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Revenue from Contracts with Customers
 9 Months Ended
Sep. 30, 2020
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Note C – Revenue from Contracts with Customers
Nature of Goods and Services
The Company explores for and produces crude oil, natural gas and natural gas liquids (collectively oil and gas) in select basins around the globe. The Company’s revenue from sales of oil and gas production activities are primarily subdivided into two key geographic segments: the U.S. and Canada.  Additionally, revenue from sales to customers is generated from three primary revenue streams: crude oil and condensate, natural gas liquids, and natural gas.
For operated oil and gas production where the non-operated working interest owner does not take-in-kind its proportionate interest in the produced commodity, the Company acts as an agent for the working interest owner and recognizes revenue only for its own share of the commingled production. The exception to this is the reporting of the noncontrolling interest in MP GOM as prescribed by ASC 810-10-45.
U.S. - In the United States, the Company primarily produces oil and gas from fields in the Eagle Ford Shale area of South Texas and in the Gulf of Mexico.  Revenue is generally recognized when oil and gas are transferred to the customer at the delivery point. Revenue recognized is largely index based with price adjustments for floating market differentials.
Canada - In Canada, contracts are primarily long-term floating commodity index priced, except for certain natural gas physical forward sales fixed-price contracts. For the Offshore business in Canada, contracts are based on index prices and revenue is recognized at the time of vessel load based on the volumes on the bill of lading and point of custody transfer.
Disaggregation of Revenue
The Company reviews performance based on two key geographical segments and between onshore and offshore sources of revenue within these geographies.
For the three-month and nine-month periods ended September 30, 2020, the Company recognized $425.3 million and $1,311.6 million, respectively, from contracts with customers for the sales of oil, natural gas liquids and natural gas. For the three-month and nine-month periods ended September 30, 2019, the Company recognized $750.3 million and $2,060.1 million respectively, from contracts with customers for the sales of oil, natural gas liquids and natural gas.
Three Months Ended
September 30,		Nine Months Ended
September 30,
(Thousands of dollars)2020201920202019
Net crude oil and condensate revenue
United States
Onshore$86,498 219,515 272,284 547,756 
                     Offshore216,918 398,518 714,143 1,090,462 
Canada    
Onshore32,358 31,758 67,268 88,730 
Offshore19,173 28,407 54,864 115,686 
Other
— 1,933 1,806 7,908 
Total crude oil and condensate revenue
354,947 680,131 1,110,365 1,850,542 
Net natural gas liquids revenue
United States
Onshore6,766 5,557 16,145 22,497 
 
Offshore4,765 8,414 13,255 18,184 
Canada
Onshore2,780 2,751 6,090 8,987 
Total natural gas liquids revenue
14,311 16,722 35,490 49,668 
Net natural gas revenue
United States
Onshore4,529 5,848 14,177 20,762 
Offshore9,827 15,879 35,487 29,575 
Canada   
Onshore41,710 31,757 116,108 109,580 
Total natural gas revenue
56,066 53,484 165,772 159,917 
Total revenue from contracts with customers425,324 750,337 1,311,627 2,060,127 
(Loss) gain on crude contracts(5,290)63,247 319,502 121,163 
Gain on sale of assets and other income1,831 3,493 6,006 10,283 
Total revenue and other income$421,865 817,077 1,637,135 2,191,573 
Contract Balances and Asset Recognition
As of September 30, 2020, and December 31, 2019, receivables from contracts with customers, net of royalties and associated payables, on the balance sheet from continuing operations, were $70.8 million and $186.8 million, respectively. Payment terms for the Company’s sales vary across contracts and geographical regions, with the majority of the cash receipts required within 30 days of billing. Based on a forward-looking expected loss model in accordance with ASU 2016-13 (see Note B), the Company did not recognize any impairment losses on receivables or contract assets arising from customer contracts during the reporting periods.
The Company has not entered into any upstream oil and gas sale contracts that have financing components as of September 30, 2020.
The Company does not employ sales incentive strategies such as commissions or bonuses for obtaining sales contracts. For the periods presented, the Company did not identify any assets to be recognized associated with the costs to obtain a contract with a customer.
Performance Obligations
The Company recognizes oil and gas revenue when it satisfies a performance obligation by transferring control over a commodity to a customer.  Judgment is required to determine whether some customers simultaneously receive and consume the benefit of commodities. As a result of this assessment for the Company, each unit of measure of the specified commodity is considered to represent a distinct performance obligation that is satisfied at a point in time upon the transfer of control of the commodity.
For contracts with market or index-based pricing, which represent the majority of sales contracts, the Company has elected the allocation exception and allocates the variable consideration to each single performance obligation in the contract. As a result, there is no price allocation to unsatisfied remaining performance obligations for delivery of commodity product in subsequent periods.
The Company has entered into several long-term, fixed-price contracts in Canada. The underlying reason for entering a fixed price contract is generally unrelated to anticipated future prices or other observable data and serves a particular purpose in the Company’s long-term strategy.
As of September 30, 2020, the Company had the following sales contracts in place which are expected to generate revenue from sales to customers for a period of more than 12 months starting at the inception of the contract:
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Current Long-Term Contracts Outstanding at September 30, 2020
Approximate Volumes
LocationCommodityEnd DateDescription
U.S.OilQ4 2021Fixed quantity delivery in Eagle Ford17,000 BOED
U.S.Natural Gas and NGLQ1 2023Deliveries from dedicated acreage in Eagle FordAs produced
CanadaNatural GasQ4 2020Contracts to sell natural gas at Alberta AECO fixed prices59 MMCFD
CanadaNatural GasQ4 2020Contracts to sell natural gas at USD Index pricing60 MMCFD
CanadaNatural GasQ4 2021Contracts to sell natural gas at USD Index pricing10 MMCFD
CanadaNatural GasQ4 2022Contracts to sell natural gas at Malin USD fixed prices20 MMCFD
CanadaNatural GasQ4 2022Contracts to sell natural gas at USD Index pricing35 MMCFD
CanadaNatural GasQ4 2024Contracts to sell natural gas at USD Index pricing30 MMCFD
CanadaNatural GasQ4 2026Contracts to sell natural gas at USD Index pricing49 MMCFD
Fixed price contracts are accounted for as normal sales and purchases for accounting purposes.