Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Components of Income Tax Provision

The following table shows the components of the Company’s income tax provision for the years ended December 31, 2018 and 2017 (in thousands):

	Years Ended December 31,
	2018			2017
Current:
Federal	$	—		$	—
State	—			(15		)
Total current	—			(15		)
Deferred:
Federal	(1,398		)	16,186
State	(1,072		)	202
Total deferred	(2,470		)	16,388
Total income tax (expense) benefit	$	(2,470	)	$	16,373

Reconciliation of Effective Tax Rate to Statutory Rate

A reconciliation of the effective tax rate to the statutory rate for the years ended December 31, 2018 and 2017 is as follows (in thousands, except percentages):

	Years Ended December 31,
	2018									2017
	U.S.			Canada			Total			U.S.			Canada			Total
Net income (loss) before income taxes	$	97,683		$	—		$	97,683		$	(61,082	)	$	(24	)	$	(61,106	)
Statutory rate	21		%	27		%				34		%	26		%
Tax expense (benefit) computed at statutory rate	20,513			—			20,513			(20,768		)	(8		)	(20,776		)
Noncontrolling interest	(11,475		)	—			(11,475		)	12,118			—			12,118
Non-deductible general and administrative expenses	94			—			94			168			—			168
Return to accrual	—			—			—			(486		)	—			(486		)
Refundable tax credits	(505		)	—			(505		)	—			—			—
State income taxes, net of Federal benefit	1,208			—			1,208			(191		)	—			(191		)
Valuation allowance	(7,393		)	—			(7,393		)	(15,483		)	6			(15,477		)
Federal rate change	—			—			—			7,824			—			7,824
State rate change	28			—			28			445			—			445
Rate differential on Canadian activity	—			—			—			—			2			2
Total income tax expense (benefit)	$	2,470		$	—		$	2,470		$	(16,373	)	$	—		$	(16,373	)
Effective tax rate	2.5		%	—		%	2.5		%	26.8		%	—		%	26.8		%

Components of Deferred Tax Assets and Liabilities

Significant components of the deferred tax assets and liabilities at December 31, 2018 and 2017 are as follows (in thousands):  

	December 31,
	2018			2017
Deferred noncurrent income tax assets (liabilities):
Oil & gas properties	$	11,164		$	2,998
Basis difference in subsidiary obligation	(2,211		)	(2,268		)
Investment in Partnerships	(18,517		)	(111		)
Federal net operating loss carryforward	12,940			12,986
Net deferred noncurrent tax assets	3,376			13,605
Valuation allowance	(16,865		)	(24,120		)
Net deferred tax liability	$	(13,489	)	$	(10,515	)