EX-12.1 5 oas-12312018xex12110xk18ma.htm EXHIBIT 12.1 Exhibit


EXHIBIT 12.1
Oasis Petroleum Inc.
Computation of Ratio of Earnings to Fixed Charges
 
 
 
Year Ended December 31,
 
 
2014
 
2015
 
2016
 
2017
 
2018
 
(In thousands, except for ratios)
Earnings
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes
 
$
814,468

 
$
(56,371
)
 
$
(371,554
)
 
$
(75,858
)
 
$
(25,343
)
Add: Fixed charges
 
167,890

 
170,624

 
159,260

 
161,336

 
179,858

Add: Amortization of capitalized interest
 
1,718

 
3,315

 
4,935

 
7,346

 
11,185

Less: Capitalized interest
 
(8,850
)
 
(18,582
)
 
(16,848
)
 
(12,797
)
 
(17,226
)
Total earnings
 
$
975,226

 
$
98,986

 
$
(224,207
)
 
$
80,027

 
$
148,474

 
 
 
 
 
 
 
 
 
 
 
Fixed charges
 
 
 
 
 
 
 
 
 
 
Interest expense
 
$
158,390

 
$
149,648

 
$
140,305

 
$
146,837

 
$
159,085

Capitalized interest
 
8,850

 
18,582

 
16,848

 
12,797

 
17,226

Rental expense attributable to interest
 
650

 
2,394

 
2,107

 
1,702

 
3,547

Total fixed charges
 
$
167,890

 
$
170,624

 
$
159,260

 
$
161,336

 
$
179,858

 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges(1)(2)
 
5.81

 
—

 
—

 
—

 
—

 
(1)
For purposes of calculating the ratios of consolidated earnings to fixed charges, earnings consist of income before income taxes and fixed charges. Fixed charges consist of interest expensed and capitalized, amortized deferred financing costs and an estimate of interest within rental expense.
(2)
Due to our net pre-tax losses for the years ended December 31, 2018, 2017, 2016 and 2015, the ratio coverage was less than 1:1. The Company would have needed additional earnings of $31.4 million, $81.3 million, $383.5 million and $71.6 million for the year ended December 31, 2018, 2017, 2016 and 2015, respectively, to achieve a coverage of 1:1.