Document_and_Entity_Informatio
Document and Entity Information Document | 3 Months Ended | |
Mar. 31, 2015 | Apr. 29, 2015 | |
Entity Information [Line Items] | ||
Entity Registrant Name | SM Energy Co | |
Entity Central Index Key | 893538 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | FALSE | |
Entity Common Stock, Shares Outstanding | 67,464,185 | |
Entity Current Reporting Status | Yes |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except share amounts) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets | ||
Cash and cash equivalents | $22 | $120 |
Accounts receivable | 270,841 | 322,630 |
Derivative asset | 380,633 | 402,668 |
Prepaid expenses and other | 18,147 | 19,625 |
Total current assets | 669,643 | 745,043 |
Proved Oil and Gas Properties | 7,006,832 | 7,348,436 |
Less - accumulated depletion, depreciation, and amortization | -2,865,627 | -3,233,012 |
Unproved Oil and Gas Properties | 512,461 | 532,498 |
Wells in progress | 459,806 | 503,734 |
Oil, gas, and other property and equipment held for sale net of accumulated depletion, depreciation and amortization of $580,637 and $22,482, respectively | 184,951 | 17,891 |
Other property and equipment, net of accumulated depreciation of $35,590 and $37,079, respectively | 344,670 | 334,356 |
Total property and equipment, net | 5,643,093 | 5,503,903 |
Derivative asset | 204,841 | 189,540 |
Other noncurrent assets | 83,109 | 78,214 |
Total other noncurrent assets | 287,950 | 267,754 |
Total Assets | 6,600,686 | 6,516,700 |
Liabilities | ||
Accounts payable and accrued expenses | 561,051 | 640,684 |
Deferred tax liability | 135,204 | 142,976 |
Other current liabilities | 0 | 1,000 |
Total current liabilities | 696,255 | 784,660 |
Revolving credit facility | 416,500 | 166,000 |
Senior Notes (note 5) | 2,200,000 | 2,200,000 |
Asset retirement obligation | 108,815 | 120,429 |
Asset retirement obligation associated with oil and gas properties held for sale | 14,286 | 438 |
Net Profits Plan liability | 22,802 | 27,136 |
Deferred income taxes | 865,726 | 891,681 |
Derivative liability | 398 | 70 |
Other noncurrent liabilities | 39,676 | 39,631 |
Total noncurrent liabilities | 3,668,203 | 3,445,385 |
Commitments and contingencies (note 6) | ||
Stockholders' equity: | ||
Common stock, $0.01 par value - authorized: 200,000,000 shares; issued and outstanding; 67,464,185 and 67,463,060, respectively | 675 | 675 |
Additional paid-in-capital | 289,294 | 283,295 |
Retained earnings | 1,957,747 | 2,013,997 |
Accumulated other comprehensive loss | -11,488 | -11,312 |
Total stockholders' equity | 2,236,228 | 2,286,655 |
Total Liabilities and Stockholders' Equity | $6,600,686 | $6,516,700 |
Balance_Sheet_Parenthetical_Pa
Balance Sheet Parenthetical (Parentheticals) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Oil and Gas Property, Successful Effort Method, Accumulated Depreciation, Depletion and Amortization | $2,865,627 | $3,233,012 |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 |
Common Stock, Shares, Issued | 67,464,185 | 67,463,060 |
Common Stock, Shares, Outstanding | 67,464,185 | 67,463,060 |
Treasury Stock, Shares | 0 | 0 |
Assets Held-for-sale [Member] | ||
Oil and Gas Property, Successful Effort Method, Accumulated Depreciation, Depletion and Amortization | 580,637 | 22,482 |
Other Capitalized Property Plant and Equipment [Member] | ||
Oil and Gas Property, Successful Effort Method, Accumulated Depreciation, Depletion and Amortization | $35,590 | $37,079 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (in thousands, except per share amounts) (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Operating revenues: | ||||
Oil, gas, and NGL production revenue | $393,315 | $623,109 | ||
Gain (Loss) on Disposition of Oil and Gas Property | -35,802 | 2,958 | ||
Other operating revenues | 8,421 | 6,653 | ||
Total operating revenues and other income | 365,934 | 632,720 | ||
Operating expenses: | ||||
Oil, gas, and NGL production expense | 196,151 | 163,709 | ||
Depletion, depreciation, amortization, and asset retirement obligation liability accretion | 217,401 | 177,215 | ||
Exploration | 37,407 | 21,335 | ||
Impairment of proved properties | 55,526 | 0 | ||
Abandonment and impairment of unproved properties | 11,627 | 2,801 | ||
General and administrative | 43,639 | 35,051 | ||
Change in Net Profits Plan liability | -4,334 | -1,776 | ||
Derivative (gain) loss | 154,167 | [1] | -97,662 | [1] |
Other operating expenses | 17,119 | 8,089 | ||
Total operating expenses | 420,369 | 504,086 | ||
Income (loss) from operations | -54,435 | 128,634 | ||
Non-operating income (expense): | ||||
Other, net | 571 | 26 | ||
Interest expense | -32,647 | -24,190 | ||
Income (loss) before income taxes | -86,511 | 104,470 | ||
Income tax (expense) benefit | 33,453 | -38,863 | ||
Net income (loss) | ($53,058) | $65,607 | ||
Basic weighted-average common shares outstanding | 67,463 | 67,056 | ||
Diluted weighted-average common shares outstanding | 67,463 | 68,126 | ||
Basic net income (loss) per common share | ($0.79) | $0.98 | ||
Diluted net income (loss) per common share | ($0.79) | $0.96 | ||
Dividends per common share | $0.05 | $0.05 | ||
[1] | (2)B Total derivative (gain) loss is reported in the derivative (gain) loss line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | ($53,058) | $65,607 |
Pension liability adjustment | -176 | 0 |
Total other comprehensive income (loss), net of tax | -176 | 0 |
Total comprehensive income (loss) | ($53,234) | $65,607 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Statement of Cash Flows [Abstract] | ||
Dividends, Common Stock, Cash | $3,400,000 | $3,353,000 |
Net income (loss) | -53,058,000 | 65,607,000 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Gain (Loss) on Disposition of Oil and Gas Property | -35,802,000 | 2,958,000 |
Depletion, depreciation, amortization, and asset retirement obligation liability accretion | 217,401,000 | 177,215,000 |
Exploratory dry hole expense | 16,275,000 | 0 |
Impairment of proved properties | 55,526,000 | 0 |
Abandonment and impairment of unproved properties | 11,627,000 | 2,801,000 |
Stock-based compensation expense | 6,024,000 | 6,344,000 |
Change in Net Profits Plan liability | -4,334,000 | -1,776,000 |
Derivative (gain) loss | -154,167,000 | 97,662,000 |
Derivative cash settlements | 160,133,000 | -28,940,000 |
Amortization of deferred financing costs | 1,957,000 | 1,477,000 |
Deferred income taxes | -33,727,000 | 38,374,000 |
Plugging and abandonment | -2,425,000 | -1,325,000 |
Other, net | 1,496,000 | -3,103,000 |
Changes in current assets and liabilities: | ||
Accounts receivable | 69,527,000 | 9,347,000 |
Prepaid expenses and other | 1,281,000 | 885,000 |
Accounts payable and accrued expenses | -45,416,000 | -61,882,000 |
Net Cash Provided by Operating Activities | 283,922,000 | 299,728,000 |
Cash flows from investing activities: | ||
Net proceeds from sale of oil and gas properties | 21,573,000 | 1,979,000 |
Capital expenditures | -544,965,000 | -351,934,000 |
Acquisition of proved and unproved oil and gas properties | -10,069,000 | 195,000 |
Other, net | -997,000 | 4,227,000 |
Net cash used in investing activities | -534,458,000 | -345,533,000 |
Cash flows from financing activities: | ||
Proceeds from credit facility | 560,000,000 | 0 |
Repayment of credit facility | -309,500,000 | 0 |
Other, net | -62,000 | -8,000 |
Net cash provided by (used in) financing activities | 250,438,000 | -8,000 |
Net change in cash and cash equivalents | -98,000 | -45,813,000 |
Cash and cash equivalents at beginning of period | 120,000 | 282,248,000 |
Cash and cash equivalents at ending of period | 22,000 | 236,435,000 |
Supplemental schedule of additional cash flow information and noncash investing and financing activities: | ||
Cash paid for interest, net of capitalized interest | 34,059,000 | 37,851,000 |
Net cash paid (refunded) for income taxes | $94,000 | ($14,000) |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands) (Parenthetical) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Supplemental Cash Flow Information [Abstract] | ||
Dividends, Common Stock, Cash | $3,400,000 | $3,353,000 |
Capital Expenditures Incurred but Not yet Paid | $318,000,000 | $200,500,000 |
The_Company_and_Business
The Company and Business | 3 Months Ended |
Mar. 31, 2015 | |
Company and Business Disclosure [Abstract] | |
The Company and Business | Note 1 - The Company and Business |
SM Energy Company (“SM Energy” or the “Company”) is an independent energy company engaged in the acquisition, exploration, development, and production of crude oil and condensate, natural gas, and natural gas liquids (also respectively referred to as “oil,” “gas,” and “NGLs” throughout this report) in onshore North America. |
Basis_of_Presentation_Signific
Basis of Presentation, Significant Accounting Policies, and Recently Issued Accounting Standards | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation, Significant Accounting Policies, and Recently Issued Accounting Standards | Note 2 - Basis of Presentation, Significant Accounting Policies, and Recently Issued Accounting Standards |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements of SM Energy have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and the instructions to Form 10-Q and Regulation S-X. They do not include all information and notes required by GAAP for complete financial statements. However, except as disclosed herein, there has been no material change in the information disclosed in the notes to consolidated financial statements included in SM Energy’s Annual Report on Form 10-K for the year ended December 31, 2014 (the “2014 Form 10-K”). In the opinion of management, all adjustments, consisting of normal recurring accruals considered necessary for a fair presentation of interim financial information, have been included. Operating results for the periods presented are not necessarily indicative of expected results for the full year. In connection with the preparation of its unaudited condensed consolidated financial statements, the Company evaluated events subsequent to the balance sheet date of March 31, 2015, through the filing date of this report. Certain prior period amounts have been reclassified to conform to the current presentation on the accompanying financial statements. The asset retirement obligation associated with oil and gas properties held for sale has been separately presented within the accompanying condensed consolidated balance sheets (“accompanying balance sheets”). | |
Significant Accounting Policies | |
The significant accounting policies followed by the Company are set forth in Note 1 to the Company’s consolidated financial statements in its 2014 Form 10-K, and are supplemented by the notes to the unaudited condensed consolidated financial statements in this report. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes included in the 2014 Form 10-K. | |
Recently Issued Accounting Standards | |
Effective January 1, 2015, the Company early adopted, on a prospective basis, Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2015-01, “Income Statement – Extraordinary and Unusual Items.” This ASU simplifies income statement presentation by eliminating the concept of extraordinary items. There was no impact to the Company’s financial statements or disclosures from the adoption of this standard. | |
In April 2015, the FASB issued new authoritative accounting guidance requiring debt issuance costs to be presented on the balance sheet as a direct deduction from the carrying value of the related debt liability. This guidance is to be applied using a retrospective method and is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2015. Early application is permitted. The Company is currently evaluating the provisions of this guidance and assessing its impact on the Company’s financial statements and disclosures. | |
There are no other new significant accounting standards applicable to the Company that have been issued but not yet adopted by the Company as of March 31, 2015, and through the filing date of this report that have not been disclosed above or included within the 2014 Form 10-K. |
Acquisitions_Divestitures_and_
Acquisitions, Divestitures, and Assets Held for Sale Assets Held for Sale | 3 Months Ended |
Mar. 31, 2015 | |
Assets held for sale [Abstract] | |
Assets Held-for-sale | Note 3 – Assets Held for Sale |
Assets are classified as held for sale when the Company commits to a plan to sell the assets and there is reasonable certainty the sale will take place within one year. Upon classification as held for sale, long-lived assets are no longer depreciated or depleted, and a measurement for impairment is performed to identify and expense any excess of carrying value over fair value less estimated costs to sell. Subsequent decreases to the estimated fair value less the costs to sell impact the measurement of assets held for sale. | |
As of March 31, 2015, the accompanying balance sheets present $185.0 million of assets held for sale, net of accumulated depletion, depreciation, and amortization expense, which primarily consists of all of the Company’s Mid-Continent region assets. A corresponding asset retirement obligation liability of $14.3 million is separately presented. Earlier in 2015, the Company announced plans to divest of these assets and shift resources to further focus on development of core assets. Write-downs to fair value less estimated costs to sell of $30.0 million for certain of these assets for the three months ended March 31, 2015, are reflected in the gain (loss) on divestiture activity line item in the accompanying condensed consolidated statements of operations (“accompanying statements of operations”). | |
Subsequent to March 31, 2015, the Company entered into purchase and sale agreements with two separate buyers for the sale of its Mid-Continent assets that were classified as held for sale at March 31, 2015. The Company expects to close these transactions in the second quarter of 2015 for a total purchase price of approximately $324 million, subject to customary closing adjustments. The closings of these transactions are subject to the satisfaction of customary closing conditions, and there can be no assurance that either of these transactions will close on the expected closing dates or at all. | |
The Company determined that these planned asset sales do not qualify for discontinued operations accounting under financial statement presentation authoritative guidance. | |
In conjunction with the Company’s efforts to divest its Mid-Continent region assets, the Company announced the planned closure of its Tulsa, Oklahoma office in 2015 with the relocation of certain personnel to other Company offices. The Company anticipates incurring approximately $10 million of exit and disposal costs associated with the severance, retention and relocation of employees, termination of operating leases, vacant office space, and other expenses. The majority of these exit and disposal activities are expected to be completed by the end of the third quarter of 2015. As of March 31, 2015, the Company had recorded $3.5 million of exit and disposal costs, the majority of which were recorded as general and administrative expense within the accompanying statements of operations. |
Income_Taxes
Income Taxes | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Income Taxes | Note 4 - Income Taxes | |||||||
Income tax (benefit) expense for the three months ended March 31, 2015, and 2014, differs from the amount that would be provided by applying the statutory United States federal income tax rate to income before income taxes primarily due to the effect of state income taxes, changes in valuation allowances, percentage depletion, research and development (“R&D”) credits, and other permanent differences. The quarterly rate can also be impacted by the proportional effects of forecasted net income as of each period end presented. | ||||||||
The provision for income taxes consists of the following: | ||||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands) | ||||||||
Current portion of income tax expense: | ||||||||
Federal | $ | — | $ | — | ||||
State | 274 | 489 | ||||||
Deferred portion of income tax (benefit) expense | (33,727 | ) | 38,374 | |||||
Total income tax (benefit) expense | $ | (33,453 | ) | $ | 38,863 | |||
38.7 | % | 37.2 | % | |||||
A change in the Company’s effective tax rate between reported periods will generally reflect differences in its estimated highest marginal state tax rate due to changes in the composition of income from Company activities among various state tax jurisdictions. Cumulative effects of state rate changes are reflected in the period legislation is enacted. | ||||||||
The Company is generally no longer subject to United States federal or state income tax examinations by tax authorities for years before 2007. During the first quarter of 2015, as a result of its R&D credit settlement with the IRS Appeals Office in late 2014, the Company recorded an additional $2.0 million net R&D credit from a claim filed on an amended return. No R&D credit was recorded in 2014. |
LongTerm_Debt
Long-Term Debt | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Long-term debt | Note 5 - Long-term Debt | |||||||||||
Revolving Credit Facility | ||||||||||||
The Company’s Second Amendment to the Fifth Amended and Restated Credit Agreement dated December 10, 2014, provides a maximum loan amount of $2.5 billion, current aggregate lender commitments of $1.5 billion, and a maturity date of December 10, 2019. The borrowing base is subject to regular semi-annual redeterminations and was reaffirmed by the Company’s lenders on April 6, 2015, at $2.4 billion. The borrowing base redetermination process under the credit facility considers the value of the Company’s proved oil and gas properties, as determined by the Company’s lenders. The next redetermination date is scheduled for October 1, 2015. Borrowings under the facility are secured by mortgages on assets having a value equal to at least 75 percent of the total value of the Company’s proved oil and gas properties. | ||||||||||||
The Company must comply with certain financial and non-financial covenants under the terms of its credit facility agreement, including limitations on the payment of dividends to $50.0 million per year. The Company was in compliance with all covenants under the credit facility as of March 31, 2015, and through the filing date of this report. | ||||||||||||
The following table presents the outstanding balance, total amount of letters of credit, and available borrowing capacity under the Company’s credit facility as of April 29, 2015, March 31, 2015, and December 31, 2014: | ||||||||||||
As of April 29, 2015 | As of March 31, 2015 | As of December 31, 2014 | ||||||||||
(in thousands) | ||||||||||||
Credit facility balance | $ | 502,500 | $ | 416,500 | $ | 166,000 | ||||||
Letters of credit (1) | $ | 808 | $ | 808 | $ | 808 | ||||||
Available borrowing capacity | $ | 996,692 | $ | 1,082,692 | $ | 1,333,192 | ||||||
____________________________________________ | ||||||||||||
(1) Letters of credit reduce the amount available under the credit facility on a dollar-for-dollar basis. | ||||||||||||
Senior Notes | ||||||||||||
The Senior Notes line on the accompanying balance sheets represents the outstanding principal amount of the 6.625% Senior Notes due 2019 (the “2019 Notes”), the 6.50% Senior Notes due 2021 (the “2021 Notes”), the 6.125% Senior Notes due 2022 (the “2022 Notes”), the 6.50% Senior Notes due 2023 (the “2023 Notes”), and the 5.0% Senior Notes due 2024 (the “2024 Notes” and collectively with the 2019 Notes, 2021 Notes, 2022 Notes, and 2023 Notes, the “Senior Notes”), as shown in the table below: | ||||||||||||
As of March 31, 2015 | As of December 31, 2014 | |||||||||||
(in thousands) | ||||||||||||
2019 Notes | $ | 350,000 | $ | 350,000 | ||||||||
2021 Notes | 350,000 | 350,000 | ||||||||||
2022 Notes | 600,000 | 600,000 | ||||||||||
2023 Notes | 400,000 | 400,000 | ||||||||||
2024 Notes | 500,000 | 500,000 | ||||||||||
Total Senior Notes | $ | 2,200,000 | $ | 2,200,000 | ||||||||
The Senior Notes are unsecured senior obligations and rank equal in right of payment with all of the Company’s existing and any future unsecured senior debt, and are senior in right of payment to any future subordinated debt. There are no subsidiary guarantors of the Senior Notes. The Company is subject to certain covenants under the indentures governing the Senior Notes that limit the Company’s ability to incur additional indebtedness, issue preferred stock, and make restricted payments, including dividends; provided, however, that the first $6.5 million of dividends paid each year are not restricted by the restricted payment covenant. The Company was in compliance with all covenants under its Senior Notes as of March 31, 2015, and through the filing date of this report. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 6 - Commitments and Contingencies |
Commitments | |
There have been no material changes in commitments during the first quarter of 2015. Please refer to Note 6 - Commitments and Contingencies in the Company’s 2014 Form 10-K for additional discussion. | |
Contingencies | |
The Company is subject to litigation and claims arising in the ordinary course of business. The Company accrues for such items when a liability is both probable and the amount can be reasonably estimated. In the opinion of management, the expected results of any pending litigation and claims will not have a material effect on the results of operations, the financial position, or the cash flows of the Company. |
Compensation_Plans
Compensation Plans | 3 Months Ended |
Mar. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Compensation Plans | Note 7 - Compensation Plans |
Performance Share Units Under the Equity Incentive Compensation Plan | |
The Company grants performance share units (“PSUs”) to eligible employees as part of its equity compensation program. The number of shares of the Company’s common stock issued to settle PSUs ranges from 0% to 200% of the number of PSUs awarded and is determined based on the Company’s performance over a three-year measurement period. The performance criteria for the PSUs are based on a combination of the Company’s annualized total shareholder return (“TSR”) for the performance period and the relative performance of the Company’s TSR compared with the annualized TSR of certain peer companies for the performance period. PSUs are recognized as general and administrative and exploration expense over the vesting periods of the award. | |
Total expense recorded for PSUs for the three months ended March 31, 2015, and 2014, was $2.3 million and $3.2 million, respectively. As of March 31, 2015, there was $18.1 million of total unrecognized compensation expense related to unvested PSU awards, which is being amortized through 2017. There have been no material changes to the outstanding and non-vested PSUs during the three months ended March 31, 2015. | |
Restricted Stock Units Under the Equity Incentive Compensation Plan | |
The Company grants restricted stock units (“RSUs”) as part of its equity compensation program. Each RSU represents a right for one share of the Company’s common stock to be delivered upon settlement of the award at the end of the specified vesting period. RSUs are recognized as general and administrative expense and exploration expense over the vesting periods of the award. | |
Total expense recorded for RSUs for the three months ended March 31, 2015, and 2014, was $2.9 million and $2.8 million, respectively. As of March 31, 2015, there was $19.3 million of total unrecognized compensation expense related to unvested RSU awards, which is being amortized through 2017. There have been no material changes to the outstanding and non-vested RSUs during the three months ended March 31, 2015. | |
Net Profits Plan | |
Cash payments made or accrued under the Company’s Net Profits Plan totaled $1.3 million and $3.3 million for the three months ended March 31, 2015, and 2014, respectively, the majority of which were recorded as general and administrative expense within the accompanying statements of operations. | |
The Company records changes in the present value of estimated future payments under the Net Profits Plan as a separate line item in the accompanying statements of operations. The change in the estimated liability is recorded as a non-cash expense or benefit in the current period. The amount recorded as an expense or benefit associated with the change in the estimated liability is not allocated to general and administrative expense or exploration expense because it is associated with the future net cash flows from oil and gas properties in the respective pools rather than results being realized through current period production. If the Company allocated the change in liability to these specific functional line items, based on the current allocation of actual distributions made by the Company, such expenses or benefits would predominately be allocated to general and administrative expense. As time has passed, the amount distributed relating to prospective exploration efforts has become insignificant as more is paid to employees that have terminated employment and do not provide ongoing exploration support to the Company. |
Pension_Benefits
Pension Benefits | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||
Pension Benefits | Note 8 - Pension Benefits | |||||||
Pension Plans | ||||||||
The Company has a non-contributory pension plan covering substantially all employees who meet age and service requirements (the “Qualified Pension Plan”). The Company also has a supplemental non-contributory pension plan covering certain management employees (the “Nonqualified Pension Plan” and together with the Qualified Pension Plan, the “Pension Plans”). | ||||||||
Components of Net Periodic Benefit Cost for the Pension Plans | ||||||||
The following table presents the components of the net periodic benefit cost for the Pension Plans: | ||||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands) | ||||||||
Service cost | $ | 1,584 | $ | 1,573 | ||||
Interest cost | 548 | 407 | ||||||
Expected return on plan assets that reduces periodic pension costs | (494 | ) | (385 | ) | ||||
Amortization of prior service costs | 4 | 4 | ||||||
Amortization of net actuarial loss | 172 | 306 | ||||||
Net periodic benefit cost | $ | 1,814 | $ | 1,905 | ||||
Prior service costs are amortized on a straight-line basis over the average remaining service period of active participants. Gains and losses in excess of 10 percent of the greater of the benefit obligation and the market-related value of assets are amortized over the average remaining service period of active participants. |
Earnings_per_Share
Earnings per Share | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Earnings per Share | Note 9 - Earnings per Share | |||||||
Basic net income or loss per common share is calculated by dividing net income or loss available to common stockholders by the basic weighted-average common shares outstanding for the respective period. The Company’s earnings per share calculations reflect the impact of any repurchases of shares of common stock made by the Company. | ||||||||
Diluted net income or loss per common share is calculated by dividing adjusted net income or loss by the diluted weighted-average common shares outstanding, which includes the effect of potentially dilutive securities. Potentially dilutive securities for this calculation consist of unvested RSUs, contingent PSUs, and in-the-money outstanding stock options. The treasury stock method is used to measure the dilutive impact of these stock awards. All remaining stock options were exercised during the year ended December 31, 2014, and therefore, were only dilutive for the three months ended March 31, 2014. When there is a loss from continuing operations, as was the case for the three months ended March 31, 2015, all potentially dilutive shares are anti-dilutive and are consequently excluded from the calculation of diluted net loss per common share. For the three months ended March 31, 2015, weighted-average anti-dilutive securities related to unvested RSUs and contingent PSUs totaled approximately 452,000 shares. | ||||||||
PSUs represent the right to receive, upon settlement of the PSUs after completion of the three-year performance period, a number of shares of the Company’s common stock that may range from 0% to 200% of the number of PSUs granted on the award date. The number of potentially dilutive shares related to PSUs is based on the number of shares, if any, that would be issuable at the end of the respective reporting period, assuming that date was the end of the contingency period applicable to such PSUs. For additional discussion on PSUs, please refer to Note 7 - Compensation Plans under the heading Performance Share Units Under the Equity Incentive Compensation Plan. | ||||||||
The following table sets forth the calculations of basic and diluted earnings per share: | ||||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands, except per share amounts) | ||||||||
Net income (loss) | $ | (53,058 | ) | $ | 65,607 | |||
Basic weighted-average common shares outstanding | 67,463 | 67,056 | ||||||
Add: dilutive effect of stock options, unvested RSUs, and contingent PSUs | — | 1,070 | ||||||
Diluted weighted-average common shares outstanding | 67,463 | 68,126 | ||||||
Basic net income (loss) per common share | $ | (0.79 | ) | $ | 0.98 | |||
Diluted net income (loss) per common share | $ | (0.79 | ) | $ | 0.96 | |||
Derivative_Financial_Instrumen
Derivative Financial Instruments | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||
Derivative Financial Instruments | Note 10 - Derivative Financial Instruments | ||||||||||||||||
Summary of Oil, Gas, and NGL Derivative Contracts in Place | |||||||||||||||||
The Company has entered into various commodity derivative contracts to mitigate a portion of its exposure to potentially adverse market changes in commodity prices and the associated impact on cash flows. All contracts are entered into for other-than-trading purposes. The Company’s derivative contracts include swap and collar arrangements for oil, gas, and NGLs. | |||||||||||||||||
As of March 31, 2015, the Company had commodity derivative contracts outstanding through the fourth quarter of 2019 for a total of 12.1 million Bbls of oil production, 204.7 million MMBtu of gas production, and 1.5 million Bbls of NGL production. Subsequent to March 31, 2015, the Company entered into derivative contracts through the second quarter of 2018 for a total of 387,000 Bbls of NGL production with contract prices ranging from $9.66 per Bbl to $10.19 per Bbl. These subsequent derivative contracts for ethane production are based on Oil Price Information Service (“OPIS”) Purity Ethane Mont Belvieu pricing. | |||||||||||||||||
In a typical commodity swap agreement, if the agreed upon published third-party index price (“index price”) is lower than the swap fixed price, the Company receives the difference between the index price and the agreed upon swap fixed price. If the index price is higher than the swap fixed price, the Company pays the difference. For collar agreements, the Company receives the difference between an index price and the floor price if the index price is below the floor price. The Company pays the difference between the ceiling price and the index price if the index price is above the ceiling price. No amounts are paid or received if the index price is between the floor and ceiling prices. | |||||||||||||||||
The following tables summarize the approximate volumes and average contract prices of contracts the Company had in place as of March 31, 2015: | |||||||||||||||||
Oil Contracts | |||||||||||||||||
Oil Swaps | |||||||||||||||||
Contract Period | NYMEX WTI Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(Bbls) | (per Bbl) | ||||||||||||||||
Second quarter 2015 | 1,639,000 | $ | 91.26 | ||||||||||||||
Third quarter 2015 | 1,254,000 | $ | 90.78 | ||||||||||||||
Fourth quarter 2015 | 1,137,000 | $ | 90.15 | ||||||||||||||
2016 | 5,570,000 | $ | 88.01 | ||||||||||||||
All oil swaps | 9,600,000 | ||||||||||||||||
Oil Collars | |||||||||||||||||
Contract Period | NYMEX WTI | Weighted- | Weighted- | ||||||||||||||
Volumes | Average Floor | Average Ceiling | |||||||||||||||
Price | Price | ||||||||||||||||
(Bbls) | (per Bbl) | (per Bbl) | |||||||||||||||
Second quarter 2015 | 709,000 | $ | 85 | $ | 94.06 | ||||||||||||
Third quarter 2015 | 906,000 | $ | 85 | $ | 91.25 | ||||||||||||
Fourth quarter 2015 | 869,000 | $ | 85 | $ | 92.19 | ||||||||||||
All oil collars | 2,484,000 | ||||||||||||||||
Gas Contracts | |||||||||||||||||
Gas Swaps | |||||||||||||||||
Contract Period | Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(MMBtu) | (per MMBtu) | ||||||||||||||||
Second quarter 2015 | 15,985,000 | $ | 3.9 | ||||||||||||||
Third quarter 2015 | 14,950,000 | $ | 4.03 | ||||||||||||||
Fourth quarter 2015 | 13,570,000 | $ | 4.02 | ||||||||||||||
2016 | 48,896,000 | $ | 4.12 | ||||||||||||||
2017 | 37,414,000 | $ | 4.16 | ||||||||||||||
2018 | 35,241,000 | $ | 4.21 | ||||||||||||||
2019 | 28,159,000 | $ | 4.28 | ||||||||||||||
All gas swaps* | 194,215,000 | ||||||||||||||||
*Gas swaps are comprised of IF El Paso Permian (2%), IF HSC (83%), IF NGPL TXOK (1%), IF NNG Ventura (3%), and IF Enable East (11%). | |||||||||||||||||
Gas Collars | |||||||||||||||||
Contract Period | Volumes | Weighted- | Weighted- | ||||||||||||||
Average Floor | Average Ceiling | ||||||||||||||||
Price | Price | ||||||||||||||||
(MMBtu) | (per MMBtu) | (per MMBtu) | |||||||||||||||
Second quarter 2015 | 2,297,000 | $ | 4 | $ | 4.3 | ||||||||||||
Third quarter 2015 | 2,005,000 | $ | 4 | $ | 4.3 | ||||||||||||
Fourth quarter 2015 | 6,176,000 | $ | 3.97 | $ | 4.3 | ||||||||||||
All gas collars* | 10,478,000 | ||||||||||||||||
*Gas collars are comprised of IF El Paso Permian (4%), IF HSC (79%), IF NNG Ventura (7%), and IF Enable East (10%). | |||||||||||||||||
NGL Contracts | |||||||||||||||||
NGL Swaps | |||||||||||||||||
Contract Period | OPIS Purity Ethane Mt Belv. Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(Bbls) | (per Bbl) | ||||||||||||||||
2016 | 710,000 | $ | 9.12 | ||||||||||||||
2017 | 542,000 | $ | 10.13 | ||||||||||||||
2018 | 210,000 | $ | 10.74 | ||||||||||||||
All NGL swaps | 1,462,000 | ||||||||||||||||
Derivative Assets and Liabilities Fair Value | |||||||||||||||||
The Company’s commodity derivatives are measured at fair value and are included in the accompanying balance sheets as derivative assets and liabilities. The fair value of the commodity derivative contracts was a net asset of $585.1 million and net asset of $592.1 million as of March 31, 2015, and December 31, 2014, respectively. | |||||||||||||||||
The following tables detail the fair value of derivatives recorded in the accompanying balance sheets, by category: | |||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Classification | Classification | ||||||||||||||||
(in thousands) | |||||||||||||||||
Commodity contracts | Current assets | $ | 380,633 | Current liabilities | $ | — | |||||||||||
Commodity contracts | Noncurrent assets | 204,841 | Noncurrent liabilities | 398 | |||||||||||||
Derivatives not designated as hedging instruments | $ | 585,474 | $ | 398 | |||||||||||||
As of December 31, 2014 | |||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Classification | Classification | ||||||||||||||||
(in thousands) | |||||||||||||||||
Commodity contracts | Current assets | $ | 402,668 | Current liabilities | $ | — | |||||||||||
Commodity contracts | Noncurrent assets | 189,540 | Noncurrent liabilities | 70 | |||||||||||||
Derivatives not designated as hedging instruments | $ | 592,208 | $ | 70 | |||||||||||||
Offsetting of Derivative Assets and Liabilities | |||||||||||||||||
As of March 31, 2015, and December 31, 2014, all derivative instruments held by the Company were subject to enforceable master netting arrangements by various financial institutions. In general, the terms of the Company’s agreements provide for offsetting of amounts payable or receivable between it and the counterparty, at the election of both parties, for transactions that occur on the same date and in the same currency. The Company’s agreements also provide that in the event of an early termination, the counterparties have the right to offset amounts owed or owing under that and any other agreement with the same counterparty. The Company’s accounting policy is to not offset these positions in its accompanying balance sheets. | |||||||||||||||||
The following table provides a reconciliation between the gross assets and liabilities reflected on the accompanying balance sheets and the potential effects of master netting arrangements on the fair value of the Company’s derivative contracts: | |||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
As of | As of | ||||||||||||||||
Offsetting of Derivative Assets and Liabilities | March 31, 2015 | December 31, 2014 | March 31, 2015 | December 31, 2014 | |||||||||||||
(in thousands) | |||||||||||||||||
Gross amounts presented in the accompanying balance sheets | $ | 585,474 | $ | 592,208 | $ | (398 | ) | $ | (70 | ) | |||||||
Amounts not offset in the accompanying balance sheets | (398 | ) | (70 | ) | 398 | 70 | |||||||||||
Net amounts | $ | 585,076 | $ | 592,138 | $ | — | $ | — | |||||||||
The following table summarizes the components of the derivative (gain) loss presented in the accompanying statements of operations: | |||||||||||||||||
For the Three Months Ended March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Derivative settlement (gain) loss: | |||||||||||||||||
Oil contracts | $ | (106,214 | ) | $ | 6,758 | ||||||||||||
Gas contracts | (34,232 | ) | 13,404 | ||||||||||||||
NGL contracts | (20,783 | ) | 8,778 | ||||||||||||||
Total derivative settlement (gain) loss (1) | $ | (161,229 | ) | $ | 28,940 | ||||||||||||
Total derivative (gain) loss: | |||||||||||||||||
Oil contracts | $ | (73,860 | ) | $ | 31,950 | ||||||||||||
Gas contracts | (82,339 | ) | 59,461 | ||||||||||||||
NGL contracts | 2,032 | 6,251 | |||||||||||||||
Total derivative (gain) loss (2) | $ | (154,167 | ) | $ | 97,662 | ||||||||||||
____________________________________________ | |||||||||||||||||
(1) | Total derivative settlement (gain) loss is reported net of the change in accrued settlements between periods in the derivative cash settlements line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. | ||||||||||||||||
(2) | Total derivative (gain) loss is reported in the derivative (gain) loss line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. | ||||||||||||||||
Credit Related Contingent Features | |||||||||||||||||
As of March 31, 2015, and through the filing date of this report, all of the Company’s derivative counterparties were members of the Company’s credit facility lender group. The Company’s obligations under its derivative contracts are secured by mortgages on assets having a value equal to at least 75 percent of the total value of the Company’s proved oil and gas properties. |
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||
Fair Value Disclosures [Text Block] | Note 11 - Fair Value Measurements | |||||||||||
The Company follows fair value measurement authoritative accounting guidance for all assets and liabilities measured at fair value. This guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. Market or observable inputs are the preferred sources of values, followed by assumptions based on hypothetical transactions in the absence of market inputs. The fair value hierarchy for grouping these assets and liabilities is based on the significance level of the following inputs: | ||||||||||||
• | Level 1 – quoted prices in active markets for identical assets or liabilities | |||||||||||
• | Level 2 – quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations whose inputs are observable or whose significant value drivers are observable | |||||||||||
• | Level 3 – significant inputs to the valuation model are unobservable | |||||||||||
The following table is a listing of the Company’s assets and liabilities that are measured at fair value and where they are classified within the fair value hierarchy as of March 31, 2015: | ||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||
(in thousands) | ||||||||||||
Assets: | ||||||||||||
Derivatives (1) | $ | — | $ | 585,474 | $ | — | ||||||
Proved oil and gas properties (2) | $ | — | $ | — | $ | 48,969 | ||||||
Oil, gas, and other property and equipment held for sale (2) | $ | — | $ | — | $ | 58,779 | ||||||
Liabilities: | ||||||||||||
Derivatives (1) | $ | — | $ | 398 | $ | — | ||||||
Net Profits Plan (1) | $ | — | $ | — | $ | 22,802 | ||||||
Asset retirement obligation associated with oil and gas properties held for sale (2) | $ | — | $ | — | $ | 9,509 | ||||||
____________________________________________ | ||||||||||||
(1) This represents a financial asset or liability that is measured at fair value on a recurring basis. | ||||||||||||
(2) This represents a non-financial asset or liability that is measured at fair value on a nonrecurring basis. | ||||||||||||
The following is a listing of the Company’s assets and liabilities that are measured at fair value and where they were classified within the hierarchy as of December 31, 2014: | ||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||
(in thousands) | ||||||||||||
Assets: | ||||||||||||
Derivatives (1) | $ | — | $ | 592,208 | $ | — | ||||||
Proved oil and gas properties (2) | $ | — | $ | — | $ | 33,423 | ||||||
Oil, gas, and other property and equipment held for sale (2) | $ | — | $ | — | $ | 17,891 | ||||||
Liabilities: | ||||||||||||
Derivatives (1) | $ | — | $ | 70 | $ | — | ||||||
Net Profits Plan (1) | $ | — | $ | — | $ | 27,136 | ||||||
____________________________________________ | ||||||||||||
(1) This represents a financial asset or liability that is measured at fair value on a recurring basis. | ||||||||||||
(2) This represents a non-financial asset that is measured at fair value on a nonrecurring basis. | ||||||||||||
Both financial and non-financial assets and liabilities are categorized within the above fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The following is a description of the valuation methodologies used by the Company as well as the general classification of such instruments pursuant to the above fair value hierarchy. | ||||||||||||
Derivatives | ||||||||||||
The Company uses Level 2 inputs to measure the fair value of oil, gas, and NGL commodity derivatives. Fair values are based upon interpolated data. The Company derives internal valuation estimates taking into consideration forward commodity price curves, counterparties’ credit ratings, the Company’s credit rating, and the time value of money. These valuations are then compared to the respective counterparties’ mark-to-market statements. The considered factors result in an estimated exit-price that management believes provides a reasonable and consistent methodology for valuing derivative instruments. The derivative instruments utilized by the Company are not considered by management to be complex, structured, or illiquid. The oil, gas, and NGL commodity derivative markets are highly active. | ||||||||||||
Generally, market quotes assume that all counterparties have near zero, or low, default rates and have equal credit quality. However, an adjustment may be necessary to reflect the credit quality of a specific counterparty to determine the fair value of the instrument. The Company monitors the credit ratings of its counterparties and may require counterparties to post collateral if their ratings deteriorate. In some instances, the Company will attempt to novate the trade to a more stable counterparty. | ||||||||||||
Valuation adjustments are necessary to reflect the effect of the Company’s credit quality on the fair value of any derivative liability position. This adjustment takes into account any credit enhancements, such as collateral margin that the Company may have posted with a counterparty, as well as any letters of credit between the parties. The methodology to determine this adjustment is consistent with how the Company evaluates counterparty credit risk, taking into account the Company’s credit rating, current credit facility margins, and any change in such margins since the last measurement date. All of the Company’s derivative counterparties are members of the Company’s credit facility lender group. | ||||||||||||
The methods described above may result in a fair value estimate that may not be indicative of net realizable value or may not be reflective of future fair values and cash flows. While the Company believes that the valuation methods utilized are appropriate and consistent with authoritative accounting guidance and with other marketplace participants, the Company recognizes that third parties may use different methodologies or assumptions to determine the fair value of certain financial instruments that could result in a different estimate of fair value at the reporting date. | ||||||||||||
Refer to Note 10 - Derivative Financial Instruments for more information regarding the Company’s derivative instruments. | ||||||||||||
Net Profits Plan | ||||||||||||
The Net Profits Plan is a standalone liability for which there is no available market price, principal market, or market participants. The inputs available for this instrument are unobservable and are therefore classified as Level 3 inputs. The Company employs the income valuation technique, which converts expected future cash flow amounts to a single present value amount. This technique uses the estimate of future cash payments, expectations of possible variations in the amount and/or timing of cash flows, the risk premium, and nonperformance risk to calculate the fair value. There is a direct correlation between realized oil, gas, and NGL commodity prices driving net cash flows and the Net Profits Plan liability. Generally, higher commodity prices result in a larger Net Profits Plan liability and lower commodity prices result in a smaller Net Profits Plan liability. | ||||||||||||
The Company records the estimated fair value of the long-term liability for estimated future payments under the Net Profits Plan based on the discounted value of estimated future payments associated with each individual pool. The calculation of this liability is a significant management estimate. A discount rate of 12 percent is used to calculate this liability and is intended to represent the Company’s best estimate of the present value of expected future payments under the Net Profits Plan. | ||||||||||||
The Company’s estimate of its liability is highly dependent on commodity prices, cost assumptions, discount rates, and overall market conditions. The Company regularly assesses the current market environment. The Net Profits Plan liability is determined using price assumptions of five one-year strip prices with the fifth year’s pricing then carried out indefinitely. The average price is adjusted for realized price differentials and to include the effects of the forecasted production covered by derivative contracts in the relevant periods. The non-cash expense associated with this significant management estimate is highly volatile from period to period due to fluctuations that occur in the oil, gas, and NGL commodity markets. | ||||||||||||
If the commodity prices used in the calculation changed by five percent, the liability recorded at March 31, 2015, would differ by approximately $2 million. A one percent increase or decrease in the discount rate would result in a change of approximately $1 million. Actual cash payments to be made to participants in future periods are dependent on realized actual production, realized commodity prices, and costs associated with the properties in each individual pool of the Net Profits Plan. Consequently, actual cash payments are inherently different from the amounts estimated. | ||||||||||||
No published market quotes exist on which to base the Company’s estimate of fair value of its Net Profits Plan liability. As such, the recorded fair value is based entirely on management estimates that are described within this footnote. While some inputs to the Company’s calculation of fair value of the Net Profits Plan’s future payments are from published sources, others, such as the discount rate and the expected future cash flows, are derived from the Company’s own calculations and estimates. | ||||||||||||
The following table reflects the activity for the Company’s Net Profits Plan liability measured at fair value using Level 3 inputs: | ||||||||||||
For the Three Months Ended March 31, 2015 | ||||||||||||
(in thousands) | ||||||||||||
Beginning balance | $ | 27,136 | ||||||||||
Net decrease in liability (1) | (3,035 | ) | ||||||||||
Net settlements (1) (2) | (1,299 | ) | ||||||||||
Transfers in (out) of Level 3 | — | |||||||||||
Ending balance | $ | 22,802 | ||||||||||
____________________________________________ | ||||||||||||
(1) | Net changes in the Company’s Net Profits Plan liability are shown in the Change in Net Profits Plan liability line item of the accompanying statements of operations. | |||||||||||
(2) | Settlements represent cash payments made or accrued under the Net Profits Plan. | |||||||||||
Long-term Debt | ||||||||||||
The following table reflects the fair value of the Senior Notes measured using Level 1 inputs based on quoted secondary market trading prices. The Senior Notes were not presented at fair value on the accompanying balance sheets as of March 31, 2015, or December 31, 2014, as they are recorded at historical value. | ||||||||||||
As of March 31, 2015 | As of December 31, 2014 | |||||||||||
(in thousands) | ||||||||||||
2019 Notes | $ | 359,730 | $ | 350,018 | ||||||||
2021 Notes | $ | 357,438 | $ | 343,000 | ||||||||
2022 Notes | $ | 601,878 | $ | 556,500 | ||||||||
2023 Notes | $ | 408,080 | $ | 379,000 | ||||||||
2024 Notes | $ | 472,500 | $ | 435,000 | ||||||||
The carrying value of the Company’s credit facility approximates its fair value, as the applicable interest rates are floating, based on prevailing market rates. | ||||||||||||
Proved and Unproved Oil and Gas Properties | ||||||||||||
Proved oil and gas property costs are evaluated for impairment and reduced to fair value when there is an indication the carrying costs may not be recoverable. The Company uses Level 3 inputs and the income valuation technique, which converts future amounts to a single present value amount, to measure the fair value of proved properties through an application of discount rates and price forecasts selected by the Company’s management. The calculation of the discount rate is based on the best information available and was estimated to be 12 percent as of March 31, 2015, and December 31, 2014. The Company believes the discount rate is representative of current market conditions and takes into account estimates of future cash payments, expectations of possible variations in the amount and/or timing of cash flows, the risk premium, and nonperformance risk. The prices for oil and gas are forecast based on New York Mercantile Exchange (“NYMEX”) strip pricing, adjusted for basis differentials, for the first five years, after which a flat terminal price is used for each commodity stream. The prices for NGLs are forecast using OPIS Mont Belvieu pricing, for as long as the market is actively trading, after which a flat terminal price is used. Future operating costs are also adjusted as deemed appropriate for these estimates. The Company recorded impairment of proved oil and gas properties of $55.5 million for the three months ended March 31, 2015, due to continued declines in commodity strip prices since year-end 2014, and the Company’s decision to reduce capital invested in the development of certain prospects in its South Texas & Gulf Coast and Permian regions. Proved properties measured at fair value within the accompanying balance sheets totaled $49.0 million as of March 31, 2015. As of December 31, 2014, proved oil and gas properties measured at fair value totaled $33.4 million. | ||||||||||||
Proved properties classified as held for sale, including the corresponding asset retirement obligation liability, are valued using a market approach, based on an estimated selling price, as evidenced by the most current bid prices received from third parties, if available. If an estimated selling price is not available, the Company utilizes the income valuation technique discussed above. For the three months ended March 31, 2015, the Company recorded write-downs to fair value less estimated costs to sell of $30.0 million for certain assets held for sale in its Mid-Continent region. Please refer to Note 3 - Assets Held for Sale. | ||||||||||||
Unproved oil and gas property costs are evaluated for impairment and reduced to fair value when there is an indication that the carrying costs may not be recoverable. To measure the fair value of unproved properties, the Company uses a market approach, which takes into account the following significant assumptions: future development plans, risk weighted potential resource recovery, and estimated reserve values. Unproved properties classified as held for sale are valued using a market approach, based on an estimated selling price, as evidenced by the most current bid prices received from third parties. If an estimated selling price is not available, the Company estimates acreage value based on the price received for similar acreage in recent transactions by the Company or other market participants in the principal market. The Company recorded abandonment and impairment of unproved oil and gas properties of $11.6 million for the three months ended March 31, 2015, related to acreage the Company no longer intended to develop. Unproved properties measured at fair value were written down to zero in the accompanying balance sheets as of March 31, 2015. As of December 31, 2014, unproved properties measured at fair value were also written down to zero. | ||||||||||||
The fair value measurements of assets acquired and liabilities assumed are measured on a nonrecurring basis on the acquisition date using an income valuation technique based on inputs that are not observable in the market and therefore represent Level 3 inputs. Significant inputs to the valuation of acquired oil and gas properties include estimates of: (i) reserves; (ii) production rates; (iii) future operating and development costs; (iv) future commodity prices, including price differentials; (v) future cash flows; and (vi) a market participant-based weighted average cost of capital rate. These inputs require significant judgments and estimates by the Company’s management at the time of the valuation. |
Suspended_Well_Costs_Notes
Suspended Well Costs (Notes) | 3 Months Ended |
Mar. 31, 2015 | |
Suspended Well Costs [Abstract] | |
Suspended Well Costs Disclosure [Text Block] | Note 12 - Suspended Well Costs |
During the three-month period ended March 31, 2015, $15.1 million of capitalized exploratory well costs as of December 31, 2014, were charged to expense. These costs were related to a well, for which none of the costs were capitalized for a period greater than one year as of December 31, 2014, or at the time the well was determined to be unsuccessful. |
Basis_of_Presentation_Signific1
Basis of Presentation, Significant Accounting Policies, and Recently Issued Accounting Standards (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Fair value of financial instruments measured on a recurring Basis | Derivatives |
The Company uses Level 2 inputs to measure the fair value of oil, gas, and NGL commodity derivatives. Fair values are based upon interpolated data. The Company derives internal valuation estimates taking into consideration forward commodity price curves, counterparties’ credit ratings, the Company’s credit rating, and the time value of money. These valuations are then compared to the respective counterparties’ mark-to-market statements. The considered factors result in an estimated exit-price that management believes provides a reasonable and consistent methodology for valuing derivative instruments. The derivative instruments utilized by the Company are not considered by management to be complex, structured, or illiquid. The oil, gas, and NGL commodity derivative markets are highly active. | |
Generally, market quotes assume that all counterparties have near zero, or low, default rates and have equal credit quality. However, an adjustment may be necessary to reflect the credit quality of a specific counterparty to determine the fair value of the instrument. The Company monitors the credit ratings of its counterparties and may require counterparties to post collateral if their ratings deteriorate. In some instances, the Company will attempt to novate the trade to a more stable counterparty. | |
Valuation adjustments are necessary to reflect the effect of the Company’s credit quality on the fair value of any derivative liability position. This adjustment takes into account any credit enhancements, such as collateral margin that the Company may have posted with a counterparty, as well as any letters of credit between the parties. The methodology to determine this adjustment is consistent with how the Company evaluates counterparty credit risk, taking into account the Company’s credit rating, current credit facility margins, and any change in such margins since the last measurement date. All of the Company’s derivative counterparties are members of the Company’s credit facility lender group. | |
The methods described above may result in a fair value estimate that may not be indicative of net realizable value or may not be reflective of future fair values and cash flows. While the Company believes that the valuation methods utilized are appropriate and consistent with authoritative accounting guidance and with other marketplace participants, the Company recognizes that third parties may use different methodologies or assumptions to determine the fair value of certain financial instruments that could result in a different estimate of fair value at the reporting date. | |
Refer to Note 10 - Derivative Financial Instruments for more information regarding the Company’s derivative instruments. |
Income_Taxes_Tables
Income Taxes (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Schedule of provision for income taxes | The provision for income taxes consists of the following: | |||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands) | ||||||||
Current portion of income tax expense: | ||||||||
Federal | $ | — | $ | — | ||||
State | 274 | 489 | ||||||
Deferred portion of income tax (benefit) expense | (33,727 | ) | 38,374 | |||||
Total income tax (benefit) expense | $ | (33,453 | ) | $ | 38,863 | |||
38.7 | % | 37.2 | % | |||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Schedule of Line of Credit Facilities [Table Text Block] | The following table presents the outstanding balance, total amount of letters of credit, and available borrowing capacity under the Company’s credit facility as of April 29, 2015, March 31, 2015, and December 31, 2014: | |||||||||||
As of April 29, 2015 | As of March 31, 2015 | As of December 31, 2014 | ||||||||||
(in thousands) | ||||||||||||
Credit facility balance | $ | 502,500 | $ | 416,500 | $ | 166,000 | ||||||
Letters of credit (1) | $ | 808 | $ | 808 | $ | 808 | ||||||
Available borrowing capacity | $ | 996,692 | $ | 1,082,692 | $ | 1,333,192 | ||||||
____________________________________________ | ||||||||||||
(1) Letters of credit reduce the amount available under the credit facility on a dollar-for-dollar basis. | ||||||||||||
Schedule of Long-term Debt Instruments [Table Text Block] | The Senior Notes line on the accompanying balance sheets represents the outstanding principal amount of the 6.625% Senior Notes due 2019 (the “2019 Notes”), the 6.50% Senior Notes due 2021 (the “2021 Notes”), the 6.125% Senior Notes due 2022 (the “2022 Notes”), the 6.50% Senior Notes due 2023 (the “2023 Notes”), and the 5.0% Senior Notes due 2024 (the “2024 Notes” and collectively with the 2019 Notes, 2021 Notes, 2022 Notes, and 2023 Notes, the “Senior Notes”), as shown in the table below: | |||||||||||
As of March 31, 2015 | As of December 31, 2014 | |||||||||||
(in thousands) | ||||||||||||
2019 Notes | $ | 350,000 | $ | 350,000 | ||||||||
2021 Notes | 350,000 | 350,000 | ||||||||||
2022 Notes | 600,000 | 600,000 | ||||||||||
2023 Notes | 400,000 | 400,000 | ||||||||||
2024 Notes | 500,000 | 500,000 | ||||||||||
Total Senior Notes | $ | 2,200,000 | $ | 2,200,000 | ||||||||
Pension_Benefits_Tables
Pension Benefits (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||
Components of the net periodic benefit cost for both the Qualified and the Nonqualified Pension Plan | The following table presents the components of the net periodic benefit cost for the Pension Plans: | |||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands) | ||||||||
Service cost | $ | 1,584 | $ | 1,573 | ||||
Interest cost | 548 | 407 | ||||||
Expected return on plan assets that reduces periodic pension costs | (494 | ) | (385 | ) | ||||
Amortization of prior service costs | 4 | 4 | ||||||
Amortization of net actuarial loss | 172 | 306 | ||||||
Net periodic benefit cost | $ | 1,814 | $ | 1,905 | ||||
Earnings_per_Share_Tables
Earnings per Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Schedule of calculation of basic and diluted earnings per share | The following table sets forth the calculations of basic and diluted earnings per share: | |||||||
For the Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
(in thousands, except per share amounts) | ||||||||
Net income (loss) | $ | (53,058 | ) | $ | 65,607 | |||
Basic weighted-average common shares outstanding | 67,463 | 67,056 | ||||||
Add: dilutive effect of stock options, unvested RSUs, and contingent PSUs | — | 1,070 | ||||||
Diluted weighted-average common shares outstanding | 67,463 | 68,126 | ||||||
Basic net income (loss) per common share | $ | (0.79 | ) | $ | 0.98 | |||
Diluted net income (loss) per common share | $ | (0.79 | ) | $ | 0.96 | |||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The following tables summarize the approximate volumes and average contract prices of contracts the Company had in place as of March 31, 2015: | ||||||||||||||||
Oil Contracts | |||||||||||||||||
Oil Swaps | |||||||||||||||||
Contract Period | NYMEX WTI Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(Bbls) | (per Bbl) | ||||||||||||||||
Second quarter 2015 | 1,639,000 | $ | 91.26 | ||||||||||||||
Third quarter 2015 | 1,254,000 | $ | 90.78 | ||||||||||||||
Fourth quarter 2015 | 1,137,000 | $ | 90.15 | ||||||||||||||
2016 | 5,570,000 | $ | 88.01 | ||||||||||||||
All oil swaps | 9,600,000 | ||||||||||||||||
Oil Collars | |||||||||||||||||
Contract Period | NYMEX WTI | Weighted- | Weighted- | ||||||||||||||
Volumes | Average Floor | Average Ceiling | |||||||||||||||
Price | Price | ||||||||||||||||
(Bbls) | (per Bbl) | (per Bbl) | |||||||||||||||
Second quarter 2015 | 709,000 | $ | 85 | $ | 94.06 | ||||||||||||
Third quarter 2015 | 906,000 | $ | 85 | $ | 91.25 | ||||||||||||
Fourth quarter 2015 | 869,000 | $ | 85 | $ | 92.19 | ||||||||||||
All oil collars | 2,484,000 | ||||||||||||||||
Gas Contracts | |||||||||||||||||
Gas Swaps | |||||||||||||||||
Contract Period | Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(MMBtu) | (per MMBtu) | ||||||||||||||||
Second quarter 2015 | 15,985,000 | $ | 3.9 | ||||||||||||||
Third quarter 2015 | 14,950,000 | $ | 4.03 | ||||||||||||||
Fourth quarter 2015 | 13,570,000 | $ | 4.02 | ||||||||||||||
2016 | 48,896,000 | $ | 4.12 | ||||||||||||||
2017 | 37,414,000 | $ | 4.16 | ||||||||||||||
2018 | 35,241,000 | $ | 4.21 | ||||||||||||||
2019 | 28,159,000 | $ | 4.28 | ||||||||||||||
All gas swaps* | 194,215,000 | ||||||||||||||||
*Gas swaps are comprised of IF El Paso Permian (2%), IF HSC (83%), IF NGPL TXOK (1%), IF NNG Ventura (3%), and IF Enable East (11%). | |||||||||||||||||
Gas Collars | |||||||||||||||||
Contract Period | Volumes | Weighted- | Weighted- | ||||||||||||||
Average Floor | Average Ceiling | ||||||||||||||||
Price | Price | ||||||||||||||||
(MMBtu) | (per MMBtu) | (per MMBtu) | |||||||||||||||
Second quarter 2015 | 2,297,000 | $ | 4 | $ | 4.3 | ||||||||||||
Third quarter 2015 | 2,005,000 | $ | 4 | $ | 4.3 | ||||||||||||
Fourth quarter 2015 | 6,176,000 | $ | 3.97 | $ | 4.3 | ||||||||||||
All gas collars* | 10,478,000 | ||||||||||||||||
*Gas collars are comprised of IF El Paso Permian (4%), IF HSC (79%), IF NNG Ventura (7%), and IF Enable East (10%). | |||||||||||||||||
NGL Contracts | |||||||||||||||||
NGL Swaps | |||||||||||||||||
Contract Period | OPIS Purity Ethane Mt Belv. Volumes | Weighted-Average | |||||||||||||||
Contract Price | |||||||||||||||||
(Bbls) | (per Bbl) | ||||||||||||||||
2016 | 710,000 | $ | 9.12 | ||||||||||||||
2017 | 542,000 | $ | 10.13 | ||||||||||||||
2018 | 210,000 | $ | 10.74 | ||||||||||||||
All NGL swaps | 1,462,000 | ||||||||||||||||
Schedule of fair value of derivatives in accompanying balance sheets | The following tables detail the fair value of derivatives recorded in the accompanying balance sheets, by category: | ||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Classification | Classification | ||||||||||||||||
(in thousands) | |||||||||||||||||
Commodity contracts | Current assets | $ | 380,633 | Current liabilities | $ | — | |||||||||||
Commodity contracts | Noncurrent assets | 204,841 | Noncurrent liabilities | 398 | |||||||||||||
Derivatives not designated as hedging instruments | $ | 585,474 | $ | 398 | |||||||||||||
As of December 31, 2014 | |||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
Balance Sheet | Fair Value | Balance Sheet | Fair Value | ||||||||||||||
Classification | Classification | ||||||||||||||||
(in thousands) | |||||||||||||||||
Commodity contracts | Current assets | $ | 402,668 | Current liabilities | $ | — | |||||||||||
Commodity contracts | Noncurrent assets | 189,540 | Noncurrent liabilities | 70 | |||||||||||||
Derivatives not designated as hedging instruments | $ | 592,208 | $ | 70 | |||||||||||||
Schedule of the potential effects of master netting arrangements [Table Text Block] | The following table provides a reconciliation between the gross assets and liabilities reflected on the accompanying balance sheets and the potential effects of master netting arrangements on the fair value of the Company’s derivative contracts: | ||||||||||||||||
Derivative Assets | Derivative Liabilities | ||||||||||||||||
As of | As of | ||||||||||||||||
Offsetting of Derivative Assets and Liabilities | March 31, 2015 | December 31, 2014 | March 31, 2015 | December 31, 2014 | |||||||||||||
(in thousands) | |||||||||||||||||
Gross amounts presented in the accompanying balance sheets | $ | 585,474 | $ | 592,208 | $ | (398 | ) | $ | (70 | ) | |||||||
Amounts not offset in the accompanying balance sheets | (398 | ) | (70 | ) | 398 | 70 | |||||||||||
Net amounts | $ | 585,076 | $ | 592,138 | $ | — | $ | — | |||||||||
Schedule of derivative (gain) loss | The following table summarizes the components of the derivative (gain) loss presented in the accompanying statements of operations: | ||||||||||||||||
For the Three Months Ended March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Derivative settlement (gain) loss: | |||||||||||||||||
Oil contracts | $ | (106,214 | ) | $ | 6,758 | ||||||||||||
Gas contracts | (34,232 | ) | 13,404 | ||||||||||||||
NGL contracts | (20,783 | ) | 8,778 | ||||||||||||||
Total derivative settlement (gain) loss (1) | $ | (161,229 | ) | $ | 28,940 | ||||||||||||
Total derivative (gain) loss: | |||||||||||||||||
Oil contracts | $ | (73,860 | ) | $ | 31,950 | ||||||||||||
Gas contracts | (82,339 | ) | 59,461 | ||||||||||||||
NGL contracts | 2,032 | 6,251 | |||||||||||||||
Total derivative (gain) loss (2) | $ | (154,167 | ) | $ | 97,662 | ||||||||||||
____________________________________________ | |||||||||||||||||
(1) | Total derivative settlement (gain) loss is reported net of the change in accrued settlements between periods in the derivative cash settlements line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. | ||||||||||||||||
(2) | Total derivative (gain) loss is reported in the derivative (gain) loss line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||||||
Fair Value Measurements, Recurring and Nonrecurring [Table Text Block] | The following table is a listing of the Company’s assets and liabilities that are measured at fair value and where they are classified within the fair value hierarchy as of March 31, 2015: | |||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||
(in thousands) | ||||||||||||
Assets: | ||||||||||||
Derivatives (1) | $ | — | $ | 585,474 | $ | — | ||||||
Proved oil and gas properties (2) | $ | — | $ | — | $ | 48,969 | ||||||
Oil, gas, and other property and equipment held for sale (2) | $ | — | $ | — | $ | 58,779 | ||||||
Liabilities: | ||||||||||||
Derivatives (1) | $ | — | $ | 398 | $ | — | ||||||
Net Profits Plan (1) | $ | — | $ | — | $ | 22,802 | ||||||
Asset retirement obligation associated with oil and gas properties held for sale (2) | $ | — | $ | — | $ | 9,509 | ||||||
____________________________________________ | ||||||||||||
(1) This represents a financial asset or liability that is measured at fair value on a recurring basis. | ||||||||||||
(2) This represents a non-financial asset or liability that is measured at fair value on a nonrecurring basis. | ||||||||||||
The following is a listing of the Company’s assets and liabilities that are measured at fair value and where they were classified within the hierarchy as of December 31, 2014: | ||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||
(in thousands) | ||||||||||||
Assets: | ||||||||||||
Derivatives (1) | $ | — | $ | 592,208 | $ | — | ||||||
Proved oil and gas properties (2) | $ | — | $ | — | $ | 33,423 | ||||||
Oil, gas, and other property and equipment held for sale (2) | $ | — | $ | — | $ | 17,891 | ||||||
Liabilities: | ||||||||||||
Derivatives (1) | $ | — | $ | 70 | $ | — | ||||||
Net Profits Plan (1) | $ | — | $ | — | $ | 27,136 | ||||||
____________________________________________ | ||||||||||||
(1) This represents a financial asset or liability that is measured at fair value on a recurring basis. | ||||||||||||
(2) This represents a non-financial asset that is measured at fair value on a nonrecurring basis. | ||||||||||||
Both financial and non-financial assets and liabilities are categorized within the above fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The following is a description of the valuation methodologies used by the Company as well as the general classification of such instruments pursuant to the above fair value hierarchy. | ||||||||||||
Net Profit Plan liability [Member] | ||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following table reflects the activity for the Company’s Net Profits Plan liability measured at fair value using Level 3 inputs: | |||||||||||
For the Three Months Ended March 31, 2015 | ||||||||||||
(in thousands) | ||||||||||||
Beginning balance | $ | 27,136 | ||||||||||
Net decrease in liability (1) | (3,035 | ) | ||||||||||
Net settlements (1) (2) | (1,299 | ) | ||||||||||
Transfers in (out) of Level 3 | — | |||||||||||
Ending balance | $ | 22,802 | ||||||||||
____________________________________________ | ||||||||||||
(1) | Net changes in the Company’s Net Profits Plan liability are shown in the Change in Net Profits Plan liability line item of the accompanying statements of operations. | |||||||||||
(2) | Settlements represent cash payments made or accrued under the Net Profits Plan. | |||||||||||
Senior Notes [Member] | ||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | The following table reflects the fair value of the Senior Notes measured using Level 1 inputs based on quoted secondary market trading prices. The Senior Notes were not presented at fair value on the accompanying balance sheets as of March 31, 2015, or December 31, 2014, as they are recorded at historical value. | |||||||||||
As of March 31, 2015 | As of December 31, 2014 | |||||||||||
(in thousands) | ||||||||||||
2019 Notes | $ | 359,730 | $ | 350,018 | ||||||||
2021 Notes | $ | 357,438 | $ | 343,000 | ||||||||
2022 Notes | $ | 601,878 | $ | 556,500 | ||||||||
2023 Notes | $ | 408,080 | $ | 379,000 | ||||||||
2024 Notes | $ | 472,500 | $ | 435,000 | ||||||||
Acquisitions_Divestitures_and_1
Acquisitions, Divestitures, and Assets Held for Sale (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Business Acquisition [Line Items] | |||
Proved Oil and Gas Property, Successful Effort Method | $7,006,832,000 | $7,348,436,000 | |
Unproved Oil and Gas Property, Successful Effort Method | 512,461,000 | 532,498,000 | |
Asset Retirement Obligations, Noncurrent | 14,286,000 | 438,000 | |
Proceeds from Sale of Oil and Gas Property and Equipment | 21,573,000 | 1,979,000 | |
Assets Held-for-sale Reasonably Certain Period for Sale | 1 | ||
Document Period End Date | 31-Mar-15 | ||
Disposal Group, Including Discontinued Operation, Long Lived Assets, Current | 184,951,000 | 17,891,000 | |
Mid Continent Divestiture 2015 [Member] | |||
Business Acquisition [Line Items] | |||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | 30,000,000 | ||
Significant Acquisitions and Disposals, Acquisition Costs or Sale Proceeds | 324,000,000 | ||
Total Expected Exit and Disposal Costs | 10,000,000 | ||
Business Exit Costs | $3,500,000 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Components of the provision for income taxes | ||
Federal | $0 | $0 |
State | 274 | 489 |
Deferred portion of income tax expense | -33,727 | 38,374 |
Income tax expense | ($33,453) | $38,863 |
Effective tax rate | 38.70% | 37.20% |
Income_Taxes_Narrative_Details
Income Taxes Narrative (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Income Tax Narrative [Abstract] | |
Tax Credit Recorded for IRS R&D Settlement | $2 |
LongTerm_Debt_Details
Long-Term Debt (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | ||
Senior Notes | $2,200,000,000 | $2,200,000,000 |
Document Period End Date | 31-Mar-15 | |
Revolving Credit Facility [Member] | Line of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Line of Credit Facility, Maximum Borrowing Capacity | 2,500,000,000 | |
Line of Credit Facility, Current Borrowing Capacity | 1,500,000,000 | |
Percentage of Proved Property Secured for Credit Facility Borrowing | 75.00% | |
Line of Credit, Covenant Compliance, Maximum Annual Dividend Payment | 50,000,000 | |
Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
6.625% Senior Notes, Due 2019 | 350,000,000 | 350,000,000 |
6.50% Senior Notes, Due 2021 | 350,000,000 | 350,000,000 |
6.125% Senior Notes, Due 2022 | 600,000,000 | 600,000,000 |
6.50% Senior Notes, Due 2023 | 400,000,000 | 400,000,000 |
5% Senior Notes, Due 2024 | 500,000,000 | 500,000,000 |
Senior Notes | 2,200,000,000 | 2,200,000,000 |
Debt Instrument, Covenant Compliance, Dividends Excluded From Computation | $6,500,000 | |
Senior Notes [Member] | 6.625% Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.63% | |
Senior Notes [Member] | 6.50% Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.50% | |
Senior Notes [Member] | 6.125% Senior Notes Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.13% | |
Senior Notes [Member] | 6.50% Senior Notes Due 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.50% | |
Senior Notes [Member] | 5% Senior Notes Due 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.00% |
LongTerm_Debt_Credit_Facility_
Long-Term Debt Credit Facility Available Borrowing Capacity (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Apr. 29, 2015 | Apr. 06, 2015 | |||
Line of Credit Facility [Line Items] | |||||||
Line of Credit Facility, Amount Outstanding | $416,500,000 | $166,000,000 | |||||
Revolving Credit Facility [Member] | Line of Credit [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Line of Credit Facility, Current Borrowing Capacity | 1,500,000,000 | ||||||
Line of Credit Facility, Amount Outstanding | 416,500,000 | 166,000,000 | |||||
Letters of Credit Outstanding, Amount | 808,000 | [1] | 808,000 | [1] | |||
Line of Credit Facility, Remaining Borrowing Capacity | 1,082,692,000 | 1,333,192,000 | |||||
Subsequent Event [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Line of Credit Facility, Amount Outstanding | 502,500,000 | ||||||
Letters of Credit Outstanding, Amount | 808,000 | [1] | |||||
Line of Credit Facility, Remaining Borrowing Capacity | 996,692,000 | ||||||
Borrowing Base, Line of Credit | $2,400,000,000 | ||||||
[1] | (1) Letters of credit reduce the amount available under the credit facility on a dollar-for-dollar basis. |
Compensation_Plans_Details
Compensation Plans (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $6,024,000 | $6,344,000 |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Shares Represented by Each RSU | 1 | |
Unrecognized stock based compensation expense | 19,300,000 | |
Stock-based compensation expense | 2,900,000 | 2,800,000 |
Performance Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation, Awards Other Than Options, Performance Measurement Period | 3 | |
Unrecognized stock based compensation expense | 18,100,000 | |
Stock-based compensation expense | $2,300,000 | $3,200,000 |
Performance Shares [Member] | Minimum PSU Multiplier [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Low End of Range | 0.00% | |
Performance Shares [Member] | Maximum PSU Multiplier [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Low End of Range | 200.00% |
Compensation_Plans_Non_Stockba
Compensation Plans Non Stock-based Compensation (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Document Period End Date | 31-Mar-15 | |
Net Profits Plan [Member] | ||
Total Cash Payments, Made or Accrued under Profit Sharing Plan | $1.30 | $3.30 |
Pension_Benefits_Details
Pension Benefits (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Components of Net Periodic Benefit Costs for Both Pension Plans | ||
Service cost | $1,584 | $1,573 |
Interest cost | 548 | 407 |
Expected return on plan assets that reduces periodic pension costs | -494 | -385 |
Amortization of prior service costs | 4 | 4 |
Amortization of net actuarial loss | 172 | 306 |
Net periodic benefit cost | $1,814 | $1,905 |
Percentage in excess of the greater of the benefit obligation or the market-related value of assets, gain and losses amortized (as a percent) | 10.00% |
Earnings_per_Share_Details
Earnings per Share (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings per share | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 452,000 | |
Calculation of basic and diluted earnings per share | ||
Net income (loss) | ($53,058) | $65,607 |
Basic weighted-average common shares outstanding | 67,463,000 | 67,056,000 |
Add: dilutive effect of stock options, unvested RSU's, and contingent PSU's | 0 | 1,070,000 |
Diluted weighted-average common shares outstanding | 67,463,000 | 68,126,000 |
Basic net income (loss) per common share | ($0.79) | $0.98 |
Diluted net income (loss) per common share | ($0.79) | $0.96 |
Performance Shares [Member] | ||
Earnings per share | ||
Performance period to receive awards (in years) | 3 | |
Minimum PSU Multiplier [Member] | Performance Shares [Member] | ||
Earnings per share | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 0.00% | |
Maximum PSU Multiplier [Member] | Performance Shares [Member] | ||
Earnings per share | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 200.00% |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Details) | Mar. 31, 2015 | Apr. 29, 2015 |
bbl | bbl | |
Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 12,100,000 | |
Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 204,700,000 | |
IF El Paso Permian [Member] | ||
Derivative Financial Instruments | ||
Index percent of natural gas fixed swaps | 2.00% | |
Index percent of natural gas collars | 4.00% | |
IF HSC [Member] | ||
Derivative Financial Instruments | ||
Index percent of natural gas fixed swaps | 83.00% | |
Index percent of natural gas collars | 79.00% | |
IF NGPL TXOK [Member] | ||
Derivative Financial Instruments | ||
Index percent of natural gas fixed swaps | 1.00% | |
IF NNG Ventura [Member] | ||
Derivative Financial Instruments | ||
Index percent of natural gas fixed swaps | 3.00% | |
Index percent of natural gas collars | 7.00% | |
IF Enable East [Member] | ||
Derivative Financial Instruments | ||
Index percent of natural gas fixed swaps | 11.00% | |
Index percent of natural gas collars | 10.00% | |
Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 1,500,000 | |
Swap | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 9,600,000 | |
Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 194,215,000 | |
Swap | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 1,462,000 | |
Collar [Member] | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 2,484,000 | |
Collar [Member] | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 10,478,000 | |
Second Quarter Current Year [Member] | Swap | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 1,639,000 | |
Weighted-Average Contract Price | 91.26 | |
Second Quarter Current Year [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 15,985,000 | |
Weighted-Average Contract Price | 3.9 | |
Second Quarter Current Year [Member] | Collar [Member] | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 709,000 | |
Weighted-Average Floor Price | 85 | |
Weighted-Average Ceiling Price | 94.06 | |
Second Quarter Current Year [Member] | Collar [Member] | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 2,297,000 | |
Weighted-Average Floor Price | 4 | |
Weighted-Average Ceiling Price | 4.3 | |
Third Quarter Current Year [Member] | Swap | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 1,254,000 | |
Weighted-Average Contract Price | 90.78 | |
Third Quarter Current Year [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 14,950,000 | |
Weighted-Average Contract Price | 4.03 | |
Third Quarter Current Year [Member] | Collar [Member] | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 906,000 | |
Weighted-Average Floor Price | 85 | |
Weighted-Average Ceiling Price | 91.25 | |
Third Quarter Current Year [Member] | Collar [Member] | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 2,005,000 | |
Weighted-Average Floor Price | 4 | |
Weighted-Average Ceiling Price | 4.3 | |
Fourth Quarter Current Year [Member] | Swap | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 1,137,000 | |
Weighted-Average Contract Price | 90.15 | |
Fourth Quarter Current Year [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 13,570,000 | |
Weighted-Average Contract Price | 4.02 | |
Fourth Quarter Current Year [Member] | Collar [Member] | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 869,000 | |
Weighted-Average Floor Price | 85 | |
Weighted-Average Ceiling Price | 92.19 | |
Fourth Quarter Current Year [Member] | Collar [Member] | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 6,176,000 | |
Weighted-Average Floor Price | 3.97 | |
Weighted-Average Ceiling Price | 4.3 | |
2016 [Member] | Swap | Crude oil | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 5,570,000 | |
Weighted-Average Contract Price | 88.01 | |
2016 [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 48,896,000 | |
Weighted-Average Contract Price | 4.12 | |
2016 [Member] | Swap | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 710,000 | |
Weighted-Average Contract Price | 9.12 | |
2017 [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 37,414,000 | |
Weighted-Average Contract Price | 4.16 | |
2017 [Member] | Swap | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 542,000 | |
Weighted-Average Contract Price | 10.13 | |
2018 [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 35,241,000 | |
Weighted-Average Contract Price | 4.21 | |
2018 [Member] | Swap | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 210,000 | |
Weighted-Average Contract Price | 10.74 | |
2019 [Member] | Swap | Natural Gas [Member] | ||
Derivative Financial Instruments | ||
Portion of Gas Production Being Hedged | 28,159,000 | |
Weighted-Average Contract Price | 4.28 | |
Subsequent Event [Member] | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Portion of Future Oil and Gas Production Being Hedged | 387,000 | |
Maximum [Member] | Subsequent Event [Member] | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Derivative, Swap Type, Fixed Price | 10.19 | |
Minimum [Member] | Subsequent Event [Member] | Natural Gas Liquids | ||
Derivative Financial Instruments | ||
Derivative, Swap Type, Fixed Price | 9.66 | |
Line of Credit [Member] | Revolving Credit Facility [Member] | ||
Derivative Financial Instruments | ||
Percentage of Proved Property Secured for Credit Facility Borrowing | 75.00% |
Derivative_Financial_Instrumen3
Derivative Financial Instruments Fair Value (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
Fair value of derivative assets and liabilities | ||||
Price Risk Derivatives, at Fair Value, Net | $585,100,000 | $592,100,000 | ||
Derivative asset current | 380,633,000 | 402,668,000 | ||
Derivative asset noncurrent | 204,841,000 | 189,540,000 | ||
Derivative assets not designated as hedging instruments | 585,474,000 | 592,208,000 | ||
Derivatives liability noncurrent | 398,000 | 70,000 | ||
Derivative Liability, Fair Value, Gross Liability | -398,000 | -70,000 | ||
Derivatives not designated as hedging instruments | ||||
Fair value of derivative assets and liabilities | ||||
Derivative asset current | 380,633,000 | 402,668,000 | ||
Derivative asset noncurrent | 204,841,000 | 189,540,000 | ||
Derivative liability current | 0 | 0 | ||
Derivatives liability noncurrent | 398,000 | 70,000 | ||
Level 2 | Derivatives not designated as hedging instruments | Fair Value, Measurements, Recurring [Member] | ||||
Fair value of derivative assets and liabilities | ||||
Derivative assets not designated as hedging instruments | 585,474,000 | [1] | 592,208,000 | [1] |
Derivative Liability, Fair Value, Gross Liability | $398,000 | [1] | $70,000 | [1] |
[1] | This represents a financial asset or liability that is measured at fair value on a recurring basis. |
Derivative_Financial_Instrumen4
Derivative Financial Instruments Gains and Losses (Details) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Gain and loss from derivative cash settlements and changes in fair value of derivative contracts | ||||
Derivative Settlement (Gain) Loss | ($161,229) | [1] | $28,940 | [1] |
Derivative Instruments Not Designated as Hedging Instruments, (Gain) Loss, Net | -154,167 | [2] | 97,662 | [2] |
Crude oil | ||||
Gain and loss from derivative cash settlements and changes in fair value of derivative contracts | ||||
Derivative Settlement (Gain) Loss | -106,214 | 6,758 | ||
Derivative Instruments Not Designated as Hedging Instruments, (Gain) Loss, Net | -73,860 | 31,950 | ||
Natural Gas | ||||
Gain and loss from derivative cash settlements and changes in fair value of derivative contracts | ||||
Derivative Settlement (Gain) Loss | -34,232 | 13,404 | ||
Derivative Instruments Not Designated as Hedging Instruments, (Gain) Loss, Net | -82,339 | 59,461 | ||
Natural Gas Liquids | ||||
Gain and loss from derivative cash settlements and changes in fair value of derivative contracts | ||||
Derivative Settlement (Gain) Loss | -20,783 | 8,778 | ||
Derivative Instruments Not Designated as Hedging Instruments, (Gain) Loss, Net | $2,032 | $6,251 | ||
[1] | (1)B Total derivative settlement (gain) loss is reported net of the change in accrued settlements between periods in the derivative cash settlements line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. | |||
[2] | (2)B Total derivative (gain) loss is reported in the derivative (gain) loss line item on the condensed consolidated statements of cash flows within net cash provided by operating activities. |
Derivative_Financial_Instrumen5
Derivative Financial Instruments Offsetting of Derivative Assets and Liabilities (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Offsetting of Derivative Assets and Liabilities [Abstract] | ||
Derivative Asset, Fair Value, Gross Asset | $585,474 | $592,208 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | -398 | -70 |
Derivative Asset, Fair Value, Amount Offset Against Collateral | 585,076 | 592,138 |
Derivative Liability, Fair Value, Gross Liability | -398 | -70 |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 398 | 70 |
Derivative Liability, Fair Value, Amount Offset Against Collateral | $0 | $0 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Thousands, unless otherwise specified | ||||
Assets: | ||||
Derivative assets not designated as hedging instruments | $585,474 | $592,208 | ||
Proved Oil and Gas Property, Successful Effort Method | 7,006,832 | 7,348,436 | ||
Disposal Group, Including Discontinued Operation, Long Lived Assets, Current | 184,951 | 17,891 | ||
Liabilities: | ||||
Derivatives | -398 | -70 | ||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 22,802 | 27,136 | ||
Asset Retirement Obligations, Noncurrent | 14,286 | 438 | ||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Assets: | ||||
Proved Oil and Gas Property, Successful Effort Method | 0 | [1] | 0 | [2] |
Disposal Group, Including Discontinued Operation, Long Lived Assets, Current | 0 | [1] | 0 | [2] |
Liabilities: | ||||
Asset Retirement Obligations, Noncurrent | 0 | [1] | ||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Assets: | ||||
Proved Oil and Gas Property, Successful Effort Method | 0 | [1] | 0 | [2] |
Disposal Group, Including Discontinued Operation, Long Lived Assets, Current | 0 | [1] | 0 | [2] |
Liabilities: | ||||
Asset Retirement Obligations, Noncurrent | 0 | [1] | ||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Assets: | ||||
Proved Oil and Gas Property, Successful Effort Method | 48,969 | [1] | 33,423 | [2] |
Disposal Group, Including Discontinued Operation, Long Lived Assets, Current | 58,779 | [1] | 17,891 | [2] |
Liabilities: | ||||
Asset Retirement Obligations, Noncurrent | 9,509 | [1] | ||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Liabilities: | ||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 0 | [3] | 0 | [3] |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Liabilities: | ||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 0 | [3] | 0 | [3] |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Liabilities: | ||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 22,802 | [3] | 27,136 | [3] |
Derivatives not designated as hedging instruments | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Assets: | ||||
Derivative assets not designated as hedging instruments | 0 | [3] | 0 | [3] |
Liabilities: | ||||
Derivatives | 0 | [3] | 0 | [3] |
Derivatives not designated as hedging instruments | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Assets: | ||||
Derivative assets not designated as hedging instruments | 585,474 | [3] | 592,208 | [3] |
Liabilities: | ||||
Derivatives | 398 | [3] | 70 | [3] |
Derivatives not designated as hedging instruments | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Assets: | ||||
Derivative assets not designated as hedging instruments | 0 | [3] | 0 | [3] |
Liabilities: | ||||
Derivatives | $0 | [3] | $0 | [3] |
[1] | This represents a non-financial asset or liability that is measured at fair value on a nonrecurring basis. | |||
[2] | This represents a non-financial asset that is measured at fair value on a nonrecurring basis. | |||
[3] | This represents a financial asset or liability that is measured at fair value on a recurring basis. |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements Fair Value Measurement (Details 2) (USD $) | 3 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |||
A | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Derivative Asset, Fair Value, Gross Asset | $585,474,000 | $592,208,000 | |||
Net Profits Plan | |||||
Number of Periods Used for Price Assumptions of Strip Prices of Liabilities | 5 | ||||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | |||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 27,136,000 | ||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 22,802,000 | ||||
Proved and Unproved Oil and Gas Properties | |||||
Discount Rate Used for Fair Value of Oil and Gas Properties | 12.00% | ||||
Number of Periods Used for Price Assumptions of Strip Prices of Liabilities | 5 | ||||
Impairment of Oil and Gas Properties | 55,526,000 | 0 | |||
Abandonment and impairment of unproved properties | 11,627,000 | 2,801,000 | |||
Proved Oil and Gas Property, Successful Effort Method | 7,006,832,000 | 7,348,436,000 | |||
Unproved Oil and Gas Property, Successful Effort Method | 512,461,000 | 532,498,000 | |||
Net Profit Plan liability [Member] | |||||
Net Profits Plan | |||||
Discount Rate Used to Calculate Currently in Payout Liabilities | 12.00% | ||||
Number of Periods Used for Price Assumptions of Strip Prices of Liabilities | 5 | ||||
Period Used for Price Assumptions of Strip Prices of Liabilities | 1 | ||||
Percent Change in Commodity Prices for Sensitivity Analysis | 5.00% | ||||
Sensitivity Analysis Change in Liability, Due to Change in Commodity Prices | 2,000,000 | ||||
Percent Change in Discount Rate for Sensitivity Analysis | 1.00% | ||||
Sensitivity Analysis Decrease in Liability Due to Change in Discount Rate | 1,000,000 | ||||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | |||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 27,136,000 | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Period Increase (Decrease) | -3,035,000 | [1] | |||
Net settlements | -1,299,000 | [1],[2] | |||
Transfers in (out) of Level 3 | 0 | ||||
Deferred Compensation Cash-based Arrangements, Liability, Classified, Noncurrent | 22,802,000 | ||||
Proved and Unproved Oil and Gas Properties | |||||
Number of Periods Used for Price Assumptions of Strip Prices of Liabilities | 5 | ||||
6.625% Senior Notes Due 2019 [Member] | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Long-term Debt, Fair Value | 359,730,000 | 350,018,000 | |||
6.50% Senior Notes Due 2021 [Member] | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Long-term Debt, Fair Value | 357,438,000 | 343,000,000 | |||
6.125% Senior Notes Due 2022 [Member] | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Long-term Debt, Fair Value | 601,878,000 | 556,500,000 | |||
6.50% Senior Notes Due 2023 [Member] | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Long-term Debt, Fair Value | 408,080,000 | 379,000,000 | |||
5.0% Senior Notes Due 2024 [Member] | |||||
Liabiliity measured at fair value using Level 3 inputs | |||||
Long-term Debt, Fair Value | 472,500,000 | 435,000,000 | |||
Mid Continent Divestiture 2015 [Member] | |||||
Proved and Unproved Oil and Gas Properties | |||||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | 30,000,000 | ||||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | |||||
Proved and Unproved Oil and Gas Properties | |||||
Proved Oil and Gas Property, Successful Effort Method | 48,969,000 | [3] | 33,423,000 | [4] | |
Unproved Oil and Gas Property, Successful Effort Method | $0 | $0 | |||
[1] | Net changes in the Companybs Net Profits Plan liability are shown in the Change in Net Profits Plan liability line item of the accompanying statements of operations | ||||
[2] | Settlements represent cash payments made or accrued under the Net Profits Plan. | ||||
[3] | This represents a non-financial asset or liability that is measured at fair value on a nonrecurring basis. | ||||
[4] | This represents a non-financial asset that is measured at fair value on a nonrecurring basis. |
Suspended_Well_Costs_Details
Suspended Well Costs (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Suspended Well Costs [Abstract] | |
Capitalized Exploratory Well Cost, Charged to Expense | $15.10 |