10-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 10‑K

☒        ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2017

or

☐        TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _______________ to _______________

Commission file number:  001‑31899

WHITING PETROLEUM CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	20‑0098515
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
1700 Broadway, Suite 2300 Denver, Colorado	80290‑2300
(Address of principal executive offices)	(Zip code)

(303) 837‑1661

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Common Stock, $0.001 par value	New York Stock Exchange
(Title of Class)	(Name of each exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act:  None.

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.     Yes  ☒    No  ☐

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Act.     Yes  ☐    No  ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ☒    No  ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ☒    No  ☐

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter)is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.    ☒

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.  (Check one):

Large accelerated filer	☒		Smaller reporting company	☐
Accelerated filer	☐		Emerging growth company	☐
Non-accelerated filer	☐	(Do not check if a smaller reporting company)

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

Aggregate market value of the voting common stock held by non-affiliates of the registrant at June 30, 2017:  $2,002,000,000.

Number of shares of the registrant’s common stock outstanding at February 15,  2018:  90,927,193 shares.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Proxy Statement for the 2018Annual Meeting of Stockholders are incorporated by reference into Part III.

TABLE OF CONTENTS

Glossary of Certain Definitions		1
	PART I
Item 1.	Business	5
Item 1A.	Risk Factors	18
Item 1B.	Unresolved Staff Comments	31
Item 2.	Properties	32
Item 3.	Legal Proceedings	38
Item 4.	Mine Safety Disclosures	38
	Executive Officers of the Registrant	39
	PART II
Item 5.	Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	41
Item 6.	Selected Financial Data	43
Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	44
Item 7A.	Quantitative and Qualitative Disclosures about Market Risk	63
Item 8.	Financial Statements and Supplementary Data	65
Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	102
Item 9A.	Controls and Procedures	102
Item 9B.	Other Information	103
	PART III
Item 10.	Directors, Executive Officers and Corporate Governance	104
Item 11.	Executive Compensation	104
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	104
Item 13.	Certain Relationships, Related Transactions and Director Independence	105
Item 14.	Principal Accounting Fees and Services	105
	PART IV
Item 15.	Exhibits and Financial Statement Schedules	105
Item 16.	Form 10-K Summary	105

glossary of Certain Definitions

Unless the context otherwise requires, the terms “we”, “us”, “our” or “ours” when used in this Annual Report on Form 10-K refer to Whiting Petroleum Corporation, together with its consolidated subsidiaries.  When the context requires, we refer to these entities separately.

We have included below the definitions for certain terms used in this Annual Report on Form 10-K:

“3-D seismic” Geophysical data that depict the subsurface strata in three dimensions.  3-D seismic typically provides a more detailed and accurate interpretation of the subsurface strata than 2-D, or two-dimensional, seismic.

“ASC” Accounting Standards Codification.

“Bbl” One stock tank barrel, or 42 U.S. gallons liquid volume, used in this report in reference to oil, NGLs and other liquid hydrocarbons.

“Bcf” One billion cubic feet, used in reference to natural gas.

“BOE” One stock tank barrel of oil equivalent, computed on an approximate energy equivalent basis that one Bbl of crude oil equals six Mcf of natural gas and one Bbl of crude oil equals one Bbl of natural gas liquids.

“Btu” or “British thermal unit” The quantity of heat required to raise the temperature of one pound of water one degree Fahrenheit.

“CO2” Carbon dioxide.

“completion” The process of preparing an oil and gas wellbore for production through the installation of permanent production equipment, as well as perforation and fracture stimulation to optimize production.

“costless collar” An option position where the proceeds from the sale of a call option at its inception fund the purchase of a put option at its inception.

“delay rental”  Consideration paid to the lessor by a lessee to extend the terms of an oil and natural gas lease in the absence of drilling operations and/or production that is contractually required to hold the lease.  This consideration is generally required to be paid on or before the anniversary date of the oil and gas lease during its primary term, and typically extends the lease for an additional year.

“deterministic method” The method of estimating reserves or resources using a single value for each parameter (from the geoscience, engineering or economic data) in the reserves calculation.

“development well” A well drilled within the proved area of an oil or natural gas reservoir to the depth of a stratigraphic horizon known to be productive.

“differential” The difference between a benchmark price of oil and natural gas, such as the NYMEX crude oil spot price, and the wellhead price received.

“dry hole”  A well found to be incapable of producing either oil or gas in sufficient quantities to justify completion as an oil or gas well.

“EOR” Enhanced oil recovery.

“exploratory well” A well drilled to find a new field or to find a new reservoir in a field previously found to be productive of oil or natural gas in another reservoir.

“extension well” A well drilled to extend the limits of a known reservoir.

“FASB” Financial Accounting Standards Board.

“field” An area consisting of a single reservoir or multiple reservoirs all grouped on or related to the same individual geological structural feature and/or stratigraphic condition.  There may be two or more reservoirs in a field that are separated vertically by intervening impervious strata, or laterally by local geologic barriers, or both.  Reservoirs that are associated by being in overlapping or adjacent fields may be treated as a single or common operational field.  The geological terms “structural feature” and “stratigraphic condition” are intended to identify localized geological features as opposed to the broader terms of basins, trends, provinces, plays, areas of interest, etc.

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“GAAP” Generally accepted accounting principles in the United States of America.

“gross acres” or “gross wells” The total acres or wells, as the case may be, in which a working interest is owned.

“ISDA” International Swaps and Derivatives Association, Inc.

“lease operating expense” or “LOE” The expenses of lifting oil or gas from a producing formation to the surface, constituting part of the current operating expenses of a working interest, and also including labor, superintendence, supplies, repairs, short-lived assets, maintenance, allocated overhead costs and other expenses incidental to production, but not including lease acquisition or drilling or completion expenses.

“LIBOR” London interbank offered rate.

“MBbl” One thousand barrels of oil, NGLs or other liquid hydrocarbons.

“MBbl/d” One MBbl per day.

“MBOE” One thousand BOE.

“MBOE/d” One MBOE per day.

“Mcf” One thousand cubic feet, used in reference to natural gas.

“MMBbl” One million barrels of oil, NGLs or other liquid hydrocarbons.

“MMBOE” One million BOE.

“MMBtu” One million British Thermal Units, used in reference to natural gas.

“MMcf” One million cubic feet, used in reference to natural gas.

“MMcf/d” One MMcf per day.

“net acres” or “net wells” The sum of the fractional working interests owned in gross acres or wells, as the case may be.

“net production” The total production attributable to our fractional working interest owned.

“NGL” Natural gas liquid.

“NYMEX” The New York Mercantile Exchange.

“PDNP” Proved developed nonproducing reserves.

“PDP” Proved developed producing reserves.

“plug-and-perf technology” A horizontal well completion technique in which hydraulic fractures are performed in multiple stages, with each stage utilizing a bridge plug to divert fracture stimulation fluids through the casing perforations into the formation within that stage.

“plugging and abandonment” Refers to the sealing off of fluids in the strata penetrated by a well so that the fluids from one stratum will not escape into another or to the surface.  Regulations of most states legally require plugging of abandoned wells.

“pre-tax PV10%” The present value of estimated future revenues to be generated from the production of proved reserves calculated in accordance with the guidelines of the SEC, net of estimated lease operating expense, production taxes and future development costs, using costs as of the date of estimation without future escalation and using an average of the first-day-of-the month price for each of the 12 months within the fiscal year, without giving effect to non-property related expenses such as general and administrative expenses, debt service and depreciation, depletion and amortization, or federal income taxes and discounted using an annual discount rate of 10%.  Pre-tax PV10% may be considered a non-GAAP financial measure as defined by the SEC.  Refer tothe footnote to the Proved Reserves table in Item 1. “Business” of this Annual Report on Form 10-K for more information.

“prospect”A property on which indications of oil or gas have been identified based on available seismic and geological information.

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“proved developed reserves”Proved reserves that can be expected to be recovered through existing wells with existing equipment and operating methods or in which the cost of the required equipment is relatively minor compared to the cost of a new well.

“proved reserves” Those reserves which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible—from a given date forward, from known reservoirs and under existing economic conditions, operating methods and government regulations—prior to the time at which contracts providing the right to operate expire, unless evidence indicates that renewal is reasonably certain, regardless of whether deterministic or probabilistic methods are used for the estimation.  The project to extract the hydrocarbons must have commenced, or the operator must be reasonably certain that it will commence the project, within a reasonable time.

The area of the reservoir considered as proved includes all of the following:

a. The area identified by drilling and limited by fluid contacts, if any, and

b. Adjacent undrilled portions of the reservoir that can, with reasonable certainty, be judged to be continuous with it and to contain economically producible oil or gas on the basis of available geoscience and engineering data.

Reserves that can be produced economically through application of improved recovery techniques (including, but not limited to, fluid injection) are included in the proved classification when both of the following occur:

a. Successful testing by a pilot project in an area of the reservoir with properties no more favorable than in the reservoir as a whole, the operation of an installed program in the reservoir or an analogous reservoir, or other evidence using reliable technology establishes the reasonable certainty of the engineering analysis on which the project or program was based, and

b. The project has been approved for development by all necessary parties and entities, including governmental entities.

Existing economic conditions include prices and costs at which economic producibility from a reservoir is to be determined.  The price shall be the average price during the 12-month period before the ending date of the period covered by the report, determined as an unweighted arithmetic average of the first-day-of-the-month price for each month within such period, unless prices are defined by contractual arrangements, excluding escalations based upon future conditions.

“proved undeveloped reserves” or “PUDs”Proved reserves that are expected to be recovered from new wells on undrilled acreage, or from existing wells where a relatively major expenditure is required for recompletion.  Reserves on undrilled acreage shall be limited to those directly offsetting development spacing areas that are reasonably certain of production when drilled, unless evidence using reliable technology exists that establishes reasonable certainty of economic producibility at greater distances.  Undrilled locations can be classified as having undeveloped reserves only if a development plan has been adopted indicating that they are scheduled to be drilled within five years, unless specific circumstances justify a longer time.  Under no circumstances shall estimates of proved undeveloped reserves be attributable to any acreage for which an application of fluid injection or other improved recovery technique is contemplated, unless such techniques have been proved effective by actual projects in the same reservoir or an analogous reservoir, or by other evidence using reliable technology establishing reasonable certainty.

“reasonable certainty”  If deterministic methods are used, reasonable certainty means a high degree of confidence that the quantities will be recovered.  If probabilistic methods are used, there should be at least a 90 percent probability that the quantities actually recovered will equal or exceed the estimate.  A high degree of confidence exists if the quantity is much more likely to be achieved than not, and, as changes due to increased availability of geoscience (geological, geophysical and geochemical) engineering, and economic data are made to estimated ultimate recovery with time, reasonably certain estimated ultimate recovery is much more likely to increase or remain constant than to decrease.

“recompletion” An operation whereby a completion in one zone is abandoned in order to attempt a completion in a different zone within the existing wellbore.

“reserves” Estimated remaining quantities of oil and gas and related substances anticipated to be economically producible, as of a given date, by application of development projects to known accumulations.  In addition, there must exist, or there must be a reasonable expectation that there will exist, the legal right to produce or a revenue interest in the production, installed means of delivering oil and gas or related substances to market, and all permits and financing required to implement the project.

“reservoir” A porous and permeable underground formation containing a natural accumulation of producible crude oil and/or natural gas that is confined by impermeable rock or water barriers and is individual and separate from other reservoirs.

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“resource play” An expansive contiguous geographical area with known accumulations of crude oil or naturalgas reserves that has the potential to be developed uniformly with repeatable commercial success due toadvancements in horizontal drilling and completion technologies.

“royalty” The amount or fee paid to the owner of mineral rights, expressed as a percentage or fraction of gross income from crude oil or natural gas produced and sold, unencumbered by expenses relating to the drilling, completing or operating of the affected well.

“royalty interest” An interest in an oil or natural gas property entitling the owner to shares of the crude oil or natural gas production free of costs of exploration, development and production operations.

“SEC”The United States Securities and Exchange Commission.

“standardized measure of discounted future net cash flows”or “Standardized Measure”The discounted future net cash flows relating to proved reserves based on the average price during the 12-month period before the ending date of the period covered by the report, determined as an unweighted arithmetic average of the first-day-of-the-month price for each month within such period (unless prices are defined by contractual arrangements, excluding escalations based upon future conditions); current costs and statutory tax rates (to the extent applicable); and a 10% annual discount rate.

“working interest” The interest in a crude oil and natural gas property (normally a leasehold interest) that gives the owner the right to drill, produce and conduct operations on the property and to a share of production, subject to all royalties, overriding royalties and other burdens and to all costs of exploration, development and operations and all risks in connection therewith.

“workover” Operations on a producing well to restore or increase production.

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PART I

Item 1.Business

Overview

We are an independent oil and gas company engaged in development, production, acquisition and exploration activities primarily in the Rocky Mountains region of the United States.  We were incorporated in the state of Delaware in 2003 in connection with our initial public offering.

Since our inception, we have built a strong asset base through a combination of property acquisitions, development of proved reserves and exploration activities.  Our current operations and capital programs are focused on organic drilling opportunities and on the development of previously acquired properties, specifically on projects that we believe provide the greatest potential for repeatable success and production growth, while selectively pursuing acquisitions that complement our existing core properties.As a result of lower crude oil prices during 2015 and 2016, we significantly reduced our level of capital spending and focused our drilling activity on projects that provide the highest rate of return.  During 2017, we continued to focus on high-return projects that added production and reserves through the strategic deployment of capital at our Williston Basin properties and Redtail field, while closely aligning our capital spending with cash flows generated from operations.  In addition, we continually evaluate our property portfolio and sell properties when we believe that the sales price realized will provide an above average rate of return for the property or when the property no longer matches the profile of properties we desire to own, such as the asset sales discussed below under “Acquisitions and Divestitures”.

As of December 31, 2017, our estimated proved reserves totaled 617.6 MMBOE and our 2017 average daily production was 118.1 MBOE/d, which results in an average reserve life of approximately 14.3 years.

The following table summarizes by core area, our estimated proved reserves as of December 31, 2017, their corresponding pre-tax PV10% values, and our fourth quarter 2017 average daily production rates, as well as our company’s total standardized measure of discounted future net cash flows as of December 31, 2017:

	Proved Reserves (1)
						Pre-Tax		4th Quarter 2017
			Natural			PV10%		Average Daily
	Oil	NGLs	Gas	Total	%	Value (2)		Production
Core Area	(MMBbl)	(MMBbl)	(Bcf)	(MMBOE)	Oil	(in millions)		(MBOE/d)
Northern Rocky Mountains (3)	298.2	133.0	787.4	562.5	53%	$	3,779	106.8
Central Rocky Mountains (4)	34.9	5.7	55.8	49.9	70%		161	20.6
Other (5)	4.5	0.2	3.3	5.2	86%		29	0.6
Total	337.6	138.9	846.5	617.6	55%	$	3,969	128.0
Discounted Future Income Tax Expense							(101)
Standardized Measure of Discounted Future Net Cash Flows						$	3,868

_____________________

(1) Oil and gas reserve quantities and related discounted future net cash flows have been derived from an oil price of $51.34 per Bbl and a  gas price of $2.98 per MMBtu, which were calculated using an average of the first-day-of-the month price for each month within the 12 months ended December 31, 2017 as required by current SEC and FASB guidelines.

(2) Pre-tax PV10% may be considered a non-GAAP financial measure as defined by the SEC and is derived from the standardized measure of discounted future net cash flows (the “Standardized Measure”), which is the most directly comparable GAAP financial measure.  Pre-tax PV10% is computed on the same basis as the Standardized Measure but without deducting future income taxes.  We believe pre-tax PV10% is a useful measure for investors when evaluating the relative monetary significance of our oil and natural gas properties.  We further believe investors may utilize our pre-tax PV10% as a basis for comparison of the relative size and value of our proved reserves to other companies because many factors that are unique to each individual company impact the amount of future income taxes to be paid.  Our management uses this measure when assessing the potential return on investment related to our oil and gas properties and acquisitions.  However, pre-tax PV10% is not a substitute for the Standardized Measure.  Our pre-tax PV10% and Standardized Measure do not purport to present the fair value of our proved oil, NGL and natural gas reserves.

(3) Includes oil and gas properties located in Montana and North Dakota.

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(4) Includes oil and gas properties located in Colorado.

(5) Primarily includes non-core oil and gas properties located in Colorado, Mississippi,  New Mexico, Texas and Wyoming.

During 2017, we incurred $912million in exploration and development (“E&D”) expenditures,including $858 million for the drilling of 238 gross (164.1 net) wells.  All of these new wells resulted in productive completions.

Our current 2018 E&D budget is $750 million, whichwe expect to fund substantially with net cash provided by our operating activities and cash on hand.To the extent net cash provided by operating activities is higher or lower than currently anticipated, we would adjust our E&D budget accordingly, enter into agreements with industry partners, divest certain oil and gas property interests, adjust borrowings outstanding under our credit facility or access the capital markets as necessary.

Acquisitions and Divestitures

During 2016 and 2017, in response to sustained lower crude oil prices, we divested of a large number of oil and gas properties and other related assets that no longer matched the profile of properties we desire to own.  Our significant acquisitions and divestitures during the last two years are summarized below.

Acquisitions.  There were no significant acquisitions during the years ended December 31, 2017 and 2016.

2017 Divestitures.In September 2017, we completed the sale of our interests in certain producing oil and gas properties located in the Fort Berthold Indian Reservation area in Dunn and McLean counties of North Dakota, as well as other related assets and liabilities, (the “FBIR Assets”) for aggregate sales proceeds of $500 million (before closing adjustments).  The sale was effective September 1, 2017 and resulted in a pre-tax loss on sale of $402 million.  The properties spanned approximately 29,600 net developed acres and consisted of estimated proved reserves of 32 MMBOE as of December 31, 2016, representing 5% of our proved reserves as of that date.  The FBIR Assets generated 7% (or 8.3 MBOE/d) of our August 2017 average daily production.

In January 2017, we completed the sale of our 50% interest in the Robinson Lake gas processing plant located in Mountrail County, North Dakota and our 50% interest in the Belfield gas processing plant located in Stark County, North Dakota, as well as the associated natural gas, crude oil and water gathering systems, effective January 1, 2017, for aggregate sales proceeds of $375 million (before closing adjustments).

2016 Divestitures.In July 2016, we completed the sale of our interest in our enhanced oil recovery project in the North Ward Estes field in Ward and Winkler counties of Texas, including our interest in certain CO2 properties in the McElmo Dome field in Colorado and certain other related assets and liabilities (the “North Ward Estes Properties”) for a cash purchase price of $300 million (before closing adjustments).  In addition to the cash purchase price, the buyer of the North Ward Estes Properties agreed to pay us $100,000 for every $0.01 that, as of June 28, 2018, the average NYMEX crude oil futures contract price for each month from August 2018 through July 2021 is above $50.00/Bbl up to a maximum amount of $100 million (the “Contingent Payment”).  In July 2017, the buyer paid us $35 million to settle this Contingent Payment, resulting in a pre-tax gain of $3 million.  The sale was effective July 1, 2016 and resulted in a pre-tax loss on sale of $187 million.  The North Ward Estes Properties consisted of estimated proved reserves of 120.3 MMBOE as of December 31, 2015, representing 15% of our proved reserves as of that date, and generated 8.6 MBOE/d (or 6%) of our June 2016 average daily net production.

Business Strategy 

Our goal is to generate meaningful growth in shareholder value through the development, acquisition and exploration of oil and gas projects with attractive rates of return on capital.  Specifically, we have focused, and plan to continue to focus, on the following:

Developing Existing Properties.  The development of our large resource play at our Williston Basin project has become our central objective.  As of December 31, 2017, we have assembled approximately 688,200 gross (409,600 net) developed and undeveloped acres in the Williston Basin located in North Dakotaand Montana.  As of December 31, 2017, we had four drilling rigs operating in this area.

At our Redtail field in the Denver Julesburg Basin (the “DJ Basin”) in Weld County, Colorado, we have assembled approximately 120,200 gross (100,000 net) developed and undeveloped acres.  In response to low commodity prices, we suspended completion operations in this area beginning in the second quarter of 2016, however, we resumed completion activity during the first quarter of 2017 and added a second completion crew in April 2017.  During 2017, we completed and brought on production a significant portion of our drilled uncompleted well inventory (“DUCs”) from yearend 2016.During the fourth quarter of 2017, based on the recent and comparative well performance results of the DJ Basin to the Williston Basin, our management decided to concentrate development activities during 2018 in the Williston Basin.  We plan to complete 22 DUCs in our Redtail field during the first half of 2018, and then cease additional development activity in this area until commodity prices further recover.

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Our Redtail gas plant processes the associated gas produced from our wells in this area, and has a current inlet capacity of 50 MMcf/d.  As of December 31, 2017, the plant was processing 26 MMcf/d.

Disciplined Financial Approach.  Our goal is to remain financially strong, yet flexible, through the prudent management of our balance sheet and active management of our exposure to commodity price volatility.  We have historically funded our acquisition and growth activity through a combination of internally generated cash flows, equity and debt issuances, bank borrowings and certain oil and gas property divestitures, as appropriate, to maintain our financial position.  As a result of sustained lower crude oil prices in 2015 and 2016, we significantly reduced our level of capital spending and focused our drilling activity on projects that provided the highest rate of return.  During 2017, we continued to focus on high-return projects that added production and reserves through the strategic deployment of capital at our Williston Basin properties and Redtail field, while closely aligning our capital spending with cash flows generated from operations.  From time to time, we monetize non-core properties and use the net proceeds from these asset sales to repay debt under our credit agreement or fund our E&D expenditures.  For example, during 2016 and 2017 we sold a large number of oil and gas properties and other related assets that no longer matched the profile of properties we desire to own.  In addition, to support cash flow generation on our existing properties and help ensure expected cash flows from newly acquired properties, we periodically enter into derivative contracts.  Typically, we use costless collars and swaps to provide an attractive base commodity price level.  As of January 23, 2018, we had derivative contracts covering the sale of approximately 72% of our forecasted 2018 oil production.

Growing Through Accretive Acquisitions.  Since 2003, we have completed 21 separate significant acquisitions of producing properties for total estimated proved reserves of 445.2 MMBOE, as of the effective dates of the acquisitions.  Our experienced team of management, land, engineering and geoscience professionals has developed and refined an acquisition program designed to increase reserves and complement our existing properties, including identifying and evaluating acquisition opportunities, closing purchases and effectively managing the properties we acquire.  We intend to selectively pursue the acquisition of properties that are complementary to our core operating areas.

Competitive Strengths

We believe that our key competitive strengths lie in our focused asset portfolio, our experienced management and technical teams and our commitment to the effective application of new technologies.

Focused, Long-Lived Asset Base.  As of December 31, 2017, we had interests in 4,775 gross (1,980 net) productive wells on approximately 802,700 gross (490,000 net) developed acres across our geographical areas.  We believe the concentration of our operated assets presents us with multiple opportunities to successfully execute our business strategy by enabling us to leverage our technical expertise and take advantage of operational efficiencies.  Our proved reserve life is approximately 14.3 years based on year-end 2017 proved reserves and 2017 production.

Experienced Management and Technical Teams.  Our management team averages 26 years of experience in the oil and gas industry.  Our personnel have extensive experience in each of our core geographical areas and in all of our operational disciplines.  In addition, our team of acquisition professionals has an average of 30 years of experience in the evaluation, acquisition and operational assimilation of oil and gas properties.

Commitment to Technology.  In each of our core operating areas, we have accumulated extensive geologic and geophysical knowledge and have developed significant technical and operational expertise.  In recent years, we have developed considerable expertise in conventional and 3-D seismic imaging and interpretation.  Data provided by our in-house, state-of-the-art rock analysis laboratory is used to support real-time drilling and completion decisions, and to help us further understand unconventional oil plays.  Our technical team has access to approximately 9,200 square miles of 3-D seismic data, digital well logs and other subsurface information.  This data is analyzed with advanced geophysical and geological computer resources dedicated to the accurate and efficient characterization of the subsurface oil and gas reservoirs that comprise our asset base.  In addition, our information systems enable us to update our production databases through daily uploads from hand-held computers in the field.  This commitment to technology has increased the productivity and efficiency of our field operations and development activities.

We continue to advance our completion techniques, including significantly increasing proppant volumes, utilizing diverter agents to better distribute fluid and proppant across individual zones, varying the number of completion stages, and employing new fracture stimulation fluids, including slickwater.  We plan to continue use of these state-of-the-art completion designs on wells we drill throughout 2018, while also testing new diversion technology and more efficient placement and drillout of down-hole plugs.

Proved  Reserves

Our estimated proved reserves as of December 31, 2017 are summarized by core area in the table below.  Refer to “Reserves” in Item 2 of this Annual Report on Form 10-K for information relating to the uncertainties surrounding these reserve categories.

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						Estimated
						Future Capital
	Oil	NGLs	Natural Gas	Total	% of Total	Expenditures (1)
Northern Rocky Mountains (2)	(MMBbl)	(MMBbl)	(Bcf)	(MMBOE)	Proved	(in millions)
PDP	159.8	74.2	447.4	308.6	55%
PDNP	0.6	0.3	1.8	1.2	-%
PUD	137.8	58.5	338.2	252.7	45%
Total proved	298.2	133.0	787.4	562.5	100%	$	2,504.7
Central Rocky Mountains (3)
PDP	14.9	2.2	21.4	20.7	41%
PUD	20.0	3.5	34.4	29.2	59%
Total proved	34.9	5.7	55.8	49.9	100%	$	508.9
Other (4)
PDP	4.0	0.2	2.4	4.6	88%
PDNP	0.5	-	0.9	0.6	12%
Total proved	4.5	0.2	3.3	5.2	100%	$	9.2
Total Company
PDP	178.7	76.6	471.2	333.9	54%
PDNP	1.1	0.3	2.7	1.8	-%
PUD	157.8	62.0	372.6	281.9	46%
Total proved	337.6	138.9	846.5	617.6	100%	$	3,022.8

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(1) Estimated future capital expenditures incorporate numerous assumptions and are subject to many uncertainties, including oil and natural gas prices, costs of oil field goods and services, drilling results and several other factors.

(2) Includes oil and gas properties located in Montana and North Dakota.

(3) Includes oil and gas properties located in Colorado.

(4) Primarily includes non-core oil and gas properties located in Colorado, Mississippi,  New Mexico, Texas and Wyoming.

Marketing and Major Customers

We principally sell our oil and gas production to end users, marketers and other purchasers that have access to nearby pipeline facilities.  In areas where there is no practical access to pipelines, oil is trucked or transported by rail to terminals, market hubs, refineries or storage facilities.  The tables below present percentages by purchaser that accounted for 10% or more of our total oil, NGL and natural gas sales for the years ended December 31, 2017 and 2016.  For the year ended December 31, 2015, no individual purchaser accounted for 10% or more of our total oil, NGL and natural gas sales.  We believe that the loss of any individual purchaser would not have a long-term material adverse impact on our financial position or results of operations, as alternative customers and markets for the sale of our products are readily available in the areas in which we operate.

Year Ended December 31, 2017
Tesoro Crude Oil Co	18%

Year Ended December 31, 2016
Tesoro Crude Oil Co	15%
Jamex Marketing LLC	12%

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Title to Properties

Our properties are subject to customary royalty interests, liens securing indebtedness, liens incident to operating agreements, liens for current taxes and other burdens, including other mineral encumbrances and restrictions.  Our credit agreement is also collateralized by a first lien on substantially all of our assets.  We do not believe that any of these burdens materially interfere with the use of our properties or the operation of our business.

We believe that we have satisfactory rights or title to all of our producing properties.  As is customary in the oil and gas industry, limited investigation of title is made at the time of acquisition of undeveloped properties.  In most cases, we investigate title and obtain title opinions from counsel only when we acquire producing properties or before commencement of drilling operations.

Competition

The oil and gas industry is a highly competitive environment for acquiring properties, obtaining investment capital, securing oil field goods and services, marketing oil and natural gas products and attracting and retaining qualified personnel.  Many of our competitors possess and employ financial, technical and personnel resources substantially greater than ours, which can be particularly important in the areas in which we operate.  Those companies may be able to pay more for productive oil and gas properties and exploratory prospects and to evaluate, bid for and purchase a greater number of properties and prospects than our resources permit.  In addition, the unavailability or high cost of drilling rigs or other equipment and services could delay or adversely affect our development and exploration operations.  Our ability to acquire additional prospects and to find and develop reserves in the future will depend on our ability to evaluate and select suitable properties and to consummate transactions in a highly competitive environment.

Regulation

Regulation of Production

The production of oil and gas is subject to regulation under a wide range of local, state and federal statutes, rules, orders and regulations.  Federal, state and local statutes and regulations require permits for drilling operations, drilling bonds and periodic report submittals during operations.  All of the states in which we own and operate properties have regulations governing conservation matters, including provisions for the unitization or pooling of oil and gas properties, the establishment of maximum allowable rates of production from oil and gas wells, the regulation of well spacing and the plugging and abandonment of wells.  The effect of these regulations is to limit the amount of oil and gas that we can produce from our wells and to limit the number of wells or the locations that we can drill, although we can apply for exceptions to such regulations or to have reductions in well spacing.  Moreover, each state generally imposes a production or severance tax with respect to the production or sale of oil, NGLs and natural gas within its jurisdiction.

Some of our offshore operations are conducted on federal leases that are administered by the Bureau of Ocean Energy Management (the “BOEM”), and we are therefore required to comply with the regulations and orders issued by the BOEM under the Outer Continental Shelf Lands Act.  Among other things, we are required to obtain prior BOEM approval for any exploration plans we pursue and for our lease development and production plans.  BOEM regulations also establish construction requirements for production facilities located on our federal offshore leases and govern the plugging and abandonment of wells and the removal of production facilities from these leases.  The present value of our future abandonment obligations associated with offshore properties was $44 million as of December 31, 2017. 

The BOEM also establishes the basis for royalty payments due under federal oil and gas leases through regulations issued under applicable statutory authority.  State regulatory authorities establish similar standards for royalty payments due under state oil and gas leases.  The basis for royalty payments established by the BOEM and the state regulatory authorities is generally applicable to all federal and state oil and gas lessees.  Accordingly, we believe that the impact of royalty regulation on our operations should generally be the same as the impact on our competitors.

Regulation of Sale and Transportation of Oil

Sales of crude oil, condensate and NGLs are not currently regulated and are made at negotiated prices, however, Congress could reenact price controls or enact other legislation in the future.

Our crude oil sales are affected by the availability, terms and cost of transportation.  The transportation of oil in common carrier pipelines is also subject to rate regulation.  The Federal Energy Regulatory Commission (the “FERC”) regulates interstate oil pipeline transportation rates under the Interstate Commerce Act.  In general, interstate oil pipeline rates must be cost-based, although settlement rates agreed to by all shippers are permitted and market-based rates may be permitted in certain circumstances.  Effective January 1, 1995, the FERC implemented regulations establishing an indexing system (based on inflation) for crude oil transportation rates that allowed for an increase or decrease in the cost of transporting oil to the purchaser.  The FERC’s regulations include a methodology for oil pipelines to change their rates through the use of an index system that establishes ceiling levels for such rates.  The most recent

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mandatory five-year review period resulted in an order from the FERC for the index to be based on Producer Price Index for Finished Goods (the “PPI-FG”) plus a 1.23% adjustment for the five-year period from July 1, 2016 through June 30, 2021.  This represents a decrease from the PPI-FG plus 2.65% adjustment from the prior five-year period.  The FERC determined that it would now use a calculation based on what it determined to be a superior data source, reflecting actual cost-of-service data as opposed to the accounting data historically used as a proxy for such information under the prior index methodology.  The regulations provide that each year the Commission will publish the oil pipeline index after the PPI-FG becomes available.  Intrastate oil pipeline transportation rates are subject to regulation by state regulatory commissions.  The basis for intrastate oil pipeline regulation and the degree of regulatory oversight and scrutiny given to intrastate oil pipeline rates varies from state to state.  Insofar as effective interstate and intrastate rates are equally applicable to all comparable shippers, we believe that the regulation of oil transportation rates will not affect our operations in any way that is of material difference from those of our competitors.

Further, interstate and intrastate common carrier oil pipelines must provide service on a non-discriminatory basis.  Under this open access standard, common carriers must offer service to all shippers requesting service on the same terms and under the same rates.  When oil pipelines operate at full capacity, access is governed by prorationing provisions set forth in the pipelines’ published tariffs.  In addition, the FERC has emergency authority under the Interstate Commerce Act to intervene and direct priority use of oil pipeline transportation capacity, and the FERC exercised this authority over a specific pipeline in February 2014 in response to significant disruptions in the supply of propane.  Accordingly, we believe that access to oil pipeline transportation services generally will be available to us to the same extent as to our competitors.

Transportation and safety of oil and hazardous liquid is subject to regulation by the Department of Transportation (the “DOT”) under the Pipeline Integrity, Protection, Enforcement and Safety Act of 2006 and the Pipeline Safety, Regulatory Certainty and Job Creation Act of 2012.  The Pipeline and Hazardous Material Safety Administration (“PHMSA”),an agency within the DOT, enforces regulations on all interstate liquids transportation and some intrastate liquids transportation.  PHMSA does not enforce the regulations in states that are capable of enforcing the same regulations themselves.  The effect of regulatory changes under the DOT and their effect on interstate and intrastate oil and hazardous liquid transportation will not affect our operations in any way that is of material difference from those of our competitors.

A portion of our crude oil production may be shipped to market centers using rail transportation facilities owned and operated by third parties.  The DOT and PHMSA establish safety regulations relating to crude-by-rail transportation.  In addition, third-party rail operators are subject to the regulatory jurisdiction of the Surface Transportation Board of the DOT, the Federal Railroad Administration (the “FRA”) of the DOT, the Occupational Safety and Health Administration and other federal regulatory agencies.  Additionally, various state and local agencies have jurisdiction over disposal of hazardous waste and seek to regulate movement of hazardous materials in ways not preempted by federal law.

In response to rail accidents occurring between 2002 and 2008, the U.S. Congress passed the Rail Safety and Improvement Act of 2008, which implemented regulations governing different areas related to railroad safety.  In response to train derailments occurring in the United States and Canada in 2013 and 2014, U.S. regulators have taken a number of actions to address the safety risks of transporting crude oil by rail.

In February 2014, the DOT issued an emergency order requiring all persons to ensure crude oil is properly tested and classed prior to offering such product into transportation, and to assure all shipments by rail of crude oil be handled as a Packing Group I or II hazardous material.  Also in February 2014, the Association of American Railroads entered into a voluntary agreement with the DOT to implement certain restrictions around the movement of crude oil by rail.  In May 2014 (and extended indefinitely in May 2015), the DOT issued an Emergency Restriction/Prohibition Order requiring each railroad carrier operating trains transporting 1,000,000 gallons or more of Bakken crude oil to provide notice to state officials regarding the expected movement of the trains through the counties in each state.  The PHMSA and FRA have also issued safety advisories and alerts regarding oil transportation and have issued a report focused on the increased volatility and flammability of Bakken crude oil as compared with other crudes in the U.S.  In May 2015, PHMSA issued new rules applicable to “high-hazard flammable trains”, defined as a continuous block of 20 or more tank cars loaded with a flammable liquid or 35 or more tank cars loaded with a flammable liquid dispersed throughout a train.  Among other requirements, the new rules require enhanced braking systems, enhanced standards for newly constructed tank cars and retrofitting of existing tank cars, restricted operating speeds, a documented testing and sampling program, and routine assessments that evaluate 27 safety and security factors. In December 2015, the Fixing America's Surface Transportation (“FAST”) Act became law, further extending PHMSA’s authority to improve the safety of transporting flammable liquids by rail and pursuant to which new regulations phasing out the use of certain older rail cars were finalized in August 2016.  In June 2016, the Protecting our Infrastructure of Pipelines and Enhancing Safety (“PIPES”) Act of 2016 became law.  The PIPES Act strengthens PHMSA’s safety authority, including an expansion of its ability to issue emergency orders, which was adopted by rule in October 2016.  PHMSA continues to review further potential new safety regulations under the PIPES Act and the FAST Act.

We do not currently own or operate rail transportation facilities or rail cars.  However, the adoption of any regulations that impact the testing or rail transportation of crude oil could increase our costs of doing business and limit our ability to transport and sell our crude oil at favorable prices at market centers throughout the U.S., the consequences of which could have a material adverse effect on our

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financial condition, results of operations and cash flows.  The effect of any such regulatory changes will not affect our operations in any way that is of material difference from those of our competitors.

Regulation of Transportation, Storage, Sale and Gathering of Natural Gas

The FERC regulates the transportation, and to a lesser extent, the sale for resale of natural gas in interstate commerce pursuant to the Natural Gas Act of 1938 and the Natural Gas Policy Act of 1978 and regulations issued under those Acts.  In 1989, however, Congress enacted the Natural Gas Wellhead Decontrol Act, which removed all remaining price and non-price controls affecting wellhead sales of natural gas, effective January 1, 1993.  While sales by producers of natural gas can currently be made at unregulated market prices, in the future Congress could reenact price controls or enact other legislation with detrimental impact on many aspects of our business.

Our natural gas sales are affected by the availability, terms and cost of transportation.  The price and terms of access to pipeline transportation and underground storage are subject to extensive federal and state regulation.  From 1985 to the present, several major regulatory changes have been implemented by Congress and the FERC that affect the economics of natural gas production, transportation and sales.  In addition, the FERC is continually proposing and implementing new rules and regulations affecting those segments of the natural gas industry that remain subject to the FERC's jurisdiction, most notably interstate natural gas transmission companies and certain underground storage facilities.  These initiatives may also affect the intrastate transportation of natural gas under certain circumstances.  The stated purpose of many of these regulatory changes is to promote competition among the various sectors of the natural gas industry by making natural gas transportation more accessible to natural gas buyers and sellers on an open and non-discriminatory basis.

The FERC implementsthe Outer Continental Shelf Lands Act pertaining to transportation and pipeline issues, which requires that all pipelines operating on or across the outer continental shelf provide open access and non-discriminatory transportation service.  One of the FERC’s principal goals in carrying out this Act’s mandate is to increase transparency in the market to provide producers and shippers on the outer continental shelf with greater assurance of open access services on pipelines located on the outer continental shelf and non-discriminatory rates and conditions of service on such pipelines.

We cannot accurately predict whether the FERC’s actions will achieve the goal of increasing competition in the markets in which our natural gas is sold.  Regulations implemented by the FERC in recent years could result in an increase in the cost of transportation service on certain petroleum product pipelines.  In addition, the natural gas industry historically has always been heavily regulated.  Therefore, we cannot provide any assurance that the less stringent regulatory approach established by the FERC will continue.  However, we do not believe that any action taken will affect us in a way that materially differs from the way it affects other natural gas producers.

Transportation and safety of natural gas is subject to regulation by the DOT under the Pipeline Inspection, Protection, Enforcement and Safety Act of 2006 and the Pipeline Safety, Regulatory Certainty and Job Creation Act of 2012.  In addition, intrastate natural gas transportation is subject to enforcement by state regulatory agencies and PHMSA enforces regulations on interstate natural gas transportation.  State regulatory agencies can also create their own transportation and safety regulations as long as they meet PHMSA’s minimum requirements.  The basis for intrastate regulation of natural gas transportation and the degree of regulatory oversight and scrutiny given to intrastate natural gas pipeline rates and services varies from state to state.  Insofar as such regulation within a particular state will generally affect all intrastate natural gas shippers within the state on a comparable basis, we believe that the regulation of similarly situated intrastate natural gas transportation in any of the states in which we operate and ship natural gas on an intrastate basis will not affect our operations in any way that is of material difference from those of our competitors.  Likewise, the effect of regulatory changes by the DOT and their effect on interstate natural gas transportation will not affect our operations in any way that is of material difference from those of our competitors.

The failure to comply with these rules and regulations can result in substantial penalties.  We use the latest tools and technologies to remain compliant with current pipeline safety regulations.

In October 2015, a failure at an underground natural gas storage facility in Southern California prompted PHMSA to issue an advisory bulletin reminding owners and operators of underground storage facilities to review operations, identify the potential for facility leaks and failures, and to review and update emergency plans.  The State of California proclaimed the underground natural gas storage facility an emergency situation in January 2016.  A federal task force was also convened to make recommendations to help avoid such failures.  An interim final rule of PHMSA became effective in January 2017 which adopted certain specific industry recommended practices into Part 192 of the Federal Pipeline Safety Regulations. If an operator fails to take any measures recommended it would need to justify in its written procedures why the measure is impracticable and unnecessary. PHMSA regulations had previously covered much of the surface piping up to the wellhead at underground natural gas storage facilities served by pipeline and not extend in part to the “downhole” portion of these facilities.  The requirements cover design, construction, material, testing, commissioning, reservoir monitoring and recordkeeping for existing and newly constructed underground natural gas storage facilities as well as procedures and practices for newly constructed and existing underground natural gas storage facilities such as operations, maintenance, threat identification, monitoring, assessment, site security, emergency response and preparedness, training, recordkeeping and reporting.  These regulations

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and any further increased attention to and requirements for underground storage safety and infrastructure by state and federal regulators that may result from this incident will not affect us in a way that materially differs from the way it affects other natural gas producers. 

Environmental Regulations

General.  Our oil and gas exploration, development and production operations are subject to stringent federal, state and local laws and regulations governing the discharge or release of materials into the environment or otherwise relating to environmental protection.  Numerous governmental agencies, such as the U.S. Environmental Protection Agency (the “EPA”), issue regulations to implement and enforce such laws, which often require difficult and costly compliance measures that carry substantial administrative, civil and criminal penalties or that may result in injunctive relief for failure to comply.  These laws and regulations may require the acquisition of a permit before drilling or facility construction commences; restrict the types, quantities and concentrations of various materials that can be released into the environment in connection with drilling and production activities; limit or prohibit project siting, construction or drilling activities on certain lands located within wilderness, wetlands, ecologically sensitive and other protected areas; require remedial action to prevent pollution from former operations, such as plugging abandoned wells or closing pits; and impose substantial liabilities for unauthorized pollution resulting from our operations.  The EPA and analogous state agencies may delay or refuse the issuance of required permits or otherwise include onerous or limiting permit conditions that may have a significant adverse impact on our ability to conduct operations.  The regulatory burden on the oil and gas industry increases the cost of doing business and consequently affects its profitability.

Changes in environmental laws and regulations occur frequently, and any changes that result in more stringent and costly material handling, storage, transport, disposal or cleanup requirements could materially and adversely affect our operations and financial position, as well as those of the oil and gas industry in general.  While we believe that we are in compliance, in all material respects, with current applicable environmental laws and regulations and have not experienced any material adverse effect from compliance with these environmental requirements, there is no assurance that this trend will continue in the future.

President Trump has indicated that he would work to ease regulatory burdens on industry and on the oil and gas sector, including environmental regulations.  However, any executive orders the President may issue or any new legislation Congress may pass with the goal of reducing environmental statutory or regulatory requirements may be challenged in court.  In addition, various state laws and regulations (and permits issued thereunder) will be unaffected by federal changes unless and until the state laws and corresponding permits are similarly changed, and any judicial review is completed.

The environmental laws and regulations which have the most significant impact on the oil and gas exploration and production industry are as follows:

Superfund.  The Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (“CERCLA” or “Superfund”), and comparable state laws impose strict joint and several liability, without regard to fault or the legality of conduct, on classes of persons who are considered to be responsible for the release of a “hazardous substance” into the environment.  These persons include the owner or operator of the site where a release occurred and anyone who disposed of or arranged for the disposal of the hazardous substance released at the site.  Under CERCLA, such persons may be subject to joint and several liability for the costs of cleaning up the hazardous substances that have been released into the environment, for damages to natural resources and for the costs of certain health studies. It is not uncommon for neighboring landowners and other third parties to file claims for personal injury and property damage allegedly caused by hazardous substances released into the environment.  In the course of our ordinary operations, we may generate material that may be regulated as “hazardous substances”.  Consequently, we may be jointly and severally liable under CERCLA or comparable state statutes for all or part of the costs required to clean up sites where these materials have been disposed or released.

We currently own or lease, and in the past have owned or leased, properties that for many years have been used for the exploration and production of oil and gas.  Although we and our predecessors have used operating and disposal practices that were standard in the industry at the time, hazardous substances, wastes or hydrocarbons may have been released on, under or from the properties owned or leased by us or on, under or from other locations where such substances have been taken for recycling or disposal.  In addition, many of these owned and leased properties have been operated by third parties or by previous owners or operators whose treatment and disposal of hazardous substances, wastes or hydrocarbons were not under our control.  Similarly, the disposal facilities where discarded materials are sent are also often operated by third parties whose waste treatment and disposal practices may not be adequate.  While we only use what we consider to be reputable disposal facilities, we might not know of a potential problem if the disposal occurred before we acquired the property or business, and if the problem itself is not discovered until years later.  Our properties, adjacent affected properties, offsite disposal facilities and substances disposed or released on them may be subject to CERCLA and analogous state laws.  Under these laws, we could be required:

· to remove or remediate previously disposed materials, including materials disposed or released by prior owners or operators or other third parties;

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· to clean up contaminated property, including contaminated groundwater;

· to perform remedial operations to prevent future contamination, including the plugging and abandonment of wells drilled and left inactive by prior owners and operators; or

· to pay some or all of the costs of any such action.

At this time, we do not believe that we are a potentially responsible party with respect to any Superfund site and we have not been notified of any claim, liability or damages under CERCLA.

Oil Pollution Act.  The Oil Pollution Act of 1990 (“OPA”) and regulations issued under OPA impose strict, joint and several liability on “responsible parties” for removal costs and damages resulting from oil spills into or upon navigable waters, adjoining shorelines or in the exclusive economic zone of the United States.  A “responsible party” includes the owner or operator of an onshore facility and the lessee, permittee or holder of a right of use and easement of the area in which an offshore facility is located.  OPA establishes a liability limit for onshore facilities of $350 million per spill, while the liability limit for offshore facilities is the payment of all removal costs plus $75 million per spill damages.  These limits do not apply if the spill is caused by a responsible party’s gross negligence or willful misconduct; the spill resulted from a responsible party’s violation of a federal safety, construction or operating regulation; a responsible party fails to report a spill or to cooperate fully in a cleanup; or a responsible party fails to comply with an order issued under the authority of the Intervention on the High Seas Act.  OPA also requires the lessee or permittee of the offshore area in which a covered offshore facility is located to establish and maintain evidence of financial responsibility in the amount of $35 million to cover liabilities related to an oil spill for which such responsible party is statutorily responsible.  The President may increase the amount of financial responsibility required under OPA by up to $150 million, depending on the risk represented by the quantity or quality of oil that is handled by the facility.  Any failure to comply with OPA’s requirements or inadequate cooperation during a spill response action may subject a responsible party to administrative penalties up to $25,000 per day per violation.  We believe we are in compliance with all applicable OPA financial responsibility obligations.  Moreover, we are not aware of any action or event that would subject us to liability under OPA, and we believe that compliance with OPA’s financial responsibility and other operating requirements will not have a material adverse effect on us.

Resource Conservation and Recovery Act.  The Resource Conservation and Recovery Act (“RCRA”) and comparable state statutes regulate the generation, transportation, treatment, storage, disposal and cleanup of hazardous and non-hazardous wastes.  Under the auspices of the EPA, the individual states administer some or all of the provisions of RCRA, sometimes in conjunction with their own more stringent requirements.  We generate solid and hazardous wastes that are subject to RCRA and comparable state laws.  Drilling fluids, produced water and most of the other wastes associated with the exploration, development and production of crude oil or natural gas are currently regulated under RCRA’s non-hazardous waste provisions.  However, it is possible that certain oil and natural gas exploration and production wastes now classified as non-hazardous could be classified as hazardous waste in the future. In September 2010, the Natural Resources Defense Council filed a petition with the EPA, requesting them to reconsider the RCRA exemption for exploration, production and development wastes. In May 2016, several environmental groups sued the EPA for failing to update its rules for management of oil and gas drilling waste under RCRA.  The petitioners requested that the EPA revise its regulations for waste materials generated as a result of oil and gas exploration and production activities.  The petitioners claimed that the EPA has not reviewed or revised its regulations for management of wastes from oil and gas exploration and production operations since 1988, even though the statute requires the EPA to review and, if necessary, revise the regulations every three years.  In December 2016, the court entered a Consent Decree resolving the litigation.  Under the Consent Decree, the EPA has agreed to propose no later than March 15, 2019 a rulemaking for revision of the regulations pertaining to oil and gas wastes or sign a determination that revision of the regulations is not necessary.  In the event that the EPA proposes a rulemaking for revised oil and gas waste regulations, the Consent Decree requires that the EPA take final action following notice and comment rulemaking no later than July 15, 2021.Any such change in the current RCRA exemption and comparable state laws could result in an increase in the costs to manage and dispose of wastes.  Additionally, these exploration and production wastes may be regulated by state agencies as solid waste.  Also, ordinary industrial wastes such as paint wastes, waste solvents, laboratory wastes and waste compressor oils may be regulated as hazardous waste.  Although we do not believe the current costs of managing our materials constituting wastes (as they are presently classified) to be significant, any repeal or modification of the oil and gas exploration and production exemption by administrative, legislative or judicial process, or modification of similar exemptions in analogous state statutes would increase the volume of hazardous waste we are required to manage and dispose of and would cause us, as well as our competitors, to incur increased operating expenses.

Clean Water Act.  The Federal Water Pollution Control Act, or the Clean Water Act, as amended (“CWA”), and analogous state laws impose restrictions and strict controls with respect to the discharge of pollutants, including spills and leaks of oil and other substances, into state waters or other waters of the United States.  The discharge of pollutants into regulated waters is prohibited, except in accordance with the terms of a permit issued by the EPA or an analogous state agency.  Spill prevention, control and countermeasure requirements under federal law require appropriate containment berms and similar structures to help prevent the contamination of navigable waters in the event of a petroleum hydrocarbon tank spill, rupture or leak.  In addition, CWA and analogous state laws require individual permits or coverage under general permits for discharges of storm water runoff from certain types of facilities.

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The EPA had regulations under the authority of CWA that required certain oil and gas exploration and production projects to obtain permits for construction projects with storm water discharges.  However, the Energy Policy Act of 2005 nullified most of the EPA regulations that required storm water permitting of oil and gas construction projects.  There are still some state and federal rules that regulate the discharge of storm water from some oil and gas construction projects.  Costs may be associated with the treatment of wastewater and/or developing and implementing storm water pollution prevention plans.  Federal and state regulatory agencies can impose administrative, civil and criminal penalties for non-compliance with discharge permits or other requirements of CWA and analogous state laws and regulations.  In Section 40 CFR 112 of the regulations, the EPA promulgated the Spill Prevention, Control and Countermeasure regulations, which require certain oil containing facilities to prepare plans and meet construction and operating standards.

Air Emissions.  The Federal Clean Air Act, as amended (the “CAA”), and comparable state laws regulate emissions of various air pollutants from various industrial sources through air emissions permitting programs and also impose other monitoring and reporting requirements.  We may be required to incur certain capital expenditures in the future for air pollution control equipment in connection with obtaining and maintaining pre-construction and operating permits and approvals for air emissions.  In addition, the EPA has developed, and continues to develop, stringent regulations governing emissions of toxic air pollutants at specified sources.  For example, in 2012, the EPA finalized rules establishing new air emission controls for oil and natural gas production operations.  Specifically, the EPA’s rule includes New Source Performance Standards to address emissions of sulfur dioxide and volatile organic compounds and a separate set of emission standards to address hazardous air pollutants frequently associated with oil and natural gas production and processing activities. Among other things, these standards require the application of reduced emission completion techniques associated with the completion of newly drilled and fractured wells in addition to existing wells that are refractured.  The rules also establish specific requirements regarding emissions from compressors, dehydrators, storage tanks and other production equipment.  These rules could require a number of modifications to operations at certain of our oil and gas properties including the installation of new equipment.  Compliance with such rules could result in significant costs, including increased capital expenditures and operating costs, which may adversely impact our business.  Federal and state regulatory agencies can impose administrative, civil and criminal penalties for non-compliance with air permits or other requirements of the CAA and associated state laws and regulations.

The EPA announced in 2015 that it would directly regulate methane emissions from oil and natural gas wells for the first time as part of President Obama’s Climate Action Plan.  As part of this strategy,in May 2016, the EPA issued three final rules.  The EPA issued a final rule that updated the New Source Performance Standards to add requirements that the oil and gas industry reduce emissions of greenhouse gases and to cover additional equipment and activities in the oil and gas production chain.  The final rule sets emissions limits for methane, which is the principal greenhouse gas emitted by equipment and processes in the oil and gas sector.  This rule applies to new, reconstructed and modified processes and equipment.  This rule also expands the volatile organic compound emissions limits to hydraulically fractured oil wells and equipment used across the industry that was not regulated in the 2012 rules.  The rule also requires owners and operators to find and repair leaks, also known as “fugitive emissions.”  The EPA also issued a final rule known as the Source Determination Rule, which is intended to clarify when multiple pieces of equipment and activities in the oil and gas industry must be deemed a single source when determining whether major source permitting programs apply under the prevention of significant deterioration, nonattainment new source review preconstruction and operation permit programs under Title V of the CAA (“Title V”).  The final rule defines the term “adjacent” to clarify that equipment and activities in the oil and gas sector that are under common control will be considered part of the same source if they are located near each other – specifically, if they are located on the same site, or on sites that share equipment and are within one quarter of a mile of each other.  This rule applies to equipment and activities used for onshore oil and natural gas production, and for natural gas processing.  It does not apply to offshore operations.  Finally, the EPA also issued a final Federal Implementation Plan (“FIP”) for Indian country, which implements the minor new source review program in Indian country for oil and natural gas production.  The FIP will be used instead of site-specific minor new source review preconstruction permits in Indian country and incorporates emissions limits and other requirements from eight federal air standards, including the final New Source Performance Standard, subpart OOOOa.  Requirements of the FIP apply throughout Indian country, except non-reservation areas, unless a tribe or the EPA demonstrates jurisdiction for those areas.

Compliance with such rules could result in significant costs, including increased capital expenditures and operating costs, which may adversely impact our business.  Federal and state regulatory agencies can impose administrative, civil and criminal penalties for non-compliance with air permits or other requirements of the CAA and associated state laws and regulations.

In 2016, the EPA also issued the first draft of an Information Collection Request, seeking a broad range of information on the oil and gas industry, including: how equipment and emissions controls are, or can be, configured, what installing those controls entails and the associated costs.  This includes information on natural gas venting that occurs as part of existing processes or maintenance activities, such as well and pipeline blowdowns, equipment malfunctions and flashing emissions from storage tanks.

In June 2017, the EPA proposed staying the final rule implementing certain of the new oil and gas standards for two years while it reconsiders the rules.  In November 2017, the EPA issued a notice of data availability for the proposed stay of the rules, with a comment period closing on December 8, 2017. 

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We are currently engaged in discussions with the Colorado Department of Public Health and Environment (the “CDPHE”) concerning certain equipment used in our Redtail facilities and our compliance with various air permits and applicable federal and state air quality laws and regulations over the control of air pollutant emissions from those facilities.  We and the CDPHE are negotiating the terms of a settlement agreement to resolve this matter.

Hydraulic Fracturing.  Hydraulic fracturing is an important and common practice that is used to stimulate production of hydrocarbons from tight rock formations.  The process involves the injection of mainly water and sand plus a de minimis amount of chemicals under pressure into formations to fracture the surrounding rock and stimulate production.  Hydraulic fracturing has been utilized to complete wells in our most active areas located in the states of Colorado, Montana and North Dakotaand we expect it will also be used in the future.  Should our exploration and production activities expand to other states, it is likely that we will utilize hydraulic fracturing to complete or recomplete wells in those areas.  The process is typically regulated by state oil and gas commissions.  However, the EPA also issued guidance in 2014 for permitting authorities and the industry regarding the process for obtaining a permit for hydraulic fracturing involving diesel.

In December 2016, the EPA released a final report on the potential impacts of oil and gas fracturing activities on the quality and quantity of drinking water resources in the United States.In addition, in June 2016, the EPA issued a final rule promulgating pretreatment standards for the oil and gas extraction category which would address discharges of wastewater pollutants from onshore unconventional oil and gas extraction facilities to publicly-owned treatment works.  The EPA is also conducting a study of private wastewater treatment facilities accepting oil and gas extraction wastewater.  The EPA is collecting data and information regarding the extent to which these facilities accept such wastewater, available treatment technologies (and their associated costs), discharge characteristics, financial characteristics of the facilities, the environmental impacts of discharges and other information.

Other federal agencies are also examining hydraulic fracturing, including the U.S. Department of Energy, the U.S. Government Accountability Office and the White House Council for Environmental Quality.  In March 2015, the U.S. Department of the Interior released a final rule addressing (i) hydraulic fracturing on federal and Indian oil and natural gas leases to require validation of well integrity and strong cement barriers between the wellbore and water zones through which the wellbore passes, (ii) disclosure of chemicals used in hydraulic fracturing to the Bureau of Land Management, (iii) higher standards for interim storage of recovered waste fluids from hydraulic fracturing, and (iv) measures to lower the risk of cross-well contamination with chemicals and fluids used in fracturing operations.  In addition, legislation has been introduced in Congress from time to time to provide for federal regulation of hydraulic fracturing and to require disclosure of the chemicals used in the fracturing process.  Also, some states have adopted, and other states are considering adopting, regulations that could ban, restrict or impose additional requirements on activities relating to hydraulic fracturing in certain circumstances.  For example, in June 2011, Texas enacted a law that requires the disclosure of information regarding the substances used in the hydraulic fracturing process to the Railroad Commission of Texas (the entity that regulates oil and natural gas production in Texas) and the public.  Such federal or state legislation could require the disclosure of chemical constituents used in the fracturing process to state or federal regulatory authorities who could then make such information publicly available.  Disclosure of chemicals used in the fracturing process could make it easier for third parties opposing hydraulic fracturing to pursue legal proceedings against producers and service providers based on allegations that specific chemicals used in the fracturing process could adversely affect human health or the environment, including groundwater.  This rule was challenged in federal court and in June 2016, the Wyoming District Court hearing the case ruled that the Department of the Interior had exceeded its authority in issuing the rule.  In March 2017, Justice Department lawyers representing the Bureau of Land Management asked the Court of Appeals for the Tenth Circuit to stay the government’s previously filed appeal as the Trump Administration was planning to rescind the rules; and in July 2017, the Department of the Interior announced its proposal to rescind the rules, with the public comment period on the proposal closing in September 2017.  On December 29, 2017, the Department of the Interior issued a final rule rescinding the 2015 rule.

In addition, if hydraulic fracturing is regulated at the federal level, our fracturing activities could become subject to additional permitting requirements or operational restrictions and also to associated permitting delays, litigation risk and potential increases in costs.  Further, local governments may seek to adopt, and some have adopted, ordinances within their jurisdictions restricting the use of or regulating the time, place and manner of drilling or hydraulic fracturing.  No assurance can be given as to whether or not similar measures might be considered or implemented in the jurisdictions in which our properties are located.  If new laws, regulations or ordinances that significantly restrict or otherwise impact hydraulic fracturing are passed by Congress or adopted in the states or local municipalities where our properties are located, such legal requirements could prohibit or make it more difficult or costly for us to perform hydraulic fracturing activities and thereby could affect the determination of whether a well is commercially viable.  In addition, restrictions on hydraulic fracturing could reduce the amount of oil and natural gas that we are ultimately able to produce in commercially paying quantities and the calculation of our reserves.

In addition, in July 2014, a major university and U.S. Geological Survey researchers published a study purporting to find a causal connection between the deep well injection of hydraulic fracturing wastewater and a sharp increase in seismic activity in Oklahoma since 2008.  This study, as well as subsequent studies and reports, may trigger new legislation or regulations that would limit or ban the disposal of hydraulic fracturing wastewater in deep injection wells.  If such new laws or rules are adopted, our operations may be curtailed while alternative treatment and disposal methods are developed and approved.

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Further, in May 2014, the EPA published an Advance Notice of Proposed Rulemaking under the Toxic Substances Control Act, relating to the disclosure of chemical substances and mixtures used in oil and gas exploration and production.  On July 11, 2014, the EPA extended the public comment period for the rulemaking to September 18, 2014.  The EPA has not yet taken further action with respect to this rule.  Depending on the precise disclosure requirements the EPA elects to impose, if any, we may be obliged to disclose valuable proprietary information, and failure to do so may subject us to penalties.

Global Warming and Climate Change.  In December 2009, the EPA published its findings that emissions of carbon dioxide, methane and other greenhouse gases (“GHG”) present an endangerment to public health and the environment because emissions of such gases are, according to the EPA, contributing to the warming of the earth’s atmosphere and other climate changes.  Based on these findings, the EPA has adopted and implemented regulations that restrict emissions of GHG under existing provisions of the CAA, including rules that limit emissions of GHG from motor vehicles beginning with the 2012 model year.  The EPA has asserted that these final motor vehicle GHG emission standards trigger the CAA construction and operating permit requirements for stationary sources, commencing when the motor vehicle standards took effect in January 2011.  In June 2010, the EPA published its final rule to address the permitting of GHG emissions from stationary sources under the Prevention of Significant Deterioration (the “PSD”) and Title V permitting programs.  This rule “tailors” these permitting programs to apply to certain stationary sources of GHG emissions in a multi-step process, with the largest sources first becoming subject to permitting.  Further, facilities required to obtain PSD permits for their GHG emissions are required to reduce those emissions consistent with guidance for determining “best available control technology” standards for GHG, which guidance was published by the EPA in November 2010.  Also in November 2010, the EPA expanded its existing GHG reporting rule to include onshore oil and natural gas production, processing, transmission, storage and distribution facilities.  This rule requires reporting of GHG emissions from such facilities on an annual basis.  We believe that we are in compliance with all substantial applicable emissions requirements.

In June 2014, the Supreme Court upheld most of the EPA’s GHG permitting requirements, allowing the agency to regulate the emission of GHG from stationary sources already subject to the PSD and Title V requirements.  Certain of our equipment and installations may currently be subject to PSD and Title V requirements and hence, under the Supreme Court’s ruling, may also be subject to the installation of controls to capture GHG.  For any equipment or installation so subject, we may have to incur increased compliance costs to capture related GHG emissions.

In October 2016, the EPA proposed revisions to the rule applicable to GHGs for PSD and Title V permitting requirements.  On November 18, 2016, the EPA extended the public comment period for the rulemaking to December 16, 2016.  The proposed rule has not yet been finalized.

In accordance with President Obama’s Climate Action Plan, in August 2015, the EPA issued a rule to reduce carbon emissions from electric generating units.  The rule, commonly called the “Clean Power Plan”, requires states to develop plans to reduce carbon emissions from fossil fuel-fired generating units commencing in 2022, with the reductions to be fully phased in by 2030.  Each state is given a different carbon reduction target, but the EPA expects that, in the aggregate, the overall proposal will reduce carbon emissions from electric generating units by 32% from 2005 levels.  States are given substantial flexibility in meeting their emission reduction targets and can generally choose to lower carbon emissions by replacing higher carbon generation, such as coal or natural gas, with lower carbon generation, such as efficient natural gas units or renewable energy alternatives.  Several industry groups and states have challenged the Clean Power Plan in the Court of Appeals for the D.C. Circuit, and in February 2016, the U.S. Supreme Court stayed the implementation of the Clean Power Plan while it is being challenged in court.  The Court of Appeals for the D.C. Circuit heard oral arguments on the Clean Power Plan in September 2016, but has not yet issued a decision.  On March 28, 2017, the Trump Administration issued an executive order directing the EPA to review the Clean Power Plan.  On the same day, the EPA filed a motion in the U.S. Court of Appeals for the D.C. Circuit requesting that the court hold the case in abeyance while the EPA conducts its review of the Clean Power Plan.  On October 16, 2017, the EPA published a proposed rule that would repeal the Clean Power Plan.  The EPA also stated in the proposed rule that the agency has not determined the scope of any rule to regulate GHG emissions from existing electric generating units, but intends to issue an Advance Notice of Proposed Rulemaking “in the near future.”  Several states have already announced their intention to challenge any repeal of the Clean Power Plan.  It is not yet clear what changes, if any, will result from the EPA’s proposal, whether or how the courts will rule on the legality of the Clean Power Plan, the EPA’s repeal of the rules, or any future replacement.

In addition, both houses of Congress have actively considered legislation to reduce emissions of GHG, and many states have already taken legal measures to reduce emissions of GHG, primarily through the development of GHG inventories, GHG permitting and/or regional GHG “cap and trade” programs.  Most of these “cap and trade” programs work by requiring either major sources of emissions or major producers of fuels to acquire and surrender emission allowances, with the number of allowances available for purchase reduced each year until the overall GHG emission reduction goal is achieved.  In the absence of new legislation, the EPA is issuing new regulations that limit emissions of GHG associated with our operations, which will require us to incur costs to inventory and reduce emissions of GHG associated with our operations and which could adversely affect demand for the oil, NGLs and natural gas that we produce.  Finally, it should be noted that many scientists have concluded that increasing concentrations of GHG in the atmosphere may produce climate changes that have significant physical effects, such as increased frequency and severity of storms, droughts, floods and other climatic events.  If any such effects were to occur, they could have an adverse effect on our assets and operations.

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Consideration of Environmental Issues in Connection with Governmental Approvals.  Our operations frequently require licenses, permits and/or other governmental approvals.  Several federal statutes, including the Outer Continental Shelf Lands Act (“OCSLA”), the National Environmental Policy Act (“NEPA”) and the Coastal Zone Management Act (“CZMA”), require federal agencies to evaluate environmental issues in connection with granting such approvals and/or taking other major agency actions.  OCSLA, for instance, requires the U.S. Department of Interior to evaluate whether certain proposed activities would cause serious harm or damage to the marine, coastal or human environment.  Similarly, NEPA requires the Department of Interior and other federal agencies to evaluate major agency actions having the potential to significantly impact the environment.  In the course of such evaluations, an agency would have to prepare an environmental assessment and potentially an environmental impact statement.  The CZMA, on the other hand, aids states in developing a coastal management program to protect the coastal environment from growing demands associated with various uses, including offshore oil and gas development.  In obtaining various approvals from the Department of Interior, we must certify that we will conduct our activities in a manner consistent with all applicable regulations.

Employees

As of January 31, 2018, we had approximately 830 full-time employees, including 22 senior level geoscientists and 59 petroleum engineers.  Our employees are not represented by any labor unions.  We consider our relations with our employees to be satisfactory and have never experienced a work stoppage or strike.

Available Information

We maintain a website at the address www.whiting.com.  We are not including the information contained on our website as part of, or incorporating it by reference into, this report.  We make available free of charge (other than an investor’s own Internet access charges) through our website our annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, including exhibits and amendments to these reports, as soon as reasonably practicable after we electronically file such material with, or furnish such material to, the SEC.

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Item 1A.Risk Factors

Each of the risks described below should be carefully considered, together with all of the other information contained in this Annual Report on Form 10-K, before making an investment decision with respect to our securities.  In the event of the occurrence, reoccurrence, continuation or increased severity of any of the risks described below, our business, financial condition or results of operations could be materially and adversely affected, and you may lose all or part of your investment.

Oil and natural gas prices are very volatile.  An extended period of low oil and natural gas prices may adversely affect our business, financial condition, results of operations or cash flows.

The oil and gas markets are very volatile, and we cannot predict future oil and natural gas prices.  The price we receive for our oil, NGL and natural gas production heavily influences our revenue, profitability, access to capital and future rate of growth.  The prices we receive for our production depend on numerous factors beyond our control, including, but not limited to, the following:

· changes in regional, domestic and global supply and demand for oil and natural gas;

· the level of global oil and natural gas inventories;

· the actions of the Organization of Petroleum Exporting Countries;

· the price and quantity of imports of foreign oil and natural gas;

· political and economic conditions, including embargoes, in oil-producing countries or affecting other oil-producing activity, such as the recent conflicts in the Middle East;  

· the level of global oil and natural gas exploration and production activity;

· the effects of global credit, financial and economic issues;

· developments of United States energy infrastructure;

· weather conditions;

· technological advances affecting energy consumption;

· current and anticipated changes to domestic and foreign governmental regulations, including those expected as a result of the election of Donald Trump to the U.S. Presidency;

· proximity and capacity of oil and natural gas pipelines and other transportation facilities;

· the price and availability of competitors’ supplies of oil and natural gas in captive market areas;

· the price and availability of alternative fuels; and

· acts of force majeure.

Moreover, government regulations, such as regulation of oil and natural gas gathering and transportation, can adversely affect commodity prices in the long term.

These factors and the volatility of the energy markets generally make it extremely difficult to predict future oil and natural gas price movements.  Also, prices for crude oil and prices for natural gas do not necessarily move in tandem.  Declines in oil or natural gas prices would not only reduce revenue, but could also reduce the amount of oil and natural gas that we can economicallyproduce and therefore potentially lower our oil and gas reserve quantities.  If the oil and natural gas industry experiences extended periods of low prices, we may, among other things, be unable to meet all of our financial obligations or make planned expenditures.

Substantial and extended declines in oil, NGL and natural gas prices have resulted and may continue to result in impairments of our proved oil and gas properties or undeveloped acreage and may materially and adversely affect our future business, financial condition, cash flows, results of operations, liquidity or ability to finance planned capital expenditures.  To the extent commodity prices received from production are insufficient to fund planned capital expenditures, we will be required to reduce spending, sell assets or borrow to fund any such shortfall.  Lower commodity prices have reduced, and may further reduce, the amount of our borrowing base under our credit agreement, which is determined at the discretion of our lenders based on the collateral value of our proved reserves that have been mortgaged to the lenders, and is subject to regular redeterminations on May 1 and November 1 of each year, as well as special redeterminations described in the credit agreement.  Upon a redetermination, if borrowings in excess of the revised borrowing capacity were outstanding, we could be forced to immediately repay a portion of the debt outstanding under our credit agreement.

Lower commodity prices may also make it more difficult for us to comply with the covenants and other restrictions in the agreements governing our debt as described under the risk factor entitled “The instruments governing our indebtedness contain various covenants limiting the discretion of our management in operating our business.”

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Alternatively, higher oil prices may result in significant mark-to-market losses being incurred on our commodity-based derivatives, which may in turn cause us to experience net losses.

Drilling for and producing oil and natural gas are high risk activities with many uncertainties that could adversely affect our business, financial condition or results of operations.

Our future success will depend on the success of our exploration, development and production activities.  Our oil and natural gas exploration and development activities are subject to numerous risks beyond our control, including the risk that drilling will not result in commercially viable oil or natural gas production.  Our decisions to purchase, explore, develop or otherwise exploit prospects or properties will depend in part on the evaluation of data obtained through geophysical and geological analyses, production data and engineering studies, the results of which are often inconclusive or subject to varying interpretations.  Refer to the risk factor entitled “Reserve estimates depend on many assumptions that may turn out to be inaccurate...” for a discussion of the uncertainty involved in these processes.  Our cost of drilling, completing and operating wells is often uncertain before drilling commences.  Overruns in budgeted expenditures are common risks that can make a particular project uneconomical.  Further, many factors may curtail, delay or cancel drilling, including the following:

· substantial or extended declines in oil, NGL and natural gas prices;

· delays imposed by or resulting from compliance with regulatory requirements;

· delays in or limits on the issuance of drilling permits on our federal leases, including as a result of government shutdowns;

· pressure or irregularities in geological formations;

· shortages of or delays in obtaining qualified personnel or equipment, including drilling rigs and completion services;

· equipment failures or accidents;

· adverse weather conditions, such as freezing temperatures, hurricanes and storms;

· pipeline takeaway and refining and processing capacity; and

· title problems.

Our debt level and the covenants in the agreements governing our debt could negatively impact our financial condition, results of operations, cash flows and business prospects.

As of December 31, 2017, we had no borrowings and $2 million in letters of credit outstanding under Whiting Oil and Gas Corporation’s (“Whiting Oil and Gas”) credit facility with $2.3billion of available borrowing capacity, as well as $3.2billion of senior notes and $562 million of convertible senior notes outstanding.  We are allowed to incur additional indebtedness, provided that we meet certain requirements in the indentures governing our senior notes and Whiting Oil and Gas’ credit agreement.

Our level of indebtedness and the covenants contained in the agreements governing our debt could have important consequences for our operations, including:

· making it more difficult for us to satisfy our obligations with respect to our indebtedness, and any failure to comply with the obligations of any of our debt agreements, including financial and other restrictive covenants, could result in an event of default under Whiting Oil and Gas’ credit agreement and the indentures governing our senior notes and convertible senior notes;

· requiring us to dedicate a substantial portion of our cash flow from operations to required payments on debt, thereby reducing the availability of cash flow for working capital, capital expenditures and other general business activities;

· limiting our ability to obtain additional financing in the future for working capital, capital expenditures, acquisitions and general corporate and other activities;

· limiting our flexibility in planning for, or reacting to, changes in our business and the industry in which we operate;

· placing us at a competitive disadvantage relative to other less leveraged competitors;

· making us vulnerable to increases in interest rates, because debt under Whiting Oil and Gas’ credit agreement is subject to certain rate variability;

· making us more vulnerable to economic downturns and adverse developments in our industry or the economy in general, especially declines in oil and natural gas prices; and

· when oil and natural gas prices decline, our ability to maintain compliance with our financial covenants becomes more difficult and our borrowing base is subject to reductions, which may reduce or eliminate our ability to fund our operations.

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We may be required to repay all or a portion of our debt on an accelerated basis in certain circumstances.  If we fail to comply with the covenants and other restrictions in the agreements governing our debt, it could lead to an event of default and the acceleration of our repayment of outstanding debt.  In addition, if we are in default under the agreements governing our indebtedness, we would not be able to pay dividends on our capital stock.  Our ability to comply with these covenants and other restrictions may be affected by events beyond our control, including prevailing economic and financial conditions.  Moreover, the borrowing base limitation on Whiting Oil and Gas’ credit agreement is redetermined on May 1 and November 1 of each year, and may be the subject of special redeterminations described in such credit agreement based on an evaluation of our oil and gas reserves.  Because oil and gas prices are principal inputs into the valuation of our reserves, if oil and gas prices remain at their current levels for a prolonged period or go lower, our borrowing base could be reduced at the next redetermination date or during future redeterminations.  Upon a redetermination, if borrowings in excess of the revised borrowing capacity were outstanding, we could be forced to immediately repay a portion of our debt outstanding under the credit agreement.

We may not have sufficient funds to make such repayments.  If we are unable to repay our debt with cash on hand, we could attempt to refinance such debt, sell assets or repay such debt with the proceeds from an equity offering.  We may not be able to generate sufficient cash flow to pay the interest on our debt or future borrowings, and equity financings or proceeds from the sale of assets may not be available to pay or refinance such debt.  The terms of our debt, including Whiting Oil and Gas’ credit agreement, may also prohibit us from taking such actions.  Factors that will affect our ability to raise cash through an offering of our capital stock or debt securities, a refinancing of our debt or a sale of assets include financial market conditions and our market value and operating performance at the time of such offering or other financing.  We may not be able to successfully complete any such offering, refinancing or sale of assets.

If we cannot make scheduled payments on our indebtedness or otherwise fail to comply with the covenants and other restrictions in the agreements governing our debt, we will be in default and the lenders under Whiting Oil and Gas’ credit agreement and the holders of our senior notes and convertible senior notes could declare all outstanding principal and interest to be due and payable, and the lenders under Whiting Oil and Gas’ credit agreement could terminate their commitments to loan money and could foreclose against the assets collateralizing their borrowings and we could be forced into bankruptcy or liquidation.  Our inability to generate sufficient cash flows to satisfy our debt obligations, or to refinance our indebtedness on commercially reasonable terms or at all, would materially and adversely affect our financial position and results of operations.  Further, failing to comply with the financial and other restrictive covenants in Whiting Oil and Gas’ credit agreement and the indentures governing our senior notes and convertible senior notes could result in an event of default, which could adversely affect our business, financial condition and results of operations.

The instruments governing our indebtedness contain various covenants limiting the discretion of our management in operating our business.

The indentures governing our senior notes and convertible senior notes and Whiting Oil and Gas’ credit agreement contain various restrictive covenants that may limit our management’s discretion in certain respects.  In particular, these agreements will limit our and our subsidiaries’ ability to, among other things:

· pay dividends or make other distributions or repurchase or redeem our capital stock;

· prepay, redeem or repurchase certain debt;

· make loans and investments;

· incur or guarantee additional indebtedness or issue preferred stock;

· create certain liens;

· enter into agreements that restrict dividends or other payments from our restricted subsidiaries to us;

· sell assets;

· consolidate, merge or transfer all or substantially all of our assets and those of our restricted subsidiaries taken as a whole;

· engage in transactions with affiliates;

· enter into hedging contracts; and

· create unrestricted subsidiaries.

In addition, Whiting Oil and Gas’ credit agreement requires us, as of the last day of any quarter, to maintain the following ratios (as defined in the credit agreement): (i) a consolidated current assets to consolidated current liabilities ratio (which includes an add back of the available borrowing capacity under the credit agreement) of not less than 1.0to1.0, (ii) a total senior secured debt to the last four quarters’ EBITDAX ratio of less than 3.0 to 1.0 during the Interim Covenant Period (defined below), and thereafter a total debt to EBITDAX ratio of less than 4.0to1.0, and (iii) a ratio of the last four quarters’ EBITDAX to consolidated cash interest charges of not less than 2.25 to 1.0 during the Interim Covenant Period.Under the credit agreement, the “Interim Covenant Period” is defined as the

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period from June 30, 2015 until the earlier of (i) April 1, 2018 or (ii) the commencement of an investment-grade debt rating period. Also, the indentures under which we issued our senior notes restrict us from incurring additional indebtedness and making certain restricted payments, subject to certain exceptions, unless our fixed charge coverage ratio (as defined in the indentures) is at least 2.0to 1.0.  If we were in violation of these covenants, then we may not be able to incur additional indebtedness, including under Whiting Oil and Gas’ credit agreement.  A substantial or extended decline in oil or natural gas prices may adversely affect our ability to comply with these covenants.

If we fail to comply with the restrictions in the indentures governing our senior notes and convertible senior notes, Whiting Oil and Gas’ credit agreement or any other subsequent financing agreements, a default may allow the creditorsto accelerate the related indebtedness as well as any other indebtedness to which a cross-acceleration or cross-default provision applies.  In addition, lenders may be able to terminate any commitments they had made to make further funds available to us.  Furthermore, if we were unable to repay the amounts due and payable under Whiting Oil and Gas’ credit agreement, those lenders could proceed against the collateral granted to them to secure that indebtedness.  In the event that our lenders or noteholders accelerate the repayment of our borrowings, we and our subsidiaries may not have sufficient assets or be able to borrow sufficient funds to repay or refinance that indebtedness.  Also, if we are in default under the agreements governing our indebtedness, we will not be able to pay dividends on our capital stock.

If oil, NGL and natural gas prices decrease, we may be required to take write-downs of the carrying values of our oil and gas properties.

Accounting rules require that we periodically review the carrying value of our producing oil and gas properties for possible impairment.  Based on specific market factors and circumstances at the time of prospective impairment reviews (which may include depressed oil, NGL and natural gas prices and the continuing evaluation of development plans, production data, economics and other factors) we may be required to write down the carrying value of our oil and gas properties.  For example, we recorded a $835million impairment charge during 2017 for the partial write-down of the Redtail field in Colorado.  A write-down constitutes a non-cash charge to earnings.  We may incur additional impairment charges in the future, which could have a material adverse effect on our results of operations in the period recognized.

Federal, state and local legislative and regulatory initiatives relating to hydraulic fracturing could result in increased costs and additional operating restrictions or delays.

Hydraulic fracturing is an important and common practice that is used to stimulate production of hydrocarbons from tight rock formations.  The process involves the injection of mainly water and sand plus a de minimis amount of chemicals under pressure into formations to fracture the surrounding rock and stimulate production.  Hydraulic fracturing has been utilized to complete wells in our most active areas located in the states of Colorado, Montana and North Dakota, and we expect it will also be used in the future.  Should our exploration and production activities expand to other states, it is likely that we will utilize hydraulic fracturing to complete or recomplete wells in those areas.  The process is typically regulated by state oil and gas commissions.  However, the U.S. Environmental Protection Agency (the “EPA”) also issued guidance in 2014 for permitting authorities and the industry regarding the process for obtaining a permit for hydraulic fracturing involving diesel.

In December 2016, the EPA released a final report on the potential impacts of oil and gas fracturing activities on the quality and quantity of drinking water resources in the United States.  In addition, in June 2016, the EPA issued a final rule promulgating pretreatment standards for the oil and gas extraction category which would address discharges of wastewater pollutants from onshore unconventional oil and gas extraction facilities to publicly-owned treatment works.  The EPA is also conducting a study of private wastewater treatment facilities accepting oil and gas extraction wastewater.  The EPA is collecting data and information regarding the extent to which these facilities accept such wastewater, available treatment technologies (and their associated costs), discharge characteristics, financial characteristics of the facilities, the environmental impacts of discharges and other information.

Other federal agencies are also examining hydraulic fracturing, including the U.S. Department of Energy, the U.S. Government Accountability Office and the White House Council for Environmental Quality.  In March 2015, the U.S. Department of the Interior released a final rule addressing (i) hydraulic fracturing on federal and Indian oil and natural gas leases to require validation of well integrity and strong cement barriers between the wellbore and water zones through which the wellbore passes, (ii) disclosure of chemicals used in hydraulic fracturing to the Bureau of Land Management, (iii) higher standards for interim storage of recovered waste fluids from hydraulic fracturing, and (iv) measures to lower the risk of cross-well contamination with chemicals and fluids used in fracturing operations.This rule was challenged in federal court and in June 2016, the Wyoming District Court hearing the case ruled that the Department of the Interior had exceeded its authority in issuing the rule.  In March 2017, Justice Department lawyers representing the Bureau of Land Management asked the Court of Appeals for the Tenth Circuit to stay the government’s previously filed appeal as the Trump Administration was planning to rescind the rules; and in July 2017, the Department of the Interior announced its proposal to rescind the rules, with the public comment period on the proposal closing in September 2017.  On December 29, 2017, the Department of the Interior issued a final rule rescinding the 2015 rule.

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In addition, legislation has been introduced in Congress from time to time to provide for federal regulation of hydraulic fracturing and to require disclosure of the chemicals used in the fracturing process.  Also, some states have adopted, and other states are considering adopting, regulations that could ban, restrict or impose additional requirements on activities relating to hydraulic fracturing in certain circumstances.  For example, in June 2011, Texas enacted a law that requires the disclosure of information regarding the substances used in the hydraulic fracturing process to the Railroad Commission of Texas (the entity that regulates oil and natural gas production in Texas) and the public.  Such federal or state legislation could require the disclosure of chemical constituents used in the fracturing process to state or federal regulatory authorities who could then make such information publicly available.  Disclosure of chemicals used in the fracturing process could make it easier for third parties opposing hydraulic fracturing to pursue legal proceedings against producers and service providers based on allegations that specific chemicals used in the fracturing process could adversely affect human health or the environment, including groundwater.  In addition, if hydraulic fracturing is regulated at the federal level, our fracturing activities could become subject to additional permitting requirements or operational restrictions and also to associated permitting delays, litigation risk and potential increases in costs.  Further, local governments may seek to adopt, and some have adopted, ordinances within their jurisdictions restricting the use of or regulating the time, place and manner of drilling or hydraulic fracturing.  No assurance can be given as to whether or not similar measures might be considered or implemented in the jurisdictions in which our properties are located.  If new laws, regulations or ordinances that significantly restrict or otherwise impact hydraulic fracturing are passed by Congress or adopted in the states or local municipalities where our properties are located, such legal requirements could prohibit or make it more difficult or costly for us to perform hydraulic fracturing activities and thereby could affect the determination of whether a well is commercially viable.  In addition, restrictions on hydraulic fracturing could reduce the amount of oil and natural gas that we are ultimately able to produce in commercially paying quantities and the calculation of our reserves.

In addition, in July 2014, a major university and U.S. Geological Survey researchers published a study purporting to find a causal connection between the deep well injection of hydraulic fracturing wastewater and a sharp increase in seismic activity in Oklahoma since 2008.  This study, as well as subsequent studies and reports, may trigger new legislation or regulations that would limit or ban the disposal of hydraulic fracturing wastewater in deep injection wells.  If such new laws or rules are adopted, our operations may be curtailed while alternative treatment and disposal methods are developed and approved.

Further, in May 2014, the EPA published an Advance Notice of Proposed Rulemaking under the Toxic Substances Control Act, relating to the disclosure of chemical substances and mixtures used in oil and gas exploration and production.  Depending on the precise disclosure requirements the EPA elects to impose, if any, we may be obliged to disclose valuable proprietary information, and failure to do so may subject us to penalties.

Refer to “Hydraulic Fracturing” in Item 2 of this Annual Report on Form 10-K for more information on hydraulic fracturing.

We have entered into physical delivery contracts and do not expect to be able to deliver all the oil required under such contracts and, as a result, we expect we will be required to make deficiency payments.

As of December 31, 2017, we had three physical delivery contracts which require us to deliver fixed volumes of crude oil.  One of these contracts is tied to oil production at our Sanish field in Mountrail County, North Dakota, and two are tied to oil production at our Redtail field in Weld County, Colorado.  Although, we believe that our production and reserves are sufficient to fulfill the delivery commitment at our Sanish field in North Dakota, if we fail to deliver the committed volumes, we would be required to pay a deficiency payment of $7.00 per undelivered barrel (subject to upward adjustment).  At our Redtail field, we have determined that it is not probable that future oil production will be sufficient to meet the minimum volume requirements under our two contracts in this area.  On February 1, 2018, we paid $61 million to the counterparty to one of these Redtail delivery contracts to settle all future minimum volume commitments under the agreement.  We expect to make periodic deficiency payments under the second Redtail contract that currently total $4.92 per undelivered Bbl (subject to upward adjustment).During 2017, 2016 and 2015, total deficiency payments under these contracts amounted to $66 million, $43 million and $15 million, respectively.  Refer to “Properties – Delivery Commitments” for more information about these delivery contracts.

Reserve estimates depend on many assumptions that may turn out to be inaccurate.  Any material inaccuracies in these reserve estimates or underlying assumptions will materially affect the quantities and present value of our reserves.

The process of estimating oil and natural gas reserves is complex.  It requires interpretations of available technical data and many assumptions, including assumptions relating to economic factors.  Any significant inaccuracies in these interpretations or assumptions could materially affect the estimated quantities and present value of reserves referred to in this Annual Report on Form 10-K.

In order to prepare our estimates, we must project production rates and timing of development expenditures.  We must also analyze available geological, geophysical, production and engineering data.  The extent, quality and reliability of this data can vary.  The process also requires economic assumptions about matters such as the following:

· historical production from the area compared with production rates from other producing areas;

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· the assumed effect of governmental regulation; and

· assumptions about future prices of oil, NGLs and natural gas including differentials, production and development costs, gathering and transportation costs, severance and excise taxes, capital expenditures and availability of funds.

Therefore, estimates of oil and natural gas reserves are inherently imprecise.  Actual future production; oil, NGL and natural gas prices; revenues; taxes; exploration and development expenditures; operating expenses; and quantities of recoverable oil and natural gas reserves will most likely vary from our estimates.  Any significant variance could materially affect the estimated quantities and present value of reserves referred to in this Annual Report on Form 10-K.  In addition, we may adjust estimates of proved reserves to reflect production history, results of exploration and development, prevailing oil and natural gas prices and other factors, many of which are beyond our control.

You should not assume that the present value of future net revenues from our proved reserves, as referred to in this report, is the current market value of our estimated proved oil and natural gas reserves.  In accordance with SEC requirements, we base the estimated discounted future net cash flows from our proved reserves on 12-month average prices and current costs as of the date of the estimate.  The 12-month average prices used for the year ended December 31, 2017were  $51.34 per Bbl and $2.98 per MMBtu.Actual future prices and costs may differ materially from those used in the estimate.  If the 12-month average oil prices used to calculate our oil reserves decline by $1.00 per Bbl, then the standardized measure of discounted future net cash flows of our estimated proved reserves as of December 31, 2017 would have decreased by $181million.  If the 12-month average natural gas prices used to calculate our natural gas reserves decline by $0.10 per MMBtu, then the standardized measure of discounted future net cash flows of our estimated proved reserves as of December 31, 2017 would have decreased by $21million.

Our exploration and development operations require substantial capital, and we may be unable to obtain needed capital or financing on satisfactory terms, which could lead to a loss of properties and a decline in our oil and natural gas reserves.

The oil and gas industry is capital intensive.  We make and expect to continue to make substantial capital expenditures in our business and operations for the exploration, development, production and acquisition of oil and natural gas reserves.  To date, we have financed capital expenditures through a combination of internally generated cash flows,  equity and debt issuances, bank borrowings, agreements with industry partners and oil and gas property divestments.  We intend to finance future capital expenditures with cash flow from operations, proceeds from property divestitures, cash on hand and financing arrangements.  Our cash flow from operations and access to capital is subject to a number of variables, including:

· the prices at which oil and natural gas are sold;

· our proved reserves;

· the level of oil and natural gas we are able to produce from existing wells;

· the costs of producing oil and natural gas; and

· our ability to acquire, locate and produce new reserves.

If our revenues or the borrowing base under our credit agreement decrease as a result of lower oil and natural gas prices, operating difficulties, declines in reserves, or for any other reason, then we may have limited ability to obtain the capital necessary to sustain our operations at current levels.

We may, from time to time, need to seek additional financing.  There can be no assurance as to the availability or terms of any additional financing.  If additional capital is needed, we may not be able to obtain debt or equity financing on terms favorable to us, or at all.  If cash generated by operations or available under our revolving credit facility is not sufficient to meet our capital requirements, the failure to obtain additional financing could result in a curtailment of our operations relating to the exploration and development of our prospects, which in turn could lead to a possible loss of properties and a decline in our oil and natural gas reserves.

Part of our business strategy includes selling properties which subjects us to various risks.

Part of our business strategy includes selling properties when we believe that the sales price realized will provide an above average rate of return for the property or when the property no longer matches the profile of properties we desire to own.  However, there is no assurance that such sales will occur in the time frames or with the economic terms we expect.  Unless we conduct successful exploration, development and production activities or acquire properties containing proved reserves, divestitures of our properties will reduce our proved reserves and potentially our production.  We may not be able to develop, find or acquire additional reserves sufficient to replace such reserves and production from any of the properties we sell.  Additionally, agreements pursuant to which we sell properties may include terms that survive closing of the sale, including indemnification provisions, which could obligate us to substantial liabilities.

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Risks associated with the production, gathering, transportation and sale of oil, NGLs and natural gas could adversely affect net income and cash flows.

Our net income and cash flows will depend upon, among other things, oil, NGL and natural gas production and the prices received and costs incurred to develop and produce oil and natural gas reserves.  Drilling, production or transportation accidents that temporarily or permanently halt the production and sale of oil, NGLs and natural gas will decrease revenues and increase expenditures.  For example, accidents may occur that result in personal injuries, property damage, damage to productive formations or equipment and environmental damages.  Any costs incurred in connection with any such accidents that are not insured against will have the effect of reducing net income.  Also, we do not have insurance policies in effect that are intended to provide coverage for losses solely related to hydraulic fracturing operations.  Refer to the risk factor entitled “Federal, state and local legislative and regulatory initiatives relating to hydraulic fracturing...” for a discussion of the uncertainty involved in the regulation of hydraulic fracturing.  Also, our oil, NGL and natural gas production depends in large part on the proximity and capacity of pipeline systems and transportation facilities which are mostly owned by third parties.  The lack of availability or the lack of capacity on these systems and facilities could result in the curtailment of production or the delay or discontinuance of drilling plans.Similarly, curtailments or damage to pipelines and other transportation facilities used to transport oil, NGLs and natural gas production to markets for sale could decrease revenues or increase transportation expenses.  Any such curtailments or damage to the gathering systems could also require finding alternative means to transport the oil, NGLs and natural gas production, which alternative means could result in additional costs that will have the effect of increasing transportation expenses.

Also, in response to accidents involving rail cars carrying Bakken formation crude oil, the U.S. Department of Transportation (the “DOT”) issued an emergency order in February 2014 that requires rail shippers to test the makeup of such crude oil before transporting it.  This move follows the safety alert the DOT issued in January 2014 that Bakken formation crude oil is more flammable than other types of crude oil and has been followed by additional emergency orders and safety advisories and alerts.  An accident involving rail cars could result in significant personal injuries and property and environmental damage.  In May 2015, the Pipeline and Hazardous Material Safety Administration issued new rules applicable to “high-hazard flammable trains”, discussed in “Item 1 Business – Regulation – Regulation of Sale and Transportation of Oil” above, which could increase transportation expenses.  Similarly, regulatory responses to the October 2015 failure at a Southern California underground natural gas storage facility could also lead to increased expenses for underground storage.

In addition, drilling, production and transportation of hydrocarbons bear the inherent risk of loss of containment.  Potential consequences include loss of reserves, loss of production, loss of economic value associated with the affected wellbore, contamination of air, soil, ground water and surface water, as well as potential fines, penalties or damages associated with any of the foregoing consequences.

Our acreage must be drilled before lease expiration, generally within three to five years, in order to hold the acreage by production.  Failure to drill sufficient wells in order to hold acreage will result in substantial lease renewal costs, or if renewal is not feasible, loss of our lease and prospective drilling opportunities.

Unless production is established on our undeveloped acreage, the underlying leases will expire.  As of December 31, 2017, the portion of our net undeveloped acreage that is subject to expiration over the next three years, if not successfully developed or renewed, is approximately 37% in 2018, 10% in 2019 and 12% in 2020.  The cost to renew such leases may increase significantly, and we may not be able to renew such leases on commercially reasonable terms or at all.  In addition, on certain portions of our acreage, third-party leases become immediately effective if our leases expire.  As such, our actual drilling activities may materially differ from our current expectations, which could adversely affect our business.

Our acquisition activities may not be successful.

As part of our growth strategy, we have made and may continue to make acquisitions of businesses and properties.  However, suitable acquisition candidates may not continue to be available on terms and conditions we find acceptable, and acquisitions pose substantial risks to our business, financial condition and results of operations.  In pursuing acquisitions, we compete with other companies, many of which have greater financial and other resources to acquire attractive companies and properties.  The following are some of the risks associated with acquisitions, including any completed or future acquisitions:

· some of the acquired businesses or properties may not produce revenues, reserves, earnings or cash flow at anticipated levels;

· we may assume liabilities that were not disclosed to us or that exceed our estimates;

· we may be unable to integrate acquired businesses successfully and to realize anticipated economic, operational and other benefits in a timely manner, which could result in substantial costs and delays or other operational, technical or financial problems;

· acquisitions could disrupt our ongoing business, distract management, divert resources and make it difficult to maintain our current business standards, controls and procedures;

· we may issue additional equity or debt securities in order to fund future acquisitions;  and

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· we may incur losses as a result of title defects.

The unavailability or high cost of additional drilling rigs, equipment, supplies, personnel and oil field services could adversely affect our ability to execute our exploration and development plans on a timely basis or within our budget.

The demand for qualified and experienced field personnel to conduct field operations, geologists, geophysicists, engineers and other professionals in the oil and natural gas industry can fluctuate significantly, often in correlation with oil and natural gas prices, causing periodic shortages.  Historically, there have been shortages of drilling rigs, completion crews and other oilfield equipment as demand for these items has increased along with the number of wells being drilled and completed.  These factors also cause significant increases in costs for equipment, services and personnel.  Higher oil and natural gas prices generally stimulate demand and result in increased prices for drilling rigs and other oilfield goods and services.  Shortages of field personnel and other professionals, drilling rigs, completion crews, equipment or supplies or price increases could delay or adversely affect our exploration and development operations, which could restrict such operations or have a material adverse effect on our business, financial condition, results of operations or cash flows.

Our identified drilling locations are scheduled out over several years, making them susceptible to uncertainties that could materially alter the occurrence or timing of their drilling.

We have specifically identified and scheduled drilling locations as an estimation of our future multi-year drilling activities on our existing acreage.  These scheduled drilling locations represent a significant part of our growth strategy.  Our ability to drill and develop these locations depends on a number of uncertainties, including oil and natural gas prices, the availability of capital, costs of oil field goods and services, drilling results, our ability to extend drilling acreage leases beyond expiration, regulatory approvals and other factors.  Because of these uncertainties, we do not know if the numerous potential drilling locations we have identified will ever be drilled or if we will be able to produce oil or gas from these or any other potential drilling locations.  As such, our actual drilling activities may materially differ from those presently identified, which could in turn adversely affect our business or require us to remove certain proved undeveloped reserves from our proved reserve base if we are unable to drill those PUD locations within the SEC’s 5-year window.

We have been an early entrant into new or emerging plays.  As a result, our drilling results in these areas are uncertain, the value of our undeveloped acreage may decline and we may incur impairment charges if drilling results are unsuccessful.

While our costs to acquire undeveloped acreage in new or emerging plays have generally been less than those of later entrants into a developing play, our drilling results in these areas are more uncertain than drilling results in areas that are developed and producing.  Since new or emerging plays have limited or no production history, we are unable to use past drilling results in those areas to help predict our future drilling results.  Therefore, our cost of drilling, completing and operating wells in these areas may be higher than initially expected, and the value of our undeveloped acreage will decline if drilling results are unsuccessful.  Furthermore, if drilling results are unsuccessful, we may be required to write down the carrying value of our undeveloped acreage in new or emerging plays.  For example, during 2017 we recorded a $12 million non-cash charge for the impairment of undevelopedoil and gas properties where we have no current or future plans to drill.  We may also incur such impairment charges in the future, which could have a material adverse effect on our results of operations in the period taken.  Additionally, our rights to develop a portion of our undeveloped acreage may expire if not successfully developed or renewed.  Refer to “Acreage” in Item 2 of this Annual Report on Form 10-K for more information relating to the expiration of our rights to develop undeveloped acreage.

Properties that we acquire may not produce as projected, and we may be unable to identify liabilities associated with the properties or obtain indemnities from sellers for liabilities they may have created.

Our business strategy includes a continuing acquisition program.  From 2004 through 2017, we completed 21 separate significant acquisitions of producing properties with a combined purchase price of $6.4billion for estimated proved reserves as of the effective dates of the acquisitions of 445.2 MMBOE.  The successful acquisition of producing properties requires assessment of many factors, which are inherently inexact and may be inaccurate, including the following:

· the amount of recoverable reserves;

· future oil and natural gas prices;

· estimates of operating costs;

· estimates of future development costs;

· timing of future development costs;

· estimates of the costs and timing of plugging and abandonment; and

· the assumption of unknown potential environmental and other liabilities, losses or costs, including for example, historical spills or releases for which we are not indemnified or for which our indemnity is inadequate.

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Our assessment will not reveal all existing or potential problems, nor will it permit us to become familiar enough with the properties to assess fully their capabilities and deficiencies.  In the course of our due diligence, we may not inspect every well, platform, facility or pipeline.  Inspections may not reveal structural and environmental problems, such as pipeline corrosion or groundwater contamination, when they are made.  We may not be able to obtain contractual indemnities from the seller for liabilities that it created.  We may be required to assume the risk of the physical condition of the properties in addition to the risk that the properties may not perform in accordance with our expectations.

Our use of oil and natural gas price hedging contracts involves only a portion of our anticipated production, may limit higher revenues in the future in connection with commodity price increases and may result in significant fluctuations in our net income.

We enter into hedging transactions of our oil and natural gas production revenues to reduce our exposure to fluctuations in the price of oil and natural gas.  Our hedging transactions to date have consisted of financially settled crude oil and natural gas options contracts, primarily costless collars and swaps, placed with major financial institutions.  As of January 23, 2018, we had contracts covering the sale of 1,850,000 barrels of oil per month for all of 2018, which represents approximately 72% of our forecasted 2018 oil production volumes.  All of our oil hedges will expire by June 2019.  Refer to “Quantitative and Qualitative Disclosures about Market Risk” in Item 7A of this Annual Report on Form 10-K for pricing information and a more detailed discussion of our hedging transactions.

We may in the future enter into these and other types of hedging arrangements to reduce our exposure to fluctuations in the market prices of oil and natural gas, or alternatively, we may decide to unwind or restructure the hedging arrangements we previously entered into.  Hedging transactions expose us to risk of financial loss in some circumstances, including if production is less than expected, the other party to the contract defaults on its obligations or there is a change in the expected differential between the underlying price in the hedging agreement and actual prices received.  Hedging transactions may limit the benefit we may otherwise receive from increases in the price for oil and natural gas.  Our three-way collars only provide partial protection against declines in market prices due to the fact that when the market price falls below the sub-floor, the minimum price we will receive will be NYMEX plus the difference between the floor and the sub-floor.  Furthermore, if we do not engage in hedging transactions or unwind hedging transactions we previously entered into, then we may be more adversely affected by declines in oil and natural gas prices than our competitors who engage in hedging transactions.Additionally, hedging transactions may expose us to cash margin requirements.

We recognize all gains and losses from changes in commodity derivative fair values immediately in earnings rather than deferring any such amounts in accumulated other comprehensive income (loss).  Consequently, we may experience significant net losses, on a non-cash basis, due to changes in the value of our hedges as a result of commodity price volatility.

Seasonal weather conditions and lease stipulations adversely affect our ability to conduct drilling activities in some of the areas where we operate.

Oil and gas operations in the Rocky Mountains are adversely affected by seasonal weather conditions and lease stipulations designed to protect various wildlife.  In certain areas, drilling and other oil and gas activities can only be conducted during the spring and summer months.  This limits our ability to operate in those areas and can intensify competition during those months for drilling rigs, oil field equipment, services, supplies and qualified personnel, which may lead to periodic shortages.  Resulting shortages or high costs could delay our operations, cause temporary declines in our oil and gas production and materially increase our operating and capital costs.

An increase in the differential or decrease in the premium between the NYMEX or other benchmark prices of oil and natural gas and the wellhead price we receive could have a material adverse effect on our results of operations, financial condition and cash flows.

The prices that we receive for our oil and natural gas production generally trade at a discount, but sometimes at a premium, to the relevant benchmark prices such as NYMEX.  A negative difference between the benchmark price and the price received is called a differential and a positive difference is called a premium.  The differential and premium may vary significantly due to market conditions, the quality and location of production and other risk factors.  We cannot accurately predict oil and natural gas differentials and premiums.  Increases in the differential and decreases in the premium between the benchmark price for oil and natural gas and the wellhead price we receive could have a material adverse effect on our results of operations, financial condition and cash flows.

We may incur substantial losses and be subject to substantial liability claims as a result of our oil and gas operations.

We are not insured against all risks.  Losses and liabilities arising from uninsured and underinsured events could materially and adversely affect our business, financial condition or results of operations.  Our oil and natural gas exploration and production activities are subject to all of the operating risks associated with drilling for and producing oil and natural gas, including the possibility of:

· environmental hazards, such as uncontrollable flows of oil, gas, brine, well fluids, toxic gas or other pollution into the environment, including groundwater and shoreline contamination;

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· abnormally pressured formations;

· mechanical difficulties, such as stuck oil field drilling and service tools and casing collapse;

· the loss of well control;

· fires and explosions;

· personal injuries and death; and

· natural disasters.

Any of these risks could adversely affect our ability to conduct operations or result in substantial losses to our company.  We may elect not to obtain insurance if we believe that the cost of available insurance is excessive relative to the risks presented.  In addition, pollution and environmental risks generally are not fully insurable.  If a significant accident or other event occurs and is not fully covered by insurance, then it could adversely affect us.

We have limited control over activities on properties we do not operate, which could reduce our production and revenues and increase capital expenditures.

We operate 82% of our net productive oil and natural gas wells, which represents 88% of our proved developed producing reserves as of December 31, 2017.  If we do not operate the properties in which we own an interest, we do not have control over normal operating procedures, expenditures or future development of our properties.  The failure of an operator of our wells to adequately perform operations or an operator’s breach of the applicable agreements could reduce our production and revenues.  The success and timing of our drilling and development activities on properties operated by others therefore depends upon a number of factors outside of our control, including the operator’s decisions with respect to the timing and amount of capital expenditures, the period of time over which the operator seeks to generate a return on capital expenditures, inclusion of other participants in drilling wells, and the use of technology, as well as the operator’s expertise and financial resources and the operator’s relative interest in the field.  Operators may also opt to decrease operational activities following a significant decline in, or a sustained period of low, oil or natural gas prices.  Because we do not have a majority interest in most wells we do not operate, we may not be in a position to remove the operator in the event of poor performance.  Accordingly, while we use reasonable efforts to cause the operator to act in a prudent manner, we are limited in our ability to do so.

Our use of 3-D seismic data is subject to interpretation and may not accurately identify the presence of oil and gas, which could adversely affect the results of our drilling operations.

Even when properly used and interpreted, 3-D seismic data and visualization techniques are only tools used to assist geoscientists in identifying subsurface structures and hydrocarbon indicators and do not enable the interpreter to know whether hydrocarbons are, in fact, present in those structures.  In addition, the use of 3-D seismic and other advanced technologies requires greater predrilling expenditures than traditional drilling strategies do, and we could incur losses as a result of such expenditures.  Thus, some of our drilling activities may not be successful or economical, and our overall drilling success rate or our drilling success rate for activities in a particular area could decline.  We often gather 3-D seismic data over large areas.  Our interpretation of seismic data delineates for us those portions of an area that we believe are desirable for drilling.  Therefore, we may choose not to acquire option or lease rights prior to acquiring seismic data, and in many cases, we may identify hydrocarbon indicators before seeking option or lease rights in the location.  If we are not able to lease those locations on acceptable terms, it would result in our having made substantial expenditures to acquire and analyze 3-D seismic data without having an opportunity to attempt to benefit from those expenditures.

Market conditions or operational impediments may hinder our access to oil and gas markets or delay our production.

In connection with our continued development of oil and gas properties, we may be disproportionately exposed to the impact of delays or interruptions of production from wells on these properties, caused by transportation capacity constraints, curtailment of production or the interruption of transporting oil and gas volumes produced.  In addition, market conditions or a lack of satisfactory oil and gas transportation arrangements may hinder our access to oil and gas markets or delay our production.  The availability of a ready market for our oil, NGL and natural gas production depends on a number of factors, including the demand for and supply of oil, NGLs and natural gas and the proximity of reserves to pipelines and terminal facilities.  Our ability to market our production depends substantially on the availability and capacity of gathering systems, pipelines and processing facilities owned and operated by third-parties.  Additionally, entering into arrangements for these services exposes us to the risk that third parties will default on their obligations under such arrangements.  Our failure to obtain such services on acceptable terms or the default by a third party on their obligation to provide such services could materially harm our business.  We may be required to shut in wells for a lack of a market or because access to gas pipelines, gathering systems or processing facilities may be limited or unavailable.  If that were to occur, then we would be unable to realize revenue from those wells until production arrangements were made to deliver the production to market.

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We are subject to complex laws that can affect the cost, manner or feasibility of doing business.

Exploration, development, production and sale of oil and natural gas are subject to extensive federal, state, local and international regulation.  We may be required to make large expenditures to comply with governmental regulations.  Matters subject to regulation include:

· discharge permits for drilling operations;

· drilling bonds;

· reports concerning operations;

· well spacing;

· unitization and pooling of properties; and

· taxation.

Under these laws, we could be liable for personal injuries, property damage and other damages.  Failure to comply with these laws also may result in the suspension or termination of our operations and subject us to administrative, civil and criminal penalties.  Moreover, these laws could change in ways that could substantially increase our costs.  Any such liabilities, penalties, suspensions, terminations or regulatory changes could materially and adversely affect our financial condition and results of operations.

Our operations may incur substantial costs and liabilities to comply with environmental laws and regulations.

Our oil and gas operations are subject to stringent federal, state and local laws and regulations relating to the release or disposal of materials into the environment or otherwise relating to environmental protection.  These laws and regulations may require the acquisition of a permit before drilling commences; restrict the types, quantities and concentration of materials that can be released into the environment in connection with drilling and production activities; limit or prohibit drilling activities on certain lands lying within wilderness, wetlands and other protected areas; and impose substantial liabilities for pollution resulting from our operations.  Failure to comply with these laws and regulations may result in the assessment of administrative, civil and criminal penalties, incurrence of investigatory or remedial obligations, the imposition of injunctive relief, or certain leases could be cancelled in the event that an agency refuses to issue or delays the issuance of a required permit.  Under these environmental laws and regulations, we could be held strictly liable for the removal or remediation of previously released materials or property contamination regardless of whether we were responsible for the release or if our operations were standard in the industry at the time they were performed.  Private parties, including the surface owners of properties upon which we drill, may also have the right to pursue legal actions to enforce compliance as well as to seek damages for non-compliance with environmental laws and regulations or for personal injury or property damage.  We may not be able to recover some or any of these costs from insurance.  Moreover, federal law and some state laws allow the government to place a lien on real property for costs incurred by the government to address contamination on the property.

President Trump has indicated that he would work to ease regulatory burdens on industry and on the oil and gas sector, including environmental regulations.  However, any executive orders the President may issue or any new legislation Congress may pass with the goal of reducing environmental statutory or regulatory requirements may be challenged in court.  In addition, various state laws and regulations (and permits issued thereunder) will be unaffected by federal changes unless and until the state laws and corresponding permits are similarly changed, and any judicial review is completed.

Changes in environmental laws and regulations occur frequently and may have a materially adverse impact on our business.  For example, in 2012, the EPA published final rules under the Federal Clean Air Act(the “CAA”) that subject oil and natural gas production, processing, transmission and storage operations to regulation under the New Source Performance Standards and National Emission Standards for Hazardous Air Pollutants.  With regards to production activities, these rules require, among other things, the reduction of volatile organic compound emissions from certain fractured and refractured gas wells for which well completion operations are conducted and, in particular, requiring some of these wells to use reduced emission completions, also known as “green completions”, after January 1, 2015.  These regulations also establish specific new requirements regarding emissions from production-related wet seal and reciprocating compressors, pneumatic controllers and storage vessels.

The EPA announced in 2015 that it would directly regulate methane emissions from oil and natural gas wells for the first time as part of President Obama’s Climate Action Plan.  As part of this strategy, in May 2016, the EPA issued three final rules.  The EPA issued a final rule that updated the New Source Performance Standards to add requirements that the oil and gas industry reduce emissions of greenhouse gases and to cover additional equipment and activities in the oil and gas production chain.  The final rule sets emissions limits for methane, which is the principal greenhouse gas emitted by equipment and processes in the oil and gas sector.  This rule applies to new, reconstructed and modified processes and equipment.  This rule also expands the volatile organic compound emissions limits to hydraulically fractured oil wells and equipment used across the industry that was not regulated in the 2012 rules.  The rule also requires owners and operators to find and repair leaks, also known as “fugitive emissions.”  The EPA also issued a final rule known as the Source

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Determination Rule, which is intended to clarify when multiple pieces of equipment and activities in the oil and gas industry must be deemed a single source when determining whether major source permitting programs apply under the prevention of significant deterioration, nonattainment new source review preconstruction and operation permit programs under Title V of the CAA (“Title V”).  The final rule defines the term “adjacent” to clarify that equipment and activities in the oil and gas sector that are under common control will be considered part of the same source if they are located near each other – specifically, if they are located on the same site, or on sites that share equipment and are within one quarter of a mile of each other.  This rule applies to equipment and activities used for onshore oil and natural gas production, and for natural gas processing.  It does not apply to offshore operations.  Finally, the EPA also issued a final Federal Implementation Plan (“FIP”) for Indian country, which implements the minor new source review program in Indian country for oil and natural gas production.  The FIP will be used instead of site-specific minor new source review preconstruction permits in Indian country and incorporates emissions limits and other requirements from eight federal air standards, including the final New Source Performance Standard, subpart OOOOa. Requirements of the FIP apply throughout Indian country, except non-reservation areas, unless a tribe or the EPA demonstrates jurisdiction for those areas.

Compliance with such rules could result in significant costs, including increased capital expenditures and operating costs, which may adversely impact our business.  Federal and state regulatory agencies can impose administrative, civil and criminal penalties for non-compliance with air permits or other requirements of the CAA and associated state laws and regulations.

In 2016, the EPA also issued the first draft of an Information Collection Request, seeking a broad range of information on the oil and gas industry, including: how equipment and emissions controls are, or can be, configured, what installing those controls entails and the associated costs.  This includes information on natural gas venting that occurs as part of existing processes or maintenance activities, such as well and pipeline blowdowns, equipment malfunctions and flashing emissions from storage tanks.

In June 2017, the EPA proposed staying the final rule implementing certain of the new oil and gas standards for two years while it reconsiders the rules.  In November 2017, the EPA issued a notice of data availability for the proposed stay of the rules, with a comment period closing on December 8, 2017.

We are currently engaged in discussions with the Colorado Department of Public Health and Environment (the “CDPHE”) concerning certain equipment used in our Redtail facilities and our compliance with various air permits and applicable federal and state air quality laws and regulations over the control of air pollutant emissions from those facilities.  We and the CDPHE are negotiating the terms of a settlement agreement to resolve this matter.

Any increased governmental regulation or suspension of oil and natural gas exploration or production activities that arises out of these incidents could result in higher operating costs, which could in turn adversely affect our operating results.  Also, for instance, any changes in laws or regulations that result in more stringent or costly material handling, storage, transport, disposal or cleanup requirements could require us to make significant expenditures to maintain compliance and may otherwise have a material adverse effect on our results of operations, competitive position or financial condition as well as those of the oil and gas industry in general.

Climate change legislation or regulations restricting emissions of greenhouse gases could result in increased operating costs and reduced demand for oil and gas that we produce.

In December 2009, the EPA published its findings that emissions of carbon dioxide, methane and other greenhouse gases (“GHG”) present an endangerment to public health and the environment because emissions of such gases are, according to the EPA, contributing to the warming of the earth’s atmosphere and other climate changes.  Based on these findings, the EPA has adopted and implemented regulations that restrict emissions of GHG under existing provisions of the CAA, including rules that limit emissions of GHG from motor vehicles beginning with the 2012 model year.  The EPA has asserted that these final motor vehicle GHG emission standards trigger the CAA construction and operating permit requirements for stationary sources, commencing when the motor vehicle standards took effect in January 2011.  In June 2010, the EPA published its final rule to address the permitting of GHG emissions from stationary sources under the Prevention of Significant Deterioration (the “PSD”) and Title V permitting programs.  This rule “tailors” these permitting programs to apply to certain stationary sources of GHG emissions in a multi-step process, with the largest sources first subject to permitting.  Further, facilities required to obtain PSD permits for their GHG emissions are required to reduce those emissions consistent with guidance for determining “best available control technology” standards for GHG, which guidance was published by the EPA in November 2010.  Also in November 2010, the EPA expanded its existing GHG reporting rule to include onshore oil and natural gas production, processing, transmission, storage and distribution facilities.  This rule requires reporting of GHG emissions from such facilities on an annual basis.

In June 2014, the Supreme Court upheld most of the EPA’s GHG permitting requirements, allowing the agency to regulate the emission of GHG from stationary sources already subject to the PSD and Title V requirements.  Certain of our equipment and installations may currently be subject to PSD and Title V requirements and hence, under the Supreme Court’s ruling, may also be subject to the installation of controls to capture GHGs.  For any equipment or installation so subject, we may have to incur increased compliance costs to capture related GHG emissions.

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In accordance with President Obama’s Climate Action Plan, in August 2015, the EPA issued a rule to reduce carbon emissions from electric generating units.  The rule, commonly called the “Clean Power Plan”, requires states to develop plans to reduce carbon emissions from fossil fuel-fired generating units commencing in 2022, with the reductions to be fully phased in by 2030.  Each state is given a different carbon reduction target, but the EPA expects that, in the aggregate, the overall proposal will reduce carbon emissions from electric generating units by 32% from 2005 levels.  States are given substantial flexibility in meeting their emission reduction targets and can generally choose to lower carbon emissions by replacing higher carbon generation, such as coal or natural gas, with lower carbon generation, such as efficient natural gas units or renewable energy alternatives.  Several industry groups and states have challenged the Clean Power Plan in the Court of Appeals for the D.C. Circuit, and in February 2016, the U.S. Supreme Court stayed the implementation of the Clean Power Plan while it is being challenged in court.  The Court of Appeals for the D.C. Circuit heard oral arguments on the Clean Power Plan in September 2016, but has not yet issued a decision.  On March 28, 2017, the Trump Administration issued an executive order directing the EPA to review the Clean Power Plan.  On the same day, the EPA filed a motion in the U.S. Court of Appeals for the D.C. Circuit requesting that the court hold the case in abeyance while the EPA conducts its review of the Clean Power Plan.  On October 16, 2017, the EPA published a proposed rule that would repeal the Clean Power Plan.  The EPA also stated in the proposed rule that the agency has not determined the scope of any rule to regulate GHG emissions from existing electric generating units, but intends to issue an Advance Notice of Proposed Rulemaking “in the near future.”  Several states have already announced their intention to challenge any repeal of the Clean Power Plan.  It is not yet clear what changes, if any, will result from the EPA’s proposal, whether or how the courts will rule on the legality of the Clean Power Plan, the EPA’s repeal of the rules, or any future replacement.

In addition, both houses of Congress have actively considered legislation to reduce emissions of GHG, and many states have already taken legal measures to reduce emissions of GHG, primarily through the development of GHG inventories, GHG permitting and/or regional GHG “cap and trade” programs.  Most of these “cap and trade” programs work by requiring either major sources of emissions or major producers of fuels to acquire and surrender emission allowances, with the number of allowances available for purchase reduced each year until the overall GHG emission reduction goal is achieved.  In the absence of new legislation, the EPA is issuing new regulations that limit emissions of GHG associated with our operations which will require us to incur costs to inventory and reduce emissions of GHG associated with our operations and which could adversely affect demand for the oil, NGLs and natural gas that we produce.  Finally, it should be noted that many scientists have concluded that increasing concentrations of GHG in the atmosphere may produce climate changes that have significant physical effects, such as increased frequency and severity of storms, droughts, floods and other climatic events.  If any such effects were to occur, they could have an adverse effect on our assets and operations.

Unless we replace our oil and natural gas reserves, our reserves and production will decline, which would adversely affect our cash flows and results of operations.

Unless we conduct successful exploration, development and production activities or acquire properties containing proved reserves, our proved reserves will decline as those reserves are produced.  Producing oil and natural gas reservoirs are generally characterized by declining production rates that vary depending upon reservoir characteristics and other factors.  Our future oil and natural gas reserves and production, and therefore our cash flow and income, are highly dependent on our success in efficiently developing and producing our current reserves and economically finding or acquiring additional recoverable reserves.  We may not be able to develop, find or acquire additional reserves to replace our current and future production.

The loss of senior management or technical personnel could adversely affect us.

To a large extent, we depend on the services of our senior management and technical personnel.  The loss of the services of our senior management or technical personnel, including Bradley J. Holly, President and Chief Executive Officer; Bruce R. DeBoer, Senior Vice President, General Counsel and Corporate Secretary; Peter W. Hagist, Senior Vice President, Planning; Rick A. Ross, Senior Vice President, Operations; Michael J. Stevens, Senior Vice President and Chief Financial Officer;  Mark R. Williams, Senior Vice President, Exploration and Development; Steven A. Kranker, Vice President, Reservoir Engineering/Acquisitions; or David M. Seery, Vice President, Land, could have a material adverse effect on our operations.  We do not maintain, nor do we plan to obtain, any insurance against the loss of any of these individuals.

Substantial acquisitions or other transactions could require significant external capital and could change our risk and property profile.

In order to finance acquisitions of additional producing or undeveloped properties, we may need to alter or increase our capitalization substantially through the issuance of debt or equity securities, the sale of production payments or other means.  These changes in capitalization may significantly affect our risk profile.  Additionally, significant acquisitions or other transactions can change the character of our operations and business.  The character of the new properties may be substantially different in operating or geological characteristics or geographic location than our existing properties.  Furthermore, we may not be able to obtain external funding for additional future acquisitions or other transactions or to obtain external funding on terms acceptable to us.

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Competition in the oil and gas industry is intense, which may adversely affect our ability to compete.

We operate in a highly competitive environment for acquiring properties, obtaining investment capital, securing oilfield goods and services, marketing oil and natural gas products and attracting and retainingqualified personnel.  Many of our competitors possess and employ financial, technical and personnel resources substantially greater than ours, which can be particularly important in the areas in which we operate.  Those companies may be able to pay more for productive oil and gas properties and exploratory prospects and to evaluate, bid for and purchase a greater number of properties and prospects than our resources allow for.  Our ability to acquire additional prospects and to find and develop reserves in the future will depend on our ability to evaluate and select suitable properties and to consummate transactions in a highly competitive environment.  We may not be able to compete successfully in the future in acquiring prospective reserves, developing reserves, marketing hydrocarbons, attracting and retaining quality personnel and raising additional capital.

In connection with the passage of the Dodd-Frank Wall Street Reform and Consumer Protection Act, new regulations in this area may result in increased costs and cash collateral requirements for the types of oil and gas derivative instruments we use to manage our risks related to oil and gas commodity price volatility.

On July 21, 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act was enacted into law.  This financial reform legislation includes provisions that require over-the-counter derivative transactions to be executed through an exchange or centrally cleared.  In addition, the legislation provides an exemption from mandatory clearing requirements based on regulations to be developed by the Commodity Futures Trading Commission (the “CFTC”) and the SEC for transactions by non-financial institutions to hedge or mitigate commercial risk.  At the same time, the legislation includes provisions under which the CFTC may impose collateral requirements for transactions, including those that are used to hedge commercial risk.  However, during drafting of the legislation, members of Congress adopted report language and issued a public letter stating that it was not their intention to impose margin and collateral requirements on counterparties that utilize transactions to hedge commercial risk.  Final rules on major provisions in the legislation, like new margin requirements, may be established through rulemakings and would not take effect until 12 months after the date of enactment.  Although we cannot predict the ultimate outcome of these rulemakings, new regulations in this area may result in increased costs and cash collateral requirements for the types of oil and gas derivative instruments we use to hedge and to otherwise manage our financial risks related to volatility in oil and gas commodity prices.

We depend on computer and telecommunications systems, and failures in our systems or cyber security attacks could significantly disrupt our business operations.

We have entered into agreements with third parties for hardware, software, telecommunications and other information technology services in connection with our business.  In addition, we have developed proprietary software systems, management techniques and other information technologies incorporating software licensed from third parties.  It is possible we could incur interruptions from cyber security attacks, computer viruses or malware.  We believe that we have positive relations with our related vendors and maintain adequate anti-virus and malware software and controls; however, any interruptions to our arrangements with third parties for our computing and communications infrastructure or any other interruptions to our information systems could lead to data corruption, communication interruption or otherwise significantly disrupt our business operations.

Our convertible senior notes may adversely affect the market price of our common stock.

The market price of our common stock is likely to be influenced by our convertible senior notes.  For example, the market price of our common stock could become more volatile and could be depressed by:

· investors’ anticipation of the potential resale in the market of a substantial number of additional shares of our common stock received upon conversion of our convertible senior notes;

· possible sales of our common stock by investors who view our convertible senior notes as a more attractive means of equity participation in us than owning shares of our common stock; and

· hedging or arbitrage trading activity that may develop involving our convertible senior notes and our common stock.

Item 1B. Unresolved Staff Comments

None.

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Item 2.   Properties

Summary of Oil and Gas Properties and Projects

Northern Rocky Mountains

Our Northern Rocky Mountains operations includeour properties in the Williston Basin of North Dakota and Montana targeting the Bakken and Three Forks formations and encompassing approximately 688,200 gross (409,600 net) developed and undeveloped acres as of December 31, 2017.  Our estimated proved reserves in the Northern Rocky Mountainsas of December 31, 2017 were 562.5 MMBOE (53% oil), which represented 91% of our total estimated proved reserves and contributed 106.8 MBOE/d of average daily production in the fourth quarter of 2017.

Across our acreage in the Williston Basin, we have implemented new completion designs which utilize cemented liners, plug-and-perf technology, significantly higher sand volumes, new diversion technology and both hybrid and slickwater fracture stimulation methods, which have resulted in improved initial production rates.  As of December 31, 2017, we had four rigs active in the Williston Basin, and we plan to add a fifth rig in this area mid-year 2018. 

Central Rocky Mountains

Our Central Rocky Mountains operations include properties at our Redtail field in the Denver Julesburg Basin (“DJ Basin”) in Weld County, Colorado targeting the Niobrara and Codell/Fort Hays formations and encompassing approximately 120,200 gross (100,000 net) developed and undeveloped acres as of December 31, 2017.Our estimated proved reserves in the Central Rocky Mountains as of December 31, 2017 were 49.9 MMBOE (70% oil), which represented 8% of our total estimated proved reserves and contributed 20.6 MBOE/d of average daily production in the fourth quarter of 2017.

We have established production in the Niobrara “A”, “B” and “C” zones and the Codell/Fort Hays formations.  In response to low commodity prices, we suspended completion operations in this area beginning in the second quarter of 2016, however, we resumed completion activity during the first quarter of 2017 and added a second completion crew in April 2017.  During 2017, we completed and brought on production a significant portion of our drilled uncompleted well inventory (“DUCs”) from yearend 2016.  During the fourth quarter of 2017, based on the recent and comparative well performance results of the DJ Basin to the Williston Basin, our management decided to concentrate development activities during 2018 in the Williston Basin.  We plan to complete 22 DUCs in our Redtail field during the first half of 2018, and then cease additional development activity in this area until commodity prices further recover.

Our Redtail gas plant processes the associated gas produced from our wells in this area, and has a current inlet capacity of 50 MMcf/d.  As of December 31, 2017, the plant was processing 26 MMcf/d.

Other

Our other operations primarily relate to non-core assets in Colorado, Mississippi,  New Mexico, Texas and Wyoming.  As of December 31, 2017, these properties contributed 5.2 MMBOE (86% oil) of proved reserves to our portfolio of operations, which represented 1% of our total estimated proved reserves and contributed 0.6 MBOE/d of average daily production in the fourth quarter of 2017.

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Reserves

As of December 31, 2017 and 2016, all of our oil and gas reserves were attributable to properties within the United States.  A summary of our proved oil and gas reserves as of December 31, 2017 and 2016 based on average fiscal-year prices (calculated as the unweighted arithmetic average of the first-day-of-the-month price for each month within the 12-month period ended December 31, 2017 and 2016, respectively) is as follows:

	Oil	NGLs	Natural Gas	Total
	(MBbl)	(MBbl)	(MMcf)	(MBOE)
2017
Proved developed reserves	179,829	76,957	473,829	335,758
Proved undeveloped reserves	157,754	61,992	372,648	281,854
Total proved reserves	337,583	138,949	846,477	617,612
2016
Proved developed reserves	183,165	51,888	337,860	291,363
Proved undeveloped reserves	211,602	49,605	377,799	324,174
Total proved reserves	394,767	101,493	715,659	615,537

Proved reserves.  Estimates of proved developed and undeveloped reserves are inherently imprecise and are continually subject to revision based on production history, results of additional exploration and development, price changes and other factors.

Total extensions and discoveries of 58.3 MMBOE in 2017 were primarily attributable to successful drilling in the Williston Basin.  Both the new wells drilled in this area as well as the PUD locations added as a result of drilling increased our proved reserves.

Sales of minerals in place totaled50.4 MMBOE during 2017 and were primarily attributable to the disposition of the FBIR Assets as further described in “Acquisitions and Divestitures” within Item 1 of this Annual Report on Form 10-K.

In 2017, revisions to previous estimates increased proved developed and undeveloped reserves by a net amount of 37.1 MMBOE.  Included in these revisions were (i) 88.7 MMBOE of upward adjustments caused by higher crude oil, NGLand natural gas prices incorporated into our reserve estimates at December 31, 2017 as compared to December 31, 2016 and (ii) 51.6 MMBOE of downward adjustments primarily attributable to reservoir analysis and well performance at our Redtail field in Colorado.

Proved undeveloped reserves.  Our PUD reserves decreased 13% or 42.3 MMBOE on a net basis from December 31, 2016 to December 31, 2017.  The following table provides a reconciliation of our PUDs for the year ended December 31, 2017:

	Total
	(MBOE)
PUD balance—December 31, 2016	324,174
Converted to proved developed through drilling	(43,047)
Added from extensions and discoveries	41,039
Sold	(28,337)
Revisions	(11,975)
PUD balance—December 31, 2017	281,854

During 2017, we incurred $668million in capital expenditures, or $15.52 per BOE, to drill and bring on-line 43.0 MMBOE of PUD reserves.In addition, we added 41.0 MMBOE of PUDs from extensions and discoveries during the year primarily due to successful drilling in the Williston Basin.  We have made an investment decision and adopted a development plan to drill all of our individual PUD locations within five years of the date such PUDs were added.In that regard, under our current 2018 development plan, we expect to convert approximately 53.4 MMBOE of PUDs to proved developed reserves during the year.

Preparation of reserves estimates.  We maintain adequate and effective internal controls over the reserve estimation process as well as the underlying data upon which reserve estimates are based.  The primary inputs to the reserve estimation process are comprised of technical information, financial data, ownership interests and production data.  All field and reservoir technical information, which is updated annually, is assessed for validity when the reservoir engineers hold technical meetings with geoscientists, operations and land personnel to discuss field performance and to validate future development plans.  Current revenue and expense information is obtained from our accounting records, which are subject to our internal controls over financial reporting.  Internal controls over financial reporting are assessed for effectiveness annually using the criteria set forth in Internal Control – Integrated Framework (2013) issued by the Committee of

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Sponsoring Organizations of the Treadway Commission.  All current financial data such as commodity prices, lease operating expenses, production taxes and field commodity price differentials are updated in the reserve database and then analyzed to ensure that they have been entered accurately and that all updates are complete.  Our current ownership in mineral interests and well production data are also subject to the aforementioned internal controls over financial reporting, and they are incorporated into the reserve database as well and verified to ensure their accuracy and completeness.  Once the reserve database has been entirely updated with current information, and all relevant technical support material has been assembled, our independent engineering firm Cawley, Gillespie & Associates, Inc. (“CG&A”) meets with our technical personnel in our Denver office to review field performance and future development plans.  Following this review, the reserve database and supporting data is furnished to CG&A so that they can prepare their independent reserve estimates and final report.  Access to our reserve database is restricted to specific members of the reservoir engineering department.

CG&A is a Texas Registered Engineering Firm.  Our primary contact at CG&A isMr. W. Todd Brooker, President.  Mr. Brooker is a State of Texas Licensed Professional Engineer.  Refer to Exhibit 99.2 of this Annual Report on Form 10-K for the Report of Cawley, Gillespie & Associates, Inc. and further information regarding the professional qualifications of Mr. Brooker.

Our Vice President of Reservoir Engineering and Acquisitions is responsible for overseeing the preparation of the reserves estimates.  He has over 33 years of experience, the majority of which has involved reservoir engineering and reserve estimation, and he holds a Bachelor’s degree in petroleum engineering from the Colorado School of Mines.  He is also a member of the Society of Petroleum Engineers.

Acreage

The following table summarizes gross and net developed and undeveloped acreage by core area at December 31, 2017.  Net acreage representsour percentage ownership of gross acreage.  Acreage in which our interest is limited to royalty and overriding royalty interests has been excluded.

	Developed Acreage		Undeveloped Acreage (1)		Total Acreage
	Gross	Net	Gross	Net	Gross	Net
Northern Rocky Mountains	648,122	385,610	40,078	23,982	688,200	409,592
Central Rocky Mountains	41,301	35,806	78,896	64,165	120,197	99,971
Other (2)	113,258	68,593	134,342	68,505	247,600	137,098
	802,681	490,009	253,316	156,652	1,055,997	646,661

_____________________

(1) Out of a total of approximately 253,300 gross (156,700 net) undeveloped acres as of December 31, 2017, the portion of our net undeveloped acreage that is subject to expiration over the next three years, if not successfully developed or renewed, is approximately 37% in 2018,  10% in 2019 and 12% in 2020.  Only a minor amount of our proved undeveloped reserves are located on leases that are subject to expiration during 2018.

(2) Other includes Arkansas, California, Colorado, Louisiana, Michigan, Mississippi,New Mexico, Oklahoma, Texas, Utah and Wyoming.

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Production History

The following table presents historical information about our produced oil and gas volumes:

	Year Ended December 31,
	2017		2016		2015
Total Company production
Oil (MMBbl)		29.3		34.0		47.2
NGL (MMBbl)		7.0		6.6		5.5
Natural gas (Bcf)		41.3		41.4		41.1
Total (MMBOE)		43.1		47.5		59.6
Daily average (MBOE/d)		118.1		129.9		163.2
Sanish field production (1)
Oil (MMBbl)		5.7		7.2		9.4
NGL (MMBbl)		1.1		1.0		1.2
Natural gas (Bcf)		7.1		7.8		7.3
Total (MMBOE)		8.0		9.5		11.8
Average sales prices (before the effects of hedging)
Oil (per Bbl)	$	44.30	$	34.36	$	40.95
NGLs (per Bbl)	$	16.00	$	8.88	$	12.67
Natural gas (per Mcf)	$	1.78	$	1.40	$	2.20
Average production costs
Production costs (per BOE) (2)	$	8.57	$	8.25	$	9.02

_____________________

(1) The Sanish field was our only field that contained 15% or more of our total proved reserve volumes during the periods presented. 

(2) Production costs reported above exclude ad valorem taxes.

Productive Wells

The following table summarizes gross and net productive oil and natural gas wells by core area at December 31, 2017.  A net well represents our percentage ownership of a gross well.  Wells in which our interest is limited to royalty and overriding royalty interests are excluded.

	Oil Wells		Natural Gas Wells		Total Wells(1)
	Gross	Net	Gross	Net	Gross	Net
Northern Rocky Mountains	2,767	1,218	-	-	2,767	1,218
Central Rocky Mountains	373	293	-	-	373	293
Other (2)	1,566	428	69	41	1,635	469
Total	4,706	1,939	69	41	4,775	1,980

_____________________

(1) 14 wells have multiple completions, and these 14 wells contain a total of 34 completions.  One or more completions in the same bore hole are counted as one well.

(2) Other primarily includes non-core oil and gas properties located in Colorado, New Mexico,  North Dakota, Texas and Wyoming.

Oil and Gas Drilling Activity

We are engaged in numerous drilling activities on properties presently owned, and we intend to drill or develop other properties acquired in the future.  The following table sets forth our oil and gas drilling activity for the last three years.  A dry well is an exploratory, development or extension well that proves to be incapable of producing either oil or gas in sufficient quantities to justify completion as an oil or gas well.  A productive well is an exploratory, development or extension well that is not a dry well.  The information below

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should not be considered indicative of future performance, nor should it be assumed that there is necessarily any correlation between the number of productive wells drilled and quantities of reserves found.

	Gross Wells			Net Wells
	Productive	Dry	Total	Productive	Dry	Total
2017
Development	238	-	238	164.1	-	164.1
Exploratory	-	-	-	-	-	-
Total	238	-	238	164.1	-	164.1
2016
Development	89	-	89	48.2	-	48.2
Exploratory	-	-	-	-	-	-
Total	89	-	89	48.2	-	48.2
2015
Development	531	1	532	260.1	1.0	261.1
Exploratory	7	1	8	5.7	1.0	6.7
Total	538	2	540	265.8	2.0	267.8

As of December 31, 2017,  we had four operated drilling rigs active on our properties in our Northern Rocky Mountains area.  As of December 31, 2017, we had 174 gross (86.4 net) operated and non-operated wells in the process of drilling, completing or waiting on completion.

Hydraulic Fracturing

Hydraulic fracturing is a common practice in the oil and gas industry that is used to stimulate production of hydrocarbons from tight oil and gas formations.  The process involves the injection of water, sand and chemicals under pressure into formations to fracture the surrounding rock and stimulate production.  This process has typically been regulated by state oil and gas commissions.  However, as described in more detail in “Business – Regulation – Environmental Regulations – Hydraulic Fracturing” in Item 1 of this Annual Report on Form 10-K, the EPA has initiated the regulation of hydraulic fracturing, other federal agencies are examining hydraulic fracturing, and federal legislation is pending with respect to hydraulic fracturing.  We have utilized hydraulic fracturing in the completion of our wells in our most active areas located in the states of Colorado, Montana and North Dakotaand we plan to continue to utilize this completion methodology.

Our proved undeveloped reserve quantities that are associated with hydraulic fracture treatments consist of substantially all of our proved undeveloped reserves, or 281.9MMBOE.

We are not aware of any environmental incidents,  citations or suits that have occurred during the last three years related to hydraulic fracturing operations involving oil and gas properties that we operate or in which we own a non-operated interest.

In order to minimize any potential environmental impact from hydraulic fracture treatments, we have taken the following steps:

· we follow fracturing and flowback procedures that comply with or exceed North Dakota Industrial Commission or other state requirements;

· we train all company and contract personnel who are responsible for well preparation, fracture stimulation and flowback on our procedures;

· we have implemented the incremental procedures of running a well casing caliper, visually inspecting the surface joint of intermediate casing and, if a lighter wall joint of casing or drilling wear is detected, reducing the minimum burst pressure accordingly;

· for wells that are within one mile of major bodies of water or locations that lead to bodies of water, we construct sufficient berming around the well location prior to initiating fracturing operations;

· we run fracturing strings in certain situations when extra precaution is warranted, such as where the anticipated maximum treating pressure for the well is greater than the pressure rating of the intermediate casing or in areas located within one mile of major bodies of water;

· we conduct annual emergency incident response drills in all of our active areas; and

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· we are a member of the Sakakawea Area Spill Response LLC (“SASR”), which is composed of 13 oil and gas related companies operating in the Missouri River and Lake Sakakawea regions of North Dakota.  Members agreed to share spill response resources and maintain SASR-owned water response equipment that can be accessed quickly in the early stages of a spill.

While we do not have insurance policies in effect that are intended to provide coverage for losses solely related to hydraulic fracturing operations, we do have general liability and excess liability insurance policies that we believe would cover third-party claims related to hydraulic fracturing operations and associated legal expenses in accordance with, and subject to, the terms of such policies.

Delivery Commitments

Our production sales agreements contain customary terms and conditions for the oil and natural gas industry, generally provide for sales based on prevailing market prices in the area, and generally have terms of one year or less.

As of December 31, 2017, we hadthree physical delivery contracts which require us to deliver fixed volumes of crude oil.  One of these contracts is tied to oil production at our Sanish field in Mountrail County, North Dakota and became effective upon completion of the Dakota Access Pipeline on June 1, 2017.  The remaining two contractsare tied to oil production at our Redtail field in Weld County, Colorado.  On February 1, 2018, we paid $61 million to the counterparty to one of these Redtail delivery contracts to settle all future minimum volume commitments under the agreement.  The following table summarizes our remaining Sanish and Redtail delivery commitments as of December 31, 2017, as adjusted for the February 1, 2018 settlement:

	Sanish Contracted	Redtail 1 Contracted	Redtail 2 Contracted	As a Percentage of
	Crude Oil Volumes	Crude Oil Volumes	Crude Oil Volumes	Total 2017
Period	(Bbl)	(Bbl)	(Bbl) (1)	Oil Production
Jan - Dec 2018	5,475,000	14,150,000	620,000	69%
Jan - Dec 2019	5,475,000	15,975,000	-	73%
Jan - Dec 2020	5,490,000	4,140,000	-	33%
Jan - Dec 2021	5,475,000	-	-	19%
Jan - Dec 2022	5,475,000	-	-	19%
Jan - Dec 2023	5,475,000	-	-	19%
Jan - Dec 2024	2,280,000	-	-	8%

_____________________

(1) Reflects the reduced volumes under this contract as a result of its settlement on February 1, 2018.

Under the terms of the Sanish contract, if we fail to deliver the committed volumes we will be required to pay a deficiency payment of $7.00 per undelivered Bbl, subject to upward adjustment, over the duration of the contract.  However, we believe that our production and reserves are sufficient to fulfill the delivery commitment at our Sanish field, and we therefore expect to avoid any payments for deficiencies under this contract.

Under the terms of the first Redtail contract, if we fail to deliver the committed volumes we are required to pay a deficiency payment that currently totals $4.92 per undelivered Bbl (subject to upward adjustment) over the duration of the contract.  Under the terms of the second Redtail contract, and prior to its termination on February 1, 2018, if we failed to deliver the committed volumes we were required to pay a deficiency payment equal to the terminal and pipeline transportation fees paid by the counterparty on such undelivered barrels, or $3.93 per undelivered Bbl.  We have determined that it is not probable that future oil production from our Redtail field will be sufficient to meet the minimum volume requirements specified in the related physical delivery contracts, and as a result, we expect to make periodic deficiency payments for any shortfalls in delivering the minimum committed volumes.  We recognize any monthly deficiency payments in the period in which the underdelivery takes place and the related liability has been incurred.During 2017, 2016 and 2015,total deficiency payments under these contracts amounted to $66 million, $43 million and $15 million, respectively.

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Item 3.   Legal Proceedings

We are subject to litigation claims and governmental and regulatory proceedings arising in the ordinary course of business.  While the outcome of these lawsuits and claims cannot be predicted with certainty, it is management’s opinion that the loss for any litigation matters and claims we are involved in that are reasonably possible to occur will not have a material adverse effect, individually or in the aggregate, on our consolidated financial position, cash flows or results of operations.

After the closing of the acquisition of Kodiak Oil & Gas Corp. in December 2014, the U.S. Environmental Protection Agency (the “EPA”) contacted us to discuss Kodiak’s responses to a June 2014 information request from the EPA under Section 114(a) of the Federal Clean Air Act, as amended (the “CAA”).  In addition, in July 2015 and March 2016, we received information requests from the EPA under Section 114(a) of the CAA.  The information requests relate to tank batteries used in our Williston Basin operations and our compliance with certain regulatory requirements at those locations for the control of air pollutant emissions from those facilities.  We have responded to the EPA’s July 2015 and March 2016 information requests, and such responses were also provided to the North Dakota Department of Health (the “NDDoH”), with whom the EPA was coordinating in making the requests.

In connection with the above EPA inquiries, we entered into a settlement with the NDDoH that became effective in November 2016.  This settlement addressed approximately 94% of our North Dakota properties owned at the time but did not address our operations on the Fort Berthold Indian Reservation in North Dakota, over which the EPA has sole authority to enforce CAA violations.  In September 2017, we completed the sale of our interests in all Fort Berthold Indian Reservation properties that we previously obtained from Kodiak.  In November 2017, we entered into a settlement with the EPA concerning the alleged violations of applicable regulations by Kodiak prior to its acquisition, and by us after we acquired the subject properties.  Under the terms of the settlement agreement we and the EPA agreed that we would pay a civil penalty of $450,000, which penalty was paid in full in November 2017.

We are currently engaged in discussions with the Colorado Department of Public Health and Environment (the “CDPHE”) concerning certain equipment used in our Redtail facilities and our compliance with various air permits and applicable federal and state air quality laws and regulations over the control of air pollutant emissions from those facilities.  We and the CDPHE are negotiating the terms of a settlement agreement to resolve this matter.

Item 4.   Mine Safety Disclosures

Not applicable.

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Executive Officers of the Registrant

The following table sets forth certain information, as of February 15, 2018, regarding the executive officers of Whiting Petroleum Corporation:

Name	Age	Position
Bradley J. Holly	47	President and Chief Executive Officer
Bruce R. DeBoer	65	Senior Vice President, General Counsel and Corporate Secretary
Peter W. Hagist	57	Senior Vice President, Planning
Rick A. Ross	59	Senior Vice President, Operations
Michael J. Stevens	52	Senior Vice President and Chief Financial Officer
Mark R. Williams	61	Senior Vice President, Exploration and Development
Heather M. Duncan	47	Vice President, Human Resources
Steven A. Kranker	56	Vice President, Reservoir Engineering and Acquisitions
David M. Seery	63	Vice President, Land
Sirikka R. Lohoefener	39	Controller and Treasurer

The following biographies describe the business experience of our executive officers:

Bradley J. Holly joined us in November 2017 upon his appointment as director and election as President and Chief Executive Officer.  Mr. Holly has 23 years of experience in the oil and gas industry.  Prior to joining Whiting, he held various management and technical positions during his 20 years at Anadarko Petroleum Corporation including Executive Vice President, U.S. Onshore Exploration and Production; Senior Vice President, U.S. Onshore Exploration and Production; Senior Vice President, Operations; Vice President, Operations for the Southern and Appalachia Region; among others.  He began his career in 1994 with Amoco Corporation.  Mr. Holly holds a Bachelor of Science degree in petroleum engineering from Texas Tech University, and he is a graduate of the Harvard Business School’s Advanced Management Program.

Bruce R. DeBoer joined us as Vice President, General Counsel and Corporate Secretary in January 2005 and was elected Senior Vice President, General Counsel and Corporate Secretary effective January 2018.  From January 1997 to May 2004, Mr. DeBoer served as Vice President, General Counsel and Corporate Secretary of Tom Brown, Inc., an independent oil and gas exploration and production company.  Mr. DeBoer has 38 years of experience in managing the legal departments of several independent oil and gas companies.  He holds a Bachelor of Science degree in political science from South Dakota State University and received his J.D. and MBA degrees from the University of South Dakota.

Peter W. Hagist joined us in October 2005 as Vice President, Operations-Midland.  In June 2014, he was elected Senior Vice President of Planning.  Mr. Hagist has 36 years of experience in the oil and gas industry and 27 years of experience managing tertiary recovery operations.  Prior to joining Whiting, he held management and professional positions with Kinder Morgan CO2 Company and Pennzoil Exploration and Production Company.  Mr. Hagist holds a Bachelor of Science degree in petroleum engineering from the Colorado School of Mines.  He is a registered Professional Engineer and a member of the Society of Petroleum Engineers.

Rick A. Ross joined us in March 1999 as an Operations Manager.  In May 2007, he became Vice President of Operations and in June 2014, he was elected Senior Vice President of Operations.  Mr. Ross has 35 years of oil and gas experience, including 17 years with Amoco Production Company where he served in various technical and managerial positions.  Mr. Ross holds a Bachelor of Science degree in mechanical engineering from the South Dakota School of Mines and Technology.  He is a registered Professional Engineer, a member of the Society of Petroleum Engineers and was a past Chairman of the North Dakota Petroleum Council.

Michael J. Stevens joined us in May 2001 as Controller, became Treasurer in January 2002 and became Vice President and Chief Financial Officer in March 2005.  Mr. Stevens was elected Senior Vice President and Chief Financial Officer effective March 1, 2015.  His 31 years of oil and gas experience includes eight years of service in various positions including Chief Financial Officer, Controller, Secretary and Treasurer at Inland Resources Inc., a company engaged in oil and gas exploration and development.  He spent seven years in public accounting with Coopers & Lybrand in Minneapolis, Minnesota.  He is a graduate of Mankato State University of Minnesota and is a Certified Public Accountant.

Mark R. Williams joined us in December 1983 as Exploration Geologist and has been Vice President of Exploration and Development since December 1999.  Mr. Williams was elected Senior Vice President, Exploration and Development effective January 1, 2011.  He has 37 years of domestic and international experience in the oil and gas industry.  Mr. Williams holds a Master’s degree in geology from the Colorado School of Mines and a Bachelor’s degree in geology from the University of Utah.

Heather M. Duncan joined us in February 2002 as Assistant Director of Human Resources and in January 2003 became Director of Human Resources.  In January 2008, she was appointed Vice President of Human Resources.  Ms. Duncan has 21 years of human

39

resources experience in the oil and gas industry.  She holds a Bachelor of Arts degree in anthropology and an MBA from the University of Colorado.  She is a certified Senior Professional in Human Resources.

Steven A. Kranker joined us in March 2013 as First Director – Acquisitions and Reservoir Engineering and became Vice President of Reservoir Engineering and Acquisitions in July 2013.  Prior to joining Whiting, Mr. Kranker held positions at several companies engaged in oil and gas exploration and development, including Manager of Reserves at Bill Barrett Corporation from June 2012 to March 2013, President of Earth Energy Reserves, Inc. from July 2010 to June 2012, and various positions at Forest Oil Corporation, including Corporate Engineering Manager, from May 2001 to July 2010.  Mr. Kranker has 33 years of acquisition and reservoir engineering experience, including Brunei Shell Petroleum, Arco Alaska Inc., Maxus Exploration, Conoco Inc. and Shell Western E&P Inc.  He received his Bachelor of Science degree in petroleum engineering from the Colorado School of Mines.  Mr. Kranker is a member of the Society of Petroleum Engineers.

David M. Seery joined us as our Manager of Land in July 2004 as a result of our acquisition of Equity Oil Company, where he was Manager of Land and Manager of Equity’s Exploration Department, positions he had held for more than five years.  He became our Vice President of Land in January 2005.  Mr. Seery has 37 years of land experience including staff and managerial positions with Marathon Oil Company.  Mr. Seery holds a Bachelor of Science degree in business administration from the University of Montana.  He is a registered Land Professional and has held various duties with the Denver Association of Petroleum Landmen.

Sirikka R. Lohoefener joined us in June 2006 as a Senior Financial Accountant, became Financial Reporting Manager in January 2011 and Controller in March 2015.  She was appointed Controller and Treasurer in March 2017 and is the Company’s designated principal accounting officer.  Prior to joining Whiting, Ms. Lohoefener spent five years with Wagner, Burke & Barnes, LLP, a public accounting firm previously based in Golden, Colorado.  She holds a Master of Accountancy degree from the University of Missouri and is a Certified Public Accountant.

Executive officers are elected by, and serve at the discretion of, the Board of Directors.  There are no family relationships between any of our directors or executive officers.

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PART II

Item 5.   Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Whiting Petroleum Corporation’s common stock is traded on the New York Stock Exchange under the symbol “WLL”.  The following table shows the high and low sale prices for our common stock (as adjusted for the one-for-four reverse stock split as discussed below) for the periods presented.

	High		Low
Fiscal Year Ended December 31, 2017
Fourth quarter (ended December 31, 2017)	$	28.60	$	18.56
Third quarter (ended September 30, 2017)	$	23.52	$	15.88
Second quarter (ended June 30, 2017)	$	41.48	$	20.44
First quarter (ended March 31, 2017)	$	53.48	$	31.84
Fiscal Year Ended December 31, 2016
Fourth quarter (ended December 31, 2016)	$	53.56	$	30.88
Third quarter (ended September 30, 2016)	$	39.72	$	25.52
Second quarter (ended June 30, 2016)	$	57.76	$	29.00
First quarter (ended March 31, 2016)	$	39.16	$	13.40

On November 8, 2017, our Board of Directors approved a reverse stock split of our common stock at a ratio of one-for-four and a reduction in the number of authorized shares of our common stock from 600,000,000 shares to 225,000,000.  Our common stock began trading on a split-adjusted basis on November 9, 2017 upon opening of the markets.  All share and per share amounts in this Annual Report on Form 10-K for periods prior to November 2017 have been retroactively adjusted to reflect the reverse stock split.

On February 15, 2018, there were 705 holders of record of our common stock.

We have not paid any cash dividends on our common stock since we were incorporated in July 2003, and we do not anticipate paying any such dividends on our common stock in the foreseeable future.  We currently intend to retain future earnings, if any, to finance the expansion of our business.  Our future dividend policy is within the discretion of our board of directors and will depend upon various factors, including our financial position, cash flows, results of operations, capital requirements and investment opportunities.  Except for limited exceptions, our credit agreement restricts our ability to make any cash dividends or distributions on our common stock.  Additionally, the indentures governing our senior notes contain restrictive covenants that may limit our ability to pay cash dividends on our common stock.

Information relating to compensation plans under which our equity securities are authorized for issuance is set forth in Part III, Item 12 of this Annual Report on Form 10-K.

The following information in this Item 5 of this Annual Report on Form 10-K is not deemed to be “soliciting material” or to be “filed” with the SEC or subject to Regulation 14A or 14C under the Securities Exchange Act of 1934 or to the liabilities of Section 18 of the Securities Exchange Act of 1934, and will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent we specifically incorporate it by reference into such a filing.

The following graph compares on a cumulative basis changes since December 31, 2012 in (a) the total stockholder return on our common stock with (b) the total return on the Standard & Poor’s Composite 500 Index and (c) the total return on the Dow Jones U.S. Exploration & Production Index.  Such changes have been measured by dividing (a) the sum of (i) the cumulative amount of dividends for the measurement period, assuming dividend reinvestment, and (ii) the difference between the price per share at the end of and the beginning of the measurement period, by (b) the price per share at the beginning of the measurement period.  The graph assumes $100 was invested on December 31, 2012 in our common stock, the Standard & Poor’s Composite 500 Index and the Dow Jones U.S. Exploration & Production Index, respectively.

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	12/31/2012		12/31/2013		12/31/2014		12/31/2015		12/31/2016		12/31/2017
Whiting Petroleum Corporation	$	100	$	143	$	76	$	22	$	28	$	15
Standard & Poor’s Composite 500 Index		100		130		144		143		157		187
Dow Jones U.S. Exploration & Production Index		100		130		114		86		105		105

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Item 6.   Selected Financial Data

The consolidated statements of operations and statements of cash flows information for the years ended December 31, 2017, 2016 and 2015 and the consolidated balance sheet information at December 31, 2017 and 2016 are derived from our audited financial statements included elsewhere in this report.  The consolidated statements of operations and statements of cash flows information for the years ended December 31, 2014 and 2013 and the consolidated balance sheet information at December 31, 2015, 2014 and 2013 are derived from audited financial statements that are not included in this report.  Our historical results include the results from our recent proved property acquisitions beginning on the following closing dates: properties related to the acquisition of Kodiak Oil & Gas Corp., December 8, 2014, and properties in North Dakota and Montana, September 20, 2013.  In addition, our historical results also include the effects of our recent property divestitures beginning on the following closing dates: properties in the Fort Berthold Indian Reservation area, September 1, 2017;gas processing plants and related gathering systems in North Dakota, January 1, 2017; properties in the North Ward Estes field, July 27, 2016; water facilities in Colorado, December 16, 2015; non-core properties in various fields across multiple states, December 15, 2015, November 12, 2015 and June 10, 2015; the underlying properties of Whiting USA Trust I, April 15, 2015; properties in the Postle field, July 15, 2013; and properties in Texas, October 31, 2013.  For a discussion of other material factors affecting the comparability of the information presented below, refer to “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Item 7 of this Annual Report on Form 10-K.

	Year Ended December 31,
	2017		2016		2015		2014		2013
	(in millions, except per share data)
Consolidated Statements of Operations Information
Operating revenues	$	1,481.4	$	1,285.0	$	2,092.5	$	3,024.6	$	2,664.6
Net income (loss) attributable to common shareholders	$	(1,237.6)	$	(1,339.1)	$	(2,219.2)	$	64.8	$	365.5
Earnings (loss) per common share, basic (1)	$	(13.65)	$	(21.27)	$	(45.41)	$	2.12	$	12.36
Earnings (loss) per common share, diluted (1)	$	(13.65)	$	(21.27)	$	(45.41)	$	2.12	$	12.25
Other Financial Information
Net cash provided by operating activities	$	577.1	$	595.0	$	1,051.4	$	1,815.3	$	1,744.7
Net cash provided by (used in) investing activities	$	73.4	$	(222.6)	$	(1,982.1)	$	(2,860.5)	$	(1,902.5)
Net cash provided by (used in) financing activities	$	155.6	$	(315.3)	$	868.7	$	423.9	$	812.4
Cash capital expenditures	$	852.0	$	543.9	$	2,483.7	$	2,888.4	$	2,772.7
Consolidated Balance Sheet Information
Total assets	$	8,403.0	$	9,876.1	$	11,389.1	$	13,993.1	$	8,802.5
Long-term debt	$	2,764.7	$	3,535.3	$	5,197.7	$	5,602.4	$	2,622.9
Total equity (2)	$	3,919.1	$	5,149.2	$	4,758.6	$	5,703.0	$	3,836.7

_____________________

(1) On November 8, 2017, our Board of Directors approved a one-for-four reverse stock split of our common stock.  Earnings (loss) per common share for periods prior to 2017 have been retroactively adjusted to reflect the reverse stock split.

(2) No cash dividends were declared or paid on our common stock during the periods presented.

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Item 7.   Management’s Discussion and Analysis of Financial Condition and Results of Operations

Unless the context otherwise requires, the terms “Whiting”, “we”, “us”, “our” or “ours” when used in this Item refer to Whiting Petroleum Corporation, together with its consolidated subsidiaries, Whiting Oil and Gas Corporation (“Whiting Oil and Gas”), Whiting US Holding Company, Whiting Canadian Holding CompanyULC (formerly Kodiak Oil & Gas Corp., “Kodiak”), Whiting Resources Corporation and Whiting Programs, Inc.  When the context requires, we refer to these entities separately.  This document contains forward-looking statements, which give our current expectations or forecasts of future events.  Please refer to “Forward-Looking Statements” at the end of this Item for an explanation of these types of statements.

Overview

We are an independent oil and gas company engaged in development, production, acquisition and exploration activities primarily in the Rocky Mountains region of the United States.  Our current operations and capital programs are focused on organic drilling opportunities and on the development of previously acquired properties, specifically on projects that we believe provide the greatest potential for repeatable success and production growth, while selectively pursuing acquisitions that complement our existing core properties.  As a result of lower crude oil prices during 2015 and 2016, we significantly reduced our level of capital spending and focused our drilling activity on projects that provide the highest rate of return.  During 2017, we continued to focus on high-return projects that added production and reserves through the strategic deployment of capital at our Williston Basin properties and Redtail field, while closely aligning our capital spending with cash flows generated from operations.  In addition, we continually evaluate our property portfolio and sell properties when we believe that the sales price realized will provide an above average rate of return for the property or when the property no longer matches the profile of properties we desire to own, such as the asset sales discussed below under “Acquisition and Divestiture Highlights” and in the “Acquisitions and Divestitures” footnote in the notes to consolidated financial statements.

Our revenue, profitability and future growth rate depend on many factors which are beyond our control, such as oil and gas prices, economic, political and regulatory developments, competition from other sources of energy, and the other items discussed under the caption “Risk Factors” in Item 1A of this Annual Report on Form 10-K.  Oil and gas prices historically have been volatile and may fluctuate widely in the future.  The following table highlights the quarterly average NYMEX price trends for crude oil and natural gas prices since the first quarter of 2016:

	2016								2017
	Q1		Q2		Q3		Q4		Q1		Q2		Q3		Q4
Crude oil	$	33.51	$	45.60	$	44.94	$	49.33	$	51.86	$	48.29	$	48.19	$	55.39
Natural gas	$	2.06	$	1.98	$	2.93	$	2.98	$	3.07	$	3.09	$	2.89	$	2.87

Lower oil, NGL and natural gas prices may not only decrease our revenues on a per unit basis, but may also reduce the amount of oil and natural gas that we can produce economically and therefore potentially lower our oil and gas reserve quantities.  Substantial and extended declines in oil, NGLand natural gas prices have resulted and may result in impairments of our proved oil and gas properties or undeveloped acreage (such as the impairments discussed below under “Results of Operations”) and may materially and adversely affect our future business, financial condition, cash flows, results of operations, liquidity or ability to finance planned capital expenditures.  In addition, lower commodity prices may reduce the amount of our borrowing base under our credit agreement, which is determined at the discretion of our lenders and is based on the collateral value of our proved reserves that have been mortgaged to the lenders.  Upon a redetermination, if borrowings in excess of the revised borrowing capacity were outstanding, we could be forced to immediately repay a portion of the debt outstanding under our credit agreement.  Alternatively, higher oil prices may result in significant mark-to-market losses being incurred on our commodity-based derivatives.

For a discussion of material changes to our proved reserves from December 31, 2016 to December 31, 2017 and our ability to convert PUDs to proved developed reserves, refer to “Reserves” in Item 2 of this Annual Report on Form 10-K.  Additionally, for a discussion relating to the minimum remaining terms of our leases, refer to “Acreage” in Item 2 of this Annual Report on Form 10-K.

2017 Highlights and Future Considerations

Operational Highlights

Northern Rocky Mountains – Williston Basin

Our properties in the Williston Basin of North Dakota and Montana target the Bakken and Three Forks formations.  Net production from the Williston Basin averaged 106.8 MBOE/d for the fourth quarter of 2017, representing a 5% increase from 102.0 MBOE/d in the third quarter of 2017.  Across our acreage in the Williston Basin, we have implemented new completion designs which utilize cemented liners, plug-and-perf technology, significantly higher sand volumes, new diversion technology and both hybrid and slickwater

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fracture stimulation methods, which have resulted in improved initial production rates.  As of December 31, 2017, we had four rigs active in the Williston Basin, and we plan to add a fifth rig in this area mid-year 2018. 

Central Rocky Mountains – Denver Julesburg Basin

Our Redtail field in the Denver Julesburg Basin (“DJ Basin”) in Weld County, Colorado targets the Niobrara and Codell/Fort Hays formations.  Net production from the Redtail field averaged 20.6 MBOE/d in the fourth quarter of 2017, representing a 75% increase from 11.8 MBOE/d in the third quarter of 2017.  We have established production in the Niobrara “A”, “B” and “C” zones and the Codell/Fort Hays formations.  We have implemented a new wellbore configuration in this area, which significantly reduces drilling times.  In response to low commodity prices, we suspended completion operations in this area beginning in the second quarter of 2016, however, we resumed completion activity during the first quarter of 2017 and added a second completion crew in April.  During 2017, we completed and brought on production a significant portion of our drilled uncompleted well inventory (“DUCs”) from yearend 2016.During the fourth quarter of 2017, based on the recent and comparative well performance results of the DJ Basin to the Williston Basin, our management decided to concentrate development activities during 2018 in the Williston Basin.  We plan to complete 22 DUCs in our Redtail field during the first half of 2018, and then cease additional development activity in this area until commodity prices further recover.

Our Redtail gas plant processes the associated gas produced from our wells in this area, and has a current inlet capacity of 50 MMcf/d.  As of December 31, 2017, the plant was processing 26 MMcf/d.

Financing Highlights

On February 2, 2017, we paid $281 million to redeem all of the remaining $275 million aggregate principal amount of our 2018 Senior Subordinated Notes, which payment consisted of the 100% redemption price plus all accrued and unpaid interest on the notes.  We financed the redemption with borrowings under our credit agreement.  Refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements for more information on this financing transaction.

On October 19, 2017, the borrowing base and aggregate commitments under our credit agreement were reduced from $2.5 billion to $2.3 billion in connection with the November 1, 2017 regular borrowing base redetermination, and was primarily the result of the sale of our Fort Berthold Indian Reservation area assets on September 1, 2017, as discussed below under “Acquisition and Divestiture Highlights”.  All other terms of the credit agreement remained unchanged.

On November 8, 2017 and following approval by our stockholders of an amendment to our certificate of incorporation to effect a reverse stock split, our Board of Directors approved a reverse stock split of our common stock at a ratio of one-for-four and a reduction in the number of authorized shares of our common stock from 600,000,000 shares to 225,000,000.  Our common stock began trading on a split-adjusted basis on November 9, 2017 upon opening of the markets.  All share and per share amounts (except par value and par value per share amounts) for periods prior to 2017 presented in this Item 7 of this Annual Report on Form 10-K have been retroactively adjusted to reflect the reverse stock split.  Refer to the “Shareholders’ Equity and Noncontrolling Interest” footnote in the notes to consolidated financial statements for more information on this equity transaction.

On December 27, 2017, we issued at par $1.0 billion of 6.625% Senior Notes due January 2026 (the “2026 Senior Notes”).  We used the net proceeds from this offering to redeem on January 26, 2018 all of our outstanding 5.0% Senior Notes due March 2019 (the “2019 Senior Notes”) at a 102.976% redemption price plus all accrued and unpaid interest on the notes.  Refer to the “Subsequent Events” footnote in the notes to consolidated financial statements for more information on the redemption of the 2019 Senior Notes.

2018 Exploration and Development Budget

Our 2018 exploration and development (“E&D”) budget is $750million, which we expect to fund substantially with net cash provided by our operating activities and cash on hand.  The overall budget represents a decrease from the $912 million incurred on E&D expenditures during 2017.  This reduced spending is primarily attributable to our Redtail field where we incurred $293 million in drilling and development costs during 2017, but where we have allocated only $75 million of our 2018 E&D budget due to the recent well performance results of this area compared to the Williston Basin.  Planned E&D expenditures at our Williston Basin properties have increased slightly between years.  To the extent net cash provided by operating activities is higher or lower than currently anticipated, we could adjust our E&D budget, enter into agreements with industry partners, divest certain oil and gas property interests, adjust borrowings outstanding under our credit facility or access the capital markets as necessary.  Our 2018 E&D budget currently is allocated among our major development areas as indicated in the table below.  Of our existing potential projects, we believe these present the opportunity for the highest return and most efficient use of our capital expenditures.

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	2018 Exploration and
	Development Budget
Development Area	(in millions)
Northern Rocky Mountains	$	600
Central Rocky Mountains		75
Non-operated properties		50
Other(1)		25
Total	$	750

_____________________

(1) Comprised of facilities costs and undeveloped acreage purchases.

Acquisition and Divestiture Highlights

On January 1, 2017, we completed the sale of our 50% interest in the Robinson Lake gas processing plant located in Mountrail County, North Dakota and our 50% interest in the Belfield gas processing plant located in Stark County, North Dakota, as well as the associated natural gas, crude oil and water gathering systems, effective January 1, 2017, for aggregate sales proceeds of $375 million (before closing adjustments).  We used the net proceeds from this transaction to repay a portion of the debt outstanding under our credit agreement.

On July 19, 2017, the buyer of our North Ward Estes properties paid us $35 million to settle a contingent payment associated with the original purchase and sale agreement, which sale closed in July 2016.  This settlement resulted in a pre-tax gain of $3 million.  Refer to the “Acquisitions and Divestitures” footnote in the notes to consolidated financial statements for more information on this transaction.

On September 1, 2017, we completed the sale of our interests in certain producing oil and gas properties located in the Fort Berthold Indian Reservation area in Dunn and McLean counties of North Dakota, as well as other related assets and liabilities, (the “FBIR Assets”) for aggregate sales proceeds of $500 million (before closing adjustments).  The sale was effective September 1, 2017 and resulted in a pre-tax loss on sale of $402 million.  We used the net proceeds from the sale to repay a portion of the debt outstanding under our credit agreement.  The properties spanned approximately 29,600 net developed acres and consisted of estimated proved reserves of 32 MMBOE as of December 31, 2016, representing 5% of our proved reserves as of that date.  The FBIR Assets generated 7% (or 8.3 MBOE/d) of our August 2017 average daily production.

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Results of Operations

The following table sets forth selected operating data for the periods indicated:

	Year Ended December 31,
	2017		2016		2015
Net production
Oil (MMBbl)		29.3		34.0		47.2
NGLs (MMBbl)		7.0		6.6		5.5
Natural gas (Bcf)		41.3		41.4		41.1
Total production (MMBOE)		43.1		47.5		59.6
Net sales (in millions)
Oil (1)	$	1,296.4	$	1,167.8	$	1,931.9
NGLs		111.6		59.0		70.2
Natural gas		73.4		58.2		90.4
Total oil, NGL and natural gas sales	$	1,481.4	$	1,285.0	$	2,092.5
Average sales prices
Oil (per Bbl) (1)	$	44.30	$	34.36	$	40.95
Effect of oil hedges on average price (per Bbl)		0.29		4.46		4.59
Oil net of hedging (per Bbl)	$	44.59	$	38.82	$	45.54
Weighted average NYMEX price (per Bbl) (2)	$	51.11	$	42.71	$	49.06
NGLs (per Bbl)	$	16.00	$	8.88	$	12.67
Natural gas (per Mcf)	$	1.78	$	1.40	$	2.20
Weighted average NYMEX price (per MMBtu) (2)	$	2.97	$	2.47	$	2.62
Costs and expenses (per BOE)
Lease operating expenses	$	8.51	$	8.31	$	9.32
Production taxes	$	2.86	$	2.29	$	3.07
Depreciation, depletion and amortization	$	22.01	$	24.64	$	20.87
General and administrative	$	2.88	$	3.09	$	2.90

_____________________

(1) Before consideration of hedging transactions.

(2) Average NYMEX pricing weighted for monthly production volumes.

Year Ended December 31, 2017 Compared to Year Ended December 31, 2016

Oil, NGL and Natural Gas Sales.  Our oil, NGL and natural gas sales revenue increased $196 million to $1.5billion when comparing 2017 to 2016.  Sales revenue is a function of oil, NGL and gas volumes sold and average commodity prices realized.  Our oil sales volumes decreased 14%,  while our NGL volumes increased 5% and our natural gas sales volumes remained relatively consistent between periods.  The oil volume decrease between periods was primarily attributable to normal field production decline across all of our areas resulting from reduced drilling and completion activity during 2016 and 2017 in response to the depressed commodity price environment.  In addition, we completed certain oil and gas property divestitures during 2016 and 2017, which negatively impacted oil production in 2017 by 2,330 MBbl.  These decreases were partially offset by new wells drilled and completed in the Williston Basin and DJ Basin which added 6,040 MBbland 1,750 MBbl, respectively,of oil production during 2017 as compared to 2016.  The NGL volume increase between periods generally relates to new wells drilled and completed in the Williston Basin and DJ Basin over the last twelve months, as well as additional volumes processed as more wells were connected to gas processing plants in the Williston Basin in an effort to increase our overall gas capture rate in this area and reduce flared volumes.  Many of the new Williston Basin wells are in areas with higher gas-to-oil production ratios than previously drilled areas.  These NGL volume increases were partially offset by normal field production decline across all our areas.  New wells drilled and completed at our Williston Basin and DJ Basin properties resulted in 8,555 MMcf and 910 MMcf, respectively, of additional gas volumes during 2017 as compared to 2016.  This gas volume increase was entirely offset by normal field production decline across all of our areas and the 2016 and 2017 property divestitures, which negatively impacted gas production in 2017 by 690 MMcf.

These overall production-related decreases in net revenue were offset by increases in the average sales price realized for oil, NGLs and natural gas in 2017 compared to 2016.  Our average price for oil (before the effects of hedging), NGLs and natural gas increased 29%,  

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80% and 27%, respectively, between periods.  Our average sales price realized for oil is impacted by deficiency payments we are making under two physical delivery contracts at our Redtail field due to our inability to meet the minimum volume commitments under these contracts.  During 2017 and 2016, our total average sales price realized for oil was $2.27 per Bbl lower and $1.27 per Bbl lower, respectively, as a result of these deficiency payments.  On February 1, 2018, we paid $61 million to the counterparty to one of these Redtail delivery contracts to settle all future minimum volume commitments under the agreement.The remaining agreement will continue to negatively impact the price we receive for oil from our Redtail field through April 2020, when the contract terminates.  Refer to the “Commitments and Contingencies” footnote in the notes to consolidated financial statements for more information on these physical delivery contracts and the related deficiency payments.

Lease Operating Expenses.  Our lease operating expenses (“LOE”) during 2017 were $367million, a $28million decrease over 2016.  This decrease was primarily due to a decline in the costs of oilfield goods and services resulting from cost reduction measures we have implemented and the elimination of $13 million of LOE attributable to properties that we divested during 2016 and 2017, as well as the general downturn in the oil and gas industry.

Our lease operating expenses on a BOE basis, however, increased when comparing 2017 to 2016.  LOE per BOE amounted to $8.51 during 2017, which represents an increase of $0.20 per BOE (or 2%) from 2016.  This increase was mainly due to lower overall production volumes between periods, partially offset by the overall decrease in LOE expense discussed above.

Production Taxes.  Our production taxes during 2017 were $123 million, a $15 million increase over the same period in 2016, which increase was primarily due to higher oil, NGL and natural gas sales between periods.  Our production taxes, however, are generally calculated as a percentage of net sales revenue before the effects of hedging, and this percentage on a company-wide basis remained relatively consistent at8.3% and 8.5% for 2017 and 2016, respectively.

Depreciation, Depletion and Amortization.  Our depreciation, depletion and amortization (“DD&A”) expense decreased $223million in 2017as compared to 2016.  The components of our DD&A expense were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Depletion	$	927,594	$	1,149,302
Depreciation		7,536		8,479
Accretion of asset retirement obligations		13,809		13,801
Total	$	948,939	$	1,171,582

DD&A decreased between periods primarily due to $222 million in lower depletion expense, consisting of a $127 million decrease related to a lower depletion rate between periods and a $95 million decrease due to lower overall production volumes during 2017.  On a BOE basis, our overall DD&A rate of $22.01 for 2017was 11% lower than the rate of $24.64in 2016.  The primary factors contributing to this lower DD&A rate were (i) an increase to proved and proved developed reserves over the last twelve months (excluding the effect of divestitures) mainly due to higher average oil and natural gas prices used to calculate our reserves, as well as upward performance revisions, extensions and discoveries in our Williston Basin area, and (ii) the impact of property divestitures over the past twelve months.  These factors that positively impacted our DD&A rate were partially offset by $831 million in drilling and development expenditures during the past twelve months.

Exploration and Impairment Costs.  Our exploration and impairment costs increased $815million in 2017 as compared to 2016.  The components of our exploration and impairment expense were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Exploration	$	36,324	$	45,846
Impairment		899,853		75,622
Total	$	936,177	$	121,468

Exploration costs decreased $10million during 2017 as compared to 2016 primarily due to $18 million of lower rig termination fees incurred between periods, partially offset by the write-off of $12 million during 2017 of pre-drilling expenditures for well locations in our Redtail field where we currently have no future plans to drill.

Impairment expense in 2017primarily related to (i) $835 million in non-cash impairment charges for the partial write-down of our Redtail field in Colorado due to a reduction of reserves driven by recent well performance results in this area, (ii) $47 million of leasehold amortization associated with individually insignificant unproved properties, and (iii) $12 million in impairment write-downs of undeveloped acreage costs for leases where we have no future plans to drill.  Impairment expense in 2016 primarily related to $60million

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of leasehold amortization associated with individually insignificant unproved properties and $13 million in impairment write-downs of undeveloped acreage costs for leases where we have no future plans to drill.

General and Administrative Expenses.  We report general and administrative (“G&A”) expenses net of third-party reimbursements and internal allocations.  The components of our G&A expenses were as follows (in thousands):

	Year Ended December 31,
	2017		2016
General and administrative expenses	$	228,669	$	264,948
Reimbursements and allocations		(104,381)		(118,070)
General and administrative expenses, net	$	124,288	$	146,878

G&A expense before reimbursements and allocations decreased $36 million during 2017 as compared to 2016 primarily due to lower employee compensation.  Employee compensation decreased $39 million in 2017 as compared to 2016primarily due to reductions in personnel over the past twelve months.The decrease in reimbursements and allocations for 2017 was primarily the result ofproperty divestitures over the past twelve months.

Our general and administrative expenses on a BOE basis also decreased when comparing 2017 to 2016.  G&A expense per BOE amounted to $2.88 during 2017, which represents a decrease of $0.21 per BOE (or 7%) from 2016.  This decrease was mainly due to lower employee compensation, partially offset by lower overall production volumes between periods.

Derivative (Gain) Loss, Net.Our commodity derivative contracts andembedded derivatives are marked to market each quarter with fair value gains and losses recognized immediately in earningsas derivative (gain) loss, net.  Cash flow, however, is only impacted to the extent that settlements under these contracts result in making or receiving a payment to or from the counterparty.  Derivative (gain) loss, net amounted to a loss of $123 million for 2017, which consisted of a $54 million fair value loss on our long-term crude oil sales and delivery contract, a $50 million loss on our costless collar commodity derivative contracts resulting from the upward shift in the futures curve of forecasted commodity prices (“forward price curve”) for crude oil from January 1, 2017 (or the 2017 date on which new contracts were entered into) to December 31, 2017, and a $19 million fair value loss on embedded derivatives.  Derivative (gain) loss, net for 2016 amounted to a gain of $1 million, which consisted of a $59 million fair value gain on embedded derivatives, partially offset by a $58 million loss on commodity derivative contracts resultingfroma more significant upward shift in the same forward price curve from January 1, 2016 (or the 2016 date on which prior year contracts were entered into) to December 31, 2016.

Refer to Item 7A, “Quantitative and Qualitative Disclosures about Market Risk”, for a list of our outstanding commodity derivative contracts as of January 23, 2018.

Loss on Sale of Properties.During 2017, we sold our interests in the FBIR Assets for net cash proceeds of $501 million, which resulted in a pre-tax loss on sale of $402 million.  During 2016, we sold our interests in the North Ward Estes properties for net cash proceeds of $295 million, which resulted in a pre-tax loss on sale of $187 million.There were no other property divestitures resulting in a significant gain or loss on sale during 2017 or 2016.

Interest Expense.  The components of our interest expense were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Notes	$	133,123	$	187,374
Amortization of debt issue costs, discounts and premiums		31,715		335,569
Credit agreement		24,971		32,885
Other		1,381		1,930
Capitalized interest		(102)		(138)
Total	$	191,088	$	557,620

The decrease in interest expense of $367 million between periods was mainly attributable to a decrease in amortization of debt issue costs, discounts and premiums and lower interest costs incurred on our notes during 2017 as compared to 2016.  The decrease in amortization of debt issue costs, discounts and premiums of $304 million was due to (i) a non-cash charge of $244 million for the acceleration of unamortized debt discounts in connection with the December 2016 conversions of our Mandatory Convertible Notes, (ii) a $40 million decrease in debt discount and debt issue cost amortization related to the exchange and subsequent conversion to common stock of $1.6 billion of notes during 2016, (iii) a non-cash charge of $14 million for the acceleration of unamortized debt discounts in connection with the August 2016 induced exchange of a portion of our Mandatory Convertible Notes, and (iv) a $6 million non-cash charge for the acceleration of unamortized debt issuance costs in connection with a reduction of the aggregate commitments

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under our credit agreement in March 2016.  The $54 million decrease in note interest was primarily due to (i) the conversions of the New Convertible Notes in May 2016 and the Mandatory Convertible Notes in the second half of 2016, resulting in a $39 million decrease in note interest during 2017, and (ii) the redemption of the 2018 Senior Subordinated Notes in February 2017, resulting in a $16 million decrease between periods.  Refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements for more information on these debt transactions.

Our weighted average debt outstanding during 2017 was $3.3billion versus $5.0billion for 2016.  Our weighted average effective cash interest rate was 4.8% during 2017 compared to 4.4% during 2016.

Loss on Extinguishment of Debt.  During 2017, we redeemed all of the remaining $275 million aggregate principal amount of 2018 Senior Subordinated Notes and recognized a $2 million loss on extinguishment of debt.  During 2016, we recognized a net loss on extinguishment of debt of $42 million.  In March 2016, we completed the exchange of $477 million aggregate principal amount of our senior notes and senior subordinated notes for the same aggregate principal amount of New Convertible Notes, and recognized a $91 million gain on extinguishment of debt.  Subsequently, during the second quarter of 2016, the holders of the New Convertible Notes voluntarily converted all $477 million aggregate principal amount of the New Convertible Notes for approximately 10.5 million shares of our common stock, and we recognized a $188 million loss on extinguishment of debt upon conversion.  In June and July 2016, we completed the exchange of $1.1 billion aggregate principal amount of our senior notes, convertible senior notes and senior subordinated notes for the same aggregate principal amount of Mandatory Convertible Notes, and recognized a $57 million gain on extinguishment of debt.  Subsequently in July 2016, $333 million aggregate principal amount of the Mandatory Convertible Notes were converted into approximately 8.3 million shares of our common stock, and we recognized a $3 million gain on extinguishment of debt upon conversion.  In August 2016, we induced the exchange of an additional $38 million aggregate principal amount of the Mandatory Convertible Notes for approximately 1.2 million shares of our common stock, and we recognized a $4 million debt inducement expense.  Refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements for more information on these debt transactions.

Income Tax Benefit.  Income tax benefit for 2017 totaled $483 million as compared to a benefit of $88 million for 2016, anincrease of $395 million that was mainly related to (i) a $259 million non-cash charge in 2016 resulting from an ownership shift as defined under Section 382 of the Internal Revenue Code (“IRC”) which will limit our usage of certain net operating losses and tax credits in the future, (ii) $174 million of permanent tax differences recognized in 2016 associated with the issuance and subsequent conversion of the New Convertible Notes and the Mandatory Convertible Notes, (iii) $42 million of net income tax benefits resulting from a reduction in the U.S. federal statutory tax rate upon enactment of the Tax Cuts and Jobs Act (the “TCJA”) in December 2017, (iv) $294million in higher pre-tax loss between periods, and (v) the partial release of a valuation allowance on net operating losses totaling $41 million in connection with the sale of the FBIR Assets in the third quarter of 2017.  These decreases were partially offset by the establishment of a full valuation allowance against our $119 million net deferred tax assets in 2017 as wells as the tax impact of the $835 million impairment charge at our Redtail field, which charge was incurred after the date of enactment of the TCJA and was therefore effected at the new federal tax rate of 21%.

Our effective tax rates for 2017 and 2016 differ from the U.S. statutory income tax rate primarily due to the effects of state income taxes and permanent taxable differences.  Our overall effective tax rate increased from 6.1% in 2016 to 28.1% for 2017.  This increase is mainly the result of the IRC Section 382 limitation on our net operating losses and tax credits recognized in 2016, as well as permanent tax differences recognized during 2016 associated with the issuance and subsequent conversions of the New Convertible Notes and the Mandatory Convertible Notes, income tax benefits resulting from enactment of the TCJA and the partial release of a valuation allowance on net operating losses in connection with the sale of the FBIR Assets in the third quarter of 2017. These increases in our effective tax rate were partially offset by the recognition of a full valuation allowance on our net deferred tax assets in 2017 and the tax impact of the impairment charge at our Redtail field after the date of enactment of the TCJA.

Year Ended December 31, 2016 Compared to Year Ended December 31, 2015

Oil, NGL and Natural Gas Sales.  Our oil, NGL and natural gas sales revenue decreased $808 million to $1.3 billion when comparing 2016 to 2015.  Sales revenue is a function of oil, NGL and gas volumes sold and average commodity prices realized.  Our oil sales volumes decreased 28%, while our NGL and natural gas sales volumes increased 20% and 1%, respectively, between periods.  The oil volume decrease between periods was primarily attributable to normal field production decline across several of our areas resulting from reduced drilling and completion activity during 2015 and 2016 in response to the depressed commodity price environment.  In addition, we completed several non-core oil and gas property divestitures during 2015 and 2016, which negatively impacted oil production in 2016 by 2,615 MBbl.  These decreases were partially offset by new wells drilled and completed in the Williston Basin and DJ Basin which added 4,990 MBbl and 605 MBbl, respectively, of oil production during 2016 as compared to 2015.  Our NGL sales volume increases between periods generally related to additional volumes processed as more wells were connected to gas processing plants in the Williston Basin, as well as new wells drilled and completed in the Williston Basin and DJ Basin over the twelve months ended December 31, 2016.  Many of the new Williston Basin wells were in areas with higher gas-to-oil production ratios than previously drilled areas.  These NGL volume increases were partially offset by normal field production decline across several of our areas.  The gas volume increase between periods was primarily due to drilling success at our Williston Basin and DJ Basin properties which resulted in 9,570 MMcf and 1,125 MMcf, respectively, of additional gas volumes during 2016 as compared to 2015.  In addition, gas volumes

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increased between periods as more wells were connected to gas processing plants in the Williston Basin over the twelve months ended December 31, 2016 in an effort to increase our overall gas capture rate in this area and reduce flared volumes.  These gas volume increases were largely offset by the 2015 and 2016 property divestitures, which negatively impacted gas production in 2016 by 5,740 MMcf, as well as normal field production decline across several of our areas.

In addition to production-related decreases in net revenue there were also significant decreases in the average sales price realized for oil, NGLs and natural gas in 2016 compared to 2015.  Our average price for oil (before the effects of hedging), NGLs and natural gas decreased 16%, 30% and 36%, respectively, between periods.

Lease Operating Expenses.  Our LOE during 2016 were $395 million, a $160 million decrease over 2015.  This decrease was primarily due to (i) $84 million of lower LOE attributable to properties that we divested during 2015 and 2016, (ii) a $51 million decline in the costs of oilfield goods and services resulting from cost reduction measures we implemented as well as the general downturn in the oil and gas industry, and (iii) a reduction in well workover activity between periods.  Workovers decreased from $52 million in 2015 to $27 million in 2016, primarily due to a reduction in well workover activity at our EOR project at North Ward Estes, which we sold in July 2016.

Our lease operating expenses on a BOE basis also decreased when comparing 2016 to 2015.  LOE per BOE amounted to $8.31 during 2016, which represented a decrease of $1.01 per BOE (or 11%) from 2015.  This decrease was mainly due to the overall decrease in LOE expense discussed above, partially offset by lower overall production volumes between periods.  The properties sold during 2015 and 2016 consisted mainly of mature oil and gas producing properties with LOE per BOE rates that were higher than our overall blended corporate rate.

Production Taxes.  Our production taxes during 2016 were $109 million, a $74 million decrease over the same period in 2015, which decrease was primarily due to lower oil, NGL and natural gas sales between periods.  Our production taxes, however, are generally calculated as a percentage of net sales revenue before the effects of hedging, and this percentage on a company-wide basis remained relatively consistent at 8.5% and 8.7% for 2016 and 2015, respectively. 

Depreciation, Depletion and Amortization.  Our DD&A expense decreased $72 million in 2016 as compared to 2015.  The components of our DD&A expense were as follows (in thousands):

	Year Ended December 31,
	2016		2015
Depletion	$	1,149,302	$	1,213,355
Depreciation		8,479		9,664
Accretion of asset retirement obligations		13,801		20,274
Total	$	1,171,582	$	1,243,293

DD&A decreased between periods primarily due to $64 million in lower depletion expense, consisting of a $291 million decrease due to lower overall production volumes during 2016, which was partially offset by a $227 million increase related to a higher depletion rate between periods.  On a BOE basis, our overall DD&A rate of $24.64 for 2016 was 18% higher than the rate of $20.87 in 2015.  The primary factors contributing to this higher DD&A rate were (i) decreases to proved and proved developed reserves over the twelve months ended December 31, 2016 (excluding the effect of divestitures) primarily attributable to lower average oil and natural gas prices used to calculate our reserves, (ii) $539 million in drilling and development expenditures during the twelve months ended December 31, 2016, and (iii) the impact of property divestitures.  These factors that negatively impacted our DD&A rate were partially offset by impairment write-downs on proved oil and gas properties recognized in the third quarter of 2015.

Exploration and Impairment Costs.  Our exploration and impairment costs decreased $1.8 billion in 2016 as compared to 2015.  The components of our exploration and impairment expense were as follows (in thousands):

	Year Ended December 31,
	2016		2015
Exploration	$	45,846	$	143,363
Impairment		75,622		1,738,308
Total	$	121,468	$	1,881,671

Exploration costs decreased $98 million during 2016 as compared to 2015 primarily due to lower rig termination fees incurred between periods, lower exploratory dry hole costs and a decrease in geology-related general and administrative expenses.  Rig termination fees amounted to $18 million during 2016 as compared to $95 million in 2015.  During 2015, we drilled one exploratory dry hole in Michigan

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totaling $9 million, whereas in 2016 we drilled no exploratory dry holes.  Geology-related general and administrative expenses decreased $6 million between periods.

Impairment expense in 2016 primarily related to $60 million of leasehold amortization associated with individually insignificant unproved properties and $13 million in impairment write-downs of undeveloped acreage costs for leases where we have no future plans to drill.  Impairment expense in 2015 primarily related to (i) $1.5 billion in non-cash impairment charges for the partial write-down of our North Ward Estes field in Texas and other non-core proved oil and gas properties primarily in Texas, Wyoming, North Dakota and Colorado that were not being developed due to depressed oil and gas prices, (ii) $86 million of leasehold amortization associated with individually insignificant unproved properties, (iii) $62 million of impairment write-downs on our CO2 development properties whose net book values exceeded their undiscounted future net cash flows, and (iv) $49 million in impairment write-downs of undeveloped acreage costs for leases where we had no future plans to drill.

Goodwill Impairment.  As a result of a sustained decrease in the price of our common stock during the third quarter of 2015 caused by a significant decline in crude oil and natural gas prices over that same period, we performed a goodwill impairment test as of September 30, 2015.  The impairment test indicated that the fair value of our reporting unit was less than its carrying amount, and further that there was no remaining implied fair value attributable to goodwill.  Based on these results, we recorded a non-cash impairment charge of $874 million in 2015 to reduce the carrying value of goodwill to zero.

General and Administrative Expenses.  We report G&A expenses net of third-party reimbursements and internal allocations.  The components of our G&A expenses were as follows (in thousands):

	Year Ended December 31,
	2016		2015
General and administrative expenses	$	264,948	$	309,987
Reimbursements and allocations		(118,070)		(137,371)
General and administrative expenses, net	$	146,878	$	172,616

G&A expense before reimbursements and allocations decreased $45 million during 2016 as compared to 2015 primarily due to lower employee compensation, savings realized as a result of cost reduction measures we implemented and the impact of property divestitures.  Employee compensation decreased $28 million in 2016 as compared to 2015 primarily due to reductions in personnel over the twelve months ended December 31, 2016.  The decrease in reimbursements and allocations for 2016 was the result of a lower number of field workers on Whiting-operated properties associated with reduced drilling activity as well as property divestitures over the twelve months ended December 31, 2016.

Our general and administrative expenses on a BOE basis, however, increased when comparing 2016 to 2015.  G&A expense per BOE amounted to $3.09 during 2016, which represented an increase of $0.19 per BOE (or 7%) from 2015.  This increase was mainly due to lower overall production volumes between periods, partially offset by lower employee compensation and savings realized as a result of our cost reduction measures.

Derivative (Gain) Loss, Net.Our commodity derivative contracts and embedded derivatives are marked to market each quarter with fair value gains and losses recognized immediately in earnings as derivative (gain) loss, net.  Cash flow, however, is only impacted to the extent that settlements under these contracts result in making or receiving a payment to or from the counterparty.  Derivative (gain) loss, net amounted to a gain of $1 million for 2016, which consisted of a $59 million fair value gain on embedded derivatives, partially offset by a $58 million loss on commodity derivative contracts resulting from the upward shift in the forward price curve for crude oil from January 1, 2016 (or the 2016 date on which new contracts were entered into) to December 31, 2016.  Derivative (gain) loss, net for 2015 consisted of a $218 million gain on commodity derivative contracts primarily due to the more significant downward shift in the same forward price curve from January 1, 2015 (or the 2015 date on which prior year contracts were entered into) to December 31, 2015.

Loss on Sale of Properties.  During 2016, we sold our interest in the North Ward Estes properties for net cash proceeds of $295 million, which resulted in a pre-tax loss on sale of $187 million.  There were no other property divestitures resulting in a significant gain or loss on sale during 2016.  During 2015, we sold our interests in certain non-core producing oil and gas wells and undeveloped acreage across many of our operating areas, as well as a water system in Colorado for aggregate net proceeds of $515 million, which resulted in a pre-tax loss on sale of $61 million.

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Interest Expense.  The components of our interest expense were as follows (in thousands):

	Year Ended December 31,
	2016		2015
Notes	$	187,374	$	265,358
Amortization of debt issue costs, discounts and premiums		335,569		46,525
Credit agreement		32,885		26,071
Other		1,930		453
Capitalized interest		(138)		(4,282)
Total	$	557,620	$	334,125

The increase in interest expense of $223 million between periods was mainly attributable to an increase in amortization of debt issue costs, discounts and premiums, partially offset by lower interest costs incurred on our notes during 2016 as compared to 2015.  The increase in amortization of debt issue costs, discounts and premiums of $289 million was primarily due to (i) a non-cash charge of $244 million for the acceleration of unamortized debt discounts in connection with the December 2016 conversions of our Mandatory Convertible Notes, (ii) $22 million of amortization of debt discounts on the Mandatory Convertible Notes we issued in June and July 2016 prior to their conversions, (iii) a non-cash charge of $14 million for the acceleration of unamortized debt discounts in connection with the August 2016 induced exchange of a portion of our Mandatory Convertible Notes, and (iv) a $6 million non-cash charge for the acceleration of unamortized debt issuance costs in connection with a reduction of the aggregate commitments under our credit agreement in March 2016.  The $78 million decrease in note interest was primarily due to (i) $71 million incurred during 2015 on the $1.6 billion of notes we assumed as part of the acquisition of Kodiak Oil & Gas Corp. (the “Kodiak Notes”), all of which were subsequently repurchased in 2015, and (ii) the conversions of the New Convertible Notes in May 2016 and the Mandatory Convertible Notes in the second half of 2016, resulting in a $22 million decrease in note interest between periods.  This decrease in note interest expense was partially offset by our March 2015 issuance of $1,250 million of 2020 Convertible Senior Notes and $750 million of 2023 Senior Notes, which resulted in a $15 million increase in interest expense between periods. 

Our weighted average debt outstanding during 2016 was $5.0 billion versus $5.7 billion for 2015.  Our weighted average effective cash interest rate was 4.4% during 2016 compared to 5.2% during 2015.

Loss on Extinguishment of Debt.  During 2016, we recognized a net loss on extinguishment of debt of $42 million.  In March 2016, we completed the exchange of $477 million aggregate principal amount of our senior notes and senior subordinated notes for the same aggregate principal amount of New Convertible Notes, and recognized a $91 million gain on extinguishment of debt.  Subsequently, during the second quarter of 2016, the holders of the New Convertible Notes voluntarily converted all $477 million aggregate principal amount of the New Convertible Notes for approximately 10.5 million shares of our common stock, and we recognized a $188 million loss on extinguishment of debt upon conversion.  In June and July 2016, we completed the exchange of $1.1 billion aggregate principal amount of our senior notes, convertible senior notes and senior subordinated notes for the same aggregate principal amount of Mandatory Convertible Notes, and recognized a $57 million gain on extinguishment of debt.  Subsequently in July 2016, $333 million aggregate principal amount of the Mandatory Convertible Notes were converted into approximately 8.3 million shares of our common stock, and we recognized a $3 million gain on extinguishment of debt upon conversion.  In August 2016, we induced the exchange of an additional $38 million aggregate principal amount of the Mandatory Convertible Notes for approximately 1.2 million shares of our common stock, and we recognized a $4 million debt inducement expense.  During 2015, we repurchased all $1.6 billion aggregate principal amount of the Kodiak Notes then outstanding, and recognized an $18 million loss on extinguishment of debt.  Refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements for more information on these debt transactions.

Income Tax Benefit.  Income tax benefit for 2016 totaled $88 million as compared to a benefit of $774 million for 2015, a decrease of $686 million that was mainly related to (i) $1.6 billion in lower pre-tax loss between periods, (ii) a $259 million non-cash charge in 2016 resulting from an ownership shift as defined under Section 382 of the Internal Revenue Code which will limit our usage of certain net operating losses and tax credits in the future, as discussed in the “Income Taxes” footnote in the notes to consolidated financial statements, and (iii) $174 million of permanent tax differences recognized during 2016 associated with the issuance and subsequent conversion of the New Convertible Notes and the Mandatory Convertible Notes.

Our effective tax rates for 2016 and 2015 differ from the U.S. statutory income tax rate primarily due to the effects of state income taxes and permanent taxable differences.  Our overall effective tax rate decreased from 25.9% in 2015 to 6.1% for 2016.  This decrease was mainly the result of the IRC Section 382 limitation on our net operating losses and tax credits recognized in 2016, as well as $174 million of permanent tax differences recognized during 2016 associated with the issuance and subsequent conversions of the New Convertible Notes and the Mandatory Convertible Notes, which differences increased our 2016 effective tax rate to a lesser extent than the increase in our 2015 effective tax rate resulting from $874 million in goodwill impairment expense which was not tax deductible.

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Liquidity and Capital Resources

Overview.  At December31, 2017, we had $879 million of cash on hand and $3.9billion of equity, while at December 31, 2016, we had $56 million of cash on hand and $5.1billion of equity.

One of the primary sources of variability in our cash flows from operating activities is commodity price volatility, which we partially mitigate through the use of commodity hedge contracts.  Oil accounted for 68% and 72% of our total production in 2017 and 2016, respectively.  As a result, our operating cash flows are more sensitive to fluctuations in oil prices than they are to fluctuations in NGL or natural gas prices.  As of January 23, 2018, we had derivative contracts covering the sale of approximately 72% of our forecasted 2018 oil production volumes.  For a list of all of our outstanding derivatives as of January 23, 2018,  refer to Item 7A, “Quantitative and Qualitative Disclosures about Market Risk”.

Cash Flows from 2017 Compared to 2016.  During 2017, we generated $577million of cash provided by operating activities, a decrease of $18 million from 2016.  Cash provided by operating activities decreased primarily due to lower crude oil production volumes, a decrease in cash settlements received on our derivative contracts and higher production taxes during 2017. These negative factors were partially offset by higher realized sales prices for oil, NGLs and natural gas, as well as lower cash interest expense, lease operating expenses, general and administrative expensesand exploration costs during 2017 as compared to 2016.  Refer to “Results of Operations” for more information on the impact of volumes and prices on revenues and for more information on increases and decreases in certain expenses during 2017.

During 2017, cash flows from operating activities plus $930 million in proceeds from the sale of oil and gas properties were used to finance $831million of drilling and development expenditures, $550 million of net repayments under our credit agreement, the redemption of $275 million of our 2018 Senior Subordinated Notes, $21 million of oil and gas property acquisitions and $13 million of debtissuance costs.

Cash Flows from 2016 Compared to 2015.  During 2016, we generated $595million of cash provided by operating activities, a decrease of $456 million from 2015.  Cash provided by operating activities decreased primarily due to lower realized sales prices for oil, NGLs and natural gas, lower crude oil production volumes, and a decrease in cash settlements received on our derivative contracts during 2016. These negative factors were partially offset by higher NGL and natural gas production volumes, as well as lower lease operating expenses, exploration costs, production taxes, cash interest expenseand general and administrative expensesduring 2016 as compared to 2015. 

During 2016, cash flows from operating activities plus $313 million in proceeds from the sale of oil and gas properties were used to finance $539million of drilling and development expenditures, $250 million of net repayments under our credit agreement, $42 million of early conversion payments on our New Convertible Notes and $22 million of debtissuance costs.

Exploration and Development Expenditures.  The following chart details our E&D expenditures incurred by core area (in thousands):

	Year Ended December 31,
	2017		2016		2015
Northern Rocky Mountains	$	601,737	$	348,610	$	1,556,267
Central Rocky Mountains		292,826		170,256		603,646
Permian Basin (1)		-		33,266		94,940
Other (2)		17,866		1,462		58,749
Total incurred	$	912,429	$	553,594	$	2,313,602

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(1) During 2016, we sold our interest in the Bravo Dome field in New Mexico and our enhanced oil recovery project at North Ward Estes.

(2) Other primarily includes non-core oil and gas properties located in Colorado, Mississippi,  New Mexico, Texas and Wyoming.

We continually evaluate our capital needs and compare them to our capital resources.  Our 2018 E&D budget is $750million, which we expect to fund substantially withnet cash provided by operating activities and cash on hand.  The 2018 E&D budget represents a decrease from the $912 million incurred on E&D expenditures during 2017.  We believe that should additional attractive acquisition opportunities arise or E&D expenditures exceed $750million, we will be able to finance additional capital expenditures throughagreements with industry partners, divestitures of certain oil and gas property interests, borrowings under our credit agreement or by accessing the capital markets.  Our level of E&D expenditures is largely discretionary, and the amount of funds we devote to any particular activity may increase or decrease significantly depending on commodity prices, cash flows, available opportunities and development results, among other factors.  We believe that we have sufficient liquidity and capital resources to execute our business plan over the next 12 monthsand for the foreseeable future.  With our expected cash flow streams, commodity price hedging strategies, current liquidity levels

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(including availability under our credit agreement), access to debt and equity markets and flexibility to modify future capital expenditure programs, we expect to be able to fund all planned capital programs and debt repayments, comply with our debt covenants, and meet other obligations that may arise from our oil and gas operations.

Credit Agreement.  Whiting Oil and Gas, our whollyowned subsidiary, has a credit agreement with a syndicate of banks that as of December 31, 2017 had a borrowing base and aggregate commitments of $2.3 billion.  As of December31, 2017, we had $2.3billion of available borrowing capacity, which was net of $2 million in letters of credit outstanding, with no borrowings outstanding.

The borrowing base under the credit agreement is determined at the discretion of the lenders, based on the collateral value of our proved reserves that have been mortgaged to such lenders, and is subject to regular redeterminations on May 1 and November 1 of each year, as well as special redeterminations described in the credit agreement, in each case which may reduce the amount of the borrowing base.  Because oil and gas prices are principal inputs into the valuation of our reserves, if current or projected oil and gas prices decline from their current levels, our borrowing base could be reduced at the next redetermination date or during future redeterminations.  Upon a redetermination of our borrowing base, either on a periodic or special redetermination date, if borrowings in excess of the revised borrowing capacity were outstanding, we could be forced to immediately repay a portion of our debt outstanding under the credit agreement.

A portion of the revolving credit facility in an aggregate amount not to exceed $50 million may be used to issue letters of credit for the account of Whiting Oil and Gas or other designated subsidiaries of ours.  As of December31, 2017,  $48 million was available for additional letters of credit under the agreement.

The credit agreement provides for interest only payments until December 2019, when the credit agreement expires and all outstanding borrowings are due. Interest under the revolving credit facility accrues at our option at either (i) a base rate for a base rate loan plus the margin in the table below, where the base rate is defined as the greatest of the prime rate, the federal funds rate plus 0.5% per annum, or an adjusted LIBOR rate plus 1.0% per annum, or (ii) an adjusted LIBOR rate for a Eurodollar loan plus the margin in the table below.  Additionally, we also incur commitment fees as set forth in the table below on the unused portion of the aggregate commitments of the lenders under the revolving credit facility.

	Applicable	Applicable
	Margin for Base	Margin for	Commitment
Ratio of Outstanding Borrowings to Borrowing Base	Rate Loans	Eurodollar Loans	Fee
Less than 0.25 to 1.0	1.00%	2.00%	0.50%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0	1.25%	2.25%	0.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0	1.50%	2.50%	0.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0	1.75%	2.75%	0.50%
Greater than or equal to 0.90 to 1.0	2.00%	3.00%	0.50%

The credit agreement contains restrictive covenants that may limit our ability to, among other things, incur additional indebtedness, sell assets, make loans to others, make investments, enter into mergers, enter into hedging contracts, incur liens and engage in certain other transactions without the prior consent of our lenders.  However, the credit agreement permits us and certain of our subsidiaries to issue second lien indebtedness of up to $1.0 billion subject to certain conditions and limitations.  Except for limited exceptions, the credit agreement also restricts our ability to make any dividend payments or distributions on our common stock.  These restrictions apply to all of our restricted subsidiaries (as defined in the credit agreement).  The credit agreement requires us, as of the last day of any quarter, to maintain the following ratios (as defined in the credit agreement): (i) a consolidated current assets to consolidated current liabilities ratio (which includes an add back of the available borrowing capacity under the credit agreement) of not less than 1.0 to 1.0, (ii) a total senior secured debt to the last four quarters’ EBITDAX ratio of less than 3.0 to 1.0 during the Interim Covenant Period (defined below), and thereafter a total debt to EBITDAX ratio of less than 4.0 to 1.0 and (iii) a ratio of the last four quarters’ EBITDAX to consolidated cash interest charges of not less than 2.25 to 1.0 during the Interim Covenant Period.  Under the credit agreement, the “Interim Covenant Period” is defined as the period from June 30, 2015 until the earlier of (i) April 1, 2018 or (ii) the commencement of an investment-grade debt rating period (as defined in the credit agreement).We were in compliance with our covenants under the credit agreement as of December31, 2017.However, a substantial or extended decline in oil, NGL or natural gas prices may adversely affect our ability to comply with these covenants in the future.

For further information on the loan security related to our credit agreement, refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements.

Senior Notes and Senior Subordinated Notes.  In December 2017, we issued at par $1.0 billion of 6.625% Senior Notes due January 2026.  In March 2015, we issued at par $750 million of 6.25% Senior Notes due April 2023 (the “2023 Senior Notes”).  In September 2013, we issued at par $1.1billion of 5.0% Senior Notes due March 2019 (the “2019 Senior Notes”) and $800 million of 5.75% Senior Notes due March 2021, and issued at 101% of par an additional $400 million of 5.75% Senior Notes due March 2021 (collectively the

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“2021 Senior Notes” and together with the 2026 Senior Notes, the 2023 Senior Notes and the 2019 Senior Notes, the “Senior Notes”).  In September 2010, we issued at par $350 million of 6.5% Senior Subordinated Notes due October 2018 (the “2018 Senior Subordinated Notes”).

Exchange of Senior Notes and Senior Subordinated Notes for Convertible Notes.  During 2016, we exchanged (i) $75 million aggregate principal amount of our 2018 Senior Subordinated Notes, (ii) $139 million aggregate principal amount of our 2019 Senior Notes, (iii) $326 million aggregate principal amount of our 2021 Senior Notes, and (iv) $342 million aggregate principal amount of our 2023 Senior Notes, for the same aggregate principal amount of convertible notes.  Subsequently during 2016, all $882 million aggregate principal amount of these convertible notes was converted into approximately 21.6 million shares of our common stock pursuant to the terms of the notes.

Redemption of 2018 Senior Subordinated Notes.  On February 2, 2017, we paid $281 million to redeem all of the then outstanding $275million aggregate principal amount of our 2018 Senior Subordinated Notes, which payment consisted of the 100% redemption price plus all accrued and unpaid interest on the notes.  We financed the redemption with borrowings under our credit agreement.  As of March 31, 2017, no 2018 Senior Subordinated Notes remained outstanding.

Redemption of 2019 Senior Notes.  On January 26, 2018, we paid $1.0 billion to redeem all of the then outstanding $961 million aggregate principal amount of our 2019 Senior Notes, which payment consisted of the 102.976% redemption price plus all accrued and unpaid interest on the notes.  We financed the redemption with proceeds from the issuance of our 2026 Senior Notes and borrowings under our credit agreement. 

2020 Convertible Senior Notes. In March 2015, we issued at par $1,250 million of 1.25% Convertible Senior Notes due April 2020 (the “2020 Convertible Senior Notes”).  During 2016, we exchanged $688 million aggregate principal amount of our 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible senior notes.  Subsequently during 2016, all $688 million aggregate principal amount of these mandatory convertible senior notes was converted into approximately 17.8 million shares of our common stock pursuant to the terms of the notes.

For the remaining $562 million aggregate principal amount of 2020 Convertible Senior Notes outstanding as of December 31, 2017, we have the option to settle conversions of these notes with cash, shares of common stock or a combination of cash and common stock at our election.  Our intent is to settle the principal amount of the 2020 Convertible Senior Notes in cash upon conversion.  Prior to January 1, 2020, the 2020 Convertible Senior Notes will be convertible at the holder’s option only under the following circumstances: (i) during any calendar quarter commencing after the calendar quarter ending on June 30, 2015 (and only during such calendar quarter), if the last reported sale price of our common stock for at least 20 trading days (whether or not consecutive) during the period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (ii) during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of the 2020 Convertible Senior Notes for each trading day of the measurement period is less than 98% of the product of the last reported sale price of our common stock and the conversion rate on each such trading day; or (iii) upon the occurrence of specified corporate events.  On or after January 1, 2020, the 2020 Convertible Senior Notes will be convertible at any time until the second scheduled trading day immediately preceding the April 1, 2020 maturity date of the notes.  The notes will be convertible at a current conversion rate of 6.4102 shares of our common stock per $1,000 principal amount of the notes, which is equivalent to a current conversion price of approximately $156.00.  The conversion rate will be subject to adjustment in some events.  In addition, following certain corporate events that occur prior to the maturity date, we will increase, in certain circumstances, the conversion rate for a holder who elects to convert its 2020 Convertible Senior Notes in connection with such corporate event.  As of December 31, 2017, none of the contingent conditions allowing holders of the 2020 Convertible Senior Notes to convert these notes had been met.

Note Covenants.The indentures governing the Senior Notes restrict us from incurring additional indebtedness, subject to certain exceptions, unless our fixed charge coverage ratio (as defined in the indentures) is at least 2.0 to 1.  If we were in violation of this covenant, then we may not be able to incur additional indebtedness, including under Whiting Oil and Gas’ credit agreement.  Additionally, these indentures contain restrictive covenants that may limit our ability to, among other things, pay cash dividends, make certain other restricted payments, redeem or repurchase our capital stock, make investments or issue preferred stock, sell assets, consolidate, merge or transfer all or substantially all of the assets of ours and our restricted subsidiaries taken as a whole, and enter into hedging contracts.  These covenants may potentially limit the discretion of our management in certain respects.  We were in compliance with these covenants as of December31, 2017.  However, a substantial or extended decline in oil, NGL or natural gas prices may adversely affect our ability to comply with these covenants in the future.

Shelf Registration Statement.  We have on file with the SEC a universal shelf registration statement to allow us to offer an indeterminate amount of securities in the future.  Under the registration statement, we may periodically offer from time to time debt securities, common stock, preferred stock, warrants and other securities or any combination of such securities in amounts, prices and on terms announced when and if the securities are offered.  The specifics of any future offerings, along with the use of proceeds of any securities offered, will be described in detail in a prospectus supplement at the time of any such offering.

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Contractual Obligations and Commitments

Schedule of Contractual Obligations.  The following table summarizes our obligations and commitments as of December 31, 2017 to make future payments under certain contracts, aggregated by category of contractual obligation, for the time periods specified below.  This table does not include amounts payable under contracts where we cannot predict with accuracy the amount and timing of such payments, including any amounts we may be obligated to pay under our derivative contracts, as such payments are dependent upon the price of crude oil in effect at the time of settlement, and any penalties that may be incurred for underdelivery under our physical delivery contracts.For further information on these contracts refer to the “Derivative Financial Instruments” footnote in the notes to consolidated financial statements and  “Delivery Commitments” in Item 2 of this Annual Report on Form 10-K.

	Payments due by period
		(in thousands)
			Less than 1						More than 5
Contractual Obligations	Total		year		1-3 years		3-5 years		years
Long-term debt (1)	$	3,805,389	$	961,409	$	562,075	$	873,609	$	1,408,296
Cash interest expense on debt (2)		869,284		164,015		303,700		193,863		207,706
Asset retirement obligations (3)		134,237		5,031		26,420		10,587		92,199
Water disposal agreement (4)		121,659		18,579		40,635		37,328		25,117
Purchase obligations (5)		22,968		7,656		15,312		-		-
Pipeline transportation agreements (6)		55,044		9,308		18,914		15,341		11,481
Drilling rig contracts (7)		19,742		19,442		300		-		-
Leases (8)		14,703		7,502		7,201		-		-
Total	$	5,043,026	$	1,192,942	$	974,557	$	1,130,728	$	1,744,799

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(1) Long-term debt consists of the principal amounts of the Senior Notes and the 2020 Convertible Senior Notes.  On January 26, 2018, we used the proceeds from the December 2017 issuance of our 6.625% Senior Notes due January 2026 as well as borrowings under our credit agreement to redeem all of the then outstanding $961 million 5.0% Senior Notes due March 2019.

(2) Cash interest expense on the Senior Notes is estimated assuming no principal repayment until the due dates of the instruments.  Cash interest expense on the 2020 Convertible Senior Notes is estimated assuming no principal repayments or conversions prior to maturity. Commitment fees on the credit agreement are estimated assuming no principal borrowings or repayments or changes to commitments under the agreement through the December 2019 instrument due date.

(3) Asset retirement obligations represent the present value of estimated amounts expected to be incurred in the future to plug and abandon oil and gas wells, remediate oil and gas properties and dismantle their related plants,  facilities and offshore platforms.

(4) We have one water disposal agreement which expires in 2024, whereby we have contracted for the transportation and disposal of the produced water from our Redtail field.  Under the terms of the agreement, we are obligated to provide a minimum volume of produced water or else pay for any deficiencies at the price stipulated in the contract.  As a result of our reduced development operations at our Redtail field, we have made and expect to continue to make periodic deficiency payments under this contract.  Refer to the “Commitments and Contingencies” footnote in the notes to the consolidated financial statements for more information on this contract and related deficiency payments.

(5) We have one take-or-pay purchase agreement which expires in 2020, whereby we have committed to buy certain volumes of water for use in the fracture stimulation process on wells we complete in our Redtail field.  Under the terms of the agreement, we are obligated to purchase a minimum volume of water or else pay for any deficiencies at the price stipulated in the contract.  As a result of our reduced development operations at our Redtail field, we have made and expect to continue to make periodic deficiency payments under this contract.  Refer to the “Commitments and Contingencies” footnote in the notes to the consolidated financial statements for more information on this contract and related deficiency payments.

(6) We have three pipeline transportation agreements with two different suppliers, expiring in 2022, 2024 and 2025.  Under two of these contracts, we have committed to pay fixed monthly reservation fees on dedicated pipelines from our Redtail field for natural gas and NGL transportation capacity, plus a variable charge based on actual transportation volumes.  The remaining contract contains a commitment to transport a minimum volume of crude oil via a certain oil gathering system or else pay for any deficiencies at a price stipulated in the contract.  The obligations reported above represent our minimum financial commitments pursuant to the terms of these contracts, however, our actual expenditures under these contracts may exceed the minimum commitments presented above.

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(7) As of December 31, 2017, we had three drilling rigs under long-term contracts, of which two drilling rigs expire in 2018 and one expires in 2019.  As of December 31, 2017, early termination of these contracts would require termination penalties of $11 million, which would be in lieu of paying the remaining drilling commitments under these contracts.  The obligations reported above represent our minimum financial commitments pursuant to the terms of these contracts, however, our actual expenditures under these contracts may exceed the minimum commitments presented above.

(8) We lease 222,900 square feet of administrative office space in Denver, Colorado under an operating lease arrangement expiring in 2019,  44,500 square feet of office space in Midland, Texas expiring in 2020, and 36,500 square feet of office space in Dickinson, North Dakota expiring in 2020.  We have sublet the majority of our office space in Midland, Texas to a third party for the remaining lease term.  The offsetting rental income has not been included in the table above.

Based on current oil and natural gas prices and anticipated levels of production, we believe that the estimated net cash generated from operations, together with cash on hand and amounts available under our credit agreement, will be adequate to meet future liquidity needs,  including satisfying our financial obligations and fundingour operating, development and exploration activities.

New Accounting Pronouncements

For further information on the effects of recently adopted accounting pronouncements and the potential effects of new accounting pronouncements, refer to the “Summary of Significant Accounting Policies” footnote in the notes to consolidated financial statements.

Critical Accounting Policies and Estimates

Our discussion of financial condition and results of operations is based upon the information reported in our consolidated financial statements.  The preparation of these statements in accordance with GAAP and SEC rules and regulations requires us to make certain assumptions and estimates that affect the reported amounts of assets, liabilities, revenues and expenses as well as the disclosure of contingent assets and liabilities at the date of our financial statements.  We base our assumptions and estimates on historical experience and other sources that we believe to be reasonable at the time.  Actual results may vary from our estimates due to changes in circumstances, weather, politics, global economics, mechanical problems, general business conditions and other factors.  A summary of our significant accounting policies is detailed in Note 1 to our consolidated financial statements.  We have outlined below certain of these policies as being of particular importance to the portrayal of our financial position and results of operations and which require the application of significant judgment by our management.

Successful Efforts Accounting.  We account for our oil and gas operations using the successful efforts method of accounting.  Under this method, the fair value of property acquired and all costs associated with successful exploratory wells and all development wells are capitalized.  Items charged to expense generally include geological and geophysical costs, costs of unsuccessful exploratory wells and oil and gas production costs.  All of our properties are located within the continental United States.

Oil and NaturalGas Reserve Quantities.  Reserve quantities and the related estimates of future net cash flows affect our periodic calculations of depletion, impairment of our oil and natural gas properties and our asset retirement obligations.  Proved oil and gas reserves are those quantities of oil and gas which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible—from a given date forward, from known reservoirs and under existing economic conditions, operating methods, and government regulations—prior to the time at which contracts providing the right to operate expire, unless evidence indicates that renewal is reasonably certain, regardless of whether deterministic or probabilistic methods are used for the estimation.  Reserve quantities and future cash flows included in this report are prepared in accordance with guidelines established by the SEC and the FASB.  The accuracy of our reserve estimates is a function of (i) the quality and quantity of available data, (ii) the interpretation of that data, (iii) the accuracy of various mandated economic assumptions, and (iv) the judgments of the persons preparing the estimates.

External petroleum engineers independently estimated all of the proved reserve quantities included in this Annual Report on Form 10‑K.  In connection with our external petroleum engineers performing their independent reserve estimations, we furnish them with the following information that they review: (1) technical support data, (2) technical analysis of geologic and engineering support information, (3) economic and production data and (4) our well ownership interests.  The independent petroleum engineers, Cawley, Gillespie & Associates, Inc., evaluated 100% of our estimated proved reserve quantities and their related pre-tax future net cash flows as of December 31, 2017.  Estimates prepared by others may be higher or lower than our estimates.  Because these estimates depend on many assumptions, all of which may differ substantially from actual results, reserve estimates may be different from the quantities of oil and gas that are ultimately recovered.  For example, if the crude oil and natural gas prices used in our year-end reserve estimates increased or decreased by 10%, our proved reserve quantities at December 31, 2017 would have increased by 19 MBOE (3%) or decreased by 24 MBOE (4%), respectively, and the pre-tax PV10% of our proved reserves would have increased by $1.1 billion (28%) or decreased by $1.1 billion (27%), respectively.  We continually make revisions to reserve estimates throughout the year as additional information becomes available.  We make changes to depletion rates and impairment calculations (when impairment indicators arise) in the same period that changes to reserve estimates are made.

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Depreciation, Depletion and Amortization.  Our rate of recording DD&A is dependent upon our estimates of total proved and proved developed reserves, which estimates incorporate various assumptions and future projections.  If our estimates of total proved or proved developed reserves decline, the rate at which we record DD&A expense increases, which in turn reduces our net income.  Such a decline in reserves may result from lower commodity prices or other changes to reserve estimates, as discussed above, and we are unable to predict changes in reserve quantity estimates as such quantities are dependent on the success of our exploration and development program, as well as future economic conditions.

Impairment of Oil and Gas Properties.  We review the value of our oil and gas properties whenever management judges that events and circumstances indicate that the recorded carrying value of properties may not be recoverable.  Impairments of producing properties are determined by comparing their future net undiscounted cash flows to their net book values at the end of each period.  If their net capitalized costs exceed undiscounted future cash flows, the cost of the property is written down to “fair value”, which is determined using net discounted future cash flows from the producing property.  Different pricing assumptions or discount rates could result in a different calculated impairment.  In addition to proved property impairments, we provide for impairments on significant undeveloped properties when we determine that the property will not be developed or a permanent impairment in value has occurred.  Individually insignificant unproved properties are amortized on a composite basis, based on past success, experience and average lease-term lives.

Goodwill Impairment.  We tested goodwill for impairment annually in the second quarter or whenever events or changes in circumstances indicated that the fair value of our reporting unit may have been reduced below its carrying value.  When testing goodwill for impairment, if our qualitative analysis indicated that it was more likely than not that the fair value of the reporting unit was less than its carrying value, we then performed a quantitative impairment test.  If the carrying value of the reporting unit exceeded its fair value, goodwill was written down to its implied fair value with an offsetting charge to earnings.

We performed our annual goodwill impairment test as of June 30, 2015, and determined that no impairment had occurred.  However, as a result of a sustained decrease in the price of Whiting’s common stock during the third quarter of 2015 caused by a significant decline in crude oil and natural gas prices over that same period, we performed another goodwill impairment test as of September 30, 2015.  The impairment test indicated that the fair value of our reporting unit was less than its carrying amount, and further that there was no remaining implied fair value attributable to goodwill.  Based on these results, we recorded a non-cash impairment charge to reduce the carrying value of goodwill to zero.

The fair value of our reporting unit was ascribed using an income approach analysis based on net discounted future cash flows and a market approach analysis.  The income approach analysis was dependent on a number of factors including estimates of future oil and gas production from our reserve reports, future commodity prices based on sales contract terms or NYMEX forward price curves as of the date of the estimate (adjusted for basis differentials), future operating and development costs, the successful development of proved and unproved reserves, an inflation rate and a discount rate based on our weighted-average cost of capital.  The market approach was dependent on our market capitalization as of the date of the estimate, an estimate of the control premium that a market participant would apply to value our reporting unit as a whole and the fair value of our outstanding debt.

There is considerable judgment involved in estimating fair values, particularly in determining the valuation methodologies to utilize and the weighting applied to such methodologies.  Although we based the fair value estimate of our reporting unit on assumptions we believed to be reasonable, those assumptions are inherently uncertain, and actual results could differ from our estimates.

Asset Retirement Obligation. Our asset retirement obligations (“ARO”) consist of estimated future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage and land restoration in accordance with applicable local, state and federal laws.  The discounted fair value of an ARO liability is required to be recognized in the period in which it is incurred, with the associated asset retirement cost capitalized as part of the carrying cost of the oil and gas asset.  The recognition of an ARO requires that management make numerous assumptions regarding such factors as the estimated probabilities, amounts and timing of settlements; the credit-adjusted risk-free discount rate; the inflation rate; and future advances in technology.  In periods subsequent to the initial measurement of an ARO, we must recognize period-to-period changes in the liability resulting from the passage of time and revisions to either the timing or the amount of the original estimate of undiscounted cash flows.  Increases in the ARO liability due to the passage of time impact net income as accretion expense.  The related capitalized cost, including revisions thereto, is charged to expense through DD&A over the life of the oil and gas property.

Derivative and Embedded Derivative Instruments.  All derivative instruments are recorded in the consolidated financial statements at fair value, other than derivative instruments that meet the “normal purchase normal sale” exclusion or other derivative scope exceptions.  We do not currently apply hedge accounting to any of our outstanding derivative instruments, and as a result, all changes in derivative fair values are recognized currently in earnings.

We determine the recorded amounts of our derivative instruments measured at fair value utilizing third-party valuation specialists.  We review these valuations, including the related model inputs and assumptions, and analyze changes in fair value measurements between periods.  We corroborate such inputs, calculations and fair value changes using various methodologies, and review unobservable inputs for reasonableness utilizing relevant information from other published sources.  When available, we utilize counterparty valuations to

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assess the reasonableness of our valuations.  The values we report in our financial statements change as the assumptions used in these valuations are revised to reflect changes in market conditions (particularly those for oil and natural gas futures) or other factors, many of which are beyond our control.

We periodically enter into commodity derivative contracts to manage our exposure to oil and natural gas price volatility.  We primarily utilize costless collars and swaps which are generally placed with major financial institutions, as well as crude oil sales and delivery contracts.  We use hedging to help ensure that we have adequate funding for our capital programs and to manage returns on our drilling programs and acquisitions.  Our decision on the quantity and price at which we choose to hedge our production is based in part on our view of current and future market conditions.  While the use of these hedging arrangements limits the downside risk of adverse price movements, it may also limit future revenues from favorable price movements.  The use of hedging transactions also involves the risk that the counterparties will be unable to meet the financial terms of such transactions.  We evaluate the ability of our counterparties to perform at the inception of a hedging relationship and on a periodic basis as appropriate.

We value our costless collars and swaps using industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and contractual prices for the underlying instruments, as well as other relevant economic measures.  We value our long-term crude oil sales and delivery contracts based on a probability-weighted income approach which considers various assumptions, including quoted spot prices for commodities, market differentials for crude oil and U.S. Treasury rates.  The discount rates used in the fair values of these instruments include a measure of nonperformance risk by the counterparty or us, as appropriate.

In addition, we evaluate the terms of our convertible debt and other contracts, if any, to determine whether they contain embedded components that are required to be bifurcated and accounted for separately as derivative financial instruments.

We valued the embedded derivatives related to our convertible notes using a binomial lattice model which considered various inputs including (i) our common stock price, (ii) risk-free rates based on U.S. Treasury rates, (iii) recovery rates in the event of default, (iv) default intensity and (v) volatility of our common stock.

We also had an embedded derivative related to our purchase and sale agreement with the buyer of the North Ward Estes properties, which included a contingent payment linked to NYMEX crude oil prices.  Prior to settlement of the contingent payment in July 2017, we valued this embedded derivative using a modified Black-Scholes swaption pricing model which considered various assumptions, including quoted forward prices for commodities, time value and volatility factors.  The discount rate used in the fair value of this instrument included a measure of the counterparty’s nonperformance risk.

Income Taxes and Uncertain Tax Positions.  We provide for income taxes in accordance with FASB ASC Topic 740, Income Taxes (“ASC 740”).  We record deferred tax assets and liabilities to account for the expected future tax consequences of events that have been recognized in our financial statements and our tax returns.  We routinely assess the realizability of our deferred tax assets.  If we conclude that it is more likely than not that some portion or all of our deferred tax assets will not be realized, the tax asset is reduced by a valuation allowance.  We consider future taxable income in making such assessments.  Numerous judgments and assumptions are inherent in the determination of future taxable income, including factors such as future operating conditions (particularly as they relate to prevailing oil and natural gas prices).

On December 22, 2017, Congress passed the Tax Cuts and Jobs Act (the “TCJA”).  The new legislation significantly changes the U.S. corporate tax law by, among other things, lowering the U.S. corporate income tax rate from 35% to 21% beginning in January 2018, implementing a territorial tax system and imposing a repatriation tax on deemed repatriated earnings of foreign subsidiaries.  The SEC issued Staff Accounting Bulletin No. 118 (“SAB 118”), which allows registrants to record provisional amounts during a one year “measurement period” similar to that used to account for business combinations, however, the measurement period is deemed to have ended earlier when the registrant has obtained, prepared and analyzed the information necessary to finalize its accounting.  During the measurement period, impacts of the law are expected to be recorded at the time a reasonable estimate for all or a portion of the effects can be made, and provisional amounts can be recognized and adjusted as information becomes available, prepared or analyzed.  As a result of the new legislation, we recognized the provisional impacts of the revaluation of our deferred tax assets and liabilities as of the date of enactment.  These provisional amounts may be adjusted in future periods if additional information is obtained or further clarification and guidance is issued by regulatory authorities regarding the application of the law.

ASC 740 requires uncertain income tax positions to meet a more-likely-than-not recognition threshold to be recognized in the financial statements.  Under ASC 740, uncertain tax positions that previously failed to meet the more-likely-than-not threshold should be recognized in the first subsequent financial reporting period in which that threshold is met.  Previously recognized uncertain tax positions that no longer meet the more-likely-than-not threshold should be derecognized in the first subsequent financial reporting period in which that threshold is no longer met.

We are subject to taxation in many jurisdictions, and the calculation of our tax liabilities involves dealing with uncertainties in the application of complex tax laws and regulations in various taxing jurisdictions.  If we ultimately determine that the payment of these

60

liabilities will be unnecessary, we reverse the liability and recognize a tax benefit during the period in which we determine the liability no longer applies.  Conversely, we record additional tax charges in a period in which we determine that a recorded tax liability is less than we expect the ultimate assessment to be.

Revenue Recognition.  We predominantly derive our revenue from the sale of produced oil, NGLs and natural gas.  Revenue is recorded in the month the product is delivered to the purchaser.  We receive payment from one to three months after delivery.  At the end of each month, we estimate the amount of production delivered to purchasers and the price we will receive.  Variances between our estimated revenue and actual payment are recorded in the month the payment is received.  However, differences have been and are insignificant.

In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014 09”), which we adopted effective January 1, 2018 using the modified retrospective approach.  Refer to the “Summary of Significant Accounting Policies” footnote in the notes to consolidated financial statements for more information on this new accounting standard.

Accounting for Business Combinations.  We account for business combinations using the acquisition method, which is the only method permitted under FASB ASC Topic 805, Business Combinations,and involves the use of significant judgment.

Under the acquisition method of accounting, a business combination is accounted for at a purchase price based upon the fair value of the consideration given.  The assets and liabilities acquired are measured at their fair values, and the purchase price is allocated to the assets and liabilities based upon these fair values.  The excess, if any, of the consideration given to acquire an entity over the net amounts assigned to its assets acquired and liabilities assumed is recognized as goodwill.  The excess, if any, of the fair value of assets acquired and liabilities assumed over the cost of an acquired entity is recognized immediately to earnings as a gain from bargain purchase.

Determining the fair values of the assets and liabilities acquired involves the use of judgment, since some of the assets and liabilities acquired do not have fair values that are readily determinable.  Different techniques may be used to determine fair values, including market prices (where available), appraisals, comparisons to transactions for similar assets and liabilities, and present values of estimated future cash flows, among others.  Since these estimates involve the use of significant judgment, they can change as new information becomes available.

The business combinations completed during the prior three years consisted of oil and gas properties.  In general, the consideration we have paid to acquire these properties or companies was entirely allocated to the fair value of the assets acquired and liabilities assumed at the time of acquisition and consequently, there was no goodwill nor any bargain purchase gains recognized on our business combinations.

Effects of Inflation and Pricing

As a result of the sustained depressed commodity price environment during 2015, 2016 and continuing into 2017, we have experienced lower costs due to a decrease in demand for oil field products and services.  The oil and gas industry is very cyclical, and the demand for goods and services of oil field companies, suppliers and others associated with the industry puts extreme pressure on the economic stability and pricing structure within the industry.  Typically, as prices for oil and natural gas increase, so do all associated costs.  Conversely, in a period of declining prices, associated cost declines are likely to lag and not adjust downward in proportion to prices.  Material changes in prices also impact our current revenue stream, estimates of future reserves, borrowing base calculations of bank loans, depletion expense, impairment assessments of oil and gas properties and values of properties in purchase and sale transactions.  Material changes in prices can impact the value of oil and gas companies and their ability to raise capital, borrow money and retain personnel.  While we do not currently expect business costs to materially increase in the near term, higher demand in the industry could result in increases in the costs of materials, services and personnel.

Forward-Looking Statements

This report contains statements that we believe to be “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  All statements other than historical facts, including, without limitation, statements regarding our future financial position, business strategy, projected revenues, earnings, costs, capital expenditures and debt levels, and plans and objectives of management for future operations, are forward-looking statements.  When used in this report, words such as we “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe” or “should” or the negative thereof or variations thereon or similar terminology are generally intended to identify forward-looking statements.  Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, such statements.

These risks and uncertainties include, but are not limited to: declines in, or extended periods of low oil, NGL or natural gas prices; our level of success in exploration, development and production activities; risks related to our level of indebtedness, ability to comply with debt covenants and periodic redeterminations of the borrowing base under our credit agreement; impacts to financial statements as a result of impairment write-downs; our ability to successfully complete asset dispositions and the risks related thereto; revisions to reserve

61

estimates as a result of changes in commodity prices, regulation and other factors; adverse weather conditions that may negatively impact development or production activities; the timing of our exploration and development expenditures; inaccuracies of our reserve estimates or our assumptions underlying them; risks relating to any unforeseen liabilities of ours; our ability to generate sufficient cash flows from operations to meet the internally funded portion of our capital expenditures budget; our ability to obtain external capital to finance exploration and development operations; federal and state initiatives relating to the regulation of hydraulic fracturing and air emissions; unforeseen underperformance of or liabilities associated with acquired properties; the impacts of hedging on our results of operations; failure of our properties to yield oil or gas in commercially viable quantities; availability of, and risks associated with, transport of oil and gas; our ability to drill producing wells on undeveloped acreage prior to its lease expiration; shortages of or delays in obtaining qualified personnel or equipment, including drilling rigs and completion services; uninsured or underinsured losses resulting from our oil and gas operations; our inability to access oil and gas markets due to market conditions or operational impediments; the impact and costs of compliance with laws and regulations governing our oil and gas operations; the potential impact of changes in laws, including tax reform, that could have a negative effect on the oil and gas industry; our ability to replace our oil and natural gas reserves; any loss of our senior management or technical personnel; competition in the oil and gas industry; cyber security attacks or failures of our telecommunication systems;and other risks described under the caption “Risk Factors” in Item 1A of this Annual Report on Form 10‑K.  We assume no obligation, and disclaim any duty, to update the forward-looking statements in this Annual Report on Form 10-K.

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Item 7A.   Quantitative and Qualitative Disclosures about Market Risk

Commodity Price Risk

The price we receive for our oil and gas production heavily influences our revenue, profitability, access to capital and future rate of growth.  Crude oil and natural gas are commodities, and therefore, their prices are subject to wide fluctuations in response to relatively minor changes in supply and demand.  Historically, the markets for oil and gas have been volatile, and these markets will likely continue to be volatile in the future.  Based on 2017 production, our income (loss) before income taxes for 2017 would have moved up or down $130 million for each 10% change in oil prices per Bbl, $11 million for each 10% change in NGL prices per Bbl and $7million for each 10% change in natural gas prices per Mcf.

We periodically enter into derivative contracts to achieve a more predictable cash flow by reducing our exposure to oil and natural gas price volatility.  Our derivative contracts have traditionally been costless collars and swaps, although we evaluate and have entered into other forms of derivative instruments as well.  Currently, we do not apply hedge accounting, and therefore all changes in commodity derivative fair values are recorded immediately to earnings.

Crude Oil Costless Collars and Swaps.  The collared hedges shown in the table below have the effect of providing a protective floor while allowing us to share in upward pricing movements.  The three-way collars, however, do not provide complete protection against declines in crude oil prices due to the fact that when the market price falls below the sub-floor, the minimum price we would receive would be NYMEX plus the difference between the floor and the sub-floor.  While these hedges are designed to reduce our exposure to price decreases, they also have the effect of limiting the benefit of price increases above the ceiling.  The fair value of these commodity derivative instruments at December 31, 2017 was a net liability of $69 million.  A hypothetical upward or downward shift of 10% per Bbl in the NYMEX forward curve for crude oil as of December 31, 2017 would cause anincrease of $86 million or a decrease of $64 million, respectively, in this fair value liability.

The swap contracts shown in the tables below entitle us to receive settlement from the counterparty in amounts, if any, by which the settlement price for the applicable calculation period is less than the fixed price, or to pay the counterparty if the settlement price for the applicable calculation period is more than the fixed price.  While the fixed-price swaps are designed to decrease our exposure to downward price movements, they also have the effect of limiting the benefit of upward price movements.  There were no swaps outstanding as of December 31, 2017.

Our outstanding commodity derivative contracts as of January 23, 2018 are summarized below:

Derivative			Monthly Volume	Weighted Average
Instrument	Commodity	Period	(Bbl)	NYMEX Price
				Sub-Floor/Floor/Ceiling
Three-way collars (1)	Crude oil	01/2018 to 03/2018	1,450,000	$37.07/$47.07/$57.30
	Crude oil	04/2018 to 06/2018	1,450,000	$37.07/$47.07/$57.30
	Crude oil	07/2018 to 09/2018	1,450,000	$37.07/$47.07/$57.30
	Crude oil	10/2018 to 12/2018	1,450,000	$37.07/$47.07/$57.30
				Fixed Price
Swaps	Crude oil	01/2018 to 03/2018	400,000	$61.74
	Crude oil	04/2018 to 06/2018	400,000	$61.74
	Crude oil	07/2018 to 09/2018	400,000	$61.74
	Crude oil	10/2018 to 12/2018	400,000	$61.74
				Floor/Ceiling
Collars	Crude oil	01/2019 to 03/2019	150,000	$50.00/$65.33
	Crude oil	04/2019 to 06/2019	150,000	$50.00/$65.33

_____________________

(1) A three-way collar is a combination of options: a sold call, a purchased put and a sold put.  The sold call establishes a maximum price (ceiling) we will receive for the volumes under contract.  The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.

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Interest Rate Risk

Market risk is estimated as the change in fair value resulting from a hypothetical 100 basis point change in the interest rate on the outstanding balance under our credit agreement.  Our credit agreement allows us to fix the interest rate for all or a portion of the principal balance for a period up to six months.  To the extent that the interest rate is fixed, interest rate changes affect the instrument’s fair market value but do not impact results of operations or cash flows.  Conversely, for the portion of the credit agreement that has a floating interest rate, interest rate changes will not affect the fair market value but will impact future results of operations and cash flows.  At December31, 2017,  we had no borrowings outstanding under our credit agreement.  Changes in interest rates do not affect the amount of interest we pay on our fixed-rate senior notes, but changes in interest rates do affect the fair values of these notes.

In March 2015, we issued 1.25% Convertible Senior Notes due April 2020 (the “2020 Convertible Senior Notes”).  As the interest rate on these notes is fixed at 1.25%, we are not subject to any direct risk of loss related to fluctuations in interest rates.  However, changes in interest rates do affect the fair value of this debt instrument, which could impact the amount of gain or loss that we recognize in earnings upon conversion of the notes.  Refer to the “Long-Term Debt” and “Fair Value Measurements” footnotes in the notes to consolidated financial statements for more information on the material terms and fair values of the 2020 Convertible Senior Notes.

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Item 8.    Financial Statements and Supplementary Data

INDEX TO CONSOLIDATED FINANCIAL STATEMENTS
Report of Independent Registered Public Accounting Firm	66
Consolidated Balance Sheets as of December 31, 2017 and 2016	67
Consolidated Statements of Operations for the Years Ended December 31, 2017, 2016 and 2015	68
Consolidated Statements of Cash Flows for the Years Ended December 31, 2017, 2016 and 2015	69
Consolidated Statements of Equity for the Years Ended December 31, 2017, 2016 and 2015	71
Notes to Consolidated Financial Statements	72

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Stockholders of

Whiting Petroleum Corporation

Denver, Colorado

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Whiting Petroleum Corporation and subsidiaries (the “Company”) as of December 31, 2017 and 2016, the related consolidated statements of operations, cash flows, and equity for each of the three years in the period ended December 31, 2017, and the related notes (collectively referred to as the “financial statements”).  In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2017 and 2016, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2017, in conformity with accounting principles generally accepted in the United States of America.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the Company's internal control over financial reporting as of December 31, 2017, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission and our report dated February 22, 2018, expressed an unqualified opinion on the Company's internal control over financial reporting.

Basis for Opinion

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Denver, Colorado

February 22, 2018

We have served as the Company’s auditors since 2003.

66

WHITING PETROLEUM CORPORATION

CONSOLIDATED BALANCE SHEETS

(in thousands, except share and per share data)

	December 31,
	2017		2016
ASSETS
Current assets:
Cash and cash equivalents	$	879,379	$	55,975
Restricted cash		-		17,250
Accounts receivable trade, net		284,214		173,919
Prepaid expenses and other		26,035		26,312
Assets held for sale		-		349,146
Total current assets		1,189,628		622,602
Property and equipment:
Oil and gas properties, successful efforts method		11,293,650		13,230,851
Other property and equipment		134,524		134,638
Total property and equipment		11,428,174		13,365,489
Less accumulated depreciation, depletion and amortization		(4,244,735)		(4,222,071)
Total property and equipment, net		7,183,439		9,143,418
Other long-term assets		29,967		110,122
TOTAL ASSETS	$	8,403,034	$	9,876,142
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	958,713	$	-
Accounts payable trade		32,761		32,126
Revenues and royalties payable		171,028		147,226
Accrued capital expenditures		69,744		56,830
Accrued interest		40,971		44,749
Accrued lease operating expenses		36,865		45,015
Accrued liabilities and other		51,590		63,538
Taxes payable		28,771		39,547
Derivative liabilities		132,525		17,628
Accrued employee compensation and benefits		30,360		31,134
Liabilities related to assets held for sale		-		538
Total current liabilities		1,553,328		478,331
Long-term debt		2,764,716		3,535,303
Deferred income taxes		-		475,689
Asset retirement obligations		129,206		168,504
Other long-term liabilities		36,642		69,123
Total liabilities		4,483,892		4,726,950
Commitments and contingencies
Equity:
Common stock, $0.001 par value, 225,000,000 shares authorized; 92,094,837 issued and 90,698,889 outstanding as of December 31, 2017 and 91,793,472 issued and 90,503,482 outstanding as of December 31, 2016 (1)		92		367
Additional paid-in capital		6,405,490		6,389,435
Accumulated deficit		(2,486,440)		(1,248,572)
Total Whiting shareholders' equity		3,919,142		5,141,230
Noncontrolling interest		-		7,962
Total equity		3,919,142		5,149,192
TOTAL LIABILITIES AND EQUITY	$	8,403,034	$	9,876,142

_____________________

(1) All share amounts (except par value amounts) as of December 31, 2016 have been retroactively adjusted to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

The accompanying notes are an integral part of these consolidated financial statements.

67

WHITING PETROLEUM CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

	Year Ended December 31,
	2017		2016		2015
OPERATING REVENUES
Oil, NGL and natural gas sales	$	1,481,435	$	1,284,982	$	2,092,482
OPERATING EXPENSES
Lease operating expenses		366,880		395,135		555,392
Production taxes		123,483		108,715		183,035
Depreciation, depletion and amortization		948,939		1,171,582		1,243,293
Exploration and impairment		936,177		121,468		1,881,671
Goodwill impairment		-		-		873,772
General and administrative		124,288		146,878		172,616
Derivative (gain) loss, net		122,847		(587)		(217,972)
Loss on sale of properties		401,113		184,567		60,791
Amortization of deferred gain on sale		(12,963)		(14,570)		(16,751)
Total operating expenses		3,010,764		2,113,188		4,735,847
LOSS FROM OPERATIONS		(1,529,329)		(828,206)		(2,643,365)
OTHER INCOME (EXPENSE)
Interest expense		(191,088)		(557,620)		(334,125)
Loss on extinguishment of debt		(1,540)		(42,236)		(18,361)
Interest income and other		1,316		1,292		2,356
Total other expense		(191,312)		(598,564)		(350,130)
LOSS BEFORE INCOME TAXES		(1,720,641)		(1,426,770)		(2,993,495)
INCOME TAX BENEFIT
Current		(7,291)		(7,190)		(357)
Deferred		(475,688)		(80,456)		(773,870)
Total income tax benefit		(482,979)		(87,646)		(774,227)
NET LOSS		(1,237,662)		(1,339,124)		(2,219,268)
Net loss attributable to noncontrolling interests		14		22		86
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
LOSS PER COMMON SHARE (1)
Basic	$	(13.65)	$	(21.27)	$	(45.41)
Diluted	$	(13.65)	$	(21.27)	$	(45.41)
WEIGHTED AVERAGE SHARES OUTSTANDING (1)
Basic		90,683		62,967		48,868
Diluted		90,683		62,967		48,868

_____________________

(1) All share and per share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

The accompanying notes are an integral part of these consolidated financial statements.

68

WHITING PETROLEUM CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

	Year Ended December 31,
	2017		2016		2015
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$	(1,237,662)	$	(1,339,124)	$	(2,219,268)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation, depletion and amortization		948,939		1,171,582		1,243,293
Deferred income tax benefit		(475,688)		(80,456)		(773,870)
Amortization of debt issuance costs, debt discount and debt premium		31,715		335,569		46,525
Stock-based compensation		21,641		25,647		28,098
Amortization of deferred gain on sale		(12,963)		(14,570)		(16,751)
Loss on sale of properties		401,113		184,567		60,791
Undeveloped leasehold and oil and gas property impairments		899,853		75,622		1,738,308
Goodwill impairment		-		-		873,772
Exploratory dry hole costs		-		134		9,440
Loss on extinguishment of debt		1,540		42,236		18,361
Non-cash derivative (gain) loss		131,129		151,151		(1,615)
Other, net		(9,255)		(10,185)		(9,337)
Changes in current assets and liabilities:
Accounts receivable trade, net		(110,879)		155,416		207,367
Prepaid expenses and other		(444)		586		54,027
Accounts payable trade and accrued liabilities		(24,953)		(62,774)		(117,136)
Revenues and royalties payable		23,799		(32,185)		(74,417)
Taxes payable		(10,776)		(8,206)		(16,196)
Net cash provided by operating activities		577,109		595,010		1,051,392
CASH FLOWS FROM INVESTING ACTIVITIES
Drilling and development capital expenditures		(830,552)		(539,208)		(2,455,218)
Acquisition of oil and gas properties		(21,429)		(4,718)		(28,449)
Other property and equipment		(4,596)		(9,255)		(13,266)
Proceeds from sale of oil and gas properties		929,974		313,355		514,814
Deposit received on properties held for sale		-		17,250		-
Net cash provided by (used in) investing activities		73,397		(222,576)		(1,982,119)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings under credit agreement		1,900,000		1,310,000		3,550,000
Repayments of borrowings under credit agreement		(2,450,000)		(1,560,000)		(4,150,000)
Issuance of common stock		-		-		1,111,148
Issuance of 1.25% Convertible Senior Notes due 2020		-		-		1,250,000
Issuance of 6.625% Senior Notes due 2026		1,000,000		-		-
Issuance of 6.25% Senior Notes due 2023		-		-		750,000
Redemption of 6.5% Senior Subordinated Notes due 2018		(275,121)		-		-
Redemption of 8.125% Senior Notes due 2019		-		-		(832,429)
Redemption of 5.5% Senior Notes due 2021		-		-		(353,500)
Redemption of 5.5% Senior Notes due 2022		-		-		(404,000)
Early conversion payments for New Convertible Notes		-		(41,919)		-
Debt and equity issuance costs		(13,150)		(22,499)		(54,461)
Proceeds from stock options exercised		-		-		3,048
Restricted stock used for tax withholdings		(6,081)		(844)		(1,126)
Net cash provided by (used in) financing activities	$	155,648	$	(315,262)	$	868,680
						(Continued)

69

WHITING PETROLEUM CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

	Year Ended December 31,
	2017		2016		2015
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	806,154	$	57,172	$	(62,047)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period		73,225		16,053		78,100
End of period	$	879,379	$	73,225	$	16,053
SUPPLEMENTAL CASH FLOW DISCLOSURES
Income taxes paid (refunded), net	$	49	$	(1,044)	$	(604)
Interest paid, net of amounts capitalized	$	163,151	$	239,963	$	292,582
NONCASH INVESTING ACTIVITIES
Accrued capital expenditures and accounts payable related to property additions	$	80,762	$	65,052	$	94,105
NONCASH FINANCING ACTIVITIES (1)
The accompanying notes are an integral part of these consolidated financial statements.						(Concluded)

(1) Refer to the “Long-Term Debt” footnote in the notes to consolidated financial statements for a discussion of (i) the Company’s exchange of senior notes and senior subordinated notes for convertible notes and the subsequent conversions of such notes, and (ii) the Company’s exchange of senior notes, convertible senior notes and senior subordinated notes for mandatory convertible notes and the subsequent conversions of such notes.

70

WHITING PETROLEUM CORPORATION

CONSOLIDATED STATEMENTS OF EQUITY

(in thousands)

						Retained		Total
				Additional		Earnings		Whiting
	Common Stock			Paid-in		(Accumulated		Shareholders'		Noncontrolling		Total
	Shares (1)	Amount		Capital		Deficit)		Equity		Interest		Equity
BALANCES-January 1, 2015	42,087	$	168	$	3,385,094	$	2,309,712	$	5,694,974	$	8,070	$	5,703,044
Net loss	-		-		-		(2,219,182)		(2,219,182)		(86)		(2,219,268)
Issuance of common stock	9,250		37		1,100,000		-		1,100,037		-		1,100,037
Equity component of 2020 Convertible Senior Notes, net	-		-		144,755		-		144,755		-		144,755
Exercise of stock options	37		-		3,048		-		3,048		-		3,048
Restricted stock issued	304		1		(1)		-		-		-		-
Restricted stock forfeited	(58)		-		-		-		-		-		-
Restricted stock used for tax withholdings	(10)		-		(1,126)		-		(1,126)		-		(1,126)
Stock-based compensation	-		-		28,098		-		28,098		-		28,098
BALANCES - December 31, 2015	51,610		206		4,659,868		90,530		4,750,604		7,984		4,758,588
Net loss	-		-		-		(1,339,102)		(1,339,102)		(22)		(1,339,124)
Issuance of common stock upon conversion of convertible notes	39,386		158		1,535,296		-		1,535,454		-		1,535,454
Reduction of equity component of 2020 Convertible Senior Notes upon extinguishment, net	-		-		(63,330)		-		(63,330)		-		(63,330)
Recognition of beneficial conversion features on convertible notes	-		-		232,801		-		232,801		-		232,801
Restricted stock issued	1,005		4		(4)		-		-		-		-
Restricted stock forfeited	(182)		(1)		1		-		-		-		-
Restricted stock used for tax withholdings	(26)		-		(844)		-		(844)		-		(844)
Stock-based compensation	-		-		25,647		-		25,647		-		25,647
BALANCES - December 31, 2016	91,793		367		6,389,435		(1,248,572)		5,141,230		7,962		5,149,192
Net loss	-		-		-		(1,237,648)		(1,237,648)		(14)		(1,237,662)
Conveyance of third party ownership interest in Sustainable Water Resources, LLC	-		-		-		-		-		(7,948)		(7,948)
Reverse stock split	-		(276)		276		-		-		-		-
Restricted stock issued	707		2		(2)		-		-		-		-
Restricted stock forfeited	(261)		(1)		1		-		-		-		-
Restricted stock used for tax withholdings	(144)		-		(6,081)		-		(6,081)		-		(6,081)
Stock-based compensation	-		-		21,641		-		21,641		-		21,641
Cumulative effect of change in accounting principle	-		-		220		(220)		-		-		-
BALANCES - December 31, 2017	92,095	$	92	$	6,405,490	$	(2,486,440)	$	3,919,142	$	-	$	3,919,142

_____________________

(1) All common share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

The accompanying notes are an integral part of these consolidated financial statements.

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WHITING PETROLEUM CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.           SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Description of Operations—Whiting Petroleum Corporation, a Delaware corporation, is an independent oil and gas company engaged in the development, production, acquisition and exploration of crude oil, NGLs and natural gas primarily in the Rocky Mountains region of the United States.  Unless otherwise specified or the context otherwise requires, all references in these notes to “Whiting” or the “Company” are to Whiting Petroleum Corporation and its consolidated subsidiaries, Whiting Oil and Gas Corporation (“Whiting Oil and Gas”), Whiting US Holding Company, Whiting Canadian Holding Company ULC (formerly Kodiak Oil & Gas Corp., “Kodiak”), Whiting Resources Corporation and Whiting Programs, Inc.

Basis of Presentation of Consolidated Financial Statements—The consolidated financial statements have been prepared in accordance with GAAP and SEC rules and regulations and include the accounts of Whiting Petroleum Corporation, its consolidated subsidiaries and Whiting’s pro rata share of the accounts of Whiting USA Trust I (“Trust I”) pursuant to Whiting’s 15.8% ownership interest in TrustI.  On January 28, 2015, the net profits interest that Whiting conveyed to Trust I terminated and such interest in the underlying properties reverted back to Whiting.  Investments in entities which give Whiting significant influence, but not control, over the investee are accounted for using the equity method.  Under the equity method, investments are stated at cost plus the Company’s equity in undistributed earnings and losses.  All intercompany balances and transactions have been eliminated upon consolidation.

Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period.  Items subject to such estimates and assumptions include (i) oil and naturalgas reserves; (ii) impairment tests of long-lived assets; (iii) depreciation, depletion and amortization; (iv) asset retirement obligations; (v) assignment of fair value and allocation of purchase price in connection with business combinations, including the determination of any resulting goodwill; (vi) valuations of the Company’sreporting unit used in impairment tests of goodwill; (vii) income taxes; (viii) accrued liabilities; (ix) valuation of derivative instruments; and (x) accrued revenue and related receivables.  Although management believes these estimates are reasonable, actual results could differ from these estimates.

Reclassifications—Certain prior period balances in the consolidated balance sheets have been reclassified to conform to the current year presentation.  Such reclassifications had no impact on net income, cash flows or shareholders’ equity previously reported.

Cash, Cash Equivalents and Restricted Cash—Cash equivalents consist of demand deposits and highly liquid investments which have an original maturity of three months or less.

Restricted cash at December 31, 2016 related to a deposit received in connection with the sale of Whiting’s interests in the Robinson Lake and Belfield gas processing plants.  The use of these funds was restricted per the terms of the purchase agreement until the sale transaction closed on January1, 2017.  Refer to the “Acquisition and Divestitures” footnote for further information on this transaction.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets and the consolidated statements of cash flows:

	December 31,
	2017		2016
Cash and cash equivalents	$	879,379	$	55,975
Restricted cash		-		17,250
Total cash, cash equivalents and restricted cash	$	879,379	$	73,225

Accounts Receivable Trade—Whiting’s accounts receivable trade consist mainly of receivables from oil and gas purchasers and joint interest owners on properties the Company operates.  For receivables from joint interest owners, Whiting typically has the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings.  Generally, the Company’s oil and gas receivables are collected within two months, and to date, the Company has had minimal bad debts.

The Company routinely assesses the recoverability of all material trade and other receivables to determine their collectability.  At December 31, 2017 and 2016, the Company had an allowance for doubtful accounts of $17 million and $10 million, respectively.

Inventories—Materials and supplies inventories consist primarily of tubular goods and production equipment, carried at weighted-average cost.  Materials and supplies are included in other property and equipment and totaled $24 million and $33 million as of December 31, 2017 and 2016, respectively.  Crude oil in tanks inventory is carried at the lower of the estimated cost to produce or net

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realizable value.  Oil in tanks is included in prepaid expenses and other and totaled $7 million and $8 million as of December 31, 2017 and 2016, respectively.

Oil and Gas Properties

Proved.  The Company follows the successful efforts method of accounting for its oil and gas properties.  Under this method of accounting, all property acquisition costs and development costs are capitalized when incurred and depleted on a unit-of-production basis over the remaining life of proved reserves and proved developed reserves, respectively.  Costs of drilling exploratory wells are initially capitalized but are charged to expense if the well is determined to be unsuccessful.

The Company assesses its proved oil and gas properties for impairment whenever events or circumstances indicate that the carrying value of the assets may not be recoverable.  The impairment test compares undiscounted future net cash flows to the assets’ net book value.  If the net capitalized costs exceed future net cash flows, then the cost of the property is written down to fair value.  Fair value for oil and gas properties is generally determined based on discounted future net cash flows.  Impairment expense for proved properties totaled $835million and $1.6 billion for the years ended December 31, 2017 and 2015, respectively, which is reported in exploration and impairment expense.

Net carrying values of retired, sold or abandoned properties that constitute less than a complete unit of depreciable property are charged or credited, net of proceeds, to accumulated depreciation, depletion and amortization unless doing so significantly affects the unit-of-production amortization rate, in which case a gain or loss is recognized in income.  Gains or losses from the disposal of complete units of depreciable property are recognized to earnings.

Interest cost is capitalized as a component of property cost for development projects that require greater than six months to be readied for their intended use.  During 2017, 2016 and 2015, the Company capitalized interest of $0.1 million, $0.1 million and $4 million, respectively.

Unproved.  Unproved properties consist of costs to acquire undeveloped leases as well as purchases of unproved reserves.  Undeveloped lease costs and unproved reserve acquisitions are capitalized, and individually insignificant unproved properties are amortized on a composite basis, based on average lease-term lives and the historical experience of developing acreage in a particular prospect.  The Company evaluates significant unproved properties for impairment based on remaining lease term, drilling results, reservoir performance, seismic interpretation or future plans to develop acreage.  When successful wells are drilled on undeveloped leaseholds, unproved property costs are reclassified to proved properties and depleted on a unit-of-production basis.  Impairment expense for unproved properties totaled $59 million, $73 million and $135 million for the years ended December 31, 2017, 2016 and 2015, respectively, which is reported in exploration and impairment expense.

Exploratory.  Geological and geophysical costs, including exploratory seismic studies, and the costs of carrying and retaining unproved acreage are expensed as incurred.  Costs of seismic studies that are utilized in development drilling within an area of proved reserves are capitalized as development costs.  Amounts of seismic costs capitalized are based on only those blocks of data used in determining development well locations.  To the extent that a seismic project covers areas of both developmental and exploratory drilling, those seismic costs are proportionately allocated between development costsand exploration expense.

Costs of drilling exploratory wells are initially capitalized, pending determination of whether the well has found proved reserves.  If an exploratory well has not found proved reserves, the costs of drilling the well and other associated costs are charged to expense.  Costs incurred for exploratory wells that find reserves, which cannot yet be classified as proved, continue to be capitalized if (i) the well has found a sufficient quantity of reserves to justify completion as a producing well, and (ii) the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project.  If either condition is not met, or if the Company obtains information that raises substantial doubt about the economic or operational viability of the project, the exploratory well costs, net of any salvage value, are expensed.

Other Property and Equipment—Other property and equipment consists of materials and supplies inventories, carried at weighted-average cost, and furniture and fixtures, buildings, leasehold improvements and automobiles, which are stated at cost and depreciated using the straight-line method over their estimated useful lives ranging from 4 to 30 years.

Goodwill—Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in business combinations.  Goodwill has an indefinite useful life and is not amortized, but rather is tested by the Company for impairment annually in the second quarter or whenever events or changes in circumstances indicate that the fair value of the reporting unit may have been reduced below its carrying value. 

The Company performed its annual goodwill impairment test as of June 30, 2015, and determined that no impairment had occurred.  However, as a result of a sustained decrease in the price of Whiting’s common stock during the third quarter of 2015 caused by a significant decline in crude oil and natural gas prices over that same period, the Company performed another goodwill impairment test

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as of September 30, 2015.  The impairment test performed by the Company indicated that the fair value of its reporting unit was less than its carrying amount, and further that there was no remaining implied fair value attributable to goodwill.  Based on these results, the Company recorded a non-cash impairment charge to reduce the carrying value of goodwill to zero.

Debt Issuance Costs—Debt issuance costs related to the Company’s senior notes, convertible senior notes and senior subordinated notes are included as a deduction from the carrying amount of long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related debt.  Debt issuance costs related to the credit facility are included in other long-term assets and are amortized to interest expense on a straight-line basis over the term of the agreement.

Debt Discounts and Premiums—Debt discounts and premiums related to the Company’s senior notes and convertible notes are included as a deduction from or addition to the carrying amount of the long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related notes.

Derivative Instruments—The Company enters into derivative contracts, primarily costless collars and swaps, to manage its exposure to commodity price risk.  Whiting follows FASB ASC Topic 815, Derivatives and Hedging, to account for its derivative financial instruments.All derivative instruments, other than those that meet the “normal purchase normal sale” exclusion, are recorded on the balance sheet as either an asset or liability measured at fair value.  Gains and losses from changes in the fair value of derivative instruments are recognized immediately in earnings, unless the derivative meets specific hedge accounting criteria and the derivative has been designated as a hedge.  The Company does not currently apply hedge accounting to any of its outstanding derivative instruments, and as a result, all changes in derivative fair values are recognized currently in earnings.

Cash flows from derivatives used to manage commodity price risk are classified in operating activities along with the cash flows of the underlying hedged transactions.  The Company does not enter into derivative instruments for speculative or trading purposes.  Refer to the “Derivative Financial Instruments” footnote for further information.

Asset Retirement Obligations and Environmental Costs—Asset retirement obligations relate to future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage and returning such land to its original condition.  The Company follows FASB ASC Topic 410, Asset Retirement and Environmental Obligations, to determine its asset retirement obligation amounts by calculating the present value of the estimated future cash outflows associated with its plug and abandonment obligations.  The fair value of a liability for an asset retirement obligation is recorded in the period in which it is incurred (typically when a well is completed or acquired or when an asset is installed at the production location), and the cost of such liability increases the carrying amount of the related long-lived asset by the same amount.  The liability is accreted each period through charges to depreciation, depletion and amortization expense, and the capitalized cost is depleted on a unit-of-production basis over the proved developed reserves of the related asset.  Revisions typically occur due to changes in estimated abandonment costs or well economic lives, or if federal or state regulators enact new requirements regarding the abandonment of wells, and such revisions result in adjustments to the related capitalized asset and corresponding liability.

Liabilities for environmental costs are recorded on an undiscounted basis when it is probable that obligations have been incurred and the amounts can be reasonably estimated.  These liabilities are not reduced by possible recoveries from third parties.

Deferred Gain on Sale—The deferred gain on sale relates to the sale of 18,400,000 Whiting USA Trust II (“Trust II”)units, and is amortized to income based on the unit-of-production method. 

Revenue Recognition—Oil and gas revenues are recognized when production volumes are sold to a purchaser at a fixed or determinable price, delivery has occurred and title has transferred, persuasive evidence of a sales arrangement exists and collectability of the revenue is reasonably assured.  Revenues from the production of gas properties in which the Company has an interest with other producers are recognized on the basis of the Company’s net working interest (entitlement method).  Net deliveries in excess of entitled amounts are recorded as liabilities, while net under deliveries are reflected as receivables.  The Company’s aggregate imbalance positions as of December 31, 2017 and 2016 were not significant.

Taxes collected and remitted to governmental agencies on behalf of customers are not included in revenues or costs and expenses.

General and Administrative Expenses—General and administrative expenses are reported net of reimbursements of overhead costs that are allocated to the working interest owners that participate in oil and gas properties operated by Whiting.

Stock-based Compensation Expense—The Company has share-based employee compensation plans that provide for the issuance of various types of stock-based awards, including shares of restricted stock, restricted stock units and stock options, to employees and non-employee directors.  The Company determines compensation expense for restricted stock awards and options granted under these plans based on the grant date fair value, and such expense is recognized on a straight-line basis over the requisite service period of the award.  The Company determines compensation expense for cash-settled restricted stock units granted under these plans based on the fair value of such awards at the end of each reporting period,and such awards are recorded as a  liability in the consolidated balance sheets.  Gains

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and losses from changes in the fair value of restricted stock units are recognized immediately in earnings.  The Company accounts for forfeitures of share-based awards as they occur.  Refer to the “Stock-Based Compensation” footnote for further information.

401(k) Plan—The Company has a defined contribution retirement plan for all employees.  The plan is funded by employee contributions and discretionary Company contributions.  The Company’s contributions for 2017, 2016 and 2015 were $8 million, $8 million and $12 million, respectively.  Employees vest in employer contributions at 20% per year of completed service.

Acquisition Costs—Acquisition related expenses, which consist of external costs directly related to the Company’s acquisitions, such as advisory, legal, accounting, valuation and other professional fees, are expensed as incurred.

Maintenance and Repairs—Maintenance and repair costs that do not extend the useful lives of property and equipment are charged to expense as incurred.  Major replacements, renewals and betterments are capitalized.

Income Taxes—Income taxes are recognized based on earnings reported for tax return purposes in addition to a provision for deferred income taxes.  Deferred income taxes are accounted for using the liability method.  Under this method, deferred tax assets and liabilities are determined by applying the enacted statutory tax rates in effect at the end of a reporting period to the cumulative temporary differences between the tax bases of assets and liabilities and their reported amounts in the Company’s financial statements.  The effect on deferred taxes for a change in tax rates is recognized in income in the period that includes the enactment date.  A valuation allowance for deferred tax assets is established when it is more likely than not that some portion of the benefit from deferred tax assets will not be realized.  The Company’s uncertain tax positions must meet a more-likely-than-not realization threshold to be recognized, and any potential accrued interest and penalties related to unrecognized tax benefits are recognized within income tax expense.

Earnings Per Share—Basic earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during each period.  Diluted earnings per common share is calculated by dividing adjusted net income attributable to common shareholders by the weighted average number of diluted common shares outstanding, which includes the effect of potentially dilutive securities.  Potentially dilutive securities for the diluted earnings per share calculations consist of unvested restricted stock awards, outstanding stock options and contingently issuable shares of convertible debt to be settled in cash, all using the treasury stock method.  In addition, the diluted earnings per share calculation for the year ended December 31, 2016 considers the effect of convertible debt issued and converted during 2016, using the if-converted method for periods prior to their actual conversions.  When a loss from continuing operations exists, all dilutive securities and potentially dilutive securities are anti-dilutive and are therefore excluded from the computation of diluted earnings per share.

Industry Segment and Geographic Information—The Company has evaluated how it is organized and managed and has identified only one operating segment, which is the exploration and production of crude oil, NGLs and natural gas.  The Company considers its gathering, processing and marketing functions as ancillary to its oil and gas producing activities.  All of the Company’s operations and assets are located in the United States, and substantially all of its revenues are attributable to United States customers.

Concentration of Credit Risk—Whiting is exposed to credit risk in the event of nonpayment by counterparties, a significant portion of which are concentrated in energy related industries.  The creditworthiness of customers and other counterparties is subject to continuing review.  The following tables present the percentages by purchaser that accounted for 10% or more of the Company’s total oil, NGL and natural gas sales for the years ended December 31, 2017 and 2016.  For the year ended December 31, 2015, no individual purchaser accounted for 10% or more of the Company’s total oil, NGL and natural gas sales.

Year Ended December 31, 2017
Tesoro Crude Oil Co	18%

Year Ended December 31, 2016
Tesoro Crude Oil Co	15%
Jamex Marketing LLC	12%

Commodity derivative contracts held by the Company are with nine counterparties, all of which are participants in Whiting’s credit facility as well, and all of which have investment-grade ratings from Moody’s and Standard & Poor’s.  As of December 31, 2017, outstanding derivative contracts with JP Morgan Chase Bank, N.A.,  Wells Fargo Bank, N.A.,  Capital One, N.A. and KeyBank, N.A. represented 24%,17%,14% and 10%, respectively, of total crude oil volumes hedged.

Adopted and Recently IssuedAccounting Pronouncements—In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014‑09”).  The objective of ASU 2014-09 is to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards.  The FASB subsequently issued various ASUs which deferred the effective date of ASU 2014-09 and provided additional implementation guidance. 

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ASU 2014-09 and its amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017.  The standards permit retrospective application using either of the following methodologies: (i) restatement of each prior reporting period presented or (ii) recognition of a cumulative-effect adjustment as of the date of initial application.  The Company adopted these ASUs effective January 1, 2018 using the modified retrospective approach.  The Company has completed the assessment of its contracts with customers and is in the process of implementing the changes to its financial statements, accounting policies and internal controls as a result of the adoption of these standards.The adoption is not expected to have an impact on the Company’s net income or cash flows, however, itwill result in changes to the classification of fees incurred under certain pipeline gathering and transportation agreements and gas processing agreements, as well as certain costs attributable to non-operated properties, which will result in an overall decrease in total revenues with a corresponding decrease inlease operating expenses under the new standards.  In addition, the Company is continuing to assess the additional disclosures that will be required upon implementation of these ASUs.

In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (“ASU 2016-02”).  The objective of this ASU is to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing key information about leasing arrangements.  ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018 and should be applied using a modified retrospective approach.  Early adoption is permitted.  Although the Company is still in the process of evaluating the effect of adopting ASU 2016‑02, the adoption is expected to result in (i) an increase in the assets and liabilities recorded on its consolidated balance sheet, (ii) an increase in depreciation, depletion and amortization expense and interest expense recorded on its consolidated statement of operations, and (iii) additional disclosures.  As of December 31, 2017, the Company had approximately $73 million of contractual obligations related to its non-cancelable leases, drilling rig contracts and pipeline transportation agreements, and it will evaluate those contracts as well as other existing arrangements to determine if they qualify for lease accounting under ASU 2016-02.

In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”).  The objective of this ASU is to simplify several aspects of the accounting for employee share-based payment transactions, including income tax consequences, forfeitures, classification of awards as either equity or liabilities and classification in the statement of cash flows.  Portions of this ASU must be applied prospectively while other portions may be applied either prospectively or retrospectively.  ASU 2016-09 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016, and the Company adopted this standard on January 1, 2017.  Upon adoption of ASU 2016-09, the Company (i) recorded previously unrecognized excess tax benefits on a modified retrospective basis with a full valuation allowance, resulting in a net cumulative-effect adjustment to retained earnings of zero, (ii) prospectively removed excess tax benefits from its calculation of diluted shares, which had no impact on the Company’s diluted earnings per share for year ended December 31, 2017, and (iii) elected to account for forfeitures of share-based awards as they occur, rather than by applying an estimated forfeiture rate to determine compensation expense, the effect of which was recognized using a modified retrospective approach and resulted in an immaterial cumulative-effect adjustment to retained earnings and additional paid-in capital.

2.          OIL AND GAS PROPERTIES

Net capitalized costs related to the Company’s oil and gas producing activitiesat December 31, 2017 and 2016are as follows (in thousands):

	December 31,
	2017		2016
Proved leasehold costs	$	2,622,576	$	3,330,928
Unproved leasehold costs		137,694		392,484
Costs of completed wells and facilities		8,288,591		9,016,472
Wells and facilities in progress		244,789		490,967
Total oil and gas properties, successful efforts method		11,293,650		13,230,851
Accumulated depletion		(4,185,301)		(4,170,237)
Oil and gas properties, net	$	7,108,349	$	9,060,614

3.          ACQUISITIONS AND DIVESTITURES

2017 Acquisitions and Divestitures

On September 1, 2017, the Company completed the sale of its interests in certain producing oil and gas properties located in the Fort Berthold Indian Reservation area in Dunn and McLean counties of North Dakota, as well as other related assets and liabilities, (the “FBIR Assets”) for aggregate sales proceeds of $500 million (before closing adjustments).  The sale was effective September 1, 2017 and resulted in a pre-tax loss on sale of $402 million.  The Company used the net proceeds from the sale to repay a portion of the debt outstanding under its credit agreement. 

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On January1, 2017, the Company completed the sale of its 50% interest in the Robinson Lake gas processing plant located in Mountrail County, North Dakota and its 50% interest in the Belfield gas processing plant located in Stark County, North Dakota, as well as the associated natural gas, crude oil and water gathering systems, effective January1, 2017, for aggregate sales proceeds of $375million (before closing adjustments).  The Company used the net proceeds from this transaction to repay a portion of the debt outstanding under its credit agreement.

The following table shows the components of assets and liabilities classified as held for sale as of December31, 2016 (in thousands):

	Carrying Value as of
	December 31, 2016
Assets
Oil and gas properties, net	$	347,817
Other property and equipment, net		475
Total property and equipment, net		348,292
Other long-term assets		854
Total assets held for sale	$	349,146
Liabilities
Asset retirement obligations	$	131
Other long-term liabilities		407
Total liabilities related to assets held for sale	$	538

There were no significant acquisitions during the year ended December31, 2017.

2016 Acquisitions and Divestitures

In July 2016, the Company completed the sale of its interest in its enhanced oil recovery project in the North Ward Estes field in Ward and Winkler counties of Texas, including Whiting’s interest in certain CO2 properties in the McElmo Dome field in Colorado and certain other related assets and liabilities (the “North Ward Estes Properties”) for a cash purchase price of $300million (before closing adjustments).  The sale was effective July1, 2016 and resulted in a pre-tax loss on sale of $187million.  The Company used the net proceeds from the sale to repay a portion of the debt outstanding under its credit agreement.

In addition to the cash purchase price, the buyer agreed to pay Whiting $100,000 for every $0.01 that, as of June 28, 2018, the average NYMEX crude oil futures contract price for each month from August 2018 through July 2021 is above $50.00/Bbl up to a maximum amount of $100million (the “Contingent Payment”).  The Company determined that this Contingent Payment was an embedded derivative and reflected it at fair value in the consolidated financial statements prior to settlement.  On July19, 2017, the buyer paid $35million to Whiting to settle this Contingent Payment, resulting in a pre-tax gain of $3 million.  Refer to the “Derivative Financial Instruments” and “Fair Value Measurements” footnotes for more information on this embedded derivative instrument.

There were no significant acquisitions during the year ended December 31, 2016.

2015 Acquisitions and Divestitures

In December 2015, the Company completed the sale of a fresh water delivery system, a produced water gathering system and four saltwater disposal wells located in Weld County, Colorado, effective December 16, 2015, for aggregate sales proceeds of $75million (before closing adjustments).

In June 2015, the Company completed the sale of its interests in certain non-core oil and gas wells, effective June1, 2015, for aggregate sales proceeds of $150 million (before closing adjustments) resulting in a pre-tax loss on sale of $118million.  The properties included over 2,000 gross wells in 132 fields across 10 states.

In April 2015, the Company completed the sale of its interests in certain non-core oil and gas wells, effective May1, 2015, for aggregate sales proceeds of $108million (before closing adjustments) resulting in a pre-tax gain on sale of $29million.  The properties were located in 187 fields across 14 states, and predominately consisted of assets that were previously included in the underlying properties of Whiting USA Trust I.

Also during the year ended December31, 2015, the Company completed several immaterial divestiture transactions for the sale of its interests in certain non-core oil and gas wells and undeveloped acreage, for aggregate sales proceeds of $176million (before closing adjustments) resulting in a pre-tax gain on sale of $28million.

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There were no significant acquisitions during the year ended December31, 2015.

4.          LONG-TERM DEBT

Long-term debt, including the current portion, consisted of the following at December 31, 2017 and 2016 (in thousands):

	December 31,
	2017		2016
Credit agreement	$	-	$	550,000
6.5% Senior Subordinated Notes due 2018		-		275,121
5.0% Senior Notes due 2019		961,409		961,409
1.25% Convertible Senior Notes due 2020		562,075		562,075
5.75% Senior Notes due 2021		873,609		873,609
6.25% Senior Notes due 2023		408,296		408,296
6.625% Senior Notes due 2026		1,000,000		-
Total principal		3,805,389		3,630,510
Unamortized debt discounts and premiums		(50,945)		(71,340)
Unamortized debt issuance costs on notes		(31,015)		(23,867)
Total debt		3,723,429		3,535,303
Less current portion of long-term debt		(958,713)		-
Total long-term debt	$	2,764,716	$	3,535,303

The following table shows five succeeding fiscal years of anticipated maturities for the Company’s long-term debt as of December31, 2017 (in thousands):

	2018		2019		2020		2021		2022
Long-term debt	$	961,409	$	-	$	562,075	$	873,609	$	-

Credit Agreement

Whiting Oil and Gas, the Company’s whollyowned subsidiary, has a credit agreement with a syndicate of banks that as of December31, 2017 had a borrowing baseand aggregate commitments of $2.3 billion.  As of December 31, 2017, the Company had $2.3 billion of available borrowing capacity, which was net of $2 million in letters of credit outstanding, with no borrowings outstanding.

The borrowing base under the credit agreement is determined at the discretion of the lenders, based on the collateral value of the Company’s proved reserves that have been mortgaged to such lenders, and is subject to regular redeterminations on May 1 and November1 of each year, as well as special redeterminations described in the credit agreement, in each case which may reduce the amount of the borrowing base.  Upon a redetermination of the borrowing base, either on a periodic or special redetermination date, if borrowings in excess of the revised borrowing capacity were outstanding, the Company could be forced to immediately repay a portion of its debt outstanding under the credit agreement.  In October 2017, the borrowing base and aggregate commitments under the facility were reduced from $2.5 billion to $2.3 billion in connection with the November 1, 2017 regular borrowing base redetermination, and was primarily a result of the sale of the Company’s FBIR Assets on September 1, 2017.

A portion of the revolving credit facility in an aggregate amount not to exceed $50 million may be used to issue letters of credit for the account of Whiting Oil and Gas or other designated subsidiaries of the Company.  As of December 31, 2017,  $48 million was available for additional letters of credit under the agreement.

The credit agreement provides for interest only payments until December 2019, when the credit agreement expires and all outstanding borrowings are due.  Interest under the revolving credit facility accrues at the Company’s option at either (i) a base rate for a base rate loan plus the margin in the table below, where the base rate is defined as the greatest of the prime rate, the federal funds rate plus 0.5% per annum, or an adjusted LIBOR rate plus 1.0% per annum, or (ii) an adjusted LIBOR rate for a Eurodollar loan plus the margin in the table below.  Additionally, the Company also incurs commitment fees as set forth in the table below on the unused portion of the aggregate commitments of the lenders under the revolving credit facility, which are included as a component of interest expense.  At December 31, 2016, the weighted average interest rate on the outstanding principal balance under the credit agreement was 4.0%.

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	Applicable	Applicable
	Margin for Base	Margin for	Commitment
Ratio of Outstanding Borrowings to Borrowing Base	Rate Loans	Eurodollar Loans	Fee
Less than 0.25 to 1.0	1.00%	2.00%	0.50%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0	1.25%	2.25%	0.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0	1.50%	2.50%	0.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0	1.75%	2.75%	0.50%
Greater than or equal to 0.90 to 1.0	2.00%	3.00%	0.50%

The credit agreement contains restrictive covenants that may limit the Company’s ability to, among other things, incur additional indebtedness, sell assets, make loans to others, make investments, enter into mergers, enter into hedging contracts, incur liens and engage in certain other transactions without the prior consent of its lenders.  However, the credit agreement permits the Company and certain of its subsidiaries to issue second lien indebtedness of up to $1.0 billion subject to certain conditions and limitations.  Except for limited exceptions, the credit agreement also restricts the Company’s ability to make any dividend payments or distributions on its common stock.  These restrictions apply to all of the Company’s restricted subsidiaries (as defined in the credit agreement).  As of December 31, 2017, there were no retained earnings free from restrictions.  The credit agreement requires the Company, as of the last day of any quarter, to maintain the following ratios (as defined in the credit agreement): (i) a consolidated current assets to consolidated current liabilities ratio (which includes an add back of the available borrowing capacity under the credit agreement) of not less than 1.0 to 1.0, (ii) a total senior secured debt to the last four quarters’ EBITDAX ratio of less than 3.0 to 1.0 during the Interim Covenant Period (defined below), and thereafter a total debt to EBITDAX ratio of less than 4.0 to 1.0, and (iii) a ratio of the last four quarters’ EBITDAX to consolidated cash interest charges of not less than 2.25 to 1.0 during the Interim Covenant Period.  Under the credit agreement, the “Interim Covenant Period” is defined as the period from June 30, 2015 until the earlier of (i) April 1, 2018 or (ii) the commencement of an investment-grade debt rating period (as defined in the credit agreement).   The Company was in compliance with its covenants under the credit agreement as of December 31, 2017.

The obligations of Whiting Oil and Gas under the credit agreement are collateralized by a first lien on substantially all of Whiting Oil and Gas’ and Whiting Resource Corporation’s properties.  The Company has guaranteed the obligations of Whiting Oil and Gas under the credit agreement and has pledged the stock of its subsidiaries as security for its guarantee.

Senior Notes, Convertible Senior Notes and Senior Subordinated Notes

The following table summarizes the material terms of the Company’s senior notes and convertible senior notes outstanding at December 31, 2017:

		2020
	2019	Convertible	2021	2023	2026
	Senior Notes (1)	Senior Notes	Senior Notes	Senior Notes	Senior Notes
Outstanding principal (in thousands)	$ 961,409	$ 562,075	$ 873,609	$ 408,296	$ 1,000,000
Interest rate	5.0%	1.25%	5.75%	6.25%	6.625%
Maturity date	Mar 15, 2019	Apr 1, 2020	Mar 15, 2021	Apr 1, 2023	Jan 15, 2026
Interest payment dates	Mar 15, Sep 15	Apr 1, Oct 1	Mar 15, Sep 15	Apr 1, Oct 1	Jan 15, Jul 15
Make-whole redemption date (2)	Dec 15, 2018	N/A (3)	Dec 15, 2020	Jan 1, 2023	Oct 15, 2025

_____________________

(1) On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

(2) On or after these dates, the Company may redeem the applicable series of notes, in whole or in part, at a redemption price equal to 100% of the principal amount redeemed, together with accrued and unpaid interest up to the redemption date.  At any time prior to these dates, the Company may redeem the notes at a redemption price that includes an applicable premium as defined in the indentures to such notes.

(3) The indenture governing the 1.25% Convertible Senior Notes due 2020 does not allow for optional redemption by the Company prior to the maturity date.

Senior Notes and Senior Subordinated Notes—In September 2010, the Company issued at par $350 million of 6.5% Senior Subordinated Notes due October 2018 (the “2018 Senior Subordinated Notes”).

In September 2013, the Company issued at par $1.1 billion of 5.0% Senior Notes due March 2019 (the “2019 Senior Notes”) and $800million of 5.75% Senior Notes due March 2021, and issued at 101% of par an additional $400 million of 5.75% Senior Notes due March2021 (collectively, the “2021 Senior Notes”).  The debt premium recorded in connection with the issuance of the 2021 Senior

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Notes is being amortized to interest expense over the term of the notes using the effective interest method, with an effective interest rate of 5.5% per annum.

In March 2015, the Company issued at par $750 million of 6.25% Senior Notes due April 2023 (the “2023 Senior Notes”).

Issuance of Senior Notes.In December 2017, the Company issued at par $1.0 billion of 6.625% Senior Notes due January 2026 (the “2026 Senior Notes” and together with the 2019 Senior Notes, the 2021 Senior Notes and the 2023 Senior Notes, the “Senior Notes”).  The Company used the net proceeds from this offering to redeem on January 26, 2018 all of the outstanding 2019 Senior Notes at a 102.976% redemption price plus all accrued and unpaid interest on the notes.  Refer to the “Subsequent Events” footnote for more information on the redemption of the 2019 Senior Notes.

Exchange of Senior Notes and Senior Subordinated Notes for Convertible Notes.  On March 23, 2016, the Company completed the exchange of $477 million aggregate principal amount of Senior Notes and 2018 Senior Subordinated Notes, consisting of (i) $49 million aggregate principal amount of its 2018 Senior Subordinated Notes, (ii) $97 million aggregate principal amount of its 2019 Senior Notes, (iii) $152 million aggregate principal amount of its 2021 Senior Notes, and (iv) $179 million aggregate principal amount of its 2023 Senior Notes, for $477 million aggregate principal amount of convertible senior notes and convertible senior subordinated notes (the “New Convertible Notes”).  This exchange transaction was accounted for as an extinguishment of debt for each portion of the Senior Notes and 2018 Senior Subordinated Notes that was exchanged.  As a result, Whiting recognized a $91 million gain on extinguishment of debt, which was net of a $4 million non-cash charge for the acceleration of unamortized debt issuance costs and debt premium on the original notes.  Each series of New Convertible Notes was recorded at fair value upon issuance, with the difference between the principal amount of the notes and their fair values, totaling $95 million, recorded as a debt discount.  The aggregate debt discount of $185 million recorded upon issuance of the New Convertible Notes also included $90 million related to the fair value of the holders’ conversion options, which were embedded derivatives that met the criteria to be bifurcated from their host contracts and accounted for separately.  Refer to the “Derivative Financial Instruments” and “Fair Value Measurements” footnotes for more information on these embedded derivatives.

During the second quarter of 2016, holders of the New Convertible Notes voluntarily converted all $477 million aggregate principal amount of the New Convertible Notes for approximately 10.5 million shares of the Company’s common stock.  Upon conversion, the Company paid $46 million in cash consisting of early conversion payments to the holders of the notes, as well as all accrued and unpaid interest on such notes.  As a result of the conversions, Whiting recognized a $188 million loss on extinguishment of debt, which consisted of a non-cash charge for the acceleration of unamortized debt issuance costs and debt discount on the notes.  As of June 30, 2016, no New Convertible Notes remained outstanding.

Exchange of Senior Notes and Senior Subordinated Notes for Mandatory Convertible Notes.  On July 1, 2016, the Company completed the exchange of $405 million aggregate principal amount of Senior Notes and 2018 Senior Subordinated Notes for the same aggregate principal amount of new mandatory convertible senior notes and mandatory convertible senior subordinated notes.  Refer to “Mandatory Convertible Notes” below for more information on these exchange transactions.

Kodiak Senior Notes.  In conjunction with the acquisition of Kodiak in December 2014, Whiting US Holding Company, a whollyowned subsidiary of the Company, became a co-issuer of Kodiak’s $800 million of 8.125% Senior Notes due December 2019 (the “2019 Kodiak Notes”),  $350 million of 5.5% Senior Notes due January 2021 (the “2021 Kodiak Notes”), and $400 million of 5.5% Senior Notes due February 2022 (the “2022 Kodiak Notes” and together with the 2019 Kodiak Notes and the 2021 Kodiak Notes, the “Kodiak Notes”).

In January2015, Whiting offered to repurchase at 101% of par all $1,550 million principal amount of Kodiak Notes then outstanding.  In March 2015, Whiting paid $760 million to repurchase $2 million aggregate principal amount of the 2019 Kodiak Notes, $346 million aggregate principal amount of the 2021 Kodiak Notes and $399 million aggregate principal amount of the 2022 Kodiak Notes, which payment consisted of the 101% redemption price and all accrued and unpaid interest on such notes.  In May 2015, Whiting paid an additional $5 million to repurchase the remaining $4 million aggregate principal amount of the 2021 Kodiak Notes and $1 million aggregate principal amount of the 2022 Kodiak Notes, which payment consisted of the 101% redemption price and all accrued and unpaid interest on such notes.  In December 2015, Whiting paid $834 million to repurchase the remaining $798 million aggregate principal amount of the 2019 Kodiak Notes, which payment consisted of the 104.063% redemption price and all accrued and unpaid interest on such notes.  As a result of the repurchases, Whiting recognized an $18 million loss on extinguishment of debt, which consisted of a $40 million cash charge related to the redemption premium on the Kodiak Notes, partially offset by a $22 million non-cash credit related to the acceleration of unamortized debt premiums on such notes.  As of December 31, 2015, no Kodiak Notes remained outstanding.

Redemption of 2018 Senior Subordinated Notes.  On February 2, 2017, the Company paid $281 million to redeem all of the then outstanding $275 million aggregate principal amount of 2018 Senior Subordinated Notes, which payment consisted of the 100% redemption price plus all accrued and unpaid interest on the notes.  The Company financed the redemption with borrowings under its credit agreement.  As a result of the redemption, Whiting recognized a $2 million loss on extinguishment of debt, which consisted of a

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non-cash charge for the acceleration of unamortized debt issuance costs on the notes.  As of March 31, 2017, no 2018 Senior Subordinated Notes remained outstanding.

2020 Convertible Senior Notes—In March 2015, the Company issued at par $1,250 million of 1.25% Convertible Senior Notes due April 2020 (the “2020 Convertible Senior Notes”) for net proceeds of $1.2 billion, net of initial purchasers’ fees of $25 million.  On June 29, 2016, the Company exchanged $129 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible senior notes, and on July 1, 2016, the Company exchanged $559 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible senior notes.  Refer to “Mandatory Convertible Notes” below for more information on these exchange transactions.

For the remaining $562 million aggregate principal amount of 2020 Convertible Senior Notes outstanding as of December 31, 2017, the Company has the option to settle conversions of these notes with cash, shares of common stock or a combination of cash and common stock at its election.  The Company’s intent is to settle the principal amount of the 2020 Convertible Senior Notes in cash upon conversion.  Prior to January 1, 2020, the 2020 Convertible Senior Notes will be convertible at the holder’s option only under the following circumstances: (i) during any calendar quarter commencing after the calendar quarter ending on June 30, 2015 (and only during such calendar quarter), if the last reported sale price of the Company’s common stock for at least 20 trading days (whether or not consecutive) during the period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (ii) during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of the 2020 Convertible Senior Notes for each trading day of the measurement period is less than 98% of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; or (iii) upon the occurrence of specified corporate events.  On or after January 1, 2020, the 2020 Convertible Senior Notes will be convertible at any time until the second scheduled trading day immediately preceding the April 1, 2020 maturity date of the notes.  The notes will be convertible at a current conversion rate of 6.4102 shares of Whiting’s common stock per $1,000 principal amount of the notes, which is equivalent to a current conversion price of approximately $156.00.  The conversion rate will be subject to adjustment in some events.  In addition, following certain corporate events that occur prior to the maturity date, the Company will increase, in certain circumstances, the conversion rate for a holder who elects to convert its 2020 Convertible Senior Notes in connection with such corporate event.  As of December 31, 2017, none of the contingent conditions allowing holders of the 2020 Convertible Senior Notes to convert these notes had been met.

Upon issuance, the Company separately accounted for the liability and equity components of the 2020 Convertible Senior Notes.  The liability component was recorded at the estimated fair value of a similar debt instrument without the conversion feature.  The difference between the principal amount of the 2020 Convertible Senior Notes and the estimated fair value of the liability component was recorded as a debt discount and is being amortized to interest expense over the term of the notes using the effective interest method, with an effective interest rate of 5.6% per annum.  The fair value of the liability component of the 2020 Convertible Senior Notes as of the issuance date was estimated at $1.0 billion, resulting in a debt discount at inception of $238 million.  The equity component, representing the value of the conversion option, was computed by deducting the fair value of the liability component from the initial proceeds of the 2020 Convertible Senior Notes issuance.  This equity component was recorded, net of deferred taxes and issuance costs, in additional paid-in capital within shareholders’ equity, and will not be remeasured as long as it continues to meet the conditions for equity classification.

Transaction costs related to the 2020 Convertible Senior Notes issuance were allocated to the liability and equity components based on their relative fair values.  Issuance costs attributable to the liability component were recorded as a reduction to the carrying value of long-term debt on the consolidated balance sheet and are being amortized to interest expense over the term of the notes using the effective interest method.  Issuance costs attributable to the equity component were recorded as a charge to additional paid-in capital within shareholders’ equity.

The 2020 Convertible Senior Notes consisted of the following at December 31, 2017 and 2016 (in thousands):

	December 31,
	2017		2016
Liability component
Principal	$	562,075	$	562,075
Less: unamortized note discount		(51,666)		(72,622)
Less: unamortized debt issuance costs		(4,178)		(5,988)
Net carrying value	$	506,231	$	483,465
Equity component (1)	$	136,522	$	136,522

(1) Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes as of December 31, 2017 and 2016.

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Interest expense recognized on the 2020 Convertible Senior Notes related to the stated interest rate and amortization of the debt discount totaled $28 million, $43 million and $44 million for the years ended December 31, 2017, 2016 and 2015, respectively.

Mandatory Convertible Notes—On June 29, 2016, the Company completed the exchange of $129 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible notes, and on July1, 2016, the Company completed the exchange of $964 million aggregate principal amount of Senior Notes, 2020 Convertible Senior Notes and 2018 Senior Subordinated Notes, consisting of (i) $26 million aggregate principal amount of 2018 Senior Subordinated Notes, (ii) $42million aggregate principal amount of 2019 Senior Notes, (iii) $559 million aggregate principal amount of 2020 Convertible Senior Notes, (iv) $174 million aggregate principal amount of 2021 Senior Notes, and (v) $163 million aggregate principal amount of 2023 Senior Notes, for the same aggregate principal amount of new mandatory convertible notes (together the “Mandatory Convertible Notes”).

These transactions were accounted for as extinguishments of debt for the portions of Senior Notes, 2020 Convertible Senior Notes and 2018 Senior Subordinated Notes that were exchanged.  As a result, Whiting recognized a $57 million gain on extinguishment of debt, which was net of a $113 million charge for the non-cash write-off of unamortized debt issuance costs, debt discounts and debt premium on the original notes.  In addition, Whiting recorded a $63 million reduction to the equity component of the 2020 Convertible Senior Notes, which was net of deferred taxes.  The Mandatory Convertible Notes were recorded at fair value upon issuance with the difference between the principal amount of the notes and their fair values, totaling $69 million, recorded as a debt discount.  The Mandatory Convertible Notes contained contingent beneficial conversion features, the intrinsic value of which was recognized in additional paid-in capital at the time the contingency was resolved, resulting in an additional debt discount of $233 million.  The aggregate debt discount of $302 million was being amortized to interest expense over the term of the notes using the effective interest method.

The July 1, 2016 note exchange transactions triggered an ownership shift as defined under Section 382 of the Internal Revenue Code due to the “deemed share issuance” that resulted from the note exchanges.  This triggering event will limit the Company’s usage of certain of its net operating losses and tax credits in the future.  Refer to the “Income Taxes” footnote for more information.

During the second half of 2016, the entire $1,093 million aggregate principal amount of the Mandatory Convertible Notes were converted into approximately 28.9 million shares of the Company’s common stock pursuant to the terms of the notes.  As a result of these conversions, Whiting recognized (i) a $259 million non-cash charge for the acceleration of unamortized debt discounts on the notes, which is included in interest expense in the consolidated statements of operations, and (ii) a $1 million net loss on extinguishment of debt.  As of December 31, 2016, no Mandatory Convertible Notes remained outstanding.

Security and Guarantees

The Senior Notes and the 2020 Convertible Senior Notes are unsecured obligations of Whiting Petroleum Corporation and these unsecured obligations are subordinated to all of the Company’s secured indebtedness, which consists of Whiting Oil and Gas’ credit agreement.

The Company’s obligations under the Senior Notes and the 2020 Convertible Senior Notes are guaranteed by the Company’s 100%‑owned subsidiaries, Whiting Oil and Gas, Whiting US Holding Company, Whiting Canadian Holding Company ULC and Whiting Resources Corporation (the “Guarantors”).  These guarantees are full and unconditional and joint and several among the Guarantors.  Any subsidiaries other than these Guarantors are minor subsidiaries as defined by Rule 3-10(h)(6) of Regulation S‑X of the SEC.  Whiting Petroleum Corporation has no assets or operations independent of this debt and its investments in its consolidated subsidiaries.

5.          ASSET RETIREMENT OBLIGATIONS

The Company’s asset retirement obligations represent the present value of estimated future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage, and land restoration (including removal of certain onshore and offshore facilities in California) in accordance with applicable local, state and federal laws.  The current portions at December 31, 2017 and 2016 were $5 million and $8 million, respectively, and have been included in accrued liabilities and other in the consolidated balance sheets.  The following table provides a reconciliation of the Company’s asset retirement obligations for the years ended December 31, 2017 and 2016 (in thousands):

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	2017		2016
Asset retirement obligation at January 1	$	177,004	$	161,908
Additional liability incurred		7,727		3,238
Revisions to estimated cash flows (1) (2)		(52,947)		11,620
Accretion expense		13,809		13,800
Obligations on sold properties		(6,988)		(4,771)
Liabilities settled		(4,368)		(8,791)
Asset retirement obligation at December 31	$	134,237	$	177,004

(1) Revisions to estimated cash flows during the year ended December 31, 2017 are primarily attributable to the deferral of the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from increases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2017, which lengthened the economic lives of these properties.  In addition, during 2017 there were decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Northern Rocky Mountains.

(2) Revisions to estimated cash flows during the year ended December 31, 2016 are primarily attributable to the acceleration in the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from decreases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2016, which shortened the economic lives of these properties.  For the year ended December 31, 2016, the increase was partially offset by decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Central and Northern Rocky Mountains.

6.          DERIVATIVE FINANCIAL INSTRUMENTS

The Company is exposed to certain risks relating to its ongoing business operations, and it uses derivative instruments to manage its commodity price risk.  In addition, the Company periodically enters into contracts that contain embedded features which are required to be bifurcated and accounted for separately as derivatives.

Commodity Derivative Contracts—Historically, prices received for crude oil and natural gas production have been volatile because of supply and demand factors, worldwide political factors, general economic conditions and seasonal weather patterns.  Whiting primarily enters into derivative contracts such as crude oil costless collars and swaps, as well as sales and delivery contracts, to achieve a more predictable cash flow by reducing its exposure to commodity price volatility, thereby ensuring adequate funding for the Company’s capital programs and facilitating the management of returns on drilling programs and acquisitions.  The Company does not enter into derivative contracts for speculative or trading purposes.

Crude Oil Costless Collars.  Costless collars are designed to establish floor and ceiling prices on anticipated future oil or gas production.  While the use of these derivative instruments limits the downside risk of adverse price movements, they may also limit future revenues from favorable price movements.

The table below details the Company’s costless collar derivatives entered into to hedge forecasted crude oil production revenues as of December 31, 2017.

Derivative		Contracted Crude	Weighted Average NYMEX Price
Instrument	Period	Oil Volumes (Bbl)	Collar Ranges for Crude Oil (per Bbl)
Three-way collars (1)	Jan - Dec 2018	17,400,000	$37.07 - $47.07 - $57.30
	Total	17,400,000

_____________________

(1) A three-way collar is a combination of options: a sold call, a purchased put and a sold put.  The sold call establishes a maximum price (ceiling) Whiting will receive for the volumes under contract.  The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.

(2) Subsequent to December 31, 2017, the Company entered into additional swap contracts for 4,400,000 Bbl of crude oil volumes for the year ended December 31, 2018, as well as costless collars for 900,000 Bbl of crude oil volumes for the six months ended June30, 2019.

Crude Oil Sales and Delivery Contract.  As of December 31, 2017, the Company had a long-term crude oil sales and delivery contract for oil volumes produced from its Redtail field in Colorado.  Under the terms of the agreement, Whiting had committed to deliver certain fixed volumes of crude oil through April 2020.  The Company determined it was not probable that future oil production from its Redtail field would be sufficient to meet the minimum volume requirements specified in this contract; accordingly, the Company would not

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settle this contract through physical delivery of crude oil volumes.  As a result, Whiting determined that this contract would not qualify for the “normal purchase normal sale” exclusion and has therefore reflected the contract at fair value in the consolidated financial statements.  As of December31, 2017 and 2016, the estimated fair value of this derivative contract was a liability of $63million and $9 million, respectively.On February 1, 2018, Whiting paid $61 million to the counterparty to settle all future minimum volume commitments under this agreement.  Accordingly, this crude oil sales and delivery contract was fully terminated and the fair value of this corresponding derivative was therefore zeroas of that date.

Embedded Derivatives—In March 2016, the Company issued convertible notes that contained debtholder conversion options which the Company determined were not clearly and closely related to the debt host contracts, and the Company therefore bifurcated these embedded features and reflected them at fair value in the consolidated financial statements.  During the second quarter of 2016, the entire aggregate principal amount of these notes was converted into shares of the Company’s common stock, and the fair value of these embedded derivatives as of December 31, 2017 and 2016 was therefore zero.

In July 2016, the Company entered into a purchase and sale agreement with the buyer of its North Ward Estes Properties, whereby the buyer agreed to pay Whiting additional proceeds of $100,000 for every $0.01 that, as of June 28, 2018, the average NYMEX crude oil futures contract price for each month from August 2018 through July 2021 is above $50.00/Bbl up to a maximum amount of $100million.  The Company determined that this NYMEX-linked contingent payment was not clearly and closely related to the host contract, and the Company therefore bifurcated this embedded feature and reflected it at its estimated fair value of $51 million in the consolidated financial statements as of December 31, 2016.  On July 19, 2017, the buyer paid $35 million to Whiting to settle this NYMEX-linked contingent payment, and accordingly, the embedded derivative’s fair value was zero as of December 31, 2017.

Derivative Instrument Reporting—All derivative instruments are recorded in the consolidated financial statements at fair value, other than derivative instruments that meet the “normal purchase normal sale” exclusion or other derivative scope exceptions.  The following table summarizes the effects of derivative instruments on the consolidated statements of operations for the years ended December 31, 2017, 2016 and 2015 (in thousands):

		(Gain) Loss Recognized in Income
Not Designated as	Statement of Operations	Year Ended December 31,
ASC 815 Hedges	Classification	2017		2016		2015
Commodity contracts	Derivative (gain) loss, net	$	104,138	$	58,771	$	(217,972)
Embedded derivatives	Derivative (gain) loss, net		18,709		(59,358)		-
Total		$	122,847	$	(587)	$	(217,972)

Offsetting of Derivative Assets and Liabilities.The Company nets its financial derivative instrument fair value amounts executed with the same counterparty pursuant to ISDA master agreements, which provide for net settlement over the term of the contract and in the event of default or termination of the contract.  The following tables summarize the location and fair value amounts of all the Company’s derivative instruments in the consolidated balance sheets, as well as the gross recognized derivative assets, liabilities and amounts offset in the consolidated balance sheets (in thousands):

		December 31, 2017 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	9,829	$	(9,829)	$	-
Total derivative assets		$	9,829	$	(9,829)	$	-
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	142,354	$	(9,829)	$	132,525
Total derivative liabilities		$	142,354	$	(9,829)	$	132,525

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		December 31, 2016 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	21,405	$	(21,405)	$	-
Commodity contracts - non-current	Other long-term assets		9,495		(9,495)		-
Embedded derivatives - non-current	Other long-term assets		50,632		-		50,632
Total derivative assets		$	81,532	$	(30,900)	$	50,632
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	39,033	$	(21,405)	$	17,628
Commodity contracts - non-current	Other long-term liabilities		19,724		(9,495)		10,229
Total derivative liabilities		$	58,757	$	(30,900)	$	27,857

_____________________

(1) Because counterparties to the Company’s financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas’ credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

Contingent Features in Financial Derivative Instruments.  None of the Company’s derivative instruments contain credit-risk-related contingent features.  Counterparties to the Company’s financial derivative contracts are high credit-quality financial institutions that are lenders under Whiting’s credit agreement.  The Company uses only credit agreement participants to hedge with, since these institutions are secured equally with the holders of Whiting’s bank debt, which eliminates the potential need to post collateral when Whiting is in a derivative liability position.  As a result, the Company is not required to post letters of credit or corporate guarantees for its derivative counterparties in order to secure contract performance obligations.

7.          FAIR VALUE MEASUREMENTS

The Company follows FASB ASC Topic 820, Fair Value Measurement and Disclosure, which establishes a three-level valuation hierarchy for disclosure of fair value measurements.  The valuation hierarchy categorizes assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement.  The three levels are defined as follows:

· Level 1:  Quoted Prices in Active Markets for Identical Assets – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

· Level 2:  Significant Other Observable Inputs – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

· Level 3:  Significant Unobservable Inputs – inputs to the valuation methodology are unobservable and significant to the fair value measurement.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.  The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.  The Company reflects transfers between the three levels at the beginning of the reporting period in which the availability of observable inputs no longer justifies classification in the original level.

Cash, cash equivalents, restricted cash, accounts receivable and accounts payable are carried at cost, which approximates their fair value because of the short-term maturity of these instruments.  The Company’s credit agreement has a recorded value that approximates its fair value since its variable interest rate is tied to current market rates and the applicable margins represent market rates.

The Company’s senior notes and senior subordinated notes are recorded at cost, and the Company’s convertible senior notes are recorded at fair value at the date of issuance.  The following table summarizes the fair values and carrying values of these instruments as of December 31, 2017 and 2016 (in thousands):

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	December 31, 2017				December 31, 2016
	Fair		Carrying		Fair		Carrying
	Value (1)		Value (2)		Value (1)		Value (2)
6.5% Senior Subordinated Notes due 2018	$	-	$	-	$	275,121	$	273,506
5.0% Senior Notes due 2019		985,444		958,713		961,409		956,607
1.25% Convertible Senior Notes due 2020		517,109		506,231		503,057		483,465
5.75% Senior Notes due 2021		897,633		869,284		868,149		868,460
6.25% Senior Notes due 2023		418,503		403,940		408,296		403,265
6.625% Senior Notes due 2026		1,025,000		985,261		-		-
Total	$	3,843,689	$	3,723,429	$	3,016,032	$	2,985,303

(1) Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy.

(2) Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums.

The Company’s derivative financial instruments are recorded at fair value and include a measure of the Company’s own nonperformance risk or that of its counterparty, as appropriate.The following tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016, and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair values (in thousands):

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2017
Financial Liabilities
Commodity derivatives – current	$	-	$	69,247	$	63,278	$	132,525
Total financial liabilities	$	-	$	69,247	$	63,278	$	132,525

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2016
Financial Assets
Embedded derivatives – non-current	$	-	$	50,632	$	-	$	50,632
Total financial assets	$	-	$	50,632	$	-	$	50,632
Financial Liabilities
Commodity derivatives – current	$	-	$	14,664	$	2,964	$	17,628
Commodity derivatives – non-current		-		3,979		6,250		10,229
Total financial liabilities	$	-	$	18,643	$	9,214	$	27,857

The following methods and assumptions were used to estimate the fair values of the Company’s financial assets and liabilities that are measured on a recurring basis:

Commodity Derivatives.  Commodity derivative instruments consist mainly of costless collars for crude oil.  The Company’s costless collars are valued based on an income approach.  The option model considers various assumptions, such as quoted forward prices for commodities, time value and volatility factors.  These assumptions are observable in the marketplace throughout the full term of the contract, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace, and are therefore designated as Level 2 within the valuation hierarchy.  The discount rates used in the fair values of these instruments include a measure of either the Company’s or the counterparty’s nonperformance risk, as appropriate.  The Company utilizes its counterparties’ valuations to assess the reasonableness of its own valuations.

In addition, the Company had a long-term crude oil sales and delivery contract, whereby it had committed to deliver certain fixed volumes of crude oil through April 2020.Whiting determined that the contract didnot meet the “normal purchase normal sale” exclusion, and has therefore reflected this contract at fair value in its consolidated financial statements.  This commodity derivative was valued based on a probability-weighted income approach which considers various assumptions, including quoted spot prices for commodities, market differentials for crude oil, U.S. Treasury rates and either the Company’s or the counterparty’s nonperformance risk, as appropriate.The assumptions used in the valuation of the crude oil sales and deliverycontract include certain market differential metrics that were unobservable during the term of the contract.  Such unobservable inputs were significant to the contract valuation methodology, and thecontract’s fair value was therefore designated as Level 3 within the valuation hierarchy.On February 1, 2018, Whiting paid $61 million to the counterparty to settle all future minimum volume commitments under this agreement.  Accordingly, this derivative was settled in its entirety as of that date.

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Embedded Derivatives.  The Company had embedded derivatives related to its convertible notes that were issued in March 2016.  The notes contained debtholder conversion options which the Company determined were not clearly and closely related to the debt host contracts and the Company therefore bifurcated these embedded features and reflected them at fair value in the consolidated financial statements.  Prior to their settlements, the fair values of these embedded derivatives were determined using a binomial lattice model which considered various inputs including (i) Whiting’s common stock price, (ii) risk-free rates based on U.S. Treasury rates, (iii) recovery rates in the event of default, (iv) default intensity, and (v) volatility of Whiting’s common stock.  The expected volatility and default intensity used in the valuation were unobservable in the marketplace and significant to the valuation methodology, and the embedded derivatives’ fair value was therefore designated as Level 3 in the valuation hierarchy.  During the second quarter of 2016, the entire aggregate principal amount of these convertible notes was converted into shares of the Company’s common stock.  Accordingly, the embedded derivatives were settled in their entirety as of June 30, 2016.

The Company had an embedded derivative related to its purchase and sale agreement with the buyer of the North Ward Estes Properties.  The agreement included a Contingent Payment linked to NYMEX crude oil prices which the Company determined was not clearly and closely related to the host contract, and the Company therefore bifurcated this embedded feature and reflected it at fair value in the consolidated financial statements prior to settlement.  The fair value of this embedded derivative was determined using a modified Black-Scholes swaption pricing model which considers various assumptions, including quoted forward prices for commodities, time value and volatility factors.  These assumptions were observable in the marketplace throughout the full term of the financial instrument, could be derived from observable data or were supported by observable levels at which transactions are executed in the marketplace, and were therefore designated as Level 2 within the valuation hierarchy. The discount rate used in the fair value of this instrument included a measure of the counterparty’s nonperformance risk.  On July 19, 2017, the buyer paid $35 million to Whiting in satisfaction of this Contingent Payment.  Accordingly, the embedded derivative was settled in its entirety as of that date.

Level 3 Fair Value Measurements—A third-party valuation specialist is utilized in determining the fair value of the Company’s derivative instruments designated as Level 3.  The Company reviews these valuations, including the related model inputs and assumptions, and analyzes changes in fair value measurements between periods.  The Company corroborates such inputs, calculations and fair value changes using various methodologies, and reviews unobservable inputs for reasonableness utilizing relevant information from other published sources.

The following table presents a reconciliation of changes in the fair value of financial assets or liabilities designated as Level 3 in the valuation hierarchy for the years ended December 31, 2017 and 2016 (in thousands):

	Year Ended December 31,
	2017		2016
Fair value liability, beginning of period	$	(9,214)	$	(4,027)
Recognition of embedded derivatives associated with convertible note issuances		-		(89,884)
Unrealized gains on embedded derivatives included in earnings (1)		-		47,965
Settlement of embedded derivatives upon conversion of convertible notes		-		41,919
Unrealized losses on commodity derivative contracts included in earnings (1)		(54,064)		(5,187)
Transfers into (out of) Level 3		-		-
Fair value liability, end of period	$	(63,278)	$	(9,214)

_____________________

(1) Included in derivative (gain) loss, net in the consolidated statements of operations.

Quantitative Information about Level 3 Fair Value Measurements.  The significant unobservable inputs used in the fair value measurement of the Company’s commodity derivative instrument designated as Level 3 are as follows:

Derivative Instrument	Valuation Technique	Unobservable Input	Amount
Commodity derivative contract	Probability-weighted income approach	Market differential for crude oil	$4.08 - $4.92 per Bbl

Sensitivity to Changes in Significant Unobservable Inputs.  As presented above, the significant unobservable inputs used in the fair value measurement of Whiting’s commodity derivative contract are the market differentials for crude oil over the term of the contract.  Significant increases or decreases in these unobservable inputs in isolation would result in a significantly lower or higher, respectively, fair value liability measurement.

Non-recurring Fair Value Measurements—The Company applies the provisions of the fair value measurement standard on a non-recurring basis to its non-financial assets and liabilities, including proved property.  These assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments only in certain circumstances.  The Company did not recognize any impairment write-downs with respect to its proved property during the year ended December 31, 2016.The following table presents

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information about the Company’s non-financial assets measured at fair value on a non-recurring basis for the year ended December 31, 2017, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (in thousands):

									Loss (Before
	Net Carrying								Tax) Year
	Value as of								Ended
	December 31,		Fair Value Measurements Using						December 31,
	2017		Level 1		Level 2		Level 3		2017
Proved property (1)	$	389,390	$	-	$	-	$	389,390	$	834,950

_____________________

(1) During the fourth quarter of 2017, proved oil and gas properties at the Redtail field in the Denver Julesburg Basin (the “DJ Basin”) in Weld County, Colorado, with a previous carrying amount of $1.2 billion were written down to their fair value as of December31, 2017 of $389 million, resulting in a non-cash impairment charge of $835million which was recorded within exploration and impairment expense. 

The following methods and assumptions were used to estimate the fair values of the non-financial assets in the table above:

Proved Property Impairments.  The Company tests proved property for impairment whenever events or changes in circumstances indicate that the fair value of these assets may be reduced below their carrying value.  Based on recent well performance results in the DJ Basin, the Company reduced its reserves at its Redtail field during the fourth quarter of 2017, and performed a proved property impairment test as of December 31, 2017.  The fair value was ascribed using income approach analyses based on the net discounted future cash flows from the producing property and related assets.  The discounted cash flows were based on management’s expectations for the future.  Unobservable inputs included estimates of future oil and gas production from the Company’s reserve reports, commodity prices based on sales contract terms or forward price curves (adjusted for basis differentials), operating and development costs, and a discount rate based on the Company’s weighted-average cost of capital (all of which were designated as Level 3 inputs within the fair value hierarchy).  The impairment test indicated that a proved property impairment had occurred, and the Company therefore recorded a non-cash impairment charge to reduce the carrying value of the impaired property to its fair value at December 31, 2017.

8.          SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST

Common Stock

Reverse Stock Split.On November 8, 2017 and following approval by the Company’s stockholders of an amendment to its certificate of incorporation to effect a reverse stock split, the Company’s Board of Directors approved a reverse stock split of Whiting’s common stock at a ratio of one-for-four and a reduction in the number of authorized shares of the Company’s common stock from 600,000,000 shares to 225,000,000.  Whiting’s common stock began trading on a split-adjusted basis on November 9, 2017 upon opening of the markets.  All share and per share amounts in these consolidated financial statements and related notes for periods prior to November 2017 have been retroactively adjusted to reflect the reverse stock split. 

Common Stock Offering.In March 2015, the Company completed a public offering of its common stock, selling 8,750,000 shares of common stock at a price of $120.00 per share and providing net proceeds of approximately $1.0 billion after underwriter’s fees.  In addition, the Company granted the underwriter a 30-day option to purchase up to an additional 1,312,500 shares of common stock.  On April 1, 2015, the underwriter exercised its right to purchase an additional 500,000 shares of common stock, providing additional net proceeds of $61 million.

Noncontrolling Interest—The Company’s noncontrolling interest represented an unrelated third party’s 25% ownership interest in Sustainable Water Resources, LLC (“SWR”).  During the third quarter of 2017, the third party’s ownership interest in SWR was assigned back to SWR.  Thetable below summarizes the activity for the equity attributable to the noncontrolling interest (in thousands):

	Year Ended December 31,
	2017		2016
Balance at beginning of period	$	7,962	$	7,984
Net loss		(14)		(22)
Conveyance of ownership interest		(7,948)		-
Balance at end of period	$	-	$	7,962

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9.          STOCK-BASED COMPENSATION

Equity Incentive Plan—The Company maintains the Whiting Petroleum Corporation 2013 Equity Incentive Plan, as amended and restated (the “2013 Equity Plan”), which replaced the Whiting Petroleum Corporation 2003 Equity Incentive Plan (the “2003 Equity Plan”) and includes the authority to issue 1,375,000 shares of the Company’s common stock.  Upon shareholder approval of the 2013 Equity Plan, the 2003 Equity Plan was terminated.  The 2003 Equity Plan continues to govern awards that were outstanding as of the date of its termination, which remain in effect pursuant to their terms. Any shares netted or forfeited under the 2003 Equity Plan and any shares forfeited under the 2013 Equity Plan will be available for future issuance under the 2013 Equity Plan.  However, shares netted for tax withholding under the 2013 Equity Plan will be cancelled and will not be available for future issuance.  Under the 2013 Equity Plan, no employee or officer participant may be granted options for more than 225,000 shares of common stock, stock appreciation rights relating to more than 225,000 shares of common stock, more than 150,000 shares of restricted stock, more than 150,000 restricted stock units, more than 150,000 performance shares, or more than 150,000 performance units during any calendar year.  In addition, no non-employee director participant may be granted options for more than 25,000 shares of common stock, stock appreciation rights relating to more than 25,000 shares of common stock, more than 25,000 shares of restricted stock, or more than 25,000 restricted stock units during any calendar year.  As of December 31, 2017, 1,137,723 shares of common stock remained available for grant under the 2013 Equity Plan.

Restricted Stock, Restricted Stock Units and Performance Shares—The Company grants service-based restricted stock awards and restricted stock units to executive officers and employees, which generally vest ratably over a three-year service period. The Company also grants service-based restricted stock awards to directors, which generally vest over a one-year service period.  In addition, the Company grants performance share awards to executive officers that are subject to market-based vesting criteria as well as a three-year service period.  Upon adoption of ASU 2016-09 on January 1, 2017, the Company elected to account for forfeitures of awards granted under these plans as they occur in determining compensation expense.  The Company recognizes compensation expense for all awards subject to market-based vesting conditions regardless of whether it becomes probable that these conditions will be achieved or not, and compensation expense is not reversed if vesting does not actually occur.

During 2017, 2016 and 2015, 538,194,  737,912 and 205,971 shares, respectively, of service-based restricted stock awards were granted to employees, executive officers and directors under the 2013 Equity Plan.  The grant date fair value of restricted stock awards is determined based on the closing bid price of the Company’s common stock on the grant date.  The weighted average grant date fair value of restricted stock awards was $40.66 per share, $27.82 per share and $123.72 per share for the years ended December 31, 2017, 2016, and 2015, respectively.

During2017, 2016 and 2015, 168,466,  268,278 and 97,937 performance shares, respectively, subject to certain market-based vesting criteria were granted to executive officers under the 2013 Equity Plan.  These market-based awards cliff vest on the third anniversary of the grant date, and the number of shares that will vest at the end of that three-year performance period is determined based on the rank of Whiting’s cumulative stockholder return compared to the stockholder return of a peer group of companies over the same three-year period.  The number of shares earned could range from zero up to two times the number of shares initially granted.

For awards subject to market conditions, the grant date fair value is estimated using a Monte Carlo valuation model.  The Monte Carlo model is based on random projections of stock price paths and must be repeated numerous times to achieve a probabilistic assessment.  Expected volatility is calculated based on the historical volatility of Whiting’s common stock, and the risk-free interest rate is based on U.S. Treasury yield curve rates with maturities consistent with the three-year vesting period.  The key assumptions used in valuing these market-based awards were as follows:

	2017	2016	2015
Number of simulations	2,500,000	2,500,000	2,500,000
Expected volatility	82.44%	60.8%	40.3%
Risk-free interest rate	1.52%	1.13%	0.99%
Dividend yield	-	-	-

The weighted average grant date fair value of the market-based awards as determined by the Monte Carlo valuation model was $63.04 per share, $25.56 per share and $133.00 per share in 2017, 2016 and 2015, respectively.

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The following table shows a summary of the Company’s restricted stock award (“RSA”), restricted stock unit (“RSU”) and performance share activity for the year ended December 31, 2017:

	Number of Awards			WeightedAverage
	Service-Based	Service-Based	Market-Based	Grant Date
	RSAs	RSUs	Performance Awards	Fair Value
Nonvested awards, January 1	766,818	-	523,172	$	54.19
Granted	538,194	39,619	168,466		44.89
Vested	(339,199)	-	-		51.23
Forfeited	(67,392)	-	(194,111)		81.97
Nonvested awards, December 31	898,421	39,619	497,527	$	44.99

As of December 31, 2017, there was $18 million of total unrecognized compensation cost related to unvested awards granted under the stock incentive plans.  That cost is expected to be recognized over a weighted average period of 2.0 years. For the years ended December31, 2017, 2016 and 2015, the total fair value of restricted stock vested was $15 million, $5 million and $4 million, respectively.

Stock Options—Stock options may be granted to certain executive officers of the Company with exercise prices equal to the closing market price of the Company’s common stock on the grant date.  There were no stock options granted under the 2013 Equity Plan during 2017, 2016 or 2015.  The Company’s stock options vest ratably over a three-year service period from the grant date and are exercisable immediately upon vesting through the tenth anniversary of the grant date.

The following table shows a summary of the Company’s stock options outstanding as of December 31, 2017 as well as activity during the year then ended:

						Weighted
						Average
		Weighted		Aggregate		Remaining
		Average		Intrinsic		Contractual
	Number of	Exercise Price		Value		Term
	Options	per Share		(in thousands)		(in years)
Options outstanding at January 1	128,524	$	158.17
Granted	-		-
Exercised	-		-	$	-
Forfeited or expired	(6,490)		207.86
Options outstanding at December 31	122,034	$	154.32	$	28	2.4
Options vested at December 31	122,034	$	154.32	$	28	2.4
Options exercisable at December 31	122,034	$	154.32	$	28	2.4

There was no unrecognized compensation cost related to unvested stock option awards as of December 31, 2017.  There were no stock options exercised during the years ended December 31, 2017 or 2016.  For the year ended December 31, 2015, the aggregateintrinsic value of stock options exercised was $2 million. 

For the years ended December 31, 2017, 2016 and 2015, total stock compensation expense recognized for restricted share awards and stock options was $22 million, $26 million and $28 million, respectively.

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10.         INCOME TAXES

Income tax benefit consists of the following (in thousands):

	Year Ended December 31,
	2017		2016		2015
Current income tax expense (benefit)
Federal	$	(7,305)	$	(7,340)	$	-
State		14		150		(357)
Total current income tax benefit		(7,291)		(7,190)		(357)
Deferred income tax benefit
Federal		(398,686)		(65,130)		(736,520)
State		(77,002)		(15,326)		(37,350)
Total deferred income tax benefit		(475,688)		(80,456)		(773,870)
Total	$	(482,979)	$	(87,646)	$	(774,227)

Income tax benefit differed from amounts that would result from applying the U.S. statutory income tax rate (35%) to income before income taxes as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
U.S. statutory income tax benefit	$	(602,219)	$	(499,370)	$	(1,047,723)
State income taxes, net of federal benefit		(39,557)		(33,050)		(44,654)
Valuation allowance		120,880		-		-
Federal tax reform		(42,033)		-		-
Impairment charge after enactment of federal tax reform		114,293		-		-
IRC Section 382 limitation		(45,899)		259,494		-
Non-deductible convertible debt expenses		-		174,071		-
Goodwill impairment		-		-		305,820
Market-based equity awards		7,003		8,352		2,690
Enacted changes in state tax laws		-		5,020		7,350
Other		4,553		(2,163)		2,290
Total	$	(482,979)	$	(87,646)	$	(774,227)

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The principal components of the Company’s deferred income tax assets and liabilities at December 31, 2017 and 2016 were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Deferred income tax assets
Net operating loss carryforward	$	828,617	$	1,248,034
Derivative instruments		31,567		6,145
Asset retirement obligations		16,138		21,398
Restricted stock compensation		9,704		12,171
EOR credit carryforwards		7,946		7,946
Alternative minimum tax credit carryforwards		-		7,847
Other		11,549		19,356
Total deferred income tax assets		905,521		1,322,897
Less valuation allowance		(271,300)		(264,461)
Net deferred income tax assets		634,221		1,058,436
Deferred income tax liabilities
Oil and gas properties		566,747		1,412,781
Trust distributions		54,980		94,120
Discount on convertible senior notes		12,494		27,224
Total deferred income tax liabilities		634,221		1,534,125
Total net deferred income tax liabilities	$	-	$	475,689

The Company’s July 1, 2016 note exchange transactions triggered an ownership shift within the meaning of Section 382 of the Internal Revenue Code (“IRC”) due to the “deemed share issuance” that resulted from the note exchanges.  The ownership shift will limit Whiting’s usage of certain of its net operating losses and tax credits in the future. Accordingly, the Company recognized valuation allowances on its deferred tax assets totaling $259 million.  In the third quarter of 2017 there was a partial release of this valuation allowance in the amount of $41 million associated with built-on gains on the sale of the FBIR Assets.

As of December 31, 2017, the Company had federal net operating loss (“NOL”) carryforwards of $2.9 billion, which was net of the IRC Section 382 limitation.  The Company also has various state NOL carryforwards.  The determination of the state NOL carryforwards is dependent upon apportionment percentages and state laws that can change from year to year and that can thereby impact the amount of such carryforwards.  If unutilized, the federal NOL will expire between 2023 and 2037, and the state NOLs will expire between 2018 and 2037.

EOR credits are a credit against federal income taxes for certain costs related to extracting high-cost oil, utilizing certain prescribed enhanced tertiary recovery methods.  As of December 31, 2017, the Company had recognized aggregate EOR credits of $8 million.  As a result of the IRC Section 382 limitation in July 2016, the Company recorded a full valuation allowance on these credits.

The Company was subject to the alternative minimum tax (“AMT”) principally due to its significant intangible drilling cost deductions.  For 2017, the Company expects to forego bonus depreciation and claim a refund under the Protecting Americans from Tax Hikes Act for its AMT credits and has recognized a $7 million current benefit.  As of December 31, 2017, the Company had no remaining AMT credits available to offset future regular federal income taxes. 

On December 22, 2017, Congress passed the Tax Cuts and Jobs Act (the “TCJA”).  The new legislation significantly changes the U.S. corporate tax law by, among other things, lowering the U.S. corporate income tax rate from 35% to 21% beginning in January 2018, implementing a territorial tax system and imposing a repatriation tax on deemed repatriated earnings of foreign subsidiaries.  FASB ASC Topic 740, Income Taxes, requires companies to recognize the impact of the changes in tax law in the period of enactment. 

The SEC issued Staff Accounting Bulletin No. 118 (“SAB 118”), which allows registrants to record provisional amounts during a one year “measurement period” similar to that used to account for business combinations, however, the measurement period is deemed to have ended earlier when the registrant has obtained, prepared and analyzed the information necessary to finalize its accounting.  During the measurement period, impacts of the law are expected to be recorded at the time a reasonable estimate for all or a portion of the effects can be made, and provisional amounts can be recognized and adjusted as information becomes available, prepared or analyzed.  SAB 118 outlines a three-step process to be applied at each reporting period to account for and qualitatively disclose (i) the effects of the change in tax law for which accounting is complete, (ii) provisional amounts (or adjustments to provisional amounts) for the effects of the change in tax law where accounting is not complete, but where a reasonable estimate has been made, and (iii) areas affected by

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the change in tax law where a reasonable estimate cannot yet be made and therefore taxes are reflected in accordance with law prior to the enactment of the TCJA.

Amounts recorded during the year ended December 31, 2017 related to the TCJA principally relate to the reduction in the U.S. corporate income tax rate to 21%, which resulted in (i) income tax expense of $51 million from the revaluation of the Company’s deferred tax assets and liabilities as of the date of enactment and (ii) an income tax benefit totaling $93 million related to a reduction in the Company’s existing valuation allowances.  Reasonable estimates were made based on the Company’s analysis of the remeasurement of its deferred tax assets and liabilities and valuation allowances under tax reform.  These provisional amounts may be adjusted in future periods if additional information is obtained or further clarification and guidance is issued by regulatory authorities regarding the application of the law.

Other provisions of the TCJA that do not impact 2017, but may impact income taxes in future years include (i) a limitation on the current deductibility of net interest expense in excess of 30% of adjusted taxable income, (ii) a limitation on the usage of NOLs generated after 2017 to 80% of taxable income, (iii) additional limitations on certain meals and entertainment expenses, (iv) the inclusion of performance based compensation in determining the excessive compensation limitation, and (v) the unlimited carryforward of NOLs.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion, or all, of the Company’s deferred tax assets will not be realized.  In making such determination, the Company considers all available positive and negative evidence, including future reversals of temporary differences, tax-planning strategies and projected future taxable income and results of operations.  If the Company concludes that it is more likely than not that some portion, or all, of its deferred tax assets will not be realized, the tax asset is reduced by a valuation allowance.  At December 31, 2017, after considering the impact of the federal tax rate reduction resulting from the enactment of the TCJA,  the Company had a valuation allowance totaling $271 million, comprised of $138 million of NOL carryforward limitations under Section 382 of the IRC, $8 million of EOR credits, which will expire between 2023 and 2025, $5 million of Canadian NOL carryforwards, which will expire between 2034 and 2035, and $1 million of short-term capital loss carryforwards that are not expected to be realized.  In addition, the Company has determined that it does not expect the carrying value of its deferred tax assets to be realized, and accordingly, has recorded a full valuation allowance totaling $119 million on its net deferred tax assets as of December 31, 2017.At December 31, 2016, the Company had a valuation allowance totaling $265 million, comprised of $251 million of NOL carryforward limitations under Section 382 of the IRC, $8 million of EOR credits, and $5 million of Canadian NOL carryforwards.  These valuation allowances were recorded because the Company determined it was more likely than not that the benefit from these deferred tax assets would not be realized due to the IRC Section 382 limitation on the NOL carryforward and the EOR credit carryforwards, as well as the divestiture of all foreign operations.

In 2014, the Company acquired Kodiak Oil & Gas Corp. (“Kodiak”), which is a Canadian entity that is disregarded for U.S. tax purposes.  Kodiak holds an interest in Whiting Resources Corporation, a U.S. entity.  Canadian taxes have not been recognized as the tax basis exceeds the book basis in the associated assets.  U.S. income taxes on Kodiak and its subsidiary, Whiting Resources Corporation, however, have been fully recognized on their cumulative losses to date.The TCJA provides for a one-time “deemed repatriation” of accumulated foreign earnings for the year ended December 31, 2017.  We do not expect to pay U.S. federal cash taxes on the deemed repatriation due to an estimated accumulated deficit in foreign earnings for tax purposes. 

As of December 31,2017 and 2016, the Company did not have any uncertain tax positions.  During the year ended December 31, 2016, the Company reversed an unrecognized tax benefit of $170,000as a result of the IRC Section 382 limitation, which resulted in the Company recording a full valuation allowance on its EOR credits, the underlying asset generating the uncertain tax position.  For the years ended December 31, 2017, 2016 and 2015, the Company did not recognize any interest or penalties with respect to unrecognized tax benefits, nor did the Company have any such interest or penalties previously accrued.  The Company believes that it is reasonably possible that no increases to unrecognized tax benefits will occur in the next twelve months.

The Company files income tax returns in the U.S. federal jurisdiction and in various states, each with varying statutes of limitations.  The 2014 through 2017 tax years generally remain subject to examination by federal and state tax authorities.  Additionally, the Company has Canadian income tax filings which remain subject to examination by the related tax authorities for the 2012  through 2017  tax years.

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11.         EARNINGS PER SHARE

The reconciliations between basic and diluted loss per share are as follows (in thousands, except per share data):

	Year Ended December 31,
	2017		2016		2015
Basic Loss Per Share (1)
Net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)
Diluted Loss Per Share (1)
Adjusted net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)

_____________________

(1) All share and per share numbers have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

For the year ended December 31, 2017, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of 509,744 shares of service-based restricted stock, 22,946 shares of market-based restricted stock and 1,083 stock options. In addition, the diluted earnings per share calculation for the year ended December 31, 2017 excludes the effect of 554,580 common shares for stock options that were out-of-the-money and 5,447 shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2017. 

For the year ended December 31, 2016, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of (i) 10,820,758 shares issuable for convertible notes prior to their conversions under the if-converted method, (ii) 444,646 shares of service-based restricted stock, and (iii) 1,158 stock options.  In addition, the diluted earnings per share calculation for the year ended December 31, 2016 excludes the effect of 479,452 common shares for stock options that were out-of-the-money and 92,548 shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2016. 

For the year ended December 31, 2015, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of 129,034 shares of service-based restricted stock and 21,391 stock options.  In addition, the diluted earnings per share calculation for the year ended December 31, 2015 excludes the effect of 169,069 incremental shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2015 and 128,689 common shares for stock options that were out-of-the-money. 

Refer to the “Stock-Based Compensation” footnote for further information on the Company’s restricted stock and stock options.

As discussed in the “Long-Term Debt” footnote, the Company has the option to settle the 2020 Convertible Senior Notes with cash, shares of common stock or any combination thereof upon conversion.  Based on the current conversion price, the entire outstanding principal amount of the 2020 Convertible Senior Notes as of December 31, 2017 would be convertible into approximately 3.6 million shares of the Company’s common stock.  However, the Company’s intent is to settle the principal amount of the notes in cash upon conversion.  As a result, only the amount by which the conversion value exceeds the aggregate principal amount of the notes (the “conversion spread”) is considered in the diluted earnings per share computation under the treasury stock method.  As of December 31, 2017, 2016 and 2015, the conversion value did not exceed the principal amount of the notes.  Accordingly, there was no impact to diluted earnings per share or the related disclosures for those periods.

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12.         COMMITMENTS AND CONTINGENCIES

The table below shows the Company’s minimum future payments under non-cancelable operating leases and unconditional purchase obligations as of December 31, 2017 (in thousands):

	Payments due by period
	2018		2019		2020		2021		2022		Thereafter		Total
Non-cancelable leases	$	7,502	$	6,399	$	802	$	-	$	-	$	-	$	14,703
Drilling rig contracts		19,442		300		-		-		-		-		19,742
Pipeline transportation agreements		5,369		5,369		5,369		5,369		5,369		11,481		38,326
Total	$	32,313	$	12,068	$	6,171	$	5,369	$	5,369	$	11,481	$	72,771

Non-cancelable Leases—The Company leases 222,900 square feet of administrative office space in Denver, Colorado under an operating lease arrangement expiring in 2019, 44,500 square feet of office space in Midland, Texas expiring in 2020, and 36,500 square feet of office space in Dickinson, North Dakota expiring in 2020.  Rental expense for 2017, 2016 and 2015 amounted to $8million, $9million and $9 million, respectively.  Minimum lease payments under the terms of non-cancelable operating leases as of December 31, 2017 are shown in the table above.The Company has sublet the majority of its office space in Midland, Texas to a third party for the remaining lease term.  The offsetting rental income has not been included in the table above. 

Drilling Rig Contracts—As of December 31, 2017, the Company had threedrilling rigs under long-term contracts, of which two drilling rigs expire in 2018 and one expires in 2019.  The Company’s minimum drilling commitments under the terms of these contracts as of December 31, 2017 are shown in the table above.  As of December 31, 2017, early termination of these contracts would require termination penalties of $11 million, which would be in lieu of paying the remaining drilling commitments under these contracts.  During 2017, 2016 and 2015, the Company made payments of $29 million, $31 million and $18 million, respectively, under these long-term contracts, which are initially capitalized as a component of oil and gas properties and either depleted in future periods or written off as exploration expense.

Pipeline Transportation Agreements—The Company has three pipeline transportation agreements with two different suppliers, expiring in 2022, 2024 and 2025.  Under two of these contracts,  the Company has committed to pay fixed monthly reservation fees on dedicated pipelines from its Redtail field for natural gas and NGL transportation capacity, plus a variable charge based on actual transportation volumes.  These fixed monthly reservation fees totaling approximately $38 million have been included in the table above.

The remaining contract contains a commitment to transport a minimum volume of crude oil via a certain oil gathering system or else pay for any deficiencies at a price stipulated in the contract.  Although minimum annual quantities are specified in the agreement, the actual oil volumes transported and their corresponding unit prices are variable over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under thistransportation agreement to approximate$17 million through 2022.

During 2017, 2016 and 2015, transportation of crude oil, natural gas and NGLs under these contracts amounted to $7million, $5million and $3 million, respectively.

Purchase Contracts—The Company has one take-or-pay purchase agreement which expires in 2020, whereby the Company has committed to buy certain volumes of water for use in the fracture stimulation process of wells the Company completes in its Redtail field.  Under the terms of the agreement, the Company is obligated to purchase a minimum volume of water or else pay for any deficiencies at the price stipulated in the contract.  Although minimum daily quantities are specified in the agreement, the actual water volumes purchased and their corresponding unit prices are variable over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under this purchase agreement to approximate $23 million through 2020.

As a result of the Company’s reduced development operations at its Redtail field, Whiting expects to make periodic deficiency payments under this contract during the remaining term.  During 2017 and 2016, purchases of water amounted to $22 million and$1million, respectively, which included insignificant deficiency payments for the year ended December 31, 2017. 

Water Disposal Agreement—The Company has one water disposal agreement which expires in 2024, whereby it has contracted for the transportation and disposal of the produced water from its Redtail field.  Under the terms of the agreement, the Company is obligated to provide a minimum volume of produced water or else pay for any deficiencies at the price stipulated in the contract.  Although minimum monthly quantities are specified in the agreement, the actual water volumes disposed of and their corresponding unit prices are variable

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over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under this disposal agreement to approximate $122 million through 2024.  As a result of the Company’s reduced development operations at its Redtail field, Whiting has made and expects to make periodic deficiency payments under this contract.  During 2017 and 2016, transportation and disposal of produced water amounted to $16 and $8 million, respectively, which includes $4 million and $2 million of deficiency payments, respectively.  There were no water disposal costs incurred under this contract during 2015. 

Delivery Commitments—The Company has various physical delivery contracts which require the Company to deliver fixed volumes of crude oil.  One of these delivery commitments became effective on June 1, 2017 upon completion of the Dakota Access Pipeline, and it is tied to crude oil production from Whiting’s Sanish field in Mountrail County, North Dakota.  Under the terms of the agreement, Whiting has committed to deliver 15 MBbl/d for a term of seven years.  The Company believes its production and reserves at the Sanish field are sufficient to fulfill this delivery commitment, and therefore expects to avoid any payments for deficiencies under this contract.

The remaining two delivery contractsare tied to crude oil production at Whiting’s Redtail field in Weld County, Colorado.  On February 1, 2018, the Company paid $61 million to the counterparty to one of these contracts to settle all future minimum volume commitments under the agreement.  As of December 31, 2017,  these contracts contain remaining delivery commitments of 14.8 MMBbl, 16.0 MMBbl and 4.1 MMBbl of crude oilfor the years ended December 31, 2018 through 2020, respectively, which commitments have been reduced to reflect the contract settlement on February 1, 2018.  The Company has determined that it is not probable that future oil production from its Redtail field will be sufficient to meet the minimum volume requirements specified in these physical delivery contracts, and as a result, the Company expects to make periodic deficiency payments for any shortfalls in delivering the minimum committed volumes. 

During 2017, 2016 and 2015, total deficiency payments under these contracts amounted to $66 million, $43million and $15 million, respectively.  The Company recognizes any monthly deficiency payments in the period in which the underdelivery takes place and the related liability has been incurred.  The table above does not include any such deficiency payments that may be incurred under the Company’s physical delivery contracts, since it cannot be predicted with accuracy the amount and timing of any such penalties incurred.

Litigation—The Company is subject to litigation, claims and governmental and regulatory proceedings arising in the ordinary course of business.  The Company accrues a loss contingency for these lawsuits and claims when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated.  While the outcome of these lawsuits and claims cannot be predicted with certainty, it is the opinion of the Company’s management that the loss for any litigation matters and claims that are reasonably possible to occur will not have a material adverse effect, individually or in the aggregate, on its consolidated financial position, cash flows or results of operations.  Accordingly, no material amounts for loss contingencies associated with litigation, claims or assessments have been accrued at December 31, 2017 or 2016.

13.         CAPITALIZED EXPLORATORY WELL COSTS

Exploratory well costs that are incurred and expensed in the same annual period have not been included in the table below.  The net changes in capitalized exploratory well costs were as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
Beginning balance at January 1	$	-	$	-	$	14,293
Additions to capitalized exploratory well costs pending the determination of proved reserves		13,894		-		54,707
Reclassifications to wells, facilities and equipment based on the determination of proved reserves		-		-		(63,352)
Capitalized exploratory well costs charged to expense		-		-		(5,648)
Ending balance at December 31	$	13,894	$	-	$	-

At December 31, 2017, the Company had no costs capitalized for exploratory wells in progress for a period of greater than one year after the completion of drilling.

14.         SUBSEQUENT EVENTS

Redemption of 2019 Senior Notes—On December 27, 2017, the trustee under the indenture governing the Company’s 2019 Senior Notes provided notice to the holders of such notes that Whiting elected to redeem all of the remaining $961 million aggregate principal amount of the 2019 Senior Notes on January 26, 2018, and on that date, Whiting paid $1.0billion consisting of the 102.976% redemption

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price plus all accrued and unpaid interest on the notes.  The Company financed the redemption with proceeds from the issuance of the 2026 Senior Notes and borrowings under its credit agreement.

Termination of Redtail Delivery Commitment—On February 1, 2018, the Company paid $61 million to the counterparty to one of its physical delivery contracts for crude oil production at its Redtail field in Weld County, Colorado to settle all future minimum commitments under this agreement. Refer to the “Commitments and Contingencies” footnote for further information on the Company’s delivery commitments.

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SUPPLEMENTAL DISCLOSURES ABOUT OIL AND GAS PRODUCING ACTIVITIES (UNAUDITED)

Oil and Gas Producing Activities

Net capitalized costs related to the Company’s oil and gas producing activities were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Proved oil and gas properties	$	10,911,167	$	12,347,400
Unproved oil and gas properties		382,483		883,451
Accumulated depletion		(4,185,301)		(4,170,237)
Oil and gas properties, net	$	7,108,349	$	9,060,614

The Company’s oil and gas activities for 2017, 2016 and 2015 were entirely within the United States.  Costs incurred in oil and gas producing activities were as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
Development (1)	$	799,462	$	518,585	$	2,137,755
Proved property acquisition		4,075		797		-
Unproved property acquisition		17,629		3,642		29,050
Exploration		50,218		45,846		192,422
Total	$	871,384	$	568,870	$	2,359,227

_____________________

(1) Development costs include non-cash downward adjustments to oil and gas properties of $45 million for 2017 and non-cash additions to oil and gas properties of$15 million and $48 million for 2016 and 2015, respectively, which relate to estimated future plugging and abandonment costs of the Company’s oil and gas wells.

Oil and Gas Reserve Quantities

For all years presented, the Company’s independent petroleum engineers independently estimated all of the proved reserve quantities included in this Annual Report on Form 10-K.  In connection with the external petroleum engineers performing their independent reserve estimations, Whiting furnishes them with the following information for their review: (i) technical support data, (ii) technical analysis of geologic and engineering support information, (iii) economic and production data, and (iv)  the Company’s well ownership interests.  The independent petroleum engineers, Cawley, Gillespie & Associates, Inc., evaluated 100% ofthe Company’s estimated proved reserve quantities and their related pre-tax future net cash flows as of December 31, 2017.  Proved reserve estimates included herein conform to the definitions prescribed by the SEC.  Estimates of proved reserves are inherently imprecise and are continually subject to revision based on production history, results of additional exploration and development, price changes and other factors.

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As of December 31, 2017, all of the Company’s oil and gas reserves are attributable to properties within the United States.  A summary of the Company’s changes in quantities of proved oil and gas reserves for the years ended December 31, 2015, 2016 and 2017 are as follows:

	Oil	NGLs	Natural Gas	Total
	(MBbl)	(MBbl)	(MMcf)	(MBOE)
Proved reserves
Balance—January 1, 2015	643,629	54,684	492,020	780,316
Extensions and discoveries	131,134	26,074	192,575	189,304
Sales of minerals in place	(33,767)	(3,240)	(96,891)	(53,156)
Production	(47,176)	(5,539)	(41,129)	(59,570)
Revisions to previous estimates	(97,143)	40,968	119,085	(36,327)
Balance—December 31, 2015	596,677	112,947	665,660	820,567
Extensions and discoveries	48,208	12,980	93,070	76,700
Sales of minerals in place	(95,294)	(16,795)	(13,797)	(114,388)
Production	(33,992)	(6,642)	(41,438)	(47,540)
Revisions to previous estimates	(120,832)	(997)	12,164	(119,802)
Balance—December 31, 2016	394,767	101,493	715,659	615,537
Extensions and discoveries	30,076	14,512	82,391	58,320
Sales of minerals in place	(42,137)	(5,263)	(18,116)	(50,419)
Purchases of minerals in place	157	29	283	233
Production	(29,261)	(6,978)	(41,261)	(43,115)
Revisions to previous estimates	(16,019)	35,156	107,521	37,056
Balance—December 31, 2017	337,583	138,949	846,477	617,612
Proved developed reserves
December 31, 2014	333,593	28,935	298,237	412,234
December 31, 2015	298,444	55,437	300,631	403,986
December 31, 2016	183,165	51,888	337,860	291,363
December 31, 2017	179,829	76,957	473,829	335,758
Proved undeveloped reserves
December 31, 2014	310,036	25,749	193,783	368,082
December 31, 2015	298,233	57,510	365,029	416,581
December 31, 2016	211,602	49,605	377,799	324,174
December 31, 2017	157,754	61,992	372,648	281,854

Notable changes in proved reserves for the year ended December 31, 2017 included the following:

· Extensions and discoveries.In 2017, total extensions and discoveries of 58.3 MMBOE were primarily attributable to successful drilling in the Williston Basin.  Both the new wells drilled in this area as well as the PUD locations added as a result of drilling increased the Company’s proved reserves.

· Sales of minerals in place.Sales of minerals in place totaled50.4 MMBOE during 2017 and were primarily attributable to the disposition of the FBIR Assets as further described in the “Acquisitions and Divestitures” footnotein the notes to the consolidated financial statements.

· Revisions to previous estimates.  In 2017, revisions to previous estimates increased proved developed and undeveloped reserves by a net amount of 37.1 MMBOE.  Included in these revisions were (i) 88.7 MMBOE of upward adjustments caused by higher crude oil, NGL and natural gas prices incorporated into the Company’s reserve estimates at December 31, 2017 as compared to December 31, 2016 and (ii) 51.6 MMBOE of downward adjustments primarily attributable to reservoir analysis and well performance in the Redtail field.

Notable changes in proved reserves for the year ended December 31, 2016 included the following:

· Extensions and discoveries.In 2016, total extensions and discoveries of 76.7 MMBOE were primarily attributable to successful drilling in the Williston Basin and DJ Basin.  Both the new wells drilled in these areas as well as the PUD locations added as a result of drilling increased the Company’s proved reserves.

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· Sales of minerals in place.Sales of minerals in place totaled114.4 MMBOE during 2016 and were primarily attributable to the disposition of the North Ward Estes Properties as further described in the “Acquisitions and Divestitures” footnotein the notes to the consolidated financial statements.

· Revisions to previous estimates.  In 2016, revisions to previous estimates decreased proved developed and undeveloped reserves by a net amount of 119.8 MMBOE.  Included in these revisions were (i) 121.6 MMBOE of downward adjustments caused by lower crude oil, NGL and natural gas prices incorporated into the Company’s reserve estimates at December 31, 2016 as compared to December 31, 2015 and (ii) 1.8 MMBOE of net upward adjustments attributable to reservoir analysis and well performance.

Notable changes in proved reserves for the year ended December 31, 2015 included the following:

· Extensions and discoveries.  In 2015, total extensions and discoveries of 189.3 MMBOE were primarily attributable to successful drilling in the Williston Basin and DJ Basin.  Both the new wells drilled in these areas as well as the PUD locations added as a result of drilling increased the Company’s proved reserves.

· Sales of minerals in place.Sales of minerals in place totaled 53.2 MMBOE during 2015 and were primarily attributable to the disposition of various non-core properties across all of the Company’s operating areas as further described in the “Acquisitions and Divestitures” footnotein the notes to the consolidated financial statements.

· Revisions to previous estimates.  In 2015, revisions to previous estimates decreased proved developed and undeveloped reserves by a net amount of 36.3 MMBOE.  Included in these revisions were (i) 82.3 MMBOE of downward adjustments caused by lower crude oil, NGL and natural gas prices incorporated into the Company’s reserve estimates at December 31, 2015 as compared to December 31, 2014 and (ii) 46.0 MMBOE of net upward adjustments attributable to reservoir analysis and well performance.

Standardized Measure of Discounted Future Net Cash Flows

The Standardized Measure relating to proved oil and gas reserves and changes in the Standardized Measure relating to proved oil and natural gas reserves were prepared in accordance with the provisions of FASB ASC Topic 932, Extractive Activities—Oil and Gas.  Future cash inflows as of December 31, 2017, 2016 and 2015 were computed by applying average fiscal-year prices (calculated as the unweighted arithmetic average of the first-day-of-the-month price for each month within the 12-month period ended December 31, 2017, 2016 and 2015, respectively) to estimated future production.  Future production and development costs are computed by estimating the expenditures to be incurred in developing and producing the proved oil and natural gas reserves at year end, based on year-end costs and assuming the continuation of existing economic conditions.

Future income tax expenses are calculated by applying appropriate year-end tax rates to future pretax net cash flows relating to proved oil and natural gas reserves, less the tax basis of properties involved.  Future income tax expenses give effect to permanent differences, tax credits and loss carryforwards relating to the proved oil and natural gas reserves.  Future net cash flows are discounted at a rate of 10% annually to derive the Standardized Measure.  This calculation does not necessarily result in an estimate of the fair value of the Company’s oil and gas properties.

The Standardized Measure relating to proved oil and natural gas reserves is as follows (in thousands):

	December 31,
	2017		2016		2015
Future cash flows	$	19,635,532	$	16,946,961	$	29,339,528
Future production costs		(7,874,590)		(7,266,435)		(12,344,463)
Future development costs		(3,022,841)		(3,605,977)		(6,166,397)
Future income tax expense (1)		(474,646)		-		(388,072)
Future net cash flows		8,263,455		6,074,549		10,440,596
10% annual discount for estimated timing of cash flows		(4,395,897)		(3,376,463)		(5,866,225)
Standardized measure of discounted future net cash flows	$	3,867,558	$	2,698,086	$	4,574,371

_____________________

(1) Based on the 12-month average oil and natural gas prices used in the computation of pre-tax PV10% as of December 31, 2016, Whiting’s future net income generated over the life of its proved reserves is expected to be less than its NOL carryforward deductions and therefore, under the Standardized Measure, there is no deduction for federal or state income taxes.

Future cash flows as shown above are reported without consideration for the effects of open hedge contracts at each period end.  If the effects of hedging transactions were included in the computation, then undiscounted future cash inflows would have increased by $77million and $71 million in 2016 and 2015, respectively, and would have had no impact on undiscounted future cash inflows in 2017.

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The changes in the Standardized Measure relating to proved oil and natural gas reserves are as follows (in thousands):

	December 31,
	2017		2016		2015
Beginning of year	$	2,698,086	$	4,574,371	$	10,843,420
Sale of oil and gas produced, net of production costs		(991,069)		(781,132)		(1,354,054)
Sales of minerals in place		(312,346)		(1,434,545)		(1,414,511)
Net changes in prices and production costs		994,749		(1,594,183)		(11,001,949)
Extensions, discoveries and improved recoveries		437,459		730,396		2,078,071
Previously estimated development costs incurred during the period		542,746		477,830		1,625,160
Changes in estimated future development costs		50,215		1,722,897		102,499
Purchases of minerals in place		1,748		-		-
Revisions of previous quantity estimates		277,967		(1,502,416)		(966,713)
Net change in income taxes		(101,806)		47,431		3,578,106
Accretion of discount		269,809		457,437		1,084,342
End of year	$	3,867,558	$	2,698,086	$	4,574,371

Future net revenues included in the Standardized Measure relating to proved oil and natural gas reserves incorporate calculated weighted average sales prices (inclusive of adjustments for quality and location) in effect at December 31, 2017, 2016 and 2015 as follows:

	2017		2016		2015
Oil (per Bbl)	$	47.16	$	35.60	$	43.07
NGLs (per Bbl)	$	14.74	$	10.09	$	15.53
Natural Gas (per Mcf)	$	1.97	$	2.61	$	2.83

QUARTERLY FINANCIAL DATA (UNAUDITED)

The following is a summary of the unaudited quarterly financial data for the years ended December 31, 2017 and 2016 (in thousands, except per share data):

	Three Months Ended
	March 31,		June 30,		September 30,		December 31,
	2017		2017		2017		2017
Oil, NGL and natural gas sales	$	371,317	$	311,515	$	324,191	$	474,412
Gross profit (loss) (1)	$	8,461	$	(21,855)	$	(6,769)	$	62,296
Net loss	$	(86,971)	$	(65,981)	$	(286,432)	$	(798,278)
Basic loss per share (2)	$	(0.96)	$	(0.73)	$	(3.16)	$	(8.80)
Diluted loss per share (2)	$	(0.96)	$	(0.73)	$	(3.16)	$	(8.80)
	Three Months Ended
	March 31,		June 30,		September 30,		December 31,
	2016		2016		2016		2016
Oil, NGL and natural gas sales	$	289,697	$	337,036	$	315,554	$	342,695
Gross loss (1)	$	(162,898)	$	(98,978)	$	(83,369)	$	(45,205)
Net loss	$	(171,758)	$	(301,046)	$	(693,055)	$	(173,265)
Basic loss per share (2)	$	(3.36)	$	(5.33)	$	(9.89)	$	(2.34)
Diluted loss per share (2)	$	(3.36)	$	(5.33)	$	(9.89)	$	(2.34)

_____________________

(1) Oil, NGL and natural gas sales less lease operating expense, production taxes and depreciation, depletion and amortization.

(2) All per share amounts have been retroactively adjusted to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8  to these consolidated financial statements.

******

101

Item 9.Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

None.

Item 9A.       Controls and Procedures

Evaluation of disclosure controls and procedures.  In accordance with Rule 13a-15(b) of the Securities Exchange Act of 1934 (the “Exchange Act”), our management evaluated, with the participation of our President and Chief Executive Officer and our Senior Vice President and Chief Financial Officer, the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) as of the end of the year ended December 31, 2017.  Based upon their evaluation of these disclosure controls and procedures, the President and Chief Executive Officer and the Senior Vice President and Chief Financial Officer concluded that the disclosure controls and procedures were effective as of December 31, 2017 to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission, and to ensure that information required to be disclosed by us in the reports we file or submit under the Exchange Act is accumulated and communicated to our management, including our principal executive and principal financial officers, as appropriate, to allow timely decisions regarding required disclosure.

Management’s Annual Report on Internal Control over Financial Reporting.The management of Whiting Petroleum Corporation and subsidiaries is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934.  Our internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.

Because of the inherent limitations of internal control over financial reporting, misstatements may not be prevented or detected on a timely basis.  Also, projections of any evaluation of the effectiveness of the internal control over financial reporting to future periods are subject to the risk that the controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Our management assessed the effectiveness of our internal control over financial reporting as of December 31, 2017 using the criteria set forth in Internal Control - Integrated Framework (2013)issued by the Committee of Sponsoring Organizations of the Treadway Commission.  Based on this assessment, our management believes that, as of December 31, 2017, our internal control over financial reporting was effective based on those criteria.

The effectiveness of our internal control over financial reporting as of December 31, 2017 has been audited by Deloitte & Touche LLP, an independent registered public accounting firm, as stated in their report which is included herein on the following page.

Changes in internal control over financial reporting.  There was no change in our internal control over financial reporting that occurred during the quarter ended December 31, 2017 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

102

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Stockholders of

Whiting Petroleum Corporation

Denver, Colorado

Opinion on Internal Control over Financial Reporting

We have audited the internal control over financial reporting of Whiting Petroleum Corporation and subsidiaries (the “Company”) as of December 31, 2017, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2017, based on criteria established in Internal Control — Integrated Framework (2013) issued by COSO.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the consolidated financial statements as of and for the year ended December 31, 2017 of the Company and our report dated February22, 2018 expressed an unqualified opinion on those financial statements.

Basis for Opinion

The Company’s management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management’s Annual Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

Definition and Limitations of Internal Control over Financial Reporting

A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ DELOITTE & TOUCHE LLP

Denver, Colorado

February 22, 2018

Item 9B.       Other Information

None.

103

PART III

Item 10.       Directors, Executive Officers and Corporate Governance

The information included under the captions “Corporate Governance – Proposal 1 – Election of Directors”,  “Corporate Governance – Board Committee Information – Audit Committee” and “Share Ownership – Section 16(a) Beneficial Ownership Reporting Compliance” in our definitive Proxy Statement for Whiting Petroleum Corporation’s 2018 Annual Meeting of Stockholders (the “Proxy Statement”) is incorporated herein by reference.  Information with respect to our executive officers appears in Part I of this Annual Report on Form 10‑K.

We have adopted the Whiting Petroleum Corporation Code of Business Conduct and Ethics that applies to our directors, our President and Chief Executive Officer, our Senior Vice President and Chief Financial Officer, our Controller and Treasurer and other persons performing similar functions.  We have posted a copy of the Whiting Petroleum Corporation Code of Business Conduct and Ethics on our website at www.whiting.com.  The Whiting Petroleum Corporation Code of Business Conduct and Ethics is also available in print to any stockholder who requests it in writing from the Corporate Secretary of Whiting Petroleum Corporation.  We intend to satisfy the disclosure requirements under Item 5.05 of Form 8‑K regarding amendments to, or waivers from, the Whiting Petroleum Corporation Code of Business Conduct and Ethics by posting such information on our website at www.whiting.com.

We are not including the information contained on our website as part of, or incorporating it by reference into, this report.

Item 11.       Executive Compensation

The information required by this Item is included under the captions“Corporate Governance – Director Compensation” and“Executive Compensation” (other than “Executive Compensation – Proposal 2 – Advisory Vote on the Compensation of Our Named Executive Officers”) in the Proxy Statement and is incorporated herein by reference.

Item 12.       Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

The information required by this Item with respect to security ownership of certain beneficial owners and management is included under the captions  “Share Ownership – Directors and Executive Officers” and “Share Ownership – Certain Beneficial Owners” in the Proxy Statement and is incorporated herein by reference.The following table sets forth information with respect to compensation plans under which equity securities of Whiting Petroleum Corporation are authorized for issuance as of December 31, 2017.

Equity Compensation Plan Information

				Number of securities remaining
	Number of securities to		Weighted-average	available for future issuance under
	be issued upon exercise		exercise price of	equity compensation plans
	of outstanding options,		outstanding options,	(excluding securities reflected in
Plan Category	warrants and rights		warrants and rights	the first column)
Equity compensation plans approved by security holders (1)	122,034	$	154.32	1,137,723(2)
Equity compensation plans not approved by security holders	-		N/A	-
Total	122,034	$	154.32	1,137,723(2)

_____________________

(1) Includes the Whiting Petroleum Corporation 2003 Equity Incentive Plan(the “2003 Equity Plan”) and Whiting Petroleum Corporation 2013 Equity Incentive Plan, as amended and restated (the “2013 Equity Plan”).  Upon shareholder approval of the 2013 Equity Plan in May 2013, the 2003 Equity Plan was terminated, but continues to govern awards that were outstanding at the date ofits termination.  Any shares netted or forfeited under the 2003 Equity Plan and any shares forfeited under the 2013 Equity Plan will be available for future issuance under the 2013 Equity Plan.  However, shares netted for tax withholding under the 2013 Equity Plan will be cancelled and will not be available for future issuance.

(2) Number of securities reduced by 122,034stock options outstanding and 1,435,567shares of restricted common stock previously issued for which the restrictions have not lapsed.

104

Item 13.       Certain Relationships, Related Transactions and Director Independence

The information required by this Item is included under the caption “Corporate Governance – Governance Information – Independence of Directors” and “Corporate Governance – Governance Information – Transactions with Related Persons” in the Proxy Statement and is incorporated herein by reference.

Item 14.       Principal Accounting Fees and Services

The information required by this Item is included under the caption “Audit Matters – Audit and Non-Audit Fees and Services” in the Proxy Statement and is incorporated herein by reference.

PART IV

Item 15.       Exhibits andFinancial Statement Schedules

(a)	1.Financial statements – Refer to the Index to Consolidated Financial Statements included in Item 8 of this Form 10-K for a list of all financial statements filed as part of this report.
	2.Financial statement schedules – All schedules are omitted since the required information is not present, or is not present in amounts sufficient to require submission of the schedule, or because the information required is included in the consolidated financial statements or the notes thereto.
	3.Exhibits – The exhibits listed in the accompanying index to exhibits are filed as part of this Annual Report on Form 10‑K.
(b)	Exhibits
	The exhibits listed in the accompanying exhibit index are filed (except where otherwise indicated) as part of this report.

Item 16.Form 10-K Summary

None.

******

105

EXHIBIT INDEX

Exhibit
Number	Exhibit Description
(2.1)	Purchase and Sale Agreement, dated August 14, 2017, by and between Whiting Resources Corporation, RimRock Oil & Gas Williston, LLC, Whiting Oil and Gas Corporation and RimRock Oil & Gas Williston Resources, Inc., effective as of September 1, 2017 [Incorporated by reference to Exhibit 2.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on September 6, 2017 (File No. 001-31899)].
(3.1)	Restated Certificate of Incorporation of Whiting Petroleum Corporation [Incorporated by reference to Exhibit 3.2 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on November 9, 2017 (File No. 001-31899)].
(3.2)	Amended and Restated By-laws of Whiting Petroleum Corporation, effective October 24, 2017 [Incorporated by reference to Exhibit 3.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 26, 2017 (File No. 001-31899)].
(4.1)	Sixth Amended and Restated Credit Agreement, dated as of August 27, 2014, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, the lenders party thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and the various other agents party thereto [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on August 28, 2014 (File No. 001-31899)].
(4.2)	First Amendment to Sixth Amended and Restated Credit Agreement, dated as of April 27, 2015, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, the lenders party thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and the various other agents party thereto [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Quarterly Report on Form 10-Q for the Quarter Ended March 31, 2015 (File No. 001-31899)].
(4.3)	Second Amendment to Sixth Amended and Restated Credit Agreement, dated as of October 13, 2015, among Whiting Petroleum Corporation, its subsidiary Whiting Oil and Gas Corporation, JPMorgan Chase Bank, N.A., as Administrative Agent, and the lenders party thereto [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 14, 2015 (File No. 001-31899)].
(4.4)	Third Amendment to Sixth Amended and Restated Credit Agreement and First Amendment to Amended and Restated Guaranty and Collateral Agreement, dated as of March 25, 2016, among Whiting Petroleum Corporation, its subsidiary Whiting Oil and Gas Corporation, certain other subsidiaries of Whiting Petroleum Corporation, JPMorgan Chase Bank, N.A., as Administrative Agent, and the other agents and lenders party thereto [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on March 28, 2016 (File No. 001-31899)].
(4.5)	Fifth Amendment to Sixth Amended and Restated Credit Agreement, dated as of December 12, 2017, among Whiting Petroleum Corporation, its subsidiary Whiting Oil and Gas Corporation, certain other subsidiaries of Whiting Petroleum Corporation, JPMorgan Chase Bank, N.A., as Administrative Agent, and the other agents and lenders party thereto [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 13, 2017 (File No. 001-31899)].
(4.6)^	Amended and Restated Guaranty and Collateral Agreement, dated as of December 8, 2014, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, Kodiak Oil & Gas Corp., Kodiak Oil & Gas (USA) Inc., Kodiak Williston, LLC and JPMorgan Chase Bank, N.A., as Administrative Agent [Incorporated by reference to Exhibit 4.16 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 8, 2014 (File No. 001-31899)].
(4.7)	Maximum Credit Amount Increase Agreement, dated as of December 19, 2014, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, the lenders party thereto, and JPMorgan Chase Bank, N.A., as Administrative Agent [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 22, 2014 (File No. 001-31899)].
(4.8)	Indenture, dated September 12, 2013, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation and The Bank of New York Mellon Trust Company, N.A., as Trustee [Incorporated by reference to Exhibit 4.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on September 12, 2013 (File No. 001-31899)].
(4.9)	Second Supplemental Indenture, dated September 12, 2013, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation and The Bank of New York Mellon Trust Company, N.A., as Trustee, creating the 5.75% Senior Notes due 2021 [Incorporated by reference to Exhibit 4.3 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on September 12, 2013 (File No. 001-31899)].
(4.10)	Supplemental Indenture and Amendment – Subsidiary Guarantee, dated as of December 11, 2014, among Whiting Petroleum Corporation, Whiting Canadian Holding Company ULC, Whiting Resources Corporation, Whiting US Holding Company and The Bank of New York Mellon Trust Company, N.A., as trustee, relating to the 5.75% Senior Notes Due 2021 [Incorporated by reference to Exhibit 4.3 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 12, 2014 (File No. 001-31899)].

106

Exhibit
Number	Exhibit Description
(4.11)	Fourth Supplemental Indenture, dated March 27, 2015, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, Whiting US Holding Company, Whiting Canadian Holding Company ULC, Whiting Resources Corporation and The Bank of New York Mellon Trust Company, N.A., as Trustee, creating the 6.25% Senior Notes due 2023 [Incorporated by reference to Exhibit 4.3 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on March 30, 2015 (File No. 001-31899)].
(4.12)	Fifth Supplemental Indenture, dated December 27, 2017, among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, Whiting US Holding Company, Whiting Canadian Holding Company ULC, Whiting Resources Corporation and the Bank of New York Mellon Trust Company, N.A. as Trustee, creating the 6.625% Senior Notes due 2026 [Incorporated by reference to Exhibit 4.2 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 27, 2017 (File No. 001-31899)].
(4.13)	Indenture, dated March 27, 2015, among Whiting Petroleum Corporation, the Guarantors and The Bank of New York Mellon Trust Company, N.A., as Trustee, creating the 1.25% Convertible Senior Notes due 2020 [Incorporated by reference to Exhibit 4.2 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on March 30, 2015 (File No. 001-31899)].
(10.1)*	Whiting Petroleum Corporation 2003 Equity Incentive Plan, as amended through October 23, 2007 [Incorporated by reference to Exhibit 10.2 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 29, 2007 (File No. 001‑31899)].
(10.2)*	Whiting Petroleum Corporation 2013 Equity Incentive Plan, as amended and restated effective as of November 8, 2017 [Incorporated by reference to Exhibit 10.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on November 9, 2017 (File No. 001-31899)].
(10.3)*	Summary of Non-Employee Director Compensation for Whiting Petroleum Corporation.
(10.4)*	Form of Indemnification Agreement for directors and officers of Whiting Petroleum Corporation [Incorporated by reference to Exhibit 10.1 to Whiting Petroleum Corporation’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2008 (File No. 001-31899)].
(10.5)*	Form of Executive Employment and Severance Agreement for executive officers of Whiting Petroleum Corporation [Incorporated by reference to Exhibit 10.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on January 5, 2015 (File No. 001‑31899)].
(10.6)*	Form of Stock Option Agreement pursuant to the Whiting Petroleum Corporation 2003 Equity Incentive Plan [Incorporated by reference to Exhibit 10.14 to Whiting Petroleum Corporation’s Annual Report on Form 10-K for the year ended December 31, 2008 (File No. 001-31899)].
(10.7)*	Form of Restricted Stock Agreement pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan for performance vesting awards [Incorporated by reference to Exhibit 10.14 to Whiting Petroleum Corporation’s Annual Report on Form 10-K for the year ended December 31, 2013 (File No. 001-31899)].
(10.8)*	Form of Restricted Stock Agreement pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan for time-based vesting awards [Incorporated by reference to Exhibit 10.10 to Whiting Petroleum Corporation’s Annual Report on Form 10-K for the year ended December 31, 2016 (File No. 001-31899)].
(10.9)*	Form of Stock Option Agreement pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan [Incorporated by reference to Exhibit 10.16 to Whiting Petroleum Corporation’s Annual Report on Form 10-K for the year ended December 31, 2013 (File No. 001-31899)].
(10.10)*	Form of Performance Share Award Agreement pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan granted prior to 2018 [Incorporated by reference to Exhibit 10.12 to Whiting Petroleum Corporation’s Annual Report on Form 10-K for the year ended December 31, 2016 (File No. 001-31899)].
(10.11)*	Form of Performance Share Award Agreement pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan granted in 2018 and after.
(10.12)*	Executive Employment and Severance Agreement, between Bradley J. Holly and Whiting Petroleum Corporation, effective as of November 1, 2017 [Incorporated by reference to Exhibit 10.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 26, 2017 (File No. 001-31899)].
(10.13)*	Amended and Restated Executive Employment and Severance Agreement, between James J. Volker and Whiting Petroleum Corporation, effective as of November 1, 2017 [Incorporated by reference to Exhibit 10.2 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 26, 2017 (File No. 001-31899)].
(10.14)*	Form of Restricted Stock Unit Award Agreement (Cash-Settled) pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan [Incorporated by reference to Exhibit 10.3 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 26, 2017 (File No. 001‑31899)].
(10.15)*	Form of Restricted Stock Unit Award Agreement (Stock-Settled) pursuant to the Whiting Petroleum Corporation 2013 Equity Incentive Plan [Incorporated by reference to Exhibit 10.4 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on October 26, 2017 (File No. 001‑31899)].

107

Exhibit
Number	Exhibit Description
(10.16)	Registration Rights Agreement, dated as of December 27, 2017, by and among Whiting Petroleum Corporation, Whiting Oil and Gas Corporation, Whiting US Holding Company, Whiting Canadian Holding Company ULC, Whiting Resources Corporation and J.P. Morgan Securities LLC, for itself and as representative of the initial purchasers named therein [Incorporated by reference to Exhibit 10.1 to Whiting Petroleum Corporation’s Current Report on Form 8-K filed on December 27, 2017 (File No. 001-31899).
(21)	Significant Subsidiaries of Whiting Petroleum Corporation.
(23.1)	Consent of Deloitte & Touche LLP.
(23.2)	Consent of Cawley, Gillespie & Associates, Inc., Independent Petroleum Engineers.
(31.1)	Certification by the President and Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act.
(31.2)	Certification by the Senior Vice President and Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act.
(32.1)	Written Statement of the President and Chief Executive Officer pursuant to 18 U.S.C. Section 1350.
(32.2)	Written Statement of the Senior Vice President and Chief Financial Officer pursuant to 18 U.S.C. Section 1350.
(99.1)	Proxy Statement for the 2018 Annual Meeting of Stockholders, to be filed within 120 days of December 31, 2017 [To be filed with the Securities and Exchange Commission under Regulation 14A within 120 days after December 31, 2017; except to the extent specifically incorporated by reference, the Proxy Statement for the 2018 Annual Meeting of Stockholders shall not be deemed to be filed with the Securities and Exchange Commission as part of this Annual Report on Form 10-K].
(99.2)	Report of Cawley, Gillespie & Associates, Inc., Independent Petroleum Engineers relating to Total Proved Reserves, dated January 9, 2018.
(101)	The following materials from Whiting Petroleum Corporation’s Annual Report on Form 10‑K for the year ended December 31, 2017 are filed herewith, formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Balance Sheets as of December 31, 2017 and 2016, (ii) the Consolidated Statements of Operations for the Years Ended December 31, 2017, 2016 and 2015, (iii) the Consolidated Statements of Cash Flows for the Years Ended December 31, 2017, 2016 and 2015, (iv) the Consolidated Statements of Equity for the Years Ended December 31, 2017, 2016 and 2015, and (v) Notes to Consolidated Financial Statements.

_____________________

*A management contract or compensatory plan or arrangement.

^Kodiak Oil & Gas Corp. is now known as Whiting Canadian Holding Company ULC; Kodiak Oil & Gas (USA) Inc. is now known as Whiting Resources Corporation; Kodiak Williston, LLC has merged with Whiting Resources Corporation; KOG Finance, LLC has been dissolved; and KOG Oil & Gas ULC has been liquidated.

108

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on this 22nd day of February, 2018.

	WHITING PETROLEUM CORPORATION
By	/s/ Bradley J. Holly
	Bradley J. Holly
	President and Chief Executive Officer

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Signature	Title	Date
/s/ Bradley J. Holly Bradley J. Holly	President and Chief Executive Officer and Director (Principal Executive Officer)	February 22, 2018
/s/ Michael J. Stevens Michael J. Stevens	Senior Vice President and Chief Financial Officer (Principal Financial Officer)	February 22, 2018
/s/ Sirikka R. Lohoefener Sirikka R. Lohoefener	Controller and Treasurer (Principal Accounting Officer)	February 22, 2018
/s/ James J. Volker James J. Volker	Chairman and Director	February 22, 2018
/s/ Thomas L. Aller Thomas L. Aller	Director	February 22, 2018
/s/ James E. Catlin James E. Catlin	Director	February 22, 2018
/s/ Philip E. Doty Philip E. Doty	Director	February 22, 2018
/s/ William N. Hahne William N. Hahne	Director	February 22, 2018
/s/ Carin S. Knickel Carin S. Knickel	Director	February 22, 2018
/s/ Michael B. Walen Michael B. Walen	Director	February 22, 2018

109

EX-10.11

Exhibit 10.11

WHITING PETROLEUM CORPORATION

PERFORMANCE SHARE AWARD AGREEMENT

THIS PERFORMANCE SHARE AWARD AGREEMENT (this “Agreement”) is made and entered into as of [⸳], [⸳] by and between Whiting Petroleum Corporation, a Delaware corporation with its principal offices at Denver, Colorado (the “Company”), and the executive officer of the Company or one of its affiliates whose signature is set forth on the signature page hereof (the “Participant”).

W I T N E S S E T H :

WHEREAS, the Company has adopted the Whiting Petroleum Corporation 2013 Equity Incentive Plan (the “Plan”) to permit shares of the Company’s common stock (the “Stock”) or cash to be awarded to certain key salaried employees and non-employee directors of the Company and any affiliate of the Company; and

WHEREAS, the Participant is an executive officer of the Company, and the Company desires such person to remain in such capacity and to further an opportunity for his or her stock ownership in the Company in order to increase his or her proprietary interest in the success of the Company;

NOW, THEREFORE, in consideration of the premises and of the covenants and agreements herein set forth, the parties hereby mutually covenant and agree as follows:

1.Award of Performance Shares.  Subject to the terms and conditions set forth herein, the Company hereby awards the Participant the number of shares of Stock set forth on the signature page hereof as the target number of shares of Stock subject to this Agreement (the “Target Shares”).

2.Determination of Performance Shares Earned.  The number of shares of Stock earned (the “Earned Shares”) will equal the sum of the number of shares earned for each of the three performance periods set forth on Exhibit A (each, a “Performance Period”).  The number of shares earned for a particular Performance Period shall equal the product of (a) one-third (1/3) of the Target Shares multiplied by (b) the earned percentage (the “Earned Percentage”) for that Performance Period, determined as set forth on Exhibit A. 

3.Restrictions; Forfeiture of Unearned Shares. (a)  Except as otherwise provided herein, none of the Target Shares may be sold, transferred, pledged, assigned, encumbered or otherwise alienated or hypothecated until the Compensation Committee of the Board of Directors of the Company (the “Committee”) has determined the number of Earned Shares and the Participant has satisfied the employment requirements of Section 6.  The Committee will make all final determinations regarding the number of Earned Shares on a date within six weeks following the end of the final Performance Period (the “Release Date”).

(b)If the number of Earned Shares determined by the Committee is greater than the number of Target Shares, then the Company shall make a cash payment to the Participant equal to the product of (i) the excess of the Earned Shares over the Target Shares and (ii) the Fair Market Value of a Share determined as of the Release Date.  Such payment shall be paid within 30 days of the Release Date.

(c)If the number of Earned Shares determined by the Committee is fewer than the number of Target Shares, then shares of Stock equal to the excess of the Target Shares over the Earned Shares will be forfeited to the Company on the Release Date, or such earlier date as the Committee determines.

4.Issuance of Shares.  The Target Shares shall be issued as soon as practicable in the name of the Participant but shall be held in a segregated account by the transfer agent of the Company.  Unless forfeited as provided herein, on the Release Date (a) Target Shares that become Earned Shares shall cease to be held in such segregated account and (b) certificates for such Target Shares shall be delivered, or such shares of Stock shall be transferred electronically, to the Participant, and such delivered or transferred shares of Stock shall become free of the restrictions set forth in Section 3.

5.Transfer After Release Date; Securities Law Restrictions.  Notwithstanding anything to the contrary herein, the Participant agrees and acknowledges with respect to any shares of Stock that have not been registered under the Securities Act of 1933, as amended (the “Act”) that (a) he or she will not sell or otherwise dispose of such Stock except pursuant to an effective registration statement under the Act and any applicable state securities laws, or in a transaction which, in the opinion of counsel for the Company, is exempt from such registration, and (b) a legend will be placed on the certificates, or an appropriate stop-transfer order shall be entered, for such Stock to such effect.

6.Termination of Employment or Death.  If the Participant’s employment with the Company or an affiliate (as applicable) is terminated for any reason (including death) prior to the Release Date, all Stock that has not been earned and released, and all cash that has accrued but not yet been paid, shall be forfeited to the Company on the date on which such termination occurs.

7.Certificate Legend.  In addition to any legends placed on certificates for the Stock subject to this Agreement under Section 5 hereof, each certificate for shares of such Stock may bear the following legend:

“THE SALE OR OTHER TRANSFER OF THE SHARES OF STOCK REPRESENTED BY THIS CERTIFICATE, WHETHER VOLUNTARY, INVOLUNTARY OR BY OPERATION OF LAW, IS SUBJECT TO CERTAIN RESTRICTIONS SET FORTH IN THE WHITING PETROLEUM CORPORATION 2013 EQUITY INCENTIVE PLAN AND A PERFORMANCE SHARE AWARD AGREEMENT BETWEEN WHITING PETROLEUM CORPORATION AND THE REGISTERED OWNER HEREOF.  A COPY OF SUCH PLAN AND SUCH AGREEMENT MAY BE OBTAINED FROM THE CORPORATE SECRETARY OF WHITING PETROLEUM CORPORATION.”

When the restrictions imposed by Section 3 hereof terminate, the Participant shall be entitled to have the foregoing legend removed from the certificates representing such Stock that has been earned.

8.Voting Rights; Dividends and Other Distributions. (a)  While the Target Shares are subject to restrictions under Section 3 and prior to any forfeiture thereof, the Participant shall have no voting rights with respect to any shares of Stock subject to this Agreement until such time, if any, as such shares of Stock have been earned and released.

(b)If any dividends or other distributions are paid or made on the Target Shares while the restrictions under Section 3 apply and prior to any forfeiture of Stock subject to this Agreement, then the Participant shall be credited with dividends, distributions or equivalents (collectively, “Dividends”) on the shares of Stock subject to this Agreement; provided that such Dividends shall be subject to the same terms, conditions, restrictions and risk of forfeiture as the shares of Stock with respect to which they were credited, and shall be paid at the same time as, and to the same extent that, the shares of Stock with respect to which they were credited become Earned Shares and are released.

(c)Subject to the provisions of this Agreement, prior to the forfeiture of the Target Shares, the Participant shall have all other rights of holders of Stock with respect to the Target Shares.

9.Tax Withholding.  (a)  As a condition for any Stock, Dividends, or cash to be issued or paid to the Participant hereunder, the Participant agrees that the Participant shall pay to the Company upon demand such amount as may be requested by the Company for the purpose of satisfying its liability to withhold federal, state, or local income or other taxes incurred by reason of the award of the Stock, Dividends or cash or as a result of the termination of the restrictions on such Stock or Dividends, or the payment of cash, hereunder. 

(b)The Participant may satisfy the Company’s withholding tax requirements with respect to shares of Stock by electing to have the Company withhold that number of shares of Stock otherwise deliverable to the Participant from the segregated account hereunder or otherwise issuable to the Participant to deliver to the Company a number of shares of Stock, in each case, having a Fair Market Value (as defined in the Plan) on the Tax Date (as defined below) equal to the amount required to be withheld as a result of the termination of the restrictions on or issuance of such shares of Stock; provided,  however, that the amount to be withheld in shares of Stock shall not exceed the maximum statutory tax rate associated with the transaction to the extent required for the Company to avoid adverse accounting treatment.  The election must be made in writing and must be delivered to the Company prior to the Tax Date.  If the number of shares of Stock so determined shall include a fractional share, the Participant shall deliver cash in lieu of such fractional

share (or such cash shall be withheld from any cash payment due hereunder).  All elections shall be made in a form approved by the Committee and shall be subject to disapproval, in whole or in part, by the Committee.  As used herein, “Tax Date” means the date on which the Participant must include in his or her gross income for federal income tax purposes the fair market value of shares of Stock over the purchase price therefor, if any.  With respect to any payment of cash hereunder, the withholding taxes related thereto shall be deducted from such cash payment.

10.Powers of Company Not Affected.  The existence of the Stock subject to this Agreement shall not affect in any way the right or power of the Company or its stockholders to make or authorize any combination, subdivision or reclassification of the Stock or any reorganization, merger, consolidation, business combination, exchange of shares, or other change in the Company’s capital structure or its business, or any issue of bonds, debentures or stock having rights or preferences equal, superior or affecting the Stock subject to this Agreement or the rights thereof, or dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding, whether of a similar character or otherwise.  Nothing in this Agreement shall confer upon the Participant any right to continue in the employment of the Company, or interfere with or limit in any way the right of the Company to terminate the Participant’s employment at any time.

11.Interpretation by Committee.  The Participant agrees that any dispute or disagreement which may arise in connection with this Agreement shall be resolved by the Committee, in its sole discretion, and that any interpretation by the Committee of the terms of this Agreement or the Plan and any determination made by the Committee under this Agreement or the Plan may be made in the sole discretion of the Committee and shall be final, binding, and conclusive. Any such determination need not be uniform and may be made differently among Participants awarded shares of Stock.

12.Miscellaneous.  (a)  This Agreement shall be governed and construed in accordance with the internal laws of the State of Delaware applicable to contracts made and to be performed therein between residents thereof.

(b)This Agreement may not be amended or modified except by the written consent of the parties hereto.

(c)The captions of this Agreement are inserted for convenience of reference only and shall not be taken into account in construing this Agreement.

(d)Any notice, filing or delivery hereunder or with respect to shares of Stock subject to this Agreement shall be given to the Participant at either his or her usual work location or his or her home address as indicated in the records of the Company, and shall be given to the Committee or the Company at 1700 Broadway, Suite 2300, Denver, Colorado 80290-2300, Attention:  Corporate Secretary.  All such notices shall be given by first class mail, postage prepaid, or by personal delivery.

(e)This Agreement shall be binding upon and inure to the benefit of the Company and its successors and assigns and shall be binding upon and inure to the benefit of the Participant, except that the Participant may not transfer any interest in any shares of Stock subject to this Agreement prior to the release of the restrictions imposed by Section 3.

(f)This Agreement is subject in all respects to the terms and conditions of the Plan.

13.Change in Control.  Notwithstanding any other provision to the contrary contained in this Agreement, effective upon a Change in Control that occurs (as defined in the Plan) prior to the end of the last Performance Period, the restrictions imposed by Section 3 of this Agreement shall immediately be deemed to have lapsed and the Release Date shall be deemed to have occurred as of the date of the Change in Control with respect to the sum of the Shares described in (a) and (b) below (the “Change in Control Earned Shares”):

(a)with respect to each Performance Period that has been completed as of the date of the Change in Control (if any), the number of Shares earned for such completed Performance Period; and

(b)with respect to each Performance Period that has not been completed as of the date the Change in Control occurs, one-third (1/3) of the Target Shares; provided that, if the terms of any employment or similar agreement in effect between the Participant and the Company as of the date of the Change in Control provide a better result, then the relevant provisions of such agreement are deemed incorporated by reference herein for such purpose and such provisions shall supercede the foregoing.

Notwithstanding the foregoing, if the Change in Control Earned Shares exceeds the Target Shares, then the Company shall make a cash payment to the Participant equal to the product of (i) the excess of the Change in Control Earned Shares over the Target Shares and (ii) the Fair Market Value of a Share determined as of the date of the Change in Control.  Such payment shall be made within 30 days of the date of the Change in Control.

[Signature page follows]

IN WITNESS WHEREOF, the Company has caused this instrument to be executed by its duly authorized officer and the Participant has hereunto affixed his or her signature, all as of the day and year first set forth above.

WHITING PETROLEUM CORPORATION

By:   _________________________________________________________________________________

Target Shares: ____________

EX-10.3

Exhibit 10.3

Director Compensation

Effective January 1, 2018, non-employee director compensation is as follows:

					Committee Service
									Nominating
	Board		Lead						and
	Service(1)		Director		Audit		Compensation		Governance
Annual retainer	$	65,000	$	-	$	-	$	-	$	-
Restricted stock (value), one year vesting		157,500		-		-		-		-
Lead annual retainer		-		20,000		-		-		-
Lead restricted stock (value)		-		15,000		-		-		-
Committee chair annual retainer		-		-		25,000		15,000		15,000
Committee chair restricted stock (value)		-		-		25,000		15,000		15,000
Committee member annual retainer		-		-		10,000		5,000		5,000
Meeting fee		1,500		-		1,500		1,500		1,500

(1)James J. Volker will serve as a non-executive Chairman of the Board until the 2018 annual meeting of stockholders, for which he will be paid cash compensation at an annual rate equal to $268,000, payable monthly, in addition to standard board service meeting fees.

EX-21

Exhibit 21

SIGNIFICANT SUBSIDIARIES OF WHITING PETROLEUM CORPORATION

Name	Jurisdiction of Incorporation or Organization	Percent Ownership
Whiting Oil and Gas Corporation	Delaware	100%
Whiting US Holding Company	Delaware	100%
Whiting Canadian Holding Company ULC	British Columbia	100%
Whiting Resources Corporation	Colorado	100%

EX-23.1

Exhibit 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

We consent to the incorporation by reference in Registration Statement Nos. 333-111056, 333-190197, 333-200793 and 333-212734on Form S-8, Registration Statement No. 333-121614 on Form S-4, and Registration Statement No. 333-208144 on Form S-3 of our reports dated February 22, 2018, relating to the financial statements of Whiting Petroleum Corporation and subsidiaries, and the effectiveness of Whiting Petroleum Corporation and subsidiaries’ internal control over financial reporting, appearing in this Annual Report on Form 10-K of Whiting Petroleum Corporation and subsidiaries for the year ended December 31, 2017.

/s/ DELOITTE & TOUCHE LLP

Denver, Colorado

February 22, 2018

EX-23.2

Exhibit 23.2

Cawley, Gillespie & Associates, Inc.

PETROLEUM CONSULTANTS

13640 BRIARWICK DRIVE, SUITE 100	306 WEST SEVENTH STREET, SUITE 302	1000 LOUISIANA STREET, SUITE 1900
AUSTIN, TEXAS 78729-1707	FORT WORTH, TEXAS 76102-4987	HOUSTON, TEXAS 77002-5008
512-249-7000	817-336-2461	713-651-9944
	www.cgaus.com

CONSENT OF INDEPENDENT PETROLEUM ENGINEERS

The undersigned hereby consents to the references to our firm in the form and context in which they appear in the Annual Report on Form 10-K of Whiting Petroleum Corporation for the year ended December 31, 2017.  We hereby further consent to the use of information contained in our report setting forth the estimates of revenues from Whiting Petroleum Corporation’s oil and gas reserves as of December 31, 2017, 2016 and 2015 and to the inclusion of our report dated January 9, 2018 as an exhibit to the Annual Report on Form 10‑K of Whiting Petroleum Corporation for the year ended December 31, 2017.  We further consent to the references to our firm and context in which they are included and incorporated by reference into Whiting Petroleum Corporation’s Registration Statements on Form S-8 (Registration Nos. 333-212734, 333-200793, 333-190197 and 333-111056); Form S-4 (Registration No. 333-121614) and the related prospectus that is part thereof, including under the heading “Experts”; and Form S-3 (Registration No. 333-208144)and the related prospectus that is part thereof, including under the heading “Experts”.

Sincerely,

/s/ W. Todd Brooker, P.E.

W. Todd Brooker, P.E. (Lic. # 83462, TX)

President

Cawley, Gillespie & Associates, Inc.

Texas Registered Engineering Firm F-693

February 22, 2018

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Bradley J. Holly, certify that:
1.	I have reviewed this Annual Report on Form 10-K of Whiting Petroleum Corporation;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a‑15(f) and 15d‑15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/s/ Bradley J. Holly

Bradley J. Holly

President and Chief Executive Officer

Date: February 22, 2018

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Michael J. Stevens, certify that:
1.	I have reviewed this Annual Report on Form 10-K of Whiting Petroleum Corporation;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a‑15(f) and 15d‑15(f)) for the registrant and have:
	a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
	b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
	c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
	d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
	a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
	b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/s/ Michael J. Stevens

Michael J. Stevens

Senior Vice President and Chief Financial Officer

Date: February 22, 2018

EX-32.1

Exhibit 32.1

Written Statement of the Chief Executive Officer

Pursuant to 18 U.S.C. Section 1350

Solely for the purposes of complying with 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, I, the undersigned President and Chief Executive Officer of Whiting Petroleum Corporation, a Delaware corporation (the “Company”), hereby certify, based on my knowledge, that the Annual Report on Form 10-K of the Company for the fiscal year ended December 31, 2017 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 and that information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Bradley J. Holly

Bradley J. Holly

President and Chief Executive Officer

Date: February 22, 2018

EX-32.2

Exhibit 32.2

Written Statement of the Chief Financial Officer

Pursuant to 18 U.S.C. Section 1350

Solely for the purposes of complying with 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, I, the undersigned Senior Vice President and Chief Financial Officer of Whiting Petroleum Corporation, a Delaware corporation (the “Company”), hereby certify, based on my knowledge, that the Annual Report on Form 10-K of the Company for the fiscal year ended December 31, 2017 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 and that information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Michael J. Stevens

Michael J. Stevens

Senior Vice President and Chief Financial Officer

Date: February 22, 2018

EX-99.2

Exhibit99.2

Cawley, Gillespie & Associates, Inc.

PETROLEUM CONSULTANTS

13640 BRIARWICK DRIVE, SUITE 100	306 WEST SEVENTH STREET, SUITE 302	1000 LOUISIANA STREET, SUITE 1900
AUSTIN, TEXAS 78729-1707	FORT WORTH, TEXAS 76102-4987	HOUSTON, TEXAS 77002-5008
512-249-7000	817-336-2461	713-651-9944
	www.cgaus.com

January 9,  2018

Mr. Steven Kranker

Vice President - Reservoir

Engineering/Acquisitions

Whiting Petroleum Corporation

1700 Broadway, Suite 2300

Denver, Colorado 80290-2300

Re:	Evaluation Summary – SEC Price
	Whiting Petroleum Corporation Interests
	Total Proved Reserves, Various States
	As of December 31, 2017
	Pursuant to the Guidelines of the Securities and
	Exchange Commission for Reporting Corporate
	Reserves and Future Net Revenue

Dear Mr. Kranker:

We are submitting our estimates of total proved reserves and forecasts of economics attributable to the interests in certain oil and gas properties located in various states within the United States, and such report has been prepared for Whiting Petroleum Corporation (“Whiting”) based on its request.  The proved reserves estimated by us in this report constitute 100% of Whiting’s total proved reserves.  This report, completed January 9,  2018, was prepared for the purpose of public disclosure by Whiting in filings made with the U.S. Securities and Exchange Commission (“SEC”) in accordance with the disclosure requirements set forth in SEC regulations, and it includes results for an SEC pricing scenario accordingly.  The results of this evaluation are presented in the composite summary below:

		Proved Developed Producing	Proved Developed Behind Pipe	Proved Developed Non-Producing	Proved Developed Shut-in	Proved Undeveloped	Total Proved
Net Reserves
Oil	- Mbbl	178,768.3	458.2	602.2	0.0	157,754.0	337,582.7
Gas	- MMcf	471,167.5	895.3	1,766.1	0.0	372,647.6	846,476.8
NGL	- Mbbl	76,660.1	0.0	297.2	0.0	61,992.2	138,949.5
Revenue
Oil	- M$	8,451,496.0	22,286.7	28,502.5	0.0	7,416,950.0	15,919,229.0
Gas	- M$	882,423.1	3,427.5	3,495.3	0.0	778,309.2	1,667,655.4
NGL	- M$	1,115,828.1	0.0	3,116.9	0.0	929,703.1	2,048,647.6
Severance Taxes	- M$	837,805.9	1,441.3	2,986.0	0.0	720,606.9	1,562,840.1
Ad Valorem Taxes	- M$	14,102.5	232.5	0.1	0.0	11,878.5	26,213.6
Operating Expenses	- M$	4,110,648.3	9,015.5	9,773.2	0.0	2,156,100.0	6,285,536.5
Investments	- M$	7,827.5	1,345.3	0.0	0.0	3,013,668.0	3,022,840.5
Net Operating Income	- M$	5,479,362.0	13,679.6	22,355.4	0.0	3,222,705.8	8,738,105.0
Discounted @ 10%	- M$	3,137,769.5	7,178.2	13,961.3	0.0	810,474.4	3,969,381.8

The discounted cash flow value shown above should not be construed to represent an estimate of the fair market value by Cawley, Gillespie & Associates, Inc.

Hydrocarbon Pricing

In accordance with SEC guidelines, hydrocarbon prices used in the preparation of this report have been determined as an unweighted arithmetic average of the first-day-of-the-month price for each month of 2017, unless prices were otherwise defined by contractual arrangements. Accordingly, NYMEX Oil and Henry Hub Gas prices of $51.34 per bbl and $2.98 per MMBtu, respectively, were used as of December 31, 2017.  Further adjustments were applied on a lease level basis for oil price differentials, gas price differentials and heating values as furnished by your office. Prices were not escalated in the SEC scenario.  The average adjusted prices used in the estimation of proved reserves were $47.16 per bbl of oil, $14.74 per bbl of natural gas liquids and $1.97 per mcf of natural gas.

Capital, Expenses and Taxes

Capital expenditures, lease operating expenses and ad valorem tax values were forecast as provided by your office.  As you explained, the capital costs were based on the most current estimates, lease operating expenses were based on the analysis of historical actual expenses, operating overhead is included for both operated and non-operated properties. Capital costs and lease operating expenses were held constant in accordance with SEC guidelines. State severance tax rates were applied at current statutory percentages of oil and gas revenue, incorporating certain severance tax incentives and allowances for limited time periods where allowable in Whiting’s various tax jurisdictions.

SEC Conformance and Regulations

The reserve classifications and the economic considerations used herein conform to the criteria of the SEC as defined in pages 2 and 3 of the Appendix.  The reserves and economics are predicated on regulatory agency classifications, rules, policies, laws, taxes and royalties currently in effect except as noted herein.  The possible effects of changes in legislation or other Federal or State restrictive actions which could affect the reserves and economics have not been considered.  However, we do not anticipate nor are we aware of any legislative changes or restrictive regulatory actions that may impact the recovery of reserves.

Reserve Estimation Methods

The methods employed in estimating reserves are described on page 1 of the Appendix. Reserves for proved developed producing wells were estimated using production performance methods for the vast majority of properties. Certain new producing properties with very little production history were forecast using a combination of production performance and analogy to similar production, both of which are considered to provide a relatively high degree of accuracy.  All reserve estimates involve an assessment of the uncertainty relating to the likelihood that the actual remaining quantities recovered will be greater or less than the estimated quantities determined as of the date the estimate is made.  The uncertainty depends mainly on the amount of the reliable geologic and engineering data available at the time of the estimate and the interpretation of such data, as well as the inherent uncertainties attributable to variations in reservoir and rock quality, offset drainage, mechanical wellbore integrity among others.  The relative degree of uncertainty may be conveyed by placing reserves into one of two principal classifications, either proved or unproved.  Unproved reserves are less certain to be recovered than proved reserves, and may be further sub-classified as probable and possible reserves to denote progressively increasing uncertainty in their recoverability.  This report addresses only the proved reserves attributable to the properties evaluated herein.

Non-producing reserve estimates, for both developed and undeveloped properties, were forecast using either volumetric or analogy methods, or a combination of both. These methods provide a relatively high degree of accuracy for predicting proved developed non-producing and proved undeveloped reserves. The assumptions, data, methods and procedures used herein are appropriate for the purpose served by this report.

Miscellaneous

An on-site field inspection of the properties has not been performed. The mechanical operation or conditions of the wells and their related facilities have not been examined nor have the wells been tested by Cawley, Gillespie & Associates, Inc.  Possible environmental liability related to the properties has not been investigated nor considered.  The costs of plugging and abandonment, less proceeds from the salvage value of equipment and/or facilities, have been included where material.

The reserve estimates were based on interpretations of factual data furnished by your office.  We have used all methods and procedures as we considered necessary under the circumstances to prepare the report.  We believe that the assumptions, data, methods and procedures were appropriate for the purpose served by this report.  Production data, gas prices, gas price differentials, expense data, tax values and ownership interests were also supplied by you and were accepted as furnished.  To some extent information from public records has been used to check and/or supplement these data.  The basic engineering and geological data were subject to third party reservations and qualifications.  Nothing has come to our attention, however, that would cause us to believe that we are not justified in relying on such data.

The professional qualifications of the undersigned, the technical personnel primarily responsible for the preparation of this report, are included as an attachment to this letter.

Yours very truly,

/s/ W. Todd Brooker

W. Todd Brooker, P.E.

President

Cawley, Gillespie & Associates

Texas Registered Engineering Firm F-693

APPENDIX

Methods Employed in the Estimation of Reserves

The four methods customarily employed in the estimation of reserves are (1) productionperformance, (2) materialbalance, (3) volumetric and (4) analogy.  Most estimates, although based primarily on one method, utilize other methods depending on the nature and extent of the data available and the characteristics of the reservoirs.

Basic information includes production, pressure, geological and laboratory data.  However, a large variation exists in the quality, quantity and types of information available on individual properties.  Operators are generally required by regulatory authorities to file monthly production reports and may be required to measure and report periodically such data as well pressures, gas-oil ratios, well tests, etc.  As a general rule, an operator has complete discretion in obtaining and/or making available geological and engineering data.  The resulting lack of uniformity in data renders impossible the application of identical methods to all properties, and may result in significant differences in the accuracy and reliability of estimates.

A brief discussion of each method, its basis, data requirements, applicability and generalization as to its relative degree of accuracy follows:

Production performance.  This method employs graphical analyses of production data on the premise that all factors which have controlled the performance to date will continue to control and that historical trends can be extrapolated to predict future performance.  The only information required is production history.  Capacity production can usually be analyzed from graphs of rates versus time or cumulative production.  This procedure is referred to as "decline curve" analysis.  Both capacity and restricted production can, in some cases, be analyzed from graphs of producing rate relationships of the various production components.  Reserve estimates obtained by this method are generally considered to have a relatively high degree of accuracy with the degree of accuracy increasing as production history accumulates.

Material balance.  This method employs the analysis of the relationship of production and pressure performance on the premise that the reservoir volume and its initial hydrocarbon content are fixed and that this initial hydrocarbon volume and recoveries therefrom can be estimated by analyzing changes in pressure with respect to production relationships.  This method requires reliable pressure and temperature data, production data, fluid analyses and knowledge of the nature of the reservoir.  The material balance method is applicable to all reservoirs, but the time and expense required for its use is dependent on the nature of the reservoir and its fluids.  Reserves for depletion type reservoirs can be estimated from graphs of pressures corrected for compressibility versus cumulative production, requiring only data that are usually available.  Estimates for other reservoir types require extensive data and involve complex calculations most suited to computer models which makes this method generally applicable only to reservoirs where there is economic justification for its use.  Reserve estimates obtained by this method are generally considered to have a degree of accuracy that is directly related to the complexity of the reservoir and the quality and quantity of data available.

Volumetric.  This method employs analyses of physical measurements of rock and fluid properties to calculate the volume of hydrocarbons in-place.  The data required are well information sufficient to determine reservoir subsurface datum, thickness, storage volume, fluid content and location.  The volumetric method is most applicable to reservoirs which are not susceptible to analysis by production performance or material balance methods.  These are most commonly newly developed and/or no-pressure depleting reservoirs.  The amount of hydrocarbons in-place that can be recovered is not an integral part of the volumetric calculations but is an estimate inferred by other methods and a knowledge of the nature of the reservoir.  Reserve estimates obtained by this method are generally considered to have a low degree of accuracy, but the degree of accuracy can be relatively high where rock quality and subsurface control is good and the nature of the reservoir is uncomplicated.

Analogy.  This method, which employs experience and judgment to estimate reserves, is based on observations of similar situations and includes consideration of theoretical performance.  The analogy method is a common approach used for “resource plays,” where an abundance of wells with similar production profiles facilitates the reliable estimation of future reserves with a relatively high degree of accuracy.  The analogy method may also be applicable where the data are insufficient or so inconclusive that reliable reserve estimates cannot be made by other methods.  Reserve estimates obtained in this manner are generally considered to have a relatively low degree of accuracy.

Much of the information used in the estimation of reserves is itself arrived at by the use of estimates.  These estimates contain inherent uncertainties and are subject to continuing change as additional information becomes available.  Reserve estimates which presently appear to be correct may be found to contain substantial errors as time passes and new information is obtained about well and reservoir performance.

	Appendix
Cawley, Gillespie & Associates, Inc.	Page 1

APPENDIX

Reserve Definitions and Classifications

The Securities and Exchange Commission, in SX Reg. 210.4-10 dated November 18, 1981, as amended on September 19, 1989 and January 1, 2010, requires adherence to the following definitions of oil and gas reserves:

“(22)Proved oil and gas reserves.  Proved oil and gas reserves are those quantities of oil and gas, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be economically producible—from a given date forward, from known reservoirs, and under existing economic conditions, operating methods, and government regulations—prior to the time at which contracts providing the right to operate expire, unless evidence indicates that renewal is reasonably certain, regardless of whether deterministic or probabilistic methods are used for the estimation. The project to extract the hydrocarbons must have commenced or the operator must be reasonably certain that it will commence the project within a reasonable time.

“(i)The area of a reservoir considered as proved includes: (A) The area identified by drilling and limited by fluid contacts, if any, and (B) Adjacent undrilled portions of the reservoir that can, with reasonable certainty, be judged to be continuous with it and to contain economically producible oil or gas on the basis of available geoscience and engineering data.

“(ii)In the absence of data on fluid contacts, proved quantities in a reservoir are limited by the lowest known hydrocarbons (LKH) as seen in a well penetration unless geoscience, engineering, or performance data and reliable technology establishes a lower contact with reasonable certainty.

“(iii)Where direct observation from well penetrations has defined a highest known oil (HKO) elevation and the potential exists for an associated gas cap, proved oil reserves may be assigned in the structurally higher portions of the reservoir only if geoscience, engineering, or performance data and reliable technology establish the higher contact with reasonable certainty.

“(iv)Reserves which can be produced economically through application of improved recovery techniques (including, but not limited to, fluid injection) are included in the proved classification when: (A) Successful testing by a pilot project in an area of the reservoir with properties no more favorable than in the reservoir as a whole, the operation of an installed program in the reservoir or an analogous reservoir, or other evidence using reliable technology establishes the reasonable certainty of the engineering analysis on which the project or program was based; and (B) The project has been approved for development by all necessary parties and entities, including governmental entities.

“(v)Existing economic conditions include prices and costs at which economic producibility from a reservoir is to be determined. The price shall be the average price during the 12-month period prior to the ending date of the period covered by the report, determined as an unweighted arithmetic average of the first-day-of-the-month price for each month within such period, unless prices are defined by contractual arrangements, excluding escalations based upon future conditions.

“(6)Developed oil and gas reserves.  Developed oil and gas reserves are reserves of any category that can be expected to be recovered:

“(i)Through existing wells with existing equipment and operating methods or in which the cost of the required equipment is relatively minor compared to the cost of a new well; and

“(ii)Through installed extraction equipment and infrastructure operational at the time of the reserves estimate if the extraction is by means not involving a well.

“(31)Undeveloped oil and gas reserves.  Undeveloped oil and gas reserves are reserves of any category that are expected to be recovered from new wells on undrilled acreage, or from existing wells where a relatively major expenditure is required for recompletion.

“(i)Reserves on undrilled acreage shall be limited to those directly offsetting development spacing areas that are reasonably certain of production when drilled, unless evidence using reliable technology exists that establishes reasonable certainty of economic producibility at greater distances.

“(ii)Undrilled locations can be classified as having undeveloped reserves only if a development plan has been adopted indicating that they are scheduled to be drilled within five years, unless the specific circumstances, justify a longer time.

“(iii)Under no circumstances shall estimates for undeveloped reserves be attributable to any acreage for which an application of fluid injection or other improved recovery technique is contemplated, unless such techniques have been proved effective by actual projects in the same reservoir or an analogous reservoir, as defined in paragraph (a)(2) of this section, or by other evidence using reliable technology establishing reasonable certainty.

	Appendix
Cawley, Gillespie & Associates, Inc.	Page 2

“(26)Reserves.  Reserves are estimated remaining quantities of oil and gas and related substances anticipated to be economically producible, as of a given date, by application of development projects to known accumulations. In addition, there must exist, or there must be a reasonable expectation that there will exist, the legal right to produce or a revenue interest in the production, installed means of delivering oil and gas or related substances to market, and all permits and financing required to implement the project.

“Note to paragraph (26):  Reserves should not be assigned to adjacent reservoirs isolated by major, potentially sealing, faults until those reservoirs are penetrated and evaluated as economically producible. Reserves should not be assigned to areas that are clearly separated from a known accumulation by a non-productive reservoir (i.e., absence of reservoir, structurally low reservoir, or negative test results). Such areas may contain prospective resources (i.e., potentially recoverable resources from undiscovered accumulations).”

	Appendix
Cawley, Gillespie & Associates, Inc.	Page 3

Cawley, Gillespie & Associates, Inc.

PETROLEUM CONSULTANTS

13640 BRIARWICK DRIVE, SUITE 100	306 WEST SEVENTH STREET, SUITE 302	1000 LOUISIANA STREET, SUITE 1900
AUSTIN, TEXAS 78729-1707	FORT WORTH, TEXAS 76102-4987	HOUSTON, TEXAS 77002-5008
512-249-7000	817-336-2461	713-651-9944
	www.cgaus.com

Professional Qualifications of W. Todd Brooker, P.E.

President of Cawley, Gillespie & Associates

Mr. Brooker has been a Petroleum Consultant for Cawley, Gillespie & Associates (CG&A) since 1992, and became President in 2017.  His responsibilities include reserve and economic evaluations, fair market valuations, field studies, pipeline resource studies and acquisition/divestiture analysis.His reserve reports are routinely used for public company SEC disclosures. His experience includes significant projects in both conventional and unconventional resources in every major U.S. producing basin and abroad, including oil and gas shale plays, coalbed methane fields, waterfloods and complex, faulted structures.  Prior to CG&A he worked in Gulf of Mexico drilling and production engineering at Chevron USA.  Mr. Brooker graduated with honors from the University of Texas at Austin in 1989 with a Bachelor of Science degree in Petroleum Engineering.  He is a registered professional engineer in Texas, No. 83462, and a member of the Society of Petroleum Engineers (SPE).

XML

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2017	Feb. 15, 2018	Jun. 30, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	WHITING PETROLEUM CORP
Entity Central Index Key	0001255474
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		90,927,193
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY
Entity Public Float			$ 2,002,000,000
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No

XML

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents		$ 879,379	$ 55,975
Restricted cash			17,250
Accounts receivable trade, net		284,214	173,919
Prepaid expenses and other		26,035	26,312
Assets held for sale			349,146
Total current assets		1,189,628	622,602
Property and equipment:
Oil and gas properties, successful efforts method		11,293,650	13,230,851
Other property and equipment		134,524	134,638
Total property and equipment		11,428,174	13,365,489
Less accumulated depreciation, depletion and amortization		(4,244,735)	(4,222,071)
Total property and equipment, net		7,183,439	9,143,418
Other long-term assets		29,967	110,122
TOTAL ASSETS		8,403,034	9,876,142
Current liabilities:
Current portion of long-term debt		958,713
Accounts payable trade		32,761	32,126
Revenues and royalties payable		171,028	147,226
Accrued capital expenditures		69,744	56,830
Accrued interest		40,971	44,749
Accrued lease operating expenses		36,865	45,015
Accrued liabilities and other		51,590	63,538
Taxes payable		28,771	39,547
Derivative liabilities		132,525	17,628
Accrued employee compensation and benefits		30,360	31,134
Liabilities related to assets held for sale			538
Total current liabilities		1,553,328	478,331
Long-term debt		2,764,716	3,535,303
Deferred income taxes			475,689
Asset retirement obligations		129,206	168,504
Other long-term liabilities		36,642	69,123
Total liabilities		4,483,892	4,726,950
Commitments and contingencies
Equity:
Common stock, $0.001 par value, 225,000,000 shares authorized; 92,094,837 issued and 90,698,889 outstanding as of December 31, 2017 and 91,793,472 issued and 90,503,482 outstanding as of December 31, 2016	[1]	92	367
Additional paid-in capital		6,405,490	6,389,435
Accumulated deficit		(2,486,440)	(1,248,572)
Total Whiting shareholders' equity		3,919,142	5,141,230
Noncontrolling interest			7,962
Total equity		3,919,142	5,149,192
TOTAL LIABILITIES AND EQUITY		$ 8,403,034	$ 9,876,142

[1] All share amounts (except par value amounts) as of December 31, 2016 have been retroactively adjusted to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

XML

CONSOLIDATED BALANCE SHEETS (Parenthetical)	Dec. 31, 2017 $ / shares shares	Dec. 31, 2016 $ / shares shares
CONSOLIDATED BALANCE SHEETS [Abstract]
Common stock, par value (in dollars per share) | $ / shares	$ 0.001	$ 0.001
Common stock, shares authorized	225,000,000	600,000,000
Common stock, shares issued	92,094,837	91,793,472
Common stock, shares outstanding	90,698,889	90,503,482

XML

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
OPERATING REVENUES
Oil, NGL and natural gas sales		$ 1,481,435	$ 1,284,982	$ 2,092,482
OPERATING EXPENSES
Lease operating expenses		366,880	395,135	555,392
Production taxes		123,483	108,715	183,035
Depreciation, depletion and amortization		948,939	1,171,582	1,243,293
Exploration and impairment		936,177	121,468	1,881,671
Goodwill impairment				873,772
General and administrative		124,288	146,878	172,616
Derivative (gain) loss, net		122,847	(587)	(217,972)
Loss on sale of properties		401,113	184,567	60,791
Amortization of deferred gain on sale		(12,963)	(14,570)	(16,751)
Total operating expenses		3,010,764	2,113,188	4,735,847
LOSS FROM OPERATIONS		(1,529,329)	(828,206)	(2,643,365)
OTHER INCOME (EXPENSE)
Interest expense		(191,088)	(557,620)	(334,125)
Gain (loss) on extinguishment of debt		(1,540)	(42,236)	(18,361)
Interest income and other		1,316	1,292	2,356
Total other expense		(191,312)	(598,564)	(350,130)
LOSS BEFORE INCOME TAXES		(1,720,641)	(1,426,770)	(2,993,495)
INCOME TAX BENEFIT
Current		(7,291)	(7,190)	(357)
Deferred		(475,688)	(80,456)	(773,870)
Total income tax benefit		(482,979)	(87,646)	(774,227)
NET LOSS		(1,237,662)	(1,339,124)	(2,219,268)
Net loss attributable to noncontrolling interests		14	22	86
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS		$ (1,237,648)	$ (1,339,102)	$ (2,219,182)
LOSS PER COMMON SHARE
Basic (in dollars per share)	[1]	$ (13.65)	$ (21.27)	$ (45.41)
Diluted (in dollars per share)	[1]	$ (13.65)	$ (21.27)	$ (45.41)
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic (in shares)	[1]	90,683	62,967	48,868
Diluted (in shares)	[1]	90,683	62,967	48,868

[1] All share and per share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

XML

CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical)		1 Months Ended
	Nov. 08, 2017	Nov. 30, 2017
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) [Abstract]
Reverse stock split ratio	0.25	0.25

XML

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (1,237,662)	$ (1,339,124)	$ (2,219,268)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation, depletion and amortization	948,939	1,171,582	1,243,293
Deferred income tax benefit	(475,688)	(80,456)	(773,870)
Amortization of debt issuance costs, debt discount and debt premium	31,715	335,569	46,525
Stock-based compensation	21,641	25,647	28,098
Amortization of deferred gain on sale	(12,963)	(14,570)	(16,751)
Loss on sale of properties	401,113	184,567	60,791
Undeveloped leasehold and oil and gas property impairments	899,853	75,622	1,738,308
Goodwill impairment			873,772
Exploratory dry hole costs		134	9,440
Loss on extinguishment of debt	1,540	42,236	18,361
Non-cash derivative (gain) loss	131,129	151,151	(1,615)
Other, net	(9,255)	(10,185)	(9,337)
Changes in current assets and liabilities:
Accounts receivable trade, net	(110,879)	155,416	207,367
Prepaid expenses and other	(444)	586	54,027
Accounts payable trade and accrued liabilities	(24,953)	(62,774)	(117,136)
Revenues and royalties payable	23,799	(32,185)	(74,417)
Taxes payable	(10,776)	(8,206)	(16,196)
Net cash provided by operating activities	577,109	595,010	1,051,392
CASH FLOWS FROM INVESTING ACTIVITIES
Drilling and development capital expenditures	(830,552)	(539,208)	(2,455,218)
Acquisition of oil and gas properties	(21,429)	(4,718)	(28,449)
Other property and equipment	(4,596)	(9,255)	(13,266)
Proceeds from sale of oil and gas properties	929,974	313,355	514,814
Deposit received on properties held for sale		17,250
Net cash provided by (used in) investing activities	73,397	(222,576)	(1,982,119)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings under credit agreement	1,900,000	1,310,000	3,550,000
Repayments of borrowings under credit agreement	(2,450,000)	(1,560,000)	(4,150,000)
Issuance of common stock			1,111,148
Issuance of 1.25% Convertible Senior Notes due 2020			1,250,000
Redemption of 6.5% Senior Subordinated Notes due 2018	(275,121)
Early conversion payments for New Convertible Notes		(41,919)
Debt and equity issuance costs	(13,150)	(22,499)	(54,461)
Proceeds from stock options exercised			3,048
Restricted stock used for tax withholdings	(6,081)	(844)	(1,126)
Net cash provided by (used in) financing activities	155,648	(315,262)	868,680
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	806,154	57,172	(62,047)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	73,225	16,053	78,100
End of period	879,379	73,225	16,053
SUPPLEMENTAL CASH FLOW DISCLOSURES:
Income taxes paid (refunded), net	49	(1,044)	(604)
Interest paid, net of amounts capitalized	163,151	239,963	292,582
NONCASH INVESTING ACTIVITIES
Accrued capital expenditures and accounts payable related to property additions	80,762	$ 65,052	94,105
Senior Notes [Member] | 6.625% Senior Notes due 2026 [Member]
CASH FLOWS FROM FINANCING ACTIVITIES
Issuance of Senior Notes	$ 1,000,000
Senior Notes [Member] | 6.25% Senior Notes due 2023 [Member]
CASH FLOWS FROM FINANCING ACTIVITIES
Issuance of Senior Notes			750,000
Senior Notes [Member] | 8.125% Senior Notes due 2019 [Member]
CASH FLOWS FROM FINANCING ACTIVITIES
Redemption of Senior Notes			(832,429)
Senior Notes [Member] | 5.5% Senior Notes due 2021 [Member]
CASH FLOWS FROM FINANCING ACTIVITIES
Redemption of Senior Notes			(353,500)
Senior Notes [Member] | 5.5% Senior Notes due 2022 [Member]
CASH FLOWS FROM FINANCING ACTIVITIES
Redemption of Senior Notes			$ (404,000)

XML

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2015	Dec. 08, 2014	Sep. 30, 2010
1.25% Convertible Senior Notes due 2020 [Member] | Convertible Senior Notes [Member]
Interest Rate (as a percent)	1.25%	1.25%	1.25%	1.25%
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member]
Interest Rate (as a percent)	6.625%
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member]
Interest Rate (as a percent)	6.25%	6.25%	6.25%	6.25%
6.5% Senior Subordinated Notes due 2018 [Member] | Senior Subordinated Notes [Member]
Interest Rate (as a percent)	6.50%	6.50%				6.50%
8.125% Senior Notes due 2019 [Member] | Senior Notes [Member]
Interest Rate (as a percent)			8.125%		8.125%
5.5% Senior Notes due 2021 [Member] | Senior Notes [Member]
Interest Rate (as a percent)			5.50%		5.50%
5.5% Senior Notes due 2022 [Member] | Senior Notes [Member]
Interest Rate (as a percent)			5.50%		5.50%

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CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Thousands, $ in Thousands		Mandatory Convertible Notes [Member] Additional Paid-in Capital [Member]	Mandatory Convertible Notes [Member] Total Whiting Shareholders' Equity [Member]	Mandatory Convertible Notes [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings (Accumulated Deficit) [Member]	Total Whiting Shareholders' Equity [Member]	Noncontrolling Interest [Member]	Total
BALANCES at Dec. 31, 2014					$ 168	$ 3,385,094	$ 2,309,712	$ 5,694,974	$ 8,070	$ 5,703,044
BALANCES (in shares) at Dec. 31, 2014	[1]				42,087
Increase (Decrease) in Shareholders' Equity
Net loss							(2,219,182)	(2,219,182)	(86)	(2,219,268)
Issuance of common stock					$ 37	1,100,000		1,100,037		1,100,037
Issuance of common stock (in shares)	[1]				9,250
Equity component of 2020 Convertible Senior Notes, net						144,755		144,755		144,755
Exercise of stock options						3,048		3,048		3,048
Exercise of stock options (in shares)	[1]				37
Restricted stock issued					$ 1	(1)
Restricted stock issued (in shares)	[1]				304
Restricted stock forfeited (in shares)	[1]				(58)
Restricted stock used for tax withholdings						(1,126)		(1,126)		(1,126)
Restricted stock used for tax withholdings (in shares)	[1]				(10)
Stock-based compensation						28,098		28,098		28,098
BALANCES at Dec. 31, 2015					$ 206	4,659,868	90,530	4,750,604	7,984	4,758,588
BALANCES (in shares) at Dec. 31, 2015	[1]				51,610
Increase (Decrease) in Shareholders' Equity
Net loss							(1,339,102)	(1,339,102)	(22)	(1,339,124)
Issuance of common stock upon conversion of convertible notes					$ 158	1,535,296		1,535,454		1,535,454
Issuance of common stock upon conversion of convertible notes, (in shares)	[1]				39,386
Reduction of equity component of 2020 Convertible Senior Notes upon extinguishment, net						(63,330)		(63,330)		(63,330)
Recognition of beneficial conversion features on convertible notes		$ 232,801	$ 232,801	$ 232,801
Restricted stock issued					$ 4	(4)
Restricted stock issued (in shares)	[1]				1,005
Restricted stock forfeited					$ (1)	1
Restricted stock forfeited (in shares)	[1]				(182)
Restricted stock used for tax withholdings						(844)		(844)		(844)
Restricted stock used for tax withholdings (in shares)	[1]				(26)
Stock-based compensation						25,647		25,647		25,647
BALANCES at Dec. 31, 2016					$ 367	6,389,435	(1,248,572)	5,141,230	7,962	5,149,192
BALANCES (in shares) at Dec. 31, 2016	[1]				91,793
Increase (Decrease) in Shareholders' Equity
Net loss							(1,237,648)	(1,237,648)	(14)	(1,237,662)
Conveyance of third party ownership interest in Sustainable Water Resources, LLC									$ (7,948)	(7,948)
Reverse stock split					$ (276)	276
Restricted stock issued					$ 2	(2)
Restricted stock issued (in shares)	[1]				707
Restricted stock forfeited					$ (1)	1
Restricted stock forfeited (in shares)	[1]				(261)
Restricted stock used for tax withholdings						(6,081)		(6,081)		(6,081)
Restricted stock used for tax withholdings (in shares)	[1]				(144)
Stock-based compensation						21,641		21,641		21,641
BALANCES at Dec. 31, 2017					$ 92	6,405,490	(2,486,440)	$ 3,919,142		$ 3,919,142
BALANCES (in shares) at Dec. 31, 2017	[1]				92,095
Increase (Decrease) in Shareholders' Equity
Cumulative effect of change in accounting principle						$ 220	$ (220)

[1] All common share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

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CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical)		1 Months Ended
	Nov. 08, 2017	Nov. 30, 2017
CONSOLIDATED STATEMENTS OF EQUITY [Abstract]
Reverse stock split ratio	0.25	0.25

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

WHITING PETROLEUM CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.           SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Description of Operations—Whiting Petroleum Corporation, a Delaware corporation, is an independent oil and gas company engaged in the development, production, acquisition and exploration of crude oil, NGLs and natural gas primarily in the Rocky Mountains region of the United States.  Unless otherwise specified or the context otherwise requires, all references in these notes to “Whiting” or the “Company” are to Whiting Petroleum Corporation and its consolidated subsidiaries, Whiting Oil and Gas Corporation (“Whiting Oil and Gas”), Whiting US Holding Company, Whiting Canadian Holding Company ULC (formerly Kodiak Oil & Gas Corp., “Kodiak”), Whiting Resources Corporation and Whiting Programs, Inc.

Basis of Presentation of Consolidated Financial Statements—The consolidated financial statements have been prepared in accordance with GAAP and SEC rules and regulations and include the accounts of Whiting Petroleum Corporation, its consolidated subsidiaries and Whiting’s pro rata share of the accounts of Whiting USA Trust I (“Trust I”) pursuant to Whiting’s 15.8% ownership interest in TrustI.  On January 28, 2015, the net profits interest that Whiting conveyed to Trust I terminated and such interest in the underlying properties reverted back to Whiting.  Investments in entities which give Whiting significant influence, but not control, over the investee are accounted for using the equity method.  Under the equity method, investments are stated at cost plus the Company’s equity in undistributed earnings and losses.  All intercompany balances and transactions have been eliminated upon consolidation.

Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period.  Items subject to such estimates and assumptions include (i) oil and naturalgas reserves; (ii) impairment tests of long-lived assets; (iii) depreciation, depletion and amortization; (iv) asset retirement obligations; (v) assignment of fair value and allocation of purchase price in connection with business combinations, including the determination of any resulting goodwill; (vi) valuations of the Company’s reporting unit used in impairment tests of goodwill; (vii) income taxes; (viii) accrued liabilities; (ix) valuation of derivative instruments; and (x) accrued revenue and related receivables.  Although management believes these estimates are reasonable, actual results could differ from these estimates.

Reclassifications—Certain prior period balances in the consolidated balance sheets have been reclassified to conform to the current year presentation.  Such reclassifications had no impact on net income, cash flows or shareholders’ equity previously reported.

Cash, Cash Equivalents and Restricted Cash—Cash equivalents consist of demand deposits and highly liquid investments which have an original maturity of three months or less.

Restricted cash at December 31, 2016 related to a deposit received in connection with the sale of Whiting’s interests in the Robinson Lake and Belfield gas processing plants.  The use of these funds was restricted per the terms of the purchase agreement until the sale transaction closed on January1, 2017.  Refer to the “Acquisition and Divestitures” footnote for further information on this transaction.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets and the consolidated statements of cash flows:

	December 31,
	2017		2016
Cash and cash equivalents	$	879,379	$	55,975
Restricted cash		-		17,250
Total cash, cash equivalents and restricted cash	$	879,379	$	73,225

Accounts Receivable Trade—Whiting’s accounts receivable trade consist mainly of receivables from oil and gas purchasers and joint interest owners on properties the Company operates.  For receivables from joint interest owners, Whiting typically has the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings.  Generally, the Company’s oil and gas receivables are collected within two months, and to date, the Company has had minimal bad debts.

The Company routinely assesses the recoverability of all material trade and other receivables to determine their collectability.  At December 31, 2017 and 2016, the Company had an allowance for doubtful accounts of $17 million and $10 million, respectively.

Inventories—Materials and supplies inventories consist primarily of tubular goods and production equipment, carried at weighted-average cost.  Materials and supplies are included in other property and equipment and totaled $24 million and $33 million as of December 31, 2017 and 2016, respectively.  Crude oil in tanks inventory is carried at the lower of the estimated cost to produce or net realizable value.  Oil in tanks is included in prepaid expenses and other and totaled $7 million and $8 million as of December 31, 2017 and 2016, respectively.

Oil and Gas Properties

Proved.  The Company follows the successful efforts method of accounting for its oil and gas properties.  Under this method of accounting, all property acquisition costs and development costs are capitalized when incurred and depleted on a unit-of-production basis over the remaining life of proved reserves and proved developed reserves, respectively.  Costs of drilling exploratory wells are initially capitalized but are charged to expense if the well is determined to be unsuccessful.

The Company assesses its proved oil and gas properties for impairment whenever events or circumstances indicate that the carrying value of the assets may not be recoverable.  The impairment test compares undiscounted future net cash flows to the assets’ net book value.  If the net capitalized costs exceed future net cash flows, then the cost of the property is written down to fair value.  Fair value for oil and gas properties is generally determined based on discounted future net cash flows.  Impairment expense for proved properties totaled $835million and $1.6 billion for the years ended December 31, 2017 and 2015, respectively, which is reported in exploration and impairment expense.

Net carrying values of retired, sold or abandoned properties that constitute less than a complete unit of depreciable property are charged or credited, net of proceeds, to accumulated depreciation, depletion and amortization unless doing so significantly affects the unit-of-production amortization rate, in which case a gain or loss is recognized in income.  Gains or losses from the disposal of complete units of depreciable property are recognized to earnings.

Interest cost is capitalized as a component of property cost for development projects that require greater than six months to be readied for their intended use.  During 2017, 2016 and 2015, the Company capitalized interest of $0.1 million, $0.1 million and $4 million, respectively.

Unproved.  Unproved properties consist of costs to acquire undeveloped leases as well as purchases of unproved reserves.  Undeveloped lease costs and unproved reserve acquisitions are capitalized, and individually insignificant unproved properties are amortized on a composite basis, based on average lease-term lives and the historical experience of developing acreage in a particular prospect.  The Company evaluates significant unproved properties for impairment based on remaining lease term, drilling results, reservoir performance, seismic interpretation or future plans to develop acreage.  When successful wells are drilled on undeveloped leaseholds, unproved property costs are reclassified to proved properties and depleted on a unit-of-production basis.  Impairment expense for unproved properties totaled $59 million, $73 million and $135 million for the years ended December 31, 2017, 2016 and 2015, respectively, which is reported in exploration and impairment expense.

Exploratory.  Geological and geophysical costs, including exploratory seismic studies, and the costs of carrying and retaining unproved acreage are expensed as incurred.  Costs of seismic studies that are utilized in development drilling within an area of proved reserves are capitalized as development costs.  Amounts of seismic costs capitalized are based on only those blocks of data used in determining development well locations.  To the extent that a seismic project covers areas of both developmental and exploratory drilling, those seismic costs are proportionately allocated between development costsand exploration expense.

Costs of drilling exploratory wells are initially capitalized, pending determination of whether the well has found proved reserves.  If an exploratory well has not found proved reserves, the costs of drilling the well and other associated costs are charged to expense.  Costs incurred for exploratory wells that find reserves, which cannot yet be classified as proved, continue to be capitalized if (i) the well has found a sufficient quantity of reserves to justify completion as a producing well, and (ii) the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project.  If either condition is not met, or if the Company obtains information that raises substantial doubt about the economic or operational viability of the project, the exploratory well costs, net of any salvage value, are expensed.

Other Property and Equipment—Other property and equipment consists of materials and supplies inventories, carried at weighted-average cost, and furniture and fixtures, buildings, leasehold improvements and automobiles, which are stated at cost and depreciated using the straight-line method over their estimated useful lives ranging from 4 to 30 years.

Goodwill—Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in business combinations.  Goodwill has an indefinite useful life and is not amortized, but rather is tested by the Company for impairment annually in the second quarter or whenever events or changes in circumstances indicate that the fair value of the reporting unit may have been reduced below its carrying value. 

The Company performed its annual goodwill impairment test as of June 30, 2015, and determined that no impairment had occurred.  However, as a result of a sustained decrease in the price of Whiting’s common stock during the third quarter of 2015 caused by a significant decline in crude oil and natural gas prices over that same period, the Company performed another goodwill impairment test as of September 30, 2015.  The impairment test performed by the Company indicated that the fair value of its reporting unit was less than its carrying amount, and further that there was no remaining implied fair value attributable to goodwill.  Based on these results, the Company recorded a non-cash impairment charge to reduce the carrying value of goodwill to zero.

Debt Issuance Costs—Debt issuance costs related to the Company’s senior notes, convertible senior notes and senior subordinated notes are included as a deduction from the carrying amount of long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related debt.  Debt issuance costs related to the credit facility are included in other long-term assets and are amortized to interest expense on a straight-line basis over the term of the agreement.

Debt Discounts and Premiums—Debt discounts and premiums related to the Company’s senior notes and convertible notes are included as a deduction from or addition to the carrying amount of the long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related notes.

Derivative Instruments—The Company enters into derivative contracts, primarily costless collars and swaps, to manage its exposure to commodity price risk.  Whiting follows FASB ASC Topic 815, Derivatives and Hedging, to account for its derivative financial instruments.All derivative instruments, other than those that meet the “normal purchase normal sale” exclusion, are recorded on the balance sheet as either an asset or liability measured at fair value.  Gains and losses from changes in the fair value of derivative instruments are recognized immediately in earnings, unless the derivative meets specific hedge accounting criteria and the derivative has been designated as a hedge.  The Company does not currently apply hedge accounting to any of its outstanding derivative instruments, and as a result, all changes in derivative fair values are recognized currently in earnings.

Cash flows from derivatives used to manage commodity price risk are classified in operating activities along with the cash flows of the underlying hedged transactions.  The Company does not enter into derivative instruments for speculative or trading purposes.  Refer to the “Derivative Financial Instruments” footnote for further information.

Asset Retirement Obligations and Environmental Costs—Asset retirement obligations relate to future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage and returning such land to its original condition.  The Company follows FASB ASC Topic 410, Asset Retirement and Environmental Obligations, to determine its asset retirement obligation amounts by calculating the present value of the estimated future cash outflows associated with its plug and abandonment obligations.  The fair value of a liability for an asset retirement obligation is recorded in the period in which it is incurred (typically when a well is completed or acquired or when an asset is installed at the production location), and the cost of such liability increases the carrying amount of the related long-lived asset by the same amount.  The liability is accreted each period through charges to depreciation, depletion and amortization expense, and the capitalized cost is depleted on a unit-of-production basis over the proved developed reserves of the related asset.  Revisions typically occur due to changes in estimated abandonment costs or well economic lives, or if federal or state regulators enact new requirements regarding the abandonment of wells, and such revisions result in adjustments to the related capitalized asset and corresponding liability.

Liabilities for environmental costs are recorded on an undiscounted basis when it is probable that obligations have been incurred and the amounts can be reasonably estimated.  These liabilities are not reduced by possible recoveries from third parties.

Deferred Gain on Sale—The deferred gain on sale relates to the sale of 18,400,000 Whiting USA Trust II (“Trust II”)units, and is amortized to income based on the unit-of-production method. 

Revenue Recognition—Oil and gas revenues are recognized when production volumes are sold to a purchaser at a fixed or determinable price, delivery has occurred and title has transferred, persuasive evidence of a sales arrangement exists and collectability of the revenue is reasonably assured.  Revenues from the production of gas properties in which the Company has an interest with other producers are recognized on the basis of the Company’s net working interest (entitlement method).  Net deliveries in excess of entitled amounts are recorded as liabilities, while net under deliveries are reflected as receivables.  The Company’s aggregate imbalance positions as of December 31, 2017 and 2016 were not significant.

Taxes collected and remitted to governmental agencies on behalf of customers are not included in revenues or costs and expenses.

General and Administrative Expenses—General and administrative expenses are reported net of reimbursements of overhead costs that are allocated to the working interest owners that participate in oil and gas properties operated by Whiting.

Stock-based Compensation Expense—The Company has share-based employee compensation plans that provide for the issuance of various types of stock-based awards, including shares of restricted stock, restricted stock units and stock options, to employees and non-employee directors.  The Company determines compensation expense for restricted stock awards and options granted under these plans based on the grant date fair value, and such expense is recognized on a straight-line basis over the requisite service period of the award.  The Company determines compensation expense for cash-settled restricted stock units granted under these plans based on the fair value of such awards at the end of each reporting period,and such awards are recorded as a  liability in the consolidated balance sheets.  Gains and losses from changes in the fair value of restricted stock units are recognized immediately in earnings.  The Company accounts for forfeitures of share-based awards as they occur.  Refer to the “Stock-Based Compensation” footnote for further information.

401(k) Plan—The Company has a defined contribution retirement plan for all employees.  The plan is funded by employee contributions and discretionary Company contributions.  The Company’s contributions for 2017, 2016 and 2015 were $8 million, $8 million and $12 million, respectively.  Employees vest in employer contributions at 20% per year of completed service.

Acquisition Costs—Acquisition related expenses, which consist of external costs directly related to the Company’s acquisitions, such as advisory, legal, accounting, valuation and other professional fees, are expensed as incurred.

Maintenance and Repairs—Maintenance and repair costs that do not extend the useful lives of property and equipment are charged to expense as incurred.  Major replacements, renewals and betterments are capitalized.

Income Taxes—Income taxes are recognized based on earnings reported for tax return purposes in addition to a provision for deferred income taxes.  Deferred income taxes are accounted for using the liability method.  Under this method, deferred tax assets and liabilities are determined by applying the enacted statutory tax rates in effect at the end of a reporting period to the cumulative temporary differences between the tax bases of assets and liabilities and their reported amounts in the Company’s financial statements.  The effect on deferred taxes for a change in tax rates is recognized in income in the period that includes the enactment date.  A valuation allowance for deferred tax assets is established when it is more likely than not that some portion of the benefit from deferred tax assets will not be realized.  The Company’s uncertain tax positions must meet a more-likely-than-not realization threshold to be recognized, and any potential accrued interest and penalties related to unrecognized tax benefits are recognized within income tax expense.

Earnings Per Share—Basic earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during each period.  Diluted earnings per common share is calculated by dividing adjusted net income attributable to common shareholders by the weighted average number of diluted common shares outstanding, which includes the effect of potentially dilutive securities.  Potentially dilutive securities for the diluted earnings per share calculations consist of unvested restricted stock awards, outstanding stock options and contingently issuable shares of convertible debt to be settled in cash, all using the treasury stock method.  In addition, the diluted earnings per share calculation for the year ended December 31, 2016 considers the effect of convertible debt issued and converted during 2016, using the if-converted method for periods prior to their actual conversions.  When a loss from continuing operations exists, all dilutive securities and potentially dilutive securities are anti-dilutive and are therefore excluded from the computation of diluted earnings per share.

Industry Segment and Geographic Information—The Company has evaluated how it is organized and managed and has identified only one operating segment, which is the exploration and production of crude oil, NGLs and natural gas.  The Company considers its gathering, processing and marketing functions as ancillary to its oil and gas producing activities.  All of the Company’s operations and assets are located in the United States, and substantially all of its revenues are attributable to United States customers.

Concentration of Credit Risk—Whiting is exposed to credit risk in the event of nonpayment by counterparties, a significant portion of which are concentrated in energy related industries.  The creditworthiness of customers and other counterparties is subject to continuing review.  The following tables present the percentages by purchaser that accounted for 10% or more of the Company’s total oil, NGL and natural gas sales for the years ended December 31, 2017 and 2016.  For the year ended December 31, 2015, no individual purchaser accounted for 10% or more of the Company’s total oil, NGL and natural gas sales.

Year Ended December 31, 2017
Tesoro Crude Oil Co	18%

Year Ended December 31, 2016
Tesoro Crude Oil Co	15%
Jamex Marketing LLC	12%

Commodity derivative contracts held by the Company are with nine counterparties, all of which are participants in Whiting’s credit facility as well, and all of which have investment-grade ratings from Moody’s and Standard & Poor’s.  As of December 31, 2017, outstanding derivative contracts with JP Morgan Chase Bank, N.A.,  Wells Fargo Bank, N.A., Capital One, N.A. and KeyBank, N.A. represented 24%,17%,14% and 10%, respectively, of total crude oil volumes hedged.

Adopted and Recently IssuedAccounting Pronouncements—In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014‑09”).  The objective of ASU 2014-09 is to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards.  The FASB subsequently issued various ASUs which deferred the effective date of ASU 2014-09 and provided additional implementation guidance.  ASU 2014-09 and its amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017.  The standards permit retrospective application using either of the following methodologies: (i) restatement of each prior reporting period presented or (ii) recognition of a cumulative-effect adjustment as of the date of initial application.  The Company adopted these ASUs effective January 1, 2018 using the modified retrospective approach.  The Company has completed the assessment of its contracts with customers and is in the process of implementing the changes to its financial statements, accounting policies and internal controls as a result of the adoption of these standards. The adoption is not expected to have an impact on the Company’s net income or cash flows, however, itwill result in changes to the classification of fees incurred under certain pipeline gathering and transportation agreements and gas processing agreements, as well as certain costs attributable to non-operated properties, which will result in an overall decrease in total revenues with a corresponding decrease inlease operating expenses under the new standards.  In addition, the Company is continuing to assess the additional disclosures that will be required upon implementation of these ASUs.

In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (“ASU 2016-02”).  The objective of this ASU is to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing key information about leasing arrangements.  ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018 and should be applied using a modified retrospective approach.  Early adoption is permitted.  Although the Company is still in the process of evaluating the effect of adopting ASU 2016‑02, the adoption is expected to result in (i) an increase in the assets and liabilities recorded on its consolidated balance sheet, (ii) an increase in depreciation, depletion and amortization expense and interest expense recorded on its consolidated statement of operations, and (iii) additional disclosures.  As of December 31, 2017, the Company had approximately $73 million of contractual obligations related to its non-cancelable leases, drilling rig contracts and pipeline transportation agreements, and it will evaluate those contracts as well as other existing arrangements to determine if they qualify for lease accounting under ASU 2016-02.

In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”).  The objective of this ASU is to simplify several aspects of the accounting for employee share-based payment transactions, including income tax consequences, forfeitures, classification of awards as either equity or liabilities and classification in the statement of cash flows.  Portions of this ASU must be applied prospectively while other portions may be applied either prospectively or retrospectively.  ASU 2016-09 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016, and the Company adopted this standard on January 1, 2017.  Upon adoption of ASU 2016-09, the Company (i) recorded previously unrecognized excess tax benefits on a modified retrospective basis with a full valuation allowance, resulting in a net cumulative-effect adjustment to retained earnings of zero, (ii) prospectively removed excess tax benefits from its calculation of diluted shares, which had no impact on the Company’s diluted earnings per share for year ended December 31, 2017, and (iii) elected to account for forfeitures of share-based awards as they occur, rather than by applying an estimated forfeiture rate to determine compensation expense, the effect of which was recognized using a modified retrospective approach and resulted in an immaterial cumulative-effect adjustment to retained earnings and additional paid-in capital.

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OIL AND GAS PROPERTIES

12 Months Ended

Dec. 31, 2017

OIL AND GAS PROPERTIES [Abstract]

OIL AND GAS PROPERTIES

2.          OIL AND GAS PROPERTIES

Net capitalized costs related to the Company’s oil and gas producing activities at December 31, 2017 and 2016 are as follows (in thousands):

	December 31,
	2017		2016
Proved leasehold costs	$	2,622,576	$	3,330,928
Unproved leasehold costs		137,694		392,484
Costs of completed wells and facilities		8,288,591		9,016,472
Wells and facilities in progress		244,789		490,967
Total oil and gas properties, successful efforts method		11,293,650		13,230,851
Accumulated depletion		(4,185,301)		(4,170,237)
Oil and gas properties, net	$	7,108,349	$	9,060,614

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ACQUISITIONS AND DIVESTITURES

12 Months Ended

Dec. 31, 2017

ACQUISITIONS AND DIVESTITURES [Abstract]

ACQUISITIONS AND DIVESTITURES

3.          ACQUISITIONS AND DIVESTITURES

2017 Acquisitions and Divestitures

On September 1, 2017, the Company completed the sale of its interests in certain producing oil and gas properties located in the Fort Berthold Indian Reservation area in Dunn and McLean counties of North Dakota, as well as other related assets and liabilities, (the “FBIR Assets”) for aggregate sales proceeds of $500 million (before closing adjustments).  The sale was effective September 1, 2017 and resulted in a pre-tax loss on sale of $402 million.  The Company used the net proceeds from the sale to repay a portion of the debt outstanding under its credit agreement. 

On January1, 2017, the Company completed the sale of its 50% interest in the Robinson Lake gas processing plant located in Mountrail County, North Dakota and its 50% interest in the Belfield gas processing plant located in Stark County, North Dakota, as well as the associated natural gas, crude oil and water gathering systems, effective January1, 2017, for aggregate sales proceeds of $375million (before closing adjustments).  The Company used the net proceeds from this transaction to repay a portion of the debt outstanding under its credit agreement.

The following table shows the components of assets and liabilities classified as held for sale as of December31, 2016 (in thousands):

	Carrying Value as of
	December 31, 2016
Assets
Oil and gas properties, net	$	347,817
Other property and equipment, net		475
Total property and equipment, net		348,292
Other long-term assets		854
Total assets held for sale	$	349,146
Liabilities
Asset retirement obligations	$	131
Other long-term liabilities		407
Total liabilities related to assets held for sale	$	538

There were no significant acquisitions during the year ended December31, 2017.

2016 Acquisitions and Divestitures

In July 2016, the Company completed the sale of its interest in its enhanced oil recovery project in the North Ward Estes field in Ward and Winkler counties of Texas, including Whiting’s interest in certain CO2 properties in the McElmo Dome field in Colorado and certain other related assets and liabilities (the “North Ward Estes Properties”) for a cash purchase price of $300million (before closing adjustments).  The sale was effective July1, 2016 and resulted in a pre-tax loss on sale of $187million.  The Company used the net proceeds from the sale to repay a portion of the debt outstanding under its credit agreement.

In addition to the cash purchase price, the buyer agreed to pay Whiting $100,000 for every $0.01 that, as of June 28, 2018, the average NYMEX crude oil futures contract price for each month from August 2018 through July 2021 is above $50.00/Bbl up to a maximum amount of $100million (the “Contingent Payment”).  The Company determined that this Contingent Payment was an embedded derivative and reflected it at fair value in the consolidated financial statements prior to settlement.  On July19, 2017, the buyer paid $35million to Whiting to settle this Contingent Payment, resulting in a pre-tax gain of $3 million.  Refer to the “Derivative Financial Instruments” and “Fair Value Measurements” footnotes for more information on this embedded derivative instrument.

There were no significant acquisitions during the year ended December 31, 2016.

2015 Acquisitions and Divestitures

In December 2015, the Company completed the sale of a fresh water delivery system, a produced water gathering system and four saltwater disposal wells located in Weld County, Colorado, effective December 16, 2015, for aggregate sales proceeds of $75million (before closing adjustments).

In June 2015, the Company completed the sale of its interests in certain non-core oil and gas wells, effective June1, 2015, for aggregate sales proceeds of $150 million (before closing adjustments) resulting in a pre-tax loss on sale of $118million.  The properties included over 2,000 gross wells in 132 fields across 10 states.

In April 2015, the Company completed the sale of its interests in certain non-core oil and gas wells, effective May1, 2015, for aggregate sales proceeds of $108million (before closing adjustments) resulting in a pre-tax gain on sale of $29million.  The properties were located in 187 fields across 14 states, and predominately consisted of assets that were previously included in the underlying properties of Whiting USA Trust I.

Also during the year ended December31, 2015, the Company completed several immaterial divestiture transactions for the sale of its interests in certain non-core oil and gas wells and undeveloped acreage, for aggregate sales proceeds of $176million (before closing adjustments) resulting in a pre-tax gain on sale of $28million.

There were no significant acquisitions during the year ended December31, 2015.

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LONG-TERM DEBT

12 Months Ended

Dec. 31, 2017

LONG-TERM DEBT [Abstract]

LONG-TERM DEBT

4.          LONG-TERM DEBT

Long-term debt, including the current portion, consisted of the following at December 31, 2017 and 2016 (in thousands):

	December 31,
	2017		2016
Credit agreement	$	-	$	550,000
6.5% Senior Subordinated Notes due 2018		-		275,121
5.0% Senior Notes due 2019		961,409		961,409
1.25% Convertible Senior Notes due 2020		562,075		562,075
5.75% Senior Notes due 2021		873,609		873,609
6.25% Senior Notes due 2023		408,296		408,296
6.625% Senior Notes due 2026		1,000,000		-
Total principal		3,805,389		3,630,510
Unamortized debt discounts and premiums		(50,945)		(71,340)
Unamortized debt issuance costs on notes		(31,015)		(23,867)
Total debt		3,723,429		3,535,303
Less current portion of long-term debt		(958,713)		-
Total long-term debt	$	2,764,716	$	3,535,303

The following table shows five succeeding fiscal years of anticipated maturities for the Company’s long-term debt as of December31, 2017 (in thousands):

	2018		2019		2020		2021		2022
Long-term debt	$	961,409	$	-	$	562,075	$	873,609	$	-

Credit Agreement

Whiting Oil and Gas, the Company’s whollyowned subsidiary, has a credit agreement with a syndicate of banks that as of December31, 2017 had a borrowing baseand aggregate commitments of $2.3 billion.  As of December 31, 2017, the Company had $2.3 billion of available borrowing capacity, which was net of $2 million in letters of credit outstanding, with no borrowings outstanding.

The borrowing base under the credit agreement is determined at the discretion of the lenders, based on the collateral value of the Company’s proved reserves that have been mortgaged to such lenders, and is subject to regular redeterminations on May 1 and November1 of each year, as well as special redeterminations described in the credit agreement, in each case which may reduce the amount of the borrowing base.  Upon a redetermination of the borrowing base, either on a periodic or special redetermination date, if borrowings in excess of the revised borrowing capacity were outstanding, the Company could be forced to immediately repay a portion of its debt outstanding under the credit agreement.  In October 2017, the borrowing base and aggregate commitments under the facility were reduced from $2.5 billion to $2.3 billion in connection with the November 1, 2017 regular borrowing base redetermination, and was primarily a result of the sale of the Company’s FBIR Assets on September 1, 2017.

A portion of the revolving credit facility in an aggregate amount not to exceed $50 million may be used to issue letters of credit for the account of Whiting Oil and Gas or other designated subsidiaries of the Company.  As of December 31, 2017,  $48 million was available for additional letters of credit under the agreement.

The credit agreement provides for interest only payments until December 2019, when the credit agreement expires and all outstanding borrowings are due.  Interest under the revolving credit facility accrues at the Company’s option at either (i) a base rate for a base rate loan plus the margin in the table below, where the base rate is defined as the greatest of the prime rate, the federal funds rate plus 0.5% per annum, or an adjusted LIBOR rate plus 1.0% per annum, or (ii) an adjusted LIBOR rate for a Eurodollar loan plus the margin in the table below.  Additionally, the Company also incurs commitment fees as set forth in the table below on the unused portion of the aggregate commitments of the lenders under the revolving credit facility, which are included as a component of interest expense.  At December 31, 2016, the weighted average interest rate on the outstanding principal balance under the credit agreement was 4.0%.

	Applicable	Applicable
	Margin for Base	Margin for	Commitment
Ratio of Outstanding Borrowings to Borrowing Base	Rate Loans	Eurodollar Loans	Fee
Less than 0.25 to 1.0	1.00%	2.00%	0.50%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0	1.25%	2.25%	0.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0	1.50%	2.50%	0.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0	1.75%	2.75%	0.50%
Greater than or equal to 0.90 to 1.0	2.00%	3.00%	0.50%

The credit agreement contains restrictive covenants that may limit the Company’s ability to, among other things, incur additional indebtedness, sell assets, make loans to others, make investments, enter into mergers, enter into hedging contracts, incur liens and engage in certain other transactions without the prior consent of its lenders.  However, the credit agreement permits the Company and certain of its subsidiaries to issue second lien indebtedness of up to $1.0 billion subject to certain conditions and limitations.  Except for limited exceptions, the credit agreement also restricts the Company’s ability to make any dividend payments or distributions on its common stock.  These restrictions apply to all of the Company’s restricted subsidiaries (as defined in the credit agreement).  As of December 31, 2017, there were no retained earnings free from restrictions.  The credit agreement requires the Company, as of the last day of any quarter, to maintain the following ratios (as defined in the credit agreement): (i) a consolidated current assets to consolidated current liabilities ratio (which includes an add back of the available borrowing capacity under the credit agreement) of not less than 1.0 to 1.0, (ii) a total senior secured debt to the last four quarters’ EBITDAX ratio of less than 3.0 to 1.0 during the Interim Covenant Period (defined below), and thereafter a total debt to EBITDAX ratio of less than 4.0 to 1.0, and (iii) a ratio of the last four quarters’ EBITDAX to consolidated cash interest charges of not less than 2.25 to 1.0 during the Interim Covenant Period.  Under the credit agreement, the “Interim Covenant Period” is defined as the period from June 30, 2015 until the earlier of (i) April 1, 2018 or (ii) the commencement of an investment-grade debt rating period (as defined in the credit agreement).   The Company was in compliance with its covenants under the credit agreement as of December 31, 2017.

The obligations of Whiting Oil and Gas under the credit agreement are collateralized by a first lien on substantially all of Whiting Oil and Gas’ and Whiting Resource Corporation’s properties.  The Company has guaranteed the obligations of Whiting Oil and Gas under the credit agreement and has pledged the stock of its subsidiaries as security for its guarantee.

Senior Notes, Convertible Senior Notes and Senior Subordinated Notes

The following table summarizes the material terms of the Company’s senior notes and convertible senior notes outstanding at December 31, 2017:

		2020
	2019	Convertible	2021	2023	2026
	Senior Notes (1)	Senior Notes	Senior Notes	Senior Notes	Senior Notes
Outstanding principal (in thousands)	$ 961,409	$ 562,075	$ 873,609	$ 408,296	$ 1,000,000
Interest rate	5.0%	1.25%	5.75%	6.25%	6.625%
Maturity date	Mar 15, 2019	Apr 1, 2020	Mar 15, 2021	Apr 1, 2023	Jan 15, 2026
Interest payment dates	Mar 15, Sep 15	Apr 1, Oct 1	Mar 15, Sep 15	Apr 1, Oct 1	Jan 15, Jul 15
Make-whole redemption date (2)	Dec 15, 2018	N/A (3)	Dec 15, 2020	Jan 1, 2023	Oct 15, 2025

_____________________

(1) On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

(2) On or after these dates, the Company may redeem the applicable series of notes, in whole or in part, at a redemption price equal to 100% of the principal amount redeemed, together with accrued and unpaid interest up to the redemption date.  At any time prior to these dates, the Company may redeem the notes at a redemption price that includes an applicable premium as defined in the indentures to such notes.

(3) The indenture governing the 1.25% Convertible Senior Notes due 2020 does not allow for optional redemption by the Company prior to the maturity date.

Senior Notes and Senior Subordinated Notes—In September 2010, the Company issued at par $350 million of 6.5% Senior Subordinated Notes due October 2018 (the “2018 Senior Subordinated Notes”).

In September 2013, the Company issued at par $1.1 billion of 5.0% Senior Notes due March 2019 (the “2019 Senior Notes”) and $800million of 5.75% Senior Notes due March 2021, and issued at 101% of par an additional $400 million of 5.75% Senior Notes due March2021 (collectively, the “2021 Senior Notes”).  The debt premium recorded in connection with the issuance of the 2021 Senior Notes is being amortized to interest expense over the term of the notes using the effective interest method, with an effective interest rate of 5.5% per annum.

In March 2015, the Company issued at par $750 million of 6.25% Senior Notes due April 2023 (the “2023 Senior Notes”).

Issuance of Senior Notes.In December 2017, the Company issued at par $1.0 billion of 6.625% Senior Notes due January 2026 (the “2026 Senior Notes” and together with the 2019 Senior Notes, the 2021 Senior Notes and the 2023 Senior Notes, the “Senior Notes”).  The Company used the net proceeds from this offering to redeem on January 26, 2018 all of the outstanding 2019 Senior Notes at a 102.976% redemption price plus all accrued and unpaid interest on the notes.  Refer to the “Subsequent Events” footnote for more information on the redemption of the 2019 Senior Notes.

Exchange of Senior Notes and Senior Subordinated Notes for Convertible Notes.  On March 23, 2016, the Company completed the exchange of $477 million aggregate principal amount of Senior Notes and 2018 Senior Subordinated Notes, consisting of (i) $49 million aggregate principal amount of its 2018 Senior Subordinated Notes, (ii) $97 million aggregate principal amount of its 2019 Senior Notes, (iii) $152 million aggregate principal amount of its 2021 Senior Notes, and (iv) $179 million aggregate principal amount of its 2023 Senior Notes, for $477 million aggregate principal amount of convertible senior notes and convertible senior subordinated notes (the “New Convertible Notes”).  This exchange transaction was accounted for as an extinguishment of debt for each portion of the Senior Notes and 2018 Senior Subordinated Notes that was exchanged.  As a result, Whiting recognized a $91 million gain on extinguishment of debt, which was net of a $4 million non-cash charge for the acceleration of unamortized debt issuance costs and debt premium on the original notes.  Each series of New Convertible Notes was recorded at fair value upon issuance, with the difference between the principal amount of the notes and their fair values, totaling $95 million, recorded as a debt discount.  The aggregate debt discount of $185 million recorded upon issuance of the New Convertible Notes also included $90 million related to the fair value of the holders’ conversion options, which were embedded derivatives that met the criteria to be bifurcated from their host contracts and accounted for separately.  Refer to the “Derivative Financial Instruments” and “Fair Value Measurements” footnotes for more information on these embedded derivatives.

During the second quarter of 2016, holders of the New Convertible Notes voluntarily converted all $477 million aggregate principal amount of the New Convertible Notes for approximately 10.5 million shares of the Company’s common stock.  Upon conversion, the Company paid $46 million in cash consisting of early conversion payments to the holders of the notes, as well as all accrued and unpaid interest on such notes.  As a result of the conversions, Whiting recognized a $188 million loss on extinguishment of debt, which consisted of a non-cash charge for the acceleration of unamortized debt issuance costs and debt discount on the notes.  As of June 30, 2016, no New Convertible Notes remained outstanding.

Exchange of Senior Notes and Senior Subordinated Notes for Mandatory Convertible Notes.  On July 1, 2016, the Company completed the exchange of $405 million aggregate principal amount of Senior Notes and 2018 Senior Subordinated Notes for the same aggregate principal amount of new mandatory convertible senior notes and mandatory convertible senior subordinated notes.  Refer to “Mandatory Convertible Notes” below for more information on these exchange transactions.

Kodiak Senior Notes.  In conjunction with the acquisition of Kodiak in December 2014, Whiting US Holding Company, a whollyowned subsidiary of the Company, became a co-issuer of Kodiak’s $800 million of 8.125% Senior Notes due December 2019 (the “2019 Kodiak Notes”),  $350 million of 5.5% Senior Notes due January 2021 (the “2021 Kodiak Notes”), and $400 million of 5.5% Senior Notes due February 2022 (the “2022 Kodiak Notes” and together with the 2019 Kodiak Notes and the 2021 Kodiak Notes, the “Kodiak Notes”).

In January2015, Whiting offered to repurchase at 101% of par all $1,550 million principal amount of Kodiak Notes then outstanding.  In March 2015, Whiting paid $760 million to repurchase $2 million aggregate principal amount of the 2019 Kodiak Notes, $346 million aggregate principal amount of the 2021 Kodiak Notes and $399 million aggregate principal amount of the 2022 Kodiak Notes, which payment consisted of the 101% redemption price and all accrued and unpaid interest on such notes.  In May 2015, Whiting paid an additional $5 million to repurchase the remaining $4 million aggregate principal amount of the 2021 Kodiak Notes and $1 million aggregate principal amount of the 2022 Kodiak Notes, which payment consisted of the 101% redemption price and all accrued and unpaid interest on such notes.  In December 2015, Whiting paid $834 million to repurchase the remaining $798 million aggregate principal amount of the 2019 Kodiak Notes, which payment consisted of the 104.063% redemption price and all accrued and unpaid interest on such notes.  As a result of the repurchases, Whiting recognized an $18 million loss on extinguishment of debt, which consisted of a $40 million cash charge related to the redemption premium on the Kodiak Notes, partially offset by a $22 million non-cash credit related to the acceleration of unamortized debt premiums on such notes.  As of December 31, 2015, no Kodiak Notes remained outstanding.

Redemption of 2018 Senior Subordinated Notes.  On February 2, 2017, the Company paid $281 million to redeem all of the then outstanding $275 million aggregate principal amount of 2018 Senior Subordinated Notes, which payment consisted of the 100% redemption price plus all accrued and unpaid interest on the notes.  The Company financed the redemption with borrowings under its credit agreement.  As a result of the redemption, Whiting recognized a $2 million loss on extinguishment of debt, which consisted of a non-cash charge for the acceleration of unamortized debt issuance costs on the notes.  As of March 31, 2017, no 2018 Senior Subordinated Notes remained outstanding.

2020 Convertible Senior Notes—In March 2015, the Company issued at par $1,250 million of 1.25% Convertible Senior Notes due April 2020 (the “2020 Convertible Senior Notes”) for net proceeds of $1.2 billion, net of initial purchasers’ fees of $25 million.  On June 29, 2016, the Company exchanged $129 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible senior notes, and on July 1, 2016, the Company exchanged $559 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible senior notes.  Refer to “Mandatory Convertible Notes” below for more information on these exchange transactions.

For the remaining $562 million aggregate principal amount of 2020 Convertible Senior Notes outstanding as of December 31, 2017, the Company has the option to settle conversions of these notes with cash, shares of common stock or a combination of cash and common stock at its election.  The Company’s intent is to settle the principal amount of the 2020 Convertible Senior Notes in cash upon conversion.  Prior to January 1, 2020, the 2020 Convertible Senior Notes will be convertible at the holder’s option only under the following circumstances: (i) during any calendar quarter commencing after the calendar quarter ending on June 30, 2015 (and only during such calendar quarter), if the last reported sale price of the Company’s common stock for at least 20 trading days (whether or not consecutive) during the period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (ii) during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of the 2020 Convertible Senior Notes for each trading day of the measurement period is less than 98% of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; or (iii) upon the occurrence of specified corporate events.  On or after January 1, 2020, the 2020 Convertible Senior Notes will be convertible at any time until the second scheduled trading day immediately preceding the April 1, 2020 maturity date of the notes.  The notes will be convertible at a current conversion rate of 6.4102 shares of Whiting’s common stock per $1,000 principal amount of the notes, which is equivalent to a current conversion price of approximately $156.00.  The conversion rate will be subject to adjustment in some events.  In addition, following certain corporate events that occur prior to the maturity date, the Company will increase, in certain circumstances, the conversion rate for a holder who elects to convert its 2020 Convertible Senior Notes in connection with such corporate event.  As of December 31, 2017, none of the contingent conditions allowing holders of the 2020 Convertible Senior Notes to convert these notes had been met.

Upon issuance, the Company separately accounted for the liability and equity components of the 2020 Convertible Senior Notes.  The liability component was recorded at the estimated fair value of a similar debt instrument without the conversion feature.  The difference between the principal amount of the 2020 Convertible Senior Notes and the estimated fair value of the liability component was recorded as a debt discount and is being amortized to interest expense over the term of the notes using the effective interest method, with an effective interest rate of 5.6% per annum.  The fair value of the liability component of the 2020 Convertible Senior Notes as of the issuance date was estimated at $1.0 billion, resulting in a debt discount at inception of $238 million.  The equity component, representing the value of the conversion option, was computed by deducting the fair value of the liability component from the initial proceeds of the 2020 Convertible Senior Notes issuance.  This equity component was recorded, net of deferred taxes and issuance costs, in additional paid-in capital within shareholders’ equity, and will not be remeasured as long as it continues to meet the conditions for equity classification.

Transaction costs related to the 2020 Convertible Senior Notes issuance were allocated to the liability and equity components based on their relative fair values.  Issuance costs attributable to the liability component were recorded as a reduction to the carrying value of long-term debt on the consolidated balance sheet and are being amortized to interest expense over the term of the notes using the effective interest method.  Issuance costs attributable to the equity component were recorded as a charge to additional paid-in capital within shareholders’ equity.

The 2020 Convertible Senior Notes consisted of the following at December 31, 2017 and 2016 (in thousands):

	December 31,
	2017		2016
Liability component
Principal	$	562,075	$	562,075
Less: unamortized note discount		(51,666)		(72,622)
Less: unamortized debt issuance costs		(4,178)		(5,988)
Net carrying value	$	506,231	$	483,465
Equity component (1)	$	136,522	$	136,522

(1) Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes as of December 31, 2017 and 2016.

Interest expense recognized on the 2020 Convertible Senior Notes related to the stated interest rate and amortization of the debt discount totaled $28 million, $43 million and $44 million for the years ended December 31, 2017, 2016 and 2015, respectively.

Mandatory Convertible Notes—On June 29, 2016, the Company completed the exchange of $129 million aggregate principal amount of its 2020 Convertible Senior Notes for the same aggregate principal amount of new mandatory convertible notes, and on July 1, 2016, the Company completed the exchange of $964 million aggregate principal amount of Senior Notes, 2020 Convertible Senior Notes and 2018 Senior Subordinated Notes, consisting of (i) $26 million aggregate principal amount of 2018 Senior Subordinated Notes, (ii) $42 million aggregate principal amount of 2019 Senior Notes, (iii) $559 million aggregate principal amount of 2020 Convertible Senior Notes, (iv) $174 million aggregate principal amount of 2021 Senior Notes, and (v) $163 million aggregate principal amount of 2023 Senior Notes, for the same aggregate principal amount of new mandatory convertible notes (together the “Mandatory Convertible Notes”).

These transactions were accounted for as extinguishments of debt for the portions of Senior Notes, 2020 Convertible Senior Notes and 2018 Senior Subordinated Notes that were exchanged.  As a result, Whiting recognized a $57 million gain on extinguishment of debt, which was net of a $113 million charge for the non-cash write-off of unamortized debt issuance costs, debt discounts and debt premium on the original notes.  In addition, Whiting recorded a $63 million reduction to the equity component of the 2020 Convertible Senior Notes, which was net of deferred taxes.  The Mandatory Convertible Notes were recorded at fair value upon issuance with the difference between the principal amount of the notes and their fair values, totaling $69 million, recorded as a debt discount.  The Mandatory Convertible Notes contained contingent beneficial conversion features, the intrinsic value of which was recognized in additional paid-in capital at the time the contingency was resolved, resulting in an additional debt discount of $233 million.  The aggregate debt discount of $302 million was being amortized to interest expense over the term of the notes using the effective interest method.

The July 1, 2016 note exchange transactions triggered an ownership shift as defined under Section 382 of the Internal Revenue Code due to the “deemed share issuance” that resulted from the note exchanges.  This triggering event will limit the Company’s usage of certain of its net operating losses and tax credits in the future.  Refer to the “Income Taxes” footnote for more information.

During the second half of 2016, the entire $1,093 million aggregate principal amount of the Mandatory Convertible Notes were converted into approximately 28.9 million shares of the Company’s common stock pursuant to the terms of the notes.  As a result of these conversions, Whiting recognized (i) a $259 million non-cash charge for the acceleration of unamortized debt discounts on the notes, which is included in interest expense in the consolidated statements of operations, and (ii) a $1 million net loss on extinguishment of debt.  As of December 31, 2016, no Mandatory Convertible Notes remained outstanding.

Security and Guarantees

The Senior Notes and the 2020 Convertible Senior Notes are unsecured obligations of Whiting Petroleum Corporation and these unsecured obligations are subordinated to all of the Company’s secured indebtedness, which consists of Whiting Oil and Gas’ credit agreement.

The Company’s obligations under the Senior Notes and the 2020 Convertible Senior Notes are guaranteed by the Company’s 100%‑owned subsidiaries, Whiting Oil and Gas, Whiting US Holding Company, Whiting Canadian Holding Company ULC and Whiting Resources Corporation (the “Guarantors”).  These guarantees are full and unconditional and joint and several among the Guarantors.  Any subsidiaries other than these Guarantors are minor subsidiaries as defined by Rule 3-10(h)(6) of Regulation S‑X of the SEC.  Whiting Petroleum Corporation has no assets or operations independent of this debt and its investments in its consolidated subsidiaries.

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ASSET RETIREMENT OBLIGATIONS

12 Months Ended

Dec. 31, 2017

ASSET RETIREMENT OBLIGATIONS [Abstract]

ASSET RETIREMENT OBLIGATIONS

5.          ASSET RETIREMENT OBLIGATIONS

The Company’s asset retirement obligations represent the present value of estimated future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage, and land restoration (including removal of certain onshore and offshore facilities in California) in accordance with applicable local, state and federal laws.  The current portions at December 31, 2017 and 2016 were $5 million and $8 million, respectively, and have been included in accrued liabilities and other in the consolidated balance sheets.  The following table provides a reconciliation of the Company’s asset retirement obligations for the years ended December 31, 2017 and 2016 (in thousands):

	2017		2016
Asset retirement obligation at January 1	$	177,004	$	161,908
Additional liability incurred		7,727		3,238
Revisions to estimated cash flows (1) (2)		(52,947)		11,620
Accretion expense		13,809		13,800
Obligations on sold properties		(6,988)		(4,771)
Liabilities settled		(4,368)		(8,791)
Asset retirement obligation at December 31	$	134,237	$	177,004

(1) Revisions to estimated cash flows during the year ended December 31, 2017 are primarily attributable to the deferral of the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from increases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2017, which lengthened the economic lives of these properties.  In addition, during 2017 there were decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Northern Rocky Mountains.

(2) Revisions to estimated cash flows during the year ended December 31, 2016 are primarily attributable to the acceleration in the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from decreases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2016, which shortened the economic lives of these properties.  For the year ended December 31, 2016, the increase was partially offset by decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Central and Northern Rocky Mountains.

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DERIVATIVE FINANCIAL INSTRUMENTS

12 Months Ended

Dec. 31, 2017

DERIVATIVE FINANCIAL INSTRUMENTS [Abstract]

DERIVATIVE FINANCIAL INSTRUMENTS

6.          DERIVATIVE FINANCIAL INSTRUMENTS

The Company is exposed to certain risks relating to its ongoing business operations, and it uses derivative instruments to manage its commodity price risk.  In addition, the Company periodically enters into contracts that contain embedded features which are required to be bifurcated and accounted for separately as derivatives.

Commodity Derivative Contracts—Historically, prices received for crude oil and natural gas production have been volatile because of supply and demand factors, worldwide political factors, general economic conditions and seasonal weather patterns.  Whiting primarily enters into derivative contracts such as crude oil costless collars and swaps, as well as sales and delivery contracts, to achieve a more predictable cash flow by reducing its exposure to commodity price volatility, thereby ensuring adequate funding for the Company’s capital programs and facilitating the management of returns on drilling programs and acquisitions.  The Company does not enter into derivative contracts for speculative or trading purposes.

Crude Oil Costless Collars.  Costless collars are designed to establish floor and ceiling prices on anticipated future oil or gas production.  While the use of these derivative instruments limits the downside risk of adverse price movements, they may also limit future revenues from favorable price movements.

The table below details the Company’s costless collar derivatives entered into to hedge forecasted crude oil production revenues as of December 31, 2017.

Derivative		Contracted Crude	Weighted Average NYMEX Price
Instrument	Period	Oil Volumes (Bbl)	Collar Ranges for Crude Oil (per Bbl)
Three-way collars (1)	Jan - Dec 2018	17,400,000	$37.07 - $47.07 - $57.30
	Total	17,400,000

_____________________

(1) A three-way collar is a combination of options: a sold call, a purchased put and a sold put.  The sold call establishes a maximum price (ceiling) Whiting will receive for the volumes under contract.  The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.

(2) Subsequent to December 31, 2017, the Company entered into additional swap contracts for 4,400,000 Bbl of crude oil volumes for the year ended December 31, 2018, as well as costless collars for 900,000 Bbl of crude oil volumes for the six months ended June 30, 2019.

Crude Oil Sales and Delivery Contract.  As of December 31, 2017, the Company had a long-term crude oil sales and delivery contract for oil volumes produced from its Redtail field in Colorado.  Under the terms of the agreement, Whiting had committed to deliver certain fixed volumes of crude oil through April 2020.  The Company determined it was not probable that future oil production from its Redtail field would be sufficient to meet the minimum volume requirements specified in this contract; accordingly, the Company would not settle this contract through physical delivery of crude oil volumes.  As a result, Whiting determined that this contract would not qualify for the “normal purchase normal sale” exclusion and has therefore reflected the contract at fair value in the consolidated financial statements.  As of December31, 2017 and 2016, the estimated fair value of this derivative contract was a liability of $63 million and $9 million, respectively.  On February 1, 2018, Whiting paid $61 million to the counterparty to settle all future minimum volume commitments under this agreement.  Accordingly, this crude oil sales and delivery contract was fully terminated and the fair value of this corresponding derivative was therefore zero as of that date.

Embedded Derivatives—In March 2016, the Company issued convertible notes that contained debtholder conversion options which the Company determined were not clearly and closely related to the debt host contracts, and the Company therefore bifurcated these embedded features and reflected them at fair value in the consolidated financial statements.  During the second quarter of 2016, the entire aggregate principal amount of these notes was converted into shares of the Company’s common stock, and the fair value of these embedded derivatives as of December 31, 2017 and 2016 was therefore zero.

In July 2016, the Company entered into a purchase and sale agreement with the buyer of its North Ward Estes Properties, whereby the buyer agreed to pay Whiting additional proceeds of $100,000 for every $0.01 that, as of June 28, 2018, the average NYMEX crude oil futures contract price for each month from August 2018 through July 2021 is above $50.00/Bbl up to a maximum amount of $100 million.  The Company determined that this NYMEX-linked contingent payment was not clearly and closely related to the host contract, and the Company therefore bifurcated this embedded feature and reflected it at its estimated fair value of $51 million in the consolidated financial statements as of December 31, 2016.  On July 19, 2017, the buyer paid $35 million to Whiting to settle this NYMEX-linked contingent payment, and accordingly, the embedded derivative’s fair value was zero as of December 31, 2017.

Derivative Instrument Reporting—All derivative instruments are recorded in the consolidated financial statements at fair value, other than derivative instruments that meet the “normal purchase normal sale” exclusion or other derivative scope exceptions.  The following table summarizes the effects of derivative instruments on the consolidated statements of operations for the years ended December 31, 2017, 2016 and 2015 (in thousands):

		(Gain) Loss Recognized in Income
Not Designated as	Statement of Operations	Year Ended December 31,
ASC 815 Hedges	Classification	2017		2016		2015
Commodity contracts	Derivative (gain) loss, net	$	104,138	$	58,771	$	(217,972)
Embedded derivatives	Derivative (gain) loss, net		18,709		(59,358)		-
Total		$	122,847	$	(587)	$	(217,972)

Offsetting of Derivative Assets and Liabilities.The Company nets its financial derivative instrument fair value amounts executed with the same counterparty pursuant to ISDA master agreements, which provide for net settlement over the term of the contract and in the event of default or termination of the contract.  The following tables summarize the location and fair value amounts of all the Company’s derivative instruments in the consolidated balance sheets, as well as the gross recognized derivative assets, liabilities and amounts offset in the consolidated balance sheets (in thousands):

		December 31, 2017 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	9,829	$	(9,829)	$	-
Total derivative assets		$	9,829	$	(9,829)	$	-
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	142,354	$	(9,829)	$	132,525
Total derivative liabilities		$	142,354	$	(9,829)	$	132,525

		December 31, 2016 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	21,405	$	(21,405)	$	-
Commodity contracts - non-current	Other long-term assets		9,495		(9,495)		-
Embedded derivatives - non-current	Other long-term assets		50,632		-		50,632
Total derivative assets		$	81,532	$	(30,900)	$	50,632
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	39,033	$	(21,405)	$	17,628
Commodity contracts - non-current	Other long-term liabilities		19,724		(9,495)		10,229
Total derivative liabilities		$	58,757	$	(30,900)	$	27,857

_____________________

(1) Because counterparties to the Company’s financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas’ credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

Contingent Features in Financial Derivative Instruments.  None of the Company’s derivative instruments contain credit-risk-related contingent features.  Counterparties to the Company’s financial derivative contracts are high credit-quality financial institutions that are lenders under Whiting’s credit agreement.  The Company uses only credit agreement participants to hedge with, since these institutions are secured equally with the holders of Whiting’s bank debt, which eliminates the potential need to post collateral when Whiting is in a derivative liability position.  As a result, the Company is not required to post letters of credit or corporate guarantees for its derivative counterparties in order to secure contract performance obligations.

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FAIR VALUE MEASUREMENTS

12 Months Ended

Dec. 31, 2017

FAIR VALUE MEASUREMENTS [Abstract]

FAIR VALUE MEASUREMENTS

7.          FAIR VALUE MEASUREMENTS

The Company follows FASB ASC Topic 820, Fair Value Measurement and Disclosure, which establishes a three-level valuation hierarchy for disclosure of fair value measurements.  The valuation hierarchy categorizes assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement.  The three levels are defined as follows:

· Level 1:  Quoted Prices in Active Markets for Identical Assets – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

· Level 2:  Significant Other Observable Inputs – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

· Level 3:  Significant Unobservable Inputs – inputs to the valuation methodology are unobservable and significant to the fair value measurement.

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.  The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.  The Company reflects transfers between the three levels at the beginning of the reporting period in which the availability of observable inputs no longer justifies classification in the original level.

Cash, cash equivalents, restricted cash, accounts receivable and accounts payable are carried at cost, which approximates their fair value because of the short-term maturity of these instruments.  The Company’s credit agreement has a recorded value that approximates its fair value since its variable interest rate is tied to current market rates and the applicable margins represent market rates.

The Company’s senior notes and senior subordinated notes are recorded at cost, and the Company’s convertible senior notes are recorded at fair value at the date of issuance.  The following table summarizes the fair values and carrying values of these instruments as of December 31, 2017 and 2016 (in thousands):

	December 31, 2017				December 31, 2016
	Fair		Carrying		Fair		Carrying
	Value (1)		Value (2)		Value (1)		Value (2)
6.5% Senior Subordinated Notes due 2018	$	-	$	-	$	275,121	$	273,506
5.0% Senior Notes due 2019		985,444		958,713		961,409		956,607
1.25% Convertible Senior Notes due 2020		517,109		506,231		503,057		483,465
5.75% Senior Notes due 2021		897,633		869,284		868,149		868,460
6.25% Senior Notes due 2023		418,503		403,940		408,296		403,265
6.625% Senior Notes due 2026		1,025,000		985,261		-		-
Total	$	3,843,689	$	3,723,429	$	3,016,032	$	2,985,303

(1) Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy.

(2) Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums.

The Company’s derivative financial instruments are recorded at fair value and include a measure of the Company’s own nonperformance risk or that of its counterparty, as appropriate.The following tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016, and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair values (in thousands):

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2017
Financial Liabilities
Commodity derivatives – current	$	-	$	69,247	$	63,278	$	132,525
Total financial liabilities	$	-	$	69,247	$	63,278	$	132,525

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2016
Financial Assets
Embedded derivatives – non-current	$	-	$	50,632	$	-	$	50,632
Total financial assets	$	-	$	50,632	$	-	$	50,632
Financial Liabilities
Commodity derivatives – current	$	-	$	14,664	$	2,964	$	17,628
Commodity derivatives – non-current		-		3,979		6,250		10,229
Total financial liabilities	$	-	$	18,643	$	9,214	$	27,857

The following methods and assumptions were used to estimate the fair values of the Company’s financial assets and liabilities that are measured on a recurring basis:

Commodity Derivatives.  Commodity derivative instruments consist mainly of costless collars for crude oil.  The Company’s costless collars are valued based on an income approach.  The option model considers various assumptions, such as quoted forward prices for commodities, time value and volatility factors.  These assumptions are observable in the marketplace throughout the full term of the contract, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace, and are therefore designated as Level 2 within the valuation hierarchy.  The discount rates used in the fair values of these instruments include a measure of either the Company’s or the counterparty’s nonperformance risk, as appropriate.  The Company utilizes its counterparties’ valuations to assess the reasonableness of its own valuations.

In addition, the Company had a long-term crude oil sales and delivery contract, whereby it had committed to deliver certain fixed volumes of crude oil through April 2020.Whiting determined that the contract did not meet the “normal purchase normal sale” exclusion, and has therefore reflected this contract at fair value in its consolidated financial statements.  This commodity derivative was valued based on a probability-weighted income approach which considers various assumptions, including quoted spot prices for commodities, market differentials for crude oil, U.S. Treasury rates and either the Company’s or the counterparty’s nonperformance risk, as appropriate.The assumptions used in the valuation of the crude oil sales and deliverycontract include certain market differential metrics that were unobservable during the term of the contract.  Such unobservable inputs were significant to the contract valuation methodology, and thecontract’s fair value was therefore designated as Level 3 within the valuation hierarchy.  On February 1, 2018, Whiting paid $61 million to the counterparty to settle all future minimum volume commitments under this agreement.  Accordingly, this derivative was settled in its entirety as of that date.

Embedded Derivatives.  The Company had embedded derivatives related to its convertible notes that were issued in March 2016.  The notes contained debtholder conversion options which the Company determined were not clearly and closely related to the debt host contracts and the Company therefore bifurcated these embedded features and reflected them at fair value in the consolidated financial statements.  Prior to their settlements, the fair values of these embedded derivatives were determined using a binomial lattice model which considered various inputs including (i) Whiting’s common stock price, (ii) risk-free rates based on U.S. Treasury rates, (iii) recovery rates in the event of default, (iv) default intensity, and (v) volatility of Whiting’s common stock.  The expected volatility and default intensity used in the valuation were unobservable in the marketplace and significant to the valuation methodology, and the embedded derivatives’ fair value was therefore designated as Level 3 in the valuation hierarchy.  During the second quarter of 2016, the entire aggregate principal amount of these convertible notes was converted into shares of the Company’s common stock.  Accordingly, the embedded derivatives were settled in their entirety as of June 30, 2016.

The Company had an embedded derivative related to its purchase and sale agreement with the buyer of the North Ward Estes Properties.  The agreement included a Contingent Payment linked to NYMEX crude oil prices which the Company determined was not clearly and closely related to the host contract, and the Company therefore bifurcated this embedded feature and reflected it at fair value in the consolidated financial statements prior to settlement.  The fair value of this embedded derivative was determined using a modified Black-Scholes swaption pricing model which considers various assumptions, including quoted forward prices for commodities, time value and volatility factors.  These assumptions were observable in the marketplace throughout the full term of the financial instrument, could be derived from observable data or were supported by observable levels at which transactions are executed in the marketplace, and were therefore designated as Level 2 within the valuation hierarchy. The discount rate used in the fair value of this instrument included a measure of the counterparty’s nonperformance risk.  On July 19, 2017, the buyer paid $35 million to Whiting in satisfaction of this Contingent Payment.  Accordingly, the embedded derivative was settled in its entirety as of that date.

Level 3 Fair Value Measurements—A third-party valuation specialist is utilized in determining the fair value of the Company’s derivative instruments designated as Level 3.  The Company reviews these valuations, including the related model inputs and assumptions, and analyzes changes in fair value measurements between periods.  The Company corroborates such inputs, calculations and fair value changes using various methodologies, and reviews unobservable inputs for reasonableness utilizing relevant information from other published sources.

The following table presents a reconciliation of changes in the fair value of financial assets or liabilities designated as Level 3 in the valuation hierarchy for the years ended December 31, 2017 and 2016 (in thousands):

	Year Ended December 31,
	2017		2016
Fair value liability, beginning of period	$	(9,214)	$	(4,027)
Recognition of embedded derivatives associated with convertible note issuances		-		(89,884)
Unrealized gains on embedded derivatives included in earnings (1)		-		47,965
Settlement of embedded derivatives upon conversion of convertible notes		-		41,919
Unrealized losses on commodity derivative contracts included in earnings (1)		(54,064)		(5,187)
Transfers into (out of) Level 3		-		-
Fair value liability, end of period	$	(63,278)	$	(9,214)

_____________________

(1) Included in derivative (gain) loss, net in the consolidated statements of operations.

Quantitative Information about Level 3 Fair Value Measurements.  The significant unobservable inputs used in the fair value measurement of the Company’s commodity derivative instrument designated as Level 3 are as follows:

Derivative Instrument	Valuation Technique	Unobservable Input	Amount
Commodity derivative contract	Probability-weighted income approach	Market differential for crude oil	$4.08 - $4.92 per Bbl

Sensitivity to Changes in Significant Unobservable Inputs.  As presented above, the significant unobservable inputs used in the fair value measurement of Whiting’s commodity derivative contract are the market differentials for crude oil over the term of the contract.  Significant increases or decreases in these unobservable inputs in isolation would result in a significantly lower or higher, respectively, fair value liability measurement.

Non-recurring Fair Value Measurements—The Company applies the provisions of the fair value measurement standard on a non-recurring basis to its non-financial assets and liabilities, including proved property.  These assets and liabilities are not measured at fair value on an ongoing basis but are subject to fair value adjustments only in certain circumstances.  The Company did not recognize any impairment write-downs with respect to its proved property during the year ended December 31, 2016.The following table presents information about the Company’s non-financial assets measured at fair value on a non-recurring basis for the year ended December 31, 2017, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (in thousands):

									Loss (Before
	Net Carrying								Tax) Year
	Value as of								Ended
	December 31,		Fair Value Measurements Using						December 31,
	2017		Level 1		Level 2		Level 3		2017
Proved property (1)	$	389,390	$	-	$	-	$	389,390	$	834,950

_____________________

(1) During the fourth quarter of 2017, proved oil and gas properties at the Redtail field in the Denver Julesburg Basin (the “DJ Basin”) in Weld County, Colorado, with a previous carrying amount of $1.2 billion were written down to their fair value as of December31, 2017 of $389 million, resulting in a non-cash impairment charge of $835million which was recorded within exploration and impairment expense. 

The following methods and assumptions were used to estimate the fair values of the non-financial assets in the table above:

Proved Property Impairments.  The Company tests proved property for impairment whenever events or changes in circumstances indicate that the fair value of these assets may be reduced below their carrying value.  Based on recent well performance results in the DJ Basin, the Company reduced its reserves at its Redtail field during the fourth quarter of 2017, and performed a proved property impairment test as of December 31, 2017.  The fair value was ascribed using income approach analyses based on the net discounted future cash flows from the producing property and related assets.  The discounted cash flows were based on management’s expectations for the future.  Unobservable inputs included estimates of future oil and gas production from the Company’s reserve reports, commodity prices based on sales contract terms or forward price curves (adjusted for basis differentials), operating and development costs, and a discount rate based on the Company’s weighted-average cost of capital (all of which were designated as Level 3 inputs within the fair value hierarchy).  The impairment test indicated that a proved property impairment had occurred, and the Company therefore recorded a non-cash impairment charge to reduce the carrying value of the impaired property to its fair value at December 31, 2017.

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SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST

12 Months Ended

Dec. 31, 2017

SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST [Abstract]

SHAREHOLDERS' EQUITY AND NONCONTROLLING INTEREST

8.          SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST

Common Stock

Reverse Stock Split.  On November 8, 2017 and following approval by the Company’s stockholders of an amendment to its certificate of incorporation to effect a reverse stock split, the Company’s Board of Directors approved a reverse stock split of Whiting’s common stock at a ratio of one-for-four and a reduction in the number of authorized shares of the Company’s common stock from 600,000,000 shares to 225,000,000.  Whiting’s common stock began trading on a split-adjusted basis on November 9, 2017 upon opening of the markets.  All share and per share amounts in these consolidated financial statements and related notes for periods prior to November 2017 have been retroactively adjusted to reflect the reverse stock split. 

Common Stock Offering.In March 2015, the Company completed a public offering of its common stock, selling 8,750,000 shares of common stock at a price of $120.00 per share and providing net proceeds of approximately $1.0 billion after underwriter’s fees.  In addition, the Company granted the underwriter a 30-day option to purchase up to an additional 1,312,500 shares of common stock.  On April 1, 2015, the underwriter exercised its right to purchase an additional 500,000 shares of common stock, providing additional net proceeds of $61 million.

Noncontrolling Interest—The Company’s noncontrolling interest represented an unrelated third party’s 25% ownership interest in Sustainable Water Resources, LLC (“SWR”).  During the third quarter of 2017, the third party’s ownership interest in SWR was assigned back to SWR.  Thetable below summarizes the activity for the equity attributable to the noncontrolling interest (in thousands):

	Year Ended December 31,
	2017		2016
Balance at beginning of period	$	7,962	$	7,984
Net loss		(14)		(22)
Conveyance of ownership interest		(7,948)		-
Balance at end of period	$	-	$	7,962

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STOCK-BASED COMPENSATION

12 Months Ended

Dec. 31, 2017

STOCK-BASED COMPENSATION [Abstract]

STOCK-BASED COMPENSATION

9.          STOCK-BASED COMPENSATION

Equity Incentive Plan—The Company maintains the Whiting Petroleum Corporation 2013 Equity Incentive Plan, as amended and restated (the “2013 Equity Plan”), which replaced the Whiting Petroleum Corporation 2003 Equity Incentive Plan (the “2003 Equity Plan”) and includes the authority to issue 1,375,000 shares of the Company’s common stock.  Upon shareholder approval of the 2013 Equity Plan, the 2003 Equity Plan was terminated.  The 2003 Equity Plan continues to govern awards that were outstanding as of the date of its termination, which remain in effect pursuant to their terms. Any shares netted or forfeited under the 2003 Equity Plan and any shares forfeited under the 2013 Equity Plan will be available for future issuance under the 2013 Equity Plan.  However, shares netted for tax withholding under the 2013 Equity Plan will be cancelled and will not be available for future issuance.  Under the 2013 Equity Plan, no employee or officer participant may be granted options for more than 225,000 shares of common stock, stock appreciation rights relating to more than 225,000 shares of common stock, more than 150,000 shares of restricted stock, more than 150,000 restricted stock units, more than 150,000 performance shares, or more than 150,000 performance units during any calendar year.  In addition, no non-employee director participant may be granted options for more than 25,000 shares of common stock, stock appreciation rights relating to more than 25,000 shares of common stock, more than 25,000 shares of restricted stock, or more than 25,000 restricted stock units during any calendar year.  As of December 31, 2017, 1,137,723 shares of common stock remained available for grant under the 2013 Equity Plan.

Restricted Stock, Restricted Stock Units and Performance Shares—The Company grants service-based restricted stock awards and restricted stock units to executive officers and employees, which generally vest ratably over a three-year service period. The Company also grants service-based restricted stock awards to directors, which generally vest over a one-year service period.  In addition, the Company grants performance share awards to executive officers that are subject to market-based vesting criteria as well as a three-year service period.  Upon adoption of ASU 2016-09 on January 1, 2017, the Company elected to account for forfeitures of awards granted under these plans as they occur in determining compensation expense.  The Company recognizes compensation expense for all awards subject to market-based vesting conditions regardless of whether it becomes probable that these conditions will be achieved or not, and compensation expense is not reversed if vesting does not actually occur.

During 2017, 2016 and 2015, 538,194,  737,912 and 205,971 shares, respectively, of service-based restricted stock awards were granted to employees, executive officers and directors under the 2013 Equity Plan.  The grant date fair value of restricted stock awards is determined based on the closing bid price of the Company’s common stock on the grant date.  The weighted average grant date fair value of restricted stock awards was $40.66 per share, $27.82 per share and $123.72 per share for the years ended December 31, 2017, 2016, and 2015, respectively.

During2017, 2016 and 2015, 168,466,  268,278 and 97,937 performance shares, respectively, subject to certain market-based vesting criteria were granted to executive officers under the 2013 Equity Plan.  These market-based awards cliff vest on the third anniversary of the grant date, and the number of shares that will vest at the end of that three-year performance period is determined based on the rank of Whiting’s cumulative stockholder return compared to the stockholder return of a peer group of companies over the same three-year period.  The number of shares earned could range from zero up to two times the number of shares initially granted.

For awards subject to market conditions, the grant date fair value is estimated using a Monte Carlo valuation model.  The Monte Carlo model is based on random projections of stock price paths and must be repeated numerous times to achieve a probabilistic assessment.  Expected volatility is calculated based on the historical volatility of Whiting’s common stock, and the risk-free interest rate is based on U.S. Treasury yield curve rates with maturities consistent with the three-year vesting period.  The key assumptions used in valuing these market-based awards were as follows:

	2017	2016	2015
Number of simulations	2,500,000	2,500,000	2,500,000
Expected volatility	82.44%	60.8%	40.3%
Risk-free interest rate	1.52%	1.13%	0.99%
Dividend yield	-	-	-

The weighted average grant date fair value of the market-based awards as determined by the Monte Carlo valuation model was $63.04 per share, $25.56 per share and $133.00 per share in 2017, 2016 and 2015, respectively.

The following table shows a summary of the Company’s restricted stock award (“RSA”), restricted stock unit (“RSU”) and performance share activity for the year ended December 31, 2017:

	Number of Awards			WeightedAverage
	Service-Based	Service-Based	Market-Based	Grant Date
	RSAs	RSUs	Performance Awards	Fair Value
Nonvested awards, January 1	766,818	-	523,172	$	54.19
Granted	538,194	39,619	168,466		44.89
Vested	(339,199)	-	-		51.23
Forfeited	(67,392)	-	(194,111)		81.97
Nonvested awards, December 31	898,421	39,619	497,527	$	44.99

As of December 31, 2017, there was $18 million of total unrecognized compensation cost related to unvested awards granted under the stock incentive plans.  That cost is expected to be recognized over a weighted average period of 2.0 years. For the years ended December31, 2017, 2016 and 2015, the total fair value of restricted stock vested was $15 million, $5 million and $4 million, respectively.

Stock Options—Stock options may be granted to certain executive officers of the Company with exercise prices equal to the closing market price of the Company’s common stock on the grant date.  There were no stock options granted under the 2013 Equity Plan during 2017, 2016 or 2015.  The Company’s stock options vest ratably over a three-year service period from the grant date and are exercisable immediately upon vesting through the tenth anniversary of the grant date.

The following table shows a summary of the Company’s stock options outstanding as of December 31, 2017 as well as activity during the year then ended:

						Weighted
						Average
		Weighted		Aggregate		Remaining
		Average		Intrinsic		Contractual
	Number of	Exercise Price		Value		Term
	Options	per Share		(in thousands)		(in years)
Options outstanding at January 1	128,524	$	158.17
Granted	-		-
Exercised	-		-	$	-
Forfeited or expired	(6,490)		207.86
Options outstanding at December 31	122,034	$	154.32	$	28	2.4
Options vested at December 31	122,034	$	154.32	$	28	2.4
Options exercisable at December 31	122,034	$	154.32	$	28	2.4

There was no unrecognized compensation cost related to unvested stock option awards as of December 31, 2017.  There were no stock options exercised during the years ended December 31, 2017 or 2016.  For the year ended December 31, 2015, the aggregateintrinsic value of stock options exercised was $2 million. 

For the years ended December 31, 2017, 2016 and 2015, total stock compensation expense recognized for restricted share awards and stock options was $22 million, $26 million and $28 million, respectively.

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INCOME TAXES

12 Months Ended

Dec. 31, 2017

INCOME TAXES [Abstract]

INCOME TAXES

10.         INCOME TAXES

Income tax benefit consists of the following (in thousands):

	Year Ended December 31,
	2017		2016		2015
Current income tax expense (benefit)
Federal	$	(7,305)	$	(7,340)	$	-
State		14		150		(357)
Total current income tax benefit		(7,291)		(7,190)		(357)
Deferred income tax benefit
Federal		(398,686)		(65,130)		(736,520)
State		(77,002)		(15,326)		(37,350)
Total deferred income tax benefit		(475,688)		(80,456)		(773,870)
Total	$	(482,979)	$	(87,646)	$	(774,227)

Income tax benefit differed from amounts that would result from applying the U.S. statutory income tax rate (35%) to income before income taxes as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
U.S. statutory income tax benefit	$	(602,219)	$	(499,370)	$	(1,047,723)
State income taxes, net of federal benefit		(39,557)		(33,050)		(44,654)
Valuation allowance		120,880		-		-
Federal tax reform		(42,033)		-		-
Impairment charge after enactment of federal tax reform		114,293		-		-
IRC Section 382 limitation		(45,899)		259,494		-
Non-deductible convertible debt expenses		-		174,071		-
Goodwill impairment		-		-		305,820
Market-based equity awards		7,003		8,352		2,690
Enacted changes in state tax laws		-		5,020		7,350
Other		4,553		(2,163)		2,290
Total	$	(482,979)	$	(87,646)	$	(774,227)

The principal components of the Company’s deferred income tax assets and liabilities at December 31, 2017 and 2016 were as follows (in thousands):

	Year Ended December 31,
	2017		2016
Deferred income tax assets
Net operating loss carryforward	$	828,617	$	1,248,034
Derivative instruments		31,567		6,145
Asset retirement obligations		16,138		21,398
Restricted stock compensation		9,704		12,171
EOR credit carryforwards		7,946		7,946
Alternative minimum tax credit carryforwards		-		7,847
Other		11,549		19,356
Total deferred income tax assets		905,521		1,322,897
Less valuation allowance		(271,300)		(264,461)
Net deferred income tax assets		634,221		1,058,436
Deferred income tax liabilities
Oil and gas properties		566,747		1,412,781
Trust distributions		54,980		94,120
Discount on convertible senior notes		12,494		27,224
Total deferred income tax liabilities		634,221		1,534,125
Total net deferred income tax liabilities	$	-	$	475,689

The Company’s July 1, 2016 note exchange transactions triggered an ownership shift within the meaning of Section 382 of the Internal Revenue Code (“IRC”) due to the “deemed share issuance” that resulted from the note exchanges.  The ownership shift will limit Whiting’s usage of certain of its net operating losses and tax credits in the future. Accordingly, the Company recognized valuation allowances on its deferred tax assets totaling $259 million.  In the third quarter of 2017 there was a partial release of this valuation allowance in the amount of $41 million associated with built-on gains on the sale of the FBIR Assets.

As of December 31, 2017, the Company had federal net operating loss (“NOL”) carryforwards of $2.9 billion, which was net of the IRC Section 382 limitation.  The Company also has various state NOL carryforwards.  The determination of the state NOL carryforwards is dependent upon apportionment percentages and state laws that can change from year to year and that can thereby impact the amount of such carryforwards.  If unutilized, the federal NOL will expire between 2023 and 2037, and the state NOLs will expire between 2018 and 2037.

EOR credits are a credit against federal income taxes for certain costs related to extracting high-cost oil, utilizing certain prescribed enhanced tertiary recovery methods.  As of December 31, 2017, the Company had recognized aggregate EOR credits of $8 million.  As a result of the IRC Section 382 limitation in July 2016, the Company recorded a full valuation allowance on these credits.

The Company was subject to the alternative minimum tax (“AMT”) principally due to its significant intangible drilling cost deductions.  For 2017, the Company expects to forego bonus depreciation and claim a refund under the Protecting Americans from Tax Hikes Act for its AMT credits and has recognized a $7 million current benefit.  As of December 31, 2017, the Company had no remaining AMT credits available to offset future regular federal income taxes. 

On December 22, 2017, Congress passed the Tax Cuts and Jobs Act (the “TCJA”).  The new legislation significantly changes the U.S. corporate tax law by, among other things, lowering the U.S. corporate income tax rate from 35% to 21% beginning in January 2018, implementing a territorial tax system and imposing a repatriation tax on deemed repatriated earnings of foreign subsidiaries.  FASB ASC Topic 740, Income Taxes, requires companies to recognize the impact of the changes in tax law in the period of enactment. 

The SEC issued Staff Accounting Bulletin No. 118 (“SAB 118”), which allows registrants to record provisional amounts during a one year “measurement period” similar to that used to account for business combinations, however, the measurement period is deemed to have ended earlier when the registrant has obtained, prepared and analyzed the information necessary to finalize its accounting.  During the measurement period, impacts of the law are expected to be recorded at the time a reasonable estimate for all or a portion of the effects can be made, and provisional amounts can be recognized and adjusted as information becomes available, prepared or analyzed.  SAB 118 outlines a three-step process to be applied at each reporting period to account for and qualitatively disclose (i) the effects of the change in tax law for which accounting is complete, (ii) provisional amounts (or adjustments to provisional amounts) for the effects of the change in tax law where accounting is not complete, but where a reasonable estimate has been made, and (iii) areas affected by the change in tax law where a reasonable estimate cannot yet be made and therefore taxes are reflected in accordance with law prior to the enactment of the TCJA.

Amounts recorded during the year ended December 31, 2017 related to the TCJA principally relate to the reduction in the U.S. corporate income tax rate to 21%, which resulted in (i) income tax expense of $51 million from the revaluation of the Company’s deferred tax assets and liabilities as of the date of enactment and (ii) an income tax benefit totaling $93 million related to a reduction in the Company’s existing valuation allowances.  Reasonable estimates were made based on the Company’s analysis of the remeasurement of its deferred tax assets and liabilities and valuation allowances under tax reform.  These provisional amounts may be adjusted in future periods if additional information is obtained or further clarification and guidance is issued by regulatory authorities regarding the application of the law.

Other provisions of the TCJA that do not impact 2017, but may impact income taxes in future years include (i) a limitation on the current deductibility of net interest expense in excess of 30% of adjusted taxable income, (ii) a limitation on the usage of NOLs generated after 2017 to 80% of taxable income, (iii) additional limitations on certain meals and entertainment expenses, (iv) the inclusion of performance based compensation in determining the excessive compensation limitation, and (v) the unlimited carryforward of NOLs.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion, or all, of the Company’s deferred tax assets will not be realized.  In making such determination, the Company considers all available positive and negative evidence, including future reversals of temporary differences, tax-planning strategies and projected future taxable income and results of operations.  If the Company concludes that it is more likely than not that some portion, or all, of its deferred tax assets will not be realized, the tax asset is reduced by a valuation allowance.  At December 31, 2017, after considering the impact of the federal tax rate reduction resulting from the enactment of the TCJA,  the Company had a valuation allowance totaling $271 million, comprised of $138 million of NOL carryforward limitations under Section 382 of the IRC, $8 million of EOR credits, which will expire between 2023 and 2025, $5 million of Canadian NOL carryforwards, which will expire between 2034 and 2035, and $1 million of short-term capital loss carryforwards that are not expected to be realized.  In addition, the Company has determined that it does not expect the carrying value of its deferred tax assets to be realized, and accordingly, has recorded a full valuation allowance totaling $119 million on its net deferred tax assets as of December 31, 2017.At December 31, 2016, the Company had a valuation allowance totaling $265 million, comprised of $251 million of NOL carryforward limitations under Section 382 of the IRC, $8 million of EOR credits, and $5 million of Canadian NOL carryforwards.  These valuation allowances were recorded because the Company determined it was more likely than not that the benefit from these deferred tax assets would not be realized due to the IRC Section 382 limitation on the NOL carryforward and the EOR credit carryforwards, as well as the divestiture of all foreign operations.

In 2014, the Company acquired Kodiak Oil & Gas Corp. (“Kodiak”), which is a Canadian entity that is disregarded for U.S. tax purposes.  Kodiak holds an interest in Whiting Resources Corporation, a U.S. entity.  Canadian taxes have not been recognized as the tax basis exceeds the book basis in the associated assets.  U.S. income taxes on Kodiak and its subsidiary, Whiting Resources Corporation, however, have been fully recognized on their cumulative losses to date.The TCJA provides for a one-time “deemed repatriation” of accumulated foreign earnings for the year ended December 31, 2017.  We do not expect to pay U.S. federal cash taxes on the deemed repatriation due to an estimated accumulated deficit in foreign earnings for tax purposes. 

As of December 31,2017 and 2016, the Company did not have any uncertain tax positions.  During the year ended December 31, 2016, the Company reversed an unrecognized tax benefit of $170,000as a result of the IRC Section 382 limitation, which resulted in the Company recording a full valuation allowance on its EOR credits, the underlying asset generating the uncertain tax position.  For the years ended December 31, 2017, 2016 and 2015, the Company did not recognize any interest or penalties with respect to unrecognized tax benefits, nor did the Company have any such interest or penalties previously accrued.  The Company believes that it is reasonably possible that no increases to unrecognized tax benefits will occur in the next twelve months.

The Company files income tax returns in the U.S. federal jurisdiction and in various states, each with varying statutes of limitations.  The 2014 through 2017 tax years generally remain subject to examination by federal and state tax authorities.  Additionally, the Company has Canadian income tax filings which remain subject to examination by the related tax authorities for the 2012  through 2017  tax years.

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EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2017

EARNINGS PER SHARE [Abstract]

EARNINGS PER SHARE

11.         EARNINGS PER SHARE

The reconciliations between basic and diluted loss per share are as follows (in thousands, except per share data):

	Year Ended December 31,
	2017		2016		2015
Basic Loss Per Share (1)
Net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)
Diluted Loss Per Share (1)
Adjusted net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)

_____________________

(1) All share and per share numbers have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

For the year ended December 31, 2017, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of 509,744 shares of service-based restricted stock, 22,946 shares of market-based restricted stock and 1,083 stock options.  In addition, the diluted earnings per share calculation for the year ended December 31, 2017 excludes the effect of 554,580 common shares for stock options that were out-of-the-money and 5,447 shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2017. 

For the year ended December 31, 2016, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of (i) 10,820,758 shares issuable for convertible notes prior to their conversions under the if-converted method, (ii) 444,646 shares of service-based restricted stock, and (iii) 1,158 stock options.  In addition, the diluted earnings per share calculation for the year ended December 31, 2016 excludes the effect of 479,452 common shares for stock options that were out-of-the-money and 92,548 shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2016. 

For the year ended December 31, 2015, the Company had a net loss and therefore the diluted earnings per share calculation for that period excludes the anti-dilutive effect of 129,034 shares of service-based restricted stock and 21,391 stock options.  In addition, the diluted earnings per share calculation for the year ended December 31, 2015 excludes the effect of 169,069 incremental shares of restricted stock that did not meet its market-based vesting criteria as of December 31, 2015 and 128,689 common shares for stock options that were out-of-the-money. 

Refer to the “Stock-Based Compensation” footnote for further information on the Company’s restricted stock and stock options.

As discussed in the “Long-Term Debt” footnote, the Company has the option to settle the 2020 Convertible Senior Notes with cash, shares of common stock or any combination thereof upon conversion.  Based on the current conversion price, the entire outstanding principal amount of the 2020 Convertible Senior Notes as of December 31, 2017 would be convertible into approximately 3.6 million shares of the Company’s common stock.  However, the Company’s intent is to settle the principal amount of the notes in cash upon conversion.  As a result, only the amount by which the conversion value exceeds the aggregate principal amount of the notes (the “conversion spread”) is considered in the diluted earnings per share computation under the treasury stock method.  As of December 31, 2017, 2016 and 2015, the conversion value did not exceed the principal amount of the notes.  Accordingly, there was no impact to diluted earnings per share or the related disclosures for those periods.

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COMMITMENTS AND CONTINGENCIES

12 Months Ended

Dec. 31, 2017

COMMITMENTS AND CONTINGENCIES [Abstract]

COMMITMENTS AND CONTINGENCIES

12.         COMMITMENTS AND CONTINGENCIES

The table below shows the Company’s minimum future payments under non-cancelable operating leases and unconditional purchase obligations as of December 31, 2017 (in thousands):

	Payments due by period
	2018		2019		2020		2021		2022		Thereafter		Total
Non-cancelable leases	$	7,502	$	6,399	$	802	$	-	$	-	$	-	$	14,703
Drilling rig contracts		19,442		300		-		-		-		-		19,742
Pipeline transportation agreements		5,369		5,369		5,369		5,369		5,369		11,481		38,326
Total	$	32,313	$	12,068	$	6,171	$	5,369	$	5,369	$	11,481	$	72,771

Non-cancelable Leases—The Company leases 222,900 square feet of administrative office space in Denver, Colorado under an operating lease arrangement expiring in 2019, 44,500 square feet of office space in Midland, Texas expiring in 2020, and 36,500 square feet of office space in Dickinson, North Dakota expiring in 2020.  Rental expense for 2017, 2016 and 2015 amounted to $8million, $9million and $9 million, respectively.  Minimum lease payments under the terms of non-cancelable operating leases as of December 31, 2017 are shown in the table above.The Company has sublet the majority of its office space in Midland, Texas to a third party for the remaining lease term.  The offsetting rental income has not been included in the table above. 

Drilling Rig Contracts—As of December 31, 2017, the Company had threedrilling rigs under long-term contracts, of which two drilling rigs expire in 2018 and one expires in 2019.  The Company’s minimum drilling commitments under the terms of these contracts as of December 31, 2017 are shown in the table above.  As of December 31, 2017, early termination of these contracts would require termination penalties of $11 million, which would be in lieu of paying the remaining drilling commitments under these contracts.  During 2017, 2016 and 2015, the Company made payments of $29 million, $31 million and $18 million, respectively, under these long-term contracts, which are initially capitalized as a component of oil and gas properties and either depleted in future periods or written off as exploration expense.

Pipeline Transportation Agreements—The Company has three pipeline transportation agreements with two different suppliers, expiring in 2022, 2024 and 2025.  Under two of these contracts,  the Company has committed to pay fixed monthly reservation fees on dedicated pipelines from its Redtail field for natural gas and NGL transportation capacity, plus a variable charge based on actual transportation volumes.  These fixed monthly reservation fees totaling approximately $38 million have been included in the table above.

The remaining contract contains a commitment to transport a minimum volume of crude oil via a certain oil gathering system or else pay for any deficiencies at a price stipulated in the contract.  Although minimum annual quantities are specified in the agreement, the actual oil volumes transported and their corresponding unit prices are variable over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under thistransportation agreement to approximate$17 million through 2022.

During 2017, 2016 and 2015, transportation of crude oil, natural gas and NGLs under these contracts amounted to $7million, $5million and $3 million, respectively.

Purchase Contracts—The Company has one take-or-pay purchase agreement which expires in 2020, whereby the Company has committed to buy certain volumes of water for use in the fracture stimulation process of wells the Company completes in its Redtail field.  Under the terms of the agreement, the Company is obligated to purchase a minimum volume of water or else pay for any deficiencies at the price stipulated in the contract.  Although minimum daily quantities are specified in the agreement, the actual water volumes purchased and their corresponding unit prices are variable over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under this purchase agreement to approximate $23 million through 2020.

As a result of the Company’s reduced development operations at its Redtail field, Whiting expects to make periodic deficiency payments under this contract during the remaining term.  During 2017 and 2016, purchases of water amounted to $22 million and$1million, respectively, which included insignificant deficiency payments for the year ended December 31, 2017. 

Water Disposal Agreement—The Company has one water disposal agreement which expires in 2024, whereby it has contracted for the transportation and disposal of the produced water from its Redtail field.  Under the terms of the agreement, the Company is obligated to provide a minimum volume of produced water or else pay for any deficiencies at the price stipulated in the contract.  Although minimum monthly quantities are specified in the agreement, the actual water volumes disposed of and their corresponding unit prices are variable over the term of the contract.  As a result, the future minimum payments for each of the five succeeding fiscal years are not fixed and determinable and are not therefore included in the table above.  As of December 31, 2017, the Company estimated the minimum future commitments under this disposal agreement to approximate $122 million through 2024.  As a result of the Company’s reduced development operations at its Redtail field, Whiting has made and expects to make periodic deficiency payments under this contract.  During 2017 and 2016, transportation and disposal of produced water amounted to $16 and $8 million, respectively, which includes $4 million and $2 million of deficiency payments, respectively.  There were no water disposal costs incurred under this contract during 2015. 

Delivery Commitments—The Company has various physical delivery contracts which require the Company to deliver fixed volumes of crude oil.  One of these delivery commitments became effective on June 1, 2017 upon completion of the Dakota Access Pipeline, and it is tied to crude oil production from Whiting’s Sanish field in Mountrail County, North Dakota.  Under the terms of the agreement, Whiting has committed to deliver 15 MBbl/d for a term of seven years.  The Company believes its production and reserves at the Sanish field are sufficient to fulfill this delivery commitment, and therefore expects to avoid any payments for deficiencies under this contract.

The remaining two delivery contractsare tied to crude oil production at Whiting’s Redtail field in Weld County, Colorado.  On February 1, 2018, the Company paid $61 million to the counterparty to one of these contracts to settle all future minimum volume commitments under the agreement.  As of December 31, 2017,  these contracts contain remaining delivery commitments of 14.8 MMBbl, 16.0 MMBbl and 4.1MMBbl of crude oilfor the years ended December 31, 2018 through 2020, respectively, which commitments have been reduced to reflect the contract settlement on February 1, 2018.  The Company has determined that it is not probable that future oil production from its Redtail field will be sufficient to meet the minimum volume requirements specified in these physical delivery contracts, and as a result, the Company expects to make periodic deficiency payments for any shortfalls in delivering the minimum committed volumes. 

During 2017, 2016 and 2015, total deficiency payments under these contracts amounted to $66 million, $43million and $15 million, respectively.  The Company recognizes any monthly deficiency payments in the period in which the underdelivery takes place and the related liability has been incurred.  The table above does not include any such deficiency payments that may be incurred under the Company’s physical delivery contracts, since it cannot be predicted with accuracy the amount and timing of any such penalties incurred.

Litigation—The Company is subject to litigation, claims and governmental and regulatory proceedings arising in the ordinary course of business.  The Company accrues a loss contingency for these lawsuits and claims when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated.  While the outcome of these lawsuits and claims cannot be predicted with certainty, it is the opinion of the Company’s management that the loss for any litigation matters and claims that are reasonably possible to occur will not have a material adverse effect, individually or in the aggregate, on its consolidated financial position, cash flows or results of operations.  Accordingly, no material amounts for loss contingencies associated with litigation, claims or assessments have been accrued at December 31, 2017 or 2016.

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CAPITALIZED EXPLORATORY WELL COSTS

12 Months Ended

Dec. 31, 2017

CAPITALIZED EXPLORATORY WELL COSTS [Abstract]

CAPITALIZED EXPLORATORY WELL COSTS

13.         CAPITALIZED EXPLORATORY WELL COSTS

Exploratory well costs that are incurred and expensed in the same annual period have not been included in the table below.  The net changes in capitalized exploratory well costs were as follows (in thousands):

	Year Ended December 31,
	2017		2016		2015
Beginning balance at January 1	$	-	$	-	$	14,293
Additions to capitalized exploratory well costs pending the determination of proved reserves		13,894		-		54,707
Reclassifications to wells, facilities and equipment based on the determination of proved reserves		-		-		(63,352)
Capitalized exploratory well costs charged to expense		-		-		(5,648)
Ending balance at December 31	$	13,894	$	-	$	-

At December 31, 2017, the Company had no costs capitalized for exploratory wells in progress for a period of greater than one year after the completion of drilling.

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SUBSEQUENT EVENTS

12 Months Ended

Dec. 31, 2017

SUBSEQUENT EVENTS [Abstract]

SUBSEQUENT EVENTS

14.         SUBSEQUENT EVENTS

Redemption of 2019 Senior Notes—On December 27, 2017, the trustee under the indenture governing the Company’s 2019 Senior Notes provided notice to the holders of such notes that Whiting elected to redeem all of the remaining $961 million aggregate principal amount of the 2019 Senior Notes on January 26, 2018, and on that date, Whiting paid $1.0 billion consisting of the 102.976% redemption price plus all accrued and unpaid interest on the notes.  The Company financed the redemption with proceeds from the issuance of the 2026 Senior Notes and borrowings under its credit agreement.

Termination of Redtail Delivery Commitment—On February 1, 2018, the Company paid $61 million to the counterparty to one of its physical delivery contracts for crude oil production at its Redtail field in Weld County, Colorado to settle all future minimum commitments under this agreement.  Refer to the “Commitments and Contingencies” footnote for further information on the Company’s delivery commitments.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

Basis of Presentation of Consolidated Financial Statements

Basis of Presentation of Consolidated Financial Statements—The consolidated financial statements have been prepared in accordance with GAAP and SEC rules and regulations and include the accounts of Whiting Petroleum Corporation, its consolidated subsidiaries and Whiting’s pro rata share of the accounts of Whiting USA Trust I (“Trust I”) pursuant to Whiting’s 15.8% ownership interest in TrustI.  On January 28, 2015, the net profits interest that Whiting conveyed to Trust I terminated and such interest in the underlying properties reverted back to Whiting.  Investments in entities which give Whiting significant influence, but not control, over the investee are accounted for using the equity method.  Under the equity method, investments are stated at cost plus the Company’s equity in undistributed earnings and losses.  All intercompany balances and transactions have been eliminated upon consolidation.

Use of Estimates

Use of Estimates—The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period.  Items subject to such estimates and assumptions include (i) oil and naturalgas reserves; (ii) impairment tests of long-lived assets; (iii) depreciation, depletion and amortization; (iv) asset retirement obligations; (v) assignment of fair value and allocation of purchase price in connection with business combinations, including the determination of any resulting goodwill; (vi) valuations of the Company’s reporting unit used in impairment tests of goodwill; (vii) income taxes; (viii) accrued liabilities; (ix) valuation of derivative instruments; and (x) accrued revenue and related receivables.  Although management believes these estimates are reasonable, actual results could differ from these estimates.

Reclassifications

Reclassifications—Certain prior period balances in the consolidated balance sheets have been reclassified to conform to the current year presentation.  Such reclassifications had no impact on net income, cash flows or shareholders’ equity previously reported.

Cash, Cash Equivalents and Restricted Cash

Cash, Cash Equivalents and Restricted Cash—Cash equivalents consist of demand deposits and highly liquid investments which have an original maturity of three months or less.

Restricted cash at December 31, 2016 related to a deposit received in connection with the sale of Whiting’s interests in the Robinson Lake and Belfield gas processing plants.  The use of these funds was restricted per the terms of the purchase agreement until the sale transaction closed on January1, 2017.  Refer to the “Acquisition and Divestitures” footnote for further information on this transaction.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets and the consolidated statements of cash flows:

	December 31,
	2017		2016
Cash and cash equivalents	$	879,379	$	55,975
Restricted cash		-		17,250
Total cash, cash equivalents and restricted cash	$	879,379	$	73,225

Accounts Receivable Trade

Accounts Receivable Trade—Whiting’s accounts receivable trade consist mainly of receivables from oil and gas purchasers and joint interest owners on properties the Company operates.  For receivables from joint interest owners, Whiting typically has the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings.  Generally, the Company’s oil and gas receivables are collected within two months, and to date, the Company has had minimal bad debts.

The Company routinely assesses the recoverability of all material trade and other receivables to determine their collectability.  At December 31, 2017 and 2016, the Company had an allowance for doubtful accounts of $17 million and $10 million, respectively.

Inventories

Inventories—Materials and supplies inventories consist primarily of tubular goods and production equipment, carried at weighted-average cost.  Materials and supplies are included in other property and equipment and totaled $24 million and $33 million as of December 31, 2017 and 2016, respectively.  Crude oil in tanks inventory is carried at the lower of the estimated cost to produce or net realizable value.  Oil in tanks is included in prepaid expenses and other and totaled $7 million and $8 million as of December 31, 2017 and 2016, respectively.

Oil and Gas Properties

Oil and Gas Properties

Proved.  The Company follows the successful efforts method of accounting for its oil and gas properties.  Under this method of accounting, all property acquisition costs and development costs are capitalized when incurred and depleted on a unit-of-production basis over the remaining life of proved reserves and proved developed reserves, respectively.  Costs of drilling exploratory wells are initially capitalized but are charged to expense if the well is determined to be unsuccessful.

The Company assesses its proved oil and gas properties for impairment whenever events or circumstances indicate that the carrying value of the assets may not be recoverable.  The impairment test compares undiscounted future net cash flows to the assets’ net book value.  If the net capitalized costs exceed future net cash flows, then the cost of the property is written down to fair value.  Fair value for oil and gas properties is generally determined based on discounted future net cash flows.  Impairment expense for proved properties totaled $835million and $1.6 billion for the years ended December 31, 2017 and 2015, respectively, which is reported in exploration and impairment expense.

Net carrying values of retired, sold or abandoned properties that constitute less than a complete unit of depreciable property are charged or credited, net of proceeds, to accumulated depreciation, depletion and amortization unless doing so significantly affects the unit-of-production amortization rate, in which case a gain or loss is recognized in income.  Gains or losses from the disposal of complete units of depreciable property are recognized to earnings.

Interest cost is capitalized as a component of property cost for development projects that require greater than six months to be readied for their intended use.  During 2017, 2016 and 2015, the Company capitalized interest of $0.1 million, $0.1 million and $4 million, respectively.

Unproved.  Unproved properties consist of costs to acquire undeveloped leases as well as purchases of unproved reserves.  Undeveloped lease costs and unproved reserve acquisitions are capitalized, and individually insignificant unproved properties are amortized on a composite basis, based on average lease-term lives and the historical experience of developing acreage in a particular prospect.  The Company evaluates significant unproved properties for impairment based on remaining lease term, drilling results, reservoir performance, seismic interpretation or future plans to develop acreage.  When successful wells are drilled on undeveloped leaseholds, unproved property costs are reclassified to proved properties and depleted on a unit-of-production basis.  Impairment expense for unproved properties totaled $59 million, $73 million and $135 million for the years ended December 31, 2017, 2016 and 2015, respectively, which is reported in exploration and impairment expense.

Exploratory.  Geological and geophysical costs, including exploratory seismic studies, and the costs of carrying and retaining unproved acreage are expensed as incurred.  Costs of seismic studies that are utilized in development drilling within an area of proved reserves are capitalized as development costs.  Amounts of seismic costs capitalized are based on only those blocks of data used in determining development well locations.  To the extent that a seismic project covers areas of both developmental and exploratory drilling, those seismic costs are proportionately allocated between development costsand exploration expense.

Costs of drilling exploratory wells are initially capitalized, pending determination of whether the well has found proved reserves.  If an exploratory well has not found proved reserves, the costs of drilling the well and other associated costs are charged to expense.  Costs incurred for exploratory wells that find reserves, which cannot yet be classified as proved, continue to be capitalized if (i) the well has found a sufficient quantity of reserves to justify completion as a producing well, and (ii) the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project.  If either condition is not met, or if the Company obtains information that raises substantial doubt about the economic or operational viability of the project, the exploratory well costs, net of any salvage value, are expensed.

Other Property and Equipment

Other Property and Equipment—Other property and equipment consists of materials and supplies inventories, carried at weighted-average cost, and furniture and fixtures, buildings, leasehold improvements and automobiles, which are stated at cost and depreciated using the straight-line method over their estimated useful lives ranging from 4 to 30 years.

Goodwill

Goodwill—Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in business combinations.  Goodwill has an indefinite useful life and is not amortized, but rather is tested by the Company for impairment annually in the second quarter or whenever events or changes in circumstances indicate that the fair value of the reporting unit may have been reduced below its carrying value. 

The Company performed its annual goodwill impairment test as of June 30, 2015, and determined that no impairment had occurred.  However, as a result of a sustained decrease in the price of Whiting’s common stock during the third quarter of 2015 caused by a significant decline in crude oil and natural gas prices over that same period, the Company performed another goodwill impairment test as of September 30, 2015.  The impairment test performed by the Company indicated that the fair value of its reporting unit was less than its carrying amount, and further that there was no remaining implied fair value attributable to goodwill.  Based on these results, the Company recorded a non-cash impairment charge to reduce the carrying value of goodwill to zero.

Debt Issuance Costs

Debt Issuance Costs—Debt issuance costs related to the Company’s senior notes, convertible senior notes and senior subordinated notes are included as a deduction from the carrying amount of long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related debt.  Debt issuance costs related to the credit facility are included in other long-term assets and are amortized to interest expense on a straight-line basis over the term of the agreement.

Debt Discount and Premiums

Debt Discounts and Premiums—Debt discounts and premiums related to the Company’s senior notes and convertible notes are included as a deduction from or addition to the carrying amount of the long-term debt in the consolidated balance sheets and are amortized to interest expense using the effective interest method over the term of the related notes.

Derivative Instruments

Derivative Instruments—The Company enters into derivative contracts, primarily costless collars and swaps, to manage its exposure to commodity price risk.  Whiting follows FASB ASC Topic 815, Derivatives and Hedging, to account for its derivative financial instruments.All derivative instruments, other than those that meet the “normal purchase normal sale” exclusion, are recorded on the balance sheet as either an asset or liability measured at fair value.  Gains and losses from changes in the fair value of derivative instruments are recognized immediately in earnings, unless the derivative meets specific hedge accounting criteria and the derivative has been designated as a hedge.  The Company does not currently apply hedge accounting to any of its outstanding derivative instruments, and as a result, all changes in derivative fair values are recognized currently in earnings.

Cash flows from derivatives used to manage commodity price risk are classified in operating activities along with the cash flows of the underlying hedged transactions.  The Company does not enter into derivative instruments for speculative or trading purposes.  Refer to the “Derivative Financial Instruments” footnote for further information.

Asset Retirement Obligations and Environmental Costs

Asset Retirement Obligations and Environmental Costs—Asset retirement obligations relate to future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage and returning such land to its original condition.  The Company follows FASB ASC Topic 410, Asset Retirement and Environmental Obligations, to determine its asset retirement obligation amounts by calculating the present value of the estimated future cash outflows associated with its plug and abandonment obligations.  The fair value of a liability for an asset retirement obligation is recorded in the period in which it is incurred (typically when a well is completed or acquired or when an asset is installed at the production location), and the cost of such liability increases the carrying amount of the related long-lived asset by the same amount.  The liability is accreted each period through charges to depreciation, depletion and amortization expense, and the capitalized cost is depleted on a unit-of-production basis over the proved developed reserves of the related asset.  Revisions typically occur due to changes in estimated abandonment costs or well economic lives, or if federal or state regulators enact new requirements regarding the abandonment of wells, and such revisions result in adjustments to the related capitalized asset and corresponding liability.

Liabilities for environmental costs are recorded on an undiscounted basis when it is probable that obligations have been incurred and the amounts can be reasonably estimated.  These liabilities are not reduced by possible recoveries from third parties.

Deferred Gain On Sales

Deferred Gain on Sale—The deferred gain on sale relates to the sale of 18,400,000 Whiting USA Trust II (“Trust II”)units, and is amortized to income based on the unit-of-production method.

Revenue Recognition

Revenue Recognition—Oil and gas revenues are recognized when production volumes are sold to a purchaser at a fixed or determinable price, delivery has occurred and title has transferred, persuasive evidence of a sales arrangement exists and collectability of the revenue is reasonably assured.  Revenues from the production of gas properties in which the Company has an interest with other producers are recognized on the basis of the Company’s net working interest (entitlement method).  Net deliveries in excess of entitled amounts are recorded as liabilities, while net under deliveries are reflected as receivables.  The Company’s aggregate imbalance positions as of December 31, 2017 and 2016 were not significant.

Taxes collected and remitted to governmental agencies on behalf of customers are not included in revenues or costs and expenses.

General and Administrative Expenses

General and Administrative Expenses—General and administrative expenses are reported net of reimbursements of overhead costs that are allocated to the working interest owners that participate in oil and gas properties operated by Whiting.

Stock-based Compensation Expense

Stock-based Compensation Expense—The Company has share-based employee compensation plans that provide for the issuance of various types of stock-based awards, including shares of restricted stock, restricted stock units and stock options, to employees and non-employee directors.  The Company determines compensation expense for restricted stock awards and options granted under these plans based on the grant date fair value, and such expense is recognized on a straight-line basis over the requisite service period of the award.  The Company determines compensation expense for cash-settled restricted stock units granted under these plans based on the fair value of such awards at the end of each reporting period,and such awards are recorded as a  liability in the consolidated balance sheets.  Gains and losses from changes in the fair value of restricted stock units are recognized immediately in earnings.  The Company accounts for forfeitures of share-based awards as they occur.  Refer to the “Stock-Based Compensation” footnote for further information.

401 (k) Plan

401(k) Plan—The Company has a defined contribution retirement plan for all employees.  The plan is funded by employee contributions and discretionary Company contributions.  The Company’s contributions for 2017, 2016 and 2015 were $8 million, $8 million and $12 million, respectively.  Employees vest in employer contributions at 20% per year of completed service.

Acquisition Cost

Acquisition Costs—Acquisition related expenses, which consist of external costs directly related to the Company’s acquisitions, such as advisory, legal, accounting, valuation and other professional fees, are expensed as incurred.

Maintenance and Repairs

Maintenance and Repairs—Maintenance and repair costs that do not extend the useful lives of property and equipment are charged to expense as incurred.  Major replacements, renewals and betterments are capitalized.

Income Taxes

Income Taxes—Income taxes are recognized based on earnings reported for tax return purposes in addition to a provision for deferred income taxes.  Deferred income taxes are accounted for using the liability method.  Under this method, deferred tax assets and liabilities are determined by applying the enacted statutory tax rates in effect at the end of a reporting period to the cumulative temporary differences between the tax bases of assets and liabilities and their reported amounts in the Company’s financial statements.  The effect on deferred taxes for a change in tax rates is recognized in income in the period that includes the enactment date.  A valuation allowance for deferred tax assets is established when it is more likely than not that some portion of the benefit from deferred tax assets will not be realized.  The Company’s uncertain tax positions must meet a more-likely-than-not realization threshold to be recognized, and any potential accrued interest and penalties related to unrecognized tax benefits are recognized within income tax expense.

Earnings Per Share

Earnings Per Share—Basic earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during each period.  Diluted earnings per common share is calculated by dividing adjusted net income attributable to common shareholders by the weighted average number of diluted common shares outstanding, which includes the effect of potentially dilutive securities.  Potentially dilutive securities for the diluted earnings per share calculations consist of unvested restricted stock awards, outstanding stock options and contingently issuable shares of convertible debt to be settled in cash, all using the treasury stock method.  In addition, the diluted earnings per share calculation for the year ended December 31, 2016 considers the effect of convertible debt issued and converted during 2016, using the if-converted method for periods prior to their actual conversions.  When a loss from continuing operations exists, all dilutive securities and potentially dilutive securities are anti-dilutive and are therefore excluded from the computation of diluted earnings per share.

Industry Segment and Geographic Information

Industry Segment and Geographic Information—The Company has evaluated how it is organized and managed and has identified only one operating segment, which is the exploration and production of crude oil, NGLs and natural gas.  The Company considers its gathering, processing and marketing functions as ancillary to its oil and gas producing activities.  All of the Company’s operations and assets are located in the United States, and substantially all of its revenues are attributable to United States customers.

Concentration of Credit Risk

Concentration of Credit Risk—Whiting is exposed to credit risk in the event of nonpayment by counterparties, a significant portion of which are concentrated in energy related industries.  The creditworthiness of customers and other counterparties is subject to continuing review.  The following tables present the percentages by purchaser that accounted for 10% or more of the Company’s total oil, NGL and natural gas sales for the years ended December 31, 2017 and 2016.  For the year ended December 31, 2015, no individual purchaser accounted for 10% or more of the Company’s total oil, NGL and natural gas sales.

Year Ended December 31, 2017
Tesoro Crude Oil Co	18%

Year Ended December 31, 2016
Tesoro Crude Oil Co	15%
Jamex Marketing LLC	12%

Commodity derivative contracts held by the Company are with nine counterparties, all of which are participants in Whiting’s credit facility as well, and all of which have investment-grade ratings from Moody’s and Standard & Poor’s.  As of December 31, 2017, outstanding derivative contracts with JP Morgan Chase Bank, N.A.,  Wells Fargo Bank, N.A., Capital One, N.A. and KeyBank, N.A. represented 24%,17%,14% and 10%, respectively, of total crude oil volumes hedged.

Adopted and Recently Issued Accounting Pronouncements

Adopted and Recently IssuedAccounting Pronouncements—In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014‑09”).  The objective of ASU 2014-09 is to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards.  The FASB subsequently issued various ASUs which deferred the effective date of ASU 2014-09 and provided additional implementation guidance.  ASU 2014-09 and its amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017.  The standards permit retrospective application using either of the following methodologies: (i) restatement of each prior reporting period presented or (ii) recognition of a cumulative-effect adjustment as of the date of initial application.  The Company adopted these ASUs effective January 1, 2018 using the modified retrospective approach.  The Company has completed the assessment of its contracts with customers and is in the process of implementing the changes to its financial statements, accounting policies and internal controls as a result of the adoption of these standards. The adoption is not expected to have an impact on the Company’s net income or cash flows, however, itwill result in changes to the classification of fees incurred under certain pipeline gathering and transportation agreements and gas processing agreements, as well as certain costs attributable to non-operated properties, which will result in an overall decrease in total revenues with a corresponding decrease inlease operating expenses under the new standards.  In addition, the Company is continuing to assess the additional disclosures that will be required upon implementation of these ASUs.

In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (“ASU 2016-02”).  The objective of this ASU is to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing key information about leasing arrangements.  ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018 and should be applied using a modified retrospective approach.  Early adoption is permitted.  Although the Company is still in the process of evaluating the effect of adopting ASU 2016‑02, the adoption is expected to result in (i) an increase in the assets and liabilities recorded on its consolidated balance sheet, (ii) an increase in depreciation, depletion and amortization expense and interest expense recorded on its consolidated statement of operations, and (iii) additional disclosures.  As of December 31, 2017, the Company had approximately $73 million of contractual obligations related to its non-cancelable leases, drilling rig contracts and pipeline transportation agreements, and it will evaluate those contracts as well as other existing arrangements to determine if they qualify for lease accounting under ASU 2016-02.

In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”).  The objective of this ASU is to simplify several aspects of the accounting for employee share-based payment transactions, including income tax consequences, forfeitures, classification of awards as either equity or liabilities and classification in the statement of cash flows.  Portions of this ASU must be applied prospectively while other portions may be applied either prospectively or retrospectively.  ASU 2016-09 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016, and the Company adopted this standard on January 1, 2017.  Upon adoption of ASU 2016-09, the Company (i) recorded previously unrecognized excess tax benefits on a modified retrospective basis with a full valuation allowance, resulting in a net cumulative-effect adjustment to retained earnings of zero, (ii) prospectively removed excess tax benefits from its calculation of diluted shares, which had no impact on the Company’s diluted earnings per share for year ended December 31, 2017, and (iii) elected to account for forfeitures of share-based awards as they occur, rather than by applying an estimated forfeiture rate to determine compensation expense, the effect of which was recognized using a modified retrospective approach and resulted in an immaterial cumulative-effect adjustment to retained earnings and additional paid-in capital.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

Reconciliation Of Cash, Cash Equivalents And Restricted Cash

	December 31,
	2017		2016
Cash and cash equivalents	$	879,379	$	55,975
Restricted cash		-		17,250
Total cash, cash equivalents and restricted cash	$	879,379	$	73,225

Percentages of total oil and gas sales to significant purchasers

Year Ended December 31, 2017
Tesoro Crude Oil Co	18%

Year Ended December 31, 2016
Tesoro Crude Oil Co	15%
Jamex Marketing LLC	12%

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OIL AND GAS PROPERTIES (Tables)

12 Months Ended

Dec. 31, 2017

OIL AND GAS PROPERTIES [Abstract]

Net capitalized costs related to oil and gas producing activities

	December 31,
	2017		2016
Proved leasehold costs	$	2,622,576	$	3,330,928
Unproved leasehold costs		137,694		392,484
Costs of completed wells and facilities		8,288,591		9,016,472
Wells and facilities in progress		244,789		490,967
Total oil and gas properties, successful efforts method		11,293,650		13,230,851
Accumulated depletion		(4,185,301)		(4,170,237)
Oil and gas properties, net	$	7,108,349	$	9,060,614

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ACQUISITIONS AND DIVESTITURES (Tables)

12 Months Ended

Dec. 31, 2017

ACQUISITIONS AND DIVESTITURES [Abstract]

Components of assets and liabilities classified as held for sale

	Carrying Value as of
	December 31, 2016
Assets
Oil and gas properties, net	$	347,817
Other property and equipment, net		475
Total property and equipment, net		348,292
Other long-term assets		854
Total assets held for sale	$	349,146
Liabilities
Asset retirement obligations	$	131
Other long-term liabilities		407
Total liabilities related to assets held for sale	$	538

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LONG-TERM DEBT (Tables)

12 Months Ended

Dec. 31, 2017

LONG-TERM DEBT [Abstract]

Schedule of long-term debt

	December 31,
	2017		2016
Credit agreement	$	-	$	550,000
6.5% Senior Subordinated Notes due 2018		-		275,121
5.0% Senior Notes due 2019		961,409		961,409
1.25% Convertible Senior Notes due 2020		562,075		562,075
5.75% Senior Notes due 2021		873,609		873,609
6.25% Senior Notes due 2023		408,296		408,296
6.625% Senior Notes due 2026		1,000,000		-
Total principal		3,805,389		3,630,510
Unamortized debt discounts and premiums		(50,945)		(71,340)
Unamortized debt issuance costs on notes		(31,015)		(23,867)
Total debt		3,723,429		3,535,303
Less current portion of long-term debt		(958,713)		-
Total long-term debt	$	2,764,716	$	3,535,303

Schedule of five succeeding fiscal years of scheduled maturities for the Company's long-term debt

	2018		2019		2020		2021		2022
Long-term debt	$	961,409	$	-	$	562,075	$	873,609	$	-

Summary of margin rates and commitment fees

	Applicable	Applicable
	Margin for Base	Margin for	Commitment
Ratio of Outstanding Borrowings to Borrowing Base	Rate Loans	Eurodollar Loans	Fee
Less than 0.25 to 1.0	1.00%	2.00%	0.50%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0	1.25%	2.25%	0.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0	1.50%	2.50%	0.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0	1.75%	2.75%	0.50%
Greater than or equal to 0.90 to 1.0	2.00%	3.00%	0.50%

Summary of senior notes and convertible senior notes

		2020
	2019	Convertible	2021	2023	2026
	Senior Notes (1)	Senior Notes	Senior Notes	Senior Notes	Senior Notes
Outstanding principal (in thousands)	$ 961,409	$ 562,075	$ 873,609	$ 408,296	$ 1,000,000
Interest rate	5.0%	1.25%	5.75%	6.25%	6.625%
Maturity date	Mar 15, 2019	Apr 1, 2020	Mar 15, 2021	Apr 1, 2023	Jan 15, 2026
Interest payment dates	Mar 15, Sep 15	Apr 1, Oct 1	Mar 15, Sep 15	Apr 1, Oct 1	Jan 15, Jul 15
Make-whole redemption date (2)	Dec 15, 2018	N/A (3)	Dec 15, 2020	Jan 1, 2023	Oct 15, 2025

_____________________

(1) On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

(2) On or after these dates, the Company may redeem the applicable series of notes, in whole or in part, at a redemption price equal to 100% of the principal amount redeemed, together with accrued and unpaid interest up to the redemption date.  At any time prior to these dates, the Company may redeem the notes at a redemption price that includes an applicable premium as defined in the indentures to such notes.

(3) The indenture governing the 1.25% Convertible Senior Notes due 2020 does not allow for optional redemption by the Company prior to the maturity date.

Schedule of convertible senior notes

	December 31,
	2017		2016
Liability component
Principal	$	562,075	$	562,075
Less: unamortized note discount		(51,666)		(72,622)
Less: unamortized debt issuance costs		(4,178)		(5,988)
Net carrying value	$	506,231	$	483,465
Equity component (1)	$	136,522	$	136,522

(1) Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes as of December 31, 2017 and 2016.

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ASSET RETIREMENT OBLIGATIONS (Tables)

12 Months Ended

Dec. 31, 2017

ASSET RETIREMENT OBLIGATIONS [Abstract]

Schedule of reconciliation of the Company's asset retirement obligations

	2017		2016
Asset retirement obligation at January 1	$	177,004	$	161,908
Additional liability incurred		7,727		3,238
Revisions to estimated cash flows (1) (2)		(52,947)		11,620
Accretion expense		13,809		13,800
Obligations on sold properties		(6,988)		(4,771)
Liabilities settled		(4,368)		(8,791)
Asset retirement obligation at December 31	$	134,237	$	177,004

(1) Revisions to estimated cash flows during the year ended December 31, 2017 are primarily attributable to the deferral of the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from increases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2017, which lengthened the economic lives of these properties.  In addition, during 2017 there were decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Northern Rocky Mountains.

(2) Revisions to estimated cash flows during the year ended December 31, 2016 are primarily attributable to the acceleration in the estimated timing of abandonment of a large number of Whiting’s producing properties resulting from decreases in commodity prices used in the calculation of the Company’s reserves as of December 31, 2016, which shortened the economic lives of these properties.  For the year ended December 31, 2016, the increase was partially offset by decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Central and Northern Rocky Mountains.

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DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

12 Months Ended

Dec. 31, 2017

Derivative Financial Instruments [Line Items]

Schedule of effects of commodity derivative instruments

		(Gain) Loss Recognized in Income
Not Designated as	Statement of Operations	Year Ended December 31,
ASC 815 Hedges	Classification	2017		2016		2015
Commodity contracts	Derivative (gain) loss, net	$	104,138	$	58,771	$	(217,972)
Embedded derivatives	Derivative (gain) loss, net		18,709		(59,358)		-
Total		$	122,847	$	(587)	$	(217,972)

Location and fair value of derivative instruments

		December 31, 2017 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	9,829	$	(9,829)	$	-
Total derivative assets		$	9,829	$	(9,829)	$	-
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	142,354	$	(9,829)	$	132,525
Total derivative liabilities		$	142,354	$	(9,829)	$	132,525

		December 31, 2016 (1)
						Net
		Gross				Recognized
		Recognized		Gross		Fair Value
Not Designated as		Assets/		Amounts		Assets/
ASC 815 Hedges	Balance Sheet Classification	Liabilities		Offset		Liabilities
Derivative assets
Commodity contracts - current	Prepaid expenses and other	$	21,405	$	(21,405)	$	-
Commodity contracts - non-current	Other long-term assets		9,495		(9,495)		-
Embedded derivatives - non-current	Other long-term assets		50,632		-		50,632
Total derivative assets		$	81,532	$	(30,900)	$	50,632
Derivative liabilities
Commodity contracts - current	Derivative liabilities	$	39,033	$	(21,405)	$	17,628
Commodity contracts - non-current	Other long-term liabilities		19,724		(9,495)		10,229
Total derivative liabilities		$	58,757	$	(30,900)	$	27,857

_____________________

(1) Because counterparties to the Company’s financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas’ credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

Whiting Petroleum Corporation [Member]

Derivative Financial Instruments [Line Items]

Derivative instruments

Derivative		Contracted Crude	Weighted Average NYMEX Price
Instrument	Period	Oil Volumes (Bbl)	Collar Ranges for Crude Oil (per Bbl)
Three-way collars (1)	Jan - Dec 2018	17,400,000	$37.07 - $47.07 - $57.30
	Total	17,400,000

_____________________

(1) A three-way collar is a combination of options: a sold call, a purchased put and a sold put.  The sold call establishes a maximum price (ceiling) Whiting will receive for the volumes under contract.  The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.

(2) Subsequent to December 31, 2017, the Company entered into additional swap contracts for 4,400,000 Bbl of crude oil volumes for the year ended December 31, 2018, as well as costless collars for 900,000 Bbl of crude oil volumes for the six months ended June 30, 2019.

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FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Dec. 31, 2017

FAIR VALUE MEASUREMENTS [Abstract]

Summary of the fair values and carrying value of debt instruments

	December 31, 2017				December 31, 2016
	Fair		Carrying		Fair		Carrying
	Value (1)		Value (2)		Value (1)		Value (2)
6.5% Senior Subordinated Notes due 2018	$	-	$	-	$	275,121	$	273,506
5.0% Senior Notes due 2019		985,444		958,713		961,409		956,607
1.25% Convertible Senior Notes due 2020		517,109		506,231		503,057		483,465
5.75% Senior Notes due 2021		897,633		869,284		868,149		868,460
6.25% Senior Notes due 2023		418,503		403,940		408,296		403,265
6.625% Senior Notes due 2026		1,025,000		985,261		-		-
Total	$	3,843,689	$	3,723,429	$	3,016,032	$	2,985,303

(1) Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy.

(2) Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums.

Fair value assets and liabilities measured on a recurring basis

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2017
Financial Liabilities
Commodity derivatives – current	$	-	$	69,247	$	63,278	$	132,525
Total financial liabilities	$	-	$	69,247	$	63,278	$	132,525

							Total Fair Value
	Level 1		Level 2		Level 3		December 31, 2016
Financial Assets
Embedded derivatives – non-current	$	-	$	50,632	$	-	$	50,632
Total financial assets	$	-	$	50,632	$	-	$	50,632
Financial Liabilities
Commodity derivatives – current	$	-	$	14,664	$	2,964	$	17,628
Commodity derivatives – non-current		-		3,979		6,250		10,229
Total financial liabilities	$	-	$	18,643	$	9,214	$	27,857

Reconciliation of changes in the fair value of financial assets (liabilities) designated as Level 3 in the valuation hierarchy

	Year Ended December 31,
	2017		2016
Fair value liability, beginning of period	$	(9,214)	$	(4,027)
Recognition of embedded derivatives associated with convertible note issuances		-		(89,884)
Unrealized gains on embedded derivatives included in earnings (1)		-		47,965
Settlement of embedded derivatives upon conversion of convertible notes		-		41,919
Unrealized losses on commodity derivative contracts included in earnings (1)		(54,064)		(5,187)
Transfers into (out of) Level 3		-		-
Fair value liability, end of period	$	(63,278)	$	(9,214)

_____________________

(1) Included in derivative (gain) loss, net in the consolidated statements of operations.

Significant unobservable inputs used in the fair value measurement

Derivative Instrument	Valuation Technique	Unobservable Input	Amount
Commodity derivative contract	Probability-weighted income approach	Market differential for crude oil	$4.08 - $4.92 per Bbl

Non-financial assets and liabilities measured at fair value on a nonrecurring basis

									Loss (Before
	Net Carrying								Tax) Year
	Value as of								Ended
	December 31,		Fair Value Measurements Using						December 31,
	2017		Level 1		Level 2		Level 3		2017
Proved property (1)	$	389,390	$	-	$	-	$	389,390	$	834,950

_____________________

(1) During the fourth quarter of 2017, proved oil and gas properties at the Redtail field in the Denver Julesburg Basin (the “DJ Basin”) in Weld County, Colorado, with a previous carrying amount of $1.2 billion were written down to their fair value as of December31, 2017 of $389 million, resulting in a non-cash impairment charge of $835million which was recorded within exploration and impairment expense. 

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SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST (Tables)

12 Months Ended

Dec. 31, 2017

SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST [Abstract]

Schedule of noncontrolling interest

	Year Ended December 31,
	2017		2016
Balance at beginning of period	$	7,962	$	7,984
Net loss		(14)		(22)
Conveyance of ownership interest		(7,948)		-
Balance at end of period	$	-	$	7,962

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STOCK-BASED COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2017

STOCK-BASED COMPENSATION [Abstract]

Assumption for valuing market based restricted shares

	2017	2016	2015
Number of simulations	2,500,000	2,500,000	2,500,000
Expected volatility	82.44%	60.8%	40.3%
Risk-free interest rate	1.52%	1.13%	0.99%
Dividend yield	-	-	-

Summary of nonvested restricted stock

	Number of Awards			WeightedAverage
	Service-Based	Service-Based	Market-Based	Grant Date
	RSAs	RSUs	Performance Awards	Fair Value
Nonvested awards, January 1	766,818	-	523,172	$	54.19
Granted	538,194	39,619	168,466		44.89
Vested	(339,199)	-	-		51.23
Forfeited	(67,392)	-	(194,111)		81.97
Nonvested awards, December 31	898,421	39,619	497,527	$	44.99

Summary of stock options outstanding

						Weighted
						Average
		Weighted		Aggregate		Remaining
		Average		Intrinsic		Contractual
	Number of	Exercise Price		Value		Term
	Options	per Share		(in thousands)		(in years)
Options outstanding at January 1	128,524	$	158.17
Granted	-		-
Exercised	-		-	$	-
Forfeited or expired	(6,490)		207.86
Options outstanding at December 31	122,034	$	154.32	$	28	2.4
Options vested at December 31	122,034	$	154.32	$	28	2.4
Options exercisable at December 31	122,034	$	154.32	$	28	2.4

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INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2017

INCOME TAXES [Abstract]

Schedule of income tax expense

	Year Ended December 31,
	2017		2016		2015
Current income tax expense (benefit)
Federal	$	(7,305)	$	(7,340)	$	-
State		14		150		(357)
Total current income tax benefit		(7,291)		(7,190)		(357)
Deferred income tax benefit
Federal		(398,686)		(65,130)		(736,520)
State		(77,002)		(15,326)		(37,350)
Total deferred income tax benefit		(475,688)		(80,456)		(773,870)
Total	$	(482,979)	$	(87,646)	$	(774,227)

Reconciliation of statutory income tax expense to income tax expense

	Year Ended December 31,
	2017		2016		2015
U.S. statutory income tax benefit	$	(602,219)	$	(499,370)	$	(1,047,723)
State income taxes, net of federal benefit		(39,557)		(33,050)		(44,654)
Valuation allowance		120,880		-		-
Federal tax reform		(42,033)		-		-
Impairment charge after enactment of federal tax reform		114,293		-		-
IRC Section 382 limitation		(45,899)		259,494		-
Non-deductible convertible debt expenses		-		174,071		-
Goodwill impairment		-		-		305,820
Market-based equity awards		7,003		8,352		2,690
Enacted changes in state tax laws		-		5,020		7,350
Other		4,553		(2,163)		2,290
Total	$	(482,979)	$	(87,646)	$	(774,227)

Components of deferred income tax assets and liabilities

	Year Ended December 31,
	2017		2016
Deferred income tax assets
Net operating loss carryforward	$	828,617	$	1,248,034
Derivative instruments		31,567		6,145
Asset retirement obligations		16,138		21,398
Restricted stock compensation		9,704		12,171
EOR credit carryforwards		7,946		7,946
Alternative minimum tax credit carryforwards		-		7,847
Other		11,549		19,356
Total deferred income tax assets		905,521		1,322,897
Less valuation allowance		(271,300)		(264,461)
Net deferred income tax assets		634,221		1,058,436
Deferred income tax liabilities
Oil and gas properties		566,747		1,412,781
Trust distributions		54,980		94,120
Discount on convertible senior notes		12,494		27,224
Total deferred income tax liabilities		634,221		1,534,125
Total net deferred income tax liabilities	$	-	$	475,689

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EARNINGS PER SHARE (Tables)

12 Months Ended

Dec. 31, 2017

EARNINGS PER SHARE [Abstract]

Reconciliations between basic and diluted earnings per share

	Year Ended December 31,
	2017		2016		2015
Basic Loss Per Share (1)
Net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)
Diluted Loss Per Share (1)
Adjusted net loss attributable to common shareholders	$	(1,237,648)	$	(1,339,102)	$	(2,219,182)
Weighted average shares outstanding		90,683		62,967		48,868
Loss per common share	$	(13.65)	$	(21.27)	$	(45.41)

_____________________

(1) All share and per share numbers have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company’s one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

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COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Dec. 31, 2017

COMMITMENTS AND CONTINGENCIES [Abstract]

Minimum future payments under non-cancelable operating leases and unconditional purchase obligations

	Payments due by period
	2018		2019		2020		2021		2022		Thereafter		Total
Non-cancelable leases	$	7,502	$	6,399	$	802	$	-	$	-	$	-	$	14,703
Drilling rig contracts		19,442		300		-		-		-		-		19,742
Pipeline transportation agreements		5,369		5,369		5,369		5,369		5,369		11,481		38,326
Total	$	32,313	$	12,068	$	6,171	$	5,369	$	5,369	$	11,481	$	72,771

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CAPITALIZED EXPLORATORY WELL COSTS (Tables)

12 Months Ended

Dec. 31, 2017

CAPITALIZED EXPLORATORY WELL COSTS [Abstract]

Net changes in capitalized exploratory well costs

	Year Ended December 31,
	2017		2016		2015
Beginning balance at January 1	$	-	$	-	$	14,293
Additions to capitalized exploratory well costs pending the determination of proved reserves		13,894		-		54,707
Reclassifications to wells, facilities and equipment based on the determination of proved reserves		-		-		(63,352)
Capitalized exploratory well costs charged to expense		-		-		(5,648)
Ending balance at December 31	$	13,894	$	-	$	-

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative I) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Summary Of Significant Accounting Policies [Line Items]
Oil and gas receivables collection period	2 months
Allowance for doubtful account	$ 17,000	$ 10,000
Materials and supplies inventories	24,000	33,000
Oil in tanks	7,000	8,000
Impairment of Proved Properties	835,000		$ 1,600,000
Impairment of Unproved Properties	59,000	73,000	135,000
Interest cost capitalized	$ 100	$ 100	4,000
Goodwill			$ 0
Whiting USA Trust I [Member]
Summary Of Significant Accounting Policies [Line Items]
Company retained ownership (as a percent)	15.80%
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life	P4Y
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life	P30Y

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative II) (Details) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) segment item $ / shares	Dec. 31, 2016 USD ($) shares	Dec. 31, 2015 USD ($)	Jan. 01, 2017 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Employer's contribution in employees retirement plan	$ 8,000	$ 8,000	$ 12,000
Employees vest in employer contribution Percentage, per year of completed service		20.00%
Number of operating segments | segment	1
Contractual obligation	$ 72,771
Accounting Standards Update 2016-09 [Member]
Summary Of Significant Accounting Policies [Line Items]
New accounting pronouncement, cumulative effect of change on equity				$ 0
New accounting pronouncement, impact on diluted earnings per share | $ / shares	$ 0.00
Whiting USA Trust II Units [Member]
Summary Of Significant Accounting Policies [Line Items]
Trust units sold to the public (in shares) | shares		18,400,000
Commodity Price Risk [Member] | Derivative Contracts [Member]
Summary Of Significant Accounting Policies [Line Items]
Number of counterparties | item	9
JP Morgan Chase [Member] | Commodity Price Risk [Member] | Derivative Contracts [Member]
Summary Of Significant Accounting Policies [Line Items]
Outstanding derivative contracts as percentage of crude oil volumes hedged	24.00%
Wells Fargo Bank [Member] | Commodity Price Risk [Member] | Derivative Contracts [Member]
Summary Of Significant Accounting Policies [Line Items]
Outstanding derivative contracts as percentage of crude oil volumes hedged	17.00%
Capital One, N. A. [Member] | Commodity Price Risk [Member] | Derivative Contracts [Member]
Summary Of Significant Accounting Policies [Line Items]
Outstanding derivative contracts as percentage of crude oil volumes hedged	14.00%
KeyBank, N.A. [Member] | Commodity Price Risk [Member] | Derivative Contracts [Member]
Summary Of Significant Accounting Policies [Line Items]
Outstanding derivative contracts as percentage of crude oil volumes hedged	10.00%

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Reconciliation Of Cash, Cash Equivalents And Restricted Cash) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Cash and cash equivalents	$ 879,379	$ 55,975
Restricted cash		17,250
Total cash, cash equivalents and restricted cash	$ 879,379	$ 73,225	$ 16,053	$ 78,100

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Percentages of total oil and gas sales to significant purchases) (Details) - Credit Concentration Risk [Member] - Oil And Gas Sales [Member]	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Tesoro Crude Oil Co [Member]
Concentration Risk [Line Items]
Sales as percentage of oil and gas revenue	18.00%	15.00%
Jamex Marketing LLC [Member]
Concentration Risk [Line Items]
Sales as percentage of oil and gas revenue		12.00%

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OIL AND GAS PROPERTIES (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
OIL AND GAS PROPERTIES [Abstract]
Proved leasehold costs	$ 2,622,576	$ 3,330,928
Unproved leasehold costs	137,694	392,484
Costs of completed wells and facilities	8,288,591	9,016,472
Wells and facilities in progress	244,789	490,967
Total oil and gas properties, successful efforts method	11,293,650	13,230,851
Accumulated depletion	(4,185,301)	(4,170,237)
Oil and gas properties, net	$ 7,108,349	$ 9,060,614

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ACQUISITIONS AND DIVESTITURES (Narrative) (Details)						1 Months Ended		12 Months Ended
	Sep. 01, 2017 USD ($)	Jul. 19, 2017 USD ($)	Jan. 01, 2017 USD ($)	Jun. 01, 2015 USD ($) state item	May 01, 2015 USD ($) state item	Jul. 31, 2016 USD ($) $ / bbl	Dec. 31, 2015 USD ($)	Dec. 31, 2015 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from sale	$ 500,000,000		$ 375,000,000	$ 150,000,000	$ 108,000,000	$ 300,000,000	$ 75,000,000
Gain (loss) on sale	$ (402,000,000)	$ 3,000,000		$ (118,000,000)	$ 29,000,000	(187,000,000)
Number of well sold | item				2,000
Number of fields, in which sold wells are located | item				132	187
Number of states, in which sold wells are located | state				10	14
Additional proceeds from disposal for specified period for each $0.01 average NYMEX futures is above threshold price per Bbl						$ 100,000
Average price per Bbl threshold for additional proceeds from sale | $ / bbl						50.00
Maximum possible additional proceeds from divestiture of business						$ 100,000,000
Amount received from settled contingent payment		$ 35,000,000
Robinson Lake Gas Processing Plant [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Sale of interest in gas processing plant			50.00%
Belfield Gas Processing Plant [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Sale of interest in gas processing plant			50.00%
Non-Core Producing Oil And Gas Wells And Undeveloped Acreage [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from sale								$ 176,000,000
Gain (loss) on sale								$ 28,000,000

XML

ACQUISITIONS AND DIVESTITURES (Components of Assets and Liabilities Classified As Held For Sale) (Details) $ in Thousands	Dec. 31, 2016 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Total assets held for sale	$ 349,146
Total liabilities related to assets held for sale	538
Disposal Group, Held-for-sale, Not Discontinued Operations [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Oil and gas properties, net	347,817
Other property and equipment, net	475
Total property and equipment, net	348,292
Other long-term assets	854
Total assets held for sale	349,146
Asset retirement obligations	131
Other long-term liabilities	407
Total liabilities related to assets held for sale	$ 538

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LONG-TERM DEBT (Credit agreement) (Details) - Whiting Oil and Gas Corporation [Member] - Credit Agreement [Member] $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)	Oct. 01, 2017 USD ($)	Dec. 31, 2016
Debt Instrument [Line Items]
Maximum borrowing capacity of credit facility	$ 2,300,000	$ 2,500,000
Maximum aggregate commitments	2,300,000	$ 2,500,000
Borrowing capacity of credit facility, net of letter of credit	2,300,000
Outstanding borrowings under credit facility	0
Letters of credit borrowings outstanding	2,000
Portion of line of credit available for issuance of letters of credit	50,000
Amount of revolving credit agreement available for additional letters of credit under the agreement	48,000
Weighted average interest rate			4.00%
Permitted issuance of second lien indebtedness maximum amount	1,000,000
Retained earnings free from restrictions	$ 0
Minimum consolidated current assets to consolidated current liabilities ratio	1.0
Total senior secured debt to EBITDAX ratio	3.0
EBITDAX to consolidated interest charges	2.25
Base Rate [Member]
Debt Instrument [Line Items]
Variable interest rate basis	federal funds
Basis points added to reference rate (as a percent)	0.50%
LIBOR [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Basis points added to reference rate (as a percent)	1.00%
April 1, 2018 Or Commencement Of An Investment-Grade Debt Rating Period [Member]
Debt Instrument [Line Items]
Total debt to EBITDAX ratio	4.0

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LONG-TERM DEBT (Senior notes and senior subordinated notes) (Details) - USD ($) shares in Millions									2 Months Ended	3 Months Ended	12 Months Ended
	Jan. 26, 2018	Feb. 02, 2017	Jul. 01, 2016	Mar. 23, 2016	Dec. 24, 2015	May 01, 2015	Mar. 06, 2015	Jan. 07, 2015	Jul. 31, 2016	Jun. 30, 2016	Dec. 31, 2017		Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2017	Mar. 31, 2015	Dec. 08, 2014	Sep. 30, 2013	Sep. 26, 2013	Sep. 30, 2010
Debt Instrument [Line Items]
Cash charge related to the redemption premium													$ 41,919,000
Aggregate principal amount exchanged				$ 477,000,000
Non cash charges									$ 113,000,000
Total principal											$ 3,805,389,000		3,630,510,000
Repayment of subordinated notes											275,121,000
Gain (loss) on extinguishment of debt									$ 57,000,000		$ (1,540,000)		$ (42,236,000)	$ (18,361,000)
6.5% Senior Subordinated Notes due 2018 [Member] | Senior Subordinated Notes [Member]
Debt Instrument [Line Items]
Notes Issued																				$ 350,000,000
Interest rate on debt instrument (as a percent)											6.50%		6.50%							6.50%
Aggregate principal amount exchanged			$ 26,000,000	49,000,000
Total principal		$ 275,000,000											$ 275,121,000		$ 0
Repayment of subordinated notes		$ 281,000,000
Percentage of redemption price		100.00%
Gain (loss) on extinguishment of debt		$ (2,000,000)
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																		$ 1,100,000,000
Interest rate on debt instrument (as a percent)											5.00%	[1]	5.00%					5.00%
Aggregate principal amount exchanged			42,000,000	97,000,000
Total principal											$ 961,409,000	[1]	$ 961,409,000
Notes repurchased, principal amount	$ 961,000,000
5.75% Senior Notes due 2021 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																		$ 800,000,000	$ 400,000,000
Interest rate on debt instrument (as a percent)											5.75%		5.75%					5.75%	5.75%
Premium as a percentage of par																			101.00%
Debt, effective interest rate											5.50%
Aggregate principal amount exchanged			174,000,000	152,000,000
Total principal											$ 873,609,000		$ 873,609,000
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																$ 750,000,000
Interest rate on debt instrument (as a percent)											6.25%		6.25%	6.25%		6.25%
Aggregate principal amount exchanged			163,000,000	179,000,000
Total principal											$ 408,296,000		$ 408,296,000
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued											$ 1,000,000,000
Interest rate on debt instrument (as a percent)											6.625%
Total principal											$ 1,000,000,000
8.125% Senior Notes due 2019 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																	$ 800,000,000
Interest rate on debt instrument (as a percent)														8.125%			8.125%
Repurchase of notes														$ 832,429,000
Notes repurchased, principal amount					$ 798,000,000		$ 2,000,000
5.5% Senior Notes due 2021 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																	$ 350,000,000
Interest rate on debt instrument (as a percent)														5.50%			5.50%
Repurchase of notes														$ 353,500,000
Notes repurchased, principal amount						$ 4,000,000	346,000,000
5.5% Senior Notes due 2022 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Notes Issued																	$ 400,000,000
Interest rate on debt instrument (as a percent)														5.50%			5.50%
Repurchase of notes														$ 404,000,000
Notes repurchased, principal amount						1,000,000	399,000,000
New Convertible Notes [Member]
Debt Instrument [Line Items]
Notes Issued				477,000,000
Non cash charges				4,000,000
Fair value difference from principal amount				95,000,000
Unamortized debt discount				185,000,000
Fair value of embedded derivatives for conversion options				90,000,000
Aggregate principal amount converted into shares										$ 477,000,000
Number of shares upon settlement of conversion										10.5
Total principal										$ 0
Cash paid for early conversion of notes, including accrued and unpaid interest										46,000,000
Gain (loss) on extinguishment of debt				$ 91,000,000						$ (188,000,000)
Senior Subordinated Notes And Senior Notes [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged			$ 405,000,000
Repurchased Kodiak Notes [Member]
Debt Instrument [Line Items]
Total principal														0
Repurchased Kodiak Notes [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Cash charge related to the redemption premium														40,000,000
Non cash charges														22,000,000
Repurchase of notes					$ 834,000,000	$ 5,000,000	$ 760,000,000
Notes repurchased, principal amount								$ 1,550,000,000
Percentage of redemption price					104.063%	101.00%	101.00%	101.00%
Gain (loss) on extinguishment of debt														$ (18,000,000)
Subsequent Event [Member] | 5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Repurchase of notes	$ 1,000,000,000
Percentage of redemption price	102.976%

[1] On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

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LONG-TERM DEBT (2020 Convertible senior notes) (Details)				1 Months Ended	12 Months Ended
	Jul. 01, 2016 USD ($)	Jun. 29, 2016 USD ($)	Mar. 23, 2016 USD ($)	Mar. 31, 2015 USD ($)	Dec. 31, 2017 USD ($) item $ / shares $ / item	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Debt Instrument [Line Items]
Debt finance cost					$ 31,015,000	$ 23,867,000
Aggregate principal amount exchanged			$ 477,000,000
Interest expense					191,088,000	557,620,000	$ 334,125,000
Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Principal				$ 1,250,000,000	$ 562,075,000	$ 562,075,000
Interest rate on debt instrument (as a percent)				1.25%	1.25%	1.25%	1.25%
Net proceeds				$ 1,200,000,000
Debt finance cost				25,000,000	$ 4,178,000	$ 5,988,000
Aggregate principal amount exchanged	$ 559,000,000	$ 129,000,000
Principal amount per conversion ratio | $ / item					1,000
Conversion ratio					6.4102
Conversion price per $1,000 principal amount of notes | $ / shares					$ 156.00
Debt, effective interest rate					5.60%
Estimated fair value of Notes				1,000,000,000
Debt discount				$ 238,000,000	$ 51,666,000	72,622,000
Interest expense					$ 28,000,000	$ 43,000,000	$ 44,000,000
Convertible Senior Notes, Conversion Scenario 1 [Member] | Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Minimum days within 30 consecutive days of trading, where percent of conversion price exceed agreed upon percentage | item					20
Debt Instrument, Convertible, Threshold Consecutive Trading Days					30 days
Minimum conversion price percentage used to determine settlement of conversion					130.00%
Convertible Senior Notes, Conversion Scenario 2 [Member] | Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Period after measurement period used for convertible senior notes					5 days
Principal amount per conversion ratio | $ / item					1,000
Threshold percentage of product of stock price and conversion rate					98.00%
Debt Instruments Convertible Threshold Consecutive Trading Days					5 days

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LONG-TERM DEBT (Mandatory convertible notes, security and guarantees) (Details) - USD ($) shares in Millions					1 Months Ended	2 Months Ended	6 Months Ended	12 Months Ended
	Feb. 02, 2017	Jul. 01, 2016	Jun. 29, 2016	Mar. 23, 2016	Jul. 31, 2016	Jul. 31, 2016	Dec. 31, 2016	Dec. 31, 2017		Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2017	Mar. 31, 2015	Sep. 30, 2013	Sep. 26, 2013	Sep. 30, 2010
Debt Instrument [Line Items]
Aggregate principal amount exchanged				$ 477,000,000
Carrying value of debt instrument							$ 3,630,510,000	$ 3,805,389,000		$ 3,630,510,000
Percentage of owned subsidiaries										100.00%
Gain (loss) on extinguishment of debt						$ 57,000,000		(1,540,000)		$ (42,236,000)	$ (18,361,000)
Non cash charges						113,000,000
Adjustment to equity component of 2020 Convertible Senior Notes upon extinguishment, net										(63,330,000)
Senior Notes, 1.25% Convertible Senior Notes due 2020, and Senior Subordinated Notes [Member
Debt Instrument [Line Items]
Aggregate principal amount exchanged		$ 964,000,000
Mandatory Convertible Notes [Member]
Debt Instrument [Line Items]
Aggregate principal amount converted into shares							$ 1,093,000,000
Number of shares upon settlement of conversion							28.9
Carrying value of debt instrument							$ 0			0
Gain (loss) on extinguishment of debt							(1,000,000)
Non cash charges							259,000,000
Recognition of beneficial conversion features on convertible notes					$ 233,000,000					232,801,000
Fair value difference from principal amount					69,000,000	69,000,000
Debt discount					$ 302,000,000	$ 302,000,000
Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged		559,000,000	$ 129,000,000
Principal							562,075,000	562,075,000		562,075,000			$ 1,250,000,000
Carrying value of debt instrument							562,075,000	562,075,000		562,075,000
Adjustment to equity component of 2020 Convertible Senior Notes upon extinguishment, net		(63,000,000)
Debt discount							72,622,000	51,666,000		72,622,000			238,000,000
Convertible Senior Notes [Member] | 1.25% Mandatory Convertible Senior Notes due 2020, Series 2 [Member]
Debt Instrument [Line Items]
Principal			$ 129,000,000
Senior Subordinated Notes [Member] | 6.5% Senior Subordinated Notes due 2018 [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged		26,000,000		49,000,000
Principal																$ 350,000,000
Carrying value of debt instrument	$ 275,000,000						275,121,000			275,121,000		$ 0
Gain (loss) on extinguishment of debt	$ (2,000,000)
Senior Notes [Member] | 5.0% Senior Notes due 2019 [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged		42,000,000		97,000,000
Principal														$ 1,100,000,000
Carrying value of debt instrument							961,409,000	961,409,000	[1]	961,409,000
Senior Notes [Member] | 5.75% Senior Notes due 2021 [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged		174,000,000		152,000,000
Principal														$ 800,000,000	$ 400,000,000
Carrying value of debt instrument							873,609,000	873,609,000		873,609,000
Senior Notes [Member] | 6.25% Senior Notes due 2023 [Member]
Debt Instrument [Line Items]
Aggregate principal amount exchanged		$ 163,000,000		$ 179,000,000
Principal													$ 750,000,000
Carrying value of debt instrument							$ 408,296,000	$ 408,296,000		$ 408,296,000

[1] On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

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LONG-TERM DEBT (Schedule of long-term debt) (Details) - USD ($) $ in Thousands	Dec. 31, 2017		Mar. 31, 2017	Feb. 02, 2017	Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2015	Sep. 30, 2013	Sep. 26, 2013	Sep. 30, 2010
Debt Instrument [Line Items]
Total principal	$ 3,805,389				$ 3,630,510
Unamortized debt discounts and premiums	(50,945)				(71,340)
Unamortized debt issuance costs on notes	(31,015)				(23,867)
Total debt	3,723,429				3,535,303
Less current portion of long-term debt	(958,713)
Total long-term debt	$ 2,764,716				3,535,303
Credit Agreement [Member]
Debt Instrument [Line Items]
Total principal					550,000
Senior Subordinated Notes [Member] | 6.5% Senior Subordinated Notes due 2018 [Member]
Debt Instrument [Line Items]
Total principal			$ 0	$ 275,000	$ 275,121
Interest rate on debt instrument (as a percent)	6.50%				6.50%					6.50%
Senior Notes [Member] | 5.0% Senior Notes due 2019 [Member]
Debt Instrument [Line Items]
Total principal	$ 961,409	[1]			$ 961,409
Interest rate on debt instrument (as a percent)	5.00%	[1]			5.00%			5.00%
Senior Notes [Member] | 5.75% Senior Notes due 2021 [Member]
Debt Instrument [Line Items]
Total principal	$ 873,609				$ 873,609
Interest rate on debt instrument (as a percent)	5.75%				5.75%			5.75%	5.75%
Senior Notes [Member] | 6.25% Senior Notes due 2023 [Member]
Debt Instrument [Line Items]
Total principal	$ 408,296				$ 408,296
Interest rate on debt instrument (as a percent)	6.25%				6.25%	6.25%	6.25%
Senior Notes [Member] | 6.625% Senior Notes due 2026 [Member]
Debt Instrument [Line Items]
Total principal	$ 1,000,000
Interest rate on debt instrument (as a percent)	6.625%
Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Total principal	$ 562,075				$ 562,075
Unamortized debt issuance costs on notes	$ (4,178)				$ (5,988)		$ (25,000)
Interest rate on debt instrument (as a percent)	1.25%				1.25%	1.25%	1.25%

[1] On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

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LONG-TERM DEBT (Schedule of five succeeding fiscal years of scheduled maturities for the Company's long-term debt) (Details) $ in Thousands	Dec. 31, 2017 USD ($)
LONG-TERM DEBT [Abstract]
2018	$ 961,409
2020	562,075
2021	$ 873,609

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LONG-TERM DEBT (Summary of margin rates and commitment fees) (Details) - Credit Agreement [Member] - Whiting Oil and Gas Corporation [Member]	12 Months Ended
	Dec. 31, 2017
Base Rate [Member]
Debt Instrument [Line Items]
Variable interest rate basis	federal funds
Applicable Margin for Loans (as percent)	0.50%
Less than 0.25 to 1.0 [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Alternate variable interest rate basis	base loan rate
Range, less than	0.25
Commitment Fee (as a percent)	0.50%
Less than 0.25 to 1.0 [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	1.00%
Less than 0.25 to 1.0 [Member] | Eurodollar [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	2.00%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0 [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Alternate variable interest rate basis	base loan rate
Range, greater than or equal to	0.25
Range, less than	0.50
Commitment Fee (as a percent)	0.50%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0 [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	1.25%
Greater than or equal to 0.25 to 1.0 but less than 0.50 to 1.0 [Member] | Eurodollar [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	2.25%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0 [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Alternate variable interest rate basis	base loan rate
Range, greater than or equal to	0.50
Range, less than	0.75
Commitment Fee (as a percent)	0.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0 [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	1.50%
Greater than or equal to 0.50 to 1.0 but less than 0.75 to 1.0 [Member] | Eurodollar [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	2.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0 [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Alternate variable interest rate basis	base loan rate
Range, greater than or equal to	0.75
Range, less than	0.90
Commitment Fee (as a percent)	0.50%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0 [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	1.75%
Greater than or equal to 0.75 to 1.0 but less than 0.90 to 1.0 [Member] | Eurodollar [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	2.75%
Greater than or equal to 0.90 to 1.0 [Member]
Debt Instrument [Line Items]
Variable interest rate basis	LIBOR
Alternate variable interest rate basis	base loan rate
Range, greater than or equal to	0.90
Commitment Fee (as a percent)	0.50%
Greater than or equal to 0.90 to 1.0 [Member] | Base Rate [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	2.00%
Greater than or equal to 0.90 to 1.0 [Member] | Eurodollar [Member]
Debt Instrument [Line Items]
Applicable Margin for Loans (as percent)	3.00%

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LONG-TERM DEBT (Summary of senior notes and convertible senior notes) (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017		Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2015	Sep. 30, 2013	Sep. 26, 2013
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 3,805,389		$ 3,630,510
Percentage of principal amount redeemable		100.00%
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 961,409	[1]	$ 961,409
Interest rate on debt instrument (as a percent)		5.00%	[1]	5.00%			5.00%
Debt maturity date	[1]	Mar. 15, 2019
Interest payment dates	[1]	Mar 15, Sep 15
Make-whole redemption date	[1],[2]	Dec. 15, 2018
1.25% Convertible Senior Notes due 2020 [Member] | Convertible Senior Notes [Member]
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 562,075		$ 562,075
Interest rate on debt instrument (as a percent)		1.25%		1.25%	1.25%	1.25%
Debt maturity date		Apr. 01, 2020
Interest payment dates		Apr 1, Oct 1
5.75% Senior Notes due 2021 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 873,609		$ 873,609
Interest rate on debt instrument (as a percent)		5.75%		5.75%			5.75%	5.75%
Debt maturity date		Mar. 15, 2021
Interest payment dates		Mar 15, Sep 15
Make-whole redemption date	[2]	Dec. 15, 2020
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 408,296		$ 408,296
Interest rate on debt instrument (as a percent)		6.25%		6.25%	6.25%	6.25%
Debt maturity date		Apr. 01, 2023
Interest payment dates		Apr 1, Oct 1
Make-whole redemption date	[2]	Jan. 01, 2023
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Carrying value of debt instrument		$ 1,000,000
Interest rate on debt instrument (as a percent)		6.625%
Debt maturity date		Jan. 15, 2026
Interest payment dates		Jan 15, Jul 15
Make-whole redemption date	[2]	Oct. 15, 2025

[1] On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

[2] On or after these dates, the Company may redeem the applicable series of notes, in whole or in part, at a redemption price equal to 100% of the principal amount redeemed, together with accrued and unpaid interest up to the redemption date. At any time prior to these dates, the Company may redeem the notes at a redemption price that includes an applicable premium as defined in the indentures to such notes.

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LONG-TERM DEBT (Schedule of convertible senior notes) (Details) - USD ($)		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Mar. 31, 2015
Debt Instrument [Line Items]
Less: unamortized debt issuance costs		$ (31,015,000)	$ (23,867,000)
Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member]
Debt Instrument [Line Items]
Principal		562,075,000	562,075,000	$ 1,250,000,000
Less: unamortized note discount		(51,666,000)	(72,622,000)	(238,000,000)
Less: unamortized debt issuance costs		(4,178,000)	(5,988,000)	$ (25,000,000)
Net carrying value		506,231,000	483,465,000
Equity component	[1]	136,522,000	136,522,000
Convertible Senior Notes [Member] | 1.25% Convertible Senior Notes due 2020 [Member] | Equity Component Of Convertible Senior Note [Member]
Debt Instrument [Line Items]
Less: unamortized debt issuance costs		(5,000,000)	(5,000,000)
Equity component of convertible debt, deferred taxes		$ 50,000,000	$ 50,000,000

[1] Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes as of December 31, 2017 and 2016.

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ASSET RETIREMENT OBLIGATIONS (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016
Asset Retirement Obligations
Asset retirement obligations, current portion		$ 5,000	$ 8,000
Reconciliation of the Company's asset retirement obligations
Balance at the beginning of the period		177,004	161,908
Additional liability incurred		7,727	3,238
Revisions to estimated cash flows	[1],[2]	(52,947)	11,620
Accretion expense		13,809	13,800
Obligations on sold properties		(6,988)	(4,771)
Liabilities settled		(4,368)	(8,791)
Balance at the end of the period		$ 134,237	$ 177,004

[1] Revisions to estimated cash flows during the year ended December 31, 2016 are primarily attributable to the acceleration in the estimated timing of abandonment of a large number of Whiting's producing properties resulting from decreases in commodity prices used in the calculation of the Company's reserves as of December 31, 2016, which shortened the economic lives of these properties. For the year ended December 31, 2016, the increase was partially offset by decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Central and Northern Rocky Mountains.

[2] Revisions to estimated cash flows during the year ended December 31, 2017 are primarily attributable to the deferral of the estimated timing of abandonment of a large number of Whiting's producing properties resulting from increases in commodity prices used in the calculation of the Company's reserves as of December 31, 2017, which lengthened the economic lives of these properties. In addition, during 2017 there were decreases in the estimates of future costs required to plug and abandon wells in certain fields in the Northern Rocky Mountains.

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DERIVATIVE FINANCIAL INSTRUMENTS (Narrative) (Details)				1 Months Ended
		Feb. 01, 2018 USD ($)	Jul. 19, 2017 USD ($)	Jul. 31, 2016 USD ($) $ / bbl	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Derivative Financial Instruments [Line Items]
Additional proceeds from disposal for specified period for each $0.01 average NYMEX futures is above threshold price per Bbl				$ 100,000
Average price per Bbl threshold for additional proceeds from sale | $ / bbl				50.00
Maximum possible additional proceeds from divestiture of business				$ 100,000,000
Amount received from settled contingent payment			$ 35,000,000
Level 3 [Member]
Derivative Financial Instruments [Line Items]
Fair value liabilities					$ (63,278,000)	$ (9,214,000)	$ (4,027,000)
Embedded derivatives [Member]
Derivative Financial Instruments [Line Items]
Derivative Asset					0
Recurring Basis [Member]
Derivative Financial Instruments [Line Items]
Derivative Asset						50,632,000
Recurring Basis [Member] | Embedded derivatives [Member] | Level 3 [Member]
Derivative Financial Instruments [Line Items]
Embedded Derivative, Fair Value of Embedded Derivative Liability					$ 0	0
Not Designated as ASC 815 Hedges [Member]
Derivative Financial Instruments [Line Items]
Derivative Asset	[1]					50,632,000
Not Designated as ASC 815 Hedges [Member] | Other Long Term Assets [Member] | Embedded derivatives [Member]
Derivative Financial Instruments [Line Items]
Derivative Asset	[1]					$ 50,632,000
Subsequent Event [Member] | Level 3 [Member]
Derivative Financial Instruments [Line Items]
Fair value liabilities		$ 0
Subsequent Event [Member] | Crude Oil Sales And Delivery Contract [Member]
Derivative Financial Instruments [Line Items]
Payment to settle future minimum volume commitments		$ 61,000,000

[1] Because counterparties to the Company's financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas' credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

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DERIVATIVE FINANCIAL INSTRUMENTS (Derivative instruments) (Details) - Whiting Petroleum Corporation [Member] - Crude Oil [Member]		Jan. 23, 2018 bbl item	Dec. 31, 2017 item $ / bbl
Derivative Financial Instruments [Line Items]
Aggregate notional amount of price risk derivatives (in Bbl) | item			17,400,000
Three-way collars [Member] | Jan - Dec 2018 [Member]
Derivative Financial Instruments [Line Items]
Aggregate notional amount of price risk derivatives (in Bbl) | item	[1]		17,400,000
Derivative, Floor Price (in dollars per Bbl) | $ / bbl	[1]		37.07
Derivative, Strike Price (in dollars per Bbl) | $ / bbl	[1]		47.07
Derivative, Cap Price (in dollars per Bbl) | $ / bbl	[1]		57.30
Collars [Member] | Jan 2019 - Jun 2019 [Member] | Subsequent Event [Member]
Derivative Financial Instruments [Line Items]
Aggregate notional amount of price risk derivatives (in Bbl) | bbl		900,000
Swap [Member] | Jan - Dec 2018 [Member] | Subsequent Event [Member]
Derivative Financial Instruments [Line Items]
Aggregate notional amount of price risk derivatives (in Bbl) | item		4,400,000

[1] A three-way collar is a combination of options: a sold call, a purchased put and a sold put. The sold call establishes a maximum price (ceiling) Whiting will receive for the volumes under contract. The purchased put establishes a minimum price (floor), unless the market price falls below the sold put (sub-floor), at which point the minimum price would be NYMEX plus the difference between the purchased put and the sold put strike price.

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DERIVATIVE FINANCIAL INSTRUMENTS (Schedule of effects of commodity derivative instruments) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Derivative Financial Instruments [Line Items]
(Gain) Loss Recognized in Income	$ 122,847	$ (587)	$ (217,972)
Not Designated as ASC 815 Hedges [Member]
Derivative Financial Instruments [Line Items]
(Gain) Loss Recognized in Income	122,847	(587)	(217,972)
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member]
Derivative Financial Instruments [Line Items]
(Gain) Loss Recognized in Income	104,138	58,771	$ (217,972)
Embedded derivatives [Member] | Not Designated as ASC 815 Hedges [Member]
Derivative Financial Instruments [Line Items]
(Gain) Loss Recognized in Income	$ 18,709	$ (59,358)

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DERIVATIVE FINANCIAL INSTRUMENTS (Location and fair value of derivative instruments, assets) (Details) - USD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016
Not Designated as ASC 815 Hedges [Member]
Gross amounts of derivative assets and gross amounts offset [Line Items]
Gross Amounts of Recognized Assets	[1]	$ 9,829	$ 81,532
Gross Amounts Offset	[1]	(9,829)	(30,900)
Total financial assets	[1]		50,632
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | Prepaid Expenses and Other [Member]
Gross amounts of derivative assets and gross amounts offset [Line Items]
Gross Amounts of Recognized Assets	[1]	9,829	21,405
Gross Amounts Offset	[1]	(9,829)	(21,405)
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | Other Long Term Assets [Member]
Gross amounts of derivative assets and gross amounts offset [Line Items]
Gross Amounts of Recognized Assets	[1]		9,495
Gross Amounts Offset	[1]		(9,495)
Embedded derivatives [Member]
Gross amounts of derivative assets and gross amounts offset [Line Items]
Total financial assets		$ 0
Embedded derivatives [Member] | Not Designated as ASC 815 Hedges [Member] | Other Long Term Assets [Member]
Gross amounts of derivative assets and gross amounts offset [Line Items]
Gross Amounts of Recognized Assets	[1]		50,632
Total financial assets	[1]		$ 50,632

[1] Because counterparties to the Company's financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas' credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

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DERIVATIVE FINANCIAL INSTRUMENTS (Location and fair value of derivative instruments, liabilities) (Details) - Not Designated as ASC 815 Hedges [Member] - USD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016
Gross amounts of derivative liabilities and gross amounts offset [Line Items]
Gross Amounts of Recognized Liabilities	[1]	$ 142,354	$ 58,757
Gross Amounts Offset	[1]	(9,829)	(30,900)
Total financial liabilities	[1]	132,525	27,857
Commodity contracts [Member] | Derivative Liabilities [Member]
Gross amounts of derivative liabilities and gross amounts offset [Line Items]
Gross Amounts of Recognized Liabilities	[1]	142,354	39,033
Gross Amounts Offset	[1]	(9,829)	(21,405)
Total financial liabilities	[1]	$ 132,525	17,628
Commodity contracts [Member] | Other Long-Term Liabilities [Member]
Gross amounts of derivative liabilities and gross amounts offset [Line Items]
Gross Amounts of Recognized Liabilities	[1]		19,724
Gross Amounts Offset	[1]		(9,495)
Total financial liabilities	[1]		$ 10,229

[1] Because counterparties to the Company's financial derivative contracts subject to master netting arrangements are lenders under Whiting Oil and Gas' credit agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables.

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FAIR VALUE MEASUREMENTS (Narrative) (Details) - USD ($) $ in Millions			12 Months Ended
	Feb. 01, 2018	Jul. 19, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Non-recurring assets at fair value, Impairment Loss (Before Tax)			$ 835		$ 1,600
Amount received from settled contingent payment		$ 35
Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Non-recurring assets at fair value, Impairment Loss (Before Tax)				$ 0
Crude Oil Sales And Delivery Contract [Member] | Subsequent Event [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Payment to settle future minimum volume commitments	$ 61

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FAIR VALUE MEASUREMENTS (Summary of the fair values and carrying value of debt instruments) (Details) - USD ($) $ in Thousands		Dec. 31, 2017		Dec. 31, 2016	Dec. 31, 2015	Mar. 31, 2015	Sep. 30, 2013	Sep. 26, 2013	Sep. 30, 2010
Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 3,843,689		$ 3,016,032
Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 3,723,429		$ 2,985,303
6.5% Senior Subordinated Notes due 2018 [Member] | Senior Subordinated Notes [Member]
Debt Instrument [Line Items]
Interest Rate (as a percent)		6.50%		6.50%					6.50%
6.5% Senior Subordinated Notes due 2018 [Member] | Senior Subordinated Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]			$ 275,121
6.5% Senior Subordinated Notes due 2018 [Member] | Senior Subordinated Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]			$ 273,506
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Interest Rate (as a percent)		5.00%	[3]	5.00%			5.00%
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 985,444		$ 961,409
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 958,713		$ 956,607
1.25% Convertible Senior Notes due 2020 [Member] | Convertible Senior Notes [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure						$ 1,000,000
Interest Rate (as a percent)		1.25%		1.25%	1.25%	1.25%
1.25% Convertible Senior Notes due 2020 [Member] | Convertible Senior Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 517,109		$ 503,057
1.25% Convertible Senior Notes due 2020 [Member] | Convertible Senior Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 506,231		$ 483,465
5.75% Senior Notes due 2021 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Interest Rate (as a percent)		5.75%		5.75%			5.75%	5.75%
5.75% Senior Notes due 2021 [Member] | Senior Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 897,633		$ 868,149
5.75% Senior Notes due 2021 [Member] | Senior Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 869,284		$ 868,460
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Interest Rate (as a percent)		6.25%		6.25%	6.25%	6.25%
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 418,503		$ 408,296
6.25% Senior Notes due 2023 [Member] | Senior Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 403,940		$ 403,265
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Interest Rate (as a percent)		6.625%
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member] | Fair Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[1]	$ 1,025,000
6.625% Senior Notes due 2026 [Member] | Senior Notes [Member] | Carrying Value [Member]
Debt Instrument [Line Items]
Debt Instrument, Fair Value Disclosure	[2]	$ 985,261

[1] Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy.

[2] Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums.

[3] On January 26, 2018, the Company used the proceeds from the December 2017 issuance of its 6.625% Senior Notes due January 2026 as well as borrowings under its credit agreement to redeem all of the outstanding 5.0% Senior Notes due March 2019.

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FAIR VALUE MEASUREMENTS (Fair value assets and liabilities measured on a recurring basis) (Details) - Recurring Basis [Member] - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Financial Assets
Total financial assets		$ 50,632
Financial Liabilities
Total financial liabilities	$ 132,525	27,857
Commodity contracts [Member]
Financial Liabilities
Financial liabilities - current	132,525	17,628
Financial liabilities - non-current		10,229
Embedded derivatives [Member]
Financial Assets
Financial assets - non-current		50,632
Level 2 [Member]
Financial Assets
Total financial assets		50,632
Financial Liabilities
Total financial liabilities	69,247	18,643
Level 2 [Member] | Commodity contracts [Member]
Financial Liabilities
Financial liabilities - current	69,247	14,664
Financial liabilities - non-current		3,979
Level 2 [Member] | Embedded derivatives [Member]
Financial Assets
Financial assets - non-current		50,632
Level 3 [Member]
Financial Liabilities
Total financial liabilities	63,278	9,214
Level 3 [Member] | Commodity contracts [Member]
Financial Liabilities
Financial liabilities - current	$ 63,278	2,964
Financial liabilities - non-current		$ 6,250

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FAIR VALUE MEASUREMENTS (Reconciliation of changes in the fair value of financial assets (liabilities) designated as Level 3 in the valuation hierarchy)(Details) - Level 3 [Member] - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016
Reconciliation of changes in the fair value of financial assets (liabilities) designated as Level 3 in the valuation hierarchy
Fair value liability, beginning of period		$ (9,214)	$ (4,027)
Recognition of embedded derivatives associated with convertible note issuances			(89,884)
Fair value liability, end of period		(63,278)	(9,214)
Embedded derivatives [Member]
Reconciliation of changes in the fair value of financial assets (liabilities) designated as Level 3 in the valuation hierarchy
Unrealized gains (losses) on derivative contracts included in earnings	[1]		47,965
Settlement of embedded derivatives upon conversion of convertible notes			41,919
Commodity contracts [Member]
Reconciliation of changes in the fair value of financial assets (liabilities) designated as Level 3 in the valuation hierarchy
Unrealized gains (losses) on derivative contracts included in earnings	[1]	$ (54,064)	$ (5,187)

[1] Included in derivative (gain) loss, net in the consolidated statements of operations.

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FAIR VALUE MEASUREMENTS (Significant unobservable inputs used in the fair value measurement) (Details) - Commodity contracts [Member] - Level 3 [Member]	12 Months Ended
	Dec. 31, 2017 $ / bbl
Maximum [Member]
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Market Differential For Crude Oil, Amount (Per Bbl)	4.92
Minimum [Member]
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Market Differential For Crude Oil, Amount (Per Bbl)	4.08

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FAIR VALUE MEASUREMENTS (Non-financial assets and liabilities measured at fair value on a nonrecurring basis) (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Sep. 30, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Non-recurring assets at fair value, Impairment Loss (Before Tax)		$ 835,000		$ 1,600,000
Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Non-recurring assets at fair value, Impairment Loss (Before Tax)			$ 0
Nonrecurring [Member] | Proved Properties [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Proved property	[1]	389,390
Total non-recurring assets					$ 1,200,000
Non-recurring assets at fair value, Impairment Loss (Before Tax)	[1]	834,950
Nonrecurring [Member] | Proved Properties [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Proved property	[1]	$ 389,390

[1] During the fourth quarter of 2017, proved oil and gas properties at the Redtail field in the Denver Julesburg Basin (the "DJ Basin") in Weld County, Colorado, with a previous carrying amount of $1.2 billion were written down to their fair value as of December 31, 2017 of $389 million, resulting in a non-cash impairment charge of $835 million which was recorded within exploration and impairment expense.

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SHAREHOLDERS' EQUITY AND NONCONTROLLING INTEREST (Narrative) (Details) $ / shares in Units, $ in Millions			1 Months Ended		12 Months Ended
	Nov. 08, 2017	Apr. 01, 2015 USD ($) shares	Nov. 30, 2017	Mar. 31, 2015 USD ($) $ / shares shares	Dec. 31, 2017 shares	Dec. 31, 2015 shares	[1]	Dec. 31, 2016 shares
Class of Stock [Line Items]
Ratio	0.25		0.25
Common stock, shares authorized					225,000,000			600,000,000
Common Stock [Member]
Class of Stock [Line Items]
Issuance of common stock (in shares)		500,000		8,750,000		9,250,000
Shares issued, per share | $ / shares				$ 120.00
Issuance of common stock, net | $		$ 61		$ 1,000
Over-Allotment Option [Member] | Common Stock [Member]
Class of Stock [Line Items]
Period of option to purchase additional shares, days					30 days
Number of additional shares available for purchase					1,312,500

[1] All common share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

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SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTEREST (Schedule of noncontrolling interest) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Noncontrolling Interest disclosures [Line Items]
Balance at beginning of period	$ 7,962	$ 7,984
Net loss	(14)	(22)	$ (86)
Conveyance of ownership interest	(7,948)
Balance at end of period		$ 7,962	$ 7,984
Noncontrolling Interest [Member]
Noncontrolling Interest disclosures [Line Items]
Conveyance of ownership interest	$ (7,948)
Sustainable Water Resources, LLC [Member]
Noncontrolling Interest disclosures [Line Items]
Third party ownership interest (as a percent)		25.00%

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STOCK-BASED COMPENSATION (Narrative) (Details) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) item $ / shares shares	Dec. 31, 2016 USD ($) $ / shares shares	Dec. 31, 2015 USD ($) $ / shares shares
Share-based compensation disclosures [Line Items]
Stock compensation expense | $	$ 22	$ 26	$ 28
Granted (in dollars per share) | $ / shares	$ 44.89
Unrecognized compensation cost | $	$ 18
Weighted average period over which cost will be recognized	2 years
Total fair value of restricted stock vested | $	$ 15	$ 5	4
Stock Option [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	225,000
Maximum number of Shares per non-employee	25,000
Vesting (service) period	3 years
Exercise of stock options (in shares)
Unrecognized compensation cost | $	$ 0
Aggregate Intrinsic Value, options Exercised | $			$ 2
Stock Appreciation Rights (SARs) [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	225,000
Maximum number of Shares per non-employee	25,000
Restricted stock [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	150,000
Maximum number of Shares per non-employee	25,000
Restricted Stock Units [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	150,000
Maximum number of Shares per non-employee	25,000
Performance Shares [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	150,000
Performance Units [Member]
Share-based compensation disclosures [Line Items]
Maximum number of Shares per employee	150,000
2013 Equity Plan [Member]
Share-based compensation disclosures [Line Items]
Number of shares authorized upon shareholder's approval	1,375,000
Number of shares available for grant	1,137,723
Service-Based Restricted Stock [Member] | Restricted stock [Member]
Share-based compensation disclosures [Line Items]
Granted (in shares)	538,194	737,912	205,971
Granted (in dollars per share) | $ / shares	$ 40.66	$ 27.82	$ 123.72
Service-Based Restricted Stock [Member] | Restricted Stock Units [Member]
Share-based compensation disclosures [Line Items]
Granted (in shares)	39,619
Executive officers and employees [Member] | Restricted stock [Member]
Share-based compensation disclosures [Line Items]
Vesting (service) period	3 years
Executive officers and employees [Member] | Restricted Stock Units [Member]
Share-based compensation disclosures [Line Items]
Vesting (service) period	3 years
Minimum [Member] | Directors [Member] | Restricted stock [Member]
Share-based compensation disclosures [Line Items]
Vesting (service) period	1 year
Market-based vesting criteria [Member] | Executive officers [Member] | Restricted stock [Member]
Share-based compensation disclosures [Line Items]
Vesting (service) period	3 years
Market-based vesting criteria [Member] | Executive officers [Member] | Performance Shares [Member]
Share-based compensation disclosures [Line Items]
Vesting (service) period	3 years
Granted (in shares)	168,466	268,278	97,937
Granted (in dollars per share) | $ / shares	$ 63.04	$ 25.56	$ 133.00
Market-based vesting criteria [Member] | Minimum [Member] | Executive officers [Member] | Performance Shares [Member]
Share-based compensation disclosures [Line Items]
Possible multiplier of shares earned | item	0
Market-based vesting criteria [Member] | Maximum [Member] | Executive officers [Member] | Performance Shares [Member]
Share-based compensation disclosures [Line Items]
Possible multiplier of shares earned | item	2

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STOCK-BASED COMPENSATION (Assumption for valuing market based restricted shares) (Details) - Market-based vesting criteria [Member] - Executive officers [Member] - Performance Shares [Member] - item	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of simulations	2,500,000	2,500,000	2,500,000
Expected volatility (as a percent)	82.44%	60.80%	40.30%
Risk-free interest rate (as a percent)	1.52%	1.13%	0.99%
Dividend yield (as a percent)	0.00%	0.00%	0.00%

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STOCK-BASED COMPENSATION (Summary of nonvested restricted stock) (Details) - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balance at the beginning of the period (in dollars per share)	$ 54.19
Granted (in dollars per share)	44.89
Vested (in dollars per share)	51.23
Forfeited (in dollars per share)	81.97
Balance at the end of the period (in dollars per share)	$ 44.99	$ 54.19
Restricted stock [Member] | Service-Based Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balance at the beginning of the period (in shares)	766,818
Granted (in shares)	538,194	737,912	205,971
Vested (in shares)	(339,199)
Forfeited (in shares)	(67,392)
Balance at the end of the period (in shares)	898,421	766,818
Granted (in dollars per share)	$ 40.66	$ 27.82	$ 123.72
Restricted Stock Units [Member] | Service-Based Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	39,619
Balance at the end of the period (in shares)	39,619
Performance Shares [Member] | Market-Based Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balance at the beginning of the period (in shares)	523,172
Granted (in shares)	168,466
Forfeited (in shares)	(194,111)
Balance at the end of the period (in shares)	497,527	523,172

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STOCK-BASED COMPENSATION (Summary of stock options outstanding) (Details) - Stock Option [Member] - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balance at the beginning of the period (in shares)	128,524
Exercised (in shares)
Forfeited or expired (in shares)	(6,490)
Balance at the end of the period (in shares)	122,034
Options vested (in shares)	122,034
Options exercisable (in shares)	122,034
Balance at the beginning of the period (in dollars per share)	$ 158.17
Forfeitures or expired (in dollars per share)	207.86
Balance at the end of the period (in dollars per share)	154.32
Options vested (in dollars per share)	154.32
Options exercisable (in dollars per share)	$ 154.32
Aggregate Intrinsic Value, options Exercised		$ 2,000,000
Aggregate Intrinsic Value, options outstanding, end of period	$ 28,000
Options vested, Aggregate Intrinsic Value	28,000
Options exercisable, Aggregate Intrinsic Value	$ 28,000
Weighted Average Remaining Contractual Term, options outstanding	2 years 4 months 24 days
Weighted Average Remaining Contractual Term, options vested	2 years 4 months 24 days
Weighted Average Remaining Contractual Term, options exercisable	2 years 4 months 24 days

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INCOME TAXES (Narrative) (Details) - USD ($) $ in Thousands		3 Months Ended	12 Months Ended
	Jan. 01, 2018	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Operating Loss Carryforwards [Line Items]
U.S. statutory income tax rate (as a percent)			35.00%	35.00%	35.00%
Valuation allowance recognized		$ (41,000)		$ 259,000
EOR credit carryforwards			$ 7,946	7,946
Alternative minimum tax credit carryforwards				7,847
Tax credit, alternative minimum tax recognized			7,000
Valuation allowance			271,300	264,461
Tax Cut and Jobs Act of 2017, income tax expense, revaluation of deferred tax assets and liabilities			51,000
Tax Cut and Jobs Act of 2017, income tax benefit, reduction in existing valuation allowances			93,000
Tax Cut and Jobs Act of 2017, deferred tax, valuation allowance			$ 119,000
Tax Cut and Jobs Act of 2017, possible impact, deductibility of net interest expense in excess of percentage of adjusted taxable income Which			30.00%
Tax Cut and Jobs Act of 2017, possible impact, limitation on net operating loss, percentage of taxable income			80.00%
Uncertain tax positions			$ 0	0
Unrecognized tax benefit				170
Unrecognized tax benefits, penalties and interest expense			0	0	$ 0
Unrecognized tax benefits, penalties and interest accrued			0	0	$ 0
Subsequent Event [Member]
Operating Loss Carryforwards [Line Items]
U.S. statutory income tax rate (as a percent)	21.00%
IRC Section 382 Limitations [Member]
Operating Loss Carryforwards [Line Items]
Valuation allowance			138,000	251,000
EOR Credits [Member]
Operating Loss Carryforwards [Line Items]
Valuation allowance			8,000	8,000
Canadian NOL Carryforwards [Member]
Operating Loss Carryforwards [Line Items]
Valuation allowance			5,000	$ 5,000
Short-Term Capital Loss Carryforwards [Member]
Operating Loss Carryforwards [Line Items]
Valuation allowance			1,000
Federal [Member]
Operating Loss Carryforwards [Line Items]
Federal operating loss carryforwards			$ 2,900,000

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INCOME TAXES (Schedule of income expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
INCOME TAXES [Abstract]
Federal	$ (7,305)	$ (7,340)
State	14	150	$ (357)
Total current income tax benefit	(7,291)	(7,190)	(357)
Federal	(398,686)	(65,130)	(736,520)
State	(77,002)	(15,326)	(37,350)
Total deferred income tax benefit	(475,688)	(80,456)	(773,870)
Total income tax benefit	$ (482,979)	$ (87,646)	$ (774,227)

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INCOME TAXES (Reconciliation of statutory income tax expense to income expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Taxes [Line Items]
U.S. statutory income tax rate (as a percent)	35.00%	35.00%	35.00%
U.S. statutory income tax benefit	$ (602,219)	$ (499,370)	$ (1,047,723)
State income taxes, net of federal benefit	(39,557)	(33,050)	(44,654)
Valuation allowance	120,880
Impairment charge after enactment of federal tax reform	114,293
IRC Section 382 limitation	(45,899)	259,494
Non-deductible convertible debt expenses		174,071
Goodwill impairment			305,820
Market-based equity awards	7,003	8,352	2,690
Other	4,553	(2,163)	2,290
Total income tax benefit	(482,979)	(87,646)	(774,227)
Federal Tax Reform [Member]
Income Taxes [Line Items]
Enacted changes in tax laws	$ (42,033)
State Tax Laws [Member]
Income Taxes [Line Items]
Enacted changes in tax laws		$ 5,020	$ 7,350

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INCOME TAXES (Components of deferred income tax assets and liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
INCOME TAXES [Abstract]
Net operating loss carryforward	$ 828,617	$ 1,248,034
Derivative instruments	31,567	6,145
Asset retirement obligations	16,138	21,398
Restricted stock compensation	9,704	12,171
EOR credit carryforwards	7,946	7,946
Alternative minimum tax credit carryforwards		7,847
Other	11,549	19,356
Total deferred income tax assets	905,521	1,322,897
Less valuation allowances	(271,300)	(264,461)
Net deferred income tax assets	634,221	1,058,436
Oil and gas properties	566,747	1,412,781
Trust distributions	54,980	94,120
Discount on convertible senior notes	12,494	27,224
Total deferred income tax liabilities	$ 634,221	1,534,125
Total net deferred income tax liabilities		$ 475,689

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EARNINGS PER SHARE (Narrative) (Details) item in Millions	12 Months Ended
	Dec. 31, 2017 item shares	Dec. 31, 2016 shares	Dec. 31, 2015 shares
Convertible Debt Securities [Member]
Shares excluded from Earnings Per Share calculation [Line Items]
Antidilutive securities excluded from computation of earnings per share		10,820,758
Stock options [Member]
Shares excluded from Earnings Per Share calculation [Line Items]
Antidilutive securities excluded from computation of earnings per share	1,083	1,158	21,391
Stock options excluded from earnings per share calculation (in shares)	554,580	479,452	128,689
Issuable Upon Conversion [Member]
Shares excluded from Earnings Per Share calculation [Line Items]
Debt instrument, convertible, number of common stock | item	3.6
Service-Based Restricted Stock [Member] | Restricted stock [Member]
Shares excluded from Earnings Per Share calculation [Line Items]
Antidilutive securities excluded from computation of earnings per share	509,744	444,646	129,034
Market-Based Restricted Stock [Member] | Restricted stock [Member]
Shares excluded from Earnings Per Share calculation [Line Items]
Antidilutive securities excluded from computation of earnings per share			169,069
Restricted stock excluded from earnings per share calculation (in shares)	5,447	92,548

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EARNINGS PER SHARE (Reconciliations between basic and diluted earnings per share)(Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Basic Loss Per Share
Net loss attributable to common shareholders, basic		$ (1,237,648)	$ (1,339,102)	$ (2,219,182)
Weighted average shares outstanding, basic	[1]	90,683	62,967	48,868
Loss per common share, basic (in dollars per share)	[1]	$ (13.65)	$ (21.27)	$ (45.41)
Diluted Loss Per Share
Adjusted net loss attributable to common shareholders, diluted		$ (1,237,648)	$ (1,339,102)	$ (2,219,182)
Weighted average shares outstanding, diluted	[1]	90,683	62,967	48,868
Loss per common share, diluted (in dollars per share)	[1]	$ (13.65)	$ (21.27)	$ (45.41)

[1] All share and per share amounts have been retroactively adjusted for the 2015 and 2016 periods to reflect the Company's one-for-four reverse stock split in November 2017, as described in Note 8 to these consolidated financial statements.

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COMMITMENTS AND CONTINGENCIES (Narrative) (Details) $ in Thousands		12 Months Ended
	Feb. 01, 2018 USD ($) contract	Dec. 31, 2017 USD ($) ft² contract item MBbls	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Unrecorded Unconditional Purchase Obligation [Line Items]
Rental expense		$ 8,000	$ 9,000	$ 9,000
Crude Oil [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Delivery commitments for 2018 | MBbls		14,800
Delivery commitments for year 2019 | MBbls		16,000
Delivery commitments for year 2020 | MBbls		4,100
Actual Impact On Earnings And Financing Needs Resulting From Inability To Meet Oil And Gas Delivery Commitments, Payment Amount		$ 66,000	43,000	15,000
Take-Or-Pay Agreements [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number of take or pay purchase agreements | contract		1
Payments under purchase contracts		$ 22,000	1,000
Future commitments under purchase agreements		$ 23,000
Pipeline Transportation Agreements [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number of pipeline transportation agreements | contract		3
Number of pipeline transportation agreements with fixed monthly reservation fees on dedicated pipelines, variable charge on actual transporation volumes | contract		2
Number of suppliers | item		2
Payments under purchase contracts		$ 7,000	5,000	3,000
Estimated minimum future commitments under transportation agreement		17,000
Future commitments under purchase agreements		38,326
Drilling Rig Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Payments under purchase contracts		$ 29,000	31,000	18,000
Number of contracts with drilling rig companies | contract		3
Termination penalties		$ 11,000
Future commitments under purchase agreements		$ 19,742
Water Disposal Agreement [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number of water disposal agreements | item		1
Transportation and disposal cost incurred		$ 16,000	8,000	$ 0
Transportation and disposal, deficiency payments		4,000	$ 2,000
Future commitments under purchase agreements		$ 122,000
Expiration 2018 [Member] | Drilling Rig Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number of contracts with drilling rig companies | contract		2
Expiration 2019 [Member] | Drilling Rig Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number of contracts with drilling rig companies | contract		1
Denver, Colorado office [Member] | Expiration 2019 [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Administrative office space (in square feet) | ft²		222,900
Dickinson, North Dakota office [Member] | Expiration 2020 [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Administrative office space (in square feet) | ft²		36,500
Midland, Texas office [Member] | Expiration 2020 [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Administrative office space (in square feet) | ft²		44,500
Mountrail County, North Dakota [Member] | Crude Oil [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Delivery commitments, volume per day | MBbls		15,000
Delivery commitment term		7 years
Number Of Delivery Commitments | item		1
Weld County, Colorado [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number Of Delivery Commitments | contract		2
Weld County, Colorado [Member] | Subsequent Event [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Number Of Delivery Commitments | contract	1
Crude Oil Sales And Delivery Contract [Member] | Subsequent Event [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
Payments for Derivative Instrument, Investing Activities	$ 61,000

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COMMITMENTS AND CONTINGENCIES (Minimum future payments under non-cancelable operating leases and unconditional purchase obligations) (Details) $ in Thousands	Dec. 31, 2017 USD ($)
Unrecorded Unconditional Purchase Obligation [Line Items]
2018	$ 32,313
2019	12,068
2020	6,171
2021	5,369
2022	5,369
Thereafter	11,481
Total	72,771
Non-Cancelable Leases [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2018	7,502
2019	6,399
2020	802
Total	14,703
Drilling Rig Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2018	19,442
2019	300
Total	19,742
Pipeline Transportation Agreements [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2018	5,369
2019	5,369
2020	5,369
2021	5,369
2022	5,369
Thereafter	11,481
Total	$ 38,326

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CAPITALIZED EXPLORATORY WELL COSTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2015
CAPITALIZED EXPLORATORY WELL COSTS [Abstract]
Balance at the beginning of the period		$ 14,293
Additions to capitalized exploratory well costs pending the determination of proved reserves	13,894	54,707
Reclassifications to wells, facilities and equipment based on the determination of proved reserves		(63,352)
Capitalized exploratory well costs charged to expense		$ (5,648)
Balance at the end of the period	13,894
Capitalized exploratory cost for exploratory wells in progress	$ 0

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SUBSEQUENT EVENTS (Details) - USD ($) $ in Millions	Feb. 01, 2018	Jan. 26, 2018
5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Subsequent Event [Line Items]
Notes repurchased, principal amount		$ 961
Subsequent Event [Member] | 5.0% Senior Notes due 2019 [Member] | Senior Notes [Member]
Subsequent Event [Line Items]
Repurchase of notes		$ 1,000
Percentage of redemption price		102.976%
Crude Oil Sales And Delivery Contract [Member] | Subsequent Event [Member]
Subsequent Event [Line Items]
Payment to settle future minimum volume commitments	$ 61