EX-12.1 47 d608312dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

TALOS ENERGY INC.

(FORMERLY KNOWN AS TALOS ENERGY LLC)

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In thousands)

 

                  Talos
Energy
Predecessor		  
     Six Months Ended
June 30,		      Year Ended December 31,     January 1,
2013
through
February 5,
2013		  
     2018     2017      2017     2016     2015     2014     2013  

Fixed charges:

                    

Interest expense

    $ 41,420     $ 39,577      $ 80,934     $ 70,415     $ 51,544     $ 45,159     $ 32,891     $ 1,489  

Capitalized interest

      13       —          584       433       3,930       2,578       149       —    

Interest component of rent

      156       145        275       3,415       6,277       5,537       3,957       —    
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total fixed charges

    $ 41,589     $ 39,722      $ 81,793     $ 74,263     $ 61,751     $ 53,274     $ 36,997     $ 1,489  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Earnings available for fixed charges:

                    

Net income (loss)

    $ (97,855 )    $ 59,069      $ (62,868 )    $ (208,087 )    $ (646,685 )    $ 309,419     $ 57,928     $ (938 ) 

Total fixed charges

      41,589       39,722        81,793       74,263       61,751       53,274       36,997       1,489  

Capitalized interest

      (13 )      —          (584 )      (433 )      (3,930 )      (2,578 )      (149 )      —    
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total earnings available for fixed charges

    $ (56,279 )    $ 98,791      $ 18,341     $ (134,257 )    $ (588,864 )    $ 360,115     $ 94,776     $ 551  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Ratio of earnings to fixed charges(1)

      —         2.49x        —         —         —         6.76x       2.56x       —    
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

  (1)

For the six months ended June 30, 2018, earnings were inadequate to cover fixed charges by $97.9 million. For the years ended December 31, 2017, 2016 and 2015, earnings were inadequate to cover fixed charges by $63.5 million, $208.5 million and $650.6 million, respectively. For the predecessor period from January 1, 2013 through February 5, 2013, earnings were inadequate to cover fixed charges by $0.9 million.

For purposes of computing these ratios, earnings available for fixed charges means net income (loss) before provision (benefit) for income taxes plus fixed charges less capitalized interest. Fixed charges consist of interest expense (both expensed and capitalized), amortization of debt costs and that portion of rental expense we believe reflects a reasonable approximation of the interest component of rent expense.