Denbury (DNRWW) 10-Q 4 Nov 21 2021 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Oct. 31, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	001-12935
Entity Registrant Name	DENBURY INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-0467835
Entity Address, Address Line One	5851 Legacy Circle,
Entity Address, City or Town	Plano,
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75024
City Area Code	(972)
Local Phone Number	673-2000
Title of 12(b) Security	Common Stock $.001 Par Value
Trading Symbol	DEN
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Bankruptcy Proceedings, Reporting Current	true
Entity Common Stock, Shares Outstanding		50,122,417
Entity Central Index Key	0000945764
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Current assets
Cash and cash equivalents	$ 1,783	$ 518
Restricted cash	0	1,000
Accrued production receivable	144,370	91,421
Trade and other receivables, net	20,867	19,682
Derivative assets	0	187
Prepaids	10,872	14,038
Total current assets	177,892	126,846
Oil and natural gas properties (using full cost accounting)
Proved properties	1,011,545	851,208
Unevaluated properties	108,258	85,304
CO2 properties	188,752	188,288
Pipelines	193,669	133,485
Other property and equipment	94,763	86,610
Less accumulated depletion, depreciation, amortization and impairment	(151,844)	(41,095)
Net property and equipment	1,445,143	1,303,800
Operating lease right-of-use assets	18,253	20,342
Intangible assets, net	90,533	97,362
Other assets	80,444	86,408
Total assets	1,812,265	1,634,758
Current liabilities
Accounts payable and accrued liabilities	211,894	112,671
Oil and gas production payable	69,717	49,165
Derivative liabilities	193,015	53,865
Current maturities of long-term debt	17,332	68,008
Operating lease liabilities	3,338	1,350
Total current liabilities	495,296	285,059
Long-term liabilities
Long-term debt, net of current portion	0	70,000
Asset retirement obligations	243,184	179,338
Derivative liabilities	16,435	5,087
Deferred tax liabilities, net	1,241	1,274
Operating lease liabilities	17,362	19,460
Other liabilities	25,954	20,872
Total long-term liabilities	304,176	296,031
Commitments and contingencies (Note 8)
Stockholders' equity
Preferred stock, $.001 par value, 50,000,000 shares authorized, none issued and outstanding	0	0
Common stock, $.001 par value, 250,000,000 shares authorized; 50,120,895 and 49,999,999 shares issued, respectively	50	50
Paid-in capital in excess of par	1,128,030	1,104,276
Accumulated deficit	(115,287)	(50,658)
Total stockholders' equity	1,012,793	1,053,668
Total liabilities and stockholders' equity	$ 1,812,265	$ 1,634,758

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Sep. 30, 2021	Dec. 31, 2020
Stockholders' equity
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	50,120,895	49,999,999

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Revenues and other income	$ 23,533,000	$ 343,735,000	$ 170,036,000	$ 896,262,000	$ 530,112,000
Expenses
Taxes other than income	2,073,000	24,154,000	13,473,000	65,499,000	43,531,000
General and administrative expenses	1,735,000	15,388,000	15,013,000	62,821,000	48,522,000
Interest, net of amounts capitalized	334,000	669,000	7,704,000	3,457,000	48,267,000
Depletion, depreciation, and amortization	5,283,000	37,691,000	36,317,000	113,522,000	188,593,000
Commodity derivatives expense (income)	(4,035,000)	41,745,000	4,609,000	330,152,000	(102,032,000)
Gain on debt extinguishment	0			0	(18,994,000)
Write-down of oil and natural gas properties	0	0	261,677,000	14,377,000	996,658,000
Reorganization items, net	0	0	849,980,000	0	849,980,000
Other expenses	2,164,000	4,553,000	22,084,000	9,913,000	35,868,000
Total expenses	20,763,000	260,624,000	1,282,963,000	961,026,000	2,378,819,000
Income (loss) before income taxes	2,770,000	83,111,000	(1,112,927,000)	(64,764,000)	(1,848,707,000)
Income tax provision (benefit)	12,000	403,000	(303,807,000)	(135,000)	(416,129,000)
Net income (loss)	$ 2,758,000	$ 82,708,000	$ (809,120,000)	$ (64,629,000)	$ (1,432,578,000)
Net income (loss) per common share
Basic	$ 0.06	$ 1.62	$ (1.63)	$ (1.27)	$ (2.89)
Diluted	$ 0.06	$ 1.51	$ (1.63)	$ (1.27)	$ (2.89)
Weighted average common shares outstanding
Basic	50,000	51,094	497,398	50,807	495,560
Diluted	50,000	54,714	497,398	50,807	495,560
Other income
Revenues and other income	$ 94,000	$ 10,451,000	$ 7,097,000	$ 11,518,000	$ 8,419,000
Transportation and marketing
Operating expenses	1,344,000	5,985,000	8,155,000	22,304,000	27,164,000
Oil, natural gas, and related product sales
Revenues and other income	22,321,000	308,454,000	153,090,000	826,607,000	492,101,000
Operating expenses	11,484,000	116,536,000	59,708,000	308,731,000	250,271,000
CO2
Revenues and other income	967,000	12,237,000	6,517,000	31,599,000	21,049,000
Operating expenses	242,000	1,963,000	955,000	4,487,000	2,592,000
Oil marketing
Revenues and other income	151,000	12,593,000	3,332,000	26,538,000	8,543,000
Operating expenses	$ 139,000	$ 11,940,000	$ 3,288,000	$ 25,763,000	$ 8,399,000

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Expenses
Capitalized interest	$ 183	$ 1,249	$ 4,704	$ 3,500	$ 22,885

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020
Cash flows from operating activities
Net income (loss)	$ 2,758,000	$ (64,629,000)	$ (1,432,578,000)
Adjustments to reconcile net income (loss) to cash flows from operating activities
Noncash reorganization items, net	0	0	810,909,000
Depletion, depreciation, and amortization	5,283,000	113,522,000	188,593,000
Write-down of oil and natural gas properties	0	14,377,000	996,658,000
Deferred income taxes	6,000	(34,000)	(408,869,000)
Stock-based compensation	0	22,788,000	4,111,000
Commodity derivatives expense (income)	(4,035,000)	330,152,000	(102,032,000)
Receipt (payment) on settlements of commodity derivatives	6,660,000	(179,466,000)	81,396,000
Gain on debt extinguishment	0	0	(18,994,000)
Debt issuance costs and discounts	114,000	2,055,000	11,571,000
Gain from asset sales and other	0	(7,026,000)	(6,723,000)
Other, net	589,000	(2,448,000)	7,162,000
Changes in assets and liabilities, net of effects from acquisitions
Accrued production receivable	38,537,000	(52,948,000)	26,575,000
Trade and other receivables	1,366,000	(1,809,000)	(22,343,000)
Other current and long-term assets	705,000	7,337,000	743,000
Accounts payable and accrued liabilities	(7,980,000)	47,484,000	(16,102,000)
Oil and natural gas production payable	(11,064,000)	23,168,000	(6,792,000)
Other liabilities	(29,000)	(4,966,000)	123,000
Net cash provided by operating activities	32,910,000	247,557,000	113,408,000
Cash flows from investing activities
Oil and natural gas capital expenditures	(2,125,000)	(113,041,000)	(99,582,000)
Acquisitions of oil and natural gas properties	(1,000)	(10,927,000)	0
Pipelines and plants capital expenditures	(6,000)	(19,123,000)	(11,601,000)
Net proceeds from sales of oil and natural gas properties and equipment	880,000	19,053,000	41,322,000
Other	(308,000)	5,797,000	12,747,000
Net cash used in investing activities	(1,560,000)	(118,241,000)	(57,114,000)
Cash flows from financing activities
Bank repayments	(55,000,000)	(697,000,000)	(551,000,000)
Bank borrowings	0	627,000,000	691,000,000
Interest payments treated as a reduction of debt	0	0	(46,417,000)
Cash paid in conjunction with debt repurchases	0	0	(14,171,000)
Costs of debt financing	0	0	(12,482,000)
Pipeline financing repayments	(54,000)	(50,676,000)	(51,792,000)
Other	0	(2,426,000)	(9,363,000)
Net cash provided by (used in) financing activities	(55,054,000)	(123,102,000)	5,775,000
Net increase (decrease) in cash, cash equivalents, and restricted cash	(23,704,000)	6,214,000	62,069,000
Cash, cash equivalents, and restricted cash at beginning of period	95,114,000	42,248,000	33,045,000
Cash, cash equivalents, and restricted cash at end of period	$ 71,410,000	$ 48,462,000	$ 95,114,000

Condensed Consolidated Statem_4

Condensed Consolidated Statement of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock ($.001 Par Value)	Paid-In Capital in Excess of Par	Retained Earnings (Accumulated Deficit)	Treasury Stock (at cost)
Beginning balance, shares at Dec. 31, 2019		508,065,495			1,652,771
Beginning balance at Dec. 31, 2019	$ 1,412,259	$ 508	$ 2,739,099	$ (1,321,314)	$ (6,034)
Issued pursuant to stock compensation plans, shares		312,516
Issued pursuant to directors' compensation plan, shares		37,367
Stock-based compensation, value	3,204		3,204
Tax withholding for stock compensation plans, shares					175,673
Tax withholding for stock compensation plans, value	(34)				$ (34)
Net income (loss)	74,016			74,016
Ending balance, shares at Mar. 31, 2020		508,415,378			1,828,444
Ending balance at Mar. 31, 2020	1,489,445	$ 508	2,742,303	(1,247,298)	$ (6,068)
Beginning balance, shares at Dec. 31, 2019		508,065,495			1,652,771
Beginning balance at Dec. 31, 2019	1,412,259	$ 508	2,739,099	(1,321,314)	$ (6,034)
Net income (loss)	(1,432,578)
Ending balance, shares at Sep. 18, 2020		49,999,999
Ending balance at Sep. 18, 2020	1,095,419	$ 50	1,095,369
Beginning balance, shares at Mar. 31, 2020		508,415,378			1,828,444
Beginning balance at Mar. 31, 2020	1,489,445	$ 508	2,742,303	(1,247,298)	$ (6,068)
Canceled pursuant to stock compensation plans, shares		(6,218,868)
Canceled pursuant to stock compensation plans, value		$ (6)	6
Issued pursuant to notes conversion, shares		7,357,450
Issued pursuant to notes conversion, value	11,461	$ 8	11,453
Stock-based compensation, value	987		987
Net income (loss)	(697,474)			(697,474)
Ending balance, shares at Jun. 30, 2020		509,553,960			1,828,444
Ending balance at Jun. 30, 2020	804,419	$ 510	2,754,749	(1,944,772)	$ (6,068)
Canceled pursuant to stock compensation plans, shares		(95,016)
Issued pursuant to notes conversion, shares		14,800
Issued pursuant to notes conversion, value	40		40
Stock-based compensation, value	10,126		10,126
Tax withholding for stock compensation plans, shares					567,189
Tax withholding for stock compensation plans, value	(134)				$ (134)
Cancellation of Predecessor equity, shares		(509,473,744)			(2,395,633)
Cancellation of Predecessor equity, value	(5,331)	$ (510)	(2,764,915)	2,753,892	$ 6,202
Issuance of Successor equity, shares		49,999,999
Issuance of Successor equity, value	1,095,419	$ 50	1,095,369
Net income (loss)	(809,120)			(809,120)
Ending balance, shares at Sep. 18, 2020		49,999,999
Ending balance at Sep. 18, 2020	1,095,419	$ 50	1,095,369
Net income (loss)	2,758			2,758
Ending balance, shares at Sep. 30, 2020		49,999,999
Ending balance at Sep. 30, 2020	1,098,177	$ 50	1,095,369	2,758
Stock-based compensation, value	8,907		8,907
Net income (loss)	$ (53,416)			(53,416)
Ending balance, shares at Dec. 31, 2020	49,999,999	49,999,999
Ending balance at Dec. 31, 2020	$ 1,053,668	$ 50	1,104,276	(50,658)
Stock-based compensation, value	19,172		19,172
Tax withholding for stock compensation plans, value	(1,467)		(1,467)
Issued pursuant to exercise of warrants, shares		5,620
Issued pursuant to exercise of warrants, value	195	$ 0	195
Net income (loss)	(69,642)			(69,642)
Ending balance, shares at Mar. 31, 2021		50,005,619
Ending balance at Mar. 31, 2021	$ 1,001,926	$ 50	1,122,176	(120,300)
Beginning balance, shares at Dec. 31, 2020	49,999,999	49,999,999
Beginning balance at Dec. 31, 2020	$ 1,053,668	$ 50	1,104,276	(50,658)
Net income (loss)	$ (64,629)
Ending balance, shares at Sep. 30, 2021	50,120,895	50,120,895
Ending balance at Sep. 30, 2021	$ 1,012,793	$ 50	1,128,030	(115,287)
Beginning balance, shares at Mar. 31, 2021		50,005,619
Beginning balance at Mar. 31, 2021	1,001,926	$ 50	1,122,176	(120,300)
Stock-based compensation, value	2,682		2,682
Tax withholding for stock compensation plans, value	(7)		(7)
Issued pursuant to exercise of warrants, shares		11,872
Issued pursuant to exercise of warrants, value	292	$ 0	292
Net income (loss)	(77,695)			(77,695)
Ending balance, shares at Jun. 30, 2021		50,017,491
Ending balance at Jun. 30, 2021	927,198	$ 50	1,125,143	(197,995)
Stock-based compensation, value	2,686		2,686
Issued pursuant to exercise of warrants, shares		103,404
Issued pursuant to exercise of warrants, value	201	$ 0	201
Net income (loss)	$ 82,708			82,708
Ending balance, shares at Sep. 30, 2021	50,120,895	50,120,895
Ending balance at Sep. 30, 2021	$ 1,012,793	$ 50	$ 1,128,030	$ (115,287)

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation	Note 1. Basis of Presentation Organization and Nature of Operations Denbury Inc. (“Denbury,” “Company” or the “Successor”), a Delaware corporation, is an independent energy company with operations focused in the Gulf Coast and Rocky Mountain regions. The Company is differentiated by its focus on CO 2 enhanced oil recovery (“EOR”) and the emerging carbon capture, use, and storage (“CCUS”) industry, supported by the Company’s CO 2 EOR technical and operational expertise and its extensive CO 2 pipeline infrastructure. The utilization of captured industrial-sourced CO 2 in EOR significantly reduces the carbon footprint of the oil that Denbury produces, making the Company’s scope 1 and 2 CO 2 emissions negative today, with a goal to also fully offset scope 3 CO 2 emissions within this decade, primarily through increasing the amount of captured industrial-sourced CO 2 used in its operations. Emergence from Voluntary Reorganization Under Chapter 11 of the Bankruptcy Code On July 30, 2020 (the “Petition Date”), Denbury Resources Inc. (the “Predecessor”) and its subsidiaries filed petitions for reorganization in a “prepackaged” voluntary bankruptcy (the “Chapter 11 Restructuring”) under chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the “Bankruptcy Court”) under the caption “ In re Denbury Resources Inc., et al. , Case No. 20-33801”. On September 2, 2020, the Bankruptcy Court entered an order (the “Confirmation Order”) confirming the prepackaged joint plan of reorganization (the “Plan”) and approving the Disclosure Statement, and on September 18, 2020 (the “Emergence Date”), the Plan became effective in accordance with its terms and the Company emerged from Chapter 11 as the successor reporting company of Denbury Resources Inc. On April 23, 2021, the Bankruptcy Court entered a final decree closing the Chapter 11 case captioned “ In re Denbury Resources Inc., et al. , Case No. 20-33801”; therefore, we have no remaining obligations related to this reorganization. Upon emergence from bankruptcy, we met the criteria and were required to adopt fresh start accounting in accordance with Financial Accounting Standards Board Codification (“FASC”) Topic 852, Reorganizations . Fresh start accounting requires that new fair values be established for the Company’s assets, liabilities and equity as of the Emergence Date, and therefore certain values and operational results of the condensed consolidated financial statements subsequent to September 18, 2020 are not comparable to those in the Company’s condensed consolidated financial statements prior to, and including September 18, 2020. The Emergence Date fair values of the Successor’s assets and liabilities differ materially from their recorded values as reflected on the historical balance sheets of the Predecessor contained in periodic reports previously filed with the Securities and Exchange Commission. References to “Successor” relate to the financial position and results of operations of the Company subsequent to September 18, 2020, and references to “Predecessor” relate to the financial position and results of operations of the Company prior to, and including, September 18, 2020. Reorganization Items, Net Reorganization items, net, include (i) expenses incurred during the Chapter 11 Restructuring subsequent to the Petition Date as a direct result of the Plan, (ii) gains or losses from liabilities settled and (iii) fresh start accounting adjustments and are recorded in “Reorganization items, net” in our Unaudited Condensed Consolidated Statements of Operations. Professional service provider charges associated with our restructuring that were incurred before the Petition Date and after the Emergence Date are recorded in “Other expenses” in our Unaudited Condensed Consolidated Statements of Operations. The following table summarizes the losses (gains) on reorganization items, net: Predecessor In thousands Period from July 1, 2020 through Gain on settlement of liabilities subject to compromise $ (1,024,864) Fresh start accounting adjustments 1,834,423 Professional service provider fees and other expenses 11,267 Success fees for professional service providers 9,700 Loss on rejected contracts and leases 10,989 Valuation adjustments to debt classified as subject to compromise 757 Debtor-in-possession credit agreement fees 3,107 Acceleration of Predecessor stock compensation expense 4,601 Total reorganization items, net $ 849,980 Interim Financial Statements The accompanying unaudited condensed consolidated financial statements of Denbury Inc. and its subsidiaries have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. These financial statements and the notes thereto should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2020 (the “Form 10-K”). Unless indicated otherwise or the context requires, the terms “we,” “our,” “us,” “Company” or “Denbury,” refer to Denbury Inc. and its subsidiaries. Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end, and the results of operations for the interim periods shown in this report are not necessarily indicative of results to be expected for the year. In management’s opinion, the accompanying unaudited condensed consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair presentation of our consolidated financial position as of September 30, 2021 (Successor); our consolidated results of operations and consolidated statement of changes in stockholders’ equity for the three and nine months ended September 30, 2021 (Successor), for the period September 19, 2020 through September 30, 2020 (Successor), for the period July 1, 2020 through September 18, 2020 (Predecessor) and January 1, 2020 through September 18, 2020 (Predecessor); and our consolidated cash flows for the nine months ended September 30, 2021 (Successor), for the period September 19, 2020 through September 30, 2020 (Successor) and for the period January 1, 2020 through September 18, 2020 (Predecessor). Upon the adoption of fresh start accounting, the Company’s assets and liabilities were recorded at their fair values as of the fresh start reporting date. As a result of the adoption of fresh start accounting, certain values and operational results of the Company’s condensed consolidated financial statements subsequent to September 18, 2020 are not comparable to those in its condensed consolidated financial statements prior to, and including September 18, 2020. Reclassifications Certain prior period amounts have been reclassified to conform to the current year presentation. Such reclassifications had no impact on our reported net income (loss), current assets, total assets, current liabilities, total liabilities or stockholders’ equity. Cash, Cash Equivalents, and Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Unaudited Condensed Consolidated Balance Sheets to “Cash, cash equivalents, and restricted cash at end of period” as reported within the Unaudited Condensed Consolidated Statements of Cash Flows: Successor In thousands September 30, 2021 December 31, 2020 Cash and cash equivalents $ 1,783 $ 518 Restricted cash, current — 1,000 Restricted cash included in other assets 46,679 40,730 Total cash, cash equivalents, and restricted cash shown in the Unaudited Condensed Consolidated Statements of Cash Flows $ 48,462 $ 42,248 Restricted cash included in other assets in the table above consists of escrow accounts that are legally restricted for certain of our asset retirement obligations, and are included in “Other assets” in the accompanying Unaudited Condensed Consolidated Balance Sheets. Net Income (Loss) per Common Share Basic net income (loss) per common share is computed by dividing the net income (loss) attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net income per common share is calculated in the same manner but includes the impact of potentially dilutive securities. Potentially dilutive securities during the Successor periods consist of nonvested restricted stock units and outstanding series A and series B warrants, and during the Predecessor periods consisted of nonvested restricted stock, nonvested performance-based equity awards, and convertible senior notes . For each of the three and nine months ended September 30, 2021 and for the periods September 19, 2020 through September 30, 2020 (Successor), July 1, 2020 through September 18, 2020 (Predecessor) and January 1, 2020 through September 18, 2020 (Predecessor), there were no adjustments to net income (loss) for purposes of calculating basic and diluted net income (loss) per common share. The following table reconciles the weighted average shares used in the basic and diluted net income (loss) per common share calculations for the periods indicated: Successor Predecessor In thousands Three Months Ended Period from Sept. 19, 2020 through Period from July 1, 2020 through Weighted average common shares outstanding – basic 51,094 50,000 497,398 Effect of potentially dilutive securities Restricted stock units 908 — — Warrants 2,712 — — Weighted average common shares outstanding – diluted 54,714 50,000 497,398 For the nine months ended September 30, 2021 and for each of the periods from July 1, 2020 through September 18, 2020 (Predecessor) and from January 1, 2020 through September 18, 2020 (Predecessor), the weighted average common shares outstanding used to calculate basic earnings per share and diluted earnings per share were the same, since the Company generated a net loss during those periods. The weighted average diluted shares outstanding would have been 53.4 million for the nine months ended September 30, 2021, 580.0 million for the period July 1, 2020 through September 18, 2020, and 584.4 million for the period January 1, 2020 through September 18, 2020 if the Company had recognized net income during those periods. Basic weighted average common shares during the Successor periods includes 987,987 and 767,228 performance stock units during the three and nine months ended September 30, 2021, respectively, with vesting parameters tied to the Company’s common stock trading prices and which became fully vested on March 3, 2021. Although the performance measures for vesting of these awards have been achieved, the shares underlying these awards are not currently outstanding as actual delivery of the shares is not scheduled to occur until after the end of the performance period, December 4, 2023. Basic weighted average common shares includes time-vesting restricted stock units during the Successor periods and restricted stock during the Predecessor periods that vested during the periods. For purposes of calculating diluted weighted average common shares for the three months ended September 30, 2021, the nonvested restricted stock units and warrants are included in the computation using the treasury stock method. The following outstanding securities were excluded from the computation of diluted net loss per share for the nine months ended September 30, 2021 and from diluted net income per share for the period September 19, 2020 to September 30, 2020, as their effect would have been antidilutive, as of the respective dates: Successor In thousands September 30, 2021 September 30, 2020 Restricted stock units 1,255 — Warrants 5,314 5,526 For the nine months ended September 30, 2021 Successor period, the Company’s restricted stock units and series A and series B warrants were antidilutive based on the Company’s net loss position for the period. Despite the Company’s net income position for the period September 19, 2020 to September 30, 2020, the Company’s series A and series B warrants were antidilutive because the Company’s stock price during the period was lower than the warrant exercise prices. At September 30, 2021, the Company had approximately 5.3 million warrants outstanding that can be exercised for shares of the Successor’s common stock, at an exercise price of $32.59 per share for the 2.6 million series A warrants outstanding and at an exercise price of $35.41 per share for the 2.7 million series B warrants outstanding. The series A warrants are exercisable until September 18, 2025, and the series B warrants are exercisable until September 18, 2023, at which time the warrants expire. The warrants were issued pursuant to the Plan to holders of the Predecessor’s convertible senior notes, senior subordinated notes, and equity. As of September 30, 2021, 8,390 series A warrants and 203,501 series B warrants had been exercised. The warrants may be exercised for cash or on a cashless basis. If warrants are exercised on a cashless basis, the amount of dilution will be less than 5.3 million shares. Oil and Natural Gas Properties Unevaluated Costs. Under full cost accounting, we exclude certain unevaluated costs from the amortization base and full cost ceiling test pending the determination of whether proved reserves can be assigned to such properties. These costs are transferred to the full cost amortization base as these properties are developed, tested and evaluated. At least annually, we test these assets for impairment based on an evaluation of management’s expectations of future pricing, evaluation of lease expiration terms, and planned development activities. In the first quarter of 2020 Predecessor period, given the significant declines in NYMEX oil prices in March and April 2020, we reassessed our development plans and transferred $244.9 million of our unevaluated costs to the full cost amortization base. Upon emergence from bankruptcy, the Company adopted fresh start accounting which resulted in our oil and natural gas properties, including unevaluated properties, being recorded at their fair values at the Emergence Date. Write-Down of Oil and Natural Gas Properties. Under full cost accounting, the net capitalized costs of oil and natural gas properties are limited to the lower of unamortized cost or the cost center ceiling. The cost center ceiling is defined as (1) the present value of estimated future net revenues from proved oil and natural gas reserves before future abandonment costs (discounted at 10%), based on the average first-day-of-the-month oil and natural gas price for each month during a 12-month rolling period prior to the end of a particular reporting period; plus (2) the cost of properties not being amortized; plus (3) the lower of cost or estimated fair value of unproved properties included in the costs being amortized, if any; less (4) related income tax effects. Our future net revenues from proved oil and natural gas reserves are not reduced for development costs related to the cost of drilling for and developing CO 2 reserves nor those related to the cost of constructing CO 2 pipelines, as we do not have to incur additional CO 2 capital costs to develop the proved oil and natural gas reserves. Therefore, we include in the ceiling test, as a reduction of future net revenues, that portion of our capitalized CO 2 costs related to CO 2 reserves and CO 2 pipelines that we estimate will be consumed in the process of producing our proved oil and natural gas reserves. The fair value of our oil and natural gas derivative contracts is not included in the ceiling test, as we do not designate these contracts as hedge instruments for accounting purposes. The cost center ceiling test is prepared quarterly. We recognized a full cost pool ceiling test write-down of $14.4 million during the three months ended March 31, 2021, with first-day-of-the-month NYMEX oil prices for the preceding 12 months averaging $36.40 per Bbl, after adjustments for market differentials and transportation expenses by field. The write-down was primarily a result of the March 2021 acquisition of Wyoming property interests (see Note 2, Acquisition and Divestitures ) which was recorded based on a valuation that utilized NYMEX strip oil prices at the acquisition date, which were significantly higher than the average first-day-of-the-month NYMEX oil prices used to value the cost ceiling. The Predecessor also recognized full cost pool ceiling test write-downs of $261.7 million during the period from July 1, 2020 through September 18, 2020, $662.4 million during the three months ended June 30, 2020 and $72.5 million during the three months ended March 31, 2020. We did not record any ceiling test write-downs during the Successor periods from September 19, 2020 through September 30, 2020, for the three months ended June 30, 2021, or for the three months ended September 30, 2021. Recent Accounting Pronouncements Recently Adopted Income Taxes. In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740) – Simplifying the Accounting for Income Taxes (“ASU 2019-12”). The objective of ASU 2019-12 is to simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and to provide more consistent application to improve the comparability of financial statements. Effective January 1, 2021, we adopted ASU 2019-02. The implementation of this standard did not have a material impact on our consolidated financial statements and related footnote disclosures.

Acquisition and Divestitures

Acquisition and Divestitures	9 Months Ended
	Sep. 30, 2021
Business Combinations [Abstract]
Acquisition and Divestitures	Note 2. Acquisition and Divestitures Acquisition of Wyoming CO 2 EOR Fields On March 3, 2021, we acquired a nearly 100% working interest (approximately 83% net revenue interest) in the Big Sand Draw and Beaver Creek EOR fields located in Wyoming from a subsidiary of Devon Energy Corporation for $10.9 million cash (after final closing adjustments), including surface facilities and a 46-mile CO 2 transportation pipeline to the acquired fields. The acquisition agreement provides for us to make two contingent cash payments, one in January 2022 and one in January 2023, of $4 million each, conditioned on NYMEX WTI oil prices averaging at least $50 per Bbl during each of 2021 and 2022. The fair value of the contingent consideration on the acquisition date was $5.3 million, and as of September 30, 2021, the fair value of the contingent consideration recorded on our Unaudited Condensed Consolidated Balance Sheets was $7.4 million. The $2.1 million increase at September 30, 2021 from the March 2021 acquisition date fair value was the result of higher NYMEX WTI oil prices and was recorded to “Other expenses” in our Unaudited Condensed Consolidated Statements of Operations. The fair values allocated to our assets acquired and liabilities assumed for the acquisition were based on significant inputs not observable in the market and considered level 3 inputs. The fair value of the assets acquired and liabilities assumed was finalized during the third quarter of 2021, after consideration of final closing adjustments and evaluation of reserves and liabilities assumed. The following table presents a summary of the fair value of assets acquired and liabilities assumed in the acquisition: In thousands Consideration: Cash consideration $ 10,906 Less: Fair value of assets acquired and liabilities assumed: Proved oil and natural gas properties 60,101 Other property and equipment 1,685 Asset retirement obligations (39,794) Contingent consideration (5,320) Other liabilities (5,766) Fair value of net assets acquired $ 10,906 Divestitures Hartzog Draw Deep Mineral Rights On June 30, 2021, we closed the sale of undeveloped, unconventional deep mineral rights in Hartzog Draw Field in Wyoming. The cash proceeds of $18 million were recorded to “Proved properties” in our Unaudited Condensed Consolidated Balance Sheets. The proceeds reduced our full cost pool; therefore, no gain or loss was recorded on the transaction, and the sale had no impact on our production or reserves. Houston Area Land Sales During the third quarter of 2021, we completed sales of a portion of certain non-producing surface acreage in the Houston area. We recognized cash proceeds of $11.8 million from the sales and recorded a $7.0 million gain to “Other income” in our Unaudited Condensed Consolidated Statements of Operations.

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Revenue Recognition	Note 3. Revenue Recognition We record revenue in accordance with FASC Topic 606, Revenue from Contracts with Customers . The core principle of FASC Topic 606 is that an entity should recognize revenue for the transfer of goods or services equal to the amount of consideration that it expects to be entitled to receive for those goods or services. Once we have delivered the volume of commodity to the delivery point and the customer takes delivery and possession, we are entitled to payment and we invoice the customer for such delivered production. Payment under most oil and CO 2 contracts is received within a month following product delivery, and for natural gas and NGL contracts, payment is generally received within two months following delivery. Timing of revenue recognition may differ from the timing of invoicing to customers; however, as the right to consideration after delivery is unconditional based on only the passage of time before payment of the consideration is due, upon delivery we record a receivable in “Accrued production receivable” in our Unaudited Condensed Consolidated Balance Sheets. From time to time, the Company enters into marketing arrangements for the purchase and sale of crude oil for third parties. Revenues and expenses from these transactions are presented on a gross basis, as we act as a principal in the transaction by assuming control of the commodities purchased and responsibility to deliver the commodities sold. Revenue is recognized when control transfers to the purchaser at the delivery point based on the price received from the purchaser. Disaggregation of Revenue The following tables summarize our revenues by product type for the periods indicated: Successor Predecessor In thousands Three Months Ended Period from Sept. 19, 2020 through Period from July 1, 2020 through Oil sales $ 305,093 $ 22,311 $ 152,136 Natural gas sales 3,361 10 954 CO 2 sales and transportation fees 12,237 967 6,517 Oil marketing revenues 12,593 151 3,332 Total revenues $ 333,284 $ 23,439 $ 162,939 Successor Predecessor In thousands Nine Months Ended Period from Sept. 19, 2020 through Period from Jan. 1, 2020 through Oil sales $ 818,714 $ 22,311 $ 489,251 Natural gas sales 7,893 10 2,850 CO 2 sales and transportation fees 31,599 967 21,049 Oil marketing revenues 26,538 151 8,543 Total revenues $ 884,744 $ 23,439 $ 521,693

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Long-Term Debt	Note 4. Long-Term Debt The table below reflects long-term debt outstanding as of the dates indicated: Successor In thousands September 30, 2021 December 31, 2020 Senior Secured Bank Credit Agreement $ — $ 70,000 Pipeline financings 17,332 68,008 Total debt principal balance 17,332 138,008 Less: current maturities of long-term debt (17,332) (68,008) Long-term debt $ — $ 70,000 Senior Secured Bank Credit Agreement On the Emergence Date, we entered into a credit agreement with JPMorgan Chase Bank, N.A., as administrative agent, and other lenders party thereto (the “Bank Credit Agreement”). The Bank Credit Agreement is a senior secured revolving credit facility with a borrowing base and lender commitments of $575 million. Availability under the Bank Credit Agreement is subject to a borrowing base, which is redetermined semiannually on or around May 1 and November 1 of each year, with our next scheduled redetermination around May 1, 2022. The borrowing base is adjusted at the lenders’ discretion and is based, in part, upon external factors over which we have no control. If our outstanding debt under the Bank Credit Agreement exceeds the then-effective borrowing base, we would be required to repay the excess amount over a period not to exceed six months. The Bank Credit Agreement matures on January 30, 2024. The undrawn portion of the aggregate lender commitments under the Bank Credit Agreement is subject to a commitment fee of 0.5% per annum. The Bank Credit Agreement limits our ability to pay dividends on our common stock or make other restricted payments in an amount not to exceed “Distributable Free Cash Flow”, but only if (1) no event of default or borrowing base deficiency exists; (2) our total leverage ratio is 2 to 1 or lower; and (3) availability under the Bank Credit Agreement is at least 20%. The Bank Credit Agreement also limits our ability to, among other things, incur and repay other indebtedness; grant liens; engage in certain mergers, consolidations, liquidations and dissolutions; engage in sales of assets; make acquisitions and investments; make other restricted payments (including redeeming, repurchasing or retiring our common stock); and enter into commodity derivative agreements, in each case subject to customary exceptions. The Bank Credit Agreement is secured by (1) our proved oil and natural gas properties, which are held through our restricted subsidiaries; (2) the pledge of equity interests of such subsidiaries; (3) a pledge of our commodity derivative agreements; (4) a pledge of deposit accounts, securities accounts and our commodity accounts; and (5) a security interest in substantially all other collateral that may be perfected by a Uniform Commercial Code filing, subject to certain exceptions. The Bank Credit Agreement contains certain financial performance covenants including the following: • A Consolidated Total Debt to Consolidated EBITDAX covenant (as defined in the Bank Credit Agreement), with such ratio not to exceed 3.5 times; and • A requirement to maintain a current ratio (i.e., Consolidated Current Assets to Consolidated Current Liabilities) of 1.0. For purposes of computing the current ratio per the Bank Credit Agreement, Consolidated Current Assets exclude the current portion of derivative assets but include available borrowing capacity under the Bank Credit Agreement, and Consolidated Current Liabilities exclude the current portion of derivative liabilities as well as the current portions of long-term indebtedness outstanding. As of September 30, 2021, we were in compliance with all debt covenants under the Bank Credit Agreement. The above description of our Bank Credit Agreement is qualified by the express language and defined terms contained in the Bank Credit Agreement. Pipeline Financing Transactions During the first nine months of 2021, Denbury paid $52.5 million to Genesis Energy, L.P. in accordance with the October 2020 restructuring of the financing arrangements of our NEJD CO 2 pipeline system. The final quarterly installment of $17.5 million was paid on October 29, 2021.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Note 5. Income Taxes As of September 30, 2021, the tax basis of our assets, primarily our oil and gas properties, is in excess of their carrying value, as adjusted for fresh start accounting on September 18, 2020; therefore, we are currently in a net deferred tax asset position. Based on all available evidence, both positive and negative, we continue to record a valuation allowance on our underlying deferred tax assets as of September 30, 2021, as we believe our deferred tax assets are not more-likely-than-not to be realized. We intend to maintain the valuation allowances on our deferred tax assets until there is sufficient evidence to support the reversal of all or some portion of the allowances, which will largely be determined based on oil prices and the Company’s ability to generate positive pre-tax income. We evaluate our estimated annual effective income tax rate based on current and forecasted business results and enacted tax laws on a quarterly basis and apply this tax rate to our ordinary income or loss to calculate our estimated tax liability or benefit. Our income taxes are based on an estimated combined federal and state statutory rate of approximately 25% in 2021 and 2020. Our effective tax rates for the three and nine months ended September 30, 2021 (Successor) differed from our estimated statutory rate as the deferred tax expense generated by the operating income for the three months ended September 30, 2021 and the deferred tax benefit generated from our operating loss for the nine months ended September 30, 2021 were offset by a valuation allowance applied to our underlying federal and state deferred tax assets.

Commodity Derivative Contracts

Commodity Derivative Contracts	9 Months Ended
	Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Commodity Derivative Contracts	Note 6. Commodity Derivative Contracts We do not apply hedge accounting treatment to our oil and natural gas derivative contracts; therefore, the changes in the fair values of these instruments are recognized in income in the period of change. These fair value changes, along with the settlements of expired contracts, are shown under “Commodity derivatives expense (income)” in our Unaudited Condensed Consolidated Statements of Operations. Historically, we have entered into various oil and natural gas derivative contracts to provide an economic hedge of our exposure to commodity price risk associated with anticipated future oil and natural gas production and to provide more certainty to our future cash flows. We do not hold or issue derivative financial instruments for trading purposes. Generally, these contracts have consisted of various combinations of price floors, collars, three-way collars, fixed-price swaps, fixed-price swaps enhanced with a sold put, and basis swaps. The production that we hedge has varied from year to year depending on our levels of debt, financial strength, expectation of future commodity prices, and occasionally requirements under our bank credit facility. As of December 31, 2020, we were in compliance with the hedging requirements under our Bank Credit Agreement requiring certain minimum commodity hedge levels through July 31, 2022, and we do not have any additional hedging requirements under the Bank Credit Agreement. We manage and control market and counterparty credit risk through established internal control procedures that are reviewed on an ongoing basis. We attempt to minimize credit risk exposure to counterparties through formal credit policies, monitoring procedures and diversification, and all of our commodity derivative contracts are with parties that are lenders under our Bank Credit Agreement (or affiliates of such lenders). As of September 30, 2021, all of our outstanding derivative contracts were subject to enforceable master netting arrangements whereby payables on those contracts can be offset against receivables from separate derivative contracts with the same counterparty. It is our policy to classify derivative assets and liabilities on a gross basis on our balance sheets, even if the contracts are subject to enforceable master netting arrangements. The following table summarizes our commodity derivative contracts as of September 30, 2021, none of which are classified as hedging instruments in accordance with the FASC Derivatives and Hedging topic: Months Index Price Volume (Barrels per day) Contract Prices ($/Bbl) Range (1) Weighted Average Price Swap Floor Ceiling Oil Contracts: 2021 Fixed-Price Swaps Oct – Dec NYMEX 29,000 $ 38.68 – 56.00 $ 43.86 $ — $ — 2021 Collars Oct – Dec NYMEX 4,000 $ 45.00 – 59.30 $ — $ 46.25 $ 53.04 2022 Fixed-Price Swaps Jan – June NYMEX 15,500 $ 42.65 – 58.15 $ 49.01 $ — $ — July – Dec NYMEX 9,000 50.13 – 60.35 56.35 — — 2022 Collars Jan – June NYMEX 11,000 $ 47.50 – 70.75 $ — $ 49.77 $ 64.31 July – Dec NYMEX 10,000 47.50 – 70.75 — 49.75 64.18 (1) Ranges presented for fixed-price swaps represent the lowest and highest fixed prices of all open contracts for the period presented. For collars, ranges represent the lowest floor price and highest ceiling price for all open contracts for the period presented.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 7. Fair Value Measurements The FASC Fair Value Measurement topic defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (often referred to as the “exit price”). We utilize market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated or generally unobservable. We primarily apply the income approach for recurring fair value measurements and endeavor to utilize the best available information. Accordingly, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. We are able to classify fair value balances based on the observability of those inputs. The FASC establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows: • Level 1 – Quoted prices in active markets for identical assets or liabilities as of the reporting date. • Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. Instruments in this category include non-exchange-traded oil derivatives that are based on NYMEX and regional pricing other than NYMEX (e.g., Light Louisiana Sweet). Our costless collars and the sold put features of our three-way collars are valued using the Black-Scholes model, an industry standard option valuation model that takes into account inputs such as contractual prices for the underlying instruments, maturity, quoted forward prices for commodities, interest rates, volatility factors and credit worthiness, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. • Level 3 – Pricing inputs include significant inputs that are generally less observable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. We adjust the valuations from the valuation model for nonperformance risk, using our estimate of the counterparty’s credit quality for asset positions and our credit quality for liability positions. We use multiple sources of third-party credit data in determining counterparty nonperformance risk, including credit default swaps. The following table sets forth, by level within the fair value hierarchy, our financial assets and liabilities that were accounted for at fair value on a recurring basis as of the periods indicated: Fair Value Measurements Using: In thousands Quoted Prices Significant Significant Total September 30, 2021 Liabilities Oil derivative contracts – current $ — $ (193,015) $ — $ (193,015) Oil derivative contracts – long-term — (16,435) — (16,435) Total Liabilities $ — $ (209,450) $ — $ (209,450) December 31, 2020 Assets Oil derivative contracts – current $ — $ 187 $ — $ 187 Total Assets $ — $ 187 $ — $ 187 Liabilities Oil derivative contracts – current $ — $ (53,865) $ — $ (53,865) Oil derivative contracts – long-term — (5,087) — (5,087) Total Liabilities $ — $ (58,952) $ — $ (58,952) Since we do not apply hedge accounting for our commodity derivative contracts, any gains and losses on our assets and liabilities are included in “Commodity derivatives expense (income)” in the accompanying Unaudited Condensed Consolidated Statements of Operations. Other Fair Value Measurements The carrying value of our loans under our Bank Credit Agreement approximate fair value, as they are subject to short-term floating interest rates that approximate the rates available to us for those periods. The estimated fair value of the principal amount of our debt as of December 31, 2020, excluding pipeline financing obligations, was $70.0 million. We have other financial instruments consisting primarily of cash, cash equivalents, U.S. Treasury notes, short-term receivables and payables that approximate fair value due to the nature of the instrument and the relatively short maturities.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 8. Commitments and Contingencies Litigation We are involved in various lawsuits, claims and regulatory proceedings incidental to our businesses. We are also subject to audits for various taxes (income, sales and use, and severance) in the various states in which we operate, and from time to time receive assessments for potential taxes that we may owe. While we currently believe that the ultimate outcome of these proceedings, individually and in the aggregate, will not have a material adverse effect on our financial position, results of operations or cash flows, litigation is subject to inherent uncertainties. We accrue for losses from litigation and claims if we determine that a loss is probable and the amount can be reasonably estimated.

Additional Balance Sheet Detail

Additional Balance Sheet Details	9 Months Ended
	Sep. 30, 2021
Disclosure Text Block [Abstract]
Additional Balance Sheet Details	Note 9. Additional Balance Sheet Details Accounts Payable and Accrued Liabilities Successor In thousands September 30, 2021 December 31, 2020 Accounts payable $ 38,578 $ 18,629 Accrued compensation 33,961 7,512 Accrued derivative settlements 26,311 3,908 Accrued lease operating expenses 25,724 21,294 Accrued exploration and development costs 20,728 1,861 Taxes payable 14,468 17,221 Accrued general and administrative expenses 2,595 21,825 Other 49,529 20,421 Total $ 211,894 $ 112,671

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Organization and Nature of Operations	Organization and Nature of Operations Denbury Inc. (“Denbury,” “Company” or the “Successor”), a Delaware corporation, is an independent energy company with operations focused in the Gulf Coast and Rocky Mountain regions. The Company is differentiated by its focus on CO 2 enhanced oil recovery (“EOR”) and the emerging carbon capture, use, and storage (“CCUS”) industry, supported by the Company’s CO 2 EOR technical and operational expertise and its extensive CO 2 pipeline infrastructure. The utilization of captured industrial-sourced CO 2 in EOR significantly reduces the carbon footprint of the oil that Denbury produces, making the Company’s scope 1 and 2 CO 2 emissions negative today, with a goal to also fully offset scope 3 CO 2 emissions within this decade, primarily through increasing the amount of captured industrial-sourced CO 2 used in its operations.
Interim Financial Statements - Basis of Accounting, Policy	Interim Financial Statements The accompanying unaudited condensed consolidated financial statements of Denbury Inc. and its subsidiaries have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. These financial statements and the notes thereto should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2020 (the “Form 10-K”). Unless indicated otherwise or the context requires, the terms “we,” “our,” “us,” “Company” or “Denbury,” refer to Denbury Inc. and its subsidiaries.
Interim Financial Statements - Use of Estimates	Accounting measurements at interim dates inherently involve greater reliance on estimates than at year end, and the results of operations for the interim periods shown in this report are not necessarily indicative of results to be expected for the year.  In management’s opinion, the accompanying unaudited condensed consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair presentation of our consolidated financial position as of September 30, 2021 (Successor); our consolidated results of operations and consolidated statement of changes in stockholders’ equity for the three and nine months ended September 30, 2021 (Successor), for the period September 19, 2020 through September 30, 2020 (Successor), for the period July 1, 2020 through September 18, 2020 (Predecessor) and January 1, 2020 through September 18, 2020 (Predecessor); and our consolidated cash flows for the nine months ended September 30, 2021 (Successor), for the period September 19, 2020 through September 30, 2020 (Successor) and for the period January 1, 2020 through September 18, 2020 (Predecessor). Upon the adoption of fresh start accounting, the Company’s assets and liabilities were recorded at their fair values as of the fresh start reporting date. As a result of the adoption of fresh start accounting, certain values and operational results of the Company’s condensed consolidated financial statements subsequent to September 18, 2020 are not comparable to those in its condensed consolidated financial statements prior to, and including September 18, 2020.
Reclassifications	Reclassifications Certain prior period amounts have been reclassified to conform to the current year presentation. Such reclassifications had no impact on our reported net income (loss), current assets, total assets, current liabilities, total liabilities or stockholders’ equity.
Cash, Cash Equivalents, and Restricted Cash	Cash, Cash Equivalents, and Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Unaudited Condensed Consolidated Balance Sheets to “Cash, cash equivalents, and restricted cash at end of period” as reported within the Unaudited Condensed Consolidated Statements of Cash Flows: Successor In thousands September 30, 2021 December 31, 2020 Cash and cash equivalents $ 1,783 $ 518 Restricted cash, current — 1,000 Restricted cash included in other assets 46,679 40,730 Total cash, cash equivalents, and restricted cash shown in the Unaudited Condensed Consolidated Statements of Cash Flows $ 48,462 $ 42,248 Restricted cash included in other assets in the table above consists of escrow accounts that are legally restricted for certain of our asset retirement obligations, and are included in “Other assets” in the accompanying Unaudited Condensed Consolidated Balance Sheets.
Net Loss per Common Share	Net Income (Loss) per Common Share Basic net income (loss) per common share is computed by dividing the net income (loss) attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net income per common share is calculated in the same manner but includes the impact of potentially dilutive securities. Potentially dilutive securities during the Successor periods consist of nonvested restricted stock units and outstanding series A and series B warrants, and during the Predecessor periods consisted of nonvested restricted stock, nonvested performance-based equity awards, and convertible senior notes . For each of the three and nine months ended September 30, 2021 and for the periods September 19, 2020 through September 30, 2020 (Successor), July 1, 2020 through September 18, 2020 (Predecessor) and January 1, 2020 through September 18, 2020 (Predecessor), there were no adjustments to net income (loss) for purposes of calculating basic and diluted net income (loss) per common share. The following table reconciles the weighted average shares used in the basic and diluted net income (loss) per common share calculations for the periods indicated: Successor Predecessor In thousands Three Months Ended Period from Sept. 19, 2020 through Period from July 1, 2020 through Weighted average common shares outstanding – basic 51,094 50,000 497,398 Effect of potentially dilutive securities Restricted stock units 908 — — Warrants 2,712 — — Weighted average common shares outstanding – diluted 54,714 50,000 497,398 For the nine months ended September 30, 2021 and for each of the periods from July 1, 2020 through September 18, 2020 (Predecessor) and from January 1, 2020 through September 18, 2020 (Predecessor), the weighted average common shares outstanding used to calculate basic earnings per share and diluted earnings per share were the same, since the Company generated a net loss during those periods. The weighted average diluted shares outstanding would have been 53.4 million for the nine months ended September 30, 2021, 580.0 million for the period July 1, 2020 through September 18, 2020, and 584.4 million for the period January 1, 2020 through September 18, 2020 if the Company had recognized net income during those periods. Basic weighted average common shares during the Successor periods includes 987,987 and 767,228 performance stock units during the three and nine months ended September 30, 2021, respectively, with vesting parameters tied to the Company’s common stock trading prices and which became fully vested on March 3, 2021. Although the performance measures for vesting of these awards have been achieved, the shares underlying these awards are not currently outstanding as actual delivery of the shares is not scheduled to occur until after the end of the performance period, December 4, 2023. Basic weighted average common shares includes time-vesting restricted stock units during the Successor periods and restricted stock during the Predecessor periods that vested during the periods. For purposes of calculating diluted weighted average common shares for the three months ended September 30, 2021, the nonvested restricted stock units and warrants are included in the computation using the treasury stock method. The following outstanding securities were excluded from the computation of diluted net loss per share for the nine months ended September 30, 2021 and from diluted net income per share for the period September 19, 2020 to September 30, 2020, as their effect would have been antidilutive, as of the respective dates: Successor In thousands September 30, 2021 September 30, 2020 Restricted stock units 1,255 — Warrants 5,314 5,526
Oil and Natural Gas Properties	Oil and Natural Gas Properties Unevaluated Costs. Under full cost accounting, we exclude certain unevaluated costs from the amortization base and full cost ceiling test pending the determination of whether proved reserves can be assigned to such properties. These costs are transferred to the full cost amortization base as these properties are developed, tested and evaluated. At least annually, we test these assets for impairment based on an evaluation of management’s expectations of future pricing, evaluation of lease expiration terms, and planned development activities. In the first quarter of 2020 Predecessor period, given the significant declines in NYMEX oil prices in March and April 2020, we reassessed our development plans and transferred $244.9 million of our unevaluated costs to the full cost amortization base. Upon emergence from bankruptcy, the Company adopted fresh start accounting which resulted in our oil and natural gas properties, including unevaluated properties, being recorded at their fair values at the Emergence Date. Write-Down of Oil and Natural Gas Properties. Under full cost accounting, the net capitalized costs of oil and natural gas properties are limited to the lower of unamortized cost or the cost center ceiling. The cost center ceiling is defined as (1) the present value of estimated future net revenues from proved oil and natural gas reserves before future abandonment costs (discounted at 10%), based on the average first-day-of-the-month oil and natural gas price for each month during a 12-month rolling period prior to the end of a particular reporting period; plus (2) the cost of properties not being amortized; plus (3) the lower of cost or estimated fair value of unproved properties included in the costs being amortized, if any; less (4) related income tax effects. Our future net revenues from proved oil and natural gas reserves are not reduced for development costs related to the cost of drilling for and developing CO 2 reserves nor those related to the cost of constructing CO 2 pipelines, as we do not have to incur additional CO 2 capital costs to develop the proved oil and natural gas reserves. Therefore, we include in the ceiling test, as a reduction of future net revenues, that portion of our capitalized CO 2 costs related to CO 2 reserves and CO 2 pipelines that we estimate will be consumed in the process of producing our proved oil and natural gas reserves. The fair value of our oil and natural gas derivative contracts is not included in the ceiling test, as we do not designate these contracts as hedge instruments for accounting purposes. The cost center ceiling test is prepared quarterly. We recognized a full cost pool ceiling test write-down of $14.4 million during the three months ended March 31, 2021, with first-day-of-the-month NYMEX oil prices for the preceding 12 months averaging $36.40 per Bbl, after adjustments for market differentials and transportation expenses by field. The write-down was primarily a result of the March 2021 acquisition of Wyoming property interests (see Note 2, Acquisition and Divestitures ) which was recorded based on a valuation that utilized NYMEX strip oil prices at the acquisition date, which were significantly higher than the average first-day-of-the-month NYMEX oil prices used to value the cost ceiling. The Predecessor also recognized full cost pool ceiling test write-downs of $261.7 million during the period from July 1, 2020 through September 18, 2020, $662.4 million during the three months ended June 30, 2020 and $72.5 million during the three months ended March 31, 2020. We did not record any ceiling test write-downs during the Successor periods from September 19, 2020 through September 30, 2020, for the three months ended June 30, 2021, or for the three months ended September 30, 2021.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Recently Adopted Income Taxes. In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740) – Simplifying the Accounting for Income Taxes (“ASU 2019-12”). The objective of ASU 2019-12 is to simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and to provide more consistent application to improve the comparability of financial statements. Effective January 1, 2021, we adopted ASU 2019-02. The implementation of this standard did not have a material impact on our consolidated financial statements and related footnote disclosures.
Revenue Recognition	We record revenue in accordance with FASC Topic 606, Revenue from Contracts with Customers . The core principle of FASC Topic 606 is that an entity should recognize revenue for the transfer of goods or services equal to the amount of consideration that it expects to be entitled to receive for those goods or services. Once we have delivered the volume of commodity to the delivery point and the customer takes delivery and possession, we are entitled to payment and we invoice the customer for such delivered production. Payment under most oil and CO 2 contracts is received within a month following product delivery, and for natural gas and NGL contracts, payment is generally received within two months following delivery. Timing of revenue recognition may differ from the timing of invoicing to customers; however, as the right to consideration after delivery is unconditional based on only the passage of time before payment of the consideration is due, upon delivery we record a receivable in “Accrued production receivable” in our Unaudited Condensed Consolidated Balance Sheets. From time to time, the Company enters into marketing arrangements for the purchase and sale of crude oil for third parties. Revenues and expenses from these transactions are presented on a gross basis, as we act as a principal in the transaction by assuming control of the commodities purchased and responsibility to deliver the commodities sold. Revenue is recognized when control transfers to the purchaser at the delivery point based on the price received from the purchaser.
Income Taxes	We evaluate our estimated annual effective income tax rate based on current and forecasted business results and enacted tax laws on a quarterly basis and apply this tax rate to our ordinary income or loss to calculate our estimated tax liability or benefit. Our income taxes are based on an estimated combined federal and state statutory rate of approximately 25% in 2021 and 2020.
Commodity Derivative Contracts	We do not apply hedge accounting treatment to our oil and natural gas derivative contracts; therefore, the changes in the fair values of these instruments are recognized in income in the period of change. These fair value changes, along with the settlements of expired contracts, are shown under “Commodity derivatives expense (income)” in our Unaudited Condensed Consolidated Statements of Operations. Historically, we have entered into various oil and natural gas derivative contracts to provide an economic hedge of our exposure to commodity price risk associated with anticipated future oil and natural gas production and to provide more certainty to our future cash flows. We do not hold or issue derivative financial instruments for trading purposes. Generally, these contracts have consisted of various combinations of price floors, collars, three-way collars, fixed-price swaps, fixed-price swaps enhanced with a sold put, and basis swaps. The production that we hedge has varied from year to year depending on our levels of debt, financial strength, expectation of future commodity prices, and occasionally requirements under our bank credit facility. As of December 31, 2020, we were in compliance with the hedging requirements under our Bank Credit Agreement requiring certain minimum commodity hedge levels through July 31, 2022, and we do not have any additional hedging requirements under the Bank Credit Agreement. We manage and control market and counterparty credit risk through established internal control procedures that are reviewed on an ongoing basis. We attempt to minimize credit risk exposure to counterparties through formal credit policies, monitoring procedures and diversification, and all of our commodity derivative contracts are with parties that are lenders under our Bank Credit Agreement (or affiliates of such lenders). As of September 30, 2021, all of our outstanding derivative contracts were subject to enforceable master netting arrangements whereby payables on those contracts can be offset against receivables from separate derivative contracts with the same counterparty. It is our policy to classify derivative assets and liabilities on a gross basis on our balance sheets, even if the contracts are subject to enforceable master netting arrangements.
Fair Value Measurements	The FASC Fair Value Measurement topic defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (often referred to as the “exit price”). We utilize market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated or generally unobservable. We primarily apply the income approach for recurring fair value measurements and endeavor to utilize the best available information. Accordingly, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. We are able to classify fair value balances based on the observability of those inputs. The FASC establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows: • Level 1 – Quoted prices in active markets for identical assets or liabilities as of the reporting date. • Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. Instruments in this category include non-exchange-traded oil derivatives that are based on NYMEX and regional pricing other than NYMEX (e.g., Light Louisiana Sweet). Our costless collars and the sold put features of our three-way collars are valued using the Black-Scholes model, an industry standard option valuation model that takes into account inputs such as contractual prices for the underlying instruments, maturity, quoted forward prices for commodities, interest rates, volatility factors and credit worthiness, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. • Level 3 – Pricing inputs include significant inputs that are generally less observable. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. We adjust the valuations from the valuation model for nonperformance risk, using our estimate of the counterparty’s credit quality for asset positions and our credit quality for liability positions. We use multiple sources of third-party credit data in determining counterparty nonperformance risk, including credit default swaps.

Basis of Presentation (Tables)

Basis of Presentation (Tables)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Schedule of reorganization items, net	The following table summarizes the losses (gains) on reorganization items, net: Predecessor In thousands Period from July 1, 2020 through Gain on settlement of liabilities subject to compromise $ (1,024,864) Fresh start accounting adjustments 1,834,423 Professional service provider fees and other expenses 11,267 Success fees for professional service providers 9,700 Loss on rejected contracts and leases 10,989 Valuation adjustments to debt classified as subject to compromise 757 Debtor-in-possession credit agreement fees 3,107 Acceleration of Predecessor stock compensation expense 4,601 Total reorganization items, net $ 849,980
Schedule of cash, cash equivalents, and restricted cash	The following table provides a reconciliation of cash, cash equivalents, and restricted cash as reported within the Unaudited Condensed Consolidated Balance Sheets to “Cash, cash equivalents, and restricted cash at end of period” as reported within the Unaudited Condensed Consolidated Statements of Cash Flows: Successor In thousands September 30, 2021 December 31, 2020 Cash and cash equivalents $ 1,783 $ 518 Restricted cash, current — 1,000 Restricted cash included in other assets 46,679 40,730 Total cash, cash equivalents, and restricted cash shown in the Unaudited Condensed Consolidated Statements of Cash Flows $ 48,462 $ 42,248
Schedule of earnings per share, basic and diluted reconciliation	The following table reconciles the weighted average shares used in the basic and diluted net income (loss) per common share calculations for the periods indicated: Successor Predecessor In thousands Three Months Ended Period from Sept. 19, 2020 through Period from July 1, 2020 through Weighted average common shares outstanding – basic 51,094 50,000 497,398 Effect of potentially dilutive securities Restricted stock units 908 — — Warrants 2,712 — — Weighted average common shares outstanding – diluted 54,714 50,000 497,398
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following outstanding securities were excluded from the computation of diluted net loss per share for the nine months ended September 30, 2021 and from diluted net income per share for the period September 19, 2020 to September 30, 2020, as their effect would have been antidilutive, as of the respective dates: Successor In thousands September 30, 2021 September 30, 2020 Restricted stock units 1,255 — Warrants 5,314 5,526

Acquisition and Divestitures (T

Acquisition and Divestitures (Tables)	9 Months Ended
	Sep. 30, 2021
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table presents a summary of the fair value of assets acquired and liabilities assumed in the acquisition: In thousands Consideration: Cash consideration $ 10,906 Less: Fair value of assets acquired and liabilities assumed: Proved oil and natural gas properties 60,101 Other property and equipment 1,685 Asset retirement obligations (39,794) Contingent consideration (5,320) Other liabilities (5,766) Fair value of net assets acquired $ 10,906

Revenue Recognition (Tables)

Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following tables summarize our revenues by product type for the periods indicated: Successor Predecessor In thousands Three Months Ended Period from Sept. 19, 2020 through Period from July 1, 2020 through Oil sales $ 305,093 $ 22,311 $ 152,136 Natural gas sales 3,361 10 954 CO 2 sales and transportation fees 12,237 967 6,517 Oil marketing revenues 12,593 151 3,332 Total revenues $ 333,284 $ 23,439 $ 162,939 Successor Predecessor In thousands Nine Months Ended Period from Sept. 19, 2020 through Period from Jan. 1, 2020 through Oil sales $ 818,714 $ 22,311 $ 489,251 Natural gas sales 7,893 10 2,850 CO 2 sales and transportation fees 31,599 967 21,049 Oil marketing revenues 26,538 151 8,543 Total revenues $ 884,744 $ 23,439 $ 521,693

Long-Term Debt (Tables)

Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Components of Long-Term Debt	The table below reflects long-term debt outstanding as of the dates indicated: Successor In thousands September 30, 2021 December 31, 2020 Senior Secured Bank Credit Agreement $ — $ 70,000 Pipeline financings 17,332 68,008 Total debt principal balance 17,332 138,008 Less: current maturities of long-term debt (17,332) (68,008) Long-term debt $ — $ 70,000

Commodity Derivative Contracts

Commodity Derivative Contracts (Tables)	9 Months Ended
	Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Commodity derivative contracts not classified as hedging instruments	The following table summarizes our commodity derivative contracts as of September 30, 2021, none of which are classified as hedging instruments in accordance with the FASC Derivatives and Hedging topic: Months Index Price Volume (Barrels per day) Contract Prices ($/Bbl) Range (1) Weighted Average Price Swap Floor Ceiling Oil Contracts: 2021 Fixed-Price Swaps Oct – Dec NYMEX 29,000 $ 38.68 – 56.00 $ 43.86 $ — $ — 2021 Collars Oct – Dec NYMEX 4,000 $ 45.00 – 59.30 $ — $ 46.25 $ 53.04 2022 Fixed-Price Swaps Jan – June NYMEX 15,500 $ 42.65 – 58.15 $ 49.01 $ — $ — July – Dec NYMEX 9,000 50.13 – 60.35 56.35 — — 2022 Collars Jan – June NYMEX 11,000 $ 47.50 – 70.75 $ — $ 49.77 $ 64.31 July – Dec NYMEX 10,000 47.50 – 70.75 — 49.75 64.18 (1) Ranges presented for fixed-price swaps represent the lowest and highest fixed prices of all open contracts for the period presented. For collars, ranges represent the lowest floor price and highest ceiling price for all open contracts for the period presented.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Fair value hierarchy of financial assets and liabilities	The following table sets forth, by level within the fair value hierarchy, our financial assets and liabilities that were accounted for at fair value on a recurring basis as of the periods indicated: Fair Value Measurements Using: In thousands Quoted Prices Significant Significant Total September 30, 2021 Liabilities Oil derivative contracts – current $ — $ (193,015) $ — $ (193,015) Oil derivative contracts – long-term — (16,435) — (16,435) Total Liabilities $ — $ (209,450) $ — $ (209,450) December 31, 2020 Assets Oil derivative contracts – current $ — $ 187 $ — $ 187 Total Assets $ — $ 187 $ — $ 187 Liabilities Oil derivative contracts – current $ — $ (53,865) $ — $ (53,865) Oil derivative contracts – long-term — (5,087) — (5,087) Total Liabilities $ — $ (58,952) $ — $ (58,952)

Additional Balance Sheet Deta_2

Additional Balance Sheet Details (Tables)	9 Months Ended
	Sep. 30, 2021
Table Text Block [Abstract]
Accounts Payable and Accrued Liabilities	Accounts Payable and Accrued Liabilities Successor In thousands September 30, 2021 December 31, 2020 Accounts payable $ 38,578 $ 18,629 Accrued compensation 33,961 7,512 Accrued derivative settlements 26,311 3,908 Accrued lease operating expenses 25,724 21,294 Accrued exploration and development costs 20,728 1,861 Taxes payable 14,468 17,221 Accrued general and administrative expenses 2,595 21,825 Other 49,529 20,421 Total $ 211,894 $ 112,671

Basis of Presentation (Reorgani

Basis of Presentation (Reorganization Items, Net) (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Reorganizations [Abstract]
Gain on settlement of liabilities subject to compromise			$ (1,024,864)
Fresh start accounting adjustments			1,834,423
Professional service provider fees and other expenses			11,267
Success fees for professional service providers			9,700
Loss on rejected contracts and leases			10,989
Valuation adjustments to debt classified as subject to compromise			757
Debtor-in-possession credit agreement fees			3,107
Acceleration of Predecessor stock compensation expense			4,601
Total reorganization items, net	$ 0	$ 0	$ 849,980	$ 0	$ 849,980

Basis of Presentation (Cash, Ca

Basis of Presentation (Cash, Cash Equivalents, and Restricted Cash) (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020	Sep. 18, 2020	Dec. 31, 2019
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract]
Cash and cash equivalents	$ 1,783	$ 518
Restricted cash, current	0	1,000
Restricted cash included in other assets	46,679	40,730
Total cash, cash equivalents, and restricted cash shown in the Unaudited Condensed Consolidated Statements of Cash Flows	$ 48,462	$ 42,248	$ 71,410	$ 95,114	$ 33,045

Basis of Presentation (Reconcil

Basis of Presentation (Reconciliation of Weighted Average Shares Table) (Details) - shares shares in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Earnings Per Share Reconciliation [Abstract]
Weighted average common shares outstanding - basic	50,000	51,094	497,398	50,807	495,560
Restricted stock units	0	908	0
Warrants	0	2,712	0
Weighted average common shares outstanding - diluted	50,000	54,714	497,398	50,807	495,560

Basis of Presentation (Antidilu

Basis of Presentation (Antidilutive Securities) (Details) - shares shares in Thousands	Sep. 30, 2021	Sep. 30, 2020
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Number of antidilutive equity-based instruments outstanding	1,255	0
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Number of antidilutive equity-based instruments outstanding	5,314	5,526

Basis of Presentation (Weighted

Basis of Presentation (Weighted Avg Shares) (Details Textuals) - shares shares in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Weighted average number of dilutive shares	50,000	54,714	497,398	50,807	495,560
Net Income Scenario
Weighted average number of dilutive shares			580,000	53,400	584,400

Basis of Presentation (Details

Basis of Presentation (Details Textuals)	Sep. 30, 2020shares	Sep. 30, 2021warrants$ / sharesshares	Sep. 18, 2020shares	Sep. 30, 2021warrants$ / sharesshares	Sep. 18, 2020shares
Class of Warrant or Right [Line Items]
Weighted average common shares outstanding - basic	50,000,000	51,094,000	497,398,000	50,807,000	495,560,000
Number of warrants outstanding		5,300,000		5,300,000
Shares issuable upon exercise of series A and B warrants		5,300,000		5,300,000
Performance share units
Class of Warrant or Right [Line Items]
Weighted average common shares outstanding - basic		987,987		767,228
Series A Warrants
Class of Warrant or Right [Line Items]
Number of warrants outstanding		2,600,000		2,600,000
Exercise price of warrants | $ / shares		$ 32.59		$ 32.59
Number of warrants exercised | warrants		8,390		8,390
Series B Warrants
Class of Warrant or Right [Line Items]
Number of warrants outstanding		2,700,000		2,700,000
Exercise price of warrants | $ / shares		$ 35.41		$ 35.41
Number of warrants exercised | warrants		203,501		203,501

Basis of Presentation (Detail_2

Basis of Presentation (Details Textuals 2)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Jun. 30, 2021USD ($)	Mar. 31, 2021USD ($)$ / Barrel	Sep. 18, 2020USD ($)	Jun. 30, 2020USD ($)	Mar. 31, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 18, 2020USD ($)
Oil and Gas, Average Sale Price and Production Cost Per Unit [Line Items]
Impairment of unevaluated costs							$ 244,900,000
Write-down of oil and natural gas properties	$ 0	$ 0	$ 0	$ 14,400,000	$ 261,677,000	$ 662,400,000	$ 72,500,000	$ 14,377,000	$ 996,658,000
Oil
Oil and Gas, Average Sale Price and Production Cost Per Unit [Line Items]
Average price | $ / Barrel				36.40

Acquisition and Divestitures (P

Acquisition and Divestitures (Purchase Price Allocation) (Details) - Big Sand Draw and Beaver Creek Fields $ in Thousands	Mar. 03, 2021USD ($)
Business Acquisition [Line Items]
Cash consideration	$ 10,906
Proved oil and natural gas properties	60,101
Other property and equipment	1,685
Asset retirement obligations	(39,794)
Contingent consideration	(5,320)
Other liabilities	(5,766)
Fair value of net assets acquired	$ 10,906

Acquisition and Divestitures (D

Acquisition and Divestitures (Details Textuals)	Jun. 30, 2021USD ($)	Mar. 03, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2021USD ($)$ / Barrel	Sep. 18, 2020USD ($)
Business Acquisition, Contingent Consideration [Line Items]
Approximate working interest percentage acquired		100.00%
Approximate net revenue interest percentage acquired		83.00%
Acquisitions of oil and natural gas properties		$ 10,900,000	$ 1,000			$ 10,927,000	$ 0
Contingent consideration				$ 7,400,000	$ 7,400,000	7,400,000
Contingent consideration at acquisition date		$ 5,300,000
Increase in contingent consideration					2,100,000
Cash proceeds on sale of Hartzog Draw deep mineral rights	$ 18,000,000		880,000			19,053,000	41,322,000
Gain (loss) on disposition of oil and gas properties	$ 0
Gross proceeds from land sales				11,800,000
Gain from asset sales and other			$ 0	7,000,000		7,026,000	$ 6,723,000
2021 | Devon Energy Corporation's Wind River Basin properties
Business Acquisition, Contingent Consideration [Line Items]
Contingent cash payment				4,000,000	4,000,000	$ 4,000,000
2021 | Minimum | Devon Energy Corporation's Wind River Basin properties
Business Acquisition, Contingent Consideration [Line Items]
Average price | $ / Barrel						50
2022 | Devon Energy Corporation's Wind River Basin properties
Business Acquisition, Contingent Consideration [Line Items]
Contingent cash payment				$ 4,000,000	$ 4,000,000	$ 4,000,000
2022 | Minimum | Devon Energy Corporation's Wind River Basin properties
Business Acquisition, Contingent Consideration [Line Items]
Average price | $ / Barrel						50

Revenue Recognition (Disaggrega

Revenue Recognition (Disaggregation of Revenue) (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2021	Sep. 18, 2020	Sep. 30, 2021	Sep. 18, 2020
Disaggregation of Revenue [Line Items]
Revenues	$ 23,439	$ 333,284	$ 162,939	$ 884,744	$ 521,693
Oil sales
Disaggregation of Revenue [Line Items]
Revenues	22,311	305,093	152,136	818,714	489,251
Natural gas sales
Disaggregation of Revenue [Line Items]
Revenues	10	3,361	954	7,893	2,850
CO2 sales and transportation fees
Disaggregation of Revenue [Line Items]
Revenues	967	12,237	6,517	31,599	21,049
Oil marketing revenues
Disaggregation of Revenue [Line Items]
Revenues	$ 151	$ 12,593	$ 3,332	$ 26,538	$ 8,543

Long-Term Debt (Components of L

Long-Term Debt (Components of Long-Term Debt) (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Debt and Lease Obligation [Abstract]
Senior Secured Bank Credit Agreement	$ 0	$ 70,000
Pipeline financings	17,332	68,008
Total debt principal balance	17,332	138,008
Less: current maturities of long-term debt	(17,332)	(68,008)
Long-term debt	$ 0	$ 70,000

Long-Term Debt (Details Textual

Long-Term Debt (Details Textuals) - USD ($)	Oct. 29, 2021	Sep. 30, 2021
Senior Secured Bank Credit Facility [Abstract]
Borrowing base		$ 575,000,000
Lender commitments		$ 575,000,000
Commitment fee percentage		0.50%
NEJD Pipeline
Senior Secured Bank Credit Facility [Abstract]
Payments to reacquire pipeline		$ 52,500,000
NEJD Pipeline | Subsequent Event
Senior Secured Bank Credit Facility [Abstract]
Payments to reacquire pipeline	$ 17,500,000
Minimum
Senior Secured Bank Credit Facility [Abstract]
Current ratio requirement		1
Minimum | Dividend or Other Restricted Payment
Senior Secured Bank Credit Facility [Abstract]
Borrowing base availability requirement		20.00%
Maximum
Senior Secured Bank Credit Facility [Abstract]
Consolidated total debt to consolidated EBITDAX requirement		3.5
Maximum | Dividend or Other Restricted Payment
Senior Secured Bank Credit Facility [Abstract]
Consolidated total debt to consolidated EBITDAX requirement		2

Income Taxes (Details Textuals)

Income Taxes (Details Textuals)	9 Months Ended
	Sep. 30, 2021Rate	Sep. 30, 2020Rate
Income Tax Disclosure [Abstract]
Statutory tax rate	25.00%	25.00%

Commodity Derivative Contract_2

Commodity Derivative Contracts (Commodity Derivatives Outstanding Table) (Details) - NYMEX	Sep. 30, 2021bbl / d$ / Barrel
Swap | Q4 2021
Derivative [Line Items]
Volume per day | bbl / d	29,000
Weighted average swap price	43.86
Swap | Q4 2021 | Minimum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	38.68
Swap | Q4 2021 | Maximum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	56
Swap | Q1 - Q2 2022
Derivative [Line Items]
Volume per day | bbl / d	15,500
Weighted average swap price	49.01
Swap | Q1 - Q2 2022 | Minimum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	42.65
Swap | Q1 - Q2 2022 | Maximum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	58.15
Swap | Q3 - Q4 2022
Derivative [Line Items]
Volume per day | bbl / d	9,000
Weighted average swap price	56.35
Swap | Q3 - Q4 2022 | Minimum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	50.13
Swap | Q3 - Q4 2022 | Maximum
Derivative [Line Items]
Derivative, Swap Type, Fixed Price	60.35
Collars | Q4 2021
Derivative [Line Items]
Volume per day | bbl / d	4,000
Derivative, Floor Price	45
Derivative, Cap Price	59.30
Weighted average floor price	46.25
Weighted average ceiling price	53.04
Collars | Q1 - Q2 2022
Derivative [Line Items]
Volume per day | bbl / d	11,000
Derivative, Floor Price	47.50
Derivative, Cap Price	70.75
Weighted average floor price	49.77
Weighted average ceiling price	64.31
Collars | Q3 - Q4 2022
Derivative [Line Items]
Volume per day | bbl / d	10,000
Derivative, Floor Price	47.50
Derivative, Cap Price	70.75
Weighted average floor price	49.75
Weighted average ceiling price	64.18

Fair Value Measurements (Fair V

Fair Value Measurements (Fair Value Hierarchy Table) (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Oil derivative contracts - current assets	$ 0	$ 187
Total Assets		187
Oil derivative contracts - current liabilities	(193,015)	(53,865)
Oil derivative contracts - long-term liabilities	(16,435)	(5,087)
Total Liabilities	(209,450)	(58,952)
Quoted Prices in Active Markets (Level 1)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Oil derivative contracts - current assets		0
Total Assets		0
Oil derivative contracts - current liabilities	0	0
Oil derivative contracts - long-term liabilities	0	0
Total Liabilities	0	0
Significant Other Observable Inputs (Level 2)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Oil derivative contracts - current assets		187
Total Assets		187
Oil derivative contracts - current liabilities	(193,015)	(53,865)
Oil derivative contracts - long-term liabilities	(16,435)	(5,087)
Total Liabilities	(209,450)	(58,952)
Significant Unobservable Inputs (Level 3)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Oil derivative contracts - current assets		0
Total Assets		0
Oil derivative contracts - current liabilities	0	0
Oil derivative contracts - long-term liabilities	0	0
Total Liabilities	$ 0	$ 0

Fair Value Measurements (Detail

Fair Value Measurements (Details Textuals) $ in Millions	Dec. 31, 2020USD ($)
Fair Value Disclosures [Abstract]
Fair value of debt	$ 70

Additional Balance Sheet Deta_3

Additional Balance Sheet Details (Accounts Payable and Accrued Liabilities) (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Accounts Payable and Accrued Liabilities, Current [Abstract]
Accounts payable	$ 38,578	$ 18,629
Accrued compensation	33,961	7,512
Accrued derivative settlements	26,311	3,908
Accrued lease operating expenses	25,724	21,294
Accrued exploration and development costs	20,728	1,861
Taxes payable	14,468	17,221
Accrued general and administrative expenses	2,595	21,825
Other	49,529	20,421
Total	$ 211,894	$ 112,671