Provision (Benefit) for Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Summary of income (Loss) from continuing operations before taxes

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

	Year Ended December 31, 2022		Year Ended December 31, 2021
Income (Loss) Before Income Taxes	$	350,037	$	93,157

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, 2022		Year Ended December 31, 2021
Current:
Federal	$	—	$	—
State	(25)		186
Total current income tax provision (benefit)	(25)		186
Deferred:
Federal	7,188		5,500
State	2,437		712
Total deferred income tax provision (benefit)	$	9,625	$	6,212
Total tax expenses	$	9,600	$	6,398

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, 2022		Year Ended December 31, 2021
Federal Statutory Rate	21.0	%	21.0	%
State tax provisions (benefits), net of federal benefits	0.7	%	1.0	%
Executive compensation limitation	0.4	%	0.6	%
Other, net	(0.1)	%	0.6	%
Valuation allowance adjustments	(19.3)	%	(16.2)	%
Effective rate	2.7	%	6.9	%

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, 2022 and 2021 were as follows (in thousands):

	December 31, 2022		December 31, 2021
Deferred tax assets:
Federal net operating loss (“NOL”) carryovers	$	130,296	$	97,142
Other carryover items	649		642
Asset retirement obligations	2,258		1,306
Share-based compensation	439		579
Lease liability	2,589		3,425
Interest	8,798		—
Derivative contracts	—		11,451
Other	963		2,111
Valuation allowance	—		(67,578)
Total deferred tax assets	$	145,992	$	49,078
Deferred tax liabilities:
Oil and gas exploration and development costs	$	(141,771)	$	(52,219)
Derivative contracts	(16,943)		—
Leased assets	(2,536)		(3,374)
Other	(883)		(1)
Total deferred tax liabilities	(162,133)		(55,594)
Net deferred tax asset (liabilities)	$	(16,141)	$	(6,516)
State net deferred tax liabilities	$	(3,453)	$	(1,016)
Federal net deferred tax liabilities	(12,688)		(5,500)
Net deferred tax asset (liabilities)	$	(16,141)	$	(6,516)