Provision (Benefit) for Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Summary of income (Loss) from continuing operations before taxes

Income (Loss) before taxes is as follows (in thousands):


	Year Ended December 31, 2021		Year Ended December 31, 2020
Income (Loss) Before Income Taxes	$	93,157	$	(288,471)

Summary of consolidated income tax provision (benefit)

The following is an analysis of the consolidated income tax provision (benefit) (in thousands):


	Year Ended December 31, 2021		Year Ended December 31, 2020
Current	$	186	$	(480)
Deferred	6,212		21,391
Total	$	6,398	$	20,911

Reconciliations of income taxes computed using the U.S. Federal statutory rate to the effective income tax rates

Reconciliations of income taxes computed using the U.S. Federal statutory rate of (21%) to the effective income tax rate are as follows:


	Year Ended December 31, 2021		Year Ended December 31, 2020
Federal Statutory Rate	21.0	%	21.0	%
State tax provisions (benefits), net of federal benefits	1.0	%	0.6	%


Executive compensation limitation	0.6	%	—	%
Other, net	0.6	%	(0.2)	%
Valuation allowance adjustments	(16.2)	%	(28.6)	%
Effective rate	6.9	%	(7.2)	%

Tax effects of temporary differences representing the net deferred tax asset (liability)

The tax effects of temporary differences representing the net deferred tax asset (liability) at December 31, 2021 and 2020 were as follows (in thousands):


	December 31, 2021		December 31, 2020
Deferred tax assets:
Federal net operating loss (“NOL”) carryovers	$	97,142	$	93,293
Other carryover items	642		610
Asset retirement obligations	1,306		1,074
Share-based compensation	579		959
Lease liability	3,425		929
Derivative contracts	11,451		—
Other	2,111		1,029
Valuation allowance	(67,578)		(82,618)
Total deferred tax assets	$	49,078	$	15,276
Deferred tax liabilities:
Oil and gas exploration and development costs	$	(52,219)	$	(13,008)
Derivative contracts	—		(1,653)
Leased assets	(3,374)		(917)
Other	(1)		(1)
Total deferred tax liabilities	(55,594)		(15,579)
Net deferred tax asset (liabilities)	$	(6,516)	$	(303)
State net deferred tax liabilities	$	(1,016)	$	(303)
Federal net deferred tax liabilities	(5,500)		—
Net deferred tax asset (liabilities)	$	(6,516)	$	(303)