Oil and Gas Disclosures (Unaudited)

12 Months Ended

Dec. 31, 2014

Extractive Industries [Abstract]

Oil and Gas Disclosures (Unaudited)

(16) OIL AND GAS DISCLOSURES (unaudited)

The following information is presented with regard to our proved oil and gas reserves.

Costs incurred in property acquisition, exploration and development activities (in thousands):

	Years Ended December 31,
	2014		2013
Domestic costs incurred:
Acquisition of properties
Proved	$	—	$	4
Unproved		—		—
Exploration		—		—
Development		276		1,359
Total domestic costs incurred	$	276	$	1,363

Capitalized Costs Relating to Oil and Gas Producing Activities (in thousands):

	Years Ended December 31,
	2014			2013
Capitalized costs:
Proved properties	$	4,071		$	4,124
Unproved properties		391			326
Total capitalized costs		4,462			4,450
Less accumulated depreciation and amortization		(1,064	)		(691	)
Less impairment provision		(1,688	)		—
Net capitalized costs	$	1,710		$	3,759

Included in the capitalized costs of proved properties of $4.1 million are approximately $3.4 million in costs related to producing wells and related equipment and approximately $674 thousand in costs related to mineral interests in properties.

Results of Operations from Oil and Natural Gas Producing Activities

	Years Ended December 31,
	2014			2013
	(in thousands)
Oil and gas revenues	$	988		$	1,093
Less:
Oil and gas operating costs		218			209
Depreciation, amortization and accretion		411			479
Property impairments		1,688			—
Total oil and gas expenses		2,317			688
Results of operations from oil and gas producing activities	$	(1,329	)	$	405

Oil and Gas Reserve Data - (Unaudited) - The following information is presented with regard to our proved oil and gas reserves. The reserve values and cash flow amounts reflected in the following reserve disclosures are based on a simple average of the first day of the month price for the period of January 1, 2014 to December 1, 2014, in accordance with ASC 932, Oil and Gas Reserve Estimation and Disclosure and the Securities and Exchange Commission’s Final Rule, Modernization of the Oil and Gas Reporting Requirements.

The following table presents our independent petroleum consultants’ estimates of our proved crude oil and natural gas reserves.

	(Unaudited)
	Total (1)
	Oil (Mbbls)	Gas (Mmcf)
Proved reserves:
As of December 31, 2012	17	29
Extensions and discoveries	187	247
Revisions	4	(2)
Production	(11)	(14)
As of December 31, 2013	197	260
Extensions and discoveries	9	14
Revisions	(65)	(20)
Production	(11)	(18)
Sales of reserves in place	(13)	(30)
As of December 31, 2014	117	206
Proved developed reserves at:
December 31, 2014	46	72
Proved undeveloped reserves at:
December 31, 2014	71	134

________________________________________________

(1) All reserves were held within the United States for the years ended December 31, 2014 and 2013.

“Standardized measure” relates to the estimated discounted future net cash flows, as adjusted for our asset retirement obligations, and major components of that calculation relating to proved reserves at the end of the year in the aggregate and by geographic area, based on average prices, costs, and statutory tax rates and using a 10% annual discount rate. Prices at December 31, 2014 were based on a simple average of the first day of the month price for the period of January 1, 2014 to December 1, 2014 of $91.48 per barrel and $4.35 per mmbtu, as adjusted by basin for quality, transportation and regional price differentials.

Standardized Measure of Discounted Future Net Cash Flows Relating to Proved Oil and Gas Reserves:

	Years Ended December 31,
	2014			2013
	(Unaudited, in thousands)
Future cash inflows	$	11,341		$	19,778
Future production costs		(2,874	)		(5,181	)
Future development costs		(1,902	)		(5,205	)
Future income tax expense		—			—
Future net cash flows		6,565			9,392
10% annual discount for estimated
timing of cash flows		(2,869	)		(5,142	)
Standardized measure of discounted future
net cash flows related to proved reserves (1)	$	3,696		$	4,250

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(1) Cash flows associated with asset retirement obligations are included in the Standardized Measure of Discounted Future Net Cash Flows.

	Years Ended December 31,
	2014			2013
	(Unaudited, in thousands)
Standardized measure - beginning of year	$	4,250		$	835
Sales of oil and gas, net		(770	)		(884	)
Net change in prices and production costs		(435	)		(64	)
Net change in future development costs		2,509			—
Extensions and discoveries		353			3,925
Revisions of previous quantity estimates		(2,155	)		93
Previously estimated development costs incurred		269			—
Accretion of discount		425			83
Sale of reserves		(561	)		—
Other		(189	)		262
Standardized measure - end of year	$	3,696		$	4,250