Reporting Segments (Tables)

9 Months Ended

Sep. 30, 2017

The following tables set forth our segment information for the periods indicated (in thousands):


	Three Months Ended September 30, 2017
	Production		Midstream		Total
Operating revenues
Natural gas sales	$	787	$	—	$	787
Oil sales		3,061		—		3,061
Natural gas liquids sales		514		—		514
Gathering and transportation sales		—		14,234		14,234
Total operating revenues		4,362		14,234		18,596

Operating expenses:
Lease operating expenses		1,585		150		1,735
Transportation operating expenses		—		2,661		2,661
Production taxes		340		—		340
General and administrative		4,199		1,415		5,614
Unit-based compensation expense		631		—		631
Gain on sale of assets		(2,546)		—		(2,546)
Depreciation, depletion and amortization		1,756		5,143		6,899
Accretion expense		80		69		149
Total operating expenses		6,045		9,438		15,483

Operating income (loss)	$	(1,683)	$	4,796	$	3,113


	Three Months Ended September 30, 2016
	Production		Midstream		Total
Operating revenues
Natural gas sales	$	4,434	$	—	$	4,434
Oil sales		2,159		—		2,159
Natural gas liquids sales		264		—		264
Gathering and transportation sales		—		12,997		12,997
Total operating revenues		6,857		12,997		19,854

Operating expenses:
Lease operating expenses		2,650		117		2,767
Transportation operating expenses		—		3,111		3,111
Cost of sales		99		—		99
Production taxes		290		—		290
General and administrative		4,778		1,508		6,286
Unit-based compensation expense		90		—		90
Loss on sale of assets		219		—		219
Depreciation, depletion and amortization		2,411		5,096		7,507
Accretion expense		207		64		271
Total operating expenses		10,744		9,896		20,640

Operating income (loss)	$	(3,887)	$	3,101	$	(786)


	Nine Months Ended September 30, 2017
	Production		Midstream		Total
Operating revenues
Natural gas sales	$	5,818	$	—	$	5,818
Oil sales		22,520		—		22,520
Natural gas liquids sales		1,473		—		1,473
Gathering and transportation sales		—		39,621		39,621
Total operating revenues		29,811		39,621		69,432

Operating expenses:
Lease operating expenses		9,957		642		10,599
Transportation operating expenses		—		8,989		8,989
Cost of sales		77		—		77
Production taxes		1,166		—		1,166
General and administrative		13,195		4,381		17,576
Unit compensation expense		1,951		—		1,951
Gain on sale of assets		(2,546)		—		(2,546)
Depreciation, depletion and amortization		7,961		20,056		28,017
Asset impairments		4,688		—		4,688
Accretion expense		444		203		647
Total operating expenses		36,893		34,271		71,164

Operating income (loss)	$	(7,082)	$	5,350	$	(1,732)


	Nine Months Ended September 30, 2016
	Production		Midstream		Total
Operating revenues
Natural gas sales	$	8,709	$	—	$	8,709
Oil sales		4,746		—		4,746
Natural gas liquids sales		784		—		784
Gathering and transportation sales		—		41,130		41,130
Total operating revenues		14,239		41,130		55,369

Operating expenses:
Lease operating expenses		11,430		488		11,918
Transportation operating expenses		—		9,179		9,179
Cost of sales		292		—		292
Production taxes		837		—		837
General and administrative		12,762		4,221		16,983
Unit-based compensation expense		1,619		—		1,619
Loss on sale of assets		219		—		219
Depreciation, depletion and amortization		5,560		15,264		20,824
Asset impairments		1,309		—		1,309
Accretion expense		714		187		901
Total operating expenses		34,742		29,339		64,081

Operating income (loss)	$	(20,503)	$	11,791	$	(8,712)

The following table summarizes the total assets by operating segment as of September 30, 2017 and December 31, 2016 (in thousands):