Industry Segment Information (Tables)

6 Months Ended

Jun. 30, 2021

The following tables provide certain information about the operations of each of our segments:


	Successor
	Three Months Ended June 30, 2021
	Oil and Natural Gas (2)		Contract Drilling		Mid-Stream		Corporate and Other		Eliminations (3)		Total Consolidated
	(In thousands)
Revenues: (1)
Oil and natural gas	$	59,776	$	—	$	—	$	—	$	(17,806)	$	41,970
Contract drilling	—		18,061		—		—		—		18,061
Gas gathering and processing	—		—		66,323		—		7,703		74,026
Total revenues	59,776		18,061		66,323		—		(10,103)		134,057
Expenses:
Operating costs:
Oil and natural gas	16,350		—		—		—		(863)		15,487
Contract drilling	—		14,080		—		—		—		14,080
Gas gathering and processing	—		—		55,176		—		(10,120)		45,056
Total operating costs	16,350		14,080		55,176		—		(10,983)		74,623
Depreciation, depletion, and amortization	6,476		1,570		8,064		254		—		16,364

Total expenses	22,826		15,650		63,240		254		(10,983)		90,987

General and administrative	—		—		—		4,871		880		5,751
Gain on disposition of assets	(67)		(1,618)		—		(25)		—		(1,710)
Income (loss) from operations	37,017		4,029		3,083		(5,100)		—		39,029
Loss on derivatives	—		—		—		(42,400)		—		(42,400)
Loss on change in fair value of warrants	—		—		—		(3,574)		—		(3,574)

Reorganization items, net	—		—		—		(1,852)		—		(1,852)
Interest, net	—		—		641		(1,128)		—		(487)
Other	34		11		(850)		(26)		—		(831)
Income (loss) before income taxes	$	37,051	$	4,040	$	2,874	$	(54,080)	$	—	$	(10,115)

_______________________

1.The revenues for oil and natural gas occur at a point in time. The revenues for contract drilling and gas gathering and processing occur over time.

2.Reflects one-time adjustments to correct errors discovered in our prior period accrual of oil and natural gas revenues as well as oil and natural gas operating costs, as described in Note 2 - Summary Of Significant Accounting Policies.

3.Reflects one-time adjustments to correct errors discovered in our inter-segment eliminations presentation, as described in Note 2 - Summary Of Significant Accounting Policies.


	Predecessor
	Three Months Ended June 30, 2020
	Oil and Natural Gas		Contract Drilling		Mid-Stream		Corporate and Other		Eliminations		Total Consolidated
	(In thousands)
Revenues: (1)
Oil and natural gas	$	26,957	$	—	$	—	$	—	$	(1)	$	26,956
Contract drilling	—		29,202		—		—		—		29,202
Gas gathering and processing	—		—		37,719		—		(4,870)		32,849
Total revenues	26,957		29,202		37,719		—		(4,871)		89,007
Expenses:
Operating costs:
Oil and natural gas	72,354		—		—		—		(814)		71,540
Contract drilling	—		20,951		—		—		—		20,951
Gas gathering and processing	—		—		26,669		—		(4,057)		22,612
Total operating costs	72,354		20,951		26,669		—		(4,871)		115,103
Depreciation, depletion, and amortization	22,059		2,946		10,348		607		—		35,960
Impairments	109,318		—		—		—		—		109,318
Total expenses	203,731		23,897		37,017		607		(4,871)		260,381
General and administrative	—		—		—		25,814		—		25,814
(Gain) loss on disposition of assets	(45)		(548)		(9)		1,479		—		877
Income (loss) from operations	(176,729)		5,853		711		(27,900)		—		(198,065)
Loss on derivatives	—		—		—		(6,937)		—		(6,937)
Write-off of debt issuance costs	—		—		—		(2,426)		—		(2,426)
Reorganization items, net	—		—		—		(7,027)		—		(7,027)
Interest, net	—		—		(542)		(7,066)		—		(7,608)
Other	9		6		22		6		—		43
Income (loss) before income taxes	$	(176,720)	$	5,859	$	191	$	(51,350)	—		$	(222,020)

_______________________

1.The revenues for oil and natural gas occur at a point in time. The revenues for contract drilling and gas gathering and processing occur over time.


	Successor
	Six Months Ended June 30, 2021
	Oil and Natural Gas (2)		Contract Drilling		Mid-Stream		Corporate and Other		Eliminations		Total Consolidated
	(In thousands)
Revenues: (1)
Oil and natural gas	$	114,801	$	—	$	—	$	—	$	(17,807)	$	96,994
Contract drilling	—		33,735		—		—		—		33,735
Gas gathering and processing	—		—		125,932		—		(1,707)		124,225
Total revenues	114,801		33,735		125,932		—		(19,514)		254,954
Expenses:
Operating costs:
Oil and natural gas	36,343		—		—		—		(1,707)		34,636
Contract drilling	—		25,951		—		—		—		25,951
Gas gathering and processing	—		—		104,286		—		(19,567)		84,719
Total operating costs	36,343		25,951		104,286		—		(21,274)		145,306
Depreciation, depletion, and amortization	14,131		3,145		16,096		503		—		33,875

Total expenses	50,474		29,096		120,382		503		(21,274)		179,181

General and administrative	—		—		—		11,160		1,760		12,920
(Gain) loss on disposition of assets	(87)		(2,146)		75		(24)		—		(2,182)
Income (loss) from operations	64,414		6,785		5,475		(11,639)		—		65,035
Loss on derivatives	—		—		—		(65,231)		—		(65,231)
Loss on change in fair value of warrants	—		—		—		(3,574)		—		(3,574)

Reorganization items, net	—		—		—		(2,988)		—		(2,988)
Interest, net	—		—		(416)		(2,777)		—		(3,193)
Other	90		16		(839)		(22)		—		(755)
Income (loss) before income taxes	$	64,504	$	6,801	$	4,220	$	(86,231)	$	—	$	(10,706)

_______________________ ____________________

1.The revenues for oil and natural gas occur at a point in time. The revenues for contract drilling and gas gathering and processing occur over time.

2.Reflects a one-time adjustment to correct an error discovered in our prior period accrual of oil and natural gas operating costs, as described in Note 2 - Summary Of Significant Accounting Policies.


	Predecessor
	Six Months Ended June 30, 2020
	Oil and Natural Gas			Contract Drilling			Mid-Stream			Corporate and Other			Eliminations			Total Consolidated
	(In thousands)
Revenues: (1)
Oil and natural gas	$	75,481		$	—		$	—		$	—		$	(3)		$	75,478
Contract drilling	—			65,834			—			—			—			65,834
Gas gathering and processing	—			—			80,399			—			(10,328)			70,071
Total revenues	75,481			65,834			80,399			—			(10,331)			211,383
Expenses:
Operating costs:
Oil and natural gas	103,769			—			—			—			(1,566)			102,203
Contract drilling	—			46,400			—			—			—			46,400
Gas gathering and processing	—			—			58,988			—			(8,765)			50,223
Total operating costs	103,769			46,400			58,988			—			(10,331)			198,826
Depreciation, depletion, and amortization	58,787			14,691			22,621			1,478			—			97,577
Impairments	377,154			410,126			63,962			—			—			851,242
Total expenses	539,710			471,217			145,571			1,478			(10,331)			1,147,645
Loss on abandonment of assets	17,554		#N/A	—		#N/A	—		#N/A	—		#N/A	—		#N/A	17,554
General and administrative	—			—			—			37,367			—			37,367
(Gain) loss on disposition of assets	(58)			(139)			(15)			1,479			—			1,267
Loss from operations	(481,725)			(405,244)			(65,157)			(40,324)			—			(992,450)
Loss on derivatives	—			—			—			(6,454)			—			(6,454)
Write-off of debt issuance costs	—			—			—			(2,426)			—			(2,426)
Reorganization items, net	—			—			—			(7,027)			—			(7,027)
Interest, net	—			—			(1,060)			(19,805)			—			(20,865)
Other	30			23			39			11			—			103
Loss before income taxes	$	(481,695)		$	(405,221)		$	(66,178)		(76,025)			$	—		$	(1,029,119)

_______________________

1.The revenues for oil and natural gas occur at a point in time. The revenues for contract drilling and gas gathering and processing occur over time.