Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2013

Accounting Policies [Abstract]

Major Components of Property and Equipment

The major components of property and equipment are as follows (in thousands):

	As of December 31,
	2013			2012
Unproved property costs	$	103,917		$	78,453
Oilfield inventories		4,096			3,339
Other administrative property		2,710			2,954
Total property and equipment		110,723			84,746
Accumulated depreciation		(2,332	)		(2,210	)
Total property and equipment, net	$	108,391		$	82,536

Unproved Property Costs, Excluding Oilfield Inventories

Unproved property costs, excluding oilfield inventories, consist of (in thousands):

	As of December 31,
	2013		2012
Budong PSC	$	4,470	$	5,219
Dussafu PSC		99,447		73,234
Total unproved property costs	$	103,917	$	78,453

Schedule of Other Assets

	As of December 31,
	2013		2012
	(in thousands)
Deferred financing costs	$	0	$	3,111
Long-term VAT receivable		0		3,440
Long-term prepaid expenses		139		328
Gabon PSC – blocked payment (net to our 66.667% interest)		734		734
	$	873	$	7,613

Summary of Estimated Fair Values of Fixed Interest Rate, Long-term Debt Instrument

The following table presents the estimated fair values of our fixed interest rate, long-term debt instrument (Level 3), excluding the embedded derivative.

	As of December 31, 2013
	Carying    Value		Fair    Value
	(in thousands)
11% senior unsecured notes (Level 2)	$	77,480	$	79,750

Fair Value of Liabilities and Their Placement With in Fair Value Hierarchy Levels

The following tables set forth by level within the fair value hierarchy our financial liabilities that were accounted for at fair value as of December 31, 2013 and 2012. As required by ASC 820, a financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value liabilities and their placement within the fair value hierarchy levels. See Note 12 – Warrant Derivative Liability for a description and discussion of our warrant derivative liability and Note 11 – Debt for a description of our long-term debt embedded derivative liability as well as a description of the valuation models and inputs used to calculate the fair value of these derivative liabilities.

	As of December 31, 2013
	Level 1		Level 2		Level 3		Total
	(in thousands)
Liabilities:
Warrant derivative liability	$	0	$	0	$	1,953	$	1,953
Embedded derivative-debt		0		0		0		0
Total derivative liabilities	$	0	$	0	$	1,953	$	1,953

	As of December 31, 2012
	Level 1		Level 2		Level 3		Total
	(in thousands)
Liabilities:
Warrant derivative liability	$	0	$	0	$	5,470	$	5,470
Embedded derivative-debt		0		0		0		0
Total derivative liabilities	$	0	$	0	$	5,470	$	5,470

Schedule of Reconciliation of Financial Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)

The following table provides a reconciliation of financial liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3).

	December 31, 2013			December 31, 2012
	(in thousands)
Financial liabilities:
Beginning balance	$	5,470		$	4,870
Unrealized change in fair value		(3,517	)		600
Ending balance	$	1,953		$	5,470

Schedule of Valuation and Qualifying Accounts

Our valuation and qualifying accounts are comprised of the deferred tax valuation allowance, investment valuation allowance and VAT receivable valuation allowance. Balances and changes in these accounts are, in thousands:

			Additions
	Balance at Beginning of Year		Charged to Income		Charged to Other Accounts		Deductions From Reserves Credited to Income			Balance at End of Year
At December 31, 2013
Amounts deducted from applicable assets
Deferred tax valuation allowance	$	68,419	$	0	$	0	$	(8,843	)	$	59,576
Investment valuation allowance		1,350		0		0		0			1,350
VAT receivable valuation allowance		0		2,792		0		0			2,792
At December 31, 2012
Amounts deducted from applicable assets
Deferred tax valuation allowance	$	53,116	$	15,303	$	0	$	0		$	68,419
Investment valuation allowance		1,350		0		0		0			1,350
At December 31, 2011
Amounts deducted from applicable assets
Deferred tax valuation allowance	$	46,905	$	6,211	$	0	$	0		$	53,116
Investment valuation allowance		1,350		0		0		0			1,350