Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | 4-May-15 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | SGY | |
Entity Registrant Name | STONE ENERGY CORP | |
Entity Central Index Key | 904080 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 57,190,456 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEET (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||||
Current assets: | ||||||
Cash and cash equivalents | $162,128 | $74,488 | $202,761 | $331,224 | ||
Restricted cash | 177,647 | |||||
Accounts receivable | 112,150 | 120,359 | ||||
Fair value of derivative contracts | 124,192 | 139,179 | ||||
Current income tax receivable | 24 | 7,212 | ||||
Inventory | 3,709 | 3,709 | ||||
Other current assets | 6,234 | 8,118 | ||||
Total current assets | 408,437 | 530,712 | ||||
Oil and gas properties, full cost method of accounting: | ||||||
Proved | 8,887,832 | 8,817,268 | ||||
Less: accumulated depreciation, depletion and amortization | -7,546,222 | -6,970,631 | ||||
Net proved oil and gas properties | 1,341,610 | 1,846,637 | ||||
Unevaluated | 602,467 | 567,365 | ||||
Other property and equipment, net | 31,828 | 32,340 | ||||
Fair value of derivative contracts | 13,966 | 14,333 | ||||
Other assets, net | 24,672 | 27,224 | ||||
Total assets | 2,422,980 | 3,018,611 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | 68,146 | 132,629 | ||||
Undistributed oil and gas proceeds | 26,202 | 23,232 | ||||
Accrued interest | 22,243 | 9,022 | ||||
Deferred taxes | 23,378 | [1] | 20,119 | [1] | ||
Asset retirement obligations | 60,837 | 69,400 | ||||
Other current liabilities | 40,286 | 49,505 | ||||
Total current liabilities | 241,092 | 303,907 | ||||
Long-term debt | 1,044,675 | 1,041,035 | ||||
Deferred taxes | 98,194 | [1] | 286,343 | [1] | ||
Asset retirement obligations | 244,835 | 247,009 | ||||
Other long-term liabilities | 31,604 | 38,714 | ||||
Total liabilities | 1,660,400 | 1,917,008 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Common stock, $.01 par value; authorized 100,000,000 shares; issued 55,254,713 and 54,884,542 shares, respectively | 553 | 549 | ||||
Treasury stock (16,582 shares, at cost) | -860 | -860 | ||||
Additional paid-in capital | 1,634,171 | 1,633,307 | ||||
Accumulated deficit | -942,096 | -614,708 | ||||
Accumulated other comprehensive income | 70,812 | 83,315 | -9,200 | -2,100 | ||
Total stockholders' equity | 762,580 | 1,101,603 | ||||
Total liabilities and stockholders' equity | $2,422,980 | $3,018,611 | ||||
[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 $) | Mar. 31, 2015 | Dec. 31, 2014 |
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 | 55,254,713 | 54,884,542 |
Treasury stock, shares | 16,582 | 16,582 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating revenue: | ||
Oil production | $107,507 | $138,289 |
Natural gas production | 28,337 | 56,362 |
Natural gas liquids production | 12,366 | 27,970 |
Other operational income | 2,160 | 1,209 |
Derivative income, net | 3,128 | |
Total operating revenue | 153,498 | 223,830 |
Operating expenses: | ||
Lease operating expenses | 27,577 | 46,903 |
Transportation, processing and gathering expenses | 17,703 | 14,626 |
Production taxes | 2,515 | 3,062 |
Depreciation, depletion and amortization | 86,422 | 82,646 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 6,409 | 7,555 |
Salaries, general and administrative expenses | 17,007 | 16,329 |
Incentive compensation expense | 1,563 | 3,134 |
Other operational expenses | 84 | 424 |
Derivative expense, net | 599 | |
Total operating expenses | 650,692 | 175,278 |
Income (loss) from operations | -497,194 | 48,552 |
Other (income) expenses: | ||
Interest expense | 10,365 | 8,357 |
Interest income | -122 | -143 |
Other income | -143 | -707 |
Total other (income) expenses | 10,100 | 7,507 |
Income (loss) before income taxes | -507,294 | 41,045 |
Provision (benefit) for income taxes: | ||
Deferred | -179,906 | 15,102 |
Total income taxes | -179,906 | 15,102 |
Net income (loss) | ($327,388) | $25,943 |
Basic earnings (loss) per share | ($5.93) | $0.52 |
Diluted earnings (loss) per share | ($5.93) | $0.52 |
Average shares outstanding | 55,181 | 49,013 |
Average shares outstanding assuming dilution | 55,181 | 49,062 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS) (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | ($327,388) | $25,943 |
Other comprehensive loss, net of tax effect: | ||
Derivatives | -8,858 | -6,590 |
Foreign currency translation | -3,645 | -499 |
Comprehensive income (loss) | ($339,891) | $18,854 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net income (loss) | ($327,388) | $25,943 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 86,422 | 82,646 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 6,409 | 7,555 |
Deferred income tax (benefit) provision | -179,906 | 15,102 |
Settlement of asset retirement obligations | -17,145 | -9,842 |
Non-cash stock compensation expense | 2,640 | 2,247 |
Non-cash derivative expense | 1,511 | 448 |
Non-cash interest expense | 4,318 | 4,070 |
Change in current income taxes | 7,188 | |
(Increase) decrease in accounts receivable | 8,206 | -18,602 |
Decrease in other current assets | 1,883 | 100 |
Increase in inventory | -928 | |
Increase (decrease) in accounts payable | -8,657 | 1,293 |
Increase in other current liabilities | 6,889 | 5,820 |
Other | -260 | -380 |
Net cash (used in) provided by operating activities | 83,522 | 115,472 |
Cash flows from investing activities: | ||
Investment in oil and gas properties | -169,895 | -287,175 |
Proceeds from sale of oil and gas properties, net of expenses | 51,954 | |
Investment in fixed and other assets | -662 | -1,654 |
Change in restricted funds | 177,642 | -358 |
Net cash provided by (used in) investing activities | 7,085 | -237,233 |
Cash flows from financing activities: | ||
Proceeds from bank borrowings | 5,000 | |
Repayment of bank borrowings | -5,000 | |
Deferred financing costs | -126 | |
Net payments for share-based compensation | -2,991 | -6,565 |
Net cash used in financing activities | -2,991 | -6,691 |
Effect of exchange rate changes on cash | 24 | -11 |
Net change in cash and cash equivalents | 87,640 | -128,463 |
Cash and cash equivalents, beginning of period | 74,488 | 331,224 |
Cash and cash equivalents, end of period | $162,128 | $202,761 |
Interim_Financial_Statements
Interim Financial Statements | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Interim Financial Statements | Note 1 – Interim Financial Statements |
The condensed consolidated financial statements of Stone Energy Corporation (“Stone”) and its subsidiaries as of March 31, 2015 and for the three month periods ended March 31, 2015 and 2014 are unaudited and reflect all adjustments (consisting only of normal recurring adjustments), which are, in the opinion of management, necessary for a fair presentation of the financial position and operating results for the interim periods. The condensed consolidated balance sheet as of December 31, 2014 has been derived from the audited financial statements as of that date contained in our Annual Report on Form 10-K for the year ended December 31, 2014 (our “2014 Annual Report on Form 10-K”). The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto, together with management’s discussion and analysis of financial condition and results of operations, contained in our 2014 Annual Report on Form 10-K. The results of operations for the three month period ended March 31, 2015 are not necessarily indicative of future financial results. |
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Earnings Per Share | Note 2 – Earnings Per Share | ||||||||
The following table sets forth the calculation of basic and diluted weighted average shares outstanding and earnings per share for the indicated periods: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands, except per share data) | |||||||||
Income (numerator): | |||||||||
Basic: | |||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 25,943 | ||||
Net income attributable to participating securities | — | (537 | ) | ||||||
Net income (loss) attributable to common stock—basic | ($ | 327,388 | ) | $ | 25,406 | ||||
Diluted: | |||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 25,943 | ||||
Net income attributable to participating securities | — | (537 | ) | ||||||
Net income (loss) attributable to common stock—diluted | ($ | 327,388 | ) | $ | 25,406 | ||||
Weighted average shares (denominator): | |||||||||
Weighted average shares—basic | 55,181 | 49,013 | |||||||
Dilutive effect of stock options | — | 49 | |||||||
Weighted average shares—diluted | 55,181 | 49,062 | |||||||
Basic earnings (loss) per share | ($ | 5.93 | ) | $ | 0.52 | ||||
Diluted earnings (loss) per share | ($ | 5.93 | ) | $ | 0.52 | ||||
All outstanding stock options were considered antidilutive during the three months ended March 31, 2015 (approximately 204,000 shares) because we had a net loss for such period. Stock options that were considered antidilutive because the exercise price of the options exceeded the average price of our common stock totaled approximately 242,000 shares during the three months ended March 31, 2014. | |||||||||
During the three months ended March 31, 2015 and 2014, approximately 370,000 shares and 333,000 shares of our common stock, respectively, were issued from authorized shares upon the lapsing of forfeiture restrictions of restricted stock by employees and nonemployee directors. | |||||||||
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 4 – Long-Term Debt) in cash, we have used the treasury method for determining dilution in the diluted earnings per share computation. For the three months ended March 31, 2015, there was no dilutive effect on the diluted earnings per share computation because we had a net loss for such period. For the three months ended March 31, 2014, 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 period. For the three months ended March 31, 2015 and 2014, the average price of our common stock was less than the strike price of the Sold Warrants (as defined in Note 4 – 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 4 – Long-Term Debt), such call options are antidilutive and therefore, were not included in the calculation of diluted earnings per share. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 3 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | Note 3 – 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 our expected future production that is acceptable at the time of the transaction. These derivatives are generally 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 2015 and 2016 oil and natural gas production from the Gulf Coast Basin. 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. 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, The Bank of Nova Scotia, Bank of America and Natixis. | |||||||||||||||||||||||||||||
The following table illustrates our derivative positions for calendar years 2015 and 2016 as of May 4, 2015: | |||||||||||||||||||||||||||||
Fixed-Price Swaps (NYMEX) | |||||||||||||||||||||||||||||
Natural Gas | Oil | ||||||||||||||||||||||||||||
Daily Volume | Swap Price | Daily Volume | Swap Price | ||||||||||||||||||||||||||
(MMBtus/d) | ($) | (Bbls/d) | ($) | ||||||||||||||||||||||||||
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 | 91.05 | |||||||||||||||||||||||||
2015 | 10,000 | 4.255 | 1,000 | 93.28 | |||||||||||||||||||||||||
2015 | 1,000 | 93.37 | |||||||||||||||||||||||||||
2015 | 1,000 | 94.85 | |||||||||||||||||||||||||||
2015 | 1,000 | 95 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.11 | 1,000 | 90 | |||||||||||||||||||||||||
2016 | 10,000 | 4.12 | |||||||||||||||||||||||||||
During 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 6 – Divestitures), that GOM natural gas production would be sufficient to cover the GOM volumes hedged. Accordingly, we discontinued hedge accounting for three 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 March 31, 2015, we had accumulated other comprehensive income of $77.9 million, net of tax, related to the fair value of our effective cash flow hedges that were outstanding as of March 31, 2015. We believe that approximately $69.4 million, net of tax, of accumulated other comprehensive income 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 March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at March 31, 2015 | |||||||||||||||||||||||||||||
(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 | $ | 113 | Current liabilities: Fair value of derivative contracts | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 14 | Long-term liabilities: Fair value of derivative contracts | — | ||||||||||||||||||||||||||
$ | 127 | $ | — | ||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at December 31, 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 | $ | 127 | Current liabilities: Fair value of derivative contracts | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 14.3 | Long-term liabilities: Fair value of derivative contracts | — | ||||||||||||||||||||||||||
$ | 141.3 | $ | — | ||||||||||||||||||||||||||
The following table discloses the before tax effect of derivatives qualifying as hedging instruments, as reported in the statement of operations, for the three month periods ended March 31, 2015 and 2014: | |||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Operations | |||||||||||||||||||||||||||||
for the Three Months Ended March 31, 2015 and 2014 | |||||||||||||||||||||||||||||
(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) | |||||||||||||||||||||||||||||
2015 | 2014 | Location | 2015 | 2014 | Location | 2015 | 2014 | ||||||||||||||||||||||
Commodity contracts | $ | 22.9 | ($ | 17.4 | ) | Operating revenue—oil/gas production | $ | 36.8 | ($ | 7.1 | ) | Derivative income (expense), net | $ | 0.9 | ($ | 0.6 | ) | ||||||||||||
Total | $ | 22.9 | ($ | 17.4 | ) | $ | 36.8 | ($ | 7.1 | ) | $ | 0.9 | ($ | 0.6 | ) | ||||||||||||||
(a) | For the three months ended March 31, 2015, effective hedging contracts increased oil revenue by $34.0 million and increased gas revenue by $2.8 million. For the three months ended March 31, 2014, effective hedging contracts decreased oil revenue by $2.5 million and decreased gas revenue by $4.6 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 March 31, 2015 and December 31, 2014. | |||||||||||||||||||||||||||||
Fair Value of Derivatives Not Qualifying as Hedging Instruments | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Balance Sheet Location | March 31, | December 31, | ||||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | 11.2 | $ | 12.1 | ||||||||||||||||||||||||
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 operations. The following table discloses the before tax effect of our derivatives not qualifying as hedging instruments on the statement of operations for the three month period ended March 31, 2015. During the three month period ended March 31, 2014, all of our derivatives qualified as hedging instruments. | |||||||||||||||||||||||||||||
Amount of Gain Recognized in Derivative Income | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Three Months Ended | ||||||||||||||||||||||||||||
March 31, 2015 | |||||||||||||||||||||||||||||
Commodity contracts: | |||||||||||||||||||||||||||||
Cash settlements | $ | 3.1 | |||||||||||||||||||||||||||
Change in fair value | (0.9 | ) | |||||||||||||||||||||||||||
Total gains on non-qualifying hedges | $ | 2.2 | |||||||||||||||||||||||||||
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. As of March 31, 2015 and December 31, 2014, all of our derivative contracts were in an asset position and therefore, there was no potential impact of the rights of offset. |
LongTerm_Debt
Long-Term Debt | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Long-Term Debt | Note 4 – Long-Term Debt | ||||||||
Long-term debt consisted of the following at: | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
(In millions) | |||||||||
1 3⁄4% Senior Convertible Notes due 2017 | $ | 269.7 | $ | 266 | |||||
7 1⁄2% Senior Notes due 2022 | 775 | 775 | |||||||
Bank debt | — | — | |||||||
Total long-term debt | $ | 1,044.70 | $ | 1,041.00 | |||||
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. On May 1, 2015, our borrowing base under the bank credit facility was reaffirmed at $500 million. As of March 31 and May 4, 2015, we had no outstanding borrowings under the bank credit facility, and $19.2 million of letters of credit had been issued pursuant to the bank credit facility, leaving $480.8 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. As of March 31, 2015, the bank credit facility was 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, typically 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 credit 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. If a reduction in our borrowing base were to fall below any outstanding balances under the bank credit facility plus any outstanding letters of credit, our agreement with the banks allows us one or more of three options to cure the borrowing base deficiency. We may (1) repay amounts outstanding sufficient to cure the deficiency within 10 days after our written election to do so; (2) add additional oil and gas properties acceptable to the banks to the borrowing base and take such actions necessary to grant the banks a mortgage in the properties within 30 days after our written election to do so; and/or (3) arrange to pay the deficiency in six equal monthly installments. | |||||||||
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 and affirmative and negative covenants, including interest coverage ratio and leverage ratio maintenance covenants. We were in compliance with all covenants as of March 31, 2015. | |||||||||
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 March 31, 2015, our closing share price was $14.68. 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(a)(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 March 31, 2015, the carrying amount of the liability component of the 2017 Convertible Notes was $269.7 million. During the three months ended March 31, 2015, we recognized $3.6 million of interest expense for the amortization of the discount and $0.3 million of interest expense for the amortization of deferred financing costs related to the 2017 Convertible Notes. During the three months ended March 31, 2014, we recognized $3.4 million of interest expense for the amortization of the discount and $0.3 million of interest expense for the amortization of deferred financing costs related to the 2017 Convertible Notes. During each of the three month periods ended March 31, 2015 and 2014, we recognized $1.3 million of interest expense related to the contractual interest coupon on the 2017 Convertible Notes. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Asset Retirement Obligation Disclosure [Abstract] | |||||
Asset Retirement Obligations | Note 5 – Asset Retirement Obligations | ||||
The change in our asset retirement obligations during the three months ended March 31, 2015 is set forth below: | |||||
Three Months | |||||
Ended | |||||
March 31, 2015 | |||||
(In millions) | |||||
Asset retirement obligations as of the beginning of the period, including current portion | $ | 316.4 | |||
Liabilities settled | (17.1 | ) | |||
Accretion expense | 6.4 | ||||
Asset retirement obligations as of the end of the period, including current portion | $ | 305.7 | |||
Divestitures
Divestitures | 3 Months Ended |
Mar. 31, 2015 | |
Business Combinations [Abstract] | |
Divestitures | Note 6 – Divestitures |
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. All of the proceeds from this sale were 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 and were included in our balance sheet as restricted cash at December 31, 2014. Compliance with provisions under the Qualified Trust Agreement and Exchange Agreement provided for deferral of taxable gain on these sales proceeds. We identified qualified replacement properties and had until January 27, 2015 to close on an acquisition of such properties in order to achieve deferral of our taxable gain. We did not close on such a transaction by January 27, 2015, and the funds were released from restrictions and reclassified to cash and cash equivalents at such date. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurements | Note 7 – Fair Value Measurements | ||||||||||||||||
U.S. Generally Accepted Accounting Principles 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 March 31, 2015 and December 31, 2014, 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 3 – 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 March 31, 2015: | |||||||||||||||||
Fair Value Measurements at March 31, 2015 | |||||||||||||||||
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) | $ | 8.8 | $ | 8.8 | $ | — | $ | — | |||||||||
Derivative contracts | 138.2 | — | 138.2 | — | |||||||||||||
Total | $ | 147 | $ | 8.8 | $ | 138.2 | $ | — | |||||||||
Fair Value Measurements at March 31, 2015 | |||||||||||||||||
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 | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at December 31, 2014: | |||||||||||||||||
Fair Value Measurements at December 31, 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) | $ | 8.4 | $ | 8.4 | $ | — | $ | — | |||||||||
Derivative contracts | 153.5 | — | 153.5 | — | |||||||||||||
Total | $ | 161.9 | $ | 8.4 | $ | 153.5 | $ | — | |||||||||
Fair Value Measurements at December 31, 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 | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
The fair value of cash and cash equivalents approximated book value at March 31, 2015 and December 31, 2014. As of March 31, 2015 and December 31, 2014, the fair value of the liability component of the 2017 Convertible Notes was approximately $261.0 million and $252.6 million, respectively. As of March 31, 2015 and December 31, 2014, the fair value of the 7 1⁄2% Senior Notes due 2022 (the “2022 Notes”) was approximately $703.3 million and $664.6 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 4 – Long-Term Debt) at inception, March 31, 2015 and December 31, 2014. 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) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Equity [Abstract] | |||||||||||||
Accumulated Other Comprehensive Income (Loss) | Note 8 – Accumulated Other Comprehensive Income (Loss) | ||||||||||||
Changes in accumulated other comprehensive income (loss) by component for the three months ended March 31, 2015 and 2014 were as follows (in millions): | |||||||||||||
Cash | Foreign | Total | |||||||||||
Flow | Currency | ||||||||||||
Hedges | Items | ||||||||||||
For the Three Months Ended March 31, 2015 | |||||||||||||
Beginning balance, net of tax | $ | 86.8 | ($ | 3.5 | ) | $ | 83.3 | ||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 22.9 | — | 22.9 | ||||||||||
Foreign currency translations | — | (3.6 | ) | (3.6 | ) | ||||||||
Income tax effect | (8.2 | ) | — | (8.2 | ) | ||||||||
Net of tax | 14.7 | (3.6 | ) | 11.1 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 36.8 | — | 36.8 | ||||||||||
Income tax effect | (13.2 | ) | — | (13.2 | ) | ||||||||
Net of tax | 23.6 | — | 23.6 | ||||||||||
Other comprehensive income (loss), net of tax | (8.9 | ) | (3.6 | ) | (12.5 | ) | |||||||
Ending balance, net of tax | $ | 77.9 | ($ | 7.1 | ) | $ | 70.8 | ||||||
Cash | Foreign | Total | |||||||||||
Flow | Currency | ||||||||||||
Hedges | Items | ||||||||||||
For the Three Months Ended March 31, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 1.4 | ) | ($ | 0.7 | ) | ($ | 2.1 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (17.4 | ) | — | (17.4 | ) | ||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | 6.3 | — | 6.3 | ||||||||||
Net of tax | (11.1 | ) | (0.5 | ) | (11.6 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (7.1 | ) | — | (7.1 | ) | ||||||||
Income tax effect | 2.6 | — | 2.6 | ||||||||||
Net of tax | (4.5 | ) | — | (4.5 | ) | ||||||||
Other comprehensive income (loss), net of tax | (6.6 | ) | (0.5 | ) | (7.1 | ) | |||||||
Ending balance, net of tax | ($ | 8 | ) | ($ | 1.2 | ) | ($ | 9.2 | ) | ||||
Investment_in_Oil_and_Gas_Prop
Investment in Oil and Gas Properties | 3 Months Ended |
Mar. 31, 2015 | |
Extractive Industries [Abstract] | |
Investment in Oil and Gas Properties | Note 9 – Investment in Oil and Gas Properties |
Under the full cost method of accounting, we compare, at the end of each financial reporting period, the present value of estimated future net cash flows from proved reserves (adjusted for hedges and excluding cash flows related to estimated abandonment costs) to the net capitalized costs of proved oil and gas properties, net of related deferred taxes. We refer to this comparison as a ceiling test. If the net capitalized costs of proved oil and gas properties exceed the estimated discounted future net cash flows from proved reserves, we are required to write down the value of our oil and gas properties to the value of the discounted cash flows. At March 31, 2015, our ceiling test computation resulted in a write-down of our U.S. oil and gas properties of $491.4 million based on twelve month average prices, net of applicable differentials, of $78.99 per barrel of oil, $2.96 per Mcf of natural gas and $28.82 per barrel of natural gas liquids (“NGLs”). The write-down was decreased by $28.7 million as a result of hedges. | |
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 March 31, 2015 and December 31, 2014, were $44.2 million and $36.6 million, respectively, of capital expenditures related to our oil and gas property investments in Canada. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 10 – 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. | |
On August 2, 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 $18,372,819 plus interest, costs and attorney fees. Kimmeridge alleged that Stone was obligated to pay Kimmeridge (1) $1,118,878 for brokerage costs incurred pursuant to a letter of understanding, and (2) $17,253,941 pursuant to a letter of intent which, according to Kimmeridge’s pleadings, required Stone to negotiate in good faith and close an acquisition of mineral interests in the Illinois basin. The court granted summary judgment in favor of Stone, limiting damages on Kimmeridge’s $17,253,941 claim to $1,000,000 and reducing Stone’s exposure at trial for both claims to $2,118,878. On April 29, 2015, Stone and Kimmeridge agreed to a preliminary settlement of both claims within the previously disclosed range of loss. Final settlement is subject to the execution of definitive settlement documents. |
Guarantor_Financial_Statements
Guarantor Financial Statements | 3 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||
Guarantor Financial Statements | Note 11 – 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 March 31, 2015 and December 31, 2014 and for the three month periods ended March 31, 2015 and 2014 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 | |||||||||||||||||||||
31-Mar-15 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 131,936 | $ | 30,015 | $ | 177 | $ | — | $ | 162,128 | |||||||||||
Accounts receivable | 102,556 | 42,014 | 30 | (32,450 | ) | 112,150 | |||||||||||||||
Fair value of derivative contracts | — | 124,192 | — | — | 124,192 | ||||||||||||||||
Current income tax receivable | 24 | — | — | — | 24 | ||||||||||||||||
Inventory | 3,426 | 283 | — | — | 3,709 | ||||||||||||||||
Other current assets | 6,230 | — | 4 | — | 6,234 | ||||||||||||||||
Total current assets | 244,172 | 196,504 | 211 | (32,450 | ) | 408,437 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,716,567 | 7,171,265 | — | — | 8,887,832 | ||||||||||||||||
Less: accumulated DD&A | (1,502,385 | ) | (6,043,837 | ) | — | — | (7,546,222 | ) | |||||||||||||
Net proved oil and gas properties | 214,182 | 1,127,428 | — | — | 1,341,610 | ||||||||||||||||
Unevaluated | 297,075 | 261,172 | 44,220 | — | 602,467 | ||||||||||||||||
Other property and equipment, net | 31,828 | — | — | — | 31,828 | ||||||||||||||||
Fair value of derivative contracts | — | 13,966 | — | — | 13,966 | ||||||||||||||||
Other assets, net | 21,692 | 1,080 | 1,900 | — | 24,672 | ||||||||||||||||
Investment in subsidiary | 1,068,365 | — | 46,161 | (1,114,526 | ) | — | |||||||||||||||
Total assets | $ | 1,877,314 | $ | 1,600,150 | $ | 92,492 | ($ | 1,146,976 | ) | $ | 2,422,980 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 30,986 | $ | 61,410 | $ | 8,200 | ($ | 32,450 | ) | $ | 68,146 | ||||||||||
Undistributed oil and gas proceeds | 25,188 | 1,014 | — | — | 26,202 | ||||||||||||||||
Accrued interest | 22,243 | — | — | — | 22,243 | ||||||||||||||||
Deferred taxes * | 335 | 23,043 | — | — | 23,378 | ||||||||||||||||
Asset retirement obligations | — | 60,837 | — | — | 60,837 | ||||||||||||||||
Other current liabilities | 39,483 | 803 | — | — | 40,286 | ||||||||||||||||
Total current liabilities | 118,235 | 147,107 | 8,200 | (32,450 | ) | 241,092 | |||||||||||||||
Long-term debt | 1,044,675 | — | — | — | 1,044,675 | ||||||||||||||||
Deferred taxes * | (83,458 | ) | 181,652 | — | — | 98,194 | |||||||||||||||
Asset retirement obligations | 3,678 | 241,157 | — | — | 244,835 | ||||||||||||||||
Other long-term liabilities | 31,604 | — | — | — | 31,604 | ||||||||||||||||
Total liabilities | 1,114,734 | 569,916 | 8,200 | (32,450 | ) | 1,660,400 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 553 | — | — | — | 553 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,634,171 | 1,363,981 | 98,507 | (1,462,488 | ) | 1,634,171 | |||||||||||||||
Accumulated earnings (deficit) | (942,096 | ) | (411,672 | ) | 12 | 411,660 | (942,096 | ) | |||||||||||||
Accumulated other comprehensive income (loss) | 70,812 | 77,925 | (14,227 | ) | (63,698 | ) | 70,812 | ||||||||||||||
Total stockholders’ equity | 762,580 | 1,030,234 | 84,292 | (1,114,526 | ) | 762,580 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,877,314 | $ | 1,600,150 | $ | 92,492 | ($ | 1,146,976 | ) | $ | 2,422,980 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 72,886 | $ | 1,450 | $ | 152 | $ | — | $ | 74,488 | |||||||||||
Restricted cash | 177,647 | — | — | — | 177,647 | ||||||||||||||||
Accounts receivable | 73,711 | 46,615 | 33 | — | 120,359 | ||||||||||||||||
Fair value of derivative contracts | — | 139,179 | — | — | 139,179 | ||||||||||||||||
Current income tax receivable | 7,212 | — | — | — | 7,212 | ||||||||||||||||
Deferred taxes * | 4,095 | — | — | (4,095 | ) | — | |||||||||||||||
Inventory | 1,011 | 2,698 | — | — | 3,709 | ||||||||||||||||
Other current assets | 8,112 | — | 6 | — | 8,118 | ||||||||||||||||
Total current assets | 344,674 | 189,942 | 191 | (4,095 | ) | 530,712 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,689,802 | 7,127,466 | — | — | 8,817,268 | ||||||||||||||||
Less: accumulated DD&A | (970,387 | ) | (6,000,244 | ) | — | — | (6,970,631 | ) | |||||||||||||
Net proved oil and gas properties | 719,415 | 1,127,222 | — | — | 1,846,637 | ||||||||||||||||
Unevaluated | 289,556 | 241,230 | 36,579 | — | 567,365 | ||||||||||||||||
Other property and equipment, net | 32,340 | — | — | — | 32,340 | ||||||||||||||||
Fair value of derivative contracts | — | 14,333 | — | — | 14,333 | ||||||||||||||||
Other assets, net | 20,857 | 1,360 | 5,007 | — | 27,224 | ||||||||||||||||
Investment in subsidiary | 1,050,546 | — | 41,638 | (1,092,184 | ) | — | |||||||||||||||
Total assets | $ | 2,457,388 | $ | 1,574,087 | $ | 83,415 | ($ | 1,096,279 | ) | $ | 3,018,611 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 74,756 | $ | 57,873 | $ | — | $ | — | $ | 132,629 | |||||||||||
Undistributed oil and gas proceeds | 22,158 | 1,074 | — | — | 23,232 | ||||||||||||||||
Accrued interest | 9,022 | — | — | — | 9,022 | ||||||||||||||||
Deferred taxes * | — | 24,214 | — | (4,095 | ) | 20,119 | |||||||||||||||
Asset retirement obligations | — | 69,400 | — | — | 69,400 | ||||||||||||||||
Other current liabilities | 49,306 | 199 | — | — | 49,505 | ||||||||||||||||
Total current liabilities | 155,242 | 152,760 | — | (4,095 | ) | 303,907 | |||||||||||||||
Long-term debt | 1,041,035 | — | — | — | 1,041,035 | ||||||||||||||||
Deferred taxes * | 117,206 | 169,137 | — | — | 286,343 | ||||||||||||||||
Asset retirement obligations | 3,588 | 243,421 | — | — | 247,009 | ||||||||||||||||
Other long-term liabilities | 38,714 | — | — | — | 38,714 | ||||||||||||||||
Total liabilities | 1,355,785 | 565,318 | — | (4,095 | ) | 1,917,008 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 549 | — | — | — | 549 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,633,307 | 1,362,684 | 90,339 | (1,453,023 | ) | 1,633,307 | |||||||||||||||
Accumulated earnings (deficit) | (614,708 | ) | (440,699 | ) | 12 | 440,687 | (614,708 | ) | |||||||||||||
Accumulated other comprehensive income (loss) | 83,315 | 86,784 | (6,936 | ) | (79,848 | ) | 83,315 | ||||||||||||||
Total stockholders’ equity | 1,101,603 | 1,008,769 | 83,415 | (1,092,184 | ) | 1,101,603 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,457,388 | $ | 1,574,087 | $ | 83,415 | ($ | 1,096,279 | ) | $ | 3,018,611 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2015 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 4,350 | $ | 103,157 | $ | — | $ | — | $ | 107,507 | |||||||||||
Natural gas production | 16,617 | 11,720 | — | — | 28,337 | ||||||||||||||||
Natural gas liquids production | 9,879 | 2,487 | — | — | 12,366 | ||||||||||||||||
Other operational income | 2,160 | — | — | — | 2,160 | ||||||||||||||||
Derivative income, net | — | 3,128 | — | — | 3,128 | ||||||||||||||||
Total operating revenue | 33,006 | 120,492 | — | — | 153,498 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 4,976 | 22,601 | — | — | 27,577 | ||||||||||||||||
Transportation, processing and gathering expenses | 16,108 | 1,595 | — | — | 17,703 | ||||||||||||||||
Production taxes | 2,198 | 317 | — | — | 2,515 | ||||||||||||||||
Depreciation, depletion, amortization | 42,112 | 44,310 | — | — | 86,422 | ||||||||||||||||
Write-down of oil and gas properties | 491,412 | — | — | — | 491,412 | ||||||||||||||||
Accretion expense | 91 | 6,318 | — | — | 6,409 | ||||||||||||||||
Salaries, general and administrative | 17,001 | 1 | 5 | — | 17,007 | ||||||||||||||||
Incentive compensation expense | 1,563 | — | — | — | 1,563 | ||||||||||||||||
Other operational expense | 84 | — | — | — | 84 | ||||||||||||||||
Total operating expenses | 575,545 | 75,142 | 5 | — | 650,692 | ||||||||||||||||
Income (loss) from operations | (542,539 | ) | 45,350 | (5 | ) | — | (497,194 | ) | |||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 10,344 | 21 | — | — | 10,365 | ||||||||||||||||
Interest income | (101 | ) | (16 | ) | (5 | ) | — | (122 | ) | ||||||||||||
Other income | (133 | ) | (10 | ) | — | — | (143 | ) | |||||||||||||
Income from investment in subsidiaries | (29,027 | ) | — | — | 29,027 | — | |||||||||||||||
Total other (income) expenses | (18,917 | ) | (5 | ) | (5 | ) | 29,027 | 10,100 | |||||||||||||
Income (loss) before taxes | (523,622 | ) | 45,355 | — | (29,027 | ) | (507,294 | ) | |||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Deferred | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Total income taxes | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 327,388 | ) | ||||||||
Comprehensive income (loss) | ($ | 339,891 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 339,891 | ) | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 6,636 | $ | 131,653 | $ | — | $ | — | $ | 138,289 | |||||||||||
Natural gas production | 28,839 | 27,523 | — | — | 56,362 | ||||||||||||||||
Natural gas liquids production | 18,254 | 9,716 | — | — | 27,970 | ||||||||||||||||
Other operational income | 1,042 | 167 | — | — | 1,209 | ||||||||||||||||
Total operating revenue | 54,771 | 169,059 | — | — | 223,830 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 4,013 | 42,890 | — | — | 46,903 | ||||||||||||||||
Transportation, processing and gathering expenses | 10,317 | 4,309 | — | — | 14,626 | ||||||||||||||||
Production taxes | 1,681 | 1,381 | — | — | 3,062 | ||||||||||||||||
Depreciation, depletion, amortization | 28,055 | 54,591 | — | — | 82,646 | ||||||||||||||||
Accretion expense | 68 | 7,487 | — | — | 7,555 | ||||||||||||||||
Salaries, general and administrative | 16,325 | 2 | 2 | — | 16,329 | ||||||||||||||||
Incentive compensation expense | 3,134 | — | — | — | 3,134 | ||||||||||||||||
Other operational expenses | 394 | 30 | — | — | 424 | ||||||||||||||||
Derivative expense, net | — | 599 | — | — | 599 | ||||||||||||||||
Total operating expenses | 63,987 | 111,289 | 2 | — | 175,278 | ||||||||||||||||
Income (loss) from operations | (9,216 | ) | 57,770 | (2 | ) | — | 48,552 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 8,353 | 4 | — | — | 8,357 | ||||||||||||||||
Interest income | (79 | ) | (58 | ) | (6 | ) | — | (143 | ) | ||||||||||||
Other income | (181 | ) | (526 | ) | — | — | (707 | ) | |||||||||||||
Income from investment in subsidiaries | (37,345 | ) | — | (4 | ) | 37,349 | — | ||||||||||||||
Total other (income) expenses | (29,252 | ) | (580 | ) | (10 | ) | 37,349 | 7,507 | |||||||||||||
Income before taxes | 20,036 | 58,350 | 8 | (37,349 | ) | 41,045 | |||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Deferred | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Total income taxes | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Net income | $ | 25,943 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 25,943 | ||||||||||
Comprehensive income | $ | 18,854 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 18,854 | ||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2015 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non-Guarantor | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Subsidiaries | ||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 327,388 | ) | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 42,112 | 44,310 | — | — | 86,422 | ||||||||||||||||
Write-down of oil and gas properties | 491,412 | — | — | — | 491,412 | ||||||||||||||||
Accretion expense | 91 | 6,318 | — | — | 6,409 | ||||||||||||||||
Deferred income tax (benefit) provision | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Settlement of asset retirement obligations | (1 | ) | (17,144 | ) | — | — | (17,145 | ) | |||||||||||||
Non-cash stock compensation expense | 2,640 | — | — | — | 2.64 | ||||||||||||||||
Non-cash derivative expense | — | 1,511 | — | — | 1,511 | ||||||||||||||||
Non-cash interest expense | 4,318 | — | — | — | 4,318 | ||||||||||||||||
Change in current income taxes | 7,188 | — | — | — | 7,188 | ||||||||||||||||
Non-cash income from investment in subsidiaries | (29,027 | ) | — | — | 29,027 | — | |||||||||||||||
Change in intercompany receivables/payables | (33,748 | ) | 25,548 | 8,200 | — | — | |||||||||||||||
Decrease in accounts receivable | 3,606 | 4,600 | — | — | 8,206 | ||||||||||||||||
Decrease in other current assets | 1,881 | — | 2 | — | 1,883 | ||||||||||||||||
(Increase) decrease in inventory | (2,415 | ) | 2,415 | — | — | — | |||||||||||||||
Decrease in accounts payable | (1,007 | ) | (7,650 | ) | — | — | (8,657 | ) | |||||||||||||
Increase in other current liabilities | 6,347 | 542 | — | — | 6,889 | ||||||||||||||||
Other | (249 | ) | (11 | ) | — | — | (260 | ) | |||||||||||||
Net cash (used in) provided by operating activities | (30,474 | ) | 105,794 | 8,202 | — | 83,522 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (84,470 | ) | (77,229 | ) | (8,196 | ) | — | (169,895 | ) | ||||||||||||
Investment in fixed and other assets | (662 | ) | — | — | — | (662 | ) | ||||||||||||||
Change in restricted funds | 177,647 | — | (5 | ) | — | 177,642 | |||||||||||||||
Investment in subsidiaries | — | — | (8,168 | ) | 8,168 | — | |||||||||||||||
Net cash provided by (used in) investing activities | 92,515 | (77,229 | ) | (16,369 | ) | 8,168 | 7,085 | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from bank borrowings | 5,000 | — | — | — | 5,000 | ||||||||||||||||
Repayments of bank borrowings | (5,000 | ) | — | — | — | (5,000 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 8,168 | (8,168 | ) | — | |||||||||||||||
Net payments for share-based compensation | (2,991 | ) | — | — | — | (2,991 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (2,991 | ) | — | 8,168 | (8,168 | ) | (2,991 | ) | |||||||||||||
Effect of exchange rate changes on cash | — | — | 24 | — | 24 | ||||||||||||||||
Net change in cash and cash equivalents | 59,050 | 28,565 | 25 | — | 87,640 | ||||||||||||||||
Cash and cash equivalents, beginning of period | 72,886 | 1,450 | 152 | — | 74,488 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 131,936 | $ | 30,015 | $ | 177 | $ | — | $ | 162,128 | |||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income | $ | 25,943 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 25,943 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 28,055 | 54,591 | — | — | 82,646 | ||||||||||||||||
Accretion expense | 68 | 7,487 | — | — | 7,555 | ||||||||||||||||
Deferred income tax provision (benefit) | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Settlement of asset retirement obligations | — | (9,842 | ) | — | — | (9,842 | ) | ||||||||||||||
Non-cash stock compensation expense | 2,247 | — | — | — | 2,247 | ||||||||||||||||
Non-cash derivative expense | — | 448 | — | — | 448 | ||||||||||||||||
Non-cash interest expense | 4,070 | — | — | — | 4,070 | ||||||||||||||||
Non-cash income from investment in subsidiaries | (37,345 | ) | — | (4 | ) | 37,349 | — | ||||||||||||||
Change in intercompany receivables/payables | (51,037 | ) | 47,637 | 3,400 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (24,762 | ) | 6,160 | — | — | (18,602 | ) | ||||||||||||||
Decrease in other current assets | 100 | — | — | — | 100 | ||||||||||||||||
Increase in inventory | (928 | ) | — | — | — | (928 | ) | ||||||||||||||
Increase (decrease) in accounts payable | 1,501 | (208 | ) | — | — | 1,293 | |||||||||||||||
Increase in other current liabilities | 5,212 | 608 | — | — | 5,820 | ||||||||||||||||
Other | 145 | (525 | ) | — | — | (380 | ) | ||||||||||||||
Net cash (used in) provided by operating activities | (52,638 | ) | 164,706 | 3,404 | — | 115,472 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (46,772 | ) | (236,903 | ) | (3,500 | ) | — | (287,175 | ) | ||||||||||||
Proceeds from sale of oil and gas properties, net of expenses | 9,700 | 42,254 | — | — | 51,954 | ||||||||||||||||
Investment in fixed and other assets | (1,654 | ) | — | — | — | (1,654 | ) | ||||||||||||||
Change in restricted funds | — | — | (358 | ) | — | (358 | ) | ||||||||||||||
Investment in subsidiaries | — | — | (3,955 | ) | 3,955 | — | |||||||||||||||
Net cash used in investing activities | (38,726 | ) | (194,649 | ) | (7,813 | ) | 3,955 | (237,233 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Deferred financing costs | (126 | ) | — | — | — | (126 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 3,955 | (3,955 | ) | — | |||||||||||||||
Net payments for share-based compensation | (6,565 | ) | — | — | — | (6,565 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (6,691 | ) | — | 3,955 | (3,955 | ) | (6,691 | ) | |||||||||||||
Effect of exchange rate on cash | — | — | (11 | ) | — | (11 | ) | ||||||||||||||
Net change in cash and cash equivalents | (98,055 | ) | (29,943 | ) | (465 | ) | — | (128,463 | ) | ||||||||||||
Cash and cash equivalents, beginning of period | 246,294 | 84,290 | 640 | — | 331,224 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 148,239 | $ | 54,347 | $ | 175 | $ | — | $ | 202,761 | |||||||||||
Earnings_Per_Share_Policies
Earnings Per Share (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
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 4 – Long-Term Debt) in cash, we have used the treasury method for determining dilution in the diluted earnings per share computation. For the three months ended March 31, 2015, there was no dilutive effect on the diluted earnings per share computation because we had a net loss for such period. For the three months ended March 31, 2014, 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 period. For the three months ended March 31, 2015 and 2014, the average price of our common stock was less than the strike price of the Sold Warrants (as defined in Note 4 – 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 4 – 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. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
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 | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands, except per share data) | |||||||||
Income (numerator): | |||||||||
Basic: | |||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 25,943 | ||||
Net income attributable to participating securities | — | (537 | ) | ||||||
Net income (loss) attributable to common stock—basic | ($ | 327,388 | ) | $ | 25,406 | ||||
Diluted: | |||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 25,943 | ||||
Net income attributable to participating securities | — | (537 | ) | ||||||
Net income (loss) attributable to common stock—diluted | ($ | 327,388 | ) | $ | 25,406 | ||||
Weighted average shares (denominator): | |||||||||
Weighted average shares—basic | 55,181 | 49,013 | |||||||
Dilutive effect of stock options | — | 49 | |||||||
Weighted average shares—diluted | 55,181 | 49,062 | |||||||
Basic earnings (loss) per share | ($ | 5.93 | ) | $ | 0.52 | ||||
Diluted earnings (loss) per share | ($ | 5.93 | ) | $ | 0.52 | ||||
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Hedging Positions | The following table illustrates our derivative positions for calendar years 2015 and 2016 as of May 4, 2015: | ||||||||||||||||||||||||||||
Fixed-Price Swaps (NYMEX) | |||||||||||||||||||||||||||||
Natural Gas | Oil | ||||||||||||||||||||||||||||
Daily Volume | Swap Price | Daily Volume | Swap Price | ||||||||||||||||||||||||||
(MMBtus/d) | ($) | (Bbls/d) | ($) | ||||||||||||||||||||||||||
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 | 91.05 | |||||||||||||||||||||||||
2015 | 10,000 | 4.255 | 1,000 | 93.28 | |||||||||||||||||||||||||
2015 | 1,000 | 93.37 | |||||||||||||||||||||||||||
2015 | 1,000 | 94.85 | |||||||||||||||||||||||||||
2015 | 1,000 | 95 | |||||||||||||||||||||||||||
2016 | 10,000 | 4.11 | 1,000 | 90 | |||||||||||||||||||||||||
2016 | 10,000 | 4.12 | |||||||||||||||||||||||||||
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 March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at March 31, 2015 | |||||||||||||||||||||||||||||
(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 | $ | 113 | Current liabilities: Fair value of derivative contracts | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 14 | Long-term liabilities: Fair value of derivative contracts | — | ||||||||||||||||||||||||||
$ | 127 | $ | — | ||||||||||||||||||||||||||
Fair Value of Derivatives Qualifying as Hedging Instruments at December 31, 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 | $ | 127 | Current liabilities: Fair value of derivative contracts | $ | — | |||||||||||||||||||||||
Long-term assets: Fair value of derivative contracts | 14.3 | Long-term liabilities: Fair value of derivative contracts | — | ||||||||||||||||||||||||||
$ | 141.3 | $ | — | ||||||||||||||||||||||||||
Before Tax Effect of Derivative Instruments in Statement of Operations | The following table discloses the before tax effect of derivatives qualifying as hedging instruments, as reported in the statement of operations, for the three month periods ended March 31, 2015 and 2014: | ||||||||||||||||||||||||||||
Effect of Derivatives Qualifying as Hedging Instruments on the Statement of Operations | |||||||||||||||||||||||||||||
for the Three Months Ended March 31, 2015 and 2014 | |||||||||||||||||||||||||||||
(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) | |||||||||||||||||||||||||||||
2015 | 2014 | Location | 2015 | 2014 | Location | 2015 | 2014 | ||||||||||||||||||||||
Commodity contracts | $ | 22.9 | ($ | 17.4 | ) | Operating revenue—oil/gas production | $ | 36.8 | ($ | 7.1 | ) | Derivative income (expense), net | $ | 0.9 | ($ | 0.6 | ) | ||||||||||||
Total | $ | 22.9 | ($ | 17.4 | ) | $ | 36.8 | ($ | 7.1 | ) | $ | 0.9 | ($ | 0.6 | ) | ||||||||||||||
(a) | For the three months ended March 31, 2015, effective hedging contracts increased oil revenue by $34.0 million and increased gas revenue by $2.8 million. For the three months ended March 31, 2014, effective hedging contracts decreased oil revenue by $2.5 million and decreased gas revenue by $4.6 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 March 31, 2015 and December 31, 2014. | ||||||||||||||||||||||||||||
Fair Value of Derivatives Not Qualifying as Hedging Instruments | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Balance Sheet Location | March 31, | December 31, | ||||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||||||
Commodity contracts | Current assets: Fair value of derivative contracts | $ | 11.2 | $ | 12.1 | ||||||||||||||||||||||||
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 operations. The following table discloses the before tax effect of our derivatives not qualifying as hedging instruments on the statement of operations for the three month period ended March 31, 2015. During the three month period ended March 31, 2014, all of our derivatives qualified as hedging instruments. | ||||||||||||||||||||||||||||
Amount of Gain Recognized in Derivative Income | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Description | Three Months Ended | ||||||||||||||||||||||||||||
March 31, 2015 | |||||||||||||||||||||||||||||
Commodity contracts: | |||||||||||||||||||||||||||||
Cash settlements | $ | 3.1 | |||||||||||||||||||||||||||
Change in fair value | (0.9 | ) | |||||||||||||||||||||||||||
Total gains on non-qualifying hedges | $ | 2.2 | |||||||||||||||||||||||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Long-Term Debt | Long-term debt consisted of the following at: | ||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
(In millions) | |||||||||
1 3⁄4% Senior Convertible Notes due 2017 | $ | 269.7 | $ | 266 | |||||
7 1⁄2% Senior Notes due 2022 | 775 | 775 | |||||||
Bank debt | — | — | |||||||
Total long-term debt | $ | 1,044.70 | $ | 1,041.00 | |||||
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Asset Retirement Obligation Disclosure [Abstract] | |||||
Changes in Asset Retirement Obligations | The change in our asset retirement obligations during the three months ended March 31, 2015 is set forth below: | ||||
Three Months | |||||
Ended | |||||
March 31, 2015 | |||||
(In millions) | |||||
Asset retirement obligations as of the beginning of the period, including current portion | $ | 316.4 | |||
Liabilities settled | (17.1 | ) | |||
Accretion expense | 6.4 | ||||
Asset retirement obligations as of the end of the period, including current portion | $ | 305.7 | |||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
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 March 31, 2015: | ||||||||||||||||
Fair Value Measurements at March 31, 2015 | |||||||||||||||||
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) | $ | 8.8 | $ | 8.8 | $ | — | $ | — | |||||||||
Derivative contracts | 138.2 | — | 138.2 | — | |||||||||||||
Total | $ | 147 | $ | 8.8 | $ | 138.2 | $ | — | |||||||||
Fair Value Measurements at March 31, 2015 | |||||||||||||||||
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 | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
The following tables present our assets and liabilities that are measured at fair value on a recurring basis at December 31, 2014: | |||||||||||||||||
Fair Value Measurements at December 31, 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) | $ | 8.4 | $ | 8.4 | $ | — | $ | — | |||||||||
Derivative contracts | 153.5 | — | 153.5 | — | |||||||||||||
Total | $ | 161.9 | $ | 8.4 | $ | 153.5 | $ | — | |||||||||
Fair Value Measurements at December 31, 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 | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Equity [Abstract] | |||||||||||||
Schedule of Changes in Accumulated Other Comprehensive Income Loss | Changes in accumulated other comprehensive income (loss) by component for the three months ended March 31, 2015 and 2014 were as follows (in millions): | ||||||||||||
Cash | Foreign | Total | |||||||||||
Flow | Currency | ||||||||||||
Hedges | Items | ||||||||||||
For the Three Months Ended March 31, 2015 | |||||||||||||
Beginning balance, net of tax | $ | 86.8 | ($ | 3.5 | ) | $ | 83.3 | ||||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | 22.9 | — | 22.9 | ||||||||||
Foreign currency translations | — | (3.6 | ) | (3.6 | ) | ||||||||
Income tax effect | (8.2 | ) | — | (8.2 | ) | ||||||||
Net of tax | 14.7 | (3.6 | ) | 11.1 | |||||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | 36.8 | — | 36.8 | ||||||||||
Income tax effect | (13.2 | ) | — | (13.2 | ) | ||||||||
Net of tax | 23.6 | — | 23.6 | ||||||||||
Other comprehensive income (loss), net of tax | (8.9 | ) | (3.6 | ) | (12.5 | ) | |||||||
Ending balance, net of tax | $ | 77.9 | ($ | 7.1 | ) | $ | 70.8 | ||||||
Cash | Foreign | Total | |||||||||||
Flow | Currency | ||||||||||||
Hedges | Items | ||||||||||||
For the Three Months Ended March 31, 2014 | |||||||||||||
Beginning balance, net of tax | ($ | 1.4 | ) | ($ | 0.7 | ) | ($ | 2.1 | ) | ||||
Other comprehensive income (loss) before reclassifications: | |||||||||||||
Change in fair value of derivatives | (17.4 | ) | — | (17.4 | ) | ||||||||
Foreign currency translations | — | (0.5 | ) | (0.5 | ) | ||||||||
Income tax effect | 6.3 | — | 6.3 | ||||||||||
Net of tax | (11.1 | ) | (0.5 | ) | (11.6 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||
Operating revenue: oil/gas production | (7.1 | ) | — | (7.1 | ) | ||||||||
Income tax effect | 2.6 | — | 2.6 | ||||||||||
Net of tax | (4.5 | ) | — | (4.5 | ) | ||||||||
Other comprehensive income (loss), net of tax | (6.6 | ) | (0.5 | ) | (7.1 | ) | |||||||
Ending balance, net of tax | ($ | 8 | ) | ($ | 1.2 | ) | ($ | 9.2 | ) | ||||
Guarantor_Financial_Statements1
Guarantor Financial Statements (Tables) | 3 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||||||
Condensed Consolidating Balance Sheet | CONDENSED CONSOLIDATING BALANCE SHEET | ||||||||||||||||||||
31-Mar-15 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 131,936 | $ | 30,015 | $ | 177 | $ | — | $ | 162,128 | |||||||||||
Accounts receivable | 102,556 | 42,014 | 30 | (32,450 | ) | 112,150 | |||||||||||||||
Fair value of derivative contracts | — | 124,192 | — | — | 124,192 | ||||||||||||||||
Current income tax receivable | 24 | — | — | — | 24 | ||||||||||||||||
Inventory | 3,426 | 283 | — | — | 3,709 | ||||||||||||||||
Other current assets | 6,230 | — | 4 | — | 6,234 | ||||||||||||||||
Total current assets | 244,172 | 196,504 | 211 | (32,450 | ) | 408,437 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,716,567 | 7,171,265 | — | — | 8,887,832 | ||||||||||||||||
Less: accumulated DD&A | (1,502,385 | ) | (6,043,837 | ) | — | — | (7,546,222 | ) | |||||||||||||
Net proved oil and gas properties | 214,182 | 1,127,428 | — | — | 1,341,610 | ||||||||||||||||
Unevaluated | 297,075 | 261,172 | 44,220 | — | 602,467 | ||||||||||||||||
Other property and equipment, net | 31,828 | — | — | — | 31,828 | ||||||||||||||||
Fair value of derivative contracts | — | 13,966 | — | — | 13,966 | ||||||||||||||||
Other assets, net | 21,692 | 1,080 | 1,900 | — | 24,672 | ||||||||||||||||
Investment in subsidiary | 1,068,365 | — | 46,161 | (1,114,526 | ) | — | |||||||||||||||
Total assets | $ | 1,877,314 | $ | 1,600,150 | $ | 92,492 | ($ | 1,146,976 | ) | $ | 2,422,980 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 30,986 | $ | 61,410 | $ | 8,200 | ($ | 32,450 | ) | $ | 68,146 | ||||||||||
Undistributed oil and gas proceeds | 25,188 | 1,014 | — | — | 26,202 | ||||||||||||||||
Accrued interest | 22,243 | — | — | — | 22,243 | ||||||||||||||||
Deferred taxes * | 335 | 23,043 | — | — | 23,378 | ||||||||||||||||
Asset retirement obligations | — | 60,837 | — | — | 60,837 | ||||||||||||||||
Other current liabilities | 39,483 | 803 | — | — | 40,286 | ||||||||||||||||
Total current liabilities | 118,235 | 147,107 | 8,200 | (32,450 | ) | 241,092 | |||||||||||||||
Long-term debt | 1,044,675 | — | — | — | 1,044,675 | ||||||||||||||||
Deferred taxes * | (83,458 | ) | 181,652 | — | — | 98,194 | |||||||||||||||
Asset retirement obligations | 3,678 | 241,157 | — | — | 244,835 | ||||||||||||||||
Other long-term liabilities | 31,604 | — | — | — | 31,604 | ||||||||||||||||
Total liabilities | 1,114,734 | 569,916 | 8,200 | (32,450 | ) | 1,660,400 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 553 | — | — | — | 553 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,634,171 | 1,363,981 | 98,507 | (1,462,488 | ) | 1,634,171 | |||||||||||||||
Accumulated earnings (deficit) | (942,096 | ) | (411,672 | ) | 12 | 411,660 | (942,096 | ) | |||||||||||||
Accumulated other comprehensive income (loss) | 70,812 | 77,925 | (14,227 | ) | (63,698 | ) | 70,812 | ||||||||||||||
Total stockholders’ equity | 762,580 | 1,030,234 | 84,292 | (1,114,526 | ) | 762,580 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,877,314 | $ | 1,600,150 | $ | 92,492 | ($ | 1,146,976 | ) | $ | 2,422,980 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 72,886 | $ | 1,450 | $ | 152 | $ | — | $ | 74,488 | |||||||||||
Restricted cash | 177,647 | — | — | — | 177,647 | ||||||||||||||||
Accounts receivable | 73,711 | 46,615 | 33 | — | 120,359 | ||||||||||||||||
Fair value of derivative contracts | — | 139,179 | — | — | 139,179 | ||||||||||||||||
Current income tax receivable | 7,212 | — | — | — | 7,212 | ||||||||||||||||
Deferred taxes * | 4,095 | — | — | (4,095 | ) | — | |||||||||||||||
Inventory | 1,011 | 2,698 | — | — | 3,709 | ||||||||||||||||
Other current assets | 8,112 | — | 6 | — | 8,118 | ||||||||||||||||
Total current assets | 344,674 | 189,942 | 191 | (4,095 | ) | 530,712 | |||||||||||||||
Oil and gas properties, full cost method: | |||||||||||||||||||||
Proved | 1,689,802 | 7,127,466 | — | — | 8,817,268 | ||||||||||||||||
Less: accumulated DD&A | (970,387 | ) | (6,000,244 | ) | — | — | (6,970,631 | ) | |||||||||||||
Net proved oil and gas properties | 719,415 | 1,127,222 | — | — | 1,846,637 | ||||||||||||||||
Unevaluated | 289,556 | 241,230 | 36,579 | — | 567,365 | ||||||||||||||||
Other property and equipment, net | 32,340 | — | — | — | 32,340 | ||||||||||||||||
Fair value of derivative contracts | — | 14,333 | — | — | 14,333 | ||||||||||||||||
Other assets, net | 20,857 | 1,360 | 5,007 | — | 27,224 | ||||||||||||||||
Investment in subsidiary | 1,050,546 | — | 41,638 | (1,092,184 | ) | — | |||||||||||||||
Total assets | $ | 2,457,388 | $ | 1,574,087 | $ | 83,415 | ($ | 1,096,279 | ) | $ | 3,018,611 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable to vendors | $ | 74,756 | $ | 57,873 | $ | — | $ | — | $ | 132,629 | |||||||||||
Undistributed oil and gas proceeds | 22,158 | 1,074 | — | — | 23,232 | ||||||||||||||||
Accrued interest | 9,022 | — | — | — | 9,022 | ||||||||||||||||
Deferred taxes * | — | 24,214 | — | (4,095 | ) | 20,119 | |||||||||||||||
Asset retirement obligations | — | 69,400 | — | — | 69,400 | ||||||||||||||||
Other current liabilities | 49,306 | 199 | — | — | 49,505 | ||||||||||||||||
Total current liabilities | 155,242 | 152,760 | — | (4,095 | ) | 303,907 | |||||||||||||||
Long-term debt | 1,041,035 | — | — | — | 1,041,035 | ||||||||||||||||
Deferred taxes * | 117,206 | 169,137 | — | — | 286,343 | ||||||||||||||||
Asset retirement obligations | 3,588 | 243,421 | — | — | 247,009 | ||||||||||||||||
Other long-term liabilities | 38,714 | — | — | — | 38,714 | ||||||||||||||||
Total liabilities | 1,355,785 | 565,318 | — | (4,095 | ) | 1,917,008 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | |||||||||||||||||||||
Common stock | 549 | — | — | — | 549 | ||||||||||||||||
Treasury stock | (860 | ) | — | — | — | (860 | ) | ||||||||||||||
Additional paid-in capital | 1,633,307 | 1,362,684 | 90,339 | (1,453,023 | ) | 1,633,307 | |||||||||||||||
Accumulated earnings (deficit) | (614,708 | ) | (440,699 | ) | 12 | 440,687 | (614,708 | ) | |||||||||||||
Accumulated other comprehensive income (loss) | 83,315 | 86,784 | (6,936 | ) | (79,848 | ) | 83,315 | ||||||||||||||
Total stockholders’ equity | 1,101,603 | 1,008,769 | 83,415 | (1,092,184 | ) | 1,101,603 | |||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,457,388 | $ | 1,574,087 | $ | 83,415 | ($ | 1,096,279 | ) | $ | 3,018,611 | ||||||||||
* | Deferred income taxes have been allocated to the Guarantor Subsidiary where related oil and gas properties reside. | ||||||||||||||||||||
Condensed Consolidating Statement of Operations | CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | ||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2015 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 4,350 | $ | 103,157 | $ | — | $ | — | $ | 107,507 | |||||||||||
Natural gas production | 16,617 | 11,720 | — | — | 28,337 | ||||||||||||||||
Natural gas liquids production | 9,879 | 2,487 | — | — | 12,366 | ||||||||||||||||
Other operational income | 2,160 | — | — | — | 2,160 | ||||||||||||||||
Derivative income, net | — | 3,128 | — | — | 3,128 | ||||||||||||||||
Total operating revenue | 33,006 | 120,492 | — | — | 153,498 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 4,976 | 22,601 | — | — | 27,577 | ||||||||||||||||
Transportation, processing and gathering expenses | 16,108 | 1,595 | — | — | 17,703 | ||||||||||||||||
Production taxes | 2,198 | 317 | — | — | 2,515 | ||||||||||||||||
Depreciation, depletion, amortization | 42,112 | 44,310 | — | — | 86,422 | ||||||||||||||||
Write-down of oil and gas properties | 491,412 | — | — | — | 491,412 | ||||||||||||||||
Accretion expense | 91 | 6,318 | — | — | 6,409 | ||||||||||||||||
Salaries, general and administrative | 17,001 | 1 | 5 | — | 17,007 | ||||||||||||||||
Incentive compensation expense | 1,563 | — | — | — | 1,563 | ||||||||||||||||
Other operational expense | 84 | — | — | — | 84 | ||||||||||||||||
Total operating expenses | 575,545 | 75,142 | 5 | — | 650,692 | ||||||||||||||||
Income (loss) from operations | (542,539 | ) | 45,350 | (5 | ) | — | (497,194 | ) | |||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 10,344 | 21 | — | — | 10,365 | ||||||||||||||||
Interest income | (101 | ) | (16 | ) | (5 | ) | — | (122 | ) | ||||||||||||
Other income | (133 | ) | (10 | ) | — | — | (143 | ) | |||||||||||||
Income from investment in subsidiaries | (29,027 | ) | — | — | 29,027 | — | |||||||||||||||
Total other (income) expenses | (18,917 | ) | (5 | ) | (5 | ) | 29,027 | 10,100 | |||||||||||||
Income (loss) before taxes | (523,622 | ) | 45,355 | — | (29,027 | ) | (507,294 | ) | |||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Deferred | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Total income taxes | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 327,388 | ) | ||||||||
Comprehensive income (loss) | ($ | 339,891 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 339,891 | ) | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Operating revenue: | |||||||||||||||||||||
Oil production | $ | 6,636 | $ | 131,653 | $ | — | $ | — | $ | 138,289 | |||||||||||
Natural gas production | 28,839 | 27,523 | — | — | 56,362 | ||||||||||||||||
Natural gas liquids production | 18,254 | 9,716 | — | — | 27,970 | ||||||||||||||||
Other operational income | 1,042 | 167 | — | — | 1,209 | ||||||||||||||||
Total operating revenue | 54,771 | 169,059 | — | — | 223,830 | ||||||||||||||||
Operating expenses: | |||||||||||||||||||||
Lease operating expenses | 4,013 | 42,890 | — | — | 46,903 | ||||||||||||||||
Transportation, processing and gathering expenses | 10,317 | 4,309 | — | — | 14,626 | ||||||||||||||||
Production taxes | 1,681 | 1,381 | — | — | 3,062 | ||||||||||||||||
Depreciation, depletion, amortization | 28,055 | 54,591 | — | — | 82,646 | ||||||||||||||||
Accretion expense | 68 | 7,487 | — | — | 7,555 | ||||||||||||||||
Salaries, general and administrative | 16,325 | 2 | 2 | — | 16,329 | ||||||||||||||||
Incentive compensation expense | 3,134 | — | — | — | 3,134 | ||||||||||||||||
Other operational expenses | 394 | 30 | — | — | 424 | ||||||||||||||||
Derivative expense, net | — | 599 | — | — | 599 | ||||||||||||||||
Total operating expenses | 63,987 | 111,289 | 2 | — | 175,278 | ||||||||||||||||
Income (loss) from operations | (9,216 | ) | 57,770 | (2 | ) | — | 48,552 | ||||||||||||||
Other (income) expenses: | |||||||||||||||||||||
Interest expense | 8,353 | 4 | — | — | 8,357 | ||||||||||||||||
Interest income | (79 | ) | (58 | ) | (6 | ) | — | (143 | ) | ||||||||||||
Other income | (181 | ) | (526 | ) | — | — | (707 | ) | |||||||||||||
Income from investment in subsidiaries | (37,345 | ) | — | (4 | ) | 37,349 | — | ||||||||||||||
Total other (income) expenses | (29,252 | ) | (580 | ) | (10 | ) | 37,349 | 7,507 | |||||||||||||
Income before taxes | 20,036 | 58,350 | 8 | (37,349 | ) | 41,045 | |||||||||||||||
Provision (benefit) for income taxes: | |||||||||||||||||||||
Deferred | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Total income taxes | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Net income | $ | 25,943 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 25,943 | ||||||||||
Comprehensive income | $ | 18,854 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 18,854 | ||||||||||
Condensed Consolidating Statement of Cash Flows | CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | ||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2015 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non-Guarantor | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Subsidiaries | ||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income (loss) | ($ | 327,388 | ) | $ | 29,027 | $ | — | ($ | 29,027 | ) | ($ | 327,388 | ) | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 42,112 | 44,310 | — | — | 86,422 | ||||||||||||||||
Write-down of oil and gas properties | 491,412 | — | — | — | 491,412 | ||||||||||||||||
Accretion expense | 91 | 6,318 | — | — | 6,409 | ||||||||||||||||
Deferred income tax (benefit) provision | (196,234 | ) | 16,328 | — | — | (179,906 | ) | ||||||||||||||
Settlement of asset retirement obligations | (1 | ) | (17,144 | ) | — | — | (17,145 | ) | |||||||||||||
Non-cash stock compensation expense | 2,640 | — | — | — | 2.64 | ||||||||||||||||
Non-cash derivative expense | — | 1,511 | — | — | 1,511 | ||||||||||||||||
Non-cash interest expense | 4,318 | — | — | — | 4,318 | ||||||||||||||||
Change in current income taxes | 7,188 | — | — | — | 7,188 | ||||||||||||||||
Non-cash income from investment in subsidiaries | (29,027 | ) | — | — | 29,027 | — | |||||||||||||||
Change in intercompany receivables/payables | (33,748 | ) | 25,548 | 8,200 | — | — | |||||||||||||||
Decrease in accounts receivable | 3,606 | 4,600 | — | — | 8,206 | ||||||||||||||||
Decrease in other current assets | 1,881 | — | 2 | — | 1,883 | ||||||||||||||||
(Increase) decrease in inventory | (2,415 | ) | 2,415 | — | — | — | |||||||||||||||
Decrease in accounts payable | (1,007 | ) | (7,650 | ) | — | — | (8,657 | ) | |||||||||||||
Increase in other current liabilities | 6,347 | 542 | — | — | 6,889 | ||||||||||||||||
Other | (249 | ) | (11 | ) | — | — | (260 | ) | |||||||||||||
Net cash (used in) provided by operating activities | (30,474 | ) | 105,794 | 8,202 | — | 83,522 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (84,470 | ) | (77,229 | ) | (8,196 | ) | — | (169,895 | ) | ||||||||||||
Investment in fixed and other assets | (662 | ) | — | — | — | (662 | ) | ||||||||||||||
Change in restricted funds | 177,647 | — | (5 | ) | — | 177,642 | |||||||||||||||
Investment in subsidiaries | — | — | (8,168 | ) | 8,168 | — | |||||||||||||||
Net cash provided by (used in) investing activities | 92,515 | (77,229 | ) | (16,369 | ) | 8,168 | 7,085 | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from bank borrowings | 5,000 | — | — | — | 5,000 | ||||||||||||||||
Repayments of bank borrowings | (5,000 | ) | — | — | — | (5,000 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 8,168 | (8,168 | ) | — | |||||||||||||||
Net payments for share-based compensation | (2,991 | ) | — | — | — | (2,991 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (2,991 | ) | — | 8,168 | (8,168 | ) | (2,991 | ) | |||||||||||||
Effect of exchange rate changes on cash | — | — | 24 | — | 24 | ||||||||||||||||
Net change in cash and cash equivalents | 59,050 | 28,565 | 25 | — | 87,640 | ||||||||||||||||
Cash and cash equivalents, beginning of period | 72,886 | 1,450 | 152 | — | 74,488 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 131,936 | $ | 30,015 | $ | 177 | $ | — | $ | 162,128 | |||||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||
THREE MONTHS ENDED MARCH 31, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Parent | Guarantor | Non- | Eliminations | Consolidated | |||||||||||||||||
Subsidiary | Guarantor | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net income | $ | 25,943 | $ | 37,341 | $ | 8 | ($ | 37,349 | ) | $ | 25,943 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||
Depreciation, depletion and amortization | 28,055 | 54,591 | — | — | 82,646 | ||||||||||||||||
Accretion expense | 68 | 7,487 | — | — | 7,555 | ||||||||||||||||
Deferred income tax provision (benefit) | (5,907 | ) | 21,009 | — | — | 15,102 | |||||||||||||||
Settlement of asset retirement obligations | — | (9,842 | ) | — | — | (9,842 | ) | ||||||||||||||
Non-cash stock compensation expense | 2,247 | — | — | — | 2,247 | ||||||||||||||||
Non-cash derivative expense | — | 448 | — | — | 448 | ||||||||||||||||
Non-cash interest expense | 4,070 | — | — | — | 4,070 | ||||||||||||||||
Non-cash income from investment in subsidiaries | (37,345 | ) | — | (4 | ) | 37,349 | — | ||||||||||||||
Change in intercompany receivables/payables | (51,037 | ) | 47,637 | 3,400 | — | — | |||||||||||||||
(Increase) decrease in accounts receivable | (24,762 | ) | 6,160 | — | — | (18,602 | ) | ||||||||||||||
Decrease in other current assets | 100 | — | — | — | 100 | ||||||||||||||||
Increase in inventory | (928 | ) | — | — | — | (928 | ) | ||||||||||||||
Increase (decrease) in accounts payable | 1,501 | (208 | ) | — | — | 1,293 | |||||||||||||||
Increase in other current liabilities | 5,212 | 608 | — | — | 5,820 | ||||||||||||||||
Other | 145 | (525 | ) | — | — | (380 | ) | ||||||||||||||
Net cash (used in) provided by operating activities | (52,638 | ) | 164,706 | 3,404 | — | 115,472 | |||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in oil and gas properties | (46,772 | ) | (236,903 | ) | (3,500 | ) | — | (287,175 | ) | ||||||||||||
Proceeds from sale of oil and gas properties, net of expenses | 9,700 | 42,254 | — | — | 51,954 | ||||||||||||||||
Investment in fixed and other assets | (1,654 | ) | — | — | — | (1,654 | ) | ||||||||||||||
Change in restricted funds | — | — | (358 | ) | — | (358 | ) | ||||||||||||||
Investment in subsidiaries | — | — | (3,955 | ) | 3,955 | — | |||||||||||||||
Net cash used in investing activities | (38,726 | ) | (194,649 | ) | (7,813 | ) | 3,955 | (237,233 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Deferred financing costs | (126 | ) | — | — | — | (126 | ) | ||||||||||||||
Equity proceeds from parent | — | — | 3,955 | (3,955 | ) | — | |||||||||||||||
Net payments for share-based compensation | (6,565 | ) | — | — | — | (6,565 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (6,691 | ) | — | 3,955 | (3,955 | ) | (6,691 | ) | |||||||||||||
Effect of exchange rate on cash | — | — | (11 | ) | — | (11 | ) | ||||||||||||||
Net change in cash and cash equivalents | (98,055 | ) | (29,943 | ) | (465 | ) | — | (128,463 | ) | ||||||||||||
Cash and cash equivalents, beginning of period | 246,294 | 84,290 | 640 | — | 331,224 | ||||||||||||||||
Cash and cash equivalents, end of period | $ | 148,239 | $ | 54,347 | $ | 175 | $ | — | $ | 202,761 | |||||||||||
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 | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Basic: | ||
Net income (loss) | ($327,388) | $25,943 |
Net income attributable to participating securities | -537 | |
Net income (loss) attributable to common stock-basic | -327,388 | 25,406 |
Diluted: | ||
Net income (loss) | -327,388 | 25,943 |
Net income attributable to participating securities | -537 | |
Net income (loss) attributable to common stock-diluted | ($327,388) | $25,406 |
Weighted average shares (denominator): | ||
Weighted average shares-basic | 55,181 | 49,013 |
Dilutive effect of stock options | 49 | |
Weighted average shares-diluted | 55,181 | 49,062 |
Basic earnings (loss) per share | ($5.93) | $0.52 |
Diluted earnings (loss) per share | ($5.93) | $0.52 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Weighted Average Shares Used In Computing Earnings Per Share [Line Items] | |||
Antidilutive stock options outstanding | 204,000 | 242,000 | |
Shares of common stock issued upon vesting of restricted stock | 370,000 | 333,000 | |
1.75% Senior Convertible Notes due 2017 [Member] | |||
Weighted Average Shares Used In Computing Earnings Per Share [Line Items] | |||
Interest rate | 1.75% | 1.75% | 1.75% |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities - Hedging Positions (Detail) | Mar. 31, 2015 |
MBbls | |
Oil (MBbls) [Member] | 2015 Hedging Position One [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 89 |
Oil (MBbls) [Member] | 2015 Hedging Position Two [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 90 |
Oil (MBbls) [Member] | 2015 Hedging Position Three [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 90.25 |
Oil (MBbls) [Member] | 2015 Hedging Position Four [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 90.4 |
Oil (MBbls) [Member] | 2015 Hedging Position Five [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 91.05 |
Oil (MBbls) [Member] | 2015 Hedging Position Six [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 93.28 |
Oil (MBbls) [Member] | 2015 Hedging Position Seven [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 93.37 |
Oil (MBbls) [Member] | 2015 Hedging Position Eight [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 94.85 |
Oil (MBbls) [Member] | 2015 Hedging Position Nine [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 95 |
Oil (MBbls) [Member] | 2016 Hedging Position One [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 1,000 |
Swap Price | 90 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position One [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.005 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position Two [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.12 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position Three [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.15 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position Four [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.165 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position Five [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.22 |
Natural Gas (MMcfe) [Member] | 2015 Hedging Position Six [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.255 |
Natural Gas (MMcfe) [Member] | 2016 Hedging Position One [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.11 |
Natural Gas (MMcfe) [Member] | 2016 Hedging Position Two [Member] | |
Derivatives, Fair Value [Line Items] | |
Daily Volume | 10,000 |
Swap Price | 4.12 |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | |
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% | ||||
Accumulated other comprehensive income (loss) | $70,812,000 | $83,315,000 | ($9,200,000) | ($2,100,000) | |
Accumulated other comprehensive income, to be reclassified into earnings in the next twelve months | 69,400,000 | ||||
Cash Flow Hedges [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Accumulated other comprehensive income (loss) | $77,900,000 | $86,800,000 | ($8,000,000) | ($1,400,000) | |
Scenario, Forecast [Member] | Natural Gas (MMcfe) [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Number of Contracts no longer qualifying as cash flow hedges | 3 |
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 $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Asset Derivatives | ||
Fair Value of Derivative Instruments, Assets | $127 | $141.30 |
Liability Derivatives | ||
Fair Value of Derivative Instruments, Liabilities | 0 | 0 |
Current Liabilities [Member] | ||
Liability Derivatives | ||
Fair Value of Derivative Instruments, Liabilities | 0 | 0 |
Long-Term Liabilities [Member] | ||
Liability Derivatives | ||
Fair Value of Derivative Instruments, Liabilities | 0 | 0 |
Current Assets [Member] | ||
Asset Derivatives | ||
Fair Value of Derivative Instruments, Assets | 113 | 127 |
Long-Term Assets [Member] | ||
Asset Derivatives | ||
Fair Value of Derivative Instruments, Assets | $14 | $14.30 |
Derivative_Instruments_and_Hed5
Derivative Instruments and Hedging Activities - Before Tax Effect of Derivative Instruments in Statement of Operations (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion, Net, Total | $22.90 | ($17.40) |
Cash Flow Hedging [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion, Net, Total | 22.9 | -17.4 |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net, Total | 36.8 | -7.1 |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net, Total | 0.9 | -0.6 |
Cash Flow Hedging [Member] | 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 | 36.8 | -7.1 |
Cash Flow Hedging [Member] | Commodity Contracts [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion, Net, Total | 22.9 | -17.4 |
Cash Flow Hedging [Member] | 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 | $0.90 | ($0.60) |
Derivative_Instruments_and_Hed6
Derivative Instruments and Hedging Activities - Before Tax Effect of Derivative Instruments in Statement of Operations (Parenthetical) (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Decrease/increase in oil revenue owing to effective hedging contracts | $34 | ($2.50) |
Decrease/increase in gas revenue owing to effective hedging contracts | $2.80 | ($4.60) |
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 Assets [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Commodity Contracts [Member] | Current Assets [Member] | ||
Asset Derivatives | ||
Fair Value of Derivative Instruments | $11.20 | $12.10 |
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 |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Commodity Contracts [Member] | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Cash settlements on Derivative Instruments not Qualifying Hedges | $3.10 |
Change in fair value on Derivative Instruments not Qualifying Hedges | -0.9 |
Total gains on Derivative Instruments not Qualifying Hedges | $2.20 |
LongTerm_Debt_LongTerm_Debt_De
Long-Term Debt - Long-Term Debt (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Long-term debt | $1,044,675 | $1,041,035 |
1.75% Senior Convertible Notes due 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | 269,700 | 266,000 |
7.5% Senior Notes due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $775,000 | $775,000 |
LongTerm_Debt_LongTerm_Debt_Pa
Long-Term Debt - Long-Term Debt (Parenthetical) (Detail) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 |
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 $) | 3 Months Ended | ||||||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | 4-May-15 | Jun. 24, 2014 | 1-May-15 | Mar. 06, 2012 | |
Debt Instrument [Line Items] | |||||||
Liability component of convertible note | 1,044,675,000 | $1,041,035,000 | |||||
Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of borrowing base utilization | 1.50% | ||||||
Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of borrowing base utilization | 2.50% | ||||||
Letter of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Outstanding borrowing under bank credit facility | 480,800,000 | ||||||
Subsequent Event [Member] | Letter of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Outstanding borrowing under bank credit facility | 480,800,000 | ||||||
Bank debt [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 | 0 | ||||||
Outstanding borrowing under bank credit facility | 19,200,000 | ||||||
Period in which outstanding amount has to be repaid to cure deficiency | 10 days | ||||||
Period in which bank has to add new properties to borrowing base and has to grant mortgage to banks | 30 days | ||||||
Oil and gas reserve as proportion of discounted present value of future net cash flow, for mortgage | 80 | ||||||
Bank debt [Member] | Subsequent Event [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Initial bank and availability under facility | 0 | 500,000,000 | |||||
Outstanding borrowing under bank credit facility | 480,800,000 | ||||||
1.75% Senior Convertible Notes due 2017 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
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 | 23.4449 | ||||||
Principal amount of 2017 convertible notes | 1,000 | ||||||
Initial conversion price of convertible note 2017 | 42.65 | ||||||
Closing share price | 14.68 | ||||||
Payment for call option | 70,800,000 | ||||||
Anti-dilution adjustments for purchases of call option | 7,033,470 | 7,033,470 | |||||
Strike price per share | $55.91 | ||||||
Proceeds from sale of warrants | 40,100,000 | ||||||
Liability component of convertible note | 269,700,000 | 266,000,000 | |||||
Interest expense related to amortization of discount | 3,600,000 | 3,400,000 | |||||
Amortization of deferred financing costs | 300,000 | 300,000 | |||||
Interest expense related to contractual interest coupon of convertible notes | 1,300,000 | $1,300,000 |
Asset_Retirement_Obligations_C
Asset Retirement Obligations - Changes in Asset Retirement Obligations (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Asset retirement obligations as of the beginning of the period, including current portion | $316,400,000 | |
Liabilities settled | -17,100,000 | |
Accretion expense | 6,409,000 | 7,555,000 |
Asset retirement obligations as of the end of the period, including current portion | $305,700,000 |
Divestitures_Additional_Inform
Divestitures - Additional Information (Detail) (GOM Conventional Shelf [Member], USD $) | 1 Months Ended |
In Millions, unless otherwise specified | Jul. 31, 2014 |
GOM Conventional Shelf [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Cash consideration received on sale of interest | $177.60 |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities (Other assets) | $8.80 | $8.40 |
Assets, Fair Value, Total | 147 | 161.9 |
Liabilities, Fair Value, Total | 0 | 0 |
Derivative Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets, Fair Value | 138.2 | 153.5 |
Derivative Liabilities, Fair Value | 0 | 0 |
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) | 8.8 | 8.4 |
Assets, Fair Value, Total | 8.8 | 8.4 |
Liabilities, Fair Value, Total | 0 | 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 Liabilities, Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value, Total | 138.2 | 153.5 |
Liabilities, Fair Value, Total | 0 | 0 |
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 | 138.2 | 153.5 |
Derivative Liabilities, Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities, Fair Value, Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Derivative Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liabilities, Fair Value | $0 | $0 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Convertible Notes Due 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Fair value of Convertible Notes | $261 | $252.60 |
7.5% Senior Notes due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Fair value of Notes | $703.30 | $664.60 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Schedule of Changes in Accumulated Other Comprehensive Income Loss (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance, net of tax | $83,315,000 | ($2,100,000) |
Other comprehensive income (loss) before reclassifications: | ||
Change in fair value of derivatives | 22,900,000 | -17,400,000 |
Foreign currency translations | -3,600,000 | -500,000 |
Income tax effect | -8,200,000 | 6,300,000 |
Net of tax | 11,100,000 | -11,600,000 |
Amounts reclassified from accumulated other comprehensive income: | ||
Net of tax | 23,600,000 | -4,500,000 |
Other comprehensive income (loss), net of tax | -12,500,000 | -7,100,000 |
Ending balance, net of tax | 70,812,000 | -9,200,000 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Amounts reclassified from accumulated other comprehensive income: | ||
Operating revenue: oil/gas production | 36,800,000 | -7,100,000 |
Income tax effect | -13,200,000 | 2,600,000 |
Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance, net of tax | 86,800,000 | -1,400,000 |
Other comprehensive income (loss) before reclassifications: | ||
Change in fair value of derivatives | 22,900,000 | -17,400,000 |
Income tax effect | -8,200,000 | 6,300,000 |
Net of tax | 14,700,000 | -11,100,000 |
Amounts reclassified from accumulated other comprehensive income: | ||
Net of tax | 23,600,000 | -4,500,000 |
Other comprehensive income (loss), net of tax | -8,900,000 | -6,600,000 |
Ending balance, net of tax | 77,900,000 | -8,000,000 |
Cash Flow Hedges [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Amounts reclassified from accumulated other comprehensive income: | ||
Operating revenue: oil/gas production | 36,800,000 | -7,100,000 |
Income tax effect | -13,200,000 | 2,600,000 |
Foreign Currency Items [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance, net of tax | -3,500,000 | -700,000 |
Other comprehensive income (loss) before reclassifications: | ||
Foreign currency translations | -3,600,000 | -500,000 |
Net of tax | -3,600,000 | -500,000 |
Amounts reclassified from accumulated other comprehensive income: | ||
Other comprehensive income (loss), net of tax | -3,600,000 | -500,000 |
Ending balance, net of tax | ($7,100,000) | ($1,200,000) |
Investment_in_Oil_and_Gas_Prop1
Investment in Oil and Gas Properties - Additional Information (Detail) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Oil and Gas In Process Activities [Line Items] | |||
Write-down of oil and gas properties | $491,412,000 | ||
Average 12-month oil prices net of differentials | 78.99 | ||
Average 12-month gas prices net of differentials | 2.96 | ||
Decrease in written down value of oil and gas properties | 28,700,000 | ||
Capital expenditures related to oil and gas property investments | 602,467,000 | 567,365,000 | |
Canada [Member] | |||
Oil and Gas In Process Activities [Line Items] | |||
Capital expenditures related to oil and gas property investments | 44,200,000 | 36,600,000 | |
Oil And Gas [Member] | |||
Oil and Gas In Process Activities [Line Items] | |||
Write-down of oil and gas properties | $491,400,000 | ||
Natural Gas Liquids (MBbls) [Member] | |||
Oil and Gas In Process Activities [Line Items] | |||
Average 12-month gas prices net of differentials | 28.82 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended |
Aug. 02, 2013 | Mar. 31, 2015 | |
Loss Contingencies [Line Items] | ||
Legal settlement | $18,372,819 | |
Brokerage fee obligations | 1,118,878 | |
Acquisition amount owed | 17,253,941 | |
Litigation settlement amount | 2,118,878 | |
Second Claim [Member] | ||
Loss Contingencies [Line Items] | ||
Litigation settlement amount | $1,000,000 |
Guarantor_Financial_Statements2
Guarantor Financial Statements - Condensed Consolidating Balance Sheet (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||||
Current assets: | ||||||
Cash and cash equivalents | $162,128 | $74,488 | $202,761 | $331,224 | ||
Restricted cash | 177,647 | |||||
Accounts receivable | 112,150 | 120,359 | ||||
Fair value of derivative contracts | 124,192 | 139,179 | ||||
Current income tax receivable | 24 | 7,212 | ||||
Inventory | 3,709 | 3,709 | ||||
Other current assets | 6,234 | 8,118 | ||||
Total current assets | 408,437 | 530,712 | ||||
Oil and gas properties, full cost method: | ||||||
Proved | 8,887,832 | 8,817,268 | ||||
Less: accumulated DD&A | -7,546,222 | -6,970,631 | ||||
Net proved oil and gas properties | 1,341,610 | 1,846,637 | ||||
Unevaluated | 602,467 | 567,365 | ||||
Other property and equipment, net | 31,828 | 32,340 | ||||
Fair value of derivative contracts | 13,966 | 14,333 | ||||
Other assets, net | 24,672 | 27,224 | ||||
Total assets | 2,422,980 | 3,018,611 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | 68,146 | 132,629 | ||||
Undistributed oil and gas proceeds | 26,202 | 23,232 | ||||
Accrued interest | 22,243 | 9,022 | ||||
Deferred taxes | 23,378 | [1] | 20,119 | [1] | ||
Asset retirement obligations | 60,837 | 69,400 | ||||
Other current liabilities | 40,286 | 49,505 | ||||
Total current liabilities | 241,092 | 303,907 | ||||
Long-term debt | 1,044,675 | 1,041,035 | ||||
Deferred taxes | 98,194 | [1] | 286,343 | [1] | ||
Asset retirement obligations | 244,835 | 247,009 | ||||
Other long-term liabilities | 31,604 | 38,714 | ||||
Total liabilities | 1,660,400 | 1,917,008 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Common stock | 553 | 549 | ||||
Treasury stock | -860 | -860 | ||||
Additional paid-in capital | 1,634,171 | 1,633,307 | ||||
Accumulated earnings (deficit) | -942,096 | -614,708 | ||||
Accumulated other comprehensive income (loss) | 70,812 | 83,315 | -9,200 | -2,100 | ||
Total stockholders' equity | 762,580 | 1,101,603 | ||||
Total liabilities and stockholders' equity | 2,422,980 | 3,018,611 | ||||
Parent [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 131,936 | 72,886 | 148,239 | 246,294 | ||
Restricted cash | 177,647 | |||||
Accounts receivable | 102,556 | 73,711 | ||||
Current income tax receivable | 24 | 7,212 | ||||
Deferred taxes | 4,095 | [1] | ||||
Inventory | 3,426 | 1,011 | ||||
Other current assets | 6,230 | 8,112 | ||||
Total current assets | 244,172 | 344,674 | ||||
Oil and gas properties, full cost method: | ||||||
Proved | 1,716,567 | 1,689,802 | ||||
Less: accumulated DD&A | -1,502,385 | -970,387 | ||||
Net proved oil and gas properties | 214,182 | 719,415 | ||||
Unevaluated | 297,075 | 289,556 | ||||
Other property and equipment, net | 31,828 | 32,340 | ||||
Other assets, net | 21,692 | 20,857 | ||||
Investment in subsidiary | 1,068,365 | 1,050,546 | ||||
Total assets | 1,877,314 | 2,457,388 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | 30,986 | 74,756 | ||||
Undistributed oil and gas proceeds | 25,188 | 22,158 | ||||
Accrued interest | 22,243 | 9,022 | ||||
Deferred taxes | 335 | [1] | ||||
Other current liabilities | 39,483 | 49,306 | ||||
Total current liabilities | 118,235 | 155,242 | ||||
Long-term debt | 1,044,675 | 1,041,035 | ||||
Deferred taxes | -83,458 | [1] | 117,206 | [1] | ||
Asset retirement obligations | 3,678 | 3,588 | ||||
Other long-term liabilities | 31,604 | 38,714 | ||||
Total liabilities | 1,114,734 | 1,355,785 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Common stock | 553 | 549 | ||||
Treasury stock | -860 | -860 | ||||
Additional paid-in capital | 1,634,171 | 1,633,307 | ||||
Accumulated earnings (deficit) | -942,096 | -614,708 | ||||
Accumulated other comprehensive income (loss) | 70,812 | 83,315 | ||||
Total stockholders' equity | 762,580 | 1,101,603 | ||||
Total liabilities and stockholders' equity | 1,877,314 | 2,457,388 | ||||
Guarantor Subsidiary [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 30,015 | 1,450 | 54,347 | 84,290 | ||
Accounts receivable | 42,014 | 46,615 | ||||
Fair value of derivative contracts | 124,192 | 139,179 | ||||
Inventory | 283 | 2,698 | ||||
Total current assets | 196,504 | 189,942 | ||||
Oil and gas properties, full cost method: | ||||||
Proved | 7,171,265 | 7,127,466 | ||||
Less: accumulated DD&A | -6,043,837 | -6,000,244 | ||||
Net proved oil and gas properties | 1,127,428 | 1,127,222 | ||||
Unevaluated | 261,172 | 241,230 | ||||
Fair value of derivative contracts | 13,966 | 14,333 | ||||
Other assets, net | 1,080 | 1,360 | ||||
Total assets | 1,600,150 | 1,574,087 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | 61,410 | 57,873 | ||||
Undistributed oil and gas proceeds | 1,014 | 1,074 | ||||
Deferred taxes | 23,043 | [1] | 24,214 | [1] | ||
Asset retirement obligations | 60,837 | 69,400 | ||||
Other current liabilities | 803 | 199 | ||||
Total current liabilities | 147,107 | 152,760 | ||||
Deferred taxes | 181,652 | [1] | 169,137 | [1] | ||
Asset retirement obligations | 241,157 | 243,421 | ||||
Total liabilities | 569,916 | 565,318 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Additional paid-in capital | 1,363,981 | 1,362,684 | ||||
Accumulated earnings (deficit) | -411,672 | -440,699 | ||||
Accumulated other comprehensive income (loss) | 77,925 | 86,784 | ||||
Total stockholders' equity | 1,030,234 | 1,008,769 | ||||
Total liabilities and stockholders' equity | 1,600,150 | 1,574,087 | ||||
Non-Guarantor Subsidiaries [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 177 | 152 | 175 | 640 | ||
Accounts receivable | 30 | 33 | ||||
Other current assets | 4 | 6 | ||||
Total current assets | 211 | 191 | ||||
Oil and gas properties, full cost method: | ||||||
Unevaluated | 44,220 | 36,579 | ||||
Other assets, net | 1,900 | 5,007 | ||||
Investment in subsidiary | 46,161 | 41,638 | ||||
Total assets | 92,492 | 83,415 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | 8,200 | |||||
Total current liabilities | 8,200 | |||||
Total liabilities | 8,200 | |||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Additional paid-in capital | 98,507 | 90,339 | ||||
Accumulated earnings (deficit) | 12 | 12 | ||||
Accumulated other comprehensive income (loss) | -6,936 | |||||
Total stockholders' equity | 84,292 | 83,415 | ||||
Total liabilities and stockholders' equity | 92,492 | 83,415 | ||||
Eliminations [Member] | ||||||
Current assets: | ||||||
Accounts receivable | -32,450 | |||||
Deferred taxes | -4,095 | [1] | ||||
Total current assets | -32,450 | -4,095 | ||||
Oil and gas properties, full cost method: | ||||||
Investment in subsidiary | -1,114,526 | -1,092,184 | ||||
Total assets | -1,146,976 | -1,096,279 | ||||
Current liabilities: | ||||||
Accounts payable to vendors | -32,450 | |||||
Deferred taxes | -4,095 | [1] | ||||
Total current liabilities | -32,450 | -4,095 | ||||
Total liabilities | -32,450 | -4,095 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Additional paid-in capital | -1,462,488 | -1,453,023 | ||||
Accumulated earnings (deficit) | 411,660 | 440,687 | ||||
Accumulated other comprehensive income (loss) | -63,698 | -79,848 | ||||
Total stockholders' equity | -1,114,526 | -1,092,184 | ||||
Total liabilities and stockholders' equity | ($1,146,976) | ($1,096,279) | ||||
[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 Operations (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating revenue: | ||
Oil production | $107,507 | $138,289 |
Natural gas production | 28,337 | 56,362 |
Natural gas liquids production | 12,366 | 27,970 |
Other operational income | 2,160 | 1,209 |
Derivative income, net | 3,128 | |
Total operating revenue | 153,498 | 223,830 |
Operating expenses: | ||
Lease operating expenses | 27,577 | 46,903 |
Transportation, processing and gathering expenses | 17,703 | 14,626 |
Production taxes | 2,515 | 3,062 |
Depreciation, depletion, amortization | 86,422 | 82,646 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 6,409 | 7,555 |
Salaries, general and administrative | 17,007 | 16,329 |
Incentive compensation expense | 1,563 | 3,134 |
Other operational expense | 84 | 424 |
Derivative expense, net | 599 | |
Total operating expenses | 650,692 | 175,278 |
Income (loss) from operations | -497,194 | 48,552 |
Other (income) expenses: | ||
Interest expense | 10,365 | 8,357 |
Interest income | -122 | -143 |
Other income | -143 | -707 |
Total other (income) expenses | 10,100 | 7,507 |
Income (loss) before taxes | -507,294 | 41,045 |
Provision (benefit) for income taxes: | ||
Deferred | -179,906 | 15,102 |
Total income taxes | -179,906 | 15,102 |
Net income (loss) | -327,388 | 25,943 |
Comprehensive income (loss) | -339,891 | 18,854 |
Parent [Member] | ||
Operating revenue: | ||
Oil production | 4,350 | 6,636 |
Natural gas production | 16,617 | 28,839 |
Natural gas liquids production | 9,879 | 18,254 |
Other operational income | 2,160 | 1,042 |
Total operating revenue | 33,006 | 54,771 |
Operating expenses: | ||
Lease operating expenses | 4,976 | 4,013 |
Transportation, processing and gathering expenses | 16,108 | 10,317 |
Production taxes | 2,198 | 1,681 |
Depreciation, depletion, amortization | 42,112 | 28,055 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 91 | 68 |
Salaries, general and administrative | 17,001 | 16,325 |
Incentive compensation expense | 1,563 | 3,134 |
Other operational expense | 84 | 394 |
Total operating expenses | 575,545 | 63,987 |
Income (loss) from operations | -542,539 | -9,216 |
Other (income) expenses: | ||
Interest expense | 10,344 | 8,353 |
Interest income | -101 | -79 |
Other income | -133 | -181 |
Income from investment in subsidiaries | -29,027 | -37,345 |
Total other (income) expenses | -18,917 | -29,252 |
Income (loss) before taxes | -523,622 | 20,036 |
Provision (benefit) for income taxes: | ||
Deferred | -196,234 | -5,907 |
Total income taxes | -196,234 | -5,907 |
Net income (loss) | -327,388 | 25,943 |
Comprehensive income (loss) | -339,891 | 18,854 |
Guarantor Subsidiary [Member] | ||
Operating revenue: | ||
Oil production | 103,157 | 131,653 |
Natural gas production | 11,720 | 27,523 |
Natural gas liquids production | 2,487 | 9,716 |
Other operational income | 167 | |
Derivative income, net | 3,128 | |
Total operating revenue | 120,492 | 169,059 |
Operating expenses: | ||
Lease operating expenses | 22,601 | 42,890 |
Transportation, processing and gathering expenses | 1,595 | 4,309 |
Production taxes | 317 | 1,381 |
Depreciation, depletion, amortization | 44,310 | 54,591 |
Accretion expense | 6,318 | 7,487 |
Salaries, general and administrative | 1 | 2 |
Other operational expense | 30 | |
Derivative expense, net | 599 | |
Total operating expenses | 75,142 | 111,289 |
Income (loss) from operations | 45,350 | 57,770 |
Other (income) expenses: | ||
Interest expense | 21 | 4 |
Interest income | -16 | -58 |
Other income | -10 | -526 |
Total other (income) expenses | -5 | -580 |
Income (loss) before taxes | 45,355 | 58,350 |
Provision (benefit) for income taxes: | ||
Deferred | 16,328 | 21,009 |
Total income taxes | 16,328 | 21,009 |
Net income (loss) | 29,027 | 37,341 |
Comprehensive income (loss) | 29,027 | 37,341 |
Non-Guarantor Subsidiaries [Member] | ||
Operating expenses: | ||
Salaries, general and administrative | 5 | 2 |
Total operating expenses | 5 | 2 |
Income (loss) from operations | -5 | -2 |
Other (income) expenses: | ||
Interest income | -5 | -6 |
Income from investment in subsidiaries | -4 | |
Total other (income) expenses | -5 | -10 |
Income (loss) before taxes | 8 | |
Provision (benefit) for income taxes: | ||
Net income (loss) | 8 | |
Comprehensive income (loss) | 8 | |
Eliminations [Member] | ||
Other (income) expenses: | ||
Income from investment in subsidiaries | 29,027 | 37,349 |
Total other (income) expenses | 29,027 | 37,349 |
Income (loss) before taxes | -29,027 | -37,349 |
Provision (benefit) for income taxes: | ||
Net income (loss) | -29,027 | -37,349 |
Comprehensive income (loss) | ($29,027) | ($37,349) |
Guarantor_Financial_Statements4
Guarantor Financial Statements - Condensed Consolidating Statement of Cash Flows (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net income (loss) | ($327,388) | $25,943 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 86,422 | 82,646 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 6,409 | 7,555 |
Deferred income tax (benefit) provision | -179,906 | 15,102 |
Settlement of asset retirement obligations | -17,145 | -9,842 |
Non-cash stock compensation expense | 2,640 | 2,247 |
Non-cash derivative expense | 1,511 | 448 |
Non-cash interest expense | 4,318 | 4,070 |
Change in current income taxes | 7,188 | |
(Increase) decrease in accounts receivable | 8,206 | -18,602 |
Decrease in other current assets | 1,883 | 100 |
(Increase) decrease in inventory | -928 | |
Decrease in accounts payable | -8,657 | 1,293 |
Increase in other current liabilities | 6,889 | 5,820 |
Other | -260 | -380 |
Net cash (used in) provided by operating activities | 83,522 | 115,472 |
Cash flows from investing activities: | ||
Investment in oil and gas properties | -169,895 | -287,175 |
Proceeds from sale of oil and gas properties, net of expenses | 51,954 | |
Investment in fixed and other assets | -662 | -1,654 |
Change in restricted funds | 177,642 | -358 |
Net cash provided by (used in) investing activities | 7,085 | -237,233 |
Cash flows from financing activities: | ||
Proceeds from bank borrowings | 5,000 | |
Deferred financing costs | -126 | |
Repayments of bank borrowings | -5,000 | |
Net payments for share-based compensation | -2,991 | -6,565 |
Net cash used in financing activities | -2,991 | -6,691 |
Effect of exchange rate changes on cash | 24 | -11 |
Net change in cash and cash equivalents | 87,640 | -128,463 |
Cash and cash equivalents, beginning of period | 74,488 | 331,224 |
Cash and cash equivalents, end of period | 162,128 | 202,761 |
Parent [Member] | ||
Cash flows from operating activities: | ||
Net income (loss) | -327,388 | 25,943 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 42,112 | 28,055 |
Write-down of oil and gas properties | 491,412 | |
Accretion expense | 91 | 68 |
Deferred income tax (benefit) provision | -196,234 | -5,907 |
Settlement of asset retirement obligations | -1 | |
Non-cash stock compensation expense | 2,640 | 2,247 |
Non-cash interest expense | 4,318 | 4,070 |
Change in current income taxes | 7,188 | |
Non-cash income from investment in subsidiaries | -29,027 | -37,345 |
Change in intercompany receivables/payables | -33,748 | -51,037 |
(Increase) decrease in accounts receivable | 3,606 | -24,762 |
Decrease in other current assets | 1,881 | 100 |
(Increase) decrease in inventory | -2,415 | -928 |
Decrease in accounts payable | -1,007 | 1,501 |
Increase in other current liabilities | 6,347 | 5,212 |
Other | -249 | 145 |
Net cash (used in) provided by operating activities | -30,474 | -52,638 |
Cash flows from investing activities: | ||
Investment in oil and gas properties | -84,470 | -46,772 |
Proceeds from sale of oil and gas properties, net of expenses | 9,700 | |
Investment in fixed and other assets | -662 | -1,654 |
Change in restricted funds | 177,647 | |
Net cash provided by (used in) investing activities | 92,515 | -38,726 |
Cash flows from financing activities: | ||
Proceeds from bank borrowings | 5,000 | |
Deferred financing costs | -126 | |
Repayments of bank borrowings | -5,000 | |
Net payments for share-based compensation | -2,991 | -6,565 |
Net cash used in financing activities | -2,991 | -6,691 |
Net change in cash and cash equivalents | 59,050 | -98,055 |
Cash and cash equivalents, beginning of period | 72,886 | 246,294 |
Cash and cash equivalents, end of period | 131,936 | 148,239 |
Guarantor Subsidiary [Member] | ||
Cash flows from operating activities: | ||
Net income (loss) | 29,027 | 37,341 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 44,310 | 54,591 |
Accretion expense | 6,318 | 7,487 |
Deferred income tax (benefit) provision | 16,328 | 21,009 |
Settlement of asset retirement obligations | -17,144 | -9,842 |
Non-cash derivative expense | 1,511 | 448 |
Change in intercompany receivables/payables | 25,548 | 47,637 |
(Increase) decrease in accounts receivable | 4,600 | 6,160 |
(Increase) decrease in inventory | 2,415 | |
Decrease in accounts payable | -7,650 | -208 |
Increase in other current liabilities | 542 | 608 |
Other | -11 | -525 |
Net cash (used in) provided by operating activities | 105,794 | 164,706 |
Cash flows from investing activities: | ||
Investment in oil and gas properties | -77,229 | -236,903 |
Proceeds from sale of oil and gas properties, net of expenses | 42,254 | |
Net cash provided by (used in) investing activities | -77,229 | -194,649 |
Cash flows from financing activities: | ||
Net change in cash and cash equivalents | 28,565 | -29,943 |
Cash and cash equivalents, beginning of period | 1,450 | 84,290 |
Cash and cash equivalents, end of period | 30,015 | 54,347 |
Non-Guarantor Subsidiaries [Member] | ||
Cash flows from operating activities: | ||
Net income (loss) | 8 | |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Non-cash income from investment in subsidiaries | -4 | |
Change in intercompany receivables/payables | 8,200 | 3,400 |
Decrease in other current assets | 2 | |
Net cash (used in) provided by operating activities | 8,202 | 3,404 |
Cash flows from investing activities: | ||
Investment in oil and gas properties | -8,196 | -3,500 |
Change in restricted funds | -5 | -358 |
Investment in subsidiaries | -8,168 | -3,955 |
Net cash provided by (used in) investing activities | -16,369 | -7,813 |
Cash flows from financing activities: | ||
Equity proceeds from parent | 8,168 | 3,955 |
Net cash used in financing activities | 8,168 | 3,955 |
Effect of exchange rate changes on cash | 24 | -11 |
Net change in cash and cash equivalents | 25 | -465 |
Cash and cash equivalents, beginning of period | 152 | 640 |
Cash and cash equivalents, end of period | 177 | 175 |
Eliminations [Member] | ||
Cash flows from operating activities: | ||
Net income (loss) | -29,027 | -37,349 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Non-cash income from investment in subsidiaries | 29,027 | 37,349 |
Cash flows from investing activities: | ||
Investment in subsidiaries | 8,168 | 3,955 |
Net cash provided by (used in) investing activities | 8,168 | 3,955 |
Cash flows from financing activities: | ||
Equity proceeds from parent | -8,168 | -3,955 |
Net cash used in financing activities | ($8,168) | ($3,955) |