870,079 | 858,226 |
Cash flows from investing activities: | |||
Capital expenditures for development of crude oil and natural gas properties | (583,108) | (550,964) | (855,908) |
Payments to Acquire Other Property, Plant, and Equipment | 894 | 1,634 | 20,839 |
Acquisition of crude oil and natural gas properties | 0 | (139,812) | (13,207) |
Proceeds from sale of properties and equipment | 5,073 | 1,641 | 2,105 |
Proceeds from divestitures | 125 | 3,610 | 202,076 |
Restricted cash | 0 | 0 | 8,001 |
Net cash from investing activities | (578,804) | (687,159) | (677,772) |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from revolving credit facility and other borrowings | 802,800 | 1,799,350 | 1,577,000 |
Repayment of revolving credit facility and other borrowings | (970,800) | (1,635,350) | (1,605,500) |
Proceeds from senior notes | 0 | 148,500 | 0 |
Payment of debt issuance costs | (13,066) | (6,538) | (72) |
Purchase of treasury shares for employee stock-based compensation tax withholding obligations | (6,038) | (9,345) | (4,003) |
Proceeds from (Repurchase of) Equity | (156,795) | (23,819) | (154,363) |
Repayments of Convertible Debt | (200,000) | 0 | 0 |
Redemption of senior notes | (308,584) | (452,153) | 0 |
Finance Lease, Principal Payments | (1,688) | (1,905) | (1,952) |
Payments of Dividends | (83,615) | 0 | 0 |
Net cash from financing activities | (937,786) | (181,260) | (188,890) |
Net change in cash and cash equivalents | 31,206 | 1,660 | (8,436) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 33,829 | $ 2,623 | $ 963 |
Consolidated Statement of Equit
Consolidated Statement of Equity - USD ($) $ in Thousands | Total | Parent [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Treasury Stock, Common [Member] |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest [Abstract] | |||||||
Shares, Issued | 66,149,000 | 45,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stockholders' Equity Attributable to Parent | $ 2,526,708 | ||||||
Purchase of treasury shares | (106,000) | ||||||
Issuance of treasury shares | 0 | 112,000 | |||||
Stockholders' Equity Beginning, Including Portion Attributable to Noncontrolling Interest at Dec. 31, 2018 | $ 661 | $ 2,519,423 | $ 8,727 | $ (2,103) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Purchase of treasury shares | 4,003 | (4,003) | |||||
Share-based Compensation expense | $ 23,837 | 23,835 | |||||
Issuance of treasury shares | 0 | (4,505) | 4,505 | ||||
Net income (Loss) attributable to shareholders | (56,672) | (56,672) | (56,672) | ||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 213,000 | ||||||
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture | 23,837 | $ 2 | |||||
Stockholders' Equity Ending, Including Portion Attributable to Noncontrolling Interest at Dec. 31, 2019 | $ 617 | 2,384,309 | (47,945) | $ (1,474) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock Repurchased and Retired During Period, Shares | (4,706,000) | 4,706,000 | |||||
Stock Repurchased and Retired During Period, Value | 0 | 0 | $ (46) | (154,317) | $ 154,363 | ||
Treasury Stock, Shares, Retired | (4,000) | 4,000 | |||||
Treasury Stock, Retired, Cost Method, Amount | 0 | (127) | $ 127 | ||||
Stock Repurchased During Period, Shares | 4,706,000 | ||||||
Stock Repurchased During Period, Value | (154,363) | $ (154,363) | |||||
Shares, Issued | 61,652,000 | 35,000 | |||||
Stockholders' Equity Attributable to Parent | 2,335,507 | ||||||
Purchase of treasury shares | (457,000) | ||||||
Issuance of treasury shares | 0 | 115,000 | |||||
Purchase of treasury shares | 9,345 | $ (9,345) | |||||
Share-based Compensation expense | 22,200 | 19,738 | |||||
Issuance of treasury shares | 0 | 0 | 0 | ||||
Net income (Loss) attributable to shareholders | (724,320) | (724,320) | (724,320) | ||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 530,000 | ||||||
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture | 22,200 | $ 5 | 2,457 | ||||
Stockholders' Equity Ending, Including Portion Attributable to Noncontrolling Interest at Dec. 31, 2020 | $ 998 | 3,387,754 | (772,265) | $ (949) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock Repurchased and Retired During Period, Shares | (1,266,000) | 1,266,000 | |||||
Stock Repurchased and Retired During Period, Value | (3) | 0 | $ (12) | (23,807) | $ 23,819 | ||
Stock Issued During Period, Shares, Acquisitions | 39,182,000 | ||||||
Stock Issued During Period, Value, Acquisitions | 1,015,312 | $ 391 | 1,014,921 | ||||
Treasury Stock, Shares, Retired | (339,000) | 339,000 | |||||
Treasury Stock, Retired, Cost Method, Amount | 3 | (7,407) | $ 7,413 | ||||
Stock Repurchased During Period, Shares | (1,266,000) | ||||||
Stock Repurchased During Period, Value | (23,819) | $ (23,819) | |||||
Shares, Issued | 99,759,000 | 38,000 | |||||
Stockholders' Equity Attributable to Parent | 2,615,538 | 2,615,538 | |||||
Purchase of treasury shares | 181,000 | ||||||
Issuance of treasury shares | 0 | 89,000 | |||||
Purchase of treasury shares | 6,038 | $ 6,038 | |||||
Share-based Compensation expense | 23,023 | 20,831 | |||||
Issuance of treasury shares | 0 | 0 | 0 | ||||
Net income (Loss) attributable to shareholders | 522,311 | 522,311 | 522,311 | ||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 531,000 | ||||||
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture | 23,023 | $ 5 | 2,187 | ||||
Stockholders' Equity Ending, Including Portion Attributable to Noncontrolling Interest at Dec. 31, 2021 | $ 965 | 3,161,941 | $ (249,954) | $ (2,705) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Stock Repurchased and Retired During Period, Shares | (3,705,000) | 3,711,000 | |||||
Stock Repurchased and Retired During Period, Value | $ (1) | 306 | $ (37) | (157,058) | $ 157,401 | ||
Treasury Stock, Shares, Retired | (117,000) | 117,000 | |||||
Treasury Stock, Retired, Cost Method, Amount | 0 | (4,156) | $ 4,157 | ||||
Stock Repurchased During Period, Shares | (3,753,000) | ||||||
Stock Repurchased During Period, Value | (159,463) | $ (159,463) | |||||
Dividends, Common Stock | (85,430) | $ (85,430) | |||||
Common Stock, Dividends, Per Share, Declared | $ 0.86 | ||||||
Shares, Issued | 96,468,000 | (55,000) | |||||
Stockholders' Equity Attributable to Parent | $ 2,910,247 | $ 2,910,247 |
NATURE OF OPERATIONS AND BASIS
NATURE OF OPERATIONS AND BASIS OF PRESENTATION | 12 Months Ended |
Dec. 31, 2021 | |
NATURE OF OPERATIONS AND BASIS OF PRESENTATION [Abstract] | |
Nature of Operations [Text Block] | NOTE 1 - NATURE OF OPERATIONS AND BASIS OF PRESENTATION PDC Energy, Inc. is a domestic independent exploration and production company that acquires, explores and develops properties for the production of crude oil, natural gas and NGLs, with operations in the Wattenberg Field in Colorado and the Delaware Basin in west Texas. Our operations in the Wattenberg Field are focused in the horizontal Niobrara and Codell plays and our Delaware Basin operations are primarily focused in the horizontal Wolfcamp zones. As of December 31, 2021, we owned an interest in approximately 3,500 gross productive wells. The accompanying audited consolidated financial statements include the accounts of PDC and our wholly-owned subsidiaries. Pursuant to the proportionate consolidation method, our accompanying consolidated financial statements include our pro rata share of assets, liabilities, revenues and expenses of the entities which we proportionately consolidate. All material intercompany accounts and transactions have been eliminated in consolidation. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates in the Preparation of Financial Statements. The preparation of our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires us to make estimates and assumptions that affect the amounts reported on our consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Estimates which are particularly significant to our consolidated financial statements include estimates of proved oil and natural gas reserves used in calculating depletion; estimates of unpaid revenues and unbilled costs; future cash flows from proved oil and natural gas reserves on proved oil and natural gas properties used in impairment assessment; valuation of commodity derivative instruments; the estimation of future abandonment obligations used in asset retirement obligations; valuation of proved and unproved crude oil and natural gas properties from purchased and exchanged businesses and assets; and valuation of deferred income tax assets. Cash and Cash Equivalents. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. Cash and cash equivalents potentially subject us to a concentration of credit risk as substantially all of our deposits held in financial institutions were in excess of federal deposit insurance limits as of December 31, 2021 and 2020. We maintain our cash and cash equivalents in the form of money market and checking accounts with financial institutions that we believe are creditworthy and are also lenders under our revolving credit facility. Commodity Derivative Financial Instruments. Our results of operations and operating cash flows are affected by changes in market prices for crude oil, natural gas and NGLs. To manage a portion of our exposure to price volatility from producing crude oil and natural gas we enter into commodity derivative contracts to protect against price declines in future periods. We have elected not to designate any of our commodity derivative instruments as cash flow hedges; therefore, these instruments do not qualify for hedge accounting. Accordingly, changes in the fair value of our derivative instruments are recorded in the consolidated statements of operations. Under applicable accounting standards, the fair value of each derivative instrument is recorded as either an asset or liability on the consolidated balance sheet. We measure the fair value of our commodity derivative instruments based upon a pricing model that utilizes market-based inputs, including, but not limited to, contractual price of the underlying position, current market prices, crude oil and natural gas forward curves, discount rates, volatility factors and nonperformance risk. Properties and Equipment. Crude Oil and Natural Gas Properties. We account for our crude oil and natural gas properties under the successful efforts method of accounting. Under this method, costs of proved developed producing properties, successful exploratory wells and developmental dry hole costs are capitalized and depleted by the unit-of-production method based on estimated proved developed producing reserves. We have determined that we have two unit-of-production fields: the Wattenberg Field and the Delaware Basin. In making these conclusions we consider the geographic concentration, operating similarities within the areas, geologic considerations and common cost environments in these areas. We calculate quarterly depletion expense by using our estimated prior period-end reserves as the denominator, with the exception of our fourth quarter where we use the year-end reserve estimate adjusted for fourth quarter production. The process of estimating and evaluating crude oil and natural gas reserves is complex, requiring significant decisions in the evaluation of available geological, geophysical, engineering and economic data. The data for a given property may also change substantially over time as a result of numerous factors, including additional development activity, evolving production history and a continual reassessment of the viability of production under changing economic conditions. As a result, revisions in existing reserve estimates occur. Capitalized development costs of producing oil and natural gas properties are depleted over proved developed reserves and leasehold costs are depleted over total proved reserves. Upon the sale or retirement of significant portions of or complete fields of depreciable or depletable property, the net book value thereof, less proceeds or salvage value, is recognized as a gain or loss. Exploration costs, including geological and geophysical expenses, seismic costs on unproved leaseholds and delay rentals are expensed as incurred. Exploratory well drilling costs, including the cost of stratigraphic test wells, are initially capitalized, but charged to expense if the well is determined to be economically nonproductive. The status of each in-progress well is reviewed quarterly to determine the proper accounting treatment under the successful efforts method of accounting. Exploratory well costs continue to be capitalized as long as we have identified a sufficient quantity of reserves to justify completion as a producing well, we are making sufficient progress assessing our reserves and economic and operating viability or we have not made sufficient progress to allow for final determination of productivity. If an in-progress exploratory well is found to be economically unsuccessful prior to the issuance of the financial statements, the costs incurred prior to the end of the reporting period are charged to exploration expen se. If we are unable to make a final determination about the productive status of a well prior to issuance of the financial statements, the costs associated with the well are classified as suspended well costs until we have had sufficient time to conduct additional completion or testing operations to evaluate the pertinent geological and engineering data obtained. At the time we are able to make a final determination of a well’s productive status, the well is removed from suspended well status and the resulting accounting treatment is recorded. Unproved property costs not subject to depletion primarily include leasehold costs, broker and legal expenses and capitalized internal costs associated with developing oil and natural gas prospects on these properties. Leasehold costs are transferred into costs subject to depletion on an ongoing basis as these properties are evaluated and proved reserves are established. Additional costs not subject to depletion include costs associated with development wells in progress or awaiting completion at year-end. These costs are transferred into costs subject to depletion on an ongoing basis as these wells are completed and proved reserves are established or confirmed. Proved Property Impairment. Annually, or upon a triggering event, we assess the valuation of our proved crude oil and natural gas properties for possible impairment by comparing the carrying value to estimated undiscounted future net cash flows on a field-by-field basis using estimated production and prices at which we estimate the commodity will be sold. If carrying values exceed undiscounted future net cash flows, the measurement of impairment is based on estimated fair value utilizing a discounted future cash flows analysis. The impairment recorded is the amount by which the carrying values exceed the fair value. In the impairment assessment we estimate the fair value of proved crude oil and natural gas properties using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved crude oil and natural gas properties include estimates of future production volumes, future operating and development costs, future commodity prices, and a market based weighted average cost of capital rate. Certain events, including but not limited to downward revisions in estimates of our reserve quantities, expectations of falling commodity prices or rising capital and operating costs, could result in a triggering event, and may result to a possible impairment of our proved crude oil and natural gas properties. Unproved Property Impairment. Acquisition costs of unproved properties are capitalized when incurred, until such properties are transferred to proved properties or charged to impairment expense. Unproved crude oil and natural gas properties with individually significant acquisition costs are assessed for impairment periodically, or if a triggering event is identified. Other Property and Equipment. Other property and equipment such as vehicles, facilities, office furniture and equipment, buildings and computer hardware and software is carried at cost. Depreciation is provided principally on the straight-line method over the assets’ estimated useful lives, which range from two to 35 years. Total depreciation expense related to other property and equipment was $7.7 million, $8.7 million and $5.7 million for the years ended December 31, 2021, 2020 and 2019, respectively. We review other property and equipment for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying value of the asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying value of the asset exceeds the estimated future cash flows, an impairment charge is recognized for the amount by which the carrying value of the asset exceeds its fair value. Internal-Use Software. Internal-use software costs incurred during the development stage of our enterprise resource planning software are capitalized. The development stage generally includes software design, configuration, testing and installation activities. Training and maintenance costs are expensed as incurred, while upgrades and enhancements are capitalized if it is probable that such expenditures will result in additional functionality. Capitalized internal-use software costs are depreciated over the estimated useful life of the underlying project on a straight-line basis upon completion of the project. Capitalized Interest. We capitalize interest on expenditures made in connection with exploration and development projects that are not subject to current depletion. Interest is capitalized only for the period that activities are in progress to bring unevaluated properties to its intended use. Interest capitalized may not exceed gross interest expense for the period. Capitalized interest totaled $17.8 million, $19.7 million and $13.4 million during the year ended December 31, 2021, 2020 and 2019, respectively. Assets Held-for-Sale. Assets held-for-sale are valued at the lower of their carrying amount or estimated fair value, less costs to sell. If the carrying amount of the assets exceeds their estimated fair value, an impairment loss is recognized. Fair values are estimated using accepted valuation techniques, such as a discounted cash flow model, earnings multiples or indicative bids, when available. We consider historical experience and all available information at the time the estimates are made; however, the fair value that is ultimately realized upon the sale of the assets to be divested may differ from the estimated fair values reflected on the consolidated financial statements. DD&A expense is not recorded on assets once they are classified as held-for-sale. Assets classified as held-for-sale are expected to be disposed of within one year. Income Taxes. We account for income taxes under the asset and liability method. We recognize deferred income tax assets and liabilities for the future tax consequences attributable to operating loss and credit carryforwards and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred income tax assets and liabilities are measured using enacted tax rates applicable to the future period when those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rate is recognized in income in the period that includes the enactment date. If we determine that it is more likely than not that some portion or all of the deferred income tax assets will not be realized, we record a valuation allowance, thereby reducing the deferred income tax assets to what we consider realizable. We recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. Our policy is to recognize interest and penalties related to uncertain tax positions in interest expense. Debt Issuance Costs and Discounts. Debt issuance costs and discounts are capitalized and amortized over the life of the respective borrowings using the effective interest method. Debt issuance costs for the Senior Notes are included in long-term debt and the debt issuance costs for the revolving credit facility are included in other assets. Asset Retirement Obligations. We recognize the estimated liability for future costs associated with the plugging and abandonment of our oil and gas properties resulting from acquisition, construction or normal operation. We account for asset retirement obligations by recording the fair value of our plugging and abandonment obligations when incurred, which is at the time the related well is completed. Upon initial recognition of an asset retirement obligation, we increase the carrying amount of the associated long-lived asset by the same amount as the liability. Over time, the liability is accreted for the change in the present value (accretion expense). The initial capitalized cost, net of salvage value, is depleted over the useful life of the related asset through a charge to DD&A expense. If the fair value of the estimated asset retirement obligation changes, an adjustment is recorded to both the asset retirement obligation and the asset retirement cost (presented as part of properties and equipment). Revisions in estimated liabilities can result from, among other things, changes in retirement costs or the estimated timing of settling asset retirement obligations. Treasury Shares. We record treasury share purchases at cost, which includes incremental direct transaction costs. Amounts are recorded as a reduction in shareholders’ equity. When we retire treasury shares, we charge any excess of cost over the par value to additional paid-in-capital (“APIC”), to the extent we have amounts in APIC, with any remaining excess cost being charged to retained earnings. Revenue Recognition. Crude oil, natural gas and NGLs revenues are recognized when we have transferred control of crude oil, natural gas or NGLs production to the purchaser. We consider the transfer of control to have occurred when the purchaser has the ability to direct the use of, and obtain substantially all of the remaining benefits from, the crude oil, natural gas or NGLs production. We record revenues based on an estimate of the volumes delivered at estimated prices as determined by the applicable sales agreement. We estimate our sales volumes based on company-measured volume readings. We then adjust our crude oil, natural gas and NGLs sales in subsequent periods based on the data received from our purchasers that reflects actual volumes delivered and prices received. We receive payment for sales one to two months after actual delivery has occurred. The differences in sales estimates and actual sales are recorded one to two months later. Historically, these differences have not been material. We account for natural gas imbalances using the sales method. For the years ending December 31, 2021, 2020 and 2019, the impact of any natural gas imbalances was not significant. Our crude oil, natural gas and NGLs sales are recorded using either the “net-back” or “gross” method of accounting, depending upon the related agreement. We use the net-back method when control of the crude oil, natural gas or NGLs has been transferred to the purchasers of these commodities that are providing transportation, gathering or processing services. In these situations, the purchaser pays us proceeds based on a percent of the proceeds or have fixed our sales price at index less specified deductions. The net-back method results in the recognition of a net sales price that is lower than the index for which the production is based because the operating costs and profit of the midstream facilities are embedded in the net price we are paid. We use the gross method of accounting when control of the crude oil, natural gas or NGLs is not transferred to the purchaser and the purchaser does not provide transportation, gathering or processing services as a function of the price we receive. Rather, we contract separately with midstream providers for the applicable transport and processing on a per unit basis. Under this method, we recognize revenues based on the gross selling price and recognize transportation, gathering and processing expenses. For our product sales that have a contract term greater than one year, the Company has utilized the practical expedient in ASC Topic 606 which states the Company is not required to disclose the transaction price allocated to the remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. Under these sales contracts, monthly sales of a product generally represent a separate performance obligation; therefore, future commodity volumes to be delivered and sold are wholly unsatisfied and disclosure of the transaction price allocated to such unsatisfied performance obligations is not required. Business Combinations. We utilize the acquisition method to account for acquisitions of businesses. Pursuant to the acquisition method, we allocate the cost of the acquisition to assets acquired and liabilities assumed based on fair values as of the acquisition date. The purchase price allocations are based upon appraisals, discounted cash flows and estimates by management, which are Level 3 inputs. When appropriate, we review recent comparable purchases and sales of crude oil and natural gas properties within the same regions and use that data as a basis for fair market value; for example, the amount at which a willing buyer and seller would enter into an exchange for such properties. In estimating the fair values of assets acquired and liabilities assumed, we make various assumptions. The most significant assumptions relate to the estimated fair values assigned to proved developed producing, proved developed non-producing, proved undeveloped and unproved crude oil and natural gas properties. To estimate the fair value of these properties as part of acquisition accounting, we estimate the fair value of proved crude oil and natural gas properties using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved crude oil and natural gas properties include estimates of reserves volumes, future operating and development costs, future commodity prices, and a market based weighted average cost of capital rate. The market based weighted average cost of capital rate is subject to additional project-specific risking factors. To compensate for the inherent risk of estimating and valuing unproved properties, we reduce the discounted future net revenues of probable and possible reserves by additional risk-weighting factors. Additionally, for acquisitions with significant unproved properties, we complete an analysis of recent comparable purchased properties to determine an estimation of fair value. If applicable, we record deferred taxes for any differences between the assigned values and tax basis of assets and liabilities. Estimated deferred taxes are based on available information concerning the tax basis of assets acquired and liabilities assumed and loss carryforwards at the acquisition date, although such estimates may change in the future as additional information becomes known. Acreage Exchanges . From time to time, we enter into acreage exchanges in order to consolidate our core acreage positions, enabling us to have more control over the timing of development activities, achieve higher working interests and provide us the ability to drill longer lateral length wells within those core areas. We account for our nonmonetary acreage exchanges in accordance with the guidance prescribed by Accounting Standards Codification 845, Nonmonetary Transactions . For those exchanges that lack commercial substance, we record the acreage received at the net carrying value of the acreage surrendered to obtain it. For those acreage exchanges that are deemed to have commercial substance, we record the acreage received at fair value, with a related gain or loss recognized in earnings, in accordance with Accounting Standards Codification 820, Fair Value Measurement . Stock-Based Compensation. Stock-based compensation is recognized within our financial statements based on the grant-date fair value of the equity instrument awarded. Stock-based compensation expense is recognized in the financial statements on a straight-line basis over the requisite service period for the entire award and we account for forfeitures of stock-based compensation awards as they occur. Fair Value of Assets and Liabilities. The Company follows the authoritative accounting guidance for measuring fair value of assets and liabilities in its financial statements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Our fair value measurements are estimated pursuant to a fair value hierarchy that requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, giving the highest priority to quoted prices in active markets (Level 1) and the lowest priority to unobservable data (Level 3). In some cases, the inputs used to measure fair value might fall in different levels of the fair value hierarchy. The lowest level input that is significant to a fair value measurement in its entirety determines the applicable level in the fair value hierarchy. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability, and may affect the valuation of the assets and liabilities and their placement within the fair value hierarchy levels. The three levels of inputs that may be used to measure fair value are defined as: Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 – Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable for the asset or liability, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability and inputs that are derived from observable market data by correlation or other means. Level 3 – Unobservable inputs for the asset or liability, including situations where there is little, if any, market activity. Leases. We determine if an arrangement is representative of a lease at contract inception. Right-of-use (“ROU”) assets represent our right to use the underlying assets for the lease term and the corresponding lease liabilities represent our obligations to make lease payments arising from the leases. Operating and finance lease ROU assets and liabilities are recognized at the commencement date based on the present value of the expected lease payments over the lease term. As most of our leases do not provide an implicit interest rate, we utilize our incremental borrowing rate based on information available at the commencement date in determining the present value of lease payments. Subsequent measurement, as well as presentation of expenses and cash flows, will depend upon the classification of the lease as either a finance or operating lease. Terms of our leases include options to extend or terminate the lease only when we can ascertain that it is reasonably certain we will exercise that option. Leases with an initial term of one year or less are not recorded on the consolidated balance sheets. |
Business Combinations and Asset
Business Combinations and Asset Acquisitions | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | NOTE 3 - PENDING ACQUISITION On February 26, 2022, we entered into a definitive purchase agreement under which we will acquire Great Western Petroleum, LLC (“Great Western”) for approximately $1.3 billion, inclusive of Great Western’s net debt (the “Great Western Acquisition”). Great Western is an independent oil and gas company focused on the exploration, production and development of crude oil and natural gas in Colorado. The purchase consideration for the Great Western Acquisition will be made through the transfer of approximately 4.0 million shares of our common stock and approximately $543 million in cash, pursuant to the NOTE 4 - BUSINESS COMBINATION In January 2020, we merged with SRC Energy, Inc. (“SRC”) in a transaction valued at $1.7 billion, inclusive of SRC’s net debt (the “SRC Acquisition”). SRC was an independent oil and natural gas company engaged in the exploration, development and production of unconventional oil and associated liquids-rich natural gas reserves in Weld County, Colorado. The acquisition added approximately 83,000 net acres which are located on large, contiguous acreage blocks in the core of the Wattenberg Field. Upon closing, we issued approximately 38.9 million shares of our common stock to SRC shareholders and holders of SRC equity awards, reflecting the issuance of 0.158 of a share of our common stock in exchange for each outstanding share of SRC common stock and the cancellation of outstanding SRC equity awards pursuant to the terms of the merger agreement that we entered into with SRC. We finalized the purchase price allocation on December 31, 2020, and we recognized total transaction costs of $19.9 million for the year ended December 31, 2020. The following table details our final purchase price, valuation and allocation of the purchase price to the assets acquired and liabilities assumed as a result of the SRC Acquisition: (in thousands) Consideration: Cash $ 40 Retirement of seller’s credit facility 166,238 Total cash consideration 166,278 Common stock issued 1,009,015 Shares withheld in lieu of taxes 6,299 Total consideration $ 1,181,592 Recognized amounts of identifiable assets acquired and liabilities assumed: Assets acquired: Current assets $ 145,792 Properties and equipment, net - proved 1,613,674 Properties and equipment, net - unproved 109,615 Properties and equipment, net - other 16,242 Deferred tax asset 189,311 Other assets 11,810 Total assets acquired $ 2,086,444 Liabilities assumed: Current liabilities $ (253,967) Senior notes (555,500) Asset retirement obligations (42,417) Other liabilities (52,968) Total liabilities assumed (904,852) Total identifiable net assets acquired $ 1,181,592 This acquisition was accounted for under the acquisition method of accounting for business combinations. Accordingly, we conducted assessments of the net assets acquired and recognized amounts for identifiable assets acquired and liabilities assumed at their estimated acquisition date fair values, while transaction and integration costs associated with the acquisition were expensed as incurred. The fair value measurements of assets acquired and liabilities assumed are based on inputs that are not observable in the market, and therefore represent Level 3 inputs. The fair values of crude oil and natural gas properties and asset retirement obligations were measured using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved and unproved crude oil and natural gas properties include estimates of reserve volumes, future operating and development costs, future commodity prices, lease terms and expirations and a market-based weighted-average cost of capital rate of 10 percent. These inputs require significant judgments and estimates by management at the time of the valuation. The results of operations for the SRC Acquisition since the closing date have been included on our consolidated financial statements for the year ended December 31, 2020 and include approximately $320.9 million of total revenue, and $46.5 million of income from operations. Pro Forma Information . The following unaudited pro forma financial information represents a summary of the consolidated results of operations for the years ended December 31, 2020, and 2019, assuming the acquisition had been completed as of January 1, 2019. The information below reflects certain nonrecurring pro forma adjustments that were directly related to the business combination based on available information and certain assumptions that we believe are reasonable, including (i) the Company’s common stock issued to convert SRC’s outstanding shares of common stock and equity awards, (ii) the depletion of SRC’s fair-valued proved oil and gas properties using the successful efforts method of accounting and (iii) the estimated tax impacts of the pro forma adjustments, if any. Additionally, pro forma earnings were adjusted to exclude acquisition-related costs incurred by the Company and SRC totaling approximately $38.0 million and $15.9 million for the years ended December 31, 2020 and 2019, respectively. The pro forma financial information is not necessarily indicative of the results of operations that would have been achieved if the acquisition had been effective as of these dates, or of future results. Year Ended December 31, 2020 2019 (in thousands, except per share data) Total revenue $ 1,361,051 $ 1,761,498 Net income (loss) (695,663) 139,578 Earnings (loss) per share: Basic $ (6.97) $ 1.36 Diluted (6.97) 1.35 |
BUSINESS COMBINATIONS (Notes)
BUSINESS COMBINATIONS (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Acquisition [Abstract] | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | NOTE 3 - PENDING ACQUISITION On February 26, 2022, we entered into a definitive purchase agreement under which we will acquire Great Western Petroleum, LLC (“Great Western”) for approximately $1.3 billion, inclusive of Great Western’s net debt (the “Great Western Acquisition”). Great Western is an independent oil and gas company focused on the exploration, production and development of crude oil and natural gas in Colorado. The purchase consideration for the Great Western Acquisition will be made through the transfer of approximately 4.0 million shares of our common stock and approximately $543 million in cash, pursuant to the NOTE 4 - BUSINESS COMBINATION In January 2020, we merged with SRC Energy, Inc. (“SRC”) in a transaction valued at $1.7 billion, inclusive of SRC’s net debt (the “SRC Acquisition”). SRC was an independent oil and natural gas company engaged in the exploration, development and production of unconventional oil and associated liquids-rich natural gas reserves in Weld County, Colorado. The acquisition added approximately 83,000 net acres which are located on large, contiguous acreage blocks in the core of the Wattenberg Field. Upon closing, we issued approximately 38.9 million shares of our common stock to SRC shareholders and holders of SRC equity awards, reflecting the issuance of 0.158 of a share of our common stock in exchange for each outstanding share of SRC common stock and the cancellation of outstanding SRC equity awards pursuant to the terms of the merger agreement that we entered into with SRC. We finalized the purchase price allocation on December 31, 2020, and we recognized total transaction costs of $19.9 million for the year ended December 31, 2020. The following table details our final purchase price, valuation and allocation of the purchase price to the assets acquired and liabilities assumed as a result of the SRC Acquisition: (in thousands) Consideration: Cash $ 40 Retirement of seller’s credit facility 166,238 Total cash consideration 166,278 Common stock issued 1,009,015 Shares withheld in lieu of taxes 6,299 Total consideration $ 1,181,592 Recognized amounts of identifiable assets acquired and liabilities assumed: Assets acquired: Current assets $ 145,792 Properties and equipment, net - proved 1,613,674 Properties and equipment, net - unproved 109,615 Properties and equipment, net - other 16,242 Deferred tax asset 189,311 Other assets 11,810 Total assets acquired $ 2,086,444 Liabilities assumed: Current liabilities $ (253,967) Senior notes (555,500) Asset retirement obligations (42,417) Other liabilities (52,968) Total liabilities assumed (904,852) Total identifiable net assets acquired $ 1,181,592 This acquisition was accounted for under the acquisition method of accounting for business combinations. Accordingly, we conducted assessments of the net assets acquired and recognized amounts for identifiable assets acquired and liabilities assumed at their estimated acquisition date fair values, while transaction and integration costs associated with the acquisition were expensed as incurred. The fair value measurements of assets acquired and liabilities assumed are based on inputs that are not observable in the market, and therefore represent Level 3 inputs. The fair values of crude oil and natural gas properties and asset retirement obligations were measured using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved and unproved crude oil and natural gas properties include estimates of reserve volumes, future operating and development costs, future commodity prices, lease terms and expirations and a market-based weighted-average cost of capital rate of 10 percent. These inputs require significant judgments and estimates by management at the time of the valuation. The results of operations for the SRC Acquisition since the closing date have been included on our consolidated financial statements for the year ended December 31, 2020 and include approximately $320.9 million of total revenue, and $46.5 million of income from operations. Pro Forma Information . The following unaudited pro forma financial information represents a summary of the consolidated results of operations for the years ended December 31, 2020, and 2019, assuming the acquisition had been completed as of January 1, 2019. The information below reflects certain nonrecurring pro forma adjustments that were directly related to the business combination based on available information and certain assumptions that we believe are reasonable, including (i) the Company’s common stock issued to convert SRC’s outstanding shares of common stock and equity awards, (ii) the depletion of SRC’s fair-valued proved oil and gas properties using the successful efforts method of accounting and (iii) the estimated tax impacts of the pro forma adjustments, if any. Additionally, pro forma earnings were adjusted to exclude acquisition-related costs incurred by the Company and SRC totaling approximately $38.0 million and $15.9 million for the years ended December 31, 2020 and 2019, respectively. The pro forma financial information is not necessarily indicative of the results of operations that would have been achieved if the acquisition had been effective as of these dates, or of future results. Year Ended December 31, 2020 2019 (in thousands, except per share data) Total revenue $ 1,361,051 $ 1,761,498 Net income (loss) (695,663) 139,578 Earnings (loss) per share: Basic $ (6.97) $ 1.36 Diluted (6.97) 1.35 |
Revenue Recognition Revenue Rec
Revenue Recognition Revenue Recognition (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | NOTE 5 - REVENUE RECOGNITION Disaggregated Revenue. The following table presents crude oil, natural gas and NGLs sales disaggregated by commodity and operating region for the periods presented: Year Ended December 31, Revenue by Commodity and Operating Region 2021 2020 2019 (in thousands) Crude oil Wattenberg Field $ 1,275,666 $ 668,948 $ 767,760 Delaware Basin 255,135 147,902 252,929 Total 1,530,801 816,850 1,020,689 Natural gas Wattenberg Field 458,870 171,755 137,143 Delaware Basin 60,733 6,997 13,877 Total 519,603 178,752 151,020 NGLs Wattenberg Field 428,570 128,126 94,347 Delaware Basin 73,584 28,827 41,219 Total 502,154 156,953 135,566 Crude oil, natural gas and NGLs Wattenberg Field 2,163,106 968,829 999,250 Delaware Basin 389,452 183,726 308,025 Total $ 2,552,558 $ 1,152,555 $ 1,307,275 Contract Assets. Contract assets include material contributions in aid of construction, which are common in purchase and processing agreements with midstream service providers that are our customers. The intent of the payments is primarily to reimburse the customer for actual costs incurred related to the construction of its gathering and processing infrastructure. Contract assets are included in other assets on the consolidated balance sheets. The contract assets are amortized as a reduction to crude oil, natural gas and NGLs sales revenue during the periods in which the related production is transferred to the customer. The following table presents the changes in carrying amounts of the contract assets associated with our crude oil, natural gas and NGLs sales revenue for the periods presented: December 31, 2021 2020 (in thousands) Beginning balance $ 25,872 $ 11,494 Additions (Net reduction to additions previously recognized) (7,705) 16,739 Amortized as a reduction to crude oil, natural gas and NGLs sales (2,695) (2,361) Ending balance $ 15,472 $ 25,872 |
FAIR VALUE MEASUREMENTS AND DIS
FAIR VALUE MEASUREMENTS AND DISCLOSURES | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block] | NOTE 6 - FAIR VALUE MEASUREMENTS Recurring Fair Value Measurements Derivative Financial Instruments. We measure the fair value of our commodity derivative instruments based upon a pricing model that utilizes market-based inputs, including, but not limited to, the contractual price of the underlying position, current market prices, crude oil and natural gas forward curves, discount rates, volatility factors and nonperformance risk. Nonperformance risk considers the effect of our credit standing on the fair value of derivative liabilities and the effect of our counterparties’ credit standings on the fair value of derivative assets. Both inputs to the model are based on published credit default exchange rates and the duration of each outstanding derivative position. We use our counterparties’ valuations to assess reasonableness of our fair value measurement. Our crude oil and natural gas fixed-price exchanges and basis exchanges are included in Level 2. Our collars are included in Level 3. The following table presents, for each applicable level within the fair value hierarchy, our derivative assets and liabilities, including both current and non-current portions, measured at fair value on a recurring basis as of the dates indicated: December 31, 2021 December 31, 2020 Consolidated Balance Sheet Line Item Significant Other Significant Total Significant Other Significant Total (in thousands) Derivative assets Current Fair value of derivatives $ — $ 17,909 $ 17,909 $ 36,580 $ 12,289 $ 48,869 Non-current Fair value of derivatives 605 14,572 15,177 315 9,250 9,565 Total $ 605 $ 32,481 $ 33,086 $ 36,895 $ 21,539 $ 58,434 Derivative liabilities Current Fair value of derivatives $ (230,695) $ (74,175) $ (304,870) $ (76,420) $ (21,732) $ (98,152) Non-current Fair value of derivatives (74,715) (20,846) (95,561) (28,125) (8,234) (36,359) Total $ (305,410) $ (95,021) $ (400,431) $ (104,545) $ (29,966) $ (134,511) The following table presents a reconciliation of our Level 3 assets and liabilities measured at fair value for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Fair value of Level 3 instruments, net asset (liability) beginning of period $ (8,427) $ 8,414 $ 58,329 Changes in fair value included in consolidated statements of operations line item: Commodity price risk management gain (loss), net (206,109) 37,821 (41,749) Settlements included in consolidated statements of operations line items: Commodity price risk management gain (loss), net 151,996 (54,662) (8,166) Fair value of Level 3 instruments, net asset (liability) end of period $ (62,540) $ (8,427) $ 8,414 Net change in fair value of Level 3 unsettled derivatives included in consolidated statements of operations line item: Commodity price risk management gain (loss), net $ (35,108) $ — $ (22,694) Total $ (35,108) $ — $ (22,694) The significant unobservable input used in the fair value measurement of our derivative contracts is the implied volatility curve, which is provided by a third-party vendor. A significant increase or decrease in the implied volatility, in isolation, would have a directionally similar effect resulting in a significantly higher or lower fair value measurement of our Level 3 derivative contracts. There has been no change in the methodology we apply to measure the fair value of our Level 3 derivative contracts during the periods covered by the financial statements. Nonrecurring Fair Value Measurements Acquisitions and Impairment of Long-lived Assets. We measure fair value using inputs that are not observable in the market, and are therefore designated as Level 3 within the valuation hierarchy, on a nonrecurring basis for any acquired assets or businesses and to review our proved and unproved crude oil and natural gas properties for possible impairment. Asset Retirement Obligations. We measure the fair value of asset retirement obligations as of the date a well begins drilling or when production equipment and facilities are installed using a discounted cash flow model based on inputs that are not observable in the market and therefore are designated as Level 3 within the valuation hierarchy. Other Financial Instruments The carrying value of the financial instruments included in current assets and current liabilities approximates fair value due to the short-term maturities of these instruments. Long-term Debt. The portion of our long-term debt related to our revolving credit facility approximates fair value, as the applicable interest rates are variable and reflective of market rates. We have not elected to account for the portion of our debt related to our senior notes under the fair value option; however, we have determined an estimate of the fair values based on measurements of trading activity and broker or dealer quotes, which are published market prices, and therefore are Level 2 inputs. The table below presents these estimates of the fair value of the portion of our long-term debt related to our senior notes and convertible notes as of the dates indicated: December 31, 2021 2020 Nominal Interest Estimated Fair Value Percent of Par Estimated Fair Value Percent of Par (in millions) (in millions) 2021 Convertible Notes (1) 1.125 % $ — — % $ 196.2 98.1 % 2024 Senior Notes 6.125 % 202.8 101.4 % 410.8 102.7 % 2025 Senior Notes (2) 6.25 % — — % 102.8 100.5 % 2026 Senior Notes 5.75 % 775.5 103.4 % 775.5 103.4 % _______________ (1) Our 2021 Convertible Notes were redeemed and retired on September 15, 2021. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | NOTE 7 - COMMODITY DERIVATIVE FINANCIAL INSTRUMENTS Objective and Strategy. Our results of operations and operating cash flows are affected by changes in market prices for crude oil, natural gas and NGLs. To manage a portion of our exposure to price volatility from producing crude oil and natural gas we enter into commodity derivative contracts such as collars, fixed-price exchanges and basis protection exchanges, to protect against price declines in future periods. We do not enter into derivative contracts for speculative or trading purposes. We believe our commodity derivative instruments continue to be effective in achieving the risk management objectives for which they were intended. Depending on changes in oil and gas futures markets and management’s view of underlying supply and demand trends, we may increase or decrease our derivative positions from current levels. As of December 31, 2021, we had derivative instruments in place for a portion of our anticipated production in 2022 through 2024. Our commodity derivative contracts have been entered into at no upfront cost to us as we hedge our anticipated production at the then-prevailing commodity market prices, without adjustment for premium or discount. As of December 31, 2021 and 2020, our derivative instruments were comprised of fixed-price swaps, collars and basis protection swaps. • Fixed-price swaps are arrangements that guarantee a fixed price. If the index price is below the fixed contract price, we receive the market price from the purchaser and receive the difference between the index price and the fixed contract price from the counterparty. If the index price is above the fixed contract price, we receive the market price from the purchaser and pay the difference between the index price and the fixed contract price to the counterparty; • Collars contain a fixed floor price (put) and ceiling price (call). If the index price falls below the fixed put strike price, we receive the market price from the purchaser and receive the difference between the put strike price and index price from the counterparty. If the index price exceeds the fixed call strike price, we receive the market price from the purchaser and pay the difference between the call strike price and index price to the counterparty. If the index price is between the put and call strike price, no payments are due to or from the counterparty; • Basis protection swaps are arrangements that guarantee a price differential for natural gas from a specified delivery point. For basis protection swaps, we receive a payment from the counterparty if the price differential is greater than the stated terms of the contract and pay the counterparty if the price differential is less than the stated terms of the contract. Effect of Derivative Instruments on the Consolidated Statements of Operations. The following table presents the impact of our derivative instruments on our consolidated statements of operations for the periods presented: Year Ended December 31, Consolidated Statements of Operations Line Item 2021 2020 2019 (in thousands) Commodity price risk management gain (loss), net Net settlements $ (410,188) $ 279,271 $ (17,598) Net change in fair value of unsettled derivatives (291,268) (99,001) (145,246) Total commodity price risk management gain (loss), net $ (701,456) $ 180,270 $ (162,844) Commodity Derivative Contracts. As of December 31, 2021, we had the following outstanding derivative contracts. When aggregating multiple contracts, the weighted average contract price is presented: Collars Fixed-Price Swaps Commodity/ Index/ Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted Average Contract Price Quantity (Crude Oil - MBbls Gas and Basis- BBtu) Weighted Average Contract Price Fair Value December 31, 2021 (in thousands) Floors Ceilings Crude Oil NYMEX 2022 5,472 $ 53.18 $ 67.33 6,744 $ 44.42 $ (235,146) 2023 2,775 55.00 70.00 5,502 56.83 (58,299) 2024 225 55.00 75.12 1,500 61.27 (2,276) Total Crude Oil 8,472 13,746 (295,721) Natural Gas NYMEX 2022 35,460 3.14 4.78 33,600 2.70 (41,165) 2023 3,000 3.00 4.42 30,398 2.68 (19,171) Total Natural Gas 38,460 63,998 (60,336) Basis Protection - Natural Gas CIG 2022 — — — 69,060 (0.25) (10,650) 2023 — — — 29,438 (0.27) (638) Total Basis Protection - Natural Gas — 98,498 (11,288) Commodity Derivatives Fair Value $ (367,345) Subsequent to December 31, 2021, we entered into the following commodity derivative positions covering our crude oil and natural gas production: Collars Fixed-Price Swaps Commodity/ Index/ Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted Average Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted- Floors Ceilings Crude Oil - NYMEX 2023 1,050 $ 55.00 $ 79.14 — $ — 2024 — — — 2,208 70.25 Natural Gas - NYMEX 2023 12,060 3.08 4.35 — — Natural Gas Basis Protection - CIG 2023 — — — 12,060 (0.29) Effect of Derivative Instruments on the Consolidated Balance Sheet. The balance sheet line items and fair value amounts of our derivative instruments are disclosed in Note 6 - Fair Value Measurements . Our financial derivative agreements contain master netting provisions that provide for the net settlement of contracts through a single payment in the event of early termination. We have elected not to offset the fair value positions recorded on our consolidated balance sheets. The following table reflects the impact of netting agreements on gross derivative assets and liabilities: Total Gross Amount Presented on the Balance Sheet Effect of Master Netting Agreements Total Net Amount As of December 31, 2021 (in thousands) Derivative asset instruments, at fair value $ 33,086 $ (33,086) $ — Derivative liability instruments, at fair value $ 400,431 $ (33,086) $ 367,345 As of December 31, 2020 Derivative asset instruments, at fair value $ 58,434 $ (39,691) $ 18,743 Derivative liability instruments, at fair value $ 134,511 $ (39,691) $ 94,820 Derivative Counterparties. Our commodity derivative instruments expose us to the risk of non-performance by our counterparties. We use financial institutions who are also lenders under our revolving credit facility as counterparties to our commodity derivative contracts. To date, we have had no derivative counterparty default losses. We have evaluated the credit risk of our derivative assets from our counterparties using relevant credit market default rates, giving consideration to amounts outstanding for each counterparty and the duration of each outstanding derivative position. Based on our evaluation, we have determined that the potential impact of nonperformance of our current counterparties on the fair value of our derivative instruments is not significant at December 31, 2021; however, this determination may change. |
Accounts Receivable, Other Accr
Accounts Receivable, Other Accrued Expenses and Other Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Concentration Risks, Types, No Concentration Percentage [Abstract] | |
Accounts Receivable, Other Accrued Expenses and Other Liabilities | NOTE 9 - ACCOUNTS RECEIVABLE, OTHER ACCRUED EXPENSES AND OTHER LIABILITIES Accounts Receivable. The following table presents the components of accounts receivable, net of allowance for doubtful accounts as of the dates indicated: December 31, 2021 2020 (in thousands) Crude oil, natural gas and NGLs sales $ 368,991 $ 178,147 Joint interest billings 24,860 35,396 Other 10,809 37,471 Allowance for doubtful accounts (6,055) (6,763) Accounts receivable, net $ 398,605 $ 244,251 The Company’s accounts receivable consist mainly of receivables from (i) crude oil, natural gas and NGLs purchasers, (ii) joint interest owners in the properties we operate and (iii) derivative counterparties. Most payments for production are received within two months after the production date. For receivables from joint interest owners, we typically have the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings. Credit and Concentration Risk. Inherent to our industry is the concentration of crude oil, natural gas and NGLs sales to a limited number of customers. This concentration has the potential to impact our overall exposure to credit risk in that our customers may be similarly affected by changes in economic and financial conditions, commodity prices or other conditions. Given the liquidity in the market for the sale of hydrocarbons, we believe that the loss of any single purchaser, or the aggregate loss of several purchasers, could be managed by selling to alternative purchasers in our operating areas. The following major customers accounted for 10 percent or more of our total crude oil, natural gas, and NGLs sales for at least one of the periods presented: Year Ended December 31, 2021 2020 2019 Major customer #1 32 % 31 % 20 % Major customer #2 11 % 16 % 16 % Major customer #3 10 % 13 % 11 % Major customer #4 9 % 17 % 17 % Other Accrued Expenses. The following table presents the components of other accrued expenses as of the dates indicated: December 31, 2021 2020 (in thousands) Employee benefits $ 29,319 $ 23,304 Asset retirement obligations 32,146 33,933 Environmental expenses 11,942 10,139 Operating and finance leases 7,197 7,986 Other 10,805 6,353 Other accrued expenses $ 91,409 $ 81,715 Other Liabilities. The following table presents the components of other liabilities as of the dates indicated: December 31, 2021 2020 (in thousands) Deferred midstream gathering credits $ 159,788 $ 168,478 Deferred oil gathering credits 16,080 18,090 Production taxes 131,865 65,592 Operating and finance leases 6,274 10,763 Other 762 1,111 Other liabilities $ 314,769 $ 264,034 Deferred Midstream Gathering Credits. In 2019, we entered into agreements pursuant to which we dedicated the gathering of certain of our production and all water gathering and disposal volumes in the Delaware Basin. The terms of these agreements range from 15 to 22 years. The acreage dedication agreements resulted in initial cash receipts and are being amortized on a units-of-production basis. The amortization rates are assessed on an annual basis for changes in estimated future production. Deferred Oil Gathering Credits. In 2018, we entered into an agreement that dedicates crude oil from the majority of our Wattenberg Field acreage to the midstream provider’s gathering lines and extends the term of the agreement through December 2029. The acreage dedication agreement resulted in an initial cash receipt and is being amortized on a units-of-production basis. The amortization rates are assessed on an annual basis for changes in estimated future production. The following table presents the amortization charges related to our deferred credits recognized on the consolidated statements of operations for the periods indicated: Year Ended December 31, 2021 2020 (in thousands) Crude oil, natural gas and NGLs sales $ — $ 1,013 Transportation, gathering and processing expense 7,317 5,618 Lease operating expense 2,422 2,015 |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-term Debt [Text Block] | NOTE 10 - LONG-TERM DEBT Long-term debt, net of unamortized discounts, premiums, and debt issuance costs totaling $7.9 million and $17.8 million as of December 31, 2021 and December 31, 2020, respectively, consists of the following: December 31, 2021 2020 (in thousands) Revolving credit facility due November 2026 $ — $ 168,000 1.125% Convertible Notes due September 2021 — 193,014 6.125% Senior Notes due September 2024 198,674 396,368 6.25% Senior Notes due December 2025 — 103,204 5.75% Senior Notes due May 2026 743,410 741,976 Total debt, net of unamortized discount, premium and debt issuance costs 942,084 1,602,562 Less: Current portion of long-term debt — 193,014 Total long-term debt $ 942,084 $ 1,409,548 Revolving Credit Facility In November 2021, we entered into a Fifth Amended and Restated Credit Agreement (the “Restated Credit Agreement”), which provides for a maximum credit amount of $2.5 billion, subject to certain limitations, an initial borrowing base of $2.4 billion and an elected commitment of $1.5 billion. The Restated Credit Agreement matures on the earlier to occur of (i) the end of the five year term on November 2, 2026 or (ii) the date that is 91 days prior to the scheduled maturity of the 2026 Senior Notes if the aggregate outstanding principal amount of those notes exceeds $500 million and our commitment utilization exceeds 50%. The revolving credit facility is available for working capital requirements, capital investments, acquisitions, to support letters of credit and for general business purposes. The borrowing base is based on, among other things, the loan value assigned to the proved reserves attributable to our crude oil and natural gas interests. The borrowing base is subject to a semi-annual redetermination on November 1 and May 1 based upon quantification of our reserves at June 30 and December 31, and is also subject to a redetermination upon the occurrence of certain events. Substantially all of our crude oil and natural gas properties have been mortgaged or pledged as security for our revolving credit facility. The Restated Credit Agreement includes an investment grade period election pursuant to which we have an option to remove our borrowing base limitations and terminate the liens securing the Restated Credit Agreement when certain debt ratings are achieved. As of December 31, 2021, we had a borrowing base of $2.4 billion, an elected commitment of $1.5 billion and availability under our revolving credit facility of $1.5 billion, net of $19.9 million of letters of credit outstanding. The outstanding principal amount under the revolving credit facility accrues interest at a varying interest rate that fluctuates with an alternate base rate (equal to the greatest of the administrative agent's prime rate, the federal funds rate plus a premium and the rate for dollar deposits in the Secured Overnight Financing Rate (“SOFR”) for one month, plus a premium) or, at our election, a rate equal to SOFR for certain time periods. Additionally, commitment fees, interest margin and other bank fees, charged as a component of interest, vary with our utilization of the facility. As of December 31, 2021, the applicable interest margin is 0.75 percent for the alternate base rate option or 1.75 percent for the SOFR option, and the unused commitment fee is 0.375 percent. Principal payments are generally not required until the maturity date of the revolving credit facility, unless the borrowing base falls below the outstanding balance. The Restated Credit Agreement also includes the ability to add certain sustainability-linked key performance indicators to be agreed upon between us, the administrative agent and a majority of the lenders and that may impact the applicable margin and commitment fee rate. The revolving credit facility contains various restrictive covenants and compliance requirements, which include, among other things: (i) maintenance of certain financial ratios, as defined per the revolving credit facility, including a minimum current ratio of 1.0:1.0 and a maximum leverage ratio of 3.50:1.0; (ii) restrictions on the payment of cash dividends; (iii) limits on the incurrence of additional indebtedness; (iv) prohibition on the entry into commodity hedges exceeding a specified percentage of our expected production; and (v) restrictions on mergers and dispositions of assets. As of December 31, 2021, we were in compliance with all covenants related to our revolving credit facility. As of December 31, 2021 and 2020, debt issuance costs related to our revolving credit facility were $16.9 million and $8.1 million, respectively, and are included in other assets on our consolidated balance sheets. Senior Notes and Convertible Notes The following table summarizes the face values, interest rates, maturity dates, semi-annual interest payment dates, and optional redemption periods related to our outstanding senior note obligations as of December 31, 2021: 2024 Senior Notes 2026 Senior Notes Outstanding principal amounts (in thousands) $ 200,000 $ 750,000 Interest rate 6.125 % 5.75 % Maturity date September 15, 2024 May 15, 2026 Interest payment dates March 15, September 15 May 15, November 15 Redemption periods (1) September 15, 2022 May 15, 2024 _____________ (1) At any time prior to the indicated dates, we have the option to redeem all or a portion of our senior notes of the applicable series at the redemption amounts specified in the respective senior note indenture plus accrued and unpaid interest to the date of redemption. On or after the indicated dates, we may redeem all or a portion of the senior notes at a redemption amount equal to 100% of the principal amount of the senior notes being redeemed plus accrued and unpaid interest to the date of redemption. Our wholly-owned subsidiary, PDC Permian, Inc., is a guarantor of our obligations under the 2024 Senior Notes and the 2026 Senior Notes (collectively, the “Senior Notes”). The Senior Notes are senior unsecured obligations and rank senior in right of payment to our future indebtedness that is expressly subordinated to the notes; equal in right of payment to our existing and future indebtedness that is not so subordinated; effectively junior in right of payment to all of our secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally junior to all existing and future indebtedness (including trade payables) incurred by our non-guarantor subsidiaries. Upon the occurrence of a “change of control”, as defined in the indentures for the Senior Notes, holders will have the right to require us to repurchase all or a portion of the notes at a price equal to 101 percent of the aggregate principal amount of the notes repurchased, together with accrued and unpaid interest to the date of purchase. In connection with certain asset sales, we may, under certain circumstances, be required to use the net cash proceeds of such asset sale to make an offer to purchase the notes at 100 percent of the principal amount, together with accrued and unpaid interest to the date of purchase. The indentures governing the Senior Notes contain covenants and restricted payment provisions that, among other things, limit our ability and the ability of our subsidiaries to incur additional indebtedness; pay dividends or make distributions on our stock; purchase or redeem stock or subordinated indebtedness; make investments; create certain liens; enter into agreements that restrict distributions or other payments by restricted subsidiaries to us; enter into transactions with affiliates; sell assets; consolidate or merge with or into other companies or transfer all or substantially of our assets; and create unrestricted subsidiaries. As of December 31, 2021, we were in compliance with all covenants and all restricted payment provisions related to our Senior Notes. Retirement of Convertible Notes. On September 15, 2021, we redeemed and retired our 2021 Convertible Notes with a cash payment for the principal amount of $200 million plus accrued and unpaid interest. Early Retirement of Senior Notes. In November 2021, we redeemed $200 million in aggregate principal amount of our 2024 Senior Notes at a redemption price of 101.531 percent of the principal plus accrued and unpaid interest, leaving an aggregate principal amount outstanding of $200 million. Additionally, in December 2021, we redeemed the remaining $102.3 million principal amount of our 2025 Senior Notes at a redemption price of 103.125 percent of the principal plus accrued and unpaid interest. We recognized an aggregate loss on extinguishment of $6.9 million from the partial redemption of our 2024 Senior Notes and retirement of our 2025 Senior Notes. The loss on extinguishment was presented as part of interest expense, net on the consolidated statement of operations. |
Leases Operating and Financing
Leases Operating and Financing Leases (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | NOTE 11 - LEASES We have operating leases for office space and well equipment, and finance leases for vehicles. Our leases have remaining lease terms ranging from one The following table presents the components of lease costs for the periods presented: Year Ended December 31, 2021 2020 (in thousands) Operating lease costs (1) $ 6,125 $ 7,983 Finance lease costs: Amortization of ROU assets 1,752 1,812 Interest on lease liabilities 164 179 Total finance lease costs 1,916 1,991 Short-term lease costs (1) 203,361 193,756 Total lease costs $ 211,402 $ 203,730 _______________ (1) The majority of our operating leases relate to the operation or completion of our wells. Therefore, the lease costs presented in the table above represent the total gross costs we incur, which are not comparable to our net costs recorded to the consolidated statements of operations, consolidated statements of cash flows or capitalized in the consolidated balance sheets, as amounts therein are reflected net of amounts billed to working interest partners. Our operating lease costs are recorded in lease operating expenses or general and administrative expense and our finance lease costs are recorded in DD&A expense and interest expense. Our short-term lease costs include amounts that are capitalized as part of the cost of assets and are recorded as properties and equipment or recognized as expense. The following table presents the balance sheet classification and other information regarding our leases as of the dates indicated: December 31, Consolidated Balance Sheet Line Item 2021 2020 (in thousands) Operating lease ROU assets Other assets $ 7,630 $ 11,722 Finance lease ROU assets Properties and equipment, net $ 3,483 $ 3,189 Total ROU assets $ 11,113 $ 14,911 Operating lease obligation - short-term Other accrued expenses 5,937 6,520 Operating lease obligation - long-term Other liabilities 4,044 9,061 Finance lease obligation - short-term Other accrued expenses 1,260 1,466 Finance lease obligation - long-term Other liabilities 2,230 1,702 Total lease liabilities $ 13,471 $ 18,749 Weighted average remaining lease term (years) 2.8 3.0 Weighted average discount rate 4.8 % 4.8 % Maturity of lease liabilities by year and in the aggregate, under operating and financing leases with terms of one year or more, as of December 31, 2021 consist of the following: Operating Leases Finance Leases Total (in thousands) 2022 $ 6,214 $ 1,378 $ 7,592 2023 1,767 1,119 2,886 2024 950 612 1,562 2025 950 473 1,423 2026 747 148 895 Total lease payments 10,628 3,730 14,358 Less: Interest and discount (647) (240) (887) Present value of lease liabilities $ 9,981 $ 3,490 $ 13,471 |
Leases | NOTE 11 - LEASES We have operating leases for office space and well equipment, and finance leases for vehicles. Our leases have remaining lease terms ranging from one The following table presents the components of lease costs for the periods presented: Year Ended December 31, 2021 2020 (in thousands) Operating lease costs (1) $ 6,125 $ 7,983 Finance lease costs: Amortization of ROU assets 1,752 1,812 Interest on lease liabilities 164 179 Total finance lease costs 1,916 1,991 Short-term lease costs (1) 203,361 193,756 Total lease costs $ 211,402 $ 203,730 _______________ (1) The majority of our operating leases relate to the operation or completion of our wells. Therefore, the lease costs presented in the table above represent the total gross costs we incur, which are not comparable to our net costs recorded to the consolidated statements of operations, consolidated statements of cash flows or capitalized in the consolidated balance sheets, as amounts therein are reflected net of amounts billed to working interest partners. Our operating lease costs are recorded in lease operating expenses or general and administrative expense and our finance lease costs are recorded in DD&A expense and interest expense. Our short-term lease costs include amounts that are capitalized as part of the cost of assets and are recorded as properties and equipment or recognized as expense. The following table presents the balance sheet classification and other information regarding our leases as of the dates indicated: December 31, Consolidated Balance Sheet Line Item 2021 2020 (in thousands) Operating lease ROU assets Other assets $ 7,630 $ 11,722 Finance lease ROU assets Properties and equipment, net $ 3,483 $ 3,189 Total ROU assets $ 11,113 $ 14,911 Operating lease obligation - short-term Other accrued expenses 5,937 6,520 Operating lease obligation - long-term Other liabilities 4,044 9,061 Finance lease obligation - short-term Other accrued expenses 1,260 1,466 Finance lease obligation - long-term Other liabilities 2,230 1,702 Total lease liabilities $ 13,471 $ 18,749 Weighted average remaining lease term (years) 2.8 3.0 Weighted average discount rate 4.8 % 4.8 % Maturity of lease liabilities by year and in the aggregate, under operating and financing leases with terms of one year or more, as of December 31, 2021 consist of the following: Operating Leases Finance Leases Total (in thousands) 2022 $ 6,214 $ 1,378 $ 7,592 2023 1,767 1,119 2,886 2024 950 612 1,562 2025 950 473 1,423 2026 747 148 895 Total lease payments 10,628 3,730 14,358 Less: Interest and discount (647) (240) (887) Present value of lease liabilities $ 9,981 $ 3,490 $ 13,471 |
ASSET RETIREMENT OBLIGATIONS
ASSET RETIREMENT OBLIGATIONS | 12 Months Ended |
Dec. 31, 2021 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligation Disclosure [Text Block] | NOTE 12 - ASSET RETIREMENT OBLIGATIONS The following table presents the changes in carrying amounts of the asset retirement obligations associated with our working interests in crude oil and natural gas properties for the periods presented: Year Ended December 31, 2021 2020 (in thousands) Beginning balance $ 166,570 $ 127,251 Obligations incurred with development activities and other 4,750 6,494 Obligations incurred with acquisition — 47,673 Accretion expense 12,086 10,072 Revisions in estimated cash flows 10,609 4,742 Obligations discharged with asset retirements and divestitures (34,343) (29,662) Asset retirement obligations at end of period 159,672 166,570 Current portion (1) (32,146) (33,933) Long-term portion $ 127,526 $ 132,637 _______________ (1) The current portion of the asset retirement obligation is included in other accrued expenses on our consolidated balance sheets. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure | NOTE 13 - COMMITMENTS AND CONTINGENCIES The following table presents our firm transportation, sales and processing, water delivery and disposal and purchase commitments: Year Ending December 31, 2022 2023 2024 2025 2026 Thereafter Total Expiration Natural gas (MMcf) 82,264 82,264 82,489 70,296 37,029 73,050 427,392 December 31, 2030 Crude oil (MBbls) 23,360 19,685 9,882 9,855 6,561 — 69,343 Water (MBbls) 6,207 6,207 6,224 — — — 18,638 Purchase obligation (Tons) 110,000 300,000 — 410,000 Dollar commitment (in thousands) $ 153,857 $ 157,370 $ 92,247 $ 77,491 $ 39,631 $ 37,811 $ 558,407 Firm Transportation and Processing Agreements. We enter into contracts that provide firm transportation and processing on pipeline systems through which we transport or sell crude oil and natural gas. Satisfaction of the volume requirements includes volumes produced by us and purchased from third parties and produced by other third-party working, royalty and overriding royalty interest owners, whose volumes we market on their behalf. Our consolidated statements of operations reflect our share of these firm transportation and processing costs. These contracts require us to pay these transportation and processing charges whether or not the required volumes are delivered. We may from time to time find ourselves unable to market our commodities at prices acceptable to us, or at all, which could cause us to be unable to meet these obligations. In such cases, we may be subject to fees, minimum margins or other payments. Payments related to our long-term transportation and processing agreements, net of interests, were $31.3 million, $21.4 million, and $27.3 million for the years ended December 31, 2021, 2020, and 2019, respectively. Facilities Expansion Agreements. We entered into two facilities expansion agreements with our primary midstream provider to expand and improve its natural gas gathering pipelines and processing facilities in the Wattenberg Field. The midstream provider completed and turned on line two 200 MMcfd cryogenic plants in 2018 and 2019. Both agreements require baseline volume commitments and aggregate incremental wellhead volume commitments of 98.1 MMcfd and 77.3 MMcfd for the first and second agreements, respectively. We may be required to pay shortfall fees for any volumes under aggregate incremental commitments. Any shortfall in these volume commitments may be offset by other producers’ volumes sold to the midstream provider that are greater than a certain total baseline volume. We are also required for the first three years of the contracts to guarantee a certain target profit margin to the midstream provider on these incremental volumes. The actual net shortfall in target profit margin incurred, which we guaranteed to our midstream provider, was included as part of contract assets as part of other assets on the consolidated balance sheets. Firm sales agreement . As of December 31, 2021 we had a firm sales agreement with an integrated marketing company for our crude oil production in the Delaware Basin through 2023. This agreement is expected to provide price diversification through realization of export market pricing via a Corpus Christi terminal and exposure to Brent-weighted prices. This agreement does not require physical delivery of the minimum volumes of crude oil over the contractual term. However, if we do not sell and deliver at least the minimum contract volume pursuant to the agreement, we are required to pay transportation reservation charges related to the undelivered volume. For the years ended December 31, 2021 and 2020, we did not incur material transportation reservation charges under this agreement. Purchase Obligation. As of December 31, 2021 we had a purchase agreement to buy a minimum volume of frac sand at a fixed sales price effective June 2022 through December 2023. The obligation included in the table above represents the minimum financial commitments pursuant to the terms of the agreement as of December 31, 2021. Litigation and Legal Items. We are involved in various legal proceedings. We review the status of these proceedings on an ongoing basis and, from time to time, may settle or otherwise resolve these matters on terms and conditions that management believes are in our best interests. We have provided the necessary estimated accruals in the accompanying consolidated balance sheets where deemed appropriate for litigation and legal related items that are ongoing and not yet concluded. Although the results cannot be known with certainty, we currently believe that the ultimate results of such proceedings will not have a material adverse effect on our financial position, results of operations or liquidity. |
COMMON STOCK
COMMON STOCK | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Common Stock | NOTE 14 - COMMON STOCK Stock-Based Compensation Plans 2018 Equity Incentive Plan . In 2020, our stockholders approved an amendment to increase the number of shares of our common stock reserved for issuance pursuant to our long-term equity compensation plan for employees and non-employee directors (the “2018 Plan”) from 1,800,000 to 7,050,000 shares. The 2018 Plan expires in March 2028. The capital stock available for issuance under the 2018 Plan consists of shares of the Company’s authorized but unissued common stock or previously issued common stock that has been reacquired by the Company. Additionally, to the extent that an award under the 2018 Plan, in whole or in part, is canceled, expired, forfeited, settled in cash or otherwise terminated without delivery of shares, such shares remain available for issuance. Any shares withheld for taxes cannot be recycled under this plan. Awards may be issued in the form of options, stock appreciation rights (“SARs”), restricted stock, restricted stock units (“RSUs”), performance stock units (“PSUs”) and other stock-based awards. Awards may vest over periods of continued service or upon the satisfaction of performance conditions set at the discretion of the Compensation Committee of our board of directors (the “Compensation Committee”), with a minimum one-year vesting period applicable to most awards. With regard to SARs and options, awards have a maximum exercisable period of ten years. As of December 31, 2021, there were 4,177,611 shares available for grant under the 2018 Plan. 2010 Long-Term Equity Compensation Plan . Our Amended and Restated 2010 Long-Term Equity Compensation Plan, approved in 2013 (the “2010 Plan”), remains outstanding and we may continue to use the 2010 Plan to grant awards. No awards may be granted under the 2010 Plan on or after June 5, 2023. As of December 31, 2021, there were 314,413 shares available for grant under the 2010 Plan. 2015 SRC Equity Incentive Plan . Pursuant to the closing of the SRC Acquisition, SRC granted PSUs to certain SRC executives (the “SRC PSUs”) under the 2015 SRC Equity Incentive Plan (the “2015 SRC Plan”). The SRC PSUs were converted into 155,928 PDC PSUs and remained subject to the same terms and conditions (including performance-vesting terms) that applied immediately prior to the closing of the SRC Acquisition. As of December 31, 2021, all converted SRC PSUs vested and there were no shares available for grant under the 2015 SRC Plan. The following table provides a summary of the impact of our outstanding stock-based compensation plans on the results of operations for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) General and administrative expense $ 21,830 $ 21,182 $ 22,754 Lease operating expense 1,193 1,018 1,083 Total stock-based compensation expense $ 23,023 $ 22,200 $ 23,837 Restricted Stock Units The Company grants to executive officers and employees time-based RSUs, which vest ratably over a three-year service period. The fair value of these time-based RSUs is based on the market price of our common stock on the grant date and is recognized ratably over the requisite service period. The time-based RSUs generally vest ratably on each anniversary following the grant date provided that a participant is continuously employed. The following table presents the changes in non-vested time-based RSUs to eligible employees, including executive officers, during the year ended December 31, 2021: Shares Weighted Average Grant-Date Fair Value per Share Non-vested at beginning of period 1,150,970 $ 20.14 Granted 657,972 33.64 Vested (547,985) 24.86 Forfeited (95,770) 22.74 Non-vested at end of period 1,165,187 25.33 The weighted average grant-date fair value of restricted stock units was $33.64, $11.98 and $40.34 for the years ended December 31, 2021, 2020 and 2019, respectively. The total grant-date fair value of restricted stock units that vested for the years ended December 31, 2021, 2020 and 2019 was $13.6 million, $20.4 million and $16.3 million, respectively. Total compensation cost related to non-vested time-based awards and not yet recognized on the consolidated statements of operations as of December 31, 2021 was $18.2 million. This cost is expected to be recognized over a weighted average period of 1.6 years. Performance Stock Units The Company grants to certain executive officers PSUs which are subject to market-based vesting criteria as well as a three-year service period. The market-based shares vest if the participant is continuously employed throughout the performance period and the market-based performance measure is achieved. The fair value of the market-based PSUs is amortized ratably over the requisite service period. All compensation cost related to the market-based awards will be recognized if the requisite service period is fulfilled, even if the market condition is not achieved. The Compensation Committee awarded a total of 207,655 market-based PSUs to our executive officers during 2021. In addition to continuous employment, the vesting of these PSUs is contingent on a combination of absolute stock performance and our total stockholder return (“TSR”), which is essentially our stock price change including any dividends over a three-year period ending on December 31, 2023, as compared to the TSR of a group of peer companies over the same period. The PSUs will result in a payout between zero and 250 percent of the target PSUs awarded. The grant-date fair value was estimated using a Monte Carlo valuation model. The Monte Carlo valuation model is based on random projections of stock price paths and must be repeated numerous times to achieve a probabilistic assessment. The expected term of the awards was based on the requisite service period. The risk-free interest rate was based on the U.S. Treasury yields in effect at the time of grant and extrapolated to approximate the life of the award. The expected volatility was based on our common stock historical volatility. The following table summarizes the key assumptions and related information used to determine the grant-date fair value of performance stock units awarded during the periods presented: Year Ended December 31, 2021 2020 2019 Expected term of award (in years) 3 3 3 Risk-free interest rate 0.2 % 1.4 % 2.5 % Expected volatility 84.6 % 46.6 % 41.4 % Weighted average grant-date fair value per share $ 54.01 $ 33.52 $ 56.68 The expected term of the awards is based on the number of years from the grant date through the end of the performance period. The risk-free interest rate was based on the U.S. Treasury yields in effect at the time of grant, extrapolated to approximate the life of the awards. The expected volatility was based on our common stock historical volatility, as well as that of our peer group. The following table presents the change in non-vested market-based awards during the year ended December 31, 2021: Shares Weighted Average Grant-Date Fair Value per Share Non-vested at December 31, 2020 499,547 $ 38.66 Granted 207,655 54.01 Vested (267,973) 43.10 Non-vested at December 31, 2021 439,229 43.21 The total grant-date fair value of performance stock units that vested in the years ended December 31, 2021, 2020 and 2019 was $11.6 million, $4.7 million and $2.0 million, respectively. On December 31, 2021, the service period lapsed on 112,045 performance stock units granted in 2019 and 155,928 SRC PSUs that earned 1.90 shares for each vested award resulting in 503,615 aggregate shares of common stock being issued in January 2022. Total compensation cost related to non-vested market-based awards not yet recognized on the consolidated statements of operations as of December 31, 2021 was $10.5 million. This cost is expected to be recognized over a weighted average period of 1.5 years. Preferred Stock We are authorized to issue 50,000,000 shares of preferred stock, par value $0.01 per share, which may be issued in one or more series, with such rights, preferences, privileges and restrictions as shall be fixed by our board of directors from time to time. Through December 31, 2021, no shares of preferred stock have been issued. Stock Repurchase Program In 2019, our board of directors approved the repurchase of up to $200 million of our outstanding common stock (the “Stock Repurchase Program”). Effective upon the closing of the SRC Acquisition, our board of directors approved an increase and extension to the Stock Repurchase Program from $200 million to $525 million. Repurchases under the Stock Repurchase Program can be made in open markets at our discretion and in compliance with safe harbor provisions, or in privately negotiated transactions. The Stock Repurchase Program does not require any specific number of shares to be acquired, is subject to market conditions and can be modified or discontinued by the board of directors at any time. Pursuant to the Stock Repurchase Program, we repurchased 3.8 million and 1.3 million shares of outstanding common stock at a cost of $159.5 million and $23.8 million during the years ended December 31, 2021 and 2020, respectively. We suspended the program in 2020 due to adverse market conditions but reinstated it in 2021. As of December 31, 2021, $187.3 million remained available under the program for repurchases of our outstanding common stock. In February 2022, our board of directors increased the size of the program to $1.25 billion and extended it through December 31, 2023. The Stock Repurchase Program is being implemented at the discretion of our board of directors and may be suspended, modified, extended or discontinued by our board of directors at any time. Dividends |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | NOTE 15 - INCOME TAXES The table below presents the components of our provision for income tax (expense) benefit for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Current: Federal $ — $ 1,592 $ 1,366 State (200) (220) (300) Total current income tax benefit (200) 1,372 1,066 Deferred: Federal (23,790) 5,460 4,507 State (2,593) 1,070 (2,251) Total deferred income tax (expense) benefit (26,383) 6,530 2,256 Income tax (expense) benefit $ (26,583) $ 7,902 $ 3,322 The following table presents a reconciliation of the federal statutory rate to the effective tax rate related to our (expense) benefit for income taxes for the periods presented: Year Ended December 31, 2021 2020 2019 Federal statutory tax rate 21.0 % 21.0 % 21.0 % State income tax, net 3.2 3.0 3.6 Federal tax credits — — (3.3) Effect of state income tax rate changes — 0.2 (6.4) Change in valuation allowance (19.8) (22.1) (0.6) Non-deductible compensation 0.3 (0.6) (5.0) Non-deductible acquisition costs — (0.1) (2.3) Non-deductible government relations 0.1 (0.1) (1.0) Other non-deductible items — — (0.5) Other — (0.2) — Effective tax rate 4.8 % 1.1 % 5.5 % The effective income tax rates for 2021 and 2020 were 4.8 percent and 1.1 percent on the respective pre-tax income or loss. The effective tax rates of 4.8 percent for 2021 and 1.1 percent for 2020 differ from the amount that would be provided by applying the statutory U.S. federal income tax rate of 21 percent to the pre-tax income or loss due to the valuation allowance in effect at December 31, 2021 and 2020. The effective tax rate of 5.5 percent for 2019 differs from the statutory U.S. federal income tax rate of 21 percent due to state income taxes, non-deductible lobbying expenses, stock-based compensation and nondeductible officers’ compensation. Tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities as of the dates indicated: December 31, 2021 2020 (in thousands) Deferred tax assets: Deferred compensation $ 9,949 $ 10,472 Asset retirement obligations 38,274 39,371 Federal NOL carryforward 97,555 97,880 State NOL and tax credit carryforwards, net 20,266 21,034 Federal tax - credit carryforwards 3,059 3,059 Net change in fair value of unsettled commodity derivatives 88,053 18,351 Prepaid revenue 3,854 4,364 Other 4,454 5,741 Valuation allowance (56,634) (165,575) Total gross deferred tax assets 208,830 34,697 Deferred tax liabilities: Properties and equipment 235,213 33,183 Convertible debt — 1,514 Total gross deferred tax liabilities 235,213 34,697 Net deferred tax liability $ 26,383 $ — We consider whether a portion, or all, of our deferred tax assets (“DTAs”) will be realized based on a more likely than not standard of judgment. The ultimate realization of DTAs is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. At each reporting period, management considers the scheduled reversal of deferred tax liabilities, available taxes in carryback periods, tax planning strategies and projected future taxable income in making this assessment. The oil and gas property impairments and cumulative pre-tax losses were key considerations that led us to continue to provide a valuation allowance against our DTAs as of December 31, 2021 and 2020 since we cannot conclude that it is more likely than not that our DTAs will be fully realized in future periods. Future events or new evidence which may lead us to conclude that it is more likely than not that our DTAs will be realized include, but are not limited to, cumulative historical pre-tax earnings, sustained or continued improvements in oil prices, and taxable events that could result from one or more transactions. Given recent improvements in oil and gas prices and improvements in our current earnings, we believe there is a reasonable possibility that, if oil and natural gas prices remain similar to December 31, 2021 pricing levels, sufficient positive evidence may become available within the next 12 months to allow us to reach a conclusion that all or a significant portion of the valuation allowance will no longer be needed. Release of the valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense in the period the release is recorded. However, the exact timing and amount of the valuation allowance release are subject to change based on the level of profitability that we actually achieve. As of December 31, 2021, we have estimated net operating loss carryforwards (“NOLs”) for federal income tax purposes of $464.5 million, of which $304 million was generated before January 1, 2018 and is not subject to the 80 percent limitation of taxable income. Such NOLs will expire beginning in 2033. In 2016, we acquired a federal NOL of $60.1 million as a component of our acquisition in the Delaware Basin that will begin to expire in 2033. Also, we acquired a federal NOL of $232.5 million as a component of the SRC Acquisition that will begin to expire in 2037. The federal NOLs acquired as part of the Delaware Basin acquisition and the SRC Acquisition are subject to an annual limitation of $15.1 million and $16.1 million, respectively, as both acquisitions constitute a change of ownership as defined under Internal Revenue Service (“IRS”) Code Section 382. As of December 31, 2021, we have state NOL carryforwards of $479.4 million that begin to expire in 2029 and state credit carryforwards of $3.9 million that begin to expire in 2022. Unrecognized tax benefits and related accrued interest and penalties were immaterial for the three-year period ended December 31, 2021. As of December 31, 2021, there is no liability for unrecognized income tax benefits. |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |
Earnings Per Share [Text Block] | NOTE 16 - EARNINGS PER SHARE Basic earnings per share is computed by dividing net earnings by the weighted average number of common shares outstanding for the period. Diluted earnings per share is similarly computed except that the denominator includes the effect, using the treasury stock method, of unvested equity-based employee awards, convertible notes and shares held pursuant to our non-employee director deferred compensation plan, if including such potential shares of common stock is dilutive. The following table presents our weighted average basic and diluted shares outstanding for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Weighted average common shares outstanding - basic 98,546 98,251 64,032 Dilutive effect of: RSUs and PSUs 1,596 — — Other equity-based awards 12 — — Weighted average common shares and equivalents outstanding - diluted 100,154 98,251 64,032 We reported a net loss for the years ended December 31, 2020 and 2019. As a result, our basic and diluted weighted average common shares outstanding were the same for those periods because the effect of the common share equivalents was anti-dilutive. The following table presents the weighted average common share equivalents excluded from the calculation of diluted earnings per share due to their anti-dilutive effect for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Weighted average common share equivalents excluded from diluted earnings per share due to their anti-dilutive effect: RSUs and PSUs 28 1,707 989 Other equity-based awards 116 229 302 Total anti-dilutive common share equivalents 144 1,936 1,291 |
Supplemental Cash Flow Suppleme
Supplemental Cash Flow Supplemental Cash Flow (Notes) | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | NOTE 17 - SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION Year Ended December 31, 2021 2020 2019 (in thousands) Supplemental cash flow information Cash payments (receipts) for Interest, net of capitalized interest $ 66,647 $ 75,506 $ 57,439 Income taxes (1,057) 9 (1,167) Non-cash investing and financing activities Change in accounts payable related to capital expenditures 519 (28,676) (68,246) Change in asset retirement obligations, with a corresponding change to crude oil and natural gas properties, net of disposals 11,673 54,984 29,533 Issuance of common stock for acquisition of crude oil and natural gas properties, net — 1,009,015 — Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 7,603 $ 9,246 $ 5,301 Operating cash flows from finance leases 117 156 253 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 1,457 $ 4,305 $ 1,428 Finance leases 2,109 703 2,323 |
Organization, Consolidation and
Organization, Consolidation and Presentation of Financial Statements (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation, Policy [Policy Text Block] | The accompanying audited consolidated financial statements include the accounts of PDC and our wholly-owned subsidiaries. Pursuant to the proportionate consolidation method, our accompanying consolidated financial statements include our pro rata share of assets, liabilities, revenues and expenses of the entities which we proportionately consolidate. All material intercompany accounts and transactions have been eliminated in consolidation. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates in the Preparation of Financial Statements. The preparation of our consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires us to make estimates and assumptions that affect the amounts reported on our consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Estimates which are particularly significant to our consolidated financial statements include estimates of proved oil and natural gas reserves used in calculating depletion; estimates of unpaid revenues and unbilled costs; future cash flows from proved oil and natural gas reserves on proved oil and natural gas properties used in impairment assessment; valuation of commodity derivative instruments; the estimation of future abandonment obligations used in asset retirement obligations; valuation of proved and unproved crude oil and natural gas properties from purchased and exchanged businesses and assets; and valuation of deferred income tax assets. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. Cash and cash equivalents potentially subject us to a concentration of credit risk as substantially all of our deposits held in financial institutions were in excess of federal deposit insurance limits as of December 31, 2021 and 2020. We maintain our cash and cash equivalents in the form of money market and checking accounts with financial institutions that we believe are creditworthy and are also lenders under our revolving credit facility. |
Derivative Financial Instruments, Policy [Policy Text Block] | Commodity Derivative Financial Instruments. Our results of operations and operating cash flows are affected by changes in market prices for crude oil, natural gas and NGLs. To manage a portion of our exposure to price volatility from producing crude oil and natural gas we enter into commodity derivative contracts to protect against price declines in future periods. We have elected not to designate any of our commodity derivative instruments as cash flow hedges; therefore, these instruments do not qualify for hedge accounting. Accordingly, changes in the fair value of our derivative instruments are recorded in the consolidated statements of operations. Under applicable accounting standards, the fair value of each derivative instrument is recorded as either an asset or liability on the consolidated balance sheet. We measure the fair value of our commodity derivative instruments based upon a pricing model that utilizes market-based inputs, including, but not limited to, contractual price of the underlying position, current market prices, crude oil and natural gas forward curves, discount rates, volatility factors and nonperformance risk. |
Natugal Gas and Crude Oil Properties, Policy [Policy Text Block] | Properties and Equipment. Crude Oil and Natural Gas Properties. We account for our crude oil and natural gas properties under the successful efforts method of accounting. Under this method, costs of proved developed producing properties, successful exploratory wells and developmental dry hole costs are capitalized and depleted by the unit-of-production method based on estimated proved developed producing reserves. We have determined that we have two unit-of-production fields: the Wattenberg Field and the Delaware Basin. In making these conclusions we consider the geographic concentration, operating similarities within the areas, geologic considerations and common cost environments in these areas. We calculate quarterly depletion expense by using our estimated prior period-end reserves as the denominator, with the exception of our fourth quarter where we use the year-end reserve estimate adjusted for fourth quarter production. The process of estimating and evaluating crude oil and natural gas reserves is complex, requiring significant decisions in the evaluation of available geological, geophysical, engineering and economic data. The data for a given property may also change substantially over time as a result of numerous factors, including additional development activity, evolving production history and a continual reassessment of the viability of production under changing economic conditions. As a result, revisions in existing reserve estimates occur. Capitalized development costs of producing oil and natural gas properties are depleted over proved developed reserves and leasehold costs are depleted over total proved reserves. Upon the sale or retirement of significant portions of or complete fields of depreciable or depletable property, the net book value thereof, less proceeds or salvage value, is recognized as a gain or loss. Exploration costs, including geological and geophysical expenses, seismic costs on unproved leaseholds and delay rentals are expensed as incurred. Exploratory well drilling costs, including the cost of stratigraphic test wells, are initially capitalized, but charged to expense if the well is determined to be economically nonproductive. The status of each in-progress well is reviewed quarterly to determine the proper accounting treatment under the successful efforts method of accounting. Exploratory well costs continue to be capitalized as long as we have identified a sufficient quantity of reserves to justify completion as a producing well, we are making sufficient progress assessing our reserves and economic and operating viability or we have not made sufficient progress to allow for final determination of productivity. If an in-progress exploratory well is found to be economically unsuccessful prior to the issuance of the financial statements, the costs incurred prior to the end of the reporting period are charged to exploration expen se. If we are unable to make a final determination about the productive status of a well prior to issuance of the financial statements, the costs associated with the well are classified as suspended well costs until we have had sufficient time to conduct additional completion or testing operations to evaluate the pertinent geological and engineering data obtained. At the time we are able to make a final determination of a well’s productive status, the well is removed from suspended well status and the resulting accounting treatment is recorded. Unproved property costs not subject to depletion primarily include leasehold costs, broker and legal expenses and capitalized internal costs associated with developing oil and natural gas prospects on these properties. Leasehold costs are transferred into costs subject to depletion on an ongoing basis as these properties are evaluated and proved reserves are established. Additional costs not subject to depletion include costs associated with development wells in progress or awaiting completion at year-end. These costs are transferred into costs subject to depletion on an ongoing basis as these wells are completed and proved reserves are established or confirmed. |
Proved and Unproved Property, Impairment [Policy Text Block] | Proved Property Impairment. Annually, or upon a triggering event, we assess the valuation of our proved crude oil and natural gas properties for possible impairment by comparing the carrying value to estimated undiscounted future net cash flows on a field-by-field basis using estimated production and prices at which we estimate the commodity will be sold. If carrying values exceed undiscounted future net cash flows, the measurement of impairment is based on estimated fair value utilizing a discounted future cash flows analysis. The impairment recorded is the amount by which the carrying values exceed the fair value. In the impairment assessment we estimate the fair value of proved crude oil and natural gas properties using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved crude oil and natural gas properties include estimates of future production volumes, future operating and development costs, future commodity prices, and a market based weighted average cost of capital rate. Certain events, including but not limited to downward revisions in estimates of our reserve quantities, expectations of falling commodity prices or rising capital and operating costs, could result in a triggering event, and may result to a possible impairment of our proved crude oil and natural gas properties. |
Property, Plant and Equipment, Policy [Policy Text Block] | Other Property and Equipment. Other property and equipment such as vehicles, facilities, office furniture and equipment, buildings and computer hardware and software is carried at cost. Depreciation is provided principally on the straight-line method over the assets’ estimated useful lives, which range from two to 35 years. Total depreciation expense related to other property and equipment was $7.7 million, $8.7 million and $5.7 million for the years ended December 31, 2021, 2020 and 2019, respectively. We review other property and equipment for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying value of the asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying value of the asset exceeds the estimated future cash flows, an impairment charge is recognized for the amount by which the carrying value of the asset exceeds its fair value. |
Internal Use Software, Policy [Policy Text Block] | Internal-Use Software. Internal-use software costs incurred during the development stage of our enterprise resource planning software are capitalized. The development stage generally includes software design, configuration, testing and installation activities. Training and maintenance costs are expensed as incurred, while upgrades and enhancements are capitalized if it is probable that such expenditures will result in additional functionality. Capitalized internal-use software costs are depreciated over the estimated useful life of the underlying project on a straight-line basis upon completion of the project. |
Interest Capitalization, Policy [Policy Text Block] | Capitalized Interest. We capitalize interest on expenditures made in connection with exploration and development projects that are not subject to current depletion. Interest is capitalized only for the period that activities are in progress to bring unevaluated properties to its intended use. Interest capitalized may not exceed gross interest expense for the period. Capitalized interest totaled $17.8 million, $19.7 million and $13.4 million during the year ended December 31, 2021, 2020 and 2019, respectively. |
Assets Held For Sale, Policy [Policy Text Block] | Assets Held-for-Sale. |
Income Tax, Policy [Policy Text Block] | Income Taxes. We account for income taxes under the asset and liability method. We recognize deferred income tax assets and liabilities for the future tax consequences attributable to operating loss and credit carryforwards and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred income tax assets and liabilities are measured using enacted tax rates applicable to the future period when those temporary differences are expected to be recovered or settled. The effect on deferred income tax assets and liabilities of a change in tax rate is recognized in income in the period that includes the enactment date. If we determine that it is more likely than not that some portion or all of the deferred income tax assets will not be realized, we record a valuation allowance, thereby reducing the deferred income tax assets to what we consider realizable. We recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. Our policy is to recognize interest and penalties related to uncertain tax positions in interest expense. |
Debt Issuance Costs, Policy [Policy Text Block] | Debt Issuance Costs and Discounts. Debt issuance costs and discounts are capitalized and amortized over the life of the respective borrowings using the effective interest method. Debt issuance costs for the Senior Notes are included in long-term debt and the debt issuance costs for the revolving credit facility are included in other assets. |
Asset Retirement Obligation [Policy Text Block] | Asset Retirement Obligations. We recognize the estimated liability for future costs associated with the plugging and abandonment of our oil and gas properties resulting from acquisition, construction or normal operation. We account for asset retirement obligations by recording the fair value of our plugging and abandonment obligations when incurred, which is at the time the related well is completed. Upon initial recognition of an asset retirement obligation, we increase the carrying amount of the associated long-lived asset by the same amount as the liability. Over time, the liability is accreted for the change in the present value (accretion expense). The initial capitalized cost, net of salvage value, is depleted over the useful life of the related asset through a charge to DD&A expense. If the fair value of the estimated asset retirement obligation changes, an adjustment is recorded to both the asset retirement obligation and the asset retirement cost (presented as part of properties and equipment). Revisions in estimated liabilities can result from, among other things, changes in retirement costs or the estimated timing of settling asset retirement obligations. |
Treasury Shares, Policy [Policy Text Block] | Treasury Shares. We record treasury share purchases at cost, which includes incremental direct transaction costs. Amounts are recorded as a reduction in shareholders’ equity. When we retire treasury shares, we charge any excess of cost over the par value to additional paid-in-capital (“APIC”), to the extent we have amounts in APIC, with any remaining excess cost being charged to retained earnings. |
Revenue [Policy Text Block] | Revenue Recognition. Crude oil, natural gas and NGLs revenues are recognized when we have transferred control of crude oil, natural gas or NGLs production to the purchaser. We consider the transfer of control to have occurred when the purchaser has the ability to direct the use of, and obtain substantially all of the remaining benefits from, the crude oil, natural gas or NGLs production. We record revenues based on an estimate of the volumes delivered at estimated prices as determined by the applicable sales agreement. We estimate our sales volumes based on company-measured volume readings. We then adjust our crude oil, natural gas and NGLs sales in subsequent periods based on the data received from our purchasers that reflects actual volumes delivered and prices received. We receive payment for sales one to two months after actual delivery has occurred. The differences in sales estimates and actual sales are recorded one to two months later. Historically, these differences have not been material. We account for natural gas imbalances using the sales method. For the years ending December 31, 2021, 2020 and 2019, the impact of any natural gas imbalances was not significant. Our crude oil, natural gas and NGLs sales are recorded using either the “net-back” or “gross” method of accounting, depending upon the related agreement. We use the net-back method when control of the crude oil, natural gas or NGLs has been transferred to the purchasers of these commodities that are providing transportation, gathering or processing services. In these situations, the purchaser pays us proceeds based on a percent of the proceeds or have fixed our sales price at index less specified deductions. The net-back method results in the recognition of a net sales price that is lower than the index for which the production is based because the operating costs and profit of the midstream facilities are embedded in the net price we are paid. We use the gross method of accounting when control of the crude oil, natural gas or NGLs is not transferred to the purchaser and the purchaser does not provide transportation, gathering or processing services as a function of the price we receive. Rather, we contract separately with midstream providers for the applicable transport and processing on a per unit basis. Under this method, we recognize revenues based on the gross selling price and recognize transportation, gathering and processing expenses. For our product sales that have a contract term greater than one year, the Company has utilized the practical expedient in ASC Topic 606 which states the Company is not required to disclose the transaction price allocated to the remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. Under these sales contracts, monthly sales of a product generally represent a separate performance obligation; therefore, future commodity volumes to be delivered and sold are wholly unsatisfied and disclosure of the transaction price allocated to such unsatisfied performance obligations is not required. |
Accounting for Acquisitions using Purchase Accounting [Policy Text Block] | Business Combinations. We utilize the acquisition method to account for acquisitions of businesses. Pursuant to the acquisition method, we allocate the cost of the acquisition to assets acquired and liabilities assumed based on fair values as of the acquisition date. The purchase price allocations are based upon appraisals, discounted cash flows and estimates by management, which are Level 3 inputs. When appropriate, we review recent comparable purchases and sales of crude oil and natural gas properties within the same regions and use that data as a basis for fair market value; for example, the amount at which a willing buyer and seller would enter into an exchange for such properties. In estimating the fair values of assets acquired and liabilities assumed, we make various assumptions. The most significant assumptions relate to the estimated fair values assigned to proved developed producing, proved developed non-producing, proved undeveloped and unproved crude oil and natural gas properties. To estimate the fair value of these properties as part of acquisition accounting, we estimate the fair value of proved crude oil and natural gas properties using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs and assumptions to the valuation of proved crude oil and natural gas properties include estimates of reserves volumes, future operating and development costs, future commodity prices, and a market based weighted average cost of capital rate. The market based weighted average cost of capital rate is subject to additional project-specific risking factors. To compensate for the inherent risk of estimating and valuing unproved properties, we reduce the discounted future net revenues of probable and possible reserves by additional risk-weighting factors. Additionally, for acquisitions with significant unproved properties, we complete an analysis of recent comparable purchased properties to determine an estimation of fair value. If applicable, we record deferred taxes for any differences between the assigned values and tax basis of assets and liabilities. Estimated deferred taxes are based on available information concerning the tax basis of assets acquired and liabilities assumed and loss carryforwards at the acquisition date, although such estimates may change in the future as additional information becomes known. |
Asset Exchange [Policy Text Block] | Acreage Exchanges . From time to time, we enter into acreage exchanges in order to consolidate our core acreage positions, enabling us to have more control over the timing of development activities, achieve higher working interests and provide us the ability to drill longer lateral length wells within those core areas. We account for our nonmonetary acreage exchanges in accordance with the guidance prescribed by Accounting Standards Codification 845, Nonmonetary Transactions . For those exchanges that lack commercial substance, we record the acreage received at the net carrying value of the acreage surrendered to obtain it. For those acreage exchanges that are deemed to have commercial substance, we record the acreage received at fair value, with a related gain or loss recognized in earnings, in accordance with Accounting Standards Codification 820, Fair Value Measurement |
Stock-Based Compensation, Policy [Policy Text Block] | Stock-Based Compensation. Stock-based compensation is recognized within our financial statements based on the grant-date fair value of the equity instrument awarded. Stock-based compensation expense is recognized in the financial statements on a straight-line basis over the requisite service period for the entire award and we account for forfeitures of stock-based compensation awards as they occur. |
Fair Value Measurement, Policy | Fair Value of Assets and Liabilities. The Company follows the authoritative accounting guidance for measuring fair value of assets and liabilities in its financial statements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Our fair value measurements are estimated pursuant to a fair value hierarchy that requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, giving the highest priority to quoted prices in active markets (Level 1) and the lowest priority to unobservable data (Level 3). In some cases, the inputs used to measure fair value might fall in different levels of the fair value hierarchy. The lowest level input that is significant to a fair value measurement in its entirety determines the applicable level in the fair value hierarchy. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability, and may affect the valuation of the assets and liabilities and their placement within the fair value hierarchy levels. The three levels of inputs that may be used to measure fair value are defined as: Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 – Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable for the asset or liability, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability and inputs that are derived from observable market data by correlation or other means. |
Lessee, Leases | Leases. We determine if an arrangement is representative of a lease at contract inception. Right-of-use (“ROU”) assets represent our right to use the underlying assets for the lease term and the corresponding lease liabilities represent our obligations to make lease payments arising from the leases. Operating and finance lease ROU assets and liabilities are recognized at the commencement date based on the present value of the expected lease payments over the lease term. As most of our leases do not provide an implicit interest rate, we utilize our incremental borrowing rate based on information available at the commencement date in determining the present value of lease payments. Subsequent measurement, as well as presentation of expenses and cash flows, will depend upon the classification of the lease as either a finance or operating lease. Terms of our leases include options to extend or terminate the lease only when we can ascertain that it is reasonably certain we will exercise that option. Leases with an initial term of one year or less are not recorded on the consolidated balance sheets. |
Earnings Per Share, Policy [Policy Text Block] | Basic earnings per share is computed by dividing net earnings by the weighted average number of common shares outstanding for the period. Diluted earnings per share is similarly computed except that the denominator includes the effect, using the treasury stock method, of unvested equity-based employee awards, convertible notes and shares held pursuant to our non-employee director deferred compensation plan, if including such potential shares of common stock is dilutive. |
Business Combination Purchase P
Business Combination Purchase Price Transaction Details (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combination, Separately Recognized Transactions [Line Items] | |
Business Acquisition, Pro Forma Information | Year Ended December 31, 2020 2019 (in thousands, except per share data) Total revenue $ 1,361,051 $ 1,761,498 Net income (loss) (695,663) 139,578 Earnings (loss) per share: Basic $ (6.97) $ 1.36 Diluted (6.97) 1.35 |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | (in thousands) Consideration: Cash $ 40 Retirement of seller’s credit facility 166,238 Total cash consideration 166,278 Common stock issued 1,009,015 Shares withheld in lieu of taxes 6,299 Total consideration $ 1,181,592 Recognized amounts of identifiable assets acquired and liabilities assumed: Assets acquired: Current assets $ 145,792 Properties and equipment, net - proved 1,613,674 Properties and equipment, net - unproved 109,615 Properties and equipment, net - other 16,242 Deferred tax asset 189,311 Other assets 11,810 Total assets acquired $ 2,086,444 Liabilities assumed: Current liabilities $ (253,967) Senior notes (555,500) Asset retirement obligations (42,417) Other liabilities (52,968) Total liabilities assumed (904,852) Total identifiable net assets acquired $ 1,181,592 |
Revenue Recognition Revenue R_2
Revenue Recognition Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | Disaggregated Revenue. The following table presents crude oil, natural gas and NGLs sales disaggregated by commodity and operating region for the periods presented: Year Ended December 31, Revenue by Commodity and Operating Region 2021 2020 2019 (in thousands) Crude oil Wattenberg Field $ 1,275,666 $ 668,948 $ 767,760 Delaware Basin 255,135 147,902 252,929 Total 1,530,801 816,850 1,020,689 Natural gas Wattenberg Field 458,870 171,755 137,143 Delaware Basin 60,733 6,997 13,877 Total 519,603 178,752 151,020 NGLs Wattenberg Field 428,570 128,126 94,347 Delaware Basin 73,584 28,827 41,219 Total 502,154 156,953 135,566 Crude oil, natural gas and NGLs Wattenberg Field 2,163,106 968,829 999,250 Delaware Basin 389,452 183,726 308,025 Total $ 2,552,558 $ 1,152,555 $ 1,307,275 |
Contract with Customer, Asset and Liability | December 31, 2021 2020 (in thousands) Beginning balance $ 25,872 $ 11,494 Additions (Net reduction to additions previously recognized) (7,705) 16,739 Amortized as a reduction to crude oil, natural gas and NGLs sales (2,695) (2,361) Ending balance $ 15,472 $ 25,872 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments Fair Value Measurements and Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following table presents, for each applicable level within the fair value hierarchy, our derivative assets and liabilities, including both current and non-current portions, measured at fair value on a recurring basis as of the dates indicated: December 31, 2021 December 31, 2020 Consolidated Balance Sheet Line Item Significant Other Significant Total Significant Other Significant Total (in thousands) Derivative assets Current Fair value of derivatives $ — $ 17,909 $ 17,909 $ 36,580 $ 12,289 $ 48,869 Non-current Fair value of derivatives 605 14,572 15,177 315 9,250 9,565 Total $ 605 $ 32,481 $ 33,086 $ 36,895 $ 21,539 $ 58,434 Derivative liabilities Current Fair value of derivatives $ (230,695) $ (74,175) $ (304,870) $ (76,420) $ (21,732) $ (98,152) Non-current Fair value of derivatives (74,715) (20,846) (95,561) (28,125) (8,234) (36,359) Total $ (305,410) $ (95,021) $ (400,431) $ (104,545) $ (29,966) $ (134,511) |
Fair Value Assets and Liabilities Unobservable Input Reconciliation [Table Text Block] | The following table presents a reconciliation of our Level 3 assets and liabilities measured at fair value for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Fair value of Level 3 instruments, net asset (liability) beginning of period $ (8,427) $ 8,414 $ 58,329 Changes in fair value included in consolidated statements of operations line item: Commodity price risk management gain (loss), net (206,109) 37,821 (41,749) Settlements included in consolidated statements of operations line items: Commodity price risk management gain (loss), net 151,996 (54,662) (8,166) Fair value of Level 3 instruments, net asset (liability) end of period $ (62,540) $ (8,427) $ 8,414 Net change in fair value of Level 3 unsettled derivatives included in consolidated statements of operations line item: Commodity price risk management gain (loss), net $ (35,108) $ — $ (22,694) Total $ (35,108) $ — $ (22,694) |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block] | The portion of our long-term debt related to our revolving credit facility approximates fair value, as the applicable interest rates are variable and reflective of market rates. We have not elected to account for the portion of our debt related to our senior notes under the fair value option; however, we have determined an estimate of the fair values based on measurements of trading activity and broker or dealer quotes, which are published market prices, and therefore are Level 2 inputs. The table below presents these estimates of the fair value of the portion of our long-term debt related to our senior notes and convertible notes as of the dates indicated: December 31, 2021 2020 Nominal Interest Estimated Fair Value Percent of Par Estimated Fair Value Percent of Par (in millions) (in millions) 2021 Convertible Notes (1) 1.125 % $ — — % $ 196.2 98.1 % 2024 Senior Notes 6.125 % 202.8 101.4 % 410.8 102.7 % 2025 Senior Notes (2) 6.25 % — — % 102.8 100.5 % 2026 Senior Notes 5.75 % 775.5 103.4 % 775.5 103.4 % |
Derivative Financial Instrume_2
Derivative Financial Instruments Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments Not Designated as Hedging Instruments [Abstract] | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | The following table presents the impact of our derivative instruments on our consolidated statements of operations for the periods presented: Year Ended December 31, Consolidated Statements of Operations Line Item 2021 2020 2019 (in thousands) Commodity price risk management gain (loss), net Net settlements $ (410,188) $ 279,271 $ (17,598) Net change in fair value of unsettled derivatives (291,268) (99,001) (145,246) Total commodity price risk management gain (loss), net $ (701,456) $ 180,270 $ (162,844) |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | As of December 31, 2021, we had the following outstanding derivative contracts. When aggregating multiple contracts, the weighted average contract price is presented: Collars Fixed-Price Swaps Commodity/ Index/ Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted Average Contract Price Quantity (Crude Oil - MBbls Gas and Basis- BBtu) Weighted Average Contract Price Fair Value December 31, 2021 (in thousands) Floors Ceilings Crude Oil NYMEX 2022 5,472 $ 53.18 $ 67.33 6,744 $ 44.42 $ (235,146) 2023 2,775 55.00 70.00 5,502 56.83 (58,299) 2024 225 55.00 75.12 1,500 61.27 (2,276) Total Crude Oil 8,472 13,746 (295,721) Natural Gas NYMEX 2022 35,460 3.14 4.78 33,600 2.70 (41,165) 2023 3,000 3.00 4.42 30,398 2.68 (19,171) Total Natural Gas 38,460 63,998 (60,336) Basis Protection - Natural Gas CIG 2022 — — — 69,060 (0.25) (10,650) 2023 — — — 29,438 (0.27) (638) Total Basis Protection - Natural Gas — 98,498 (11,288) Commodity Derivatives Fair Value $ (367,345) |
Subsequent Commodity Derivative Positions | Subsequent to December 31, 2021, we entered into the following commodity derivative positions covering our crude oil and natural gas production: Collars Fixed-Price Swaps Commodity/ Index/ Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted Average Quantity (Crude oil - MBbls Natural Gas - BBtu) Weighted- Floors Ceilings Crude Oil - NYMEX 2023 1,050 $ 55.00 $ 79.14 — $ — 2024 — — — 2,208 70.25 Natural Gas - NYMEX 2023 12,060 3.08 4.35 — — Natural Gas Basis Protection - CIG 2023 — — — 12,060 (0.29) |
Properties and Equipment (Table
Properties and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Oil and Gas Property [Abstract] | |
Property, Plant and Equipment [Table Text Block] | The following table presents the components of properties and equipment, net of accumulated depreciation, depletion and amortization (“DD&A”), as of the dates indicated: December 31, 2021 2020 (in thousands) Properties and equipment, net: Crude oil and natural gas properties Proved $ 8,310,018 $ 7,523,639 Unproved 306,181 350,677 Total crude oil and natural gas properties 8,616,199 7,874,316 Equipment and other 63,099 65,027 Land and buildings 19,928 24,299 Construction in progress 371,968 523,550 Properties and equipment, at cost 9,071,194 8,487,192 Accumulated DD&A (4,256,329) (3,627,993) Properties and equipment, net $ 4,814,865 $ 4,859,199 |
Impairment of natural gas and crude oil properties [Table Text Block] | The following table presents impairment charges recorded for properties and equipment for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Impairment of proved and unproved properties $ 402 $ 881,238 $ 10,599 Impairment of infrastructure and other — 1,155 27,937 Total impairment of properties and equipment $ 402 $ 882,393 $ 38,536 |
Capitalized Exploratory Well Costs, Roll Forward | The following table presents the capitalized exploratory well cost pending determination of proved reserves and included in properties and equipment for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands, except for number of wells) Beginning balance $ 7,459 $ 16,078 $ 12,188 Additions to capitalized exploratory well costs pending the determination of proved reserves 5,902 11,770 31,901 Reclassifications to proved properties (13,361) (20,389) (28,011) Ending balance $ — $ 7,459 $ 16,078 Number of wells pending determination at period-end — 2 4 |
Accounts Receivable, Other Ac_2
Accounts Receivable, Other Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Concentration Risks, Types, No Concentration Percentage [Abstract] | |
Accounts Receivable [Table Text Block] | Accounts Receivable. The following table presents the components of accounts receivable, net of allowance for doubtful accounts as of the dates indicated: December 31, 2021 2020 (in thousands) Crude oil, natural gas and NGLs sales $ 368,991 $ 178,147 Joint interest billings 24,860 35,396 Other 10,809 37,471 Allowance for doubtful accounts (6,055) (6,763) Accounts receivable, net $ 398,605 $ 244,251 |
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block] | Other Accrued Expenses. The following table presents the components of other accrued expenses as of the dates indicated: December 31, 2021 2020 (in thousands) Employee benefits $ 29,319 $ 23,304 Asset retirement obligations 32,146 33,933 Environmental expenses 11,942 10,139 Operating and finance leases 7,197 7,986 Other 10,805 6,353 Other accrued expenses $ 91,409 $ 81,715 Other Liabilities. The following table presents the components of other liabilities as of the dates indicated: December 31, 2021 2020 (in thousands) Deferred midstream gathering credits $ 159,788 $ 168,478 Deferred oil gathering credits 16,080 18,090 Production taxes 131,865 65,592 Operating and finance leases 6,274 10,763 Other 762 1,111 Other liabilities $ 314,769 $ 264,034 Deferred Midstream Gathering Credits. In 2019, we entered into agreements pursuant to which we dedicated the gathering of certain of our production and all water gathering and disposal volumes in the Delaware Basin. The terms of these agreements range from 15 to 22 years. The acreage dedication agreements resulted in initial cash receipts and are being amortized on a units-of-production basis. The amortization rates are assessed on an annual basis for changes in estimated future production. Deferred Oil Gathering Credits. In 2018, we entered into an agreement that dedicates crude oil from the majority of our Wattenberg Field acreage to the midstream provider’s gathering lines and extends the term of the agreement through December 2029. The acreage dedication agreement resulted in an initial cash receipt and is being amortized on a units-of-production basis. The amortization rates are assessed on an annual basis for changes in estimated future production. The following table presents the amortization charges related to our deferred credits recognized on the consolidated statements of operations for the periods indicated: Year Ended December 31, 2021 2020 (in thousands) Crude oil, natural gas and NGLs sales $ — $ 1,013 Transportation, gathering and processing expense 7,317 5,618 Lease operating expense 2,422 2,015 |
Deferred Midstream Gathering Credits | following table presents the amortization charges related to our deferred credits recognized on the consolidated statements of operations for the periods indicated: Year Ended December 31, 2021 2020 (in thousands) Crude oil, natural gas and NGLs sales $ — $ 1,013 Transportation, gathering and processing expense 7,317 5,618 Lease operating expense 2,422 2,015 |
Long-Term Debt LONG-TERM DEBT (
Long-Term Debt LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Long-term debt, net of unamortized discounts, premiums, and debt issuance costs totaling $7.9 million and $17.8 million as of December 31, 2021 and December 31, 2020, respectively, consists of the following: December 31, 2021 2020 (in thousands) Revolving credit facility due November 2026 $ — $ 168,000 1.125% Convertible Notes due September 2021 — 193,014 6.125% Senior Notes due September 2024 198,674 396,368 6.25% Senior Notes due December 2025 — 103,204 5.75% Senior Notes due May 2026 743,410 741,976 Total debt, net of unamortized discount, premium and debt issuance costs 942,084 1,602,562 Less: Current portion of long-term debt — 193,014 Total long-term debt $ 942,084 $ 1,409,548 |
Leases Operating and Financin_2
Leases Operating and Financing Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | The following table presents the components of lease costs for the periods presented: Year Ended December 31, 2021 2020 (in thousands) Operating lease costs (1) $ 6,125 $ 7,983 Finance lease costs: Amortization of ROU assets 1,752 1,812 Interest on lease liabilities 164 179 Total finance lease costs 1,916 1,991 Short-term lease costs (1) 203,361 193,756 Total lease costs $ 211,402 $ 203,730 |
Operating and Financing Leases Financial Statement Location [Table Text Block] | The following table presents the balance sheet classification and other information regarding our leases as of the dates indicated: December 31, Consolidated Balance Sheet Line Item 2021 2020 (in thousands) Operating lease ROU assets Other assets $ 7,630 $ 11,722 Finance lease ROU assets Properties and equipment, net $ 3,483 $ 3,189 Total ROU assets $ 11,113 $ 14,911 Operating lease obligation - short-term Other accrued expenses 5,937 6,520 Operating lease obligation - long-term Other liabilities 4,044 9,061 Finance lease obligation - short-term Other accrued expenses 1,260 1,466 Finance lease obligation - long-term Other liabilities 2,230 1,702 Total lease liabilities $ 13,471 $ 18,749 Weighted average remaining lease term (years) 2.8 3.0 Weighted average discount rate 4.8 % 4.8 % |
Operating and Financing Lease, Liability, Maturity | Maturity of lease liabilities by year and in the aggregate, under operating and financing leases with terms of one year or more, as of December 31, 2021 consist of the following: Operating Leases Finance Leases Total (in thousands) 2022 $ 6,214 $ 1,378 $ 7,592 2023 1,767 1,119 2,886 2024 950 612 1,562 2025 950 473 1,423 2026 747 148 895 Total lease payments 10,628 3,730 14,358 Less: Interest and discount (647) (240) (887) Present value of lease liabilities $ 9,981 $ 3,490 $ 13,471 |
Asset Retirement Obligations As
Asset Retirement Obligations Asset Retirement Obligations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Change in Asset Retirement Obligation [Table Text Block] | The following table presents the changes in carrying amounts of the asset retirement obligations associated with our working interests in crude oil and natural gas properties for the periods presented: Year Ended December 31, 2021 2020 (in thousands) Beginning balance $ 166,570 $ 127,251 Obligations incurred with development activities and other 4,750 6,494 Obligations incurred with acquisition — 47,673 Accretion expense 12,086 10,072 Revisions in estimated cash flows 10,609 4,742 Obligations discharged with asset retirements and divestitures (34,343) (29,662) Asset retirement obligations at end of period 159,672 166,570 Current portion (1) (32,146) (33,933) Long-term portion $ 127,526 $ 132,637 |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contigencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Supply Commitment | The following table presents our firm transportation, sales and processing, water delivery and disposal and purchase commitments: Year Ending December 31, 2022 2023 2024 2025 2026 Thereafter Total Expiration Natural gas (MMcf) 82,264 82,264 82,489 70,296 37,029 73,050 427,392 December 31, 2030 Crude oil (MBbls) 23,360 19,685 9,882 9,855 6,561 — 69,343 Water (MBbls) 6,207 6,207 6,224 — — — 18,638 Purchase obligation (Tons) 110,000 300,000 — 410,000 Dollar commitment (in thousands) $ 153,857 $ 157,370 $ 92,247 $ 77,491 $ 39,631 $ 37,811 $ 558,407 |
Common Stock Common Stock (Tabl
Common Stock Common Stock (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Payment Arrangement, Cost by Plan [Table Text Block] | The following table provides a summary of the impact of our outstanding stock-based compensation plans on the results of operations for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) General and administrative expense $ 21,830 $ 21,182 $ 22,754 Lease operating expense 1,193 1,018 1,083 Total stock-based compensation expense $ 23,023 $ 22,200 $ 23,837 |
Share-based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | The following table presents the changes in non-vested time-based RSUs to eligible employees, including executive officers, during the year ended December 31, 2021: Shares Weighted Average Grant-Date Fair Value per Share Non-vested at beginning of period 1,150,970 $ 20.14 Granted 657,972 33.64 Vested (547,985) 24.86 Forfeited (95,770) 22.74 Non-vested at end of period 1,165,187 25.33 |
Restricted Stock Awards, Market-Based, Valuation assumptions [Table Text Block] | Year Ended December 31, 2021 2020 2019 Expected term of award (in years) 3 3 3 Risk-free interest rate 0.2 % 1.4 % 2.5 % Expected volatility 84.6 % 46.6 % 41.4 % Weighted average grant-date fair value per share $ 54.01 $ 33.52 $ 56.68 |
Schedule of Nonvested Performance-based Units Activity [Table Text Block] | The following table presents the change in non-vested market-based awards during the year ended December 31, 2021: Shares Weighted Average Grant-Date Fair Value per Share Non-vested at December 31, 2020 499,547 $ 38.66 Granted 207,655 54.01 Vested (267,973) 43.10 Non-vested at December 31, 2021 439,229 43.21 |
Restricted Stock SRC - Market Based Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Restricted Stock Awards, Market-Based, Valuation assumptions [Table Text Block] |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The table below presents the components of our provision for income tax (expense) benefit for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Current: Federal $ — $ 1,592 $ 1,366 State (200) (220) (300) Total current income tax benefit (200) 1,372 1,066 Deferred: Federal (23,790) 5,460 4,507 State (2,593) 1,070 (2,251) Total deferred income tax (expense) benefit (26,383) 6,530 2,256 Income tax (expense) benefit $ (26,583) $ 7,902 $ 3,322 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The following table presents a reconciliation of the federal statutory rate to the effective tax rate related to our (expense) benefit for income taxes for the periods presented: Year Ended December 31, 2021 2020 2019 Federal statutory tax rate 21.0 % 21.0 % 21.0 % State income tax, net 3.2 3.0 3.6 Federal tax credits — — (3.3) Effect of state income tax rate changes — 0.2 (6.4) Change in valuation allowance (19.8) (22.1) (0.6) Non-deductible compensation 0.3 (0.6) (5.0) Non-deductible acquisition costs — (0.1) (2.3) Non-deductible government relations 0.1 (0.1) (1.0) Other non-deductible items — — (0.5) Other — (0.2) — Effective tax rate 4.8 % 1.1 % 5.5 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities as of the dates indicated: December 31, 2021 2020 (in thousands) Deferred tax assets: Deferred compensation $ 9,949 $ 10,472 Asset retirement obligations 38,274 39,371 Federal NOL carryforward 97,555 97,880 State NOL and tax credit carryforwards, net 20,266 21,034 Federal tax - credit carryforwards 3,059 3,059 Net change in fair value of unsettled commodity derivatives 88,053 18,351 Prepaid revenue 3,854 4,364 Other 4,454 5,741 Valuation allowance (56,634) (165,575) Total gross deferred tax assets 208,830 34,697 Deferred tax liabilities: Properties and equipment 235,213 33,183 Convertible debt — 1,514 Total gross deferred tax liabilities 235,213 34,697 Net deferred tax liability $ 26,383 $ — |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share Reconciliation [Table Text Block] | The following table presents our weighted average basic and diluted shares outstanding for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Weighted average common shares outstanding - basic 98,546 98,251 64,032 Dilutive effect of: RSUs and PSUs 1,596 — — Other equity-based awards 12 — — Weighted average common shares and equivalents outstanding - diluted 100,154 98,251 64,032 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | The following table presents the weighted average common share equivalents excluded from the calculation of diluted earnings per share due to their anti-dilutive effect for the periods presented: Year Ended December 31, 2021 2020 2019 (in thousands) Weighted average common share equivalents excluded from diluted earnings per share due to their anti-dilutive effect: RSUs and PSUs 28 1,707 989 Other equity-based awards 116 229 302 Total anti-dilutive common share equivalents 144 1,936 1,291 |
Supplemental Cash Flow Supple_2
Supplemental Cash Flow Supplemental Cash Flow (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | Year Ended December 31, 2021 2020 2019 (in thousands) Supplemental cash flow information Cash payments (receipts) for Interest, net of capitalized interest $ 66,647 $ 75,506 $ 57,439 Income taxes (1,057) 9 (1,167) Non-cash investing and financing activities Change in accounts payable related to capital expenditures 519 (28,676) (68,246) Change in asset retirement obligations, with a corresponding change to crude oil and natural gas properties, net of disposals 11,673 54,984 29,533 Issuance of common stock for acquisition of crude oil and natural gas properties, net — 1,009,015 — Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 7,603 $ 9,246 $ 5,301 Operating cash flows from finance leases 117 156 253 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 1,457 $ 4,305 $ 1,428 Finance leases 2,109 703 2,323 |
Nature of Operations and Basi_2
Nature of Operations and Basis of Presentation Additional Information (Details) | Dec. 31, 2021Wells |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Oil and gas producing wells, gross | 3,500 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies Detail (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Significant Accounting Policies [Line Items] | |||
Property, Plant and Equipment, Useful Life | 35 years | ||
Non-Oil and gas Depreciation, Depletion and Amortization | $ 7.7 | $ 8.7 | $ 5.7 |
Capitalized Interest | $ 17.8 | $ 19.7 | $ 13.4 |
Business Combinations and Ass_2
Business Combinations and Asset Acquisitions (Details) - USD ($) $ in Thousands, shares in Millions | Feb. 25, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Business Acquisition [Line Items] | ||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 0 | $ 139,812 | $ 13,207 | |
Great Western Petroleum, LLC | Subsequent Event [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Consideration Transferred | $ 1,300,000 | |||
Business Combination, Consideration Transferred, Equity Interest Issued, Shares | 4 | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 543,000 |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) $ / shares in Units, $ in Thousands | Jan. 14, 2020USD ($)Rateshares | Dec. 31, 2020USD ($)$ / shares | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2021a | Apr. 30, 2019USD ($) |
Business Acquisition [Line Items] | |||||
Stock Repurchase Program, Authorized Amount | $ 525,000 | $ 200,000 | |||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 320,900 | ||||
Business Acquisition, Pro Forma Income (Loss) from Continuing Operations, Net of Tax | 46,500 | ||||
Business Acquisition, Pro Forma Revenue | 1,361,051 | $ 1,761,498 | |||
Business Acquisition, Pro Forma Net Income (Loss) | $ (695,663) | $ 139,578 | |||
Business Acquisition, Pro Forma Earnings Per Share, Basic | $ / shares | $ (6.97) | $ 1.36 | |||
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $ / shares | $ (6.97) | $ 1.35 | |||
Purch Price Adj Disc Cash Flow | Rate | 10.00% | ||||
Area of Land | a | 83,000 | ||||
SRC and PDC | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Acquisition Related Costs | $ 38,000 | $ 15,900 | |||
SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 38,900,000 | ||||
Conversion of Stock, Shares Issued | shares | 0.158 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Long-term Debt | (555,500) | ||||
Business Combination, Consideration Transferred | $ 1,181,592 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets | 145,792 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 16,242 | ||||
Business Combination Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Assets | 189,311 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Assets | 11,810 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 2,086,444 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities | (253,967) | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | (42,417) | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities | (52,968) | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | (904,852) | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | 1,181,592 | ||||
Value of Transaction | 1,700,000 | ||||
Business Combination, Acquisition Related Costs | 19,900 | ||||
Proved [Member] | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 1,613,674 | ||||
Unproved [Member] | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | $ 109,615 | ||||
Cash | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Consideration Transferred | 40 | ||||
Revolving Credit Facility [Member] | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Consideration Transferred | 166,238 | ||||
Cash and Cash Equivalents | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Consideration Transferred | 166,278 | ||||
Common Stock [Member] | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | 1,009,015 | ||||
Shares withheld in lieu of taxes [Member] | SRC Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 6,299 |
Revenue Recognition Revenue fro
Revenue Recognition Revenue from Contract with Customer (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,552,558 | $ 1,152,555 | $ 1,307,275 |
Revenue Recognition Revenue by
Revenue Recognition Revenue by Commodity and Location (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenue from Contract with Customer, Excluding Assessed Tax | $ 2,552,558 | $ 1,152,555 | $ 1,307,275 |
Natural Gas Liquids | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 502,154 | 156,953 | 135,566 |
Natural Gas [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 519,603 | 178,752 | 151,020 |
Crude Oil [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,530,801 | 816,850 | 1,020,689 |
Delaware Basin [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 389,452 | 183,726 | 308,025 |
Wattenberg Field | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,163,106 | 968,829 | 999,250 |
Crude Oil [Member] | Wattenberg Field | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,275,666 | 668,948 | 767,760 |
Crude Oil [Member] | Delaware Basin [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 255,135 | 147,902 | 252,929 |
Natural Gas [Member] | Wattenberg Field | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 458,870 | 171,755 | 137,143 |
Natural Gas [Member] | Delaware Basin [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 60,733 | 6,997 | 13,877 |
Natural Gas Liquids | Wattenberg Field | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 428,570 | 128,126 | 94,347 |
Natural Gas Liquids | Delaware Basin [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 73,584 | $ 28,827 | $ 41,219 |
Revenue Recognition Contract As
Revenue Recognition Contract Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Capitalized Contract Cost [Line Items] | |||
Capitalized Contract Cost, Net | $ 15,472 | $ 25,872 | $ 11,494 |
Additions (Net reduction to additions previously recognized) | (7,705) | 16,739 | |
Capitalized Contract Cost, Amortization | $ (2,695) | $ (2,361) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments Fair Value Measurements and Disclosures (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | $ 33,086 | $ 58,434 | ||
Derivative Liability, Fair Value, Gross Liability | 400,431 | 134,511 | ||
Derivative, Fair Value, Net | (367,345) | |||
Derivative Financial Instrument Net Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Changes in unrealized gains (losses) relating to assets (liabilities) still held as of period end, included in statement of operations line item; | (35,108) | 0 | $ (22,694) | |
Fair Value, Measured With Unobservable Input Reconcilition, Recurring Basis, Net Asset Value | (62,540) | (8,427) | 8,414 | |
Derivative Financial Instruments, Assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value, Measured With Unobservable Input Reconcilition, Recurring Basis, Net Asset Value | (8,427) | 8,414 | $ 58,329 | |
Commodity Price Risk Management, net | Derivative Financial Instrument Net Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Changes in unrealized gains (losses) relating to assets (liabilities) still held as of period end, included in statement of operations line item; | (35,108) | 0 | (22,694) | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Net Assets, Gain (Loss) Included in Earnings | (206,109) | 37,821 | (41,749) | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Net Asset, Purchases, Sales, Issues, Settlements | 151,996 | (54,662) | $ (8,166) | |
Fair Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 33,086 | 58,434 | ||
Derivative Liability, Fair Value, Gross Liability | (400,431) | (134,511) | ||
Fair Value | Non Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (95,561) | (36,359) | ||
Fair Value | Non Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 15,177 | 9,565 | ||
Fair Value | Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 17,909 | 48,869 | ||
Fair Value | Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (304,870) | (98,152) | ||
Fair Value | Significant Other Observable Inputs (Level 2) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 605 | 36,895 | ||
Derivative Liability, Fair Value, Gross Liability | (305,410) | (104,545) | ||
Fair Value | Significant Other Observable Inputs (Level 2) | Non Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (74,715) | (28,125) | ||
Fair Value | Significant Other Observable Inputs (Level 2) | Non Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 605 | 315 | ||
Fair Value | Significant Other Observable Inputs (Level 2) | Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 0 | 36,580 | ||
Fair Value | Significant Other Observable Inputs (Level 2) | Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (230,695) | (76,420) | ||
Fair Value | Significant Unobservable Inputs (Level 3) | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 32,481 | 21,539 | ||
Derivative Liability, Fair Value, Gross Liability | (95,021) | (29,966) | ||
Fair Value | Significant Unobservable Inputs (Level 3) | Non Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (20,846) | (8,234) | ||
Fair Value | Significant Unobservable Inputs (Level 3) | Non Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 14,572 | 9,250 | ||
Fair Value | Significant Unobservable Inputs (Level 3) | Current Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Asset, Fair Value, Gross Asset | 17,909 | 12,289 | ||
Fair Value | Significant Unobservable Inputs (Level 3) | Current Liabilities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative Liability, Fair Value, Gross Liability | (74,175) | (21,732) | ||
1.125% Convertible Senior Notes due 2021 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Notes fair value | $ 0 | $ 196,200 | ||
Senior Notes Percent of Par | 0.00% | 98.10% | ||
6.125% Senior Notes due 2024 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Notes fair value | $ 202,800 | $ 410,800 | ||
Senior Notes Percent of Par | 101.40% | 102.70% | ||
5.75% Senior Notes due 2026 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Notes fair value | $ 775,500 | $ 775,500 | ||
Senior Notes Percent of Par | 103.40% | 103.40% | ||
6.25% Senior Notes due 2025 [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Notes fair value | $ 0 | $ 102,800 | ||
Senior Notes Percent of Par | 0.00% | 100.50% |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments Reconciliation of Level 3 Fair Value Measurements (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative Financial Instrument Net Assets [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value, Measured With Unobservable Input Reconcilition, Recurring Basis, Net Asset Value | $ (62,540) | $ (8,427) | $ 8,414 | |
Changes in unrealized gains (losses) relating to assets (liabilities) still held as of period end, included in statement of operations line item; | (35,108) | 0 | (22,694) | |
Derivative Financial Instrument Net Assets [Member] | Commodity Price Risk Management, net | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Net Assets, Gain (Loss) Included in Earnings | (206,109) | 37,821 | (41,749) | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Net Asset, Purchases, Sales, Issues, Settlements | 151,996 | (54,662) | (8,166) | |
Changes in unrealized gains (losses) relating to assets (liabilities) still held as of period end, included in statement of operations line item; | $ (35,108) | 0 | (22,694) | |
Derivative Financial Instruments, Assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair Value, Measured With Unobservable Input Reconcilition, Recurring Basis, Net Asset Value | $ (8,427) | $ 8,414 | $ 58,329 |
Derivative Financial Instrume_3
Derivative Financial Instruments Subsequent Events (Details) - Subsequent Event [Member] MMBTU in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2024MMBTU | Mar. 31, 2023MMBTU | Dec. 31, 2024MMBTU$ / Unit | Dec. 31, 2023MMBTU$ / Unit | |
2022 [Member] | Natural Gas [Member] | CME SWAPS MARKETS (NYMEX) [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Floor Price | 3.08 | |||
Derivative, Cap Price | 4.35 | |||
2022 [Member] | Natural Gas [Member] | CIG [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Swap Type, Average Fixed Price | (0.29) | |||
2022 [Member] | Natural Gas [Member] | Swap | ||||
Derivative [Line Items] | ||||
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 12,060 | |||
2022 [Member] | Natural Gas [Member] | Collars [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 12,060 | |||
2024 | Crude Oil [Member] | CME SWAPS MARKETS (NYMEX) [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Floor Price | 0 | |||
Derivative, Cap Price | 0 | |||
2024 | Crude Oil [Member] | Crude oil - NYMEX | ||||
Derivative [Line Items] | ||||
Derivative, Swap Type, Average Fixed Price | (70.25) | |||
2024 | Crude Oil [Member] | Swap | ||||
Derivative [Line Items] | ||||
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 2,208 | |||
2024 | Crude Oil [Member] | Collars [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 0 | |||
2023 | Crude Oil [Member] | CME SWAPS MARKETS (NYMEX) [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Floor Price | 55 | |||
Derivative, Cap Price | 79.14 | |||
2023 | Crude Oil [Member] | Collars [Member] | ||||
Derivative [Line Items] | ||||
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 1,050 |
Derivative Financial Instrume_4
Derivative Financial Instruments Outstanding Derivative Contracts (Details) MMBTU in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($)MMBTU$ / UnitMBbls | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (367,345) |
Natural Gas [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (60,336) |
Natural Gas [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 63,998 |
Natural Gas [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 38,460 |
Natural Gas [Member] | Basis Protection - CIG [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (11,288) |
Natural Gas [Member] | Basis Protection Contracts Related to Natural Gas Marketing [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 98,498 |
Crude Oil [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (295,721) |
Crude Oil [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 13,746,000 |
Crude Oil [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 8,472,000 |
2022 [Member] | Natural Gas [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 33,600 |
2022 [Member] | Natural Gas [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 35,460 |
2022 [Member] | Natural Gas [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (41,165) |
2022 [Member] | Natural Gas [Member] | Basis Protection - CIG [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (10,650) |
2022 [Member] | Natural Gas [Member] | Basis Protection - CIG [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 69,060 |
2022 [Member] | Crude Oil [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (235,146) |
2022 [Member] | Crude Oil [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 6,744,000 |
2022 [Member] | Crude Oil [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 5,472,000 |
2024 | Crude Oil [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (2,276) |
2024 | Crude Oil [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 1,500,000 |
2024 | Crude Oil [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 225,000 |
2023 | Natural Gas [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 30,398 |
2023 | Natural Gas [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 3,000 |
2023 | Natural Gas [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (19,171) |
2023 | Natural Gas [Member] | Basis Protection - CIG [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (638) |
2023 | Natural Gas [Member] | Basis Protection - CIG [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU | 29,438 |
2023 | Crude Oil [Member] | |
Derivative [Line Items] | |
Derivative, Fair Value, Net | $ | $ (58,299) |
2023 | Crude Oil [Member] | Fixed Price Swaps [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 5,502,000 |
2023 | Crude Oil [Member] | Collars [Member] | |
Derivative [Line Items] | |
Derivative, Nonmonetary Notional Amount, Volume | MBbls | 2,775,000 |
Natural Gas [Member] | 2022 [Member] | Fixed Price Swaps [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (2.70) |
Natural Gas [Member] | 2022 [Member] | Fixed Price Swaps [Member] | CIG [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (0.25) |
Natural Gas [Member] | 2022 [Member] | Collars [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Floor Price | 3.14 |
Derivative, Cap Price | 4.78 |
Natural Gas [Member] | 2023 | Fixed Price Swaps [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (2.68) |
Natural Gas [Member] | 2023 | Fixed Price Swaps [Member] | CIG [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (0.27) |
Natural Gas [Member] | 2023 | Collars [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Floor Price | 3 |
Derivative, Cap Price | 4.42 |
Crude Oil [Member] | 2022 [Member] | Fixed Price Swaps [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (44.42) |
Crude Oil [Member] | 2022 [Member] | Collars [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Floor Price | 53.18 |
Derivative, Cap Price | 67.33 |
Crude Oil [Member] | 2024 | Fixed Price Swaps [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (61.27) |
Crude Oil [Member] | 2024 | Collars [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Floor Price | 55 |
Derivative, Cap Price | 75.12 |
Crude Oil [Member] | 2023 | Fixed Price Swaps [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Swap Type, Average Fixed Price | (56.83) |
Crude Oil [Member] | 2023 | Collars [Member] | CME SWAPS MARKETS (NYMEX) [Member] | |
Derivative [Line Items] | |
Derivative, Floor Price | 55 |
Derivative, Cap Price | 70 |
Derivative Financial Instrume_5
Derivative Financial Instruments Impact of Netting Agreements (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivative Asset [Abstract] | ||
Derivative Asset, Fair Value, Gross Asset | $ 33,086 | $ 58,434 |
Effect of Master netting agreements | 33,086 | 39,691 |
Derivative Asset, net | 0 | 18,743 |
Derivative Liability [Abstract] | ||
Derivative Liability, Fair Value, Gross Liability | 400,431 | 134,511 |
Effect of master netting agreements | 33,086 | 39,691 |
Derivative Liability, net | $ 367,345 | $ 94,820 |
Derivative Financial Instrume_6
Derivative Financial Instruments Impact of Derivative Instruments on Statement of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | |||
Net change in fair value of unsettled derivatives | $ (291,268) | $ (99,001) | $ (145,246) |
Commodity price risk management gain (loss), net | (701,456) | 180,270 | (162,844) |
Gain (Loss) on Sale of Derivatives | (410,188) | 279,271 | (17,598) |
Commodity Price Risk Management, net | |||
Derivative [Line Items] | |||
Commodity price risk management gain (loss), net | $ (701,456) | $ 180,270 | $ (162,844) |
Properties and Equipment (Detai
Properties and Equipment (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021USD ($)Wells | Dec. 31, 2020USD ($)Wells | Dec. 31, 2019USD ($)Wells | Dec. 31, 2018USD ($) | |
Property, Plant and Equipment [Line Items] | ||||
Proved Natural Gas and Crude Oil Properties | $ 8,310,018 | $ 7,523,639 | ||
Unproved Natural Gas and Crude Oil Properties | 306,181 | 350,677 | ||
Total Natural Gas and Crude Oil Properties | 8,616,199 | 7,874,316 | ||
Equipment and other | 63,099 | 65,027 | ||
Land and Buildings | 19,928 | 24,299 | ||
Construction in Progress | 371,968 | 523,550 | ||
Property and Equipment, at cost | 9,071,194 | 8,487,192 | ||
Accumulated DD&A | (4,256,329) | (3,627,993) | ||
Property, Plant and Equipment, Net | 4,814,865 | 4,859,199 | ||
Capitalized Exploratory Well Costs | 0 | 7,459 | $ 16,078 | $ 12,188 |
Capitalized Exploratory Well Cost, Additions Pending Determination of Proved Reserves | 5,902 | 11,770 | 31,901 | |
Reclassification to Well, Facilities, and Equipment Based on Determination of Proved Reserves | $ (13,361) | $ (20,389) | $ (28,011) | |
Wells to be completed | Wells | 0 | 2 | 4 |
Impairment of Natural Gas and C
Impairment of Natural Gas and Crude Oil Properties (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Impairment of natural gas and crude oil properties [Line Items] | ||||
Delaware Basin Proved Property Impairment | $ 753,000 | |||
Delaware Basin Unproved Property Impairment | 127,300 | $ 0 | ||
Impairment of Oil and Gas Properties | 402 | $ 881,238 | $ 10,599 | |
Impairment of Long-Lived Assets to be Disposed of | 0 | 1,155 | 27,937 | |
Results of Operations, Impairment of Oil and Gas Properties | $ 881,100 | $ 402 | $ 882,393 | $ 38,536 |
Impairment Measurement Input | 17.00% |
Properties and Equipment Explor
Properties and Equipment Exploration (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($)Wells | |
Property, Plant and Equipment [Line Items] | |
Oil and Gas, Exploratory Well Drilled, Net Nonproductive, Number | Wells | 0 |
Capitalized Exploratory Well Costs that Have Been Capitalized for Period Greater than One Year | $ | $ 7.5 |
Accounts Receivables (Details)
Accounts Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Concentration Risk [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss, Current | $ (6,055) | $ (6,763) | |
Accounts receivable, net | $ 398,605 | $ 244,251 | |
Customer Concentration Risk | Customer | Customer No. 1 | |||
Concentration Risk [Line Items] | |||
Percentage of Revenue | 32.00% | 31.00% | 20.00% |
Customer Concentration Risk | Customer | Customer No. 2 | |||
Concentration Risk [Line Items] | |||
Percentage of Revenue | 9.00% | 17.00% | 17.00% |
Customer Concentration Risk | Customer | Customer No. 3 | |||
Concentration Risk [Line Items] | |||
Percentage of Revenue | 11.00% | 16.00% | 16.00% |
Customer Concentration Risk | Customer | Customer No. 4 | |||
Concentration Risk [Line Items] | |||
Percentage of Revenue | 10.00% | 13.00% | 11.00% |
Natural gas, NGLs and crude oil sales | |||
Concentration Risk [Line Items] | |||
Accounts Receivable, before Allowance for Credit Loss | $ 368,991 | $ 178,147 | |
Joint interest billing | |||
Concentration Risk [Line Items] | |||
Accounts Receivable, before Allowance for Credit Loss | 24,860 | 35,396 | |
Other Accounts Receivable | |||
Concentration Risk [Line Items] | |||
Accounts Receivable, before Allowance for Credit Loss | $ 10,809 | $ 37,471 |
Other accrued expenses (Details
Other accrued expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Other Accrued Expense [Line Items] | ||
Asset Retirement Obligation, Current | $ 32,146 | $ 33,933 |
Other accrued liabilities | 91,409 | 81,715 |
Current Liabilities [Member] | ||
Schedule of Other Accrued Expense [Line Items] | ||
Accrued Employee Benefits, Current | 29,319 | 23,304 |
Asset Retirement Obligation, Current | 32,146 | 33,933 |
Accrued Environmental Loss Contingencies, Current | 11,942 | 10,139 |
Operating and Finance Lease Liability, Current | 7,197 | 7,986 |
Other Accrued Liabilities | 10,805 | 6,353 |
Other accrued liabilities | $ 91,409 | $ 81,715 |
Other liabilities (Details)
Other liabilities (Details) - Non Current Liabilities [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Other Liabilities [Line Items] | ||
Deferred Midstream gathering credits | $ 159,788 | $ 168,478 |
Deferred oil gathering credits | 16,080 | 18,090 |
Production Tax Liability | 131,865 | 65,592 |
Operating and Finance Lease Liability, Noncurrent | 6,274 | 10,763 |
Other Accrued Liabilities | 762 | 1,111 |
Other Accrued Liabilities, Noncurrent | $ 314,769 | $ 264,034 |
Other Accrued Expenses Deferred
Other Accrued Expenses Deferred Midstream Gathering Credits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Midstream Oil Gathering [Member] | ||
Deferred Midstream and Oil Gathering Credits [Line Items] | ||
Amortization of Other Deferred Charges | $ 0 | $ 1,013 |
Midstream Water Gathering [Member] | ||
Deferred Midstream and Oil Gathering Credits [Line Items] | ||
Amortization of Other Deferred Charges | 2,422 | 2,015 |
Midstream Gas and Oil Gathering Credits | ||
Deferred Midstream and Oil Gathering Credits [Line Items] | ||
Amortization of Other Deferred Charges | $ 7,317 | $ 5,618 |
Long-Term Debt SCHEDULE OF LONG
Long-Term Debt SCHEDULE OF LONG-TERM DEBT (Details) - USD ($) | Dec. 01, 2021 | Nov. 01, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||||
Debt. Long-term and Short-term, Combined Amount | $ 942,084,000 | $ 1,602,562,000 | ||
Long-term debt | 942,084,000 | 1,409,548,000 | ||
Long-term Debt, Current Maturities | 0 | 193,014,000 | ||
Letters of Credit Outstanding, Amount | 19,900,000 | |||
Line of Credit Facility, Current Borrowing Capacity | 2,400,000,000 | |||
1.125% Convertible Senior Notes due 2021 [Member] | ||||
Debt Instrument [Line Items] | ||||
Convertible Debt | 0 | 193,014,000 | ||
6.125% Senior Notes due 2024 [Member] | ||||
Debt Instrument [Line Items] | ||||
Principal amount | 200,000,000 | |||
Senior Notes, Noncurrent | 198,674,000 | 396,368,000 | ||
Repayments of Debt | $ 200,000,000 | |||
6.25% Senior Notes due 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior Notes, Noncurrent | 0 | 103,204,000 | ||
Repayments of Debt | $ 102,300,000 | |||
5.75% Senior Notes due 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Principal amount | 750,000,000 | |||
Senior Notes, Noncurrent | 743,410,000 | 741,976,000 | ||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility | $ 0 | $ 168,000,000 |
Long-Term Debt ADDITIONAL INFOR
Long-Term Debt ADDITIONAL INFORMATION (Details) - USD ($) | Dec. 01, 2021 | Nov. 01, 2021 | Sep. 15, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 02, 2021 |
Debt Instrument [Line Items] | |||||||
Document Period End Date | Dec. 31, 2021 | ||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 1,500,000,000 | ||||||
Line of Credit Facility, Current Borrowing Capacity | 2,400,000,000 | ||||||
Gain (Loss) on Extinguishment of Debt | (6,927,000) | $ 0 | $ 0 | ||||
1.125% Convertible Senior Notes due 2021 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of Debt | $ 200,000,000 | ||||||
Senior Notes (Combined) | |||||||
Debt Instrument [Line Items] | |||||||
Gain (Loss) on Extinguishment of Debt | $ 6,900,000 | ||||||
1.125% Convertible Senior Notes due 2021 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Convertible Note, Conversion Price | $ 85.39 | ||||||
6.125% Senior Notes due 2024 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Notes ($) | $ 200,000,000 | ||||||
Repayments of Debt | $ 200,000,000 | ||||||
6.25% Senior Notes due 2025 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of Debt | $ 102,300,000 | ||||||
5.75% Senior Notes due 2026 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Notes ($) | 750,000,000 | ||||||
Initial Borrowing Base [Member] | Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line Of Credit Facility Initial Borrowing Capacity | $ 2,400,000,000 | ||||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Issuance Costs, Line of Credit Arrangements, Net | 16,900,000 | 8,100,000 | |||||
Long-term Line of Credit | $ 0 | $ 168,000,000 | |||||
Maximum credit amount | Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line Of Credit Facility Initial Borrowing Capacity | 2,500,000,000 | ||||||
Alternate Base Rate Option [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Interest Rate at Period End | 0.75% | ||||||
Unused Commitment Fee [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Interest Rate at Period End | 0.375% | ||||||
Elected commitment | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Current Borrowing Capacity | $ 1,500,000,000 | $ 1,500,000,000 | |||||
SOFR | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Interest Rate at Period End | 1.75% |
Senior Notes additional details
Senior Notes additional details (Details) | 12 Months Ended |
Dec. 31, 2021Rate | |
6.125% Senior Notes due 2024 [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 6.125% |
Debt Instrument, Maturity Date | Sep. 15, 2024 |
Debt Instrument, Frequency of Periodic Payment | March 15, September 15 |
Debt Instrument, Redemption Period, End Date | Sep. 15, 2022 |
5.75% Senior Notes due 2026 [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 5.75% |
Debt Instrument, Maturity Date | May 15, 2026 |
Debt Instrument, Frequency of Periodic Payment | May 15, November 15 |
Debt Instrument, Redemption Period, End Date | May 15, 2024 |
Leases Lease Narrative (Details
Leases Lease Narrative (Details) | 12 Months Ended | |
Dec. 31, 2021Rate | Dec. 31, 2020Rate | |
Lessee, Lease, Description [Line Items] | ||
Operating Lease, Weighted Average Discount Rate, Percent | 4.80% | 4.80% |
Operating Lease, Weighted Average Remaining Lease Term | 2 years 9 months 18 days | 3 years |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Properties and equipment, net | Properties and equipment, net |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other accrued liabilities | Other accrued liabilities |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other accrued liabilities | Other accrued liabilities |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Leases Lease Cost (Details)
Leases Lease Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Jan. 31, 2022 | |
Lease, Cost [Abstract] | |||
Operating Lease, Cost | $ 6,125 | $ 7,983 | |
Finance Lease, Right-of-Use Asset, Amortization | 1,752 | 1,812 | |
Finance Lease, Interest Payment on Liability | 164 | 179 | |
Finance Lease, Cost | 1,916 | 1,991 | |
Short-term Lease, Cost | 203,361 | 193,756 | |
Lease, Cost | 211,402 | 203,730 | |
Lessee, Lease, Description [Line Items] | |||
Lease, Cost | 211,402 | 203,730 | |
Finance Lease, Cost | 1,916 | $ 1,991 | |
Total Operating Lease Payments | $ 10,628 | ||
Subsequent Event [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total Operating Lease Payments | $ 32,000 |
Leases Leases - Lease Assets an
Leases Leases - Lease Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Assets and Liabilities, Lessee [Abstract] | ||
Operating Lease, Right-of-Use Asset | $ 7,630 | $ 11,722 |
Operating Lease, Liability, short term | 5,937 | 6,520 |
Operating Lease, Liability, long term | 4,044 | 9,061 |
Operating Lease, Liability | 9,981 | |
Finance Lease, Right-of-Use Asset | 3,483 | 3,189 |
Finance Lease, Liability, short term | 1,260 | 1,466 |
Finance Lease, Liability, long term | 2,230 | $ 1,702 |
Finance Lease, Liability | $ 3,490 |
Leases Leases - Maturity of Lea
Leases Leases - Maturity of Lease Liabilities Operating and Financing (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Leases [Abstract] | |
2022 | $ 6,214 |
2023 | 1,767 |
2024 | 950 |
2025 | 950 |
2026 | 747 |
Total Operating Lease Payments | 10,628 |
Less interest and discount operating, total | (647) |
Operating Lease, Liability | 9,981 |
2022 | 1,378 |
2023 | 1,119 |
2024 | 612 |
2025 | 473 |
2026 | 148 |
Total Financing Lease Payments | 3,730 |
Less interest and discount financing, total | (240) |
Finance Lease, Liability | 3,490 |
2022 | 7,592 |
2023 | 2,886 |
2024 | 1,562 |
2025 | 1,423 |
2026 | 895 |
Total Lease Payments | 14,358 |
Less: Interest and discount | (887) |
Present value of lease liabilities | $ 13,471 |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Operating and Financing Lease Renewal Term | 5 years |
Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Operating and Financing Lease Renewal Term | 1 year |
Asset Retirement Obligations _2
Asset Retirement Obligations Asset Retirement Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | |||
Balance beginning of year, January 1 | $ 166,570 | $ 127,251 | |
Accretion of asset retirement obligations | 12,086 | 10,072 | $ 6,117 |
Revisions in estimated cash flows | 10,609 | 4,742 | |
Obligations discharged with disposal of properties and asset retirements | (34,343) | (29,662) | |
Balance end of year, December 31 | 159,672 | 166,570 | $ 127,251 |
Increase (Decrease) in Asset Retirement Obligations | 4,750 | 6,494 | |
Less: Current portion | (32,146) | (33,933) | |
Asset retirement obligations | 127,526 | 132,637 | |
SRC [Member] | |||
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | |||
Business Acquisition Purchase Price Allocation Asset Retirement Obligation | $ 0 | $ 47,673 |
Commitments and Contigencies (D
Commitments and Contigencies (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($)tonMMcf | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | $ 558,407 | ||
Transportation netted against Revenue | $ | 31,300 | $ 21,400 | $ 27,300 |
2022 | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | 153,857 | ||
2023 | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | 157,370 | ||
2024 | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | 92,247 | ||
2025 | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | 77,491 | ||
2026 | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | 39,631 | ||
Thereafter | |||
Supply Commitment [Line Items] | |||
Dollar Commitment ($ in thousands) | $ | $ 37,811 | ||
Water [Member] | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 18,638,000 | ||
Water [Member] | 2022 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 6,207,000 | ||
Water [Member] | 2023 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 6,207,000 | ||
Water [Member] | 2024 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 6,224,000 | ||
Water [Member] | 2025 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 0 | ||
Water [Member] | 2026 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 0 | ||
Water [Member] | Thereafter | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 0 | ||
Natural Gas [Member] | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 427,392,000 | ||
Natural Gas [Member] | 2022 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 82,264,000 | ||
Natural Gas [Member] | 2023 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 82,264,000 | ||
Natural Gas [Member] | 2024 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 82,489,000 | ||
Natural Gas [Member] | 2025 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 70,296,000 | ||
Natural Gas [Member] | 2026 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 37,029,000 | ||
Natural Gas [Member] | Thereafter | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 73,050,000 | ||
Natural Gas [Member] | Supply Contract Expiration Date [Member] | |||
Supply Commitment [Line Items] | |||
Supply Commitments Contract Expiration Date | Dec. 31, 2030 | ||
Crude Oil [Member] | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 69,343,000 | ||
Crude Oil [Member] | 2022 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 23,360,000 | ||
Crude Oil [Member] | 2023 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 19,685,000 | ||
Crude Oil [Member] | 2024 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 9,882,000 | ||
Crude Oil [Member] | 2025 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 9,855,000 | ||
Crude Oil [Member] | 2026 | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 6,561,000 | ||
Crude Oil [Member] | Thereafter | |||
Supply Commitment [Line Items] | |||
Oil and Gas Delivery Commitments Volumes (MMcf) | 0 | ||
212321 Construction Sand and Gravel Mining | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | 410,000 | ||
212321 Construction Sand and Gravel Mining | 2022 | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | 110,000 | ||
212321 Construction Sand and Gravel Mining | 2023 | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | 300,000 | ||
212321 Construction Sand and Gravel Mining | 2024 | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | 0 | ||
212321 Construction Sand and Gravel Mining | 2025 | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | |||
212321 Construction Sand and Gravel Mining | 2026 | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton | |||
212321 Construction Sand and Gravel Mining | Thereafter | |||
Supply Commitment [Line Items] | |||
Purchase obligation (Tons) | ton |
Commitments and Contingencies A
Commitments and Contingencies Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Loss Contingencies [Line Items] | |||
Transportation netted against Revenue | $ 31,300 | $ 21,400 | $ 27,300 |
Transportation, gathering and processing expenses | $ 100,403 | $ 77,835 | $ 46,353 |
Commitments and Contingencies N
Commitments and Contingencies New Plant (Details) | 12 Months Ended |
Dec. 31, 2021MMcf | |
Natural Gas [Member] | |
Property, Plant and Equipment [Line Items] | |
Qualitative and Quantitative Information, Transferor's Continuing Involvement, Third Party Commitments | 200 |
First facilities agreement with midstream provider [Member] | |
Property, Plant and Equipment [Line Items] | |
combined incremental volume commitment | 98,100,000 |
Second facilities agreement with midstream provider [Member] | |
Property, Plant and Equipment [Line Items] | |
combined incremental volume commitment | 77,300,000 |
Common Stock Stocked Based Comp
Common Stock Stocked Based Compensation Summary (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | May 31, 2020 | May 31, 2018 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share based compensation expense | $ 23,023 | $ 22,200 | $ 23,837 | ||
Stock-based Compensation - G&A | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share based compensation expense | 21,830 | 21,182 | 22,754 | ||
Stock-based Compensation - LOE | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share based compensation expense | $ 1,193 | $ 1,018 | $ 1,083 | ||
2018 Equity Incentive Plan [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 7,050,000 | 1,800,000 | |||
Common stock shares remain avaliable for issuance | 4,177,611 | ||||
2010 Long-Term Equity Compensation Plan [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Common stock shares remain avaliable for issuance | 314,413 | ||||
Minimum [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Performance Shares Payout Range | 0.00% | ||||
Maximum [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Performance Shares Payout Range | 250.00% | ||||
Restricted Stock [Member] | |||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | three-year |
Common Stock Restricted Stock -
Common Stock Restricted Stock - TIme Based Awards (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Weighted-Average Grant-Date Fair Value | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 1.90 | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | three-year | ||
Number of Shares | |||
Outstanding beginning of year, January 1, | 1,150,970 | ||
Granted | 657,972 | ||
Vested | (547,985) | ||
Forfeited | (95,770) | ||
Outstanding end of year, December 31, | 1,165,187 | 1,150,970 | |
Weighted-Average Grant-Date Fair Value | |||
Outstanding at beginning of year, January 1, | $ 20.14 | ||
Weighted-average grant date fair value per share | 33.64 | $ 11.98 | $ 40.34 |
Weighted average Vested | 24.86 | ||
Weighted average Forfeited | 22.74 | ||
Outstanding at end of year, December 31, | 25.33 | 20.14 | |
Weighted-average grant date fair value per share | $ 33.64 | $ 11.98 | $ 40.34 |
Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 18,200 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 13,600 | $ 20,400 | $ 16,300 |
Restricted Stock - Market Based Awards [Member] | |||
Number of Shares | |||
Outstanding beginning of year, January 1, | 499,547 | ||
Granted | 207,655 | ||
Vested | (267,973) | ||
Outstanding end of year, December 31, | 439,229 | 499,547 | |
Weighted-Average Grant-Date Fair Value | |||
Outstanding at beginning of year, January 1, | $ 38.66 | ||
Weighted-average grant date fair value per share | 54.01 | $ 33.52 | $ 56.68 |
Weighted average Vested | 43.10 | ||
Outstanding at end of year, December 31, | 43.21 | 38.66 | |
Weighted-average grant date fair value per share | $ 54.01 | $ 33.52 | $ 56.68 |
Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 10,500 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 6 months | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 11,600 | $ 4,700 | $ 2,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 112,045 | ||
Restricted Stock SRC - Market Based Awards [Member] | |||
Weighted-Average Grant-Date Fair Value | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 155,928 |
Common Stock Restricted Stock_2
Common Stock Restricted Stock - Market Based Awards Fair Value Assumptions (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 14, 2020 | Apr. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock Repurchase Program, Authorized Amount | $ 525 | $ 200 | |||
Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Performance Shares Payout Range | 0.00% | ||||
Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Performance Shares Payout Range | 250.00% | ||||
Restricted Stock - Market Based Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expected term of award | 3 years | 3 years | 3 years | ||
Risk-free interest rate | 0.20% | 1.40% | 2.50% | ||
Expected Volatility | 84.60% | 46.60% | 41.40% | ||
Weighted-average grant date fair value per share | $ 54.01 | $ 33.52 | $ 56.68 | ||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | three-year | ||||
Weighted-average grant date fair value per share | $ 33.64 | $ 11.98 | $ 40.34 | ||
SRC [Member] | Restricted Stock - Market Based Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Market based performance shares granted to executives | 155,928 |
Common Stock Schedule of Change
Common Stock Schedule of Changes in Restricted Stock - Market Based Awards (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Weighted-Average Grant-Date Fair Value | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 1.90 | ||
Maximum [Member] | |||
Weighted-Average Grant-Date Fair Value | |||
Performance Shares Payout Range | 250.00% | ||
Restricted Stock - Market Based Awards [Member] | |||
Number of Shares | |||
Outstanding beginning of year, January 1, | 499,547 | ||
Granted | 207,655 | ||
Vested | (267,973) | ||
Outstanding end of year, December 31, | 439,229 | 499,547 | |
Weighted-Average Grant-Date Fair Value | |||
Outstanding at beginning of year, January 1, | $ 38.66 | ||
Weighted average Vested | 43.10 | ||
Outstanding at end of year, December 31, | $ 43.21 | $ 38.66 | |
Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 10,500,000 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 6 months | ||
Expected term of award | 3 years | 3 years | 3 years |
Risk-free interest rate | 0.20% | 1.40% | 2.50% |
Expected Volatility | 84.60% | 46.60% | 41.40% |
Weighted-average grant date fair value per share | $ 54.01 | $ 33.52 | $ 56.68 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 11,600,000 | $ 4,700,000 | $ 2,000,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 112,045 | ||
Shares Issued, Value, Share-based Payment Arrangement, before Forfeiture | $ 503,615 | ||
Restricted Stock SRC - Market Based Awards [Member] | |||
Weighted-Average Grant-Date Fair Value | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 155,928 | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | three-year | ||
Number of Shares | |||
Outstanding beginning of year, January 1, | 1,150,970 | ||
Granted | 657,972 | ||
Vested | (547,985) | ||
Forfeited | (95,770) | ||
Outstanding end of year, December 31, | 1,165,187 | 1,150,970 | |
Weighted-Average Grant-Date Fair Value | |||
Outstanding at beginning of year, January 1, | $ 20.14 | ||
Weighted average Vested | 24.86 | ||
Weighted average Forfeited | 22.74 | ||
Outstanding at end of year, December 31, | $ 25.33 | $ 20.14 | |
Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 18,200,000 | ||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | ||
Weighted-average grant date fair value per share | $ 33.64 | $ 11.98 | $ 40.34 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 13,600,000 | $ 20,400,000 | $ 16,300,000 |
Common Stock Preferred Stock (D
Common Stock Preferred Stock (Details) - $ / shares | Dec. 31, 2021 | Jun. 23, 2008 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | |
Preferred Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Preferred Stock, Shares Authorized | 50,000,000 | |
Preferred Stock, Shares Issued | 0 |
Common Stock Stock Repurchase (
Common Stock Stock Repurchase (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Feb. 22, 2022 | Jan. 14, 2020 | Apr. 30, 2019 | |
Equity, Class of Treasury Stock [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 525,000,000 | $ 200,000,000 | ||||
Operating Loss Carryforwards | $ 464,500,000 | |||||
Subsequent Event [Member] | ||||||
Equity, Class of Treasury Stock [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 1,250,000,000 | |||||
Treasury Stock, Common [Member] | ||||||
Equity, Class of Treasury Stock [Line Items] | ||||||
Stock Repurchased During Period, Shares | (3,753,000) | (1,266,000) | 4,706,000 | |||
Payments for Repurchase of Common Stock | $ 159,500,000 | $ 23,800,000 | ||||
Treasury Stock remaining to be repurchased | $ 187,300,000 |
Common Stock Dividends (Details
Common Stock Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.12 | $ 0.86 | ||
Payments of Dividends | $ (83,615) | $ 0 | $ 0 |
Income Taxes Provision for Inco
Income Taxes Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Current Federal Tax Benefit (Expense) | $ 0 | $ 1,592 | $ 1,366 |
Current State and Local Tax Benefit (Expense) | (200) | (220) | (300) |
Current Income Tax Expense (Benefit) | (200) | 1,372 | 1,066 |
Deferred Federal Income Tax Benefit (Expense) | (23,790) | 5,460 | 4,507 |
Deferred State and Local Income Tax Benefit (Expense) | (2,593) | 1,070 | (2,251) |
Deferred Income Tax from Continuing Operations | (26,383) | 6,530 | 2,256 |
Income tax benefit (expense) | $ (26,583) | $ 7,902 | $ 3,322 |
Income Taxes Reconciliation of
Income Taxes Reconciliation of Statutory Rate to Effective Rate (Details) | 12 Months Ended | ||
Dec. 31, 2021Rate | Dec. 31, 2020Rate | Dec. 31, 2019Rate | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Statutory tax rate | 21.00% | 21.00% | 21.00% |
State income tax, net | 3.20% | 3.00% | 3.60% |
Federal tax credits | 0.00% | 0.00% | (3.30%) |
Effect of state income tax rate changes | 0.00% | 0.20% | (6.40%) |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | (19.80%) | (22.10%) | (0.60%) |
Non-deductible compensation | 0.30% | (0.60%) | 5.00% |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Depletion, Percent | 0.00% | (0.10%) | (2.30%) |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Other, Amount | 0.10% | (0.10%) | (1.00%) |
Effective Income Tax Rate Reconciliation,Other Reconciling Items, Percent | 0.00% | 0.00% | (0.50%) |
Other | 0.00% | (0.20%) | 0.00% |
Effective Income Tax Rate Reconciliation, Percent | 4.80% | 1.10% | 5.50% |
Income Taxes Tax Effects of Tem
Income Taxes Tax Effects of Temporary differences that Give Rise to Significant Portions of the Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Components of Deferred Tax Assets [Abstract] | ||
Deferred compensation | $ 9,949 | $ 10,472 |
Asset retirement obligations | 38,274 | 39,371 |
Federal NOL carryforwards | 97,555 | 97,880 |
State NOL and tax credit carryforwards, net | 20,266 | 21,034 |
Federal tax - credit carryforwards | 3,059 | 3,059 |
Deferred Tax Assets, Derivative Instruments | 88,053 | 18,351 |
Deferred Tax Assets, Tax Deferred Expense, Other | 3,854 | 4,364 |
Other | 4,454 | 5,741 |
Deferred Tax Assets, Valuation Allowance | (56,634) | (165,575) |
Deferred tax assets | 208,830 | 34,697 |
Components of Deferred Tax Liabilities [Abstract] | ||
Properties and equipment | 235,213 | 33,183 |
Convertible debt | 0 | 1,514 |
Total gross deferred tax liabilities | 235,213 | 34,697 |
Net deferred tax liability | $ 26,383 | $ 0 |
Income Taxes Additional Informa
Income Taxes Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating Loss Carryforwards: | ||||
Document Period End Date | Dec. 31, 2021 | |||
Deferred Tax Liabilities, Property, Plant and Equipment | $ 235,213 | $ 33,183 | ||
Effective Income Tax Rate Reconciliation, Percent | 4.80% | 1.10% | 5.50% | |
Net deferred tax liability | $ 26,383 | $ 0 | ||
Income Tax Expense (Benefit) | 26,383 | (6,530) | $ (2,256) | |
Deferred tax asset, operating loss carryforward, annual limitation | 15,100 | |||
Operating Loss Carryforwards | 464,500 | |||
Alternative minimum tax - credit carryforward | 3,059 | 3,059 | ||
State NOL carryforwards | 20,266 | 21,034 | ||
Deferred Tax Assets, Operating Loss Carryforwards | 97,555 | 97,880 | ||
Impairment of properties and equipment | $ 881,100 | 402 | 882,393 | 38,536 |
Income tax benefit (expense) | (26,583) | 7,902 | $ 3,322 | |
Deferred Tax Assets, Valuation Allowance | 56,634 | $ 165,575 | ||
State NOL Carryforwards | ||||
Operating Loss Carryforwards: | ||||
State NOL carryforwards | 479,400 | |||
Delaware Basin Acquisition [Member] | ||||
Operating Loss Carryforwards: | ||||
Deferred Tax Assets, Operating Loss Carryforwards | 60,100 | |||
SRC NOL Acquired | ||||
Operating Loss Carryforwards: | ||||
Deferred Tax Assets, Operating Loss Carryforwards | 232,500 | |||
SRC NOL | ||||
Operating Loss Carryforwards: | ||||
Deferred tax asset, operating loss carryforward, annual limitation | 16,100 | |||
2022 [Member] | State Credit Carryforwards | ||||
Operating Loss Carryforwards: | ||||
State credit carryforwards | 3,900 | |||
Pre-2018 NOL [Member] | ||||
Operating Loss Carryforwards: | ||||
Operating Loss Carryforwards | $ 304,000 |
Earnings per share Earnings Per
Earnings per share Earnings Per Share (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of Weighted-Average Diluted Shares Outstanding | |||
Weighted average common shares outstanding - basic | 98,546 | 98,251 | 64,032 |
Diluted | 100,154 | 98,251 | 64,032 |
Anti-dilutive Effect | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 144 | 1,936 | 1,291 |
Convertible Senior Note | |||
Convertible Note, Number of Shares Convertible | 2,300 | ||
1.125% Convertible Senior Notes due 2021 [Member] | |||
Convertible Senior Note | |||
Convertible Note, Conversion Price | $ 85.39 | ||
Restricted Stock [Member] | |||
Reconciliation of Weighted-Average Diluted Shares Outstanding | |||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 1,596 | 0 | 0 |
Anti-dilutive Effect | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 28 | 1,707 | 989 |
Other Equity-Based Awards | |||
Reconciliation of Weighted-Average Diluted Shares Outstanding | |||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 12 | 0 | 0 |
Anti-dilutive Effect | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 116 | 229 | 302 |
Supplemental Cash Flow Supple_3
Supplemental Cash Flow Supplemental Cash Flow (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Supplemental Cash Flow Elements [Line Items] | |||
Interest Paid, Excluding Capitalized Interest, Operating Activities | $ 66,647 | $ 75,506 | $ 57,439 |
Income Taxes Paid, Net | (1,057) | 9 | (1,167) |
Change in accounts payable related to capital expenditures | 519 | (28,676) | (68,246) |
Increase (Decrease) in Asset Retirement Obligations | 11,673 | 54,984 | 29,533 |
Operating Lease, Payments | 7,603 | 9,246 | 5,301 |
Operating Cash Flow from Financing Leases | 117 | 156 | 253 |
Finance Lease, Principal Payments | 1,688 | 1,905 | 1,952 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 1,457 | 4,305 | 1,428 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | $ 2,109 | $ 703 | $ 2,323 |
Noncash or Part Noncash Acquisition, Noncash Financial or Equity Instrument Consideration, Shares Issued | 0 | 1,009,015 | 0 |
Uncategorized Items - pdce-2021
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | $ 9,399,000 |