Joint Interest Billings

3 Months Ended

Mar. 31, 2015

Joint Interest Billings

Joint Interest Billings

4. Joint Interest Billings

The Company’s joint interest billings consist of receivables from partners with interests in common oil and gas properties operated by the Company. Joint interest billings are classified on the face of the consolidated balance sheets as current and long-term receivables based on when collection is expected to occur.

In 2014, the Ghana National Petroleum Corporation (“GNPC”) notified us and our block partners that it would exercise its right for the contractor group to pay its 5% share of the Tweneboa, Enyenra and Ntomme (“TEN”) development costs. The block partners will be reimbursed for such costs plus interest out of a portion of GNPC’s TEN production revenues under the terms of the Deepwater Tano (“DT”) petroleum contract. As of March 31, 2015 and December 31, 2014, the joint interest billing receivables due from GNPC for the TEN development costs were $18.3 million and $14.2 million, respectively, which were classified as long-term on the consolidated balance sheets.