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Summary of Significant Accounting Policies (Tables)
 6 Months Ended 12 Months Ended
Jun. 30, 2016
Dec. 31, 2015
Accounting Policies [Abstract]    
Summary of Accrued Liabilities

Accrued liabilities at June 30, 2016 and December 31, 2015 consist of the following:

 

     As of
June 30,
2016		      As of
December 31,
2015		  
     (In thousands)  

Accrued interest

    $ 26,892       $ 29,075   

Accrued drilling costs

      2,005         5,306   

Accrued ad valorem taxes

      2,400         —     

Asset retirement obligation of assets held for sale

      3,442         —     

Other accrued liabilities

      5,481         4,063   
  

 

 

     

 

 

  
   $ 40,220       $ 38,444   
  

 

 

     

 

 

  

Accrued expenses at December 31, 2014 and 2015 consist of the following:

 

     As of December 31,  
     2014      2015  
     (In thousands)  

Accrued drilling costs

    $ 26,269       $ 5,306   

Accrued interest payable

      9,011         29,075   

Accrued rig termination fees

      2,600         —     

Other

      6,962         4,063   
  

 

 

     

 

 

  
   $ 44,842       $ 38,444   
  

 

 

     

 

 

  
Summary of Changes in Reserve for Future Abandonment Costs

The following table summarizes the changes in Comstock’s total estimated liability for such obligations during the six months ended June 30, 2016 and 2015:

 

     Six Months Ended June 30,  
     2016      2015  
     (In thousands)  

Future abandonment costs — beginning of period

    $ 20,093       $ 14,900   

Accretion expense

      496         401   

New wells placed on production

      2         262   

Assets held for sale

      (3,442 )       (628 ) 

Liabilities settled and assets disposed of

      (1,177 )       —     
  

 

 

     

 

 

  

Future abandonment costs — end of period

    $ 15,972       $ 14,935   
  

 

 

     

 

 

  

The following table summarizes the changes in the Company’s total estimated liability:

 

     2014      2015  
     (In thousands)  

Reserve for Future Abandonment Costs at beginning of the year

    $ 14,534       $ 14,900   

New wells placed on production

      1,480         310   

Changes in estimates and timing

      (1,796 )       4,927   

Liabilities settled and assets disposed of

      (153 )       (717 ) 

Accretion expense

      835         673   
  

 

 

     

 

 

  

Reserve for Future Abandonment Costs at end of the year

    $ 14,900       $ 20,093   
  

 

 

     

 

 

  
Basic and Diluted (Losses) Earnings Per Share

The treasury stock method is used to measure the dilutive effect of PSUs. Basic and diluted income (loss) per share for the three months and six ended June 30, 2016 and 2015 were determined as follows:

 

     Three Months Ended June 30,  
     2016      2015  
     Income     Shares      Per
Share		      Loss     Shares      Per
Share		  
     (In thousands, except per share amounts)  

Net income (loss)

    $ 4,852            $ (135,068 )      

Income allocable to unvested stock grants

      (143 )            —          
  

 

 

          

 

 

       

Basic and diluted net income (loss) attributable to common stock

    $ 4,709        11,557       $ 0.41       $ (135,068 )      9,224       $ (14.64 ) 
  

 

 

    

 

 

     

 

 

     

 

 

    

 

 

     

 

 

  

 

     Six Months Ended June 30,  
     2016     2015  
     Loss     Shares      Per
Share		     Loss     Shares      Per
Share		  
     (In thousands, except per share amounts)  

Basic and Diluted net loss attributable to common stock

    $ (51,725 )      10,729       $ (4.82 )    $ (213,570 )      9,215       $ (23.18 ) 
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

     

 

 

  

Basic and diluted earnings per share for 2013, 2014 and 2015 were determined as follows:

 

    2013     2014     2015  
    Income
(Loss)		     Shares     Per Share     Loss     Shares     Per Share     Loss     Shares     Per Share  
    (In thousands except per share data)  

Net Loss From Continuing Operations

   $ (106,723 )        $ (57,111 )        $ (1,047,109 )     

Loss (Income) Allocable to Unvested Stock Grants

     3,424            (595 )          —         
 

 

 

        

 

 

        

 

 

      

Basic and Diluted Net Loss From Continuing Operations Attributable to Common Stock

   $ (103,299 )      9,311      $ (11.09 )    $ (57,706 )      9,309      $ (6.20 )    $ (1,047,109 )      9,223      $ (113.53 ) 
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net Income From Discontinued Operations

   $ 147,752                   

Income Allocable to Unvested Stock Grants

     (4,742 )                 
 

 

 

                  

Basic and Diluted Net Income From Discontinued Operations Attributable to Common Stock

   $ 143,010        9,311      $ 15.36               
 

 

 

    

 

 

    

 

 

    
Weighted Average Shares of Unvested Restricted Stock

Weighted average shares of unvested restricted stock outstanding during the three months and six months ended June 30, 2016 and 2015 were as follows:

 

     Three Months Ended
June 30,		      Six Months Ended
June 30,		  
     2016      2015      2016      2015  
     (In thousands)  

Unvested restricted stock

      350         309         332         271   

Weighted average shares of unvested restricted stock included in common stock outstanding were as follows:

 

     2013      2014      2015  
     (In thousands)  

Unvested restricted stock

      309         238         293   
Common Stock Stock Options Excluded as Anti-Dilutive from Determination of Diluted Earnings Per Share

Options to purchase common stock and PSUs that were outstanding and that were excluded as anti-dilutive from the determination of diluted earnings per share are as follows:

 

     Three Months Ended
June 30,		      Six Months Ended
June 30,		  
     2016      2015      2016      2015  
     (In thousands except per share/unit data)  

Weighted average stock options

      12         21         12         22   

Weighted average exercise price per share

    $ 166.10       $ 164.75       $ 166.10       $ 164.75   

Weighted average performance share units

      135         134         138         122   

Weighted average grant date fair value per unit

    $ 22.10       $ 45.65       $ 22.10       $ 45.65   

 

Options to purchase common stock and PSUs that were outstanding and that were excluded as anti-dilutive from determination of diluted earnings per share were as follows:

 

         2013            2014            2015    
     (In thousands except per share data)

Weighted average anti-dilutive stock options

    26    23    20

Weighted average exercise price

    $164.50    $164.50    $164.75

Weighted average performance share units

    51    100    136

Weighted average grant date fair value per unit

    $104.60    $99.40    $35.35
Summary of Other Current Assets  

Other current assets at December 31, 2014 and 2015 consist of the following:

 

    As of December 31,  
    2014     2015  
    (In thousands)  

Settlements receivable on derivative financial instruments

   $ 7,890      $ —     

Pipe and oil field equipment inventory

     1,379        1,198   

Other

     836        795   
 

 

 

    

 

 

  
  $ 10,105      $ 1,993   
 

 

 

    

 

 

  
Summary of Financial Assets and Liabilities at Fair Value  

The following table summarizes financial assets accounted for at fair value as of December 31, 2015:

 

     Carrying
Value
Measured at
Fair Value at
December 31,
2015		      Level 1      Level 2  
     (In thousands)  

Assets measured at fair value on a recurring basis:

         

Cash and cash equivalents

    $ 134,006       $ 134,006       $ —     

Derivative financial instruments

      1,446         —           1,446   
  

 

 

     

 

 

     

 

 

  

Total assets

    $ 135,452       $ 134,006       $ 1,446   
  

 

 

     

 

 

     

 

 

  
Carrying Amounts and Estimated Fair Value of Long-term Debt  

The following table presents the carrying amounts and estimated fair value of the Company’s long-term debt as of December 31, 2014 and 2015:

 

     2014      2015  
     (In thousands)  

Fixed rate debt:

      

Principal amount

    $ 700,000       $ 1,270,457   

Discount or premium

      (4,555 )       (1,457 ) 
  

 

 

     

 

 

  

Carrying value

    $ 695,445       $ 1,269,000   
  

 

 

     

 

 

  

Fair Value

    $ 453,000       $ 428,767   
  

 

 

     

 

 

  

Variable rate debt:

      

Carrying value

    $ 375,000       $ —     
  

 

 

     

 

 

  

Fair value

    $ 375,000       $ —     
  

 

 

     

 

 

  
Schedule of Fair Value Impairments, Average Prices of Oil and Gas Properties And Applicable Discount Rates  

Louisiana. The following table presents the fair value and impairments recorded by the Company in the third quarter and fourth quarter of 2015, as well as the average oil price per barrel and gas price per thousand cubic feet over the life of the properties and the applicable discount rates utilized in the Company’s assessments:

 

     Fair
Value		      Impairment      Management’s Price Outlook      Annual
Discount Rate
                   Oil                  Gas             
     (In thousands)      (Per barrel)      (Per Mcf)       

Impairments recorded at September 30, 2015:

               

Oil properties

    $ 330,257       $ 405,308       $ 73.70       $ 4.04       10%-20%

Natural gas properties

    $ 61,625       $ 139,406       $ 75.91       $ 3.91       10%-20%

Impairments recorded at December 31, 2015:

               

Oil properties

    $ 3,030       $ 16,036       $ 73.48          10%-20%

Natural gas properties

    $ 123,926       $ 238,210       $ 70.76       $ 3.74       10%-20%
Cash Payments Made for Interest and Income Taxes  

Cash payments made for interest and income taxes for the years ended December 31, 2013, 2014 and 2015, respectively, were as follows:

 

     2013      2014      2015  
     (In thousands)  

Cash Payments:

         

Interest payments

    $ 83,560       $ 62,812       $ 94,177   

Income tax payments

    $ 769       $ 682       $ 77   
Summary of Income from Discontinued Operations  

Income from discontinued operations is comprised of the following:

 

     Year Ended
December 31,
2013		  
     (In thousands)  

Revenues:

   

Oil and gas sales

    $ 25,125   

Costs and expenses:

   

Production taxes

      1,120   

Gathering and transportation

      501   

Lease operating

      9,853   

Depletion, depreciation and amortization

      8,649   

Interest expense(1)

      6,346   
  

 

 

  

Total costs and expenses

      26,469   

Gain on sale

      230,008   
  

 

 

  

Income from discontinued operations before income taxes

      228,664   

Income tax expense:

   

Current

      (2,218 ) 

Deferred

      (78,694 ) 
  

 

 

  

Total income tax expense

      (80,912 ) 
  

 

 

  

Net income from discontinued operations

    $ 147,752   
  

 

 

  

 

(1)

Interest expense was allocated to discontinued operations based on the ratio of the net assets of discontinued operations to our consolidated net assets plus long-term debt. Interest expense is net of capitalized interest of $2,010 for the year ended December 31, 2013.