INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2017

Income Taxes [Abstract]

Disclosure of provision for income taxes

This difference results from the following items:

($000s)	2017			2016
Expected income tax expense (recovery)	$	(20,506	)	$	(9,052	)
Change in unrecognized deferred tax asset	44,114			—
Unrealized foreign exchange (gain) loss	(4,947		)	(1,938		)
Share based compensation expense	610			856
Flow through share issuance	108			2,700
Other	(3,964		)	576
Deferred tax expense (recovery)	$	15,415		$	(6,858	)

Disclosure of net deferred income tax expense (income)

A continuity of the net deferred income tax asset (liability) for 2017 and 2016 is provided below:

($000s)	Balance, January 1, 2017			Recognized in profit (loss)			Recognized in equity		Balance, December 31, 2017
Property, plant and equipment and exploration and evaluation assets	$	(12,555	)	$	5,710		$	—	$	(6,845	)
Decommissioning liabilities	16,967			(602		)	—		16,365
Risk management contract asset	—			(8,943		)	—		(8,943		)
Risk management contract liability	4,477			(3,271		)	—		1,206
Share issue costs	1,950			(1,110		)	—		840
Non-capital losses	38,895			20			—		38,915
Finance lease obligation	2,276			(416		)	—		1,860
Deferred capital obligation	5,910			(5,910		)	—		—
Deferred financing obligation	2,032			(1,626		)	—		406
Deferred gain on sale	2,890			625			—		3,515
Alberta non-capital losses greater than Federal non-capital losses	1,935			—			—		1,935
Senior Notes	418			338			—		756
Convertible Debentures	(3,028		)	412			—		(2,616		)
Other	1,546			(642		)	—		904
Total	$	63,713		$	(15,415	)	$	—	$	48,298

($000s)	Balance, January 1, 2016			Recognized in profit (loss)			Recognized in equity			Balance, December 31, 2016
Property, plant and equipment and exploration and evaluation assets	$	(12,142	)	$	(413	)	$	—		$	(12,555	)
Decommissioning liabilities	26,034			(9,067		)	—			16,967
Risk management contract asset	(3,600		)	3,600			—			—
Risk management contract liability	105			4,372			—			4,477
Share issue costs	2,520			(1,264		)	694			1,950
Non-capital losses	40,766			(1,871		)	—			38,895
Finance lease obligation	2,717			(441		)	—			2,276
Deferred capital obligation	—			5,910			—			5,910
Deferred financing obligation	—			2,032			—			2,032
Deferred gain on sale	—			2,890			—			2,890
Alberta non-capital losses greater than Federal non-capital losses	1,935			—			—			1,935
Senior Notes	(65		)	483			—			418
Convertible Debentures	—			66			(3,094		)	(3,028		)
Other	985			561			—			1,546
Total	$	59,255		$	6,858		$	(2,400	)	$	63,713

The components of the net deferred tax asset at December 31, 2017 are as follows:

($000s)	2017			2016
Deferred tax liabilities:
Property, plant and equipment and exploration and evaluation assets	$	(6,845	)	$	(12,555	)
Risk management contract asset	(8,943		)	—
Convertible Debentures	(2,616		)	(3,028		)
Deferred tax assets:
Senior Notes	756			418
Finance lease obligation	1,860			2,276
Deferred capital obligation	—			5,910
Deferred financing obligation	406			2,032
Deferred gain on sale	3,515			2,890
Risk management contract liability	1,206			4,477
Decommissioning liabilities	16,365			16,967
Share issue costs	840			1,950
Non-capital losses	40,850			40,830
Other	904			1,546
Deferred tax asset (liability)	$	48,298		$	63,713