Commitments and Contingencies

6 Months Ended

Jun. 30, 2017

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 13—Commitments and Contingencies

Commitments

In June 2017, the Company entered into a transportation service agreement by which the Company is required to deliver 40,000 MMBtu per day for a term of one year. This delivery commitment is tied to natural gas production in Reeves and Ward Counties, Texas.

Other than the above, there have been no material changes in commitments during the six months ended June 30, 2017. Please refer to Note 13—Commitment and Contingencies included in Part II, Item 8. in our 2016 Annual Report.

Contingencies

In the ordinary course of business, the Company may at times be subject to claims and legal actions. Management believes it is remote that the impact of such matters will have a material adverse effect on the Company’s financial position, results of operations or cash flows. Management is unaware of any pending litigation brought against the Company requiring the reserve of a contingent liability as of the date of these condensed consolidated financial statements.