Condensed Consolidating Financial Information (Tables)

6 Months Ended

Jun. 30, 2013

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Balance Sheets

CONDENSED CONSOLIDATING BALANCE SHEETS

(Amounts in thousands)

	June 30, 2013
	Parent			Guarantors			Non-Guarantor			Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	213,390		$	995		$	—		$	—		$	214,385
Accounts receivable - oil and gas	30,288			510			—			—			30,798
Accounts receivable - related parties	35,432			1,391			—			—			36,823
Accounts receivable - intercompany	15,254			—			—			(15,254		)	—
Prepaid expenses and other current assets	2,639			—			—			—			2,639
Deferred tax asset	372			—			—			—			372
Short-term derivative instruments	863			—			—			—			863
Total current assets	298,238			2,896			—			(15,254		)	285,880
Property and equipment:
Oil and natural gas properties, full-cost accounting	2,060,274			5,644			—			—			2,065,918
Other property and equipment	8,988			29			—			—			9,017
Accumulated depletion, depreciation, amortization and impairment	(716,986		)	(21		)	—			—			(717,007		)
Property and equipment, net	1,352,276			5,652			—			—			1,357,928
Other assets:
Equity investments and investments in subsidiaries	431,865			—			176,877			(169,878		)	438,864
Other assets	13,153			—			—			—			13,153
Total other assets	445,018			—			176,877			(169,878		)	452,017
Total assets	$	2,095,532		$	8,548		$	176,877		$	(185,132	)	$	2,095,825
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued liabilities	$	142,082		$	293		$	—		$	—		$	142,375
Accounts payable - intercompany	—			15,144			110			(15,254		)	—
Asset retirement obligation - current	780			—			—			—			780
Short-term derivative instruments	1,839			—			—			—			1,839
Current maturities of long-term debt	154			—			—			—			154
Total current liabilities	144,855			15,437			110			(15,254		)	145,148
Asset retirement obligation - long-term	13,231			—			—			—			13,231
Deferred tax liability	69,204			—			—			—			69,204
Long-term debt, net of current maturities	298,956			—			—			—			298,956
Total liabilities	526,246			15,437			110			(15,254		)	526,539
Stockholders' equity:
Common stock	775			—			—			—			775
Paid-in capital	1,398,188			322			189,403			(189,725		)	1,398,188
Accumulated other comprehensive income (loss)	(10,982		)	—			(7,238		)	7,238			(10,982		)
Retained earnings (accumulated deficit)	181,305			(7,211		)	(5,398		)	12,609			181,305
Total stockholders' equity	1,569,286			(6,889		)	176,767			(169,878		)	1,569,286
Total liabilities and stockholders' equity	$	2,095,532		$	8,548		$	176,877		$	(185,132	)	$	2,095,825

CONDENSED CONSOLIDATING BALANCE SHEETS

(Amounts in thousands)

	December 31, 2012
	Parent			Guarantors			Non-Guarantor			Eliminations			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	165,293		$	1,795		$	—		$	—		$	167,088
Accounts receivable - oil and gas	25,070			545			—			—			25,615
Accounts receivable - related parties	33,806			1,042			—			—			34,848
Accounts receivable - intercompany	15,368			—			—			(15,368		)	—
Prepaid expenses and other current assets	1,506			—			—			—			1,506
Short-term derivative instruments	664			—			—			—			664
Total current assets	241,707			3,382			—			(15,368		)	229,721
Property and equipment:
Oil and natural gas properties, full-cost accounting,	1,606,172			4,918			—			—			1,611,090
Other property and equipment	8,642			20			—			—			8,662
Accumulated depletion, depreciation, amortization and impairment	(665,864		)	(20		)	—			—			(665,884		)
Property and equipment, net	948,950			4,918			—			—			953,868
Other assets:
Equity investments and investments in subsidiaries	374,209			—			172,766			(165,491		)	381,484
Other assets	13,295			—			—			—			13,295
Total other assets	387,504			—			172,766			(165,491		)	394,779
Deferred tax asset	—			—			—			—			—
Total assets	$	1,578,161		$	8,300		$	172,766		$	(180,859	)	$	1,578,368
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued liabilities	$	110,037		$	207		$	—		$	—		$	110,244
Accounts payable - intercompany	—			15,259			109			(15,368		)	—
Asset retirement obligation - current	60			—			—			—			60
Short-term derivative instruments	10,442			—			—			—			10,442
Current maturities of long-term debt	150			—			—			—			150
Total current liabilities	120,689			15,466			109			(15,368		)	120,896
Asset retirement obligation - long-term	13,215			—			—			—			13,215
Deferred tax liability	18,607			—			—			—			18,607
Long-term debt, net of current maturities	298,888			—			—			—			298,888
Other non-current liabilities	354			—			—			—			354
Total liabilities	451,753			15,466			109			(15,368		)	451,960
Stockholders' equity:
Common stock	674			—			—			—			674
Paid-in capital	1,036,245			322			174,348			(174,670		)	1,036,245
Accumulated other comprehensive income (loss)	(3,429		)	—			2,442			(2,442		)	(3,429		)
Retained earnings (accumulated deficit)	92,918			(7,488		)	(4,133		)	11,621			92,918
Total stockholders' equity	1,126,408			(7,166		)	172,657			(165,491		)	1,126,408
Total liabilities and stockholders' equity	$	1,578,161		$	8,300		$	172,766		$	(180,859	)	$	1,578,368

Condensed Consolidating Statements of Operations

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Amounts in thousands)

	Three Months Ended June 30, 2013
	Parent			Guarantors		Non-Guarantor			Eliminations			Consolidated
Total revenues	$	70,033		$	401	$	—		$	—		$	70,434
Costs and expenses:
Lease operating expenses	5,714			164		—			—			5,878
Production taxes	8,316			25		—			—			8,341
Depreciation, depletion, and amortization	28,539			1		—			—			28,540
General and administrative	4,859			38		3			—			4,900
Accretion expense	174			—		—			—			174
Loss on sale of assets	145			—		—			—			145
	47,747			228		3			—			47,978
INCOME (LOSS) FROM OPERATIONS	22,286			173		(3		)	—			22,456
OTHER (INCOME) EXPENSE:
Interest expense	3,284			—		—			—			3,284
Interest income	(62		)	—		—			—			(62		)
(Income) loss from equity method investments and investments in subsidiaries	(50,278		)	—		730			(560		)	(50,108		)
	(47,056		)	—		730			(560		)	(46,886		)
INCOME (LOSS) BEFORE INCOME TAXES	69,342			173		(733		)	560			69,342
INCOME TAX EXPENSE	25,514			—		—			—			25,514
NET INCOME (LOSS)	$	43,828		$	173	$	(733	)	$	560		$	43,828

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Amounts in thousands)

	Three Months Ended June 30, 2012
	Parent			Guarantors		Non-Guarantor			Eliminations			Consolidated
Total revenues	$	65,938		$	387	$	—		$	—		$	66,325
Costs and expenses:
Lease operating expenses	5,573			141		—			—			5,714
Production taxes	7,543			29		—			—			7,572
Depreciation, depletion, and amortization	23,652			—		—			—			23,652
General and administrative	3,240			22		1			—			3,263
Accretion expense	177			—		—			—			177
	40,185			192		1			—			40,378
INCOME (LOSS) FROM OPERATIONS	25,753			195		(1		)	—			25,947
OTHER (INCOME) EXPENSE:
Interest expense	474			—		—			—			474
Interest income	(4		)	—		—			—			(4		)
(Income) loss from equity method investments and investments in subsidiaries	166			—		306			(112		)	360
	636			—		306			(112		)	830
INCOME (LOSS) BEFORE INCOME TAXES	25,117			195		(307		)	112			25,117
INCOME TAX EXPENSE	—			—		—			—			—
NET INCOME (LOSS)	$	25,117		$	195	$	(307	)	$	112		$	25,117

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Amounts in thousands)

	Six Months Ended June 30, 2013
	Parent			Guarantors		Non-Guarantor			Eliminations			Consolidated
Total revenues	$	124,695		$	739	$	—		$	—		$	125,434
Costs and expenses:
Lease operating expenses	10,712			338		—			—			11,050
Production taxes	15,577			51		—			—			15,628
Depreciation, depletion, and amortization	51,122			1		—			—			51,123
General and administrative	9,237			72		3			—			9,312
Accretion expense	349			—		—			—			349
Loss on sale of assets	572			—		—			—			572
	87,569			462		3			—			88,034
INCOME (LOSS) FROM OPERATIONS	37,126			277		(3		)	—			37,400
OTHER (INCOME) EXPENSE:
Interest expense	6,763			—		—			—			6,763
Interest income	(141		)	—		—			—			(141		)
(Income) loss from equity method investments and investments in subsidiaries	(111,592		)	—		1,262			(988		)	(111,318		)
	(104,970		)	—		1,262			(988		)	(104,696		)
INCOME (LOSS) BEFORE INCOME TAXES	142,096			277		(1,265		)	988			142,096
INCOME TAX EXPENSE	53,709			—		—			—			53,709
NET INCOME (LOSS)	$	88,387		$	277	$	(1,265	)	$	988		$	88,387

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

(Amounts in thousands)

	Six Months Ended June 30, 2012
	Parent			Guarantors		Non-Guarantor			Eliminations			Consolidated
Total revenues	$	131,103		$	683	$	—		$	—		$	131,786
Costs and expenses:
Lease operating expenses	11,218			345		—			—			11,563
Production taxes	15,290			51		—			—			15,341
Depreciation, depletion, and amortization	45,047			—		—			—			45,047
General and administrative	6,204			42		26			—			6,272
Accretion expense	353			—		—			—			353
	78,112			438		26			—			78,576
INCOME (LOSS) FROM OPERATIONS	52,991			245		(26		)	—			53,210
OTHER (INCOME) EXPENSE:
Interest expense	627			—		—			—			627
Interest income	(31		)	—		—			—			(31		)
(Income) loss from equity method investments and investments in subsidiaries	409			—		584			(365		)	628
	1,005			—		584			(365		)	1,224
INCOME (LOSS) BEFORE INCOME TAXES	51,986			245		(610		)	365			51,986
INCOME TAX EXPENSE	—			—		—			—			—
NET INCOME (LOSS)	$	51,986		$	245	$	(610	)	$	365		$	51,986

Condensed Consolidating Statements of Comprehensive Income (Loss)

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Amounts in thousands)

	Three Months Ended June 30, 2013
	Parent			Guarantors		Non-Guarantor			Eliminations		Consolidated
Net income (loss)	$	43,828		$	173	$	(733	)	$	560	$	43,828
Foreign currency translation adjustment	(6,113		)	—		(6,113		)	6,113		(6,113		)
Change in fair value of derivative instruments, net of taxes	356			—		—			—		356
Reclassification of settled contracts, net of taxes	1,404			—		—			—		1,404
Other comprehensive income (loss)	(4,353		)	—		(6,113		)	6,113		(4,353		)
Comprehensive income (loss)	$	39,475		$	173	$	(6,846	)	$	6,673	$	39,475

	Three Months Ended June 30, 2012
	Parent			Guarantors		Non-Guarantor			Eliminations		Consolidated
Net income (loss)	$	25,117		$	195	$	(307	)	$	112	$	25,117
Foreign currency translation adjustment	(2,865		)	—		(2,865		)	2,865		(2,865		)
Change in fair value of derivative instruments, net of taxes	18,194			—		—			—		18,194
Reclassification of settled contracts, net of taxes	561			—		—			—		561
Other comprehensive income (loss)	15,890			—		(2,865		)	2,865		15,890
Comprehensive income	$	41,007		$	195	$	(3,172	)	$	2,977	$	41,007

	Six Months Ended June 30, 2013
	Parent			Guarantors		Non-Guarantor			Eliminations		Consolidated
Net income (loss)	$	88,387		$	277	$	(1,265	)	$	988	$	88,387
Foreign currency translation adjustment	(9,680		)	—		(9,680		)	9,680		(9,680		)
Change in fair value of derivative instruments, net of taxes	(1,074		)	—		—			—		(1,074		)
Reclassification of settled contracts, net of taxes	3,201			—		—			—		3,201
Other comprehensive income (loss)	(7,553		)	—		(9,680		)	9,680		(7,553		)
Comprehensive income	$	80,834		$	277	$	(10,945	)	$	10,668	$	80,834

	Six Months Ended June 30, 2012
	Parent			Guarantors		Non-Guarantor			Eliminations		Consolidated
Net income (loss)	$	51,986		$	245	$	(610	)	$	365	$	51,986
Foreign currency translation adjustment	(1,926		)	—		(1,926		)	1,926		(1,926		)
Change in fair value of derivative instruments, net of taxes	7,573			—		—			—		7,573
Reclassification of settled contracts, net of taxes	461			—		—			—		461
Other comprehensive income (loss)	6,108			—		(1,926		)	1,926		6,108
Comprehensive income	$	58,094		$	245	$	(2,536	)	$	2,291	$	58,094

Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

(Amounts in thousands)

	Six Months Ended June 30, 2013
	Parent			Guarantors			Non-Guarantor			Eliminations			Consolidated
Net cash provided by (used in) operating activities	$	73,633		$	(88	)	$	—		$	—		$	73,545
Net cash provided by (used in) investing activities	(383,817		)	(712		)	(15,055		)	15,055			(384,529		)
Net cash provided by (used in) financing activities	358,281			—			15,055			(15,055		)	358,281
Net increase (decrease) in cash and cash equivalents	48,097			(800		)	—			—			47,297
Cash and cash equivalents at beginning of period	165,293			1,795			—			—			167,088
Cash and cash equivalents at end of period	$	213,390		$	995		$	—		$	—		$	214,385

	Six Months Ended June 30, 2012
	Parent			Guarantors			Non-Guarantor			Eliminations			Consolidated
Net cash provided by operating activities	$	98,827		$	670		$	—		$	—		$	99,497
Net cash provided by (used in) investing activities	(253,175		)	(1,091		)	(78,312		)	78,312			(254,266		)
Net cash provided by (used in) financing activities	67,485			—			78,312			(78,312		)	67,485
Net increase (decrease) in cash and cash equivalents	(86,863		)	(421		)	—			—			(87,284		)
Cash and cash equivalents at beginning of period	93,124			772			1			—			93,897
Cash and cash equivalents at end of period	$	6,261		$	351		$	1		$	—		$	6,613