Acquisitions and Divestitures (Tables)

12 Months Ended

Dec. 31, 2016

Acquisition and Divestiture Related Expenses

Acquisition and divestiture related expenses for both related party and third party transactions are included in general and administrative expenses in the accompanying statements of operations for the periods indicated below (in thousands):

For the Year Ended
December 31,
2016		2015		2014
$	1,451	$	1,928	$	4,363

Summary of Fair Value Assessment of Assets Acquired and Liabilities Assumed

The following table summarizes the fair value of the third party assets acquired and liabilities assumed in the 2015 Beta Acquisition (in thousands):

	2015 Beta
	Acquisition
Oil and gas properties	$	40,029
Prepaid expenses and other current assets		840
Restricted investments		69,579
Derivative instruments		4,568
Accounts receivable - affiliates and other		4,499
Asset retirement obligations		(22,871	)
Accrued liabilities		(2,010	)
Total identifiable net assets	$	94,634

The following table summarizes the fair value of the third party assets acquired and liabilities assumed in the Wyoming Acquisition (in thousands):

	Wyoming
	Acquisition
Oil and gas properties	$	930,168
Asset retirement obligations		(3,980	)
Revenues payable		(375	)
Accrued liabilities		(19,693	)
Total identifiable net assets	$	906,120

The following table summarizes the fair value assessment of the assets acquired and liabilities assumed as of the acquisition date (in thousands):

	Eagle Ford
	Acquisition
Oil and gas properties	$	168,606
Asset retirement obligations		(285	)
Accrued liabilities		(250	)
Total identifiable net assets	$	168,071

Supplemental Pro Forma Information

The following unaudited pro forma combined results of operations are provided for the years ended December 31, 2015 and 2014 as though the 2015 Beta Acquisition had been completed on January 1, 2014. The unaudited pro forma financial information was derived from the historical combined statements of operations of the Partnership and the previous owners and adjusted to include: (i) the revenues and direct operating expenses associated with oil and gas properties acquired, (ii) depletion expense applied to the adjusted basis of the properties acquired (iii) accretion expense associated with asset retirement obligations recorded and (iv) interest expense on additional borrowings necessary to finance the acquisition. The unaudited pro forma financial information does not purport to be indicative of results of operations that would have occurred had the transaction occurred on the basis assumed above, nor is such information indicative of expected future results of operations.

	For the Year Ended
	December 31,
	2015			2014
	(In thousands, except per unit amounts)
Revenues	$	381,495		$	613,563
Net income (loss)		(394,756	)		132,630
Basic and diluted earnings per unit		(4.73	)		1.87

The following unaudited pro forma combined results of operations is provided for the year ended December 31, 2014 as though the Eagle Ford Acquisition and Wyoming Acquisition had been completed on January 1, 2014. The unaudited pro forma financial information was derived from the historical combined statements of operations of the Partnership and the previous owners and adjusted to include: (i) the revenues and direct operating expenses associated with oil and gas properties acquired, (ii) depletion expense applied to the adjusted basis of the properties acquired and (iii) interest expense on additional borrowings necessary to finance the acquisitions. The unaudited pro forma financial information does not purport to be indicative of results of operations that would have occurred had the transaction occurred on the basis assumed above, nor is such information indicative of expected future results of operations.

	For the Year Ended
	December 31,
	2014
	(In thousands, except per unit amounts)
Revenues	$	666,508
Net income (loss)		153,843
Basic and diluted earnings per unit		2.20

Schedule of Income (Loss) before Income Taxes Including (Gain) Loss on Divestiture

The income (loss) before income taxes, including the associated (gain) loss on sale of properties, related to the Permian Divestiture and Rockies Divestiture included in the condensed statements of consolidated and combined operations of the Partnership is as follows (in thousands):

	For the Year Ended
	December 31,
	2016			2015			2014
Permian Divestiture	$	4,297		$	(60,875	)	$	(228,956	)
Rockies Divestiture		(7,677	)		(56,917	)		3,127