Segment Information

9 Months Ended

Sep. 30, 2011

Segment Information [Abstract]

Segment Information

Note 14 — Segment Information

The Company's operations are focused in the Gulf of Mexico and the North Sea. Management reviews and evaluates separately the operations of its segments. The operations of the segments include liquid hydrocarbon and natural gas production and sales. Segment activity is as follows (in thousands):

For the Three Months Ended –	Gulf of Mexico			North Sea			Total
September 30, 2011:
Revenues	$	165,698		$	4,437		$	170,135
Depreciation, depletion and amortization		75,083			2,632			77,715
Income (loss) from operations		47,333			(1,639	)		45,694
Interest income		68			—			68
Interest expense, net		77,356			—			77,356
Derivative income		86,277			416			86,693
Income tax expense (1)		—			44,136			44,136
Additions to oil and gas properties		137,668			37,673			175,341
September 30, 2010:
Revenues	$	98,415		$	3,706		$	102,121
Depreciation, depletion and amortization		58,898			3,607			62,505
Impairment of oil and gas properties		2,988			—			2,988
Income (loss) from operations		12,463			(2,115	)		10,348
Interest income		293			—			293
Interest expense, net		69,249			—			69,249
Derivative income (expense)		(14,918	)		2,253			(12,665	)
Income tax benefit (expense)		19,942			(70	)		19,872
Additions to oil and gas properties		79,575			38,864			118,439
For the Nine Months Ended –	Gulf of Mexico			North Sea			Total
September 30, 2011:
Revenues	$	494,949		$	14,569		$	509,518
Depreciation, depletion and amortization		221,570			9,783			231,353
Impairment of oil and gas properties		45,704			—			45,704
Income (loss) from operations		66,203			(3,926	)		62,277
Interest income		184			—			184
Interest expense, net		249,883			—			249,883
Derivative income (expense)		73,570			(1,221	)		72,349
Gain on debt extinguishment		1,091			—			1,091
Income tax expense (1)		—			38,784			38,784
Additions to oil and gas properties		240,892			159,135			400,027
Total assets		2,924,381			506,775			3,431,156
September 30, 2010:
Revenues	$	281,785		$	14,464		$	296,249
Depreciation, depletion and amortization		143,760			14,861			158,621
Impairment of oil and gas properties		15,078			—			15,078
Income (loss) from operations		18,205			(6,957	)		11,248
Interest income		591			—			591
Interest expense, net		146,113			—			146,113
Derivative income (expense)		17,984			(3,185	)		14,799
Loss on debt extinguishment		78,171			—			78,171
Income tax benefit		72,483			3,783			76,266
Additions to oil and gas properties		528,070			103,669			631,739
Total assets		2,979,553			366,557			3,346,110

(1) Income taxes during interim periods are based on the estimated annual effective income tax rate plus any significant, unusual or infrequently occurring items that are recorded in the period the specific item occurs. The U.K. supplementary charge of corporation tax was increased from 20% to 32%, effective March 24, 2011, and Royal Assent was received on July 19, 2011. The U.K. rate increase has been reflected in the income tax provision for the three and nine months ended September 30, 2011, and all U.K. deferred tax assets and liabilities subject to the supplementary charge of corporation tax have been updated to reflect the 32% rate as of September 30, 2011.