Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 05, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'SGY | ' |
Entity Registrant Name | 'STONE ENERGY CORP | ' |
Entity Central Index Key | '0000904080 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 56,181,661 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEET (USD $) | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||||||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | $333,886 | ' | $331,224 | $226,372 | ' | $279,526 | ||
Accounts receivable | 197,495 | ' | 171,971 | ' | ' | ' | ||
Fair value of derivative contracts | ' | ' | 4,549 | ' | ' | ' | ||
Current income tax receivable | 7,372 | ' | 7,366 | ' | ' | ' | ||
Deferred taxes | 36,308 | [1] | ' | 31,710 | [1] | ' | ' | ' |
Inventory | 3,723 | ' | 3,723 | ' | ' | ' | ||
Other current assets | 1,955 | ' | 1,874 | ' | ' | ' | ||
Total current assets | 580,739 | ' | 552,417 | ' | ' | ' | ||
Oil and gas properties, full cost method of accounting: | ' | ' | ' | ' | ' | ' | ||
Proved | 8,520,195 | ' | 7,804,117 | ' | ' | ' | ||
Less: accumulated depreciation, depletion and amortization | -6,144,815 | ' | -5,908,760 | ' | ' | ' | ||
Net proved oil and gas properties | 2,375,380 | ' | 1,895,357 | ' | ' | ' | ||
Unevaluated | 554,201 | ' | 724,339 | ' | ' | ' | ||
Other property and equipment, net | 28,302 | ' | 26,178 | ' | ' | ' | ||
Fair value of derivative contracts | 415 | ' | 1,378 | ' | ' | ' | ||
Other assets, net | 43,015 | ' | 48,887 | ' | ' | ' | ||
Total assets | 3,582,052 | ' | 3,248,556 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | 193,900 | ' | 195,677 | ' | ' | ' | ||
Undistributed oil and gas proceeds | 62,927 | ' | 37,029 | ' | ' | ' | ||
Accrued interest | 9,025 | ' | 9,022 | ' | ' | ' | ||
Fair value of derivative contracts | 25,711 | ' | 7,753 | ' | ' | ' | ||
Asset retirement obligations | 77,132 | ' | 67,161 | ' | ' | ' | ||
Other current liabilities | 79,539 | ' | 54,520 | ' | ' | ' | ||
Total current liabilities | 448,234 | ' | 371,162 | ' | ' | ' | ||
Long-term debt | 1,033,931 | ' | 1,027,084 | ' | ' | ' | ||
Deferred taxes | 404,188 | [1] | ' | 390,693 | [1] | ' | ' | ' |
Asset retirement obligations | 431,060 | ' | 435,352 | ' | ' | ' | ||
Fair value of derivative contracts | 5,251 | ' | 470 | ' | ' | ' | ||
Other long-term liabilities | 47,843 | ' | 53,509 | ' | ' | ' | ||
Total liabilities | 2,370,507 | ' | 2,278,270 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Common stock, $.01 par value; authorized 100,000,000 shares; issued 54,872,749 and 48,750,533 shares, respectively | 549 | ' | 488 | ' | ' | ' | ||
Treasury stock (16,582 shares, at cost) | -860 | ' | -860 | ' | ' | ' | ||
Additional paid-in capital | 1,624,795 | ' | 1,397,885 | ' | ' | ' | ||
Accumulated deficit | -394,778 | ' | -425,165 | ' | ' | ' | ||
Accumulated other comprehensive income (loss) | -18,161 | -9,200 | -2,062 | 24,500 | 10,500 | 28,800 | ||
Total stockholders' equity | 1,211,545 | ' | 970,286 | ' | ' | ' | ||
Total liabilities and stockholders' equity | $3,582,052 | ' | $3,248,556 | ' | ' | ' | ||
[1] | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEET (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Statement Of Financial Position [Abstract] | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 54,872,749 | 48,750,533 |
Treasury stock, shares | 16,582 | 16,582 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENT OF INCOME (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Operating revenue: | ' | ' | ' | ' |
Oil production | $142,393 | $184,498 | $280,682 | $371,423 |
Gas production | 46,667 | 47,832 | 103,029 | 84,654 |
Natural gas liquids production | 15,936 | 11,200 | 43,906 | 20,378 |
Other operational income | 2,050 | 979 | 3,047 | 1,786 |
Derivative income, net | ' | 1,368 | ' | 147 |
Total operating revenue | 207,046 | 245,877 | 430,664 | 478,388 |
Operating expenses: | ' | ' | ' | ' |
Lease operating expenses | 49,454 | 50,517 | 96,357 | 103,561 |
Transportation, processing and gathering expenses | 14,098 | 8,896 | 28,724 | 14,293 |
Production taxes | 3,257 | 4,091 | 6,319 | 6,180 |
Depreciation, depletion and amortization | 92,835 | 87,209 | 175,481 | 162,644 |
Accretion expense | 7,733 | 8,318 | 15,288 | 16,581 |
Salaries, general and administrative expenses | 16,637 | 15,198 | 32,966 | 29,150 |
Incentive compensation expense | 3,903 | 2,050 | 7,037 | 3,481 |
Other operational expenses | ' | 73 | 212 | 145 |
Derivative expense, net | 2,516 | ' | 3,115 | ' |
Total operating expenses | 190,433 | 176,352 | 365,499 | 336,035 |
Income from operations | 16,613 | 69,525 | 65,165 | 142,353 |
Other (income) expenses: | ' | ' | ' | ' |
Interest expense | 9,913 | 8,895 | 18,270 | 18,530 |
Interest income | -193 | -115 | -336 | -232 |
Other income | -722 | -682 | -1,429 | -1,408 |
Other expense | 179 | ' | 179 | ' |
Total other (income) expenses | 9,177 | 8,098 | 16,684 | 16,890 |
Income before income taxes | 7,436 | 61,427 | 48,481 | 125,463 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Current | ' | -6,993 | ' | -10,739 |
Deferred | 2,992 | 29,398 | 18,094 | 56,422 |
Total income taxes | 2,992 | 22,405 | 18,094 | 45,683 |
Net income | $4,444 | $39,022 | $30,387 | $79,780 |
Basic earnings per share | $0.08 | $0.78 | $0.59 | $1.60 |
Diluted earnings per share | $0.08 | $0.78 | $0.59 | $1.60 |
Average shares outstanding | 52,050 | 48,687 | 50,540 | 48,653 |
Average shares outstanding assuming dilution | 52,373 | 48,725 | 50,727 | 48,691 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $4,444 | $39,022 | $30,387 | $79,780 |
Other comprehensive income (loss), net of tax effect: | ' | ' | ' | ' |
Derivatives | -9,765 | 14,561 | -16,355 | -3,780 |
Foreign currency translation | 755 | -523 | 256 | -523 |
Comprehensive income (loss) | ($4,566) | $53,060 | $14,288 | $75,477 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $30,387 | $79,780 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 175,481 | 162,644 |
Accretion expense | 15,288 | 16,581 |
Deferred income tax provision | 18,094 | 56,422 |
Settlement of asset retirement obligations | -24,915 | -37,335 |
Non-cash stock compensation expense | 5,358 | 4,866 |
Excess tax benefits | ' | -104 |
Non-cash derivative expense | 2,697 | 311 |
Non-cash interest expense | 8,229 | 8,181 |
Change in current income taxes | -6 | -16,399 |
(Increase) decrease in accounts receivable | -25,524 | 1,138 |
Increase in other current assets | -82 | -245 |
Decrease in inventory | ' | 158 |
Increase in accounts payable | 1,843 | 6,593 |
Increase (decrease) in other current liabilities | 50,785 | -3,170 |
Other | -675 | -3,448 |
Net cash (used in) provided by operating activities | 256,960 | 275,973 |
Cash flows from investing activities: | ' | ' |
Investment in oil and gas properties | -517,904 | -320,218 |
Proceeds from sale of oil and gas properties, net of expenses | 51,955 | ' |
Investment in fixed and other assets | -3,896 | -1,711 |
Change in restricted funds | -356 | -3,515 |
Net cash used in investing activities | -470,201 | -325,444 |
Cash flows from financing activities: | ' | ' |
Net proceeds from issuance of common stock | 226,036 | ' |
Deferred financing costs | -3,167 | -11 |
Excess tax benefits | ' | 104 |
Net payments for share-based compensation | -6,948 | -3,590 |
Net cash provided by (used in) financing activities | 215,921 | -3,497 |
Effect of exchange rate changes on cash | -18 | -186 |
Net change in cash and cash equivalents | 2,662 | -53,154 |
Cash and cash equivalents, beginning of period | 331,224 | 279,526 |
Cash and cash equivalents, end of period | $333,886 | $226,372 |
Interim_Financial_Statements
Interim Financial Statements | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Interim Financial Statements | ' |
Note 1 – Interim Financial Statements | |
The condensed consolidated financial statements of Stone Energy Corporation (“Stone”) and its subsidiaries as of June 30, 2014 and for the three and six month periods ended June 30, 2014 and 2013 are unaudited and reflect all adjustments (consisting only of normal recurring adjustments), which are, in the opinion of management, necessary for a fair presentation of the financial position and operating results for the interim periods. The condensed consolidated balance sheet as of December 31, 2013 has been derived from the audited financial statements as of that date contained in our Annual Report on Form 10-K for the year ended December 31, 2013 (our “2013 Annual Report on Form 10-K”). The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto, together with management’s discussion and analysis of financial condition and results of operations, contained in our 2013 Annual Report on Form 10-K. The results of operations for the three and six month periods ended June 30, 2014 are not necessarily indicative of future financial results. |
Earnings_Per_Share
Earnings Per Share | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings Per Share | ' | ||||||||||||||||
Note 2 – Earnings Per Share | |||||||||||||||||
The following table sets forth the calculation of basic and diluted weighted average shares outstanding and earnings per share for the indicated periods: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(In thousands, except per share data) | |||||||||||||||||
Income (numerator): | |||||||||||||||||
Basic: | |||||||||||||||||
Net income | $ | 4,444 | $ | 39,022 | $ | 30,387 | $ | 79,780 | |||||||||
Net income attributable to participating securities | (111 | ) | (1,015 | ) | (698 | ) | (1,794 | ) | |||||||||
Net income attributable to common stock - basic | $ | 4,333 | $ | 38,007 | $ | 29,689 | $ | 77,986 | |||||||||
Diluted: | |||||||||||||||||
Net income | $ | 4,444 | $ | 39,022 | $ | 30,387 | $ | 79,780 | |||||||||
Net income attributable to participating securities | (111 | ) | (1,015 | ) | (697 | ) | (1,793 | ) | |||||||||
Net income attributable to common stock - diluted | $ | 4,333 | $ | 38,007 | $ | 29,690 | $ | 77,987 | |||||||||
Weighted average shares (denominator): | |||||||||||||||||
Weighted average shares - basic | 52,050 | 48,687 | 50,540 | 48,653 | |||||||||||||
Dilutive effect of stock options | 58 | 38 | 54 | 38 | |||||||||||||
Dilutive effect of convertible notes | 265 | — | 133 | — | |||||||||||||
Weighted average shares - diluted | 52,373 | 48,725 | 50,727 | 48,691 | |||||||||||||
Basic earnings per share | $ | 0.08 | $ | 0.78 | $ | 0.59 | $ | 1.6 | |||||||||
Diluted earnings per share | $ | 0.08 | $ | 0.78 | $ | 0.59 | $ | 1.6 | |||||||||
Stock options that were considered antidilutive because the exercise price of the options exceeded the average price of our common stock for the applicable period totaled approximately 120,000 shares and 131,000 shares during the three and six months ended June 30, 2014, respectively, and 333,000 shares during the three and six months ended June 30, 2013. | |||||||||||||||||
During the three months ended June 30, 2014 and 2013, approximately 40,000 shares and 45,000 shares of our common stock, respectively, were issued from authorized shares upon the lapsing of forfeiture restrictions of restricted stock and the exercise of stock options by employees and nonemployee directors. During the six months ended June 30, 2014 and 2013, approximately 372,000 shares and 336,000 shares of common stock, respectively, were issued from authorized shares upon the lapsing of forfeiture restrictions of restricted stock and the exercise of stock options by employees and nonemployee directors. In May 2014, 5,750,000 shares of our common stock were issued in a public offering (see Note 3 – Common Stock Offering). | |||||||||||||||||
Because it is management’s stated intention to redeem the principal amount of our 1 3⁄4% Senior Convertible Notes due 2017 (the “2017 Convertible Notes”) (see Note 5 – Long-Term Debt) in cash, we have used the treasury method for determining dilution in the diluted earnings per share computation. During the three months ended June 30, 2014, the average price of our common stock exceeded the effective conversion price of the 2017 Convertible Notes, and therefore, such notes were dilutive for the three and six months ended June 30, 2014. For the prior year periods presented, the average price of our common stock was less than the effective conversion price for such notes, resulting in no dilutive effect on the diluted earnings per share computation for such periods. For all periods presented, the average price of our common stock was less than the strike price of the Sold Warrants (as defined in Note 5 – Long-Term Debt) and therefore, such warrants were not dilutive for such periods. Based on the terms of the Purchased Call Options (as defined in Note 5 – Long-Term Debt), such call options are antidilutive and therefore, were not included in the calculation of diluted earnings per share. |
Common_Stock_Offering
Common Stock Offering | 6 Months Ended |
Jun. 30, 2014 | |
Text Block [Abstract] | ' |
Common Stock Offering | ' |
Note 3 – Common Stock Offering | |
In May 2014, we sold 5,750,000 shares of our common stock in a public offering at a price of $41.00 per share resulting in net proceeds of approximately $226.0 million after deducting the underwriting discount and offering expenses. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 6 Months Ended | ||||||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||||||||||||||||||
Note 4 – Derivative Instruments and Hedging Activities | |||||||||||||||||||||||||||||
Our hedging strategy is designed to protect our near and intermediate term cash flows from future declines in oil and natural gas prices. This protection is essential to capital budget planning, which is sensitive to expenditures that must be committed to in advance, such as rig contracts and the purchase of tubular goods. We enter into derivative transactions to secure a commodity price for a portion of future production that is acceptable at the time of the transaction. These derivatives generally are designated as cash flow hedges upon entering into the contracts. We do not enter into derivative transactions for trading purposes. We have no fair value hedges. | |||||||||||||||||||||||||||||
The nature of a derivative instrument must be evaluated to determine if it qualifies as a hedging instrument. If the instrument qualifies as a hedging instrument, it is recorded as either an asset or liability measured at fair value and subsequent changes in the derivative’s fair value are recognized in stockholders’ equity through other comprehensive income (loss), net of related taxes, to the extent the hedge is considered effective. Monthly settlements of effective hedges are reflected in revenue from oil and gas production and cash flows from operating activities. Instruments not qualifying as hedging instruments are recorded in our balance sheet at fair value, and changes in fair value are recognized in earnings through derivative expense (income). Monthly settlements of ineffective hedges and derivative instruments not qualifying as hedging instruments are recognized in earnings through derivative expense (income) and cash flows from operating activities. | |||||||||||||||||||||||||||||
We have entered into fixed-price swaps with various counterparties for a portion of our expected 2014, 2015 and 2016 oil and natural gas production from the Gulf Coast Basin. Some of our fixed-price oil swap settlements are based on an average of the New York Mercantile Exchange (“NYMEX”) closing price for West Texas Intermediate crude oil during the entire calendar month, and some are based on the average of the Intercontinental Exchange closing price for Brent crude oil during the entire calendar month. Our fixed-price gas swap settlements are based on the NYMEX price for the last day of a respective contract month. Swaps typically provide for monthly payments by us if prices rise above the swap price or monthly payments to us if prices fall below the swap price. Our fixed-price swap contracts are with The Toronto-Dominion Bank, Barclays Bank PLC, BNP Paribas, The Bank of Nova Scotia, Bank of America, Natixis and Regions Bank. | |||||||||||||||||||||||||||||
The following table illustrates our derivative positions for calendar years 2014, 2015 and 2016 as of August 5, 2014: | |||||||||||||||||||||||||||||
Fixed-Price Swaps (NYMEX, except where noted) | |||||||||||||||||||||||||||||
Natural Gas | Oil | ||||||||||||||||||||||||||||
Daily Volume | Swap Price | Daily Volume | Swap Price | ||||||||||||||||||||||||||
(MMBtus/d) | ($) | (Bbls/d) | ($) | ||||||||||||||||||||||||||
2014 | 10,000 | 4 | 1,000 | 90.06 | |||||||||||||||||||||||||
2014 | 10,000 | 4.04 | 1,000 | (a) | 90.25 | ||||||||||||||||||||||||
2014 | 10,000 | 4.105 | 1,000 | 92.25 | |||||||||||||||||||||||||
2014 | 10,000 | 4.19 | 1,000 | 93.55 | |||||||||||||||||||||||||
2014 | 10,000 | (b) | 4.25 | 1,000 | 94 | ||||||||||||||||||||||||
2014 | 10,000 | 4.25 | 1,000 | 98 | |||||||||||||||||||||||||
2014 | 10,000 | 4.35 | 1,000 | 98.3 | |||||||||||||||||||||||||
2014 | 2,000 | (c) | 98.85 | ||||||||||||||||||||||||||
2014 | 1,000 | 99.65 | |||||||||||||||||||||||||||
2014 | 1,000 | (d) | 103.3 | ||||||||||||||||||||||||||
2015 | 10,000 | 4.005 | 1,000 | 89 | |||||||||||||||||||||||||
2015 | 10,000 | 4.12 | 1,000 | 90 | |||||||||||||||||||||||||
2015 | 10,000 | 4.15 | 1,000 | 90.25 | |||||||||||||||||||||||||
2015 | 10,000 | 4.165 | 1,000 | 90.4 | |||||||||||||||||||||||||
2015 | 10,000 | 4.22 | 1,000 | 93.28 | |||||||||||||||||||||||||
2015 | 10,000 | 4.255 | 1,000 | 93.37 | |||||||||||||||||||||||||
2015 | 1,000 | 94.85 | |||||||||||||||||||||||||||
2015 | 1,000 | 95 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.11 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.12 | |||||||||||||||||||||||||||
(a) | October through December | ||||||||||||||||||||||||||||
(b) | February through December | ||||||||||||||||||||||||||||
(c) | January through June | ||||||||||||||||||||||||||||
(d) | Brent crude oil contract | ||||||||||||||||||||||||||||
All of our derivative instruments at December 31, 2013 were designated as effective cash flow hedges. At June 30, 2014, certain of our natural gas derivative instruments no longer qualified as cash flow hedges as it was no longer probable, subsequent to the sale of our non-core Gulf of Mexico (“GOM”) conventional shelf properties (see Note 13 – Subsequent Events), that GOM natural gas production would be sufficient to cover the GOM volumes hedged. Accordingly, we discontinued hedge accounting for such contracts as of June 30, 2014 and recognized the related accumulated other comprehensive loss of $1.5 million as derivative expense in the second quarter of 2014. Contracts no longer qualifying as cash flow hedges were comprised of three natural gas contracts for the months of August through December 2014 and two natural gas contracts for the months of January through December 2015. Additionally, a small portion of our cash flow hedges are typically determined to be ineffective because oil and natural gas price changes in the markets in which we sell our products are not 100% correlative to changes in the underlying price basis indicative in the derivative contract. At June 30, 2014, we had an accumulated other comprehensive loss of $17.8 million, net of tax, related to the fair value of our effective cash flow hedges that were outstanding as of June 30, 2014. We believe that approximately $14.8 million, net of tax, of accumulated other comprehensive loss will be reclassified into earnings in the next 12 months. | |||||||||||||||||||||||||||||
Derivatives qualifying as hedging instruments: | |||||||||||||||||||||||||||||
The following tables disclose the location and fair value amounts of derivatives qualifying as hedging instruments, as reported in our balance sheet, at June 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at June 30, 2014 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair | Balance Sheet Location | Fair | |||||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | — | Current liabilities: Fair value of derivative contracts | $ | 24.2 | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 0.4 | Long-term liabilities: Fair value of derivative contracts | 5.3 | ||||||||||||||||||||||||||
$ | 0.4 | $ | 29.5 | ||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at December 31, 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair | Balance Sheet Location | Fair | |||||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | 4.5 | Current liabilities: Fair value of derivative contracts | $ | 7.8 | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 1.4 | Long-term liabilities: Fair value of derivative contracts | 0.5 | ||||||||||||||||||||||||||
$ | 5.9 | $ | 8.3 | ||||||||||||||||||||||||||
The following tables disclose the before tax effect of derivatives qualifying as hedging instruments, as reported in the statement of income, for the three and six month periods ended June 30, 2014 and 2013: | |||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Income | |||||||||||||||||||||||||||||
for the Three Months Ended June 30, 2014 and 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain | Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
(Loss) Recognized | |||||||||||||||||||||||||||||
Flow Hedging | in Other | Accumulated Other Comprehensive | on Derivatives | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Relationships | Income on | Income into Income | (Ineffective Portion) | ||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Effective Portion) (a) | |||||||||||||||||||||||||||||
2014 | 2013 | Location | 2014 | 2013 | Location | 2014 | 2013 | ||||||||||||||||||||||
Commodity contracts | ($ | 26 | ) | $ | 30 | Operating revenue - oil/gas production | ($ | 9.2 | ) | $ | 7.3 | Derivative (expense) income, net | ($ | 1 | ) | $ | 1.4 | ||||||||||||
Total | ($ | 26 | ) | $ | 30 | ($ | 9.2 | ) | $ | 7.3 | ($ | 1 | ) | $ | 1.4 | ||||||||||||||
(a) For the three months ended June 30, 2014, effective hedging contracts decreased oil revenue by $6.1 million and decreased gas revenue by $3.1 million. For the three months ended June 30, 2013, effective hedging contracts increased oil revenue by $5.3 million and increased gas revenue by $2.0 million. | |||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Income | |||||||||||||||||||||||||||||
for the Six Months Ended June 30, 2014 and 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain | Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
(Loss) Recognized | |||||||||||||||||||||||||||||
Flow Hedging | in Other | Accumulated Other Comprehensive | on Derivatives | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Relationships | Income on | Income into Income | (Ineffective Portion) | ||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Effective Portion) (a) | |||||||||||||||||||||||||||||
2014 | 2013 | Location | 2014 | 2013 | Location | 2014 | 2013 | ||||||||||||||||||||||
Commodity contracts | ($ | 43.4 | ) | $ | 9.9 | Operating revenue - oil/gas production | ($ | 16.3 | ) | $ | 15.9 | Derivative (expense) income, net | ($ | 1.6 | ) | $ | 0.1 | ||||||||||||
Total | ($ | 43.4 | ) | $ | 9.9 | ($ | 16.3 | ) | $ | 15.9 | ($ | 1.6 | ) | $ | 0.1 | ||||||||||||||
(a) | For the six months ended June 30, 2014, effective hedging contracts decreased oil revenue by $8.6 million and decreased gas revenue by $7.7 million. For the six months ended June 30, 2013, effective hedging contracts increased oil revenue by $9.9 million and increased gas revenue by $6.0 million. | ||||||||||||||||||||||||||||
Derivatives not qualifying as hedging instruments: | |||||||||||||||||||||||||||||
The following table discloses the location and fair value amounts of our derivatives not qualifying as hedging instruments, as reported in our balance sheet, at June 30, 2014. All of our derivatives at December 31, 2013 qualified as hedging instruments. | |||||||||||||||||||||||||||||
Fair Value of Derivatives Not Qualifying as Hedging Instruments at June 30, 2014 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair Value | |||||||||||||||||||||||||||
Commodity contracts | Current liabilities: Fair value of derivative contracts | $ | 1.5 | ||||||||||||||||||||||||||
Gains or losses related to changes in fair value and cash settlements for derivatives not qualifying as hedging instruments are recorded as derivative income (expense) in the statement of income. The following table discloses the before tax effect of our derivatives not qualifying as hedging instruments on the statement of income for the three and six month periods ended June 30, 2014: | |||||||||||||||||||||||||||||
Amount of Loss Recognized in Derivative Expense | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||
June 30, 2014 | June 30, 2014 | ||||||||||||||||||||||||||||
Commodity contracts: | |||||||||||||||||||||||||||||
Cash settlements | $ | — | $ | — | |||||||||||||||||||||||||
Change in fair value | (1.5 | ) | (1.5 | ) | |||||||||||||||||||||||||
Total losses on non-qualifying hedges | ($ | 1.5 | ) | ($ | 1.5 | ) | |||||||||||||||||||||||
Offsetting of derivative assets and liabilities: | |||||||||||||||||||||||||||||
Our derivative contracts are subject to netting arrangements. It is our policy to not offset our derivative contracts in presenting the fair value of these contracts as assets and liabilities in our balance sheet. The following presents the potential impact of the rights of offset associated with our recognized assets and liabilities at June 30, 2014 (in millions): | |||||||||||||||||||||||||||||
As Presented | Effects of | With Effects of | |||||||||||||||||||||||||||
Without | Netting | Netting | |||||||||||||||||||||||||||
Netting | |||||||||||||||||||||||||||||
Current assets: Fair value of derivative contracts | $ | — | $ | — | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 0.4 | (0.4 | ) | — | |||||||||||||||||||||||||
Current liabilities: Fair value of derivative contracts | (25.7 | ) | — | (25.7 | ) | ||||||||||||||||||||||||
Long-term liabilities: Fair value of derivative contracts | (5.3 | ) | 0.4 | (4.9 | ) |
LongTerm_Debt
Long-Term Debt | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Long-Term Debt | ' | ||||||||
Note 5 – Long-Term Debt | |||||||||
Long-term debt consisted of the following at: | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(In millions) | |||||||||
1 3⁄4% Senior Convertible Notes due 2017 | $ | 258.9 | $ | 252.1 | |||||
7 1⁄2% Senior Notes due 2022 | 775 | 775 | |||||||
Bank debt | — | — | |||||||
Total long-term debt | $ | 1,033.90 | $ | 1,027.10 | |||||
Bank Debt. On June 24, 2014, we entered into an amended and restated revolving credit facility with commitments totaling $900 million (subject to borrowing base limitations) through a syndicated bank group, replacing our previous facility. The bank credit facility matures on July 1, 2019. Our initial borrowing base under the bank credit facility has been set at $500 million, an increase from the previous borrowing base of $400 million. As of June 30 and August 5, 2014, we had no outstanding borrowings under the bank credit facility and $21.0 million in letters of credit had been issued pursuant to the bank credit facility, leaving $479.0 million of availability under the bank credit facility. Subject to certain exceptions, the bank credit facility is required to be guaranteed by all of our material domestic direct and indirect subsidiaries. The bank credit facility is guaranteed by our only material subsidiary, Stone Energy Offshore, L.L.C. (“Stone Offshore”). | |||||||||
The borrowing base under the bank credit facility is redetermined semi-annually, in May and November, by the lenders, taking into consideration the estimated loan value of our oil and gas properties and those of our subsidiaries that guarantee the bank facility in accordance with the lenders’ customary practices for oil and gas loans. In addition, we and the lenders each have discretion at any time, but not more than two additional times in any calendar year, to have the borrowing base redetermined. The bank credit facility is collateralized by substantially all of Stone’s and Stone Offshore’s assets. Stone and Stone Offshore are required to mortgage, and grant a security interest in, their oil and natural gas reserves representing at least 80% of the discounted present value of the future net cash flows from their proved oil and natural gas reserves reviewed in determining the borrowing base. | |||||||||
Interest on loans under the bank credit facility is calculated using the London Interbank Offering (“LIBOR”) rate or the base rate, at the election of Stone. The margin for loans at the LIBOR rate is determined based on borrowing base utilization and ranges from 1.500% to 2.500%. The bank credit facility provides for optional and mandatory prepayments, affirmative and negative covenants and interest coverage ratio and leverage ratio maintenance covenants. We were in compliance with all covenants as of June 30, 2014. | |||||||||
2017 Convertible Notes. On March 6, 2012, we issued in a private offering $300 million in aggregate principal amount of the 2017 Convertible Notes to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The 2017 Convertible Notes are convertible into cash, shares of our common stock or a combination of cash and shares of our common stock, at our election, based on an initial conversion rate of 23.4449 shares of our common stock per $1,000 principal amount of 2017 Convertible Notes, which corresponds to an initial conversion price of approximately $42.65 per share of our common stock. On June 30, 2014, our closing share price was $46.79. The conversion rate, and thus the conversion price, may be adjusted under certain circumstances as described in the indenture related to the 2017 Convertible Notes. Upon conversion, we will be obligated to pay or deliver, as the case may be, cash, shares of our common stock or a combination of cash and shares of our common stock, at our election. Prior to December 1, 2016, the 2017 Convertible Notes will be convertible only upon the occurrence of certain events and during certain periods, and thereafter, at any time until the second scheduled trading day immediately preceding the maturity date. | |||||||||
In connection with the offering, we entered into convertible note hedge transactions with respect to our common stock (the “Purchased Call Options”) with Barclays Capital Inc., acting as agent for Barclays Bank PLC and Bank of America, N.A. (the “Dealers”). We paid an aggregate amount of approximately $70.8 million to the Dealers for the Purchased Call Options. The Purchased Call Options cover, subject to customary antidilution adjustments, approximately 7,033,470 shares of our common stock at a strike price that corresponds to the initial conversion price of the 2017 Convertible Notes, also subject to adjustment, and are exercisable upon conversion of the 2017 Convertible Notes. | |||||||||
We also entered into separate warrant transactions whereby, in reliance upon the exemption from registration provided by Section 4(2) of the Securities Act, we sold to the Dealers warrants to acquire, subject to customary antidilution adjustments, approximately 7,033,470 shares of our common stock (the “Sold Warrants”) at a strike price of $55.91 per share of our common stock. We received aggregate proceeds of approximately $40.1 million from the sale of the Sold Warrants to the Dealers. If, upon expiration of the Sold Warrants, the price per share of our common stock, as measured under the Sold Warrants, is greater than the strike price of the Sold Warrants, we will be required to issue, without further consideration, under each Sold Warrant a number of shares of our common stock with a value equal to the amount of such difference. | |||||||||
As of June 30, 2014, the carrying amount of the liability component of the 2017 Convertible Notes was $258.9 million. During the three and six months ended June 30, 2014, we recognized $3.5 million and $6.8 million, respectively, of interest expense for the amortization of the discount and $0.3 million and $0.6 million, respectively, of interest expense for the amortization of deferred financing costs related to the 2017 Convertible Notes. During the three and six months ended June 30, 2014, we recognized $1.3 million and $2.6 million, respectively, of interest expense related to the contractual interest coupon on the 2017 Convertible Notes. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||
Asset Retirement Obligations | ' | ||||
Note 6 – Asset Retirement Obligations | |||||
The change in our asset retirement obligations during the six months ended June 30, 2014 is set forth below: | |||||
Six Months | |||||
Ended | |||||
June 30, 2014 | |||||
(In millions) | |||||
Asset retirement obligations as of the beginning of the period, including current portion | $ | 502.5 | |||
Liabilities incurred | 25.7 | ||||
Liabilities settled | (24.9 | ) | |||
Divestment of properties | (10.4 | ) | |||
Accretion expense | 15.3 | ||||
Asset retirement obligations as of the end of the period, including current portion | $ | 508.2 | |||
Divestitures
Divestitures | 6 Months Ended |
Jun. 30, 2014 | |
Business Combinations [Abstract] | ' |
Divestitures | ' |
Note 7 – Divestitures | |
On January 16, 2014, we completed the sale of our interests in the Cut Off and Clovelly fields for cash consideration of approximately $44.8 million and the assumption of the associated asset retirement obligations of approximately $9.2 million. On January 31, 2014, we completed the sale of our interest in the Hatch Point field for cash consideration of approximately $9.7 million and the assumption of the associated asset retirement obligations of approximately $1.2 million. These sales were accounted for as an adjustment to capitalized costs with no gain or loss recognized. | |
On July 31, 2014, we completed the sale of certain of our non-core properties in the GOM conventional shelf (see Note 13—Subsequent Events). |
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Note 8 – Fair Value Measurements | |||||||||||||||||
U.S. Generally Accepted Accounting Principles (“GAAP”) establish a fair value hierarchy that has three levels based on the reliability of the inputs used to determine the fair value. These levels include: Level 1, defined as inputs such as unadjusted quoted prices in active markets for identical assets or liabilities; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for use when little or no market data exists, therefore requiring an entity to develop its own assumptions. | |||||||||||||||||
As of June 30, 2014 and December 31, 2013, we held certain financial assets and liabilities that are required to be measured at fair value on a recurring basis, including our commodity derivative instruments and our investments in marketable securities. We utilize the services of an independent third party to assist us in valuing our derivative instruments. We used the income approach in determining the fair value of our derivative instruments utilizing a proprietary pricing model. The model accounts for our credit risk and the credit risk of our counterparties in the discount rate applied to estimated future cash inflows and outflows. Our swap contracts are included within the Level 2 fair value hierarchy. For a more detailed description of our derivative instruments, see Note 4 – Derivative Instruments and Hedging Activities. We used the market approach in determining the fair value of our investments in marketable securities, which are included within the Level 1 fair value hierarchy. | |||||||||||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at June 30, 2014: | |||||||||||||||||
Fair Value Measurements at June 30, 2014 | |||||||||||||||||
Assets | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(In millions) | |||||||||||||||||
Marketable securities (Other Assets) | $ | 8.7 | $ | 8.7 | $ | — | $ | — | |||||||||
Derivative contracts | 0.4 | — | 0.4 | — | |||||||||||||
Total | $ | 9.1 | $ | 8.7 | $ | 0.4 | $ | — | |||||||||
Fair Value Measurements at June 30, 2014 | |||||||||||||||||
Liabilities | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Liabilities | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
(In millions) | |||||||||||||||||
Derivative contracts | $ | 31 | $ | — | $ | 31 | $ | — | |||||||||
Total | $ | 31 | $ | — | $ | 31 | $ | — | |||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at December 31, 2013: | |||||||||||||||||
Fair Value Measurements at December 31, 2013 | |||||||||||||||||
Assets | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(In millions) | |||||||||||||||||
Marketable securities (Other Assets) | $ | 8.2 | $ | 8.2 | $ | — | $ | — | |||||||||
Derivative contracts | 5.9 | — | 5.9 | — | |||||||||||||
Total | $ | 14.1 | $ | 8.2 | $ | 5.9 | $ | — | |||||||||
Fair Value Measurements at December 31, 2013 | |||||||||||||||||
Liabilities | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Liabilities | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
(In millions) | |||||||||||||||||
Derivative contracts | $ | 8.3 | $ | — | $ | 8.3 | $ | — | |||||||||
Total | $ | 8.3 | $ | — | $ | 8.3 | $ | — | |||||||||
The fair value of cash and cash equivalents and our variable-rate bank debt approximated book value at June 30, 2014 and December 31, 2013. As of June 30, 2014 and December 31, 2013, the fair value of the liability component of the 2017 Convertible Notes was approximately $276.1 million and $260.4 million, respectively. As of June 30, 2014 and December 31, 2013, the fair value of the 7 1⁄2% Senior Notes due 2022 (the “2022 Notes”) was approximately $854.4 million and $814.7 million, respectively. | |||||||||||||||||
The fair value of the 2022 Notes was determined based on quotes obtained from brokers, which represent Level 1 inputs. We applied fair value concepts in determining the liability component of the 2017 Convertible Notes (see Note 5 – Long-Term Debt) at inception, June 30, 2014 and December 31, 2013. The fair value of the liability was estimated using an income approach. The significant inputs in these determinations were market interest rates based on quotes obtained from brokers and represent Level 2 inputs. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||
Note 9 – Accumulated Other Comprehensive Income (Loss) | |||||||||||||
Changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2014 were as follows (in millions): | |||||||||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Three Months Ended June 30, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 8 | ) | ($ | 1.2 | ) | ($ | 9.2 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (26.0 | ) | — | (26.0 | ) | ||||||||
Foreign currency translations | — | 0.8 | 0.8 | ||||||||||
Income tax effect | 9.4 | — | 9.4 | ||||||||||
Net of tax | (16.6 | ) | 0.8 | (15.8 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (9.2 | ) | — | (9.2 | ) | ||||||||
Derivative expense, net | (1.5 | ) | — | (1.5 | ) | ||||||||
Income tax effect | 3.9 | — | 3.9 | ||||||||||
Net of tax | (6.8 | ) | — | (6.8 | ) | ||||||||
Other comprehensive income (loss), net of tax | (9.8 | ) | 0.8 | (9.0 | ) | ||||||||
Ending balance, net of tax | ($ | 17.8 | ) | ($ | 0.4 | ) | ($ | 18.2 | ) | ||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Six Months Ended June 30, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 1.4 | ) | ($ | 0.7 | ) | ($ | 2.1 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (43.4 | ) | — | (43.4 | ) | ||||||||
Foreign currency translations | — | 0.3 | 0.3 | ||||||||||
Income tax effect | 15.7 | — | 15.7 | ||||||||||
Net of tax | (27.7 | ) | 0.3 | (27.4 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (16.3 | ) | — | (16.3 | ) | ||||||||
Derivative expense, net | (1.5 | ) | — | (1.5 | ) | ||||||||
Income tax effect | 6.5 | — | 6.5 | ||||||||||
Net of tax | (11.3 | ) | — | (11.3 | ) | ||||||||
Other comprehensive income (loss), net of tax | (16.4 | ) | 0.3 | (16.1 | ) | ||||||||
Ending balance, net of tax | ($ | 17.8 | ) | ($ | 0.4 | ) | ($ | 18.2 | ) | ||||
Changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2013, were as follows (in millions): | |||||||||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Three Months Ended June 30, 2013 | |||||||||||||
Beginning balance, net of tax | $ | 10.5 | $ | — | $ | 10.5 | |||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 30 | — | 30 | ||||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | (10.8 | ) | — | (10.8 | ) | ||||||||
Net of tax | 19.2 | (0.5 | ) | 18.7 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 7.3 | — | 7.3 | ||||||||||
Income tax effect | (2.6 | ) | — | (2.6 | ) | ||||||||
Net of tax | 4.7 | — | 4.7 | ||||||||||
Other comprehensive income (loss), net of tax | 14.5 | (0.5 | ) | 14 | |||||||||
Ending balance, net of tax | $ | 25 | ($ | 0.5 | ) | $ | 24.5 | ||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Six Months Ended June 30, 2013 | |||||||||||||
Beginning balance, net of tax | $ | 28.8 | $ | — | $ | 28.8 | |||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 9.9 | — | 9.9 | ||||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | (3.5 | ) | — | (3.5 | ) | ||||||||
Net of tax | 6.4 | (0.5 | ) | 5.9 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 15.9 | — | 15.9 | ||||||||||
Income tax effect | (5.7 | ) | — | (5.7 | ) | ||||||||
Net of tax | 10.2 | — | 10.2 | ||||||||||
Other comprehensive loss, net of tax | (3.8 | ) | (0.5 | ) | (4.3 | ) | |||||||
Ending balance, net of tax | $ | 25 | ($ | 0.5 | ) | $ | 24.5 | ||||||
Investment_in_Oil_and_Gas_Prop
Investment in Oil and Gas Properties | 6 Months Ended |
Jun. 30, 2014 | |
Extractive Industries [Abstract] | ' |
Investment in Oil and Gas Properties | ' |
Note 10 – Investment in Oil and Gas Properties | |
In April 2013, we entered into an agreement to participate in the drilling of exploratory wells in Canada. Included in unevaluated oil and gas property costs at June 30, 2014 and December 31, 2013, were $14.7 million and $10.6 million, respectively, of capital expenditures related to our oil and gas property investments in Canada. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Note 11 – Commitments and Contingencies | |
We are named as a party in certain lawsuits and regulatory proceedings arising in the ordinary course of business. We do not expect that these matters, individually or in the aggregate, will have a material adverse effect on our financial condition. | |
In August 2013, Kimmeridge Energy Exploration Fund, L.P. (“Kimmeridge”) filed a lawsuit against Stone in the 15th Judicial District Court in Lafayette Parish, Louisiana seeking damages in the amount of approximately $18.4 million plus interest, costs and attorney fees. Kimmeridge alleges that (1) Stone was obligated by virtue of a letter of intent to negotiate in good faith and close an acquisition involving approximately 33,000 net mineral acres in the Illinois basin, and (2) Stone failed to pay brokerage costs incurred after December 31, 2012 pursuant to a separate letter of understanding between Stone and Kimmeridge. Stone denies Kimmeridge’s claims, as well as its damage calculations, and is vigorously defending against both claims. We cannot estimate the potential range of loss at this time. |
Recently_Issued_Accounting_Sta
Recently Issued Accounting Standards | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Changes And Error Corrections [Abstract] | ' |
Recently Issued Accounting Standards | ' |
Note 12 – Recently Issued Accounting Standards | |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers” to clarify the principles for recognizing revenue and to develop a common revenue standard and disclosure requirements. The core principle of ASU 2014-09 is that an entity will recognize revenue when it transfers control of goods or services to customers at an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. The standard is effective for fiscal years beginning after December 15, 2016, and for interim periods within those fiscal years. Early application is not permitted. Entities can choose to apply the standard using either a full retrospective approach or a modified retrospective approach, with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application. Although we are still evaluating the effect that this new standard may have on our financial statements and related disclosures, we do not anticipate that the implementation of this new standard will have a material effect. |
Subsequent_Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
Note 13 – Subsequent Events | |
On July 31, 2014, we completed the sale of certain of our non-core properties in the GOM conventional shelf for cash consideration of approximately $177.6 million, after giving effect to preliminary purchase price adjustments, and the assumption of the associated asset retirement obligations. At December 31, 2013, the estimated proved reserves associated with these assets represented approximately 9% of our total estimated proved oil and natural gas reserves. The sale will be accounted for as an adjustment to capitalized costs with no gain or loss recognized since the adjustment will not significantly alter the relationship between capitalized costs and proved reserves. | |
All of the proceeds from the sale have been deposited with a Qualified Intermediary (under the terms of a Qualified Trust Agreement and Exchange Agreement) for potential reinvestment in like-kind replacement property as defined under Section 1031 of the Internal Revenue Code. We have until September 14, 2014 (the “Identification Period”) to identify qualified replacement property and have until January 27, 2015 (the “Exchange Period”) to close on such property. Compliance with these provisions provides for deferral of taxable gain on these sales proceeds. The Qualified Trust Agreement and Exchange Agreement provide for certain restrictions on the use of these funds during the Identification Period and, assuming identification is accomplished, additional restrictions during the Exchange Period. |
Guarantor_Financial_Statements
Guarantor Financial Statements | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||||||
Guarantor Financial Statements | ' | ||||||||||||||||||||
Note 14 – Guarantor Financial Statements | |||||||||||||||||||||
Stone Offshore is an unconditional guarantor (the “Guarantor Subsidiary”) of the 2017 Convertible Notes and the 2022 Notes. Our other subsidiaries (the “Non-Guarantor Subsidiaries”) have not provided guarantees. The following presents unaudited condensed consolidating financial information as of June 30, 2014 and December 31, 2013 and for the three and six month periods ended June 30, 2014 and 2013 on an issuer (parent company), Guarantor Subsidiary, Non-Guarantor Subsidiaries and consolidated basis. Elimination entries presented are necessary to combine the entities. | |||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
30-Jun-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 244,254 | $ | 89,388 | $ | 244 | $ | — | $ | 333,886 | |||||||||||
Accounts receivable | 153,316 | 80,436 | — | (36,257 | ) | 197,495 | |||||||||||||||
Current income tax receivable | 7,372 | — | — | — | 7,372 | ||||||||||||||||
Deferred taxes * | 1,565 | 34,743 | — | — | 36,308 | ||||||||||||||||
Inventory | 3,440 | 283 | — | — | 3,723 | ||||||||||||||||
Other current assets | 1,955 | — | — | — | 1,955 | ||||||||||||||||
Total current assets | 411,902 | 204,850 | 244 | (36,257 | ) | 580,739 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,475,522 | 7,044,673 | — | — | 8,520,195 | ||||||||||||||||
Less: accumulated DD&A | (527,605 | ) | (5,617,210 | ) | — | — | (6,144,815 | ) | |||||||||||||
Net proved oil and gas properties | 947,917 | 1,427,463 | — | — | 2,375,380 | ||||||||||||||||
Unevaluated | 302,396 | 237,146 | 14,659 | — | 554,201 | ||||||||||||||||
Other property and equipment, net | 28,302 | — | — | — | 28,302 | ||||||||||||||||
Fair value of derivative contracts | — | 415 | — | — | 415 | ||||||||||||||||
Other assets, net | 30,734 | 1,880 | 10,401 | — | 43,015 | ||||||||||||||||
Investment in subsidiary | 798,664 | — | 25,156 | (823,820 | ) | — | |||||||||||||||
Total assets | $ | 2,519,915 | $ | 1,871,754 | $ | 50,460 | ($ | 860,077 | ) | $ | 3,582,052 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 93,251 | $ | 125,177 | $ | 11,729 | ($ | 36,257 | ) | $ | 193,900 | ||||||||||
Undistributed oil and gas proceeds | 60,724 | 2,203 | — | — | 62,927 | ||||||||||||||||
Accrued interest | 9,025 | — | — | — | 9,025 | ||||||||||||||||
Fair value of derivative contracts | — | 25,711 | — | — | 25,711 | ||||||||||||||||
Asset retirement obligations | — | 77,132 | — | — | 77,132 | ||||||||||||||||
Other current liabilities | 76,461 | 3,078 | — | — | 79,539 | ||||||||||||||||
Total current liabilities | 239,461 | 233,301 | 11,729 | (36,257 | ) | 448,234 | |||||||||||||||
Long-term debt | 1,033,931 | — | — | — | 1,033,931 | ||||||||||||||||
Deferred taxes * | (16,629 | ) | 420,817 | — | — | 404,188 | |||||||||||||||
Asset retirement obligations | 3,764 | 427,296 | — | — | 431,060 | ||||||||||||||||
Fair value of derivative contracts | — | 5,251 | — | — | 5,251 | ||||||||||||||||
Other long-term liabilities | 47,843 | — | — | — | 47,843 | ||||||||||||||||
Total liabilities | 1,308,370 | 1,086,665 | 11,729 | (36,257 | ) | 2,370,507 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 549 | — | — | — | 549 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,624,795 | 1,309,562 | 39,580 | (1,349,142 | ) | 1,624,795 | |||||||||||||||
Accumulated deficit | (394,778 | ) | (506,723 | ) | (28 | ) | 506,751 | (394,778 | ) | ||||||||||||
Accumulated other comprehensive loss | (18,161 | ) | (17,750 | ) | (821 | ) | 18,571 | (18,161 | ) | ||||||||||||
Total stockholders’ equity | 1,211,545 | 785,089 | 38,731 | (823,820 | ) | 1,211,545 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,519,915 | $ | 1,871,754 | $ | 50,460 | ($ | 860,077 | ) | $ | 3,582,052 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 246,294 | $ | 84,290 | $ | 640 | $ | — | $ | 331,224 | |||||||||||
Accounts receivable | 74,887 | 97,128 | — | (44 | ) | 171,971 | |||||||||||||||
Fair value of derivative contracts | — | 4,549 | — | — | 4,549 | ||||||||||||||||
Current income tax receivable | 7,366 | — | — | — | 7,366 | ||||||||||||||||
Deferred taxes * | 8,659 | 23,051 | — | — | 31,710 | ||||||||||||||||
Inventory | 3,440 | 283 | — | — | 3,723 | ||||||||||||||||
Other current assets | 1,874 | — | — | — | 1,874 | ||||||||||||||||
Total current assets | 342,520 | 209,301 | 640 | (44 | ) | 552,417 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,309,527 | 6,494,590 | — | — | 7,804,117 | ||||||||||||||||
Less: accumulated DD&A | (459,932 | ) | (5,448,828 | ) | — | — | (5,908,760 | ) | |||||||||||||
Net proved oil and gas properties | 849,595 | 1,045,762 | — | — | 1,895,357 | ||||||||||||||||
Unevaluated | 325,113 | 388,643 | 10,583 | — | 724,339 | ||||||||||||||||
Other property and equipment, net | 26,178 | — | — | — | 26,178 | ||||||||||||||||
Fair value of derivative contracts | — | 1,378 | — | — | 1,378 | ||||||||||||||||
Other assets, net | 45,410 | 1,349 | 2,128 | — | 48,887 | ||||||||||||||||
Investment in subsidiary | 747,472 | — | 12,711 | (760,183 | ) | — | |||||||||||||||
Total assets | $ | 2,336,288 | $ | 1,646,433 | $ | 26,062 | ($ | 760,227 | ) | $ | 3,248,556 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 173,147 | $ | 22,530 | $ | 44 | ($ | 44 | ) | $ | 195,677 | ||||||||||
Undistributed oil and gas proceeds | 34,386 | 2,643 | — | — | 37,029 | ||||||||||||||||
Accrued interest | 9,022 | — | — | — | 9,022 | ||||||||||||||||
Fair value of derivative contracts | — | 7,753 | — | — | 7,753 | ||||||||||||||||
Asset retirement obligations | — | 67,161 | — | — | 67,161 | ||||||||||||||||
Other current liabilities | 53,682 | 838 | — | — | 54,520 | ||||||||||||||||
Total current liabilities | 270,237 | 100,925 | 44 | (44 | ) | 371,162 | |||||||||||||||
Long-term debt | 1,027,084 | — | — | — | 1,027,084 | ||||||||||||||||
Deferred taxes * | 10,227 | 380,466 | — | — | 390,693 | ||||||||||||||||
Asset retirement obligations | 4,945 | 430,407 | — | — | 435,352 | ||||||||||||||||
Fair value of derivative contracts | — | 470 | — | — | 470 | ||||||||||||||||
Other long-term liabilities | 53,509 | — | — | — | 53,509 | ||||||||||||||||
Total liabilities | 1,366,002 | 912,268 | 44 | (44 | ) | 2,278,270 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 488 | — | — | — | 488 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,397,885 | 1,309,563 | 27,403 | (1,336,966 | ) | 1,397,885 | |||||||||||||||
Accumulated deficit | (425,165 | ) | (574,003 | ) | (52 | ) | 574,055 | (425,165 | ) | ||||||||||||
Accumulated other comprehensive loss | (2,062 | ) | (1,395 | ) | (1,333 | ) | 2,728 | (2,062 | ) | ||||||||||||
Total stockholders’ equity | 970,286 | 734,165 | 26,018 | (760,183 | ) | 970,286 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,336,288 | $ | 1,646,433 | $ | 26,062 | ($ | 760,227 | ) | $ | 3,248,556 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
THREE MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 5,854 | $ | 136,539 | $ | — | $ | — | $ | 142,393 | |||||||||||
Gas production | 20,800 | 25,867 | — | — | 46,667 | ||||||||||||||||
Natural gas liquids production | 10,219 | 5,717 | — | — | 15,936 | ||||||||||||||||
Other operational income | 1,880 | 170 | — | — | 2,050 | ||||||||||||||||
Total operating revenue | 38,753 | 168,293 | — | — | 207,046 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 5,046 | 44,408 | — | — | 49,454 | ||||||||||||||||
Transportation, processing and gathering expenses | 10,456 | 3,642 | — | — | 14,098 | ||||||||||||||||
Production taxes | 1,903 | 1,354 | — | — | 3,257 | ||||||||||||||||
Depreciation, depletion, amortization | 30,385 | 62,450 | — | — | 92,835 | ||||||||||||||||
Accretion expense | 61 | 7,672 | — | — | 7,733 | ||||||||||||||||
Salaries, general and administrative | 16,639 | — | (2 | ) | — | 16,637 | |||||||||||||||
Incentive compensation expense | 3,903 | — | — | — | 3,903 | ||||||||||||||||
Derivative expense, net | — | 2,516 | — | — | 2,516 | ||||||||||||||||
Total operating expenses | 68,393 | 122,042 | (2 | ) | — | 190,433 | |||||||||||||||
Income (loss) from operations | (29,640 | ) | 46,251 | 2 | — | 16,613 | |||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 9,880 | 33 | — | — | 9,913 | ||||||||||||||||
Interest income | (146 | ) | (41 | ) | (6 | ) | — | (193 | ) | ||||||||||||
Other income | (192 | ) | (530 | ) | — | — | (722 | ) | |||||||||||||
Other expense | 179 | — | — | — | 179 | ||||||||||||||||
Income from investment in subsidiaries | (29,947 | ) | — | (8 | ) | 29,955 | — | ||||||||||||||
Total other (income) expenses | (20,226 | ) | (538 | ) | (14 | ) | 29,955 | 9,177 | |||||||||||||
Income (loss) before taxes | (9,414 | ) | 46,789 | 16 | (29,955 | ) | 7,436 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | — | — | — | — | — | ||||||||||||||||
Deferred | (13,858 | ) | 16,850 | — | — | 2,992 | |||||||||||||||
Total income taxes | (13,858 | ) | 16,850 | — | — | 2,992 | |||||||||||||||
Net income | $ | 4,444 | $ | 29,939 | $ | 16 | ($ | 29,955 | ) | $ | 4,444 | ||||||||||
Comprehensive income (loss) | ($ | 4,566 | ) | $ | 29,939 | $ | 16 | ($ | 29,955 | ) | ($ | 4,566 | ) | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
THREE MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 8,378 | $ | 176,120 | $ | — | $ | — | $ | 184,498 | |||||||||||
Gas production | 20,071 | 27,761 | — | — | 47,832 | ||||||||||||||||
Natural gas liquids production | 6,378 | 4,822 | — | — | 11,200 | ||||||||||||||||
Other operational income | 790 | 189 | — | — | 979 | ||||||||||||||||
Derivate income, net | — | 1,368 | — | — | 1,368 | ||||||||||||||||
Total operating revenue | 35,617 | 210,260 | — | — | 245,877 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 3,425 | 47,092 | — | — | 50,517 | ||||||||||||||||
Transportation, processing and gathering expenses | 5,729 | 3,167 | — | — | 8,896 | ||||||||||||||||
Production taxes | 1,320 | 2,771 | — | — | 4,091 | ||||||||||||||||
Depreciation, depletion, amortization | 25,088 | 62,121 | — | — | 87,209 | ||||||||||||||||
Accretion expense | 93 | 8,225 | — | — | 8,318 | ||||||||||||||||
Salaries, general and administrative | 15,150 | — | 48 | — | 15,198 | ||||||||||||||||
Incentive compensation expense | 2,050 | — | — | — | 2,050 | ||||||||||||||||
Other operational expenses | 51 | 22 | — | 73 | |||||||||||||||||
Total operating expenses | 52,906 | 123,398 | 48 | — | 176,352 | ||||||||||||||||
Income (loss) from operations | (17,289 | ) | 86,862 | (48 | ) | — | 69,525 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 8,882 | 13 | — | — | 8,895 | ||||||||||||||||
Interest income | (70 | ) | (38 | ) | (7 | ) | — | (115 | ) | ||||||||||||
Other income | (217 | ) | (465 | ) | — | — | (682 | ) | |||||||||||||
(Income) loss from investment in subsidiaries | (55,893 | ) | — | 39 | 55,854 | — | |||||||||||||||
Total other (income) expenses | (47,298 | ) | (490 | ) | 32 | 55,854 | 8,098 | ||||||||||||||
Income (loss) before taxes | 30,009 | 87,352 | (80 | ) | (55,854 | ) | 61,427 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | (6,993 | ) | — | — | — | (6,993 | ) | ||||||||||||||
Deferred | (2,020 | ) | 31,418 | — | — | 29,398 | |||||||||||||||
Total income taxes | (9,013 | ) | 31,418 | — | — | 22,405 | |||||||||||||||
Net income (loss) | $ | 39,022 | $ | 55,934 | ($ | 80 | ) | ($ | 55,854 | ) | $ | 39,022 | |||||||||
Comprehensive income (loss) | $ | 53,060 | $ | 55,934 | ($ | 80 | ) | ($ | 55,854 | ) | $ | 53,060 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 12,490 | $ | 268,192 | $ | — | $ | — | $ | 280,682 | |||||||||||
Gas production | 49,639 | 53,390 | — | — | 103,029 | ||||||||||||||||
Natural gas liquids production | 28,473 | 15,433 | — | — | 43,906 | ||||||||||||||||
Other operational income | 2,704 | 343 | — | — | 3,047 | ||||||||||||||||
Total operating revenue | 93,306 | 337,358 | — | — | 430,664 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 9,059 | 87,298 | — | — | 96,357 | ||||||||||||||||
Transportation, processing and gathering expenses | 20,773 | 7,951 | — | — | 28,724 | ||||||||||||||||
Production taxes | 3,584 | 2,735 | — | — | 6,319 | ||||||||||||||||
Depreciation, depletion, amortization | 58,440 | 117,041 | — | — | 175,481 | ||||||||||||||||
Accretion expense | 129 | 15,159 | — | — | 15,288 | ||||||||||||||||
Salaries, general and administrative | 32,964 | 2 | — | — | 32,966 | ||||||||||||||||
Incentive compensation expense | 7,037 | — | — | — | 7,037 | ||||||||||||||||
Other operational expenses | 176 | 36 | — | — | 212 | ||||||||||||||||
Derivative expense, net | — | 3,115 | — | — | 3,115 | ||||||||||||||||
Total operating expenses | 132,162 | 233,337 | — | — | 365,499 | ||||||||||||||||
Income (loss) from operations | (38,856 | ) | 104,021 | — | — | 65,165 | |||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 18,233 | 37 | — | — | 18,270 | ||||||||||||||||
Interest income | (225 | ) | (99 | ) | (12 | ) | — | (336 | ) | ||||||||||||
Other income | (373 | ) | (1,056 | ) | — | — | (1,429 | ) | |||||||||||||
Other expense | 179 | — | — | — | 179 | ||||||||||||||||
Income from investment in subsidiaries | (67,292 | ) | — | (12 | ) | 67,304 | — | ||||||||||||||
Total other (income) expenses | (49,478 | ) | (1,118 | ) | (24 | ) | 67,304 | 16,684 | |||||||||||||
Income before taxes | 10,622 | 105,139 | 24 | (67,304 | ) | 48,481 | |||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | — | — | — | — | — | ||||||||||||||||
Deferred | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Total income taxes | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Net income | $ | 30,387 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 30,387 | ||||||||||
Comprehensive income | $ | 14,288 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 14,288 | ||||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 13,721 | $ | 357,702 | $ | — | $ | — | $ | 371,423 | |||||||||||
Gas production | 27,269 | 57,385 | — | — | 84,654 | ||||||||||||||||
Natural gas liquids production | 8,677 | 11,701 | — | — | 20,378 | ||||||||||||||||
Other operational income | 1,439 | 347 | — | — | 1,786 | ||||||||||||||||
Derivate income, net | — | 147 | — | — | 147 | ||||||||||||||||
Total operating revenue | 51,106 | 427,282 | — | — | 478,388 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 5,716 | 97,845 | — | — | 103,561 | ||||||||||||||||
Transportation, processing and gathering expenses | 7,781 | 6,512 | — | — | 14,293 | ||||||||||||||||
Production taxes | 2,187 | 3,993 | — | — | 6,180 | ||||||||||||||||
Depreciation, depletion, amortization | 35,279 | 127,365 | — | — | 162,644 | ||||||||||||||||
Accretion expense | 186 | 16,395 | — | — | 16,581 | ||||||||||||||||
Salaries, general and administrative | 29,098 | 4 | 48 | — | 29,150 | ||||||||||||||||
Incentive compensation expense | 3,481 | — | — | — | 3,481 | ||||||||||||||||
Other operational expenses | 101 | 44 | — | 145 | |||||||||||||||||
Total operating expenses | 83,829 | 252,158 | 48 | — | 336,035 | ||||||||||||||||
Income (loss) from operations | (32,723 | ) | 175,124 | (48 | ) | — | 142,353 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 18,509 | 21 | — | — | 18,530 | ||||||||||||||||
Interest income | (150 | ) | (75 | ) | (7 | ) | — | (232 | ) | ||||||||||||
Other income | (441 | ) | (967 | ) | — | — | (1,408 | ) | |||||||||||||
(Income) loss from investment in subsidiaries | (112,721 | ) | — | 39 | 112,682 | — | |||||||||||||||
Total other (income) expenses | (94,803 | ) | (1,021 | ) | 32 | 112,682 | 16,890 | ||||||||||||||
Income (loss) before taxes | 62,080 | 176,145 | (80 | ) | (112,682 | ) | 125,463 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | (10,739 | ) | — | — | — | (10,739 | ) | ||||||||||||||
Deferred | (6,961 | ) | 63,383 | — | — | 56,422 | |||||||||||||||
Total income taxes | (17,700 | ) | 63,383 | — | — | 45,683 | |||||||||||||||
Net income (loss) | $ | 79,780 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 79,780 | |||||||||
Comprehensive income (loss) | $ | 75,477 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 75,477 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income | $ | 30,387 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 30,387 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 58,440 | 117,041 | — | — | 175,481 | ||||||||||||||||
Accretion expense | 129 | 15,159 | — | — | 15,288 | ||||||||||||||||
Deferred income tax provision (benefit) | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Settlement of asset retirement obligations | (82 | ) | (24,833 | ) | — | — | (24,915 | ) | |||||||||||||
Non-cash stock compensation expense | 5,358 | — | — | — | 5,358 | ||||||||||||||||
Non-cash derivative expense | — | 2,697 | — | — | 2,697 | ||||||||||||||||
Non-cash interest expense | 8,229 | — | — | — | 8,229 | ||||||||||||||||
Change in current income taxes | (6 | ) | — | — | — | (6 | ) | ||||||||||||||
Non-cash income from investment in subsidiaries | (67,292 | ) | — | (12 | ) | 67,304 | — | ||||||||||||||
Change in intercompany receivables/payables | (126,526 | ) | 114,841 | 11,685 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (42,216 | ) | 16,692 | — | — | (25,524 | ) | ||||||||||||||
Increase in other current assets | (82 | ) | — | — | — | (82 | ) | ||||||||||||||
Increase (decrease) in accounts payable | 2,052 | (209 | ) | — | — | 1,843 | |||||||||||||||
Increase in other current liabilities | 48,987 | 1,798 | — | — | 50,785 | ||||||||||||||||
Other | 381 | (1,056 | ) | — | — | (675 | ) | ||||||||||||||
Net cash (used in) provided by operating activities | (102,006 | ) | 347,269 | 11,697 | — | 256,960 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (121,836 | ) | (384,349 | ) | (11,719 | ) | — | (517,904 | ) | ||||||||||||
Proceeds from sale of oil and gas properties, net of expenses | 9,777 | 42,178 | — | — | 51,955 | ||||||||||||||||
Investment in fixed and other assets | (3,896 | ) | — | — | — | (3,896 | ) | ||||||||||||||
Change in restricted funds | — | — | (356 | ) | — | (356 | ) | ||||||||||||||
Investment in subsidiaries | — | — | (12,176 | ) | 12,176 | — | |||||||||||||||
Net cash used in investing activities | (115,955 | ) | (342,171 | ) | (24,251 | ) | 12,176 | (470,201 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Net proceeds from issuance of common stock | 226,036 | — | — | — | 226,036 | ||||||||||||||||
Deferred financing costs | (3,167 | ) | — | — | — | (3,167 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 12,176 | (12,176 | ) | — | |||||||||||||||
Net payments for share-based compensation | (6,948 | ) | — | — | — | (6,948 | ) | ||||||||||||||
Net cash provided by financing activities | 215,921 | — | 12,176 | (12,176 | ) | 215,921 | |||||||||||||||
Effect of exchange rate changes on cash | — | — | (18 | ) | — | (18 | ) | ||||||||||||||
Net change in cash and cash equivalents | (2,040 | ) | 5,098 | (396 | ) | — | 2,662 | ||||||||||||||
Cash and cash equivalents, beginning of period | 246,294 | 84,290 | 640 | — | 331,224 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 244,254 | $ | 89,388 | $ | 244 | $ | — | $ | 333,886 | |||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income (loss) | $ | 79,780 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 79,780 | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 35,279 | 127,365 | — | — | 162,644 | ||||||||||||||||
Accretion expense | 186 | 16,395 | — | — | 16,581 | ||||||||||||||||
Deferred income tax provision (benefit) | (6,961 | ) | 63,383 | — | — | 56,422 | |||||||||||||||
Settlement of asset retirement obligations | — | (37,335 | ) | — | — | (37,335 | ) | ||||||||||||||
Non-cash stock compensation expense | 4,866 | — | — | — | 4,866 | ||||||||||||||||
Excess tax benefits | (104 | ) | — | — | — | (104 | ) | ||||||||||||||
Non-cash derivative expense | — | 311 | — | — | 311 | ||||||||||||||||
Non-cash interest expense | 8,181 | — | — | — | 8,181 | ||||||||||||||||
Non-cash income (loss) from investment in subsidiaries | (112,722 | ) | — | 40 | 112,682 | — | |||||||||||||||
Change in current income taxes | (16,399 | ) | — | — | — | (16,399 | ) | ||||||||||||||
Change in intercompany receivables/payables | 170,815 | (170,859 | ) | 44 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (17,365 | ) | 18,503 | — | — | 1,138 | |||||||||||||||
Increase in other current assets | (245 | ) | — | — | — | (245 | ) | ||||||||||||||
Decrease in inventory | 158 | — | — | — | 158 | ||||||||||||||||
Increase in accounts payable | 4,507 | 2,086 | — | — | 6,593 | ||||||||||||||||
Increase (decrease) in other current liabilities | (5,258 | ) | 2,088 | — | — | (3,170 | ) | ||||||||||||||
Other | (2,482 | ) | (966 | ) | — | — | (3,448 | ) | |||||||||||||
Net cash provided by operating activities | 142,236 | 133,733 | 4 | — | 275,973 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (176,896 | ) | (133,659 | ) | (9,663 | ) | — | (320,218 | ) | ||||||||||||
Investment in fixed and other assets | (1,711 | ) | — | — | — | (1,711 | ) | ||||||||||||||
Change in restricted funds | — | — | (3,515 | ) | — | (3,515 | ) | ||||||||||||||
Investment in subsidiaries | (14,000 | ) | — | (13,404 | ) | 27,404 | — | ||||||||||||||
Net cash used in investing activities | (192,607 | ) | (133,659 | ) | (26,582 | ) | 27,404 | (325,444 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Deferred financing costs | (11 | ) | — | — | — | (11 | ) | ||||||||||||||
Excess tax benefits | 104 | — | — | — | 104 | ||||||||||||||||
Equity proceeds from parent | — | — | 27,404 | (27,404 | ) | — | |||||||||||||||
Net payments for share-based compensation | (3,590 | ) | — | — | — | (3,590 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (3,497 | ) | — | 27,404 | (27,404 | ) | (3,497 | ) | |||||||||||||
Effect of exchange rate on cash | — | — | (186 | ) | — | (186 | ) | ||||||||||||||
Net change in cash and cash equivalents | (53,868 | ) | 74 | 640 | — | (53,154 | ) | ||||||||||||||
Cash and cash equivalents, beginning of period | 228,398 | 51,128 | — | — | 279,526 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 174,530 | $ | 51,202 | $ | 640 | $ | — | $ | 226,372 | |||||||||||
Earnings_Per_Share_Policies
Earnings Per Share (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Earnings Per Share [Abstract] | ' |
Earning Per Share | ' |
Because it is management’s stated intention to redeem the principal amount of our 1 3⁄4% Senior Convertible Notes due 2017 (the “2017 Convertible Notes”) (see Note 5 – Long-Term Debt) in cash, we have used the treasury method for determining dilution in the diluted earnings per share computation. During the three months ended June 30, 2014, the average price of our common stock exceeded the effective conversion price of the 2017 Convertible Notes, and therefore, such notes were dilutive for the three and six months ended June 30, 2014. For the prior year periods presented, the average price of our common stock was less than the effective conversion price for such notes, resulting in no dilutive effect on the diluted earnings per share computation for such periods. For all periods presented, the average price of our common stock was less than the strike price of the Sold Warrants (as defined in Note 5 – Long-Term Debt) and therefore, such warrants were not dilutive for such periods. Based on the terms of the Purchased Call Options (as defined in Note 5 – Long-Term Debt), such call options are antidilutive and therefore, were not included in the calculation of diluted earnings per share. | |
Derivative Instruments and Hedging Activities | ' |
The nature of a derivative instrument must be evaluated to determine if it qualifies as a hedging instrument. If the instrument qualifies as a hedging instrument, it is recorded as either an asset or liability measured at fair value and subsequent changes in the derivative’s fair value are recognized in stockholders’ equity through other comprehensive income (loss), net of related taxes, to the extent the hedge is considered effective. Monthly settlements of effective hedges are reflected in revenue from oil and gas production and cash flows from operating activities. Instruments not qualifying as hedging instruments are recorded in our balance sheet at fair value, and changes in fair value are recognized in earnings through derivative expense (income). Monthly settlements of ineffective hedges and derivative instruments not qualifying as hedging instruments are recognized in earnings through derivative expense (income) and cash flows from operating activities. | |
Fair Value of Financial Instruments | ' |
U.S. Generally Accepted Accounting Principles (“GAAP”) establish a fair value hierarchy that has three levels based on the reliability of the inputs used to determine the fair value. These levels include: Level 1, defined as inputs such as unadjusted quoted prices in active markets for identical assets or liabilities; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for use when little or no market data exists, therefore requiring an entity to develop its own assumptions. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Calculation of Basic and Diluted Weighted Average Shares Outstanding Earnings Per Share | ' | ||||||||||||||||
The following table sets forth the calculation of basic and diluted weighted average shares outstanding and earnings per share for the indicated periods: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(In thousands, except per share data) | |||||||||||||||||
Income (numerator): | |||||||||||||||||
Basic: | |||||||||||||||||
Net income | $ | 4,444 | $ | 39,022 | $ | 30,387 | $ | 79,780 | |||||||||
Net income attributable to participating securities | (111 | ) | (1,015 | ) | (698 | ) | (1,794 | ) | |||||||||
Net income attributable to common stock - basic | $ | 4,333 | $ | 38,007 | $ | 29,689 | $ | 77,986 | |||||||||
Diluted: | |||||||||||||||||
Net income | $ | 4,444 | $ | 39,022 | $ | 30,387 | $ | 79,780 | |||||||||
Net income attributable to participating securities | (111 | ) | (1,015 | ) | (697 | ) | (1,793 | ) | |||||||||
Net income attributable to common stock - diluted | $ | 4,333 | $ | 38,007 | $ | 29,690 | $ | 77,987 | |||||||||
Weighted average shares (denominator): | |||||||||||||||||
Weighted average shares - basic | 52,050 | 48,687 | 50,540 | 48,653 | |||||||||||||
Dilutive effect of stock options | 58 | 38 | 54 | 38 | |||||||||||||
Dilutive effect of convertible notes | 265 | — | 133 | — | |||||||||||||
Weighted average shares - diluted | 52,373 | 48,725 | 50,727 | 48,691 | |||||||||||||
Basic earnings per share | $ | 0.08 | $ | 0.78 | $ | 0.59 | $ | 1.6 | |||||||||
Diluted earnings per share | $ | 0.08 | $ | 0.78 | $ | 0.59 | $ | 1.6 | |||||||||
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended | ||||||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Hedging Positions | ' | ||||||||||||||||||||||||||||
The following table illustrates our derivative positions for calendar years 2014, 2015 and 2016 as of August 5, 2014: | |||||||||||||||||||||||||||||
Fixed-Price Swaps (NYMEX, except where noted) | |||||||||||||||||||||||||||||
Natural Gas | Oil | ||||||||||||||||||||||||||||
Daily Volume | Swap Price | Daily Volume | Swap Price | ||||||||||||||||||||||||||
(MMBtus/d) | ($) | (Bbls/d) | ($) | ||||||||||||||||||||||||||
2014 | 10,000 | 4 | 1,000 | 90.06 | |||||||||||||||||||||||||
2014 | 10,000 | 4.04 | 1,000 | (a) | 90.25 | ||||||||||||||||||||||||
2014 | 10,000 | 4.105 | 1,000 | 92.25 | |||||||||||||||||||||||||
2014 | 10,000 | 4.19 | 1,000 | 93.55 | |||||||||||||||||||||||||
2014 | 10,000 | (b) | 4.25 | 1,000 | 94 | ||||||||||||||||||||||||
2014 | 10,000 | 4.25 | 1,000 | 98 | |||||||||||||||||||||||||
2014 | 10,000 | 4.35 | 1,000 | 98.3 | |||||||||||||||||||||||||
2014 | 2,000 | (c) | 98.85 | ||||||||||||||||||||||||||
2014 | 1,000 | 99.65 | |||||||||||||||||||||||||||
2014 | 1,000 | (d) | 103.3 | ||||||||||||||||||||||||||
2015 | 10,000 | 4.005 | 1,000 | 89 | |||||||||||||||||||||||||
2015 | 10,000 | 4.12 | 1,000 | 90 | |||||||||||||||||||||||||
2015 | 10,000 | 4.15 | 1,000 | 90.25 | |||||||||||||||||||||||||
2015 | 10,000 | 4.165 | 1,000 | 90.4 | |||||||||||||||||||||||||
2015 | 10,000 | 4.22 | 1,000 | 93.28 | |||||||||||||||||||||||||
2015 | 10,000 | 4.255 | 1,000 | 93.37 | |||||||||||||||||||||||||
2015 | 1,000 | 94.85 | |||||||||||||||||||||||||||
2015 | 1,000 | 95 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.11 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.12 | |||||||||||||||||||||||||||
(a) | October through December | ||||||||||||||||||||||||||||
(b) | February through December | ||||||||||||||||||||||||||||
(c) | January through June | ||||||||||||||||||||||||||||
(d) | Brent crude oil contract | ||||||||||||||||||||||||||||
Location and Fair Value Amounts of Derivative Instruments Reported in Balance Sheet | ' | ||||||||||||||||||||||||||||
The following tables disclose the location and fair value amounts of derivatives qualifying as hedging instruments, as reported in our balance sheet, at June 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at June 30, 2014 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair | Balance Sheet Location | Fair | |||||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | — | Current liabilities: Fair value of derivative contracts | $ | 24.2 | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 0.4 | Long-term liabilities: Fair value of derivative contracts | 5.3 | ||||||||||||||||||||||||||
$ | 0.4 | $ | 29.5 | ||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at December 31, 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair | Balance Sheet Location | Fair | |||||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | 4.5 | Current liabilities: Fair value of derivative contracts | $ | 7.8 | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 1.4 | Long-term liabilities: Fair value of derivative contracts | 0.5 | ||||||||||||||||||||||||||
$ | 5.9 | $ | 8.3 | ||||||||||||||||||||||||||
Before Tax Effect of Derivative Instruments in Statement of Income | ' | ||||||||||||||||||||||||||||
The following tables disclose the before tax effect of derivatives qualifying as hedging instruments, as reported in the statement of income, for the three and six month periods ended June 30, 2014 and 2013: | |||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Income | |||||||||||||||||||||||||||||
for the Three Months Ended June 30, 2014 and 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain | Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
(Loss) Recognized | |||||||||||||||||||||||||||||
Flow Hedging | in Other | Accumulated Other Comprehensive | on Derivatives | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Relationships | Income on | Income into Income | (Ineffective Portion) | ||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Effective Portion) (a) | |||||||||||||||||||||||||||||
2014 | 2013 | Location | 2014 | 2013 | Location | 2014 | 2013 | ||||||||||||||||||||||
Commodity contracts | ($ | 26 | ) | $ | 30 | Operating revenue - oil/gas production | ($ | 9.2 | ) | $ | 7.3 | Derivative (expense) income, net | ($ | 1 | ) | $ | 1.4 | ||||||||||||
Total | ($ | 26 | ) | $ | 30 | ($ | 9.2 | ) | $ | 7.3 | ($ | 1 | ) | $ | 1.4 | ||||||||||||||
(a) For the three months ended June 30, 2014, effective hedging contracts decreased oil revenue by $6.1 million and decreased gas revenue by $3.1 million. For the three months ended June 30, 2013, effective hedging contracts increased oil revenue by $5.3 million and increased gas revenue by $2.0 million. | |||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Income | |||||||||||||||||||||||||||||
for the Six Months Ended June 30, 2014 and 2013 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Derivatives in Cash | Amount of Gain | Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||
(Loss) Recognized | |||||||||||||||||||||||||||||
Flow Hedging | in Other | Accumulated Other Comprehensive | on Derivatives | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Relationships | Income on | Income into Income | (Ineffective Portion) | ||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Effective Portion) (a) | |||||||||||||||||||||||||||||
2014 | 2013 | Location | 2014 | 2013 | Location | 2014 | 2013 | ||||||||||||||||||||||
Commodity contracts | ($ | 43.4 | ) | $ | 9.9 | Operating revenue - oil/gas production | ($ | 16.3 | ) | $ | 15.9 | Derivative (expense) income, net | ($ | 1.6 | ) | $ | 0.1 | ||||||||||||
Total | ($ | 43.4 | ) | $ | 9.9 | ($ | 16.3 | ) | $ | 15.9 | ($ | 1.6 | ) | $ | 0.1 | ||||||||||||||
(a) | For the six months ended June 30, 2014, effective hedging contracts decreased oil revenue by $8.6 million and decreased gas revenue by $7.7 million. For the six months ended June 30, 2013, effective hedging contracts increased oil revenue by $9.9 million and increased gas revenue by $6.0 million. | ||||||||||||||||||||||||||||
Location and Fair Value Amounts of Derivative Instruments Not Qualifying as Hedging Instruments Reported in Balance Sheet | ' | ||||||||||||||||||||||||||||
The following table discloses the location and fair value amounts of our derivatives not qualifying as hedging instruments, as reported in our balance sheet, at June 30, 2014. All of our derivatives at December 31, 2013 qualified as hedging instruments. | |||||||||||||||||||||||||||||
Fair Value of Derivatives Not Qualifying as Hedging Instruments at June 30, 2014 | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Balance Sheet Location | Fair Value | |||||||||||||||||||||||||||
Commodity contracts | Current liabilities: Fair value of derivative contracts | $ | 1.5 | ||||||||||||||||||||||||||
Gains or Losses Related to Changes in Fair Value and Cash Settlements on Derivatives Not Qualifying as Hedging Instruments | ' | ||||||||||||||||||||||||||||
Gains or losses related to changes in fair value and cash settlements for derivatives not qualifying as hedging instruments are recorded as derivative income (expense) in the statement of income. The following table discloses the before tax effect of our derivatives not qualifying as hedging instruments on the statement of income for the three and six month periods ended June 30, 2014: | |||||||||||||||||||||||||||||
Amount of Loss Recognized in Derivative Expense | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||
June 30, 2014 | June 30, 2014 | ||||||||||||||||||||||||||||
Commodity contracts: | |||||||||||||||||||||||||||||
Cash settlements | $ | — | $ | — | |||||||||||||||||||||||||
Change in fair value | (1.5 | ) | (1.5 | ) | |||||||||||||||||||||||||
Total losses on non-qualifying hedges | ($ | 1.5 | ) | ($ | 1.5 | ) | |||||||||||||||||||||||
Impact of Rights of Offset Associated with Recognized Assets and Liabilities | ' | ||||||||||||||||||||||||||||
The following presents the potential impact of the rights of offset associated with our recognized assets and liabilities at June 30, 2014 (in millions): | |||||||||||||||||||||||||||||
As Presented | Effects of | With Effects of | |||||||||||||||||||||||||||
Without | Netting | Netting | |||||||||||||||||||||||||||
Netting | |||||||||||||||||||||||||||||
Current assets: Fair value of derivative contracts | $ | — | $ | — | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 0.4 | (0.4 | ) | — | |||||||||||||||||||||||||
Current liabilities: Fair value of derivative contracts | (25.7 | ) | — | (25.7 | ) | ||||||||||||||||||||||||
Long-term liabilities: Fair value of derivative contracts | (5.3 | ) | 0.4 | (4.9 | ) |
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Long-Term Debt | ' | ||||||||
Long-term debt consisted of the following at: | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(In millions) | |||||||||
1 3⁄4% Senior Convertible Notes due 2017 | $ | 258.9 | $ | 252.1 | |||||
7 1⁄2% Senior Notes due 2022 | 775 | 775 | |||||||
Bank debt | — | — | |||||||
Total long-term debt | $ | 1,033.90 | $ | 1,027.10 | |||||
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||
Changes in Asset Retirement Obligations | ' | ||||
The change in our asset retirement obligations during the six months ended June 30, 2014 is set forth below: | |||||
Six Months | |||||
Ended | |||||
June 30, 2014 | |||||
(In millions) | |||||
Asset retirement obligations as of the beginning of the period, including current portion | $ | 502.5 | |||
Liabilities incurred | 25.7 | ||||
Liabilities settled | (24.9 | ) | |||
Divestment of properties | (10.4 | ) | |||
Accretion expense | 15.3 | ||||
Asset retirement obligations as of the end of the period, including current portion | $ | 508.2 | |||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Schedule of Assets And Liabilities Measured at Fair Value Recurring Basis | ' | ||||||||||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at June 30, 2014: | |||||||||||||||||
Fair Value Measurements at June 30, 2014 | |||||||||||||||||
Assets | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(In millions) | |||||||||||||||||
Marketable securities (Other Assets) | $ | 8.7 | $ | 8.7 | $ | — | $ | — | |||||||||
Derivative contracts | 0.4 | — | 0.4 | — | |||||||||||||
Total | $ | 9.1 | $ | 8.7 | $ | 0.4 | $ | — | |||||||||
Fair Value Measurements at June 30, 2014 | |||||||||||||||||
Liabilities | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Liabilities | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
(In millions) | |||||||||||||||||
Derivative contracts | $ | 31 | $ | — | $ | 31 | $ | — | |||||||||
Total | $ | 31 | $ | — | $ | 31 | $ | — | |||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at December 31, 2013: | |||||||||||||||||
Fair Value Measurements at December 31, 2013 | |||||||||||||||||
Assets | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical Assets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(In millions) | |||||||||||||||||
Marketable securities (Other Assets) | $ | 8.2 | $ | 8.2 | $ | — | $ | — | |||||||||
Derivative contracts | 5.9 | — | 5.9 | — | |||||||||||||
Total | $ | 14.1 | $ | 8.2 | $ | 5.9 | $ | — | |||||||||
Fair Value Measurements at December 31, 2013 | |||||||||||||||||
Liabilities | Total | Quoted Prices | Significant | Significant | |||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Liabilities | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
(In millions) | |||||||||||||||||
Derivative contracts | $ | 8.3 | $ | — | $ | 8.3 | $ | — | |||||||||
Total | $ | 8.3 | $ | — | $ | 8.3 | $ | — | |||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Schedule of Changes In Accumulated Other Comprehensive Income Loss | ' | ||||||||||||
Changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2014 were as follows (in millions): | |||||||||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Three Months Ended June 30, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 8 | ) | ($ | 1.2 | ) | ($ | 9.2 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (26.0 | ) | — | (26.0 | ) | ||||||||
Foreign currency translations | — | 0.8 | 0.8 | ||||||||||
Income tax effect | 9.4 | — | 9.4 | ||||||||||
Net of tax | (16.6 | ) | 0.8 | (15.8 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (9.2 | ) | — | (9.2 | ) | ||||||||
Derivative expense, net | (1.5 | ) | — | (1.5 | ) | ||||||||
Income tax effect | 3.9 | — | 3.9 | ||||||||||
Net of tax | (6.8 | ) | — | (6.8 | ) | ||||||||
Other comprehensive income (loss), net of tax | (9.8 | ) | 0.8 | (9.0 | ) | ||||||||
Ending balance, net of tax | ($ | 17.8 | ) | ($ | 0.4 | ) | ($ | 18.2 | ) | ||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Six Months Ended June 30, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 1.4 | ) | ($ | 0.7 | ) | ($ | 2.1 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (43.4 | ) | — | (43.4 | ) | ||||||||
Foreign currency translations | — | 0.3 | 0.3 | ||||||||||
Income tax effect | 15.7 | — | 15.7 | ||||||||||
Net of tax | (27.7 | ) | 0.3 | (27.4 | ) | ||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (16.3 | ) | — | (16.3 | ) | ||||||||
Derivative expense, net | (1.5 | ) | — | (1.5 | ) | ||||||||
Income tax effect | 6.5 | — | 6.5 | ||||||||||
Net of tax | (11.3 | ) | — | (11.3 | ) | ||||||||
Other comprehensive income (loss), net of tax | (16.4 | ) | 0.3 | (16.1 | ) | ||||||||
Ending balance, net of tax | ($ | 17.8 | ) | ($ | 0.4 | ) | ($ | 18.2 | ) | ||||
Changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2013, were as follows (in millions): | |||||||||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Three Months Ended June 30, 2013 | |||||||||||||
Beginning balance, net of tax | $ | 10.5 | $ | — | $ | 10.5 | |||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 30 | — | 30 | ||||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | (10.8 | ) | — | (10.8 | ) | ||||||||
Net of tax | 19.2 | (0.5 | ) | 18.7 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 7.3 | — | 7.3 | ||||||||||
Income tax effect | (2.6 | ) | — | (2.6 | ) | ||||||||
Net of tax | 4.7 | — | 4.7 | ||||||||||
Other comprehensive income (loss), net of tax | 14.5 | (0.5 | ) | 14 | |||||||||
Ending balance, net of tax | $ | 25 | ($ | 0.5 | ) | $ | 24.5 | ||||||
Cash Flow | Foreign | Total | |||||||||||
Hedges | Currency | ||||||||||||
Items | |||||||||||||
For the Six Months Ended June 30, 2013 | |||||||||||||
Beginning balance, net of tax | $ | 28.8 | $ | — | $ | 28.8 | |||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 9.9 | — | 9.9 | ||||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | (3.5 | ) | — | (3.5 | ) | ||||||||
Net of tax | 6.4 | (0.5 | ) | 5.9 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 15.9 | — | 15.9 | ||||||||||
Income tax effect | (5.7 | ) | — | (5.7 | ) | ||||||||
Net of tax | 10.2 | — | 10.2 | ||||||||||
Other comprehensive loss, net of tax | (3.8 | ) | (0.5 | ) | (4.3 | ) | |||||||
Ending balance, net of tax | $ | 25 | ($ | 0.5 | ) | $ | 24.5 | ||||||
Guarantor_Financial_Statements1
Guarantor Financial Statements (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||||||
Condensed Consolidating Balance Sheet | ' | ||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
30-Jun-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 244,254 | $ | 89,388 | $ | 244 | $ | — | $ | 333,886 | |||||||||||
Accounts receivable | 153,316 | 80,436 | — | (36,257 | ) | 197,495 | |||||||||||||||
Current income tax receivable | 7,372 | — | — | — | 7,372 | ||||||||||||||||
Deferred taxes * | 1,565 | 34,743 | — | — | 36,308 | ||||||||||||||||
Inventory | 3,440 | 283 | — | — | 3,723 | ||||||||||||||||
Other current assets | 1,955 | — | — | — | 1,955 | ||||||||||||||||
Total current assets | 411,902 | 204,850 | 244 | (36,257 | ) | 580,739 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,475,522 | 7,044,673 | — | — | 8,520,195 | ||||||||||||||||
Less: accumulated DD&A | (527,605 | ) | (5,617,210 | ) | — | — | (6,144,815 | ) | |||||||||||||
Net proved oil and gas properties | 947,917 | 1,427,463 | — | — | 2,375,380 | ||||||||||||||||
Unevaluated | 302,396 | 237,146 | 14,659 | — | 554,201 | ||||||||||||||||
Other property and equipment, net | 28,302 | — | — | — | 28,302 | ||||||||||||||||
Fair value of derivative contracts | — | 415 | — | — | 415 | ||||||||||||||||
Other assets, net | 30,734 | 1,880 | 10,401 | — | 43,015 | ||||||||||||||||
Investment in subsidiary | 798,664 | — | 25,156 | (823,820 | ) | — | |||||||||||||||
Total assets | $ | 2,519,915 | $ | 1,871,754 | $ | 50,460 | ($ | 860,077 | ) | $ | 3,582,052 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 93,251 | $ | 125,177 | $ | 11,729 | ($ | 36,257 | ) | $ | 193,900 | ||||||||||
Undistributed oil and gas proceeds | 60,724 | 2,203 | — | — | 62,927 | ||||||||||||||||
Accrued interest | 9,025 | — | — | — | 9,025 | ||||||||||||||||
Fair value of derivative contracts | — | 25,711 | — | — | 25,711 | ||||||||||||||||
Asset retirement obligations | — | 77,132 | — | — | 77,132 | ||||||||||||||||
Other current liabilities | 76,461 | 3,078 | — | — | 79,539 | ||||||||||||||||
Total current liabilities | 239,461 | 233,301 | 11,729 | (36,257 | ) | 448,234 | |||||||||||||||
Long-term debt | 1,033,931 | — | — | — | 1,033,931 | ||||||||||||||||
Deferred taxes * | (16,629 | ) | 420,817 | — | — | 404,188 | |||||||||||||||
Asset retirement obligations | 3,764 | 427,296 | — | — | 431,060 | ||||||||||||||||
Fair value of derivative contracts | — | 5,251 | — | — | 5,251 | ||||||||||||||||
Other long-term liabilities | 47,843 | — | — | — | 47,843 | ||||||||||||||||
Total liabilities | 1,308,370 | 1,086,665 | 11,729 | (36,257 | ) | 2,370,507 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 549 | — | — | — | 549 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,624,795 | 1,309,562 | 39,580 | (1,349,142 | ) | 1,624,795 | |||||||||||||||
Accumulated deficit | (394,778 | ) | (506,723 | ) | (28 | ) | 506,751 | (394,778 | ) | ||||||||||||
Accumulated other comprehensive loss | (18,161 | ) | (17,750 | ) | (821 | ) | 18,571 | (18,161 | ) | ||||||||||||
Total stockholders’ equity | 1,211,545 | 785,089 | 38,731 | (823,820 | ) | 1,211,545 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,519,915 | $ | 1,871,754 | $ | 50,460 | ($ | 860,077 | ) | $ | 3,582,052 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 246,294 | $ | 84,290 | $ | 640 | $ | — | $ | 331,224 | |||||||||||
Accounts receivable | 74,887 | 97,128 | — | (44 | ) | 171,971 | |||||||||||||||
Fair value of derivative contracts | — | 4,549 | — | — | 4,549 | ||||||||||||||||
Current income tax receivable | 7,366 | — | — | — | 7,366 | ||||||||||||||||
Deferred taxes * | 8,659 | 23,051 | — | — | 31,710 | ||||||||||||||||
Inventory | 3,440 | 283 | — | — | 3,723 | ||||||||||||||||
Other current assets | 1,874 | — | — | — | 1,874 | ||||||||||||||||
Total current assets | 342,520 | 209,301 | 640 | (44 | ) | 552,417 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,309,527 | 6,494,590 | — | — | 7,804,117 | ||||||||||||||||
Less: accumulated DD&A | (459,932 | ) | (5,448,828 | ) | — | — | (5,908,760 | ) | |||||||||||||
Net proved oil and gas properties | 849,595 | 1,045,762 | — | — | 1,895,357 | ||||||||||||||||
Unevaluated | 325,113 | 388,643 | 10,583 | — | 724,339 | ||||||||||||||||
Other property and equipment, net | 26,178 | — | — | — | 26,178 | ||||||||||||||||
Fair value of derivative contracts | — | 1,378 | — | — | 1,378 | ||||||||||||||||
Other assets, net | 45,410 | 1,349 | 2,128 | — | 48,887 | ||||||||||||||||
Investment in subsidiary | 747,472 | — | 12,711 | (760,183 | ) | — | |||||||||||||||
Total assets | $ | 2,336,288 | $ | 1,646,433 | $ | 26,062 | ($ | 760,227 | ) | $ | 3,248,556 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 173,147 | $ | 22,530 | $ | 44 | ($ | 44 | ) | $ | 195,677 | ||||||||||
Undistributed oil and gas proceeds | 34,386 | 2,643 | — | — | 37,029 | ||||||||||||||||
Accrued interest | 9,022 | — | — | — | 9,022 | ||||||||||||||||
Fair value of derivative contracts | — | 7,753 | — | — | 7,753 | ||||||||||||||||
Asset retirement obligations | — | 67,161 | — | — | 67,161 | ||||||||||||||||
Other current liabilities | 53,682 | 838 | — | — | 54,520 | ||||||||||||||||
Total current liabilities | 270,237 | 100,925 | 44 | (44 | ) | 371,162 | |||||||||||||||
Long-term debt | 1,027,084 | — | — | — | 1,027,084 | ||||||||||||||||
Deferred taxes * | 10,227 | 380,466 | — | — | 390,693 | ||||||||||||||||
Asset retirement obligations | 4,945 | 430,407 | — | — | 435,352 | ||||||||||||||||
Fair value of derivative contracts | — | 470 | — | — | 470 | ||||||||||||||||
Other long-term liabilities | 53,509 | — | — | — | 53,509 | ||||||||||||||||
Total liabilities | 1,366,002 | 912,268 | 44 | (44 | ) | 2,278,270 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 488 | — | — | — | 488 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,397,885 | 1,309,563 | 27,403 | (1,336,966 | ) | 1,397,885 | |||||||||||||||
Accumulated deficit | (425,165 | ) | (574,003 | ) | (52 | ) | 574,055 | (425,165 | ) | ||||||||||||
Accumulated other comprehensive loss | (2,062 | ) | (1,395 | ) | (1,333 | ) | 2,728 | (2,062 | ) | ||||||||||||
Total stockholders’ equity | 970,286 | 734,165 | 26,018 | (760,183 | ) | 970,286 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,336,288 | $ | 1,646,433 | $ | 26,062 | ($ | 760,227 | ) | $ | 3,248,556 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
Condensed Consolidating Statement of Income | ' | ||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
THREE MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 5,854 | $ | 136,539 | $ | — | $ | — | $ | 142,393 | |||||||||||
Gas production | 20,800 | 25,867 | — | — | 46,667 | ||||||||||||||||
Natural gas liquids production | 10,219 | 5,717 | — | — | 15,936 | ||||||||||||||||
Other operational income | 1,880 | 170 | — | — | 2,050 | ||||||||||||||||
Total operating revenue | 38,753 | 168,293 | — | — | 207,046 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 5,046 | 44,408 | — | — | 49,454 | ||||||||||||||||
Transportation, processing and gathering expenses | 10,456 | 3,642 | — | — | 14,098 | ||||||||||||||||
Production taxes | 1,903 | 1,354 | — | — | 3,257 | ||||||||||||||||
Depreciation, depletion, amortization | 30,385 | 62,450 | — | — | 92,835 | ||||||||||||||||
Accretion expense | 61 | 7,672 | — | — | 7,733 | ||||||||||||||||
Salaries, general and administrative | 16,639 | — | (2 | ) | — | 16,637 | |||||||||||||||
Incentive compensation expense | 3,903 | — | — | — | 3,903 | ||||||||||||||||
Derivative expense, net | — | 2,516 | — | — | 2,516 | ||||||||||||||||
Total operating expenses | 68,393 | 122,042 | (2 | ) | — | 190,433 | |||||||||||||||
Income (loss) from operations | (29,640 | ) | 46,251 | 2 | — | 16,613 | |||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 9,880 | 33 | — | — | 9,913 | ||||||||||||||||
Interest income | (146 | ) | (41 | ) | (6 | ) | — | (193 | ) | ||||||||||||
Other income | (192 | ) | (530 | ) | — | — | (722 | ) | |||||||||||||
Other expense | 179 | — | — | — | 179 | ||||||||||||||||
Income from investment in subsidiaries | (29,947 | ) | — | (8 | ) | 29,955 | — | ||||||||||||||
Total other (income) expenses | (20,226 | ) | (538 | ) | (14 | ) | 29,955 | 9,177 | |||||||||||||
Income (loss) before taxes | (9,414 | ) | 46,789 | 16 | (29,955 | ) | 7,436 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | — | — | — | — | — | ||||||||||||||||
Deferred | (13,858 | ) | 16,850 | — | — | 2,992 | |||||||||||||||
Total income taxes | (13,858 | ) | 16,850 | — | — | 2,992 | |||||||||||||||
Net income | $ | 4,444 | $ | 29,939 | $ | 16 | ($ | 29,955 | ) | $ | 4,444 | ||||||||||
Comprehensive income (loss) | ($ | 4,566 | ) | $ | 29,939 | $ | 16 | ($ | 29,955 | ) | ($ | 4,566 | ) | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
THREE MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 8,378 | $ | 176,120 | $ | — | $ | — | $ | 184,498 | |||||||||||
Gas production | 20,071 | 27,761 | — | — | 47,832 | ||||||||||||||||
Natural gas liquids production | 6,378 | 4,822 | — | — | 11,200 | ||||||||||||||||
Other operational income | 790 | 189 | — | — | 979 | ||||||||||||||||
Derivate income, net | — | 1,368 | — | — | 1,368 | ||||||||||||||||
Total operating revenue | 35,617 | 210,260 | — | — | 245,877 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 3,425 | 47,092 | — | — | 50,517 | ||||||||||||||||
Transportation, processing and gathering expenses | 5,729 | 3,167 | — | — | 8,896 | ||||||||||||||||
Production taxes | 1,320 | 2,771 | — | — | 4,091 | ||||||||||||||||
Depreciation, depletion, amortization | 25,088 | 62,121 | — | — | 87,209 | ||||||||||||||||
Accretion expense | 93 | 8,225 | — | — | 8,318 | ||||||||||||||||
Salaries, general and administrative | 15,150 | — | 48 | — | 15,198 | ||||||||||||||||
Incentive compensation expense | 2,050 | — | — | — | 2,050 | ||||||||||||||||
Other operational expenses | 51 | 22 | — | 73 | |||||||||||||||||
Total operating expenses | 52,906 | 123,398 | 48 | — | 176,352 | ||||||||||||||||
Income (loss) from operations | (17,289 | ) | 86,862 | (48 | ) | — | 69,525 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 8,882 | 13 | — | — | 8,895 | ||||||||||||||||
Interest income | (70 | ) | (38 | ) | (7 | ) | — | (115 | ) | ||||||||||||
Other income | (217 | ) | (465 | ) | — | — | (682 | ) | |||||||||||||
(Income) loss from investment in subsidiaries | (55,893 | ) | — | 39 | 55,854 | — | |||||||||||||||
Total other (income) expenses | (47,298 | ) | (490 | ) | 32 | 55,854 | 8,098 | ||||||||||||||
Income (loss) before taxes | 30,009 | 87,352 | (80 | ) | (55,854 | ) | 61,427 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | (6,993 | ) | — | — | — | (6,993 | ) | ||||||||||||||
Deferred | (2,020 | ) | 31,418 | — | — | 29,398 | |||||||||||||||
Total income taxes | (9,013 | ) | 31,418 | — | — | 22,405 | |||||||||||||||
Net income (loss) | $ | 39,022 | $ | 55,934 | ($ | 80 | ) | ($ | 55,854 | ) | $ | 39,022 | |||||||||
Comprehensive income (loss) | $ | 53,060 | $ | 55,934 | ($ | 80 | ) | ($ | 55,854 | ) | $ | 53,060 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 12,490 | $ | 268,192 | $ | — | $ | — | $ | 280,682 | |||||||||||
Gas production | 49,639 | 53,390 | — | — | 103,029 | ||||||||||||||||
Natural gas liquids production | 28,473 | 15,433 | — | — | 43,906 | ||||||||||||||||
Other operational income | 2,704 | 343 | — | — | 3,047 | ||||||||||||||||
Total operating revenue | 93,306 | 337,358 | — | — | 430,664 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 9,059 | 87,298 | — | — | 96,357 | ||||||||||||||||
Transportation, processing and gathering expenses | 20,773 | 7,951 | — | — | 28,724 | ||||||||||||||||
Production taxes | 3,584 | 2,735 | — | — | 6,319 | ||||||||||||||||
Depreciation, depletion, amortization | 58,440 | 117,041 | — | — | 175,481 | ||||||||||||||||
Accretion expense | 129 | 15,159 | — | — | 15,288 | ||||||||||||||||
Salaries, general and administrative | 32,964 | 2 | — | — | 32,966 | ||||||||||||||||
Incentive compensation expense | 7,037 | — | — | — | 7,037 | ||||||||||||||||
Other operational expenses | 176 | 36 | — | — | 212 | ||||||||||||||||
Derivative expense, net | — | 3,115 | — | — | 3,115 | ||||||||||||||||
Total operating expenses | 132,162 | 233,337 | — | — | 365,499 | ||||||||||||||||
Income (loss) from operations | (38,856 | ) | 104,021 | — | — | 65,165 | |||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 18,233 | 37 | — | — | 18,270 | ||||||||||||||||
Interest income | (225 | ) | (99 | ) | (12 | ) | — | (336 | ) | ||||||||||||
Other income | (373 | ) | (1,056 | ) | — | — | (1,429 | ) | |||||||||||||
Other expense | 179 | — | — | — | 179 | ||||||||||||||||
Income from investment in subsidiaries | (67,292 | ) | — | (12 | ) | 67,304 | — | ||||||||||||||
Total other (income) expenses | (49,478 | ) | (1,118 | ) | (24 | ) | 67,304 | 16,684 | |||||||||||||
Income before taxes | 10,622 | 105,139 | 24 | (67,304 | ) | 48,481 | |||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | — | — | — | — | — | ||||||||||||||||
Deferred | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Total income taxes | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Net income | $ | 30,387 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 30,387 | ||||||||||
Comprehensive income | $ | 14,288 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 14,288 | ||||||||||
CONDENSED CONSOLIDATING STATEMENT OF INCOME | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 13,721 | $ | 357,702 | $ | — | $ | — | $ | 371,423 | |||||||||||
Gas production | 27,269 | 57,385 | — | — | 84,654 | ||||||||||||||||
Natural gas liquids production | 8,677 | 11,701 | — | — | 20,378 | ||||||||||||||||
Other operational income | 1,439 | 347 | — | — | 1,786 | ||||||||||||||||
Derivate income, net | — | 147 | — | — | 147 | ||||||||||||||||
Total operating revenue | 51,106 | 427,282 | — | — | 478,388 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 5,716 | 97,845 | — | — | 103,561 | ||||||||||||||||
Transportation, processing and gathering expenses | 7,781 | 6,512 | — | — | 14,293 | ||||||||||||||||
Production taxes | 2,187 | 3,993 | — | — | 6,180 | ||||||||||||||||
Depreciation, depletion, amortization | 35,279 | 127,365 | — | — | 162,644 | ||||||||||||||||
Accretion expense | 186 | 16,395 | — | — | 16,581 | ||||||||||||||||
Salaries, general and administrative | 29,098 | 4 | 48 | — | 29,150 | ||||||||||||||||
Incentive compensation expense | 3,481 | — | — | — | 3,481 | ||||||||||||||||
Other operational expenses | 101 | 44 | — | 145 | |||||||||||||||||
Total operating expenses | 83,829 | 252,158 | 48 | — | 336,035 | ||||||||||||||||
Income (loss) from operations | (32,723 | ) | 175,124 | (48 | ) | — | 142,353 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 18,509 | 21 | — | — | 18,530 | ||||||||||||||||
Interest income | (150 | ) | (75 | ) | (7 | ) | — | (232 | ) | ||||||||||||
Other income | (441 | ) | (967 | ) | — | — | (1,408 | ) | |||||||||||||
(Income) loss from investment in subsidiaries | (112,721 | ) | — | 39 | 112,682 | — | |||||||||||||||
Total other (income) expenses | (94,803 | ) | (1,021 | ) | 32 | 112,682 | 16,890 | ||||||||||||||
Income (loss) before taxes | 62,080 | 176,145 | (80 | ) | (112,682 | ) | 125,463 | ||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Current | (10,739 | ) | — | — | — | (10,739 | ) | ||||||||||||||
Deferred | (6,961 | ) | 63,383 | — | — | 56,422 | |||||||||||||||
Total income taxes | (17,700 | ) | 63,383 | — | — | 45,683 | |||||||||||||||
Net income (loss) | $ | 79,780 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 79,780 | |||||||||
Comprehensive income (loss) | $ | 75,477 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 75,477 | |||||||||
Condensed Consolidating Statement of Cash Flows | ' | ||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income | $ | 30,387 | $ | 67,280 | $ | 24 | ($ | 67,304 | ) | $ | 30,387 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 58,440 | 117,041 | — | — | 175,481 | ||||||||||||||||
Accretion expense | 129 | 15,159 | — | — | 15,288 | ||||||||||||||||
Deferred income tax provision (benefit) | (19,765 | ) | 37,859 | — | — | 18,094 | |||||||||||||||
Settlement of asset retirement obligations | (82 | ) | (24,833 | ) | — | — | (24,915 | ) | |||||||||||||
Non-cash stock compensation expense | 5,358 | — | — | — | 5,358 | ||||||||||||||||
Non-cash derivative expense | — | 2,697 | — | — | 2,697 | ||||||||||||||||
Non-cash interest expense | 8,229 | — | — | — | 8,229 | ||||||||||||||||
Change in current income taxes | (6 | ) | — | — | — | (6 | ) | ||||||||||||||
Non-cash income from investment in subsidiaries | (67,292 | ) | — | (12 | ) | 67,304 | — | ||||||||||||||
Change in intercompany receivables/payables | (126,526 | ) | 114,841 | 11,685 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (42,216 | ) | 16,692 | — | — | (25,524 | ) | ||||||||||||||
Increase in other current assets | (82 | ) | — | — | — | (82 | ) | ||||||||||||||
Increase (decrease) in accounts payable | 2,052 | (209 | ) | — | — | 1,843 | |||||||||||||||
Increase in other current liabilities | 48,987 | 1,798 | — | — | 50,785 | ||||||||||||||||
Other | 381 | (1,056 | ) | — | — | (675 | ) | ||||||||||||||
Net cash (used in) provided by operating activities | (102,006 | ) | 347,269 | 11,697 | — | 256,960 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (121,836 | ) | (384,349 | ) | (11,719 | ) | — | (517,904 | ) | ||||||||||||
Proceeds from sale of oil and gas properties, net of expenses | 9,777 | 42,178 | — | — | 51,955 | ||||||||||||||||
Investment in fixed and other assets | (3,896 | ) | — | — | — | (3,896 | ) | ||||||||||||||
Change in restricted funds | — | — | (356 | ) | — | (356 | ) | ||||||||||||||
Investment in subsidiaries | — | — | (12,176 | ) | 12,176 | — | |||||||||||||||
Net cash used in investing activities | (115,955 | ) | (342,171 | ) | (24,251 | ) | 12,176 | (470,201 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Net proceeds from issuance of common stock | 226,036 | — | — | — | 226,036 | ||||||||||||||||
Deferred financing costs | (3,167 | ) | — | — | — | (3,167 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 12,176 | (12,176 | ) | — | |||||||||||||||
Net payments for share-based compensation | (6,948 | ) | — | — | — | (6,948 | ) | ||||||||||||||
Net cash provided by financing activities | 215,921 | — | 12,176 | (12,176 | ) | 215,921 | |||||||||||||||
Effect of exchange rate changes on cash | — | — | (18 | ) | — | (18 | ) | ||||||||||||||
Net change in cash and cash equivalents | (2,040 | ) | 5,098 | (396 | ) | — | 2,662 | ||||||||||||||
Cash and cash equivalents, beginning of period | 246,294 | 84,290 | 640 | — | 331,224 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 244,254 | $ | 89,388 | $ | 244 | $ | — | $ | 333,886 | |||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
SIX MONTHS ENDED JUNE 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income (loss) | $ | 79,780 | $ | 112,762 | ($ | 80 | ) | ($ | 112,682 | ) | $ | 79,780 | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 35,279 | 127,365 | — | — | 162,644 | ||||||||||||||||
Accretion expense | 186 | 16,395 | — | — | 16,581 | ||||||||||||||||
Deferred income tax provision (benefit) | (6,961 | ) | 63,383 | — | — | 56,422 | |||||||||||||||
Settlement of asset retirement obligations | — | (37,335 | ) | — | — | (37,335 | ) | ||||||||||||||
Non-cash stock compensation expense | 4,866 | — | — | — | 4,866 | ||||||||||||||||
Excess tax benefits | (104 | ) | — | — | — | (104 | ) | ||||||||||||||
Non-cash derivative expense | — | 311 | — | — | 311 | ||||||||||||||||
Non-cash interest expense | 8,181 | — | — | — | 8,181 | ||||||||||||||||
Non-cash income (loss) from investment in subsidiaries | (112,722 | ) | — | 40 | 112,682 | — | |||||||||||||||
Change in current income taxes | (16,399 | ) | — | — | — | (16,399 | ) | ||||||||||||||
Change in intercompany receivables/payables | 170,815 | (170,859 | ) | 44 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (17,365 | ) | 18,503 | — | — | 1,138 | |||||||||||||||
Increase in other current assets | (245 | ) | — | — | — | (245 | ) | ||||||||||||||
Decrease in inventory | 158 | — | — | — | 158 | ||||||||||||||||
Increase in accounts payable | 4,507 | 2,086 | — | — | 6,593 | ||||||||||||||||
Increase (decrease) in other current liabilities | (5,258 | ) | 2,088 | — | — | (3,170 | ) | ||||||||||||||
Other | (2,482 | ) | (966 | ) | — | — | (3,448 | ) | |||||||||||||
Net cash provided by operating activities | 142,236 | 133,733 | 4 | — | 275,973 | ||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (176,896 | ) | (133,659 | ) | (9,663 | ) | — | (320,218 | ) | ||||||||||||
Investment in fixed and other assets | (1,711 | ) | — | — | — | (1,711 | ) | ||||||||||||||
Change in restricted funds | — | — | (3,515 | ) | — | (3,515 | ) | ||||||||||||||
Investment in subsidiaries | (14,000 | ) | — | (13,404 | ) | 27,404 | — | ||||||||||||||
Net cash used in investing activities | (192,607 | ) | (133,659 | ) | (26,582 | ) | 27,404 | (325,444 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Deferred financing costs | (11 | ) | — | — | — | (11 | ) | ||||||||||||||
Excess tax benefits | 104 | — | — | — | 104 | ||||||||||||||||
Equity proceeds from parent | — | — | 27,404 | (27,404 | ) | — | |||||||||||||||
Net payments for share based compensation | (3,590 | ) | — | — | — | (3,590 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (3,497 | ) | — | 27,404 | (27,404 | ) | (3,497 | ) | |||||||||||||
Effect of exchange rate on cash | — | — | (186 | ) | — | (186 | ) | ||||||||||||||
Net change in cash and cash equivalents | (53,868 | ) | 74 | 640 | — | (53,154 | ) | ||||||||||||||
Cash and cash equivalents, beginning of period | 228,398 | 51,128 | — | — | 279,526 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 174,530 | $ | 51,202 | $ | 640 | $ | — | $ | 226,372 | |||||||||||
Earnings_Per_Share_Calculation
Earnings Per Share - Calculation of Basic and Diluted Weighted Average Shares Outstanding and Earnings Per Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Basic: | ' | ' | ' | ' |
Net income | $4,444 | $39,022 | $30,387 | $79,780 |
Net income attributable to participating securities | -111 | -1,015 | -698 | -1,794 |
Net income attributable to common stock - basic | 4,333 | 38,007 | 29,689 | 77,986 |
Diluted: | ' | ' | ' | ' |
Net income | 4,444 | 39,022 | 30,387 | 79,780 |
Net income attributable to participating securities | -111 | -1,015 | -697 | -1,793 |
Net income attributable to common stock - diluted | $4,333 | $38,007 | $29,690 | $77,987 |
Weighted average shares (denominator): | ' | ' | ' | ' |
Weighted average shares - basic | 52,050 | 48,687 | 50,540 | 48,653 |
Dilutive effect of stock options | 58 | 38 | 54 | 38 |
Dilutive effect of convertible notes | 265 | ' | 133 | ' |
Weighted average shares - diluted | 52,373 | 48,725 | 50,727 | 48,691 |
Basic earnings per share | $0.08 | $0.78 | $0.59 | $1.60 |
Diluted earnings per share | $0.08 | $0.78 | $0.59 | $1.60 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | 1 Months Ended | |||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | 31-May-14 | |
1.75% Senior Convertible Notes due 2017 [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | IPO [Member] | |||||
Weighted Average Shares Used In Computing Earnings Per Share [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Antidilutive stock options outstanding | 120,000 | 333,000 | 131,000 | 333,000 | ' | ' | ' | ' |
Shares of common stock issued upon vesting of restricted stock | 40,000 | 45,000 | 372,000 | 336,000 | ' | ' | ' | ' |
Common stock issued | ' | ' | ' | ' | ' | ' | ' | 5,750,000 |
Interest rate | ' | ' | ' | ' | 1.75% | 1.75% | 1.75% | ' |
Common_Stock_Offering_Addition
Common Stock Offering - Additional Information (Detail) (USD $) | 6 Months Ended | 1 Months Ended |
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | 31-May-14 |
IPO [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ' | ' |
Common stock issued | ' | 5,750,000 |
Price of common stock | ' | $41 |
Net proceeds of stock after deducting underwriting discount | $226,036 | $226,036 |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities - Additional Information (Detail) (USD $) | 6 Months Ended | 3 Months Ended | 5 Months Ended | 12 Months Ended | |||||||||||
Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2015 | |
Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Cash Flow Hedges [Member] | Accumulated other comprehensive loss [Member] | Scenario, Forecast [Member] | Scenario, Forecast [Member] | |||||||
Natural Gas [Member] | Natural Gas [Member] | ||||||||||||||
Contract | Contract | ||||||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum correlation between price of oil & natural gas in market and underlying price basis indicative in the derivative contract | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Contracts no longer qualifying as cash flow hedges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | 2,000,000 |
Derivative expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,500,000 | ' | ' |
Accumulated other comprehensive loss | -18,161,000 | -9,200,000 | -2,062,000 | 24,500,000 | 10,500,000 | 28,800,000 | -17,800,000 | -8,000,000 | -1,400,000 | 25,000,000 | 10,500,000 | 28,800,000 | ' | ' | ' |
Accumulated other comprehensive loss, to be reclassified into earnings in the next twelve months | $14,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities - Hedging Positions (Detail) | Jun. 30, 2014 |
MBbls | |
Oil [Member] | 2014 Hedging Position One [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 90.06 |
Oil [Member] | 2014 Hedging Position Two [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 90.25 |
Oil [Member] | 2014 Hedging Position Three [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 92.25 |
Oil [Member] | 2014 Hedging Position Four [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 93.55 |
Oil [Member] | 2014 Hedging Position Five [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 94 |
Oil [Member] | 2014 Hedging Position Six [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 98 |
Oil [Member] | 2014 Hedging Position Seven [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 98.3 |
Oil [Member] | 2014 Hedging Position Eight [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 2,000 |
Swap Price | 98.85 |
Oil [Member] | 2014 Hedging Position Nine [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 99.65 |
Oil [Member] | 2014 Hedging Position Ten [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 103.3 |
Oil [Member] | 2015 Hedging Position One [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 89 |
Oil [Member] | 2015 Hedging Position Two [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 90 |
Oil [Member] | 2015 Hedging Position Three [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 90.25 |
Oil [Member] | 2015 Hedging Position Four [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 90.4 |
Oil [Member] | 2015 Hedging Position Five [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 93.28 |
Oil [Member] | 2015 Hedging Position Six [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 93.37 |
Oil [Member] | Two Thousand Fifteen Hedging Position Seven [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 94.85 |
Oil [Member] | Two Thousand Fifteen Hedging Position Eight [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 1,000 |
Swap Price | 95 |
Natural Gas [Member] | 2014 Hedging Position One [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4 |
Natural Gas [Member] | 2014 Hedging Position Two [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.04 |
Natural Gas [Member] | 2014 Hedging Position Three [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.105 |
Natural Gas [Member] | 2014 Hedging Position Four [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.19 |
Natural Gas [Member] | 2014 Hedging Position Five [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.25 |
Natural Gas [Member] | 2014 Hedging Position Six [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.25 |
Natural Gas [Member] | 2014 Hedging Position Seven [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.35 |
Natural Gas [Member] | 2015 Hedging Position One [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.005 |
Natural Gas [Member] | 2015 Hedging Position Two [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.12 |
Natural Gas [Member] | 2015 Hedging Position Three [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.15 |
Natural Gas [Member] | 2015 Hedging Position Four [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.165 |
Natural Gas [Member] | 2015 Hedging Position Five [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.22 |
Natural Gas [Member] | 2015 Hedging Position Six [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.255 |
Natural Gas [Member] | 2016 Hedging Position One [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.11 |
Natural Gas [Member] | 2016 Hedging Position Two [Member] | ' |
Derivatives, Fair Value [Line Items] | ' |
Daily Volume | 10,000 |
Swap Price | 4.12 |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities - Location and Fair Value Amounts of Derivative Instruments Reported in Balance Sheet (Detail) (Commodity Contracts [Member], USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Asset Derivatives | ' | ' |
Fair Value of Derivative Instruments, Assets | $0.40 | $5.90 |
Liability Derivatives | ' | ' |
Fair Value of Derivative Instruments, Liabilities | 29.5 | 8.3 |
Current Asset [Member] | ' | ' |
Asset Derivatives | ' | ' |
Fair Value of Derivative Instruments, Assets | 0 | 4.5 |
Long-term assets [Member] | ' | ' |
Asset Derivatives | ' | ' |
Fair Value of Derivative Instruments, Assets | 0.4 | 1.4 |
Current liabilities [Member] | ' | ' |
Liability Derivatives | ' | ' |
Fair Value of Derivative Instruments, Liabilities | 24.2 | 7.8 |
Long-term liabilities [Member] | ' | ' |
Liability Derivatives | ' | ' |
Fair Value of Derivative Instruments, Liabilities | $5.30 | $0.50 |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities - Before Tax Effect of Derivative Instruments in Statement of Income (Detail) (Cash Flow Hedging [Member], USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion, Net, Total | ($26) | $30 | ($43.40) | $9.90 |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net, Total | -9.2 | 7.3 | -16.3 | 15.9 |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net, Total | -1 | 1.4 | -1.6 | 0.1 |
Commodity Contracts [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion, Net, Total | -26 | 30 | -43.4 | 9.9 |
Derivative income (expense), net [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net, Total | -1 | 1.4 | -1.6 | 0.1 |
Operating revenue - oil/gas production [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net, Total | ($9.20) | $7.30 | ($16.30) | $15.90 |
Derivative_Instruments_and_Hed6
Derivative Instruments and Hedging Activities - Before Tax Effect of Derivative Instruments in Statement of Income (Parenthetical) (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ' | ' | ' |
Decrease/increase in oil revenue owing to effective hedging contracts | $6.10 | $5.30 | $8.60 | $9.90 |
Decrease/increase in gas revenue owing to effective hedging contracts | $3.10 | $2 | $7.70 | $6 |
Derivative_Instruments_and_Hed7
Derivative Instruments and Hedging Activities - Location and Fair Value Amounts of Derivative Instruments Not Qualifying as Hedging Instruments Reported in Balance Sheet (Detail) (Commodity Contracts [Member], Current liabilities [Member], USD $) | Jun. 30, 2014 |
In Millions, unless otherwise specified | |
Commodity Contracts [Member] | Current liabilities [Member] | ' |
Liability Derivatives | ' |
Fair Value of Derivative Instruments | $1.50 |
Derivative_Instruments_and_Hed8
Derivative Instruments and Hedging Activities - Gains or Losses Related to Changes in Fair Value and Cash Settlements on Derivatives Not Qualifying as Hedging Instruments (Detail) (Commodity Contracts [Member], USD $) | 3 Months Ended | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 |
Commodity Contracts [Member] | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Cash settlements on Derivative Instruments not Qualifying Hedges | $0 | $0 |
Change in fair value on Derivative Instruments not Qualifying Hedges | -1.5 | -1.5 |
Total losses on Derivative Instruments not Qualifying Hedges | ($1.50) | ($1.50) |
Derivative_Instruments_and_Hed9
Derivative Instruments and Hedging Activities - Impact of Rights of Offset Associated with Recognized Assets and Liabilities (Detail) (USD $) | Jun. 30, 2014 |
In Millions, unless otherwise specified | |
Current Asset [Member] | ' |
Derivative Instruments And Hedging Activities [Line Items] | ' |
Fair Value of Derivative Instruments, Assets Without Netting | $0 |
Long-term assets [Member] | ' |
Derivative Instruments And Hedging Activities [Line Items] | ' |
Fair Value of Derivative Instruments, Assets With Effects of Netting | 0.4 |
Fair Value of Derivative Instruments, Assets Effect of Netting | 0.4 |
Fair Value of Derivative Instruments, Assets Without Netting | 0 |
Current liabilities [Member] | ' |
Derivative Instruments And Hedging Activities [Line Items] | ' |
Fair Value of Derivative Instruments, Liabilities With Effects of Netting | -25.7 |
Fair Value of Derivative Instruments, Liabilities Without Netting | -25.7 |
Long-term liabilities [Member] | ' |
Derivative Instruments And Hedging Activities [Line Items] | ' |
Fair Value of Derivative Instruments, Liabilities With Effects of Netting | -5.3 |
Fair Value of Derivative Instruments, Liabilities Effect of Netting | 0.4 |
Fair Value of Derivative Instruments, Liabilities Without Netting | ($4.90) |
LongTerm_Debt_LongTerm_Debt_De
Long-Term Debt - Long-Term Debt (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $1,033,931 | $1,027,084 |
1.75% Senior Convertible Notes due 2017 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 258,900 | 252,100 |
7.5% Senior Notes due 2022 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 775,000 | 775,000 |
Bank debt [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $0 | ' |
LongTerm_Debt_LongTerm_Debt_Pa
Long-Term Debt - Long-Term Debt (Parenthetical) (Detail) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 |
1.75% Senior Convertible Notes due 2017 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Interest rate | 1.75% | 1.75% | 1.75% |
7.5% Senior Notes due 2022 [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Interest rate | 7.50% | 7.50% | ' |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Aug. 05, 2014 | Jun. 30, 2014 | Jun. 24, 2014 | Aug. 05, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Mar. 06, 2012 |
Letter of Credit [Member] | Minimum [Member] | Maximum [Member] | Subsequent Event [Member] | Bank debt [Member] | Bank debt [Member] | Bank debt [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | 1.75% Senior Convertible Notes due 2017 [Member] | |||
Letter of Credit [Member] | Subsequent Event [Member] | ||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility initial date | ' | ' | ' | ' | ' | ' | 24-Jun-14 | ' | ' | ' | ' | ' | ' |
Redetermined base borrowing and credit facility | ' | ' | ' | ' | ' | ' | ' | $900,000,000 | ' | ' | ' | ' | ' |
Maturity of new credit facility if note issue under 2004 indenture are retired on or before April 15, 2014 | ' | ' | ' | ' | ' | ' | 1-Jul-19 | ' | ' | ' | ' | ' | ' |
Initial bank and availability under facility | ' | ' | ' | ' | ' | ' | 479,000,000 | 500,000,000 | 479,000,000 | ' | ' | ' | ' |
Additional borrowing from the previous base | ' | ' | ' | ' | ' | ' | ' | 400,000,000 | ' | ' | ' | ' | ' |
Outstanding borrowing under bank credit facility | ' | ' | 21,000,000 | ' | ' | 21,000,000 | 0 | ' | 0 | ' | ' | ' | ' |
Oil and gas reserve as proportion of discounted present value of future net cash flow, for mortgage | ' | ' | ' | ' | ' | ' | '80 | ' | ' | ' | ' | ' | ' |
Percentage of borrowing base utilization | ' | ' | ' | 1.50% | 2.50% | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate principal amount of Senior Subordinated Notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000,000 |
Initial conversion rate of convertible note 2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'An initial conversion rate of 23.4449 shares of our common stock per $1,000 principal amount of 2017 Convertible Notes, | ' | ' |
Initial conversion rate of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.0234449 | ' | ' |
Principal amount of 2017 convertible notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,000 | $1,000 | ' | ' |
Initial conversion price of convertible note 2017 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $42.65 | ' | ' |
Closing share price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $46.79 | ' | ' |
Payment for call option | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 70,800,000 | ' | ' |
Anti-dilution adjustments for purchases of call option | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,033,470 | ' | ' |
Strike price per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $55.91 | ' | ' |
Proceeds from sale of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,100,000 | ' | ' |
Liability component of convertible note | 1,033,931,000 | 1,027,084,000 | ' | ' | ' | ' | 0 | ' | ' | 258,900,000 | 258,900,000 | 252,100,000 | ' |
Interest expense related to amortization of discount | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,500,000 | 6,800,000 | ' | ' |
Amortization of deferred financing costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | 600,000 | ' | ' |
Interest expense related to contractual interest coupon of convertible notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,300,000 | $2,600,000 | ' | ' |
Asset_Retirement_Obligations_C
Asset Retirement Obligations - Changes in Asset Retirement Obligations (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Asset Retirement Obligation Disclosure [Abstract] | ' | ' | ' | ' |
Asset retirement obligations as of the beginning of the period, including current portion | ' | ' | $502,500,000 | ' |
Liabilities incurred | ' | ' | 25,700,000 | ' |
Liabilities settled | ' | ' | -24,900,000 | ' |
Divestment of properties | ' | ' | -10,400,000 | ' |
Accretion expense | 7,733,000 | 8,318,000 | 15,288,000 | 16,581,000 |
Asset retirement obligations as of the end of the period, including current portion | $508,200,000 | ' | $508,200,000 | ' |
Divestitures_Additional_Inform
Divestitures - Additional Information (Detail) (USD $) | 6 Months Ended | 0 Months Ended | 1 Months Ended |
Jun. 30, 2014 | Jan. 16, 2014 | Jan. 31, 2014 | |
Cut Off and Clovelly Fields [Member] | Hatch Point Field [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' |
Sale of interest cash consideration | $51,955,000 | $44,800,000 | $9,700,000 |
Estimates asset retirement obligations | ' | 9,200,000 | 1,200,000 |
Gain or loss recognized from the sale of interest | ' | ' | $0 |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Marketable securities (Other Assets) | $8.70 | $8.20 |
Assets, Fair Value, Total | 9.1 | 14.1 |
Liabilities, Fair Value, Total | 31 | 8.3 |
Derivative contracts [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative Assets, Fair Value | 0.4 | 5.9 |
Derivative Liabilities, Fair Value | 31 | 8.3 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Marketable securities (Other Assets) | 8.7 | 8.2 |
Assets, Fair Value, Total | 8.7 | 8.2 |
Liabilities, Fair Value, Total | 0 | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Derivative contracts [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative Assets, Fair Value | 0 | ' |
Derivative Liabilities, Fair Value | 0 | ' |
Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Marketable securities (Other Assets) | 0 | ' |
Assets, Fair Value, Total | 0.4 | 5.9 |
Liabilities, Fair Value, Total | 31 | 8.3 |
Significant Other Observable Inputs (Level 2) [Member] | Derivative contracts [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative Assets, Fair Value | 0.4 | 5.9 |
Derivative Liabilities, Fair Value | 31 | 8.3 |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Marketable securities (Other Assets) | 0 | ' |
Assets, Fair Value, Total | 0 | ' |
Liabilities, Fair Value, Total | 0 | ' |
Significant Unobservable Inputs (Level 3) [Member] | Derivative contracts [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivative Assets, Fair Value | 0 | ' |
Derivative Liabilities, Fair Value | $0 | ' |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Convertible Notes Due 2017 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Fair value of Convertible Notes | $276.10 | $260.40 |
7.5% Senior Notes due 2022 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Fair value of Notes | $854.40 | $814.70 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Schedule of Changes In Accumulated Other Comprehensive Income Loss (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Beginning balance, net of tax | ($9,200,000) | $10,500,000 | ($2,062,000) | $28,800,000 |
Other comprehensive income (loss) before reclassifications: | ' | ' | ' | ' |
Change in fair value of derivatives | -26,000,000 | 30,000,000 | -43,400,000 | 9,900,000 |
Foreign currency translations | 800,000 | -500,000 | 300,000 | -500,000 |
Income tax effect | 9,400,000 | -10,800,000 | 15,700,000 | -3,500,000 |
Net of tax | -15,800,000 | 18,700,000 | -27,400,000 | 5,900,000 |
Amounts reclassified from accumulated other comprehensive income: | ' | ' | ' | ' |
Net of tax | -6,800,000 | 4,700,000 | -11,300,000 | 10,200,000 |
Other comprehensive income (loss), net of tax | -9,000,000 | 14,000,000 | -16,100,000 | -4,300,000 |
Ending balance, net of tax | -18,161,000 | 24,500,000 | -18,161,000 | 24,500,000 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income: | ' | ' | ' | ' |
Operating revenue: oil/gas production | -9,200,000 | 7,300,000 | -16,300,000 | 15,900,000 |
Derivative expense, net | -1,500,000 | ' | -1,500,000 | ' |
Income tax effect | 3,900,000 | -2,600,000 | 6,500,000 | -5,700,000 |
Cash Flow Hedges [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Beginning balance, net of tax | -8,000,000 | 10,500,000 | -1,400,000 | 28,800,000 |
Other comprehensive income (loss) before reclassifications: | ' | ' | ' | ' |
Change in fair value of derivatives | -26,000,000 | 30,000,000 | -43,400,000 | 9,900,000 |
Income tax effect | 9,400,000 | -10,800,000 | 15,700,000 | -3,500,000 |
Net of tax | -16,600,000 | 19,200,000 | -27,700,000 | 6,400,000 |
Amounts reclassified from accumulated other comprehensive income: | ' | ' | ' | ' |
Net of tax | -6,800,000 | 4,700,000 | -11,300,000 | 10,200,000 |
Other comprehensive income (loss), net of tax | -9,800,000 | 14,500,000 | -16,400,000 | -3,800,000 |
Ending balance, net of tax | -17,800,000 | 25,000,000 | -17,800,000 | 25,000,000 |
Cash Flow Hedges [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income: | ' | ' | ' | ' |
Operating revenue: oil/gas production | -9,200,000 | 7,300,000 | -16,300,000 | 15,900,000 |
Derivative expense, net | -1,500,000 | ' | -1,500,000 | ' |
Income tax effect | 3,900,000 | -2,600,000 | 6,500,000 | -5,700,000 |
Foreign Currency Items [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Beginning balance, net of tax | -1,200,000 | ' | -700,000 | ' |
Other comprehensive income (loss) before reclassifications: | ' | ' | ' | ' |
Foreign currency translations | 800,000 | -500,000 | 300,000 | -500,000 |
Net of tax | 800,000 | -500,000 | 300,000 | -500,000 |
Amounts reclassified from accumulated other comprehensive income: | ' | ' | ' | ' |
Other comprehensive income (loss), net of tax | 800,000 | -500,000 | 300,000 | -500,000 |
Ending balance, net of tax | ($400,000) | ($500,000) | ($400,000) | ($500,000) |
Investment_in_Oil_and_Gas_Prop1
Investment in Oil and Gas Properties - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Oil and Gas In Process Activities [Line Items] | ' | ' |
Capital expenditures related to oil and gas property investments | $554,201 | $724,339 |
Canada [Member] | ' | ' |
Oil and Gas In Process Activities [Line Items] | ' | ' |
Capital expenditures related to oil and gas property investments | $14,700 | $10,600 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
acre | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Legal settlement | $18.40 |
Net mineral acres | 33,000 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 | Jul. 31, 2014 |
Subsequent Event [Member] | ||
GOM Conventional Shelf [Member] | ||
Subsequent Event [Line Items] | ' | ' |
Cash consideration received on sale of interest | ' | $177.60 |
Percentage of estimated proved oil and natural gas reserves | 9.00% | ' |
Guarantor_Financial_Statements2
Guarantor Financial Statements - Condensed Consolidating Balance Sheet (Detail) (USD $) | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||||||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | $333,886 | ' | $331,224 | $226,372 | ' | $279,526 | ||
Accounts receivable | 197,495 | ' | 171,971 | ' | ' | ' | ||
Fair value of derivative contracts | ' | ' | 4,549 | ' | ' | ' | ||
Current income tax receivable | 7,372 | ' | 7,366 | ' | ' | ' | ||
Deferred taxes | 36,308 | [1] | ' | 31,710 | [1] | ' | ' | ' |
Inventory | 3,723 | ' | 3,723 | ' | ' | ' | ||
Other current assets | 1,955 | ' | 1,874 | ' | ' | ' | ||
Total current assets | 580,739 | ' | 552,417 | ' | ' | ' | ||
Oil and gas properties, full cost method: | ' | ' | ' | ' | ' | ' | ||
Proved | 8,520,195 | ' | 7,804,117 | ' | ' | ' | ||
Less: accumulated DD&A | -6,144,815 | ' | -5,908,760 | ' | ' | ' | ||
Net proved oil and gas properties | 2,375,380 | ' | 1,895,357 | ' | ' | ' | ||
Unevaluated | 554,201 | ' | 724,339 | ' | ' | ' | ||
Other property and equipment, net | 28,302 | ' | 26,178 | ' | ' | ' | ||
Fair value of derivative contracts | 415 | ' | 1,378 | ' | ' | ' | ||
Other assets, net | 43,015 | ' | 48,887 | ' | ' | ' | ||
Total assets | 3,582,052 | ' | 3,248,556 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | 193,900 | ' | 195,677 | ' | ' | ' | ||
Undistributed oil and gas proceeds | 62,927 | ' | 37,029 | ' | ' | ' | ||
Accrued interest | 9,025 | ' | 9,022 | ' | ' | ' | ||
Fair value of derivative contracts | 25,711 | ' | 7,753 | ' | ' | ' | ||
Asset retirement obligations | 77,132 | ' | 67,161 | ' | ' | ' | ||
Other current liabilities | 79,539 | ' | 54,520 | ' | ' | ' | ||
Total current liabilities | 448,234 | ' | 371,162 | ' | ' | ' | ||
Long-term debt | 1,033,931 | ' | 1,027,084 | ' | ' | ' | ||
Deferred taxes | 404,188 | [1] | ' | 390,693 | [1] | ' | ' | ' |
Asset retirement obligations | 431,060 | ' | 435,352 | ' | ' | ' | ||
Fair value of derivative contracts | 5,251 | ' | 470 | ' | ' | ' | ||
Other long-term liabilities | 47,843 | ' | 53,509 | ' | ' | ' | ||
Total liabilities | 2,370,507 | ' | 2,278,270 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Common stock | 549 | ' | 488 | ' | ' | ' | ||
Treasury stock | -860 | ' | -860 | ' | ' | ' | ||
Additional paid-in capital | 1,624,795 | ' | 1,397,885 | ' | ' | ' | ||
Accumulated deficit | -394,778 | ' | -425,165 | ' | ' | ' | ||
Accumulated other comprehensive loss | -18,161 | -9,200 | -2,062 | 24,500 | 10,500 | 28,800 | ||
Total stockholders' equity | 1,211,545 | ' | 970,286 | ' | ' | ' | ||
Total liabilities and stockholders' equity | 3,582,052 | ' | 3,248,556 | ' | ' | ' | ||
Parent [Member] | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 244,254 | ' | 246,294 | 174,530 | ' | 228,398 | ||
Accounts receivable | 153,316 | ' | 74,887 | ' | ' | ' | ||
Current income tax receivable | 7,372 | ' | 7,366 | ' | ' | ' | ||
Deferred taxes | 1,565 | [1] | ' | 8,659 | [1] | ' | ' | ' |
Inventory | 3,440 | ' | 3,440 | ' | ' | ' | ||
Other current assets | 1,955 | ' | 1,874 | ' | ' | ' | ||
Total current assets | 411,902 | ' | 342,520 | ' | ' | ' | ||
Oil and gas properties, full cost method: | ' | ' | ' | ' | ' | ' | ||
Proved | 1,475,522 | ' | 1,309,527 | ' | ' | ' | ||
Less: accumulated DD&A | -527,605 | ' | -459,932 | ' | ' | ' | ||
Net proved oil and gas properties | 947,917 | ' | 849,595 | ' | ' | ' | ||
Unevaluated | 302,396 | ' | 325,113 | ' | ' | ' | ||
Other property and equipment, net | 28,302 | ' | 26,178 | ' | ' | ' | ||
Other assets, net | 30,734 | ' | 45,410 | ' | ' | ' | ||
Investment in subsidiary | 798,664 | ' | 747,472 | ' | ' | ' | ||
Total assets | 2,519,915 | ' | 2,336,288 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | 93,251 | ' | 173,147 | ' | ' | ' | ||
Undistributed oil and gas proceeds | 60,724 | ' | 34,386 | ' | ' | ' | ||
Accrued interest | 9,025 | ' | 9,022 | ' | ' | ' | ||
Other current liabilities | 76,461 | ' | 53,682 | ' | ' | ' | ||
Total current liabilities | 239,461 | ' | 270,237 | ' | ' | ' | ||
Long-term debt | 1,033,931 | ' | 1,027,084 | ' | ' | ' | ||
Deferred taxes | -16,629 | [1] | ' | 10,227 | [1] | ' | ' | ' |
Asset retirement obligations | 3,764 | ' | 4,945 | ' | ' | ' | ||
Other long-term liabilities | 47,843 | ' | 53,509 | ' | ' | ' | ||
Total liabilities | 1,308,370 | ' | 1,366,002 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Common stock | 549 | ' | 488 | ' | ' | ' | ||
Treasury stock | -860 | ' | -860 | ' | ' | ' | ||
Additional paid-in capital | 1,624,795 | ' | 1,397,885 | ' | ' | ' | ||
Accumulated deficit | -394,778 | ' | -425,165 | ' | ' | ' | ||
Accumulated other comprehensive loss | -18,161 | ' | -2,062 | ' | ' | ' | ||
Total stockholders' equity | 1,211,545 | ' | 970,286 | ' | ' | ' | ||
Total liabilities and stockholders' equity | 2,519,915 | ' | 2,336,288 | ' | ' | ' | ||
Guarantor Subsidiary [Member] | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 89,388 | ' | 84,290 | 51,202 | ' | 51,128 | ||
Accounts receivable | 80,436 | ' | 97,128 | ' | ' | ' | ||
Fair value of derivative contracts | ' | ' | 4,549 | ' | ' | ' | ||
Deferred taxes | 34,743 | [1] | ' | 23,051 | [1] | ' | ' | ' |
Inventory | 283 | ' | 283 | ' | ' | ' | ||
Total current assets | 204,850 | ' | 209,301 | ' | ' | ' | ||
Oil and gas properties, full cost method: | ' | ' | ' | ' | ' | ' | ||
Proved | 7,044,673 | ' | 6,494,590 | ' | ' | ' | ||
Less: accumulated DD&A | -5,617,210 | ' | -5,448,828 | ' | ' | ' | ||
Net proved oil and gas properties | 1,427,463 | ' | 1,045,762 | ' | ' | ' | ||
Unevaluated | 237,146 | ' | 388,643 | ' | ' | ' | ||
Fair value of derivative contracts | 415 | ' | 1,378 | ' | ' | ' | ||
Other assets, net | 1,880 | ' | 1,349 | ' | ' | ' | ||
Total assets | 1,871,754 | ' | 1,646,433 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | 125,177 | ' | 22,530 | ' | ' | ' | ||
Undistributed oil and gas proceeds | 2,203 | ' | 2,643 | ' | ' | ' | ||
Fair value of derivative contracts | 25,711 | ' | 7,753 | ' | ' | ' | ||
Asset retirement obligations | 77,132 | ' | 67,161 | ' | ' | ' | ||
Other current liabilities | 3,078 | ' | 838 | ' | ' | ' | ||
Total current liabilities | 233,301 | ' | 100,925 | ' | ' | ' | ||
Deferred taxes | 420,817 | [1] | ' | 380,466 | [1] | ' | ' | ' |
Asset retirement obligations | 427,296 | ' | 430,407 | ' | ' | ' | ||
Fair value of derivative contracts | 5,251 | ' | 470 | ' | ' | ' | ||
Total liabilities | 1,086,665 | ' | 912,268 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Additional paid-in capital | 1,309,562 | ' | 1,309,563 | ' | ' | ' | ||
Accumulated deficit | -506,723 | ' | -574,003 | ' | ' | ' | ||
Accumulated other comprehensive loss | -17,750 | ' | -1,395 | ' | ' | ' | ||
Total stockholders' equity | 785,089 | ' | 734,165 | ' | ' | ' | ||
Total liabilities and stockholders' equity | 1,871,754 | ' | 1,646,433 | ' | ' | ' | ||
Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 244 | ' | 640 | 640 | ' | ' | ||
Total current assets | 244 | ' | 640 | ' | ' | ' | ||
Oil and gas properties, full cost method: | ' | ' | ' | ' | ' | ' | ||
Unevaluated | 14,659 | ' | 10,583 | ' | ' | ' | ||
Other assets, net | 10,401 | ' | 2,128 | ' | ' | ' | ||
Investment in subsidiary | 25,156 | ' | 12,711 | ' | ' | ' | ||
Total assets | 50,460 | ' | 26,062 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | 11,729 | ' | 44 | ' | ' | ' | ||
Total current liabilities | 11,729 | ' | 44 | ' | ' | ' | ||
Total liabilities | 11,729 | ' | 44 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Additional paid-in capital | 39,580 | ' | 27,403 | ' | ' | ' | ||
Accumulated deficit | -28 | ' | -52 | ' | ' | ' | ||
Accumulated other comprehensive loss | -821 | ' | -1,333 | ' | ' | ' | ||
Total stockholders' equity | 38,731 | ' | 26,018 | ' | ' | ' | ||
Total liabilities and stockholders' equity | 50,460 | ' | 26,062 | ' | ' | ' | ||
Consolidation, Eliminations [Member] | ' | ' | ' | ' | ' | ' | ||
Current assets: | ' | ' | ' | ' | ' | ' | ||
Accounts receivable | -36,257 | ' | -44 | ' | ' | ' | ||
Total current assets | -36,257 | ' | -44 | ' | ' | ' | ||
Oil and gas properties, full cost method: | ' | ' | ' | ' | ' | ' | ||
Investment in subsidiary | -823,820 | ' | -760,183 | ' | ' | ' | ||
Total assets | -860,077 | ' | -760,227 | ' | ' | ' | ||
Current liabilities: | ' | ' | ' | ' | ' | ' | ||
Accounts payable to vendors | -36,257 | ' | -44 | ' | ' | ' | ||
Total current liabilities | -36,257 | ' | -44 | ' | ' | ' | ||
Total liabilities | -36,257 | ' | -44 | ' | ' | ' | ||
Commitments and contingencies | ' | ' | ' | ' | ' | ' | ||
Stockholders' equity: | ' | ' | ' | ' | ' | ' | ||
Additional paid-in capital | -1,349,142 | ' | -1,336,966 | ' | ' | ' | ||
Accumulated deficit | 506,751 | ' | 574,055 | ' | ' | ' | ||
Accumulated other comprehensive loss | 18,571 | ' | 2,728 | ' | ' | ' | ||
Total stockholders' equity | -823,820 | ' | -760,183 | ' | ' | ' | ||
Total liabilities and stockholders' equity | ($860,077) | ' | ($760,227) | ' | ' | ' | ||
[1] | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. |
Guarantor_Financial_Statements3
Guarantor Financial Statements - Condensed Consolidating Statement of Income (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Operating revenue: | ' | ' | ' | ' |
Oil production | $142,393 | $184,498 | $280,682 | $371,423 |
Gas production | 46,667 | 47,832 | 103,029 | 84,654 |
Natural gas liquids production | 15,936 | 11,200 | 43,906 | 20,378 |
Other operational income | 2,050 | 979 | 3,047 | 1,786 |
Derivate income, net | ' | 1,368 | ' | 147 |
Total operating revenue | 207,046 | 245,877 | 430,664 | 478,388 |
Operating expenses: | ' | ' | ' | ' |
Lease operating expenses | 49,454 | 50,517 | 96,357 | 103,561 |
Transportation, processing and gathering expenses | 14,098 | 8,896 | 28,724 | 14,293 |
Production taxes | 3,257 | 4,091 | 6,319 | 6,180 |
Depreciation, depletion, amortization | 92,835 | 87,209 | 175,481 | 162,644 |
Accretion expense | 7,733 | 8,318 | 15,288 | 16,581 |
Salaries, general and administrative | 16,637 | 15,198 | 32,966 | 29,150 |
Incentive compensation expense | 3,903 | 2,050 | 7,037 | 3,481 |
Other operational expenses | ' | 73 | 212 | 145 |
Derivative expense, net | 2,516 | ' | 3,115 | ' |
Total operating expenses | 190,433 | 176,352 | 365,499 | 336,035 |
Income (loss) from operations | 16,613 | 69,525 | 65,165 | 142,353 |
Other (income) expenses: | ' | ' | ' | ' |
Interest expense | 9,913 | 8,895 | 18,270 | 18,530 |
Interest income | -193 | -115 | -336 | -232 |
Other income | -722 | -682 | -1,429 | -1,408 |
Other expense | 179 | ' | 179 | ' |
Total other (income) expenses | 9,177 | 8,098 | 16,684 | 16,890 |
Income (loss) before taxes | 7,436 | 61,427 | 48,481 | 125,463 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Current | ' | -6,993 | ' | -10,739 |
Deferred | 2,992 | 29,398 | 18,094 | 56,422 |
Total income taxes | 2,992 | 22,405 | 18,094 | 45,683 |
Net income | 4,444 | 39,022 | 30,387 | 79,780 |
Comprehensive income | -4,566 | 53,060 | 14,288 | 75,477 |
Parent [Member] | ' | ' | ' | ' |
Operating revenue: | ' | ' | ' | ' |
Oil production | 5,854 | 8,378 | 12,490 | 13,721 |
Gas production | 20,800 | 20,071 | 49,639 | 27,269 |
Natural gas liquids production | 10,219 | 6,378 | 28,473 | 8,677 |
Other operational income | 1,880 | 790 | 2,704 | 1,439 |
Total operating revenue | 38,753 | 35,617 | 93,306 | 51,106 |
Operating expenses: | ' | ' | ' | ' |
Lease operating expenses | 5,046 | 3,425 | 9,059 | 5,716 |
Transportation, processing and gathering expenses | 10,456 | 5,729 | 20,773 | 7,781 |
Production taxes | 1,903 | 1,320 | 3,584 | 2,187 |
Depreciation, depletion, amortization | 30,385 | 25,088 | 58,440 | 35,279 |
Accretion expense | 61 | 93 | 129 | 186 |
Salaries, general and administrative | 16,639 | 15,150 | 32,964 | 29,098 |
Incentive compensation expense | 3,903 | 2,050 | 7,037 | 3,481 |
Other operational expenses | ' | 51 | 176 | 101 |
Total operating expenses | 68,393 | 52,906 | 132,162 | 83,829 |
Income (loss) from operations | -29,640 | -17,289 | -38,856 | -32,723 |
Other (income) expenses: | ' | ' | ' | ' |
Interest expense | 9,880 | 8,882 | 18,233 | 18,509 |
Interest income | -146 | -70 | -225 | -150 |
Other income | -192 | -217 | -373 | -441 |
Other expense | 179 | ' | 179 | ' |
(Income) loss from investment in subsidiaries | -29,947 | -55,893 | -67,292 | -112,721 |
Total other (income) expenses | -20,226 | -47,298 | -49,478 | -94,803 |
Income (loss) before taxes | -9,414 | 30,009 | 10,622 | 62,080 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Current | ' | -6,993 | ' | -10,739 |
Deferred | -13,858 | -2,020 | -19,765 | -6,961 |
Total income taxes | -13,858 | -9,013 | -19,765 | -17,700 |
Net income | 4,444 | 39,022 | 30,387 | 79,780 |
Comprehensive income | -4,566 | 53,060 | 14,288 | 75,477 |
Guarantor Subsidiary [Member] | ' | ' | ' | ' |
Operating revenue: | ' | ' | ' | ' |
Oil production | 136,539 | 176,120 | 268,192 | 357,702 |
Gas production | 25,867 | 27,761 | 53,390 | 57,385 |
Natural gas liquids production | 5,717 | 4,822 | 15,433 | 11,701 |
Other operational income | 170 | 189 | 343 | 347 |
Derivate income, net | ' | 1,368 | ' | 147 |
Total operating revenue | 168,293 | 210,260 | 337,358 | 427,282 |
Operating expenses: | ' | ' | ' | ' |
Lease operating expenses | 44,408 | 47,092 | 87,298 | 97,845 |
Transportation, processing and gathering expenses | 3,642 | 3,167 | 7,951 | 6,512 |
Production taxes | 1,354 | 2,771 | 2,735 | 3,993 |
Depreciation, depletion, amortization | 62,450 | 62,121 | 117,041 | 127,365 |
Accretion expense | 7,672 | 8,225 | 15,159 | 16,395 |
Salaries, general and administrative | ' | ' | 2 | 4 |
Other operational expenses | ' | 22 | 36 | 44 |
Derivative expense, net | 2,516 | ' | 3,115 | ' |
Total operating expenses | 122,042 | 123,398 | 233,337 | 252,158 |
Income (loss) from operations | 46,251 | 86,862 | 104,021 | 175,124 |
Other (income) expenses: | ' | ' | ' | ' |
Interest expense | 33 | 13 | 37 | 21 |
Interest income | -41 | -38 | -99 | -75 |
Other income | -530 | -465 | -1,056 | -967 |
Total other (income) expenses | -538 | -490 | -1,118 | -1,021 |
Income (loss) before taxes | 46,789 | 87,352 | 105,139 | 176,145 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Deferred | 16,850 | 31,418 | 37,859 | 63,383 |
Total income taxes | 16,850 | 31,418 | 37,859 | 63,383 |
Net income | 29,939 | 55,934 | 67,280 | 112,762 |
Comprehensive income | 29,939 | 55,934 | 67,280 | 112,762 |
Non-Guarantor Subsidiaries [Member] | ' | ' | ' | ' |
Operating expenses: | ' | ' | ' | ' |
Salaries, general and administrative | -2 | 48 | ' | 48 |
Total operating expenses | -2 | 48 | ' | 48 |
Income (loss) from operations | 2 | -48 | ' | -48 |
Other (income) expenses: | ' | ' | ' | ' |
Interest income | -6 | -7 | -12 | -7 |
(Income) loss from investment in subsidiaries | -8 | 39 | -12 | 39 |
Total other (income) expenses | -14 | 32 | -24 | 32 |
Income (loss) before taxes | 16 | -80 | 24 | -80 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Net income | 16 | -80 | 24 | -80 |
Comprehensive income | 16 | -80 | 24 | -80 |
Consolidation, Eliminations [Member] | ' | ' | ' | ' |
Other (income) expenses: | ' | ' | ' | ' |
(Income) loss from investment in subsidiaries | 29,955 | 55,854 | 67,304 | 112,682 |
Total other (income) expenses | 29,955 | 55,854 | 67,304 | 112,682 |
Income (loss) before taxes | -29,955 | -55,854 | -67,304 | -112,682 |
Provision (benefit) for income taxes: | ' | ' | ' | ' |
Net income | -29,955 | -55,854 | -67,304 | -112,682 |
Comprehensive income | ($29,955) | ($55,854) | ($67,304) | ($112,682) |
Guarantor_Financial_Statements4
Guarantor Financial Statements - Condensed Consolidating Statement of Cash Flows (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $30,387 | $79,780 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 175,481 | 162,644 |
Accretion expense | 15,288 | 16,581 |
Deferred income tax provision (benefit) | 18,094 | 56,422 |
Settlement of asset retirement obligations | -24,915 | -37,335 |
Non-cash stock compensation expense | 5,358 | 4,866 |
Excess tax benefits | ' | -104 |
Non-cash derivative expense | 2,697 | 311 |
Non-cash interest expense | 8,229 | 8,181 |
Change in current income taxes | -6 | -16,399 |
(Increase) decrease in accounts receivable | -25,524 | 1,138 |
Increase in other current assets | -82 | -245 |
(Increase) decrease in inventory | ' | 158 |
Increase (decrease) in accounts payable | 1,843 | 6,593 |
Increase (decrease) in other current liabilities | 50,785 | -3,170 |
Other | -675 | -3,448 |
Net cash (used in) provided by operating activities | 256,960 | 275,973 |
Cash flows from investing activities: | ' | ' |
Investment in oil and gas properties | -517,904 | -320,218 |
Proceeds from sale of oil and gas properties, net of expenses | 51,955 | ' |
Investment in fixed and other assets | -3,896 | -1,711 |
Change in restricted funds | -356 | -3,515 |
Net cash used in investing activities | -470,201 | -325,444 |
Cash flows from financing activities: | ' | ' |
Net proceeds from issuance of common stock | 226,036 | ' |
Deferred financing costs | -3,167 | -11 |
Excess tax benefits | ' | 104 |
Net payments for share-based compensation | -6,948 | -3,590 |
Net cash provided by (used in) financing activities | 215,921 | -3,497 |
Effect of exchange rate changes on cash | -18 | -186 |
Net change in cash and cash equivalents | 2,662 | -53,154 |
Cash and cash equivalents, beginning of period | 331,224 | 279,526 |
Cash and cash equivalents, end of period | 333,886 | 226,372 |
Parent [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income | 30,387 | 79,780 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 58,440 | 35,279 |
Accretion expense | 129 | 186 |
Deferred income tax provision (benefit) | -19,765 | -6,961 |
Settlement of asset retirement obligations | -82 | ' |
Non-cash stock compensation expense | 5,358 | 4,866 |
Excess tax benefits | ' | -104 |
Non-cash interest expense | 8,229 | 8,181 |
Non-cash income (loss) from investment in subsidiaries | -67,292 | -112,722 |
Change in current income taxes | -6 | -16,399 |
Change in intercompany receivables/payables | -126,526 | 170,815 |
(Increase) decrease in accounts receivable | -42,216 | -17,365 |
Increase in other current assets | -82 | -245 |
(Increase) decrease in inventory | ' | 158 |
Increase (decrease) in accounts payable | 2,052 | 4,507 |
Increase (decrease) in other current liabilities | 48,987 | -5,258 |
Other | 381 | -2,482 |
Net cash (used in) provided by operating activities | -102,006 | 142,236 |
Cash flows from investing activities: | ' | ' |
Investment in oil and gas properties | -121,836 | -176,896 |
Proceeds from sale of oil and gas properties, net of expenses | 9,777 | ' |
Investment in fixed and other assets | -3,896 | -1,711 |
Investment in subsidiaries | ' | -14,000 |
Net cash used in investing activities | -115,955 | -192,607 |
Cash flows from financing activities: | ' | ' |
Net proceeds from issuance of common stock | 226,036 | ' |
Deferred financing costs | -3,167 | -11 |
Excess tax benefits | ' | 104 |
Net payments for share-based compensation | -6,948 | -3,590 |
Net cash provided by (used in) financing activities | 215,921 | -3,497 |
Net change in cash and cash equivalents | -2,040 | -53,868 |
Cash and cash equivalents, beginning of period | 246,294 | 228,398 |
Cash and cash equivalents, end of period | 244,254 | 174,530 |
Guarantor Subsidiary [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income | 67,280 | 112,762 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 117,041 | 127,365 |
Accretion expense | 15,159 | 16,395 |
Deferred income tax provision (benefit) | 37,859 | 63,383 |
Settlement of asset retirement obligations | -24,833 | -37,335 |
Non-cash derivative expense | 2,697 | 311 |
Change in intercompany receivables/payables | 114,841 | -170,859 |
(Increase) decrease in accounts receivable | 16,692 | 18,503 |
Increase (decrease) in accounts payable | -209 | 2,086 |
Increase (decrease) in other current liabilities | 1,798 | 2,088 |
Other | -1,056 | -966 |
Net cash (used in) provided by operating activities | 347,269 | 133,733 |
Cash flows from investing activities: | ' | ' |
Investment in oil and gas properties | -384,349 | -133,659 |
Proceeds from sale of oil and gas properties, net of expenses | 42,178 | ' |
Net cash used in investing activities | -342,171 | -133,659 |
Cash flows from financing activities: | ' | ' |
Net change in cash and cash equivalents | 5,098 | 74 |
Cash and cash equivalents, beginning of period | 84,290 | 51,128 |
Cash and cash equivalents, end of period | 89,388 | 51,202 |
Non-Guarantor Subsidiaries [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income | 24 | -80 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Non-cash income (loss) from investment in subsidiaries | -12 | 40 |
Change in intercompany receivables/payables | 11,685 | 44 |
Net cash (used in) provided by operating activities | 11,697 | 4 |
Cash flows from investing activities: | ' | ' |
Investment in oil and gas properties | -11,719 | -9,663 |
Change in restricted funds | -356 | -3,515 |
Investment in subsidiaries | -12,176 | -13,404 |
Net cash used in investing activities | -24,251 | -26,582 |
Cash flows from financing activities: | ' | ' |
Equity proceeds from parent | 12,176 | 27,404 |
Net cash provided by (used in) financing activities | 12,176 | 27,404 |
Effect of exchange rate changes on cash | -18 | -186 |
Net change in cash and cash equivalents | -396 | 640 |
Cash and cash equivalents, beginning of period | 640 | ' |
Cash and cash equivalents, end of period | 244 | 640 |
Consolidation, Eliminations [Member] | ' | ' |
Cash flows from operating activities: | ' | ' |
Net income | -67,304 | -112,682 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Non-cash income (loss) from investment in subsidiaries | 67,304 | 112,682 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | 12,176 | 27,404 |
Net cash used in investing activities | 12,176 | 27,404 |
Cash flows from financing activities: | ' | ' |
Equity proceeds from parent | -12,176 | -27,404 |
Net cash provided by (used in) financing activities | ($12,176) | ($27,404) |