INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2013

INCOME TAXES

Components of deferred tax assets

	2013			2012
Current deferred tax assets:
Other current deferred tax assets	$	162		$	60
Total current temporary differences		162			60
Less: valuation allowance		(162	)		(60	)
Net current deferred tax assets	$	—		$	—
Non-current deferred tax assets
Stock compensation	$	2,314		$	1,999
Property and Equipment		—			28
Oil and gas properties		20,244			46,194
Capital loss		143			—
Total non-current deferred tax assets	$	22,701		$	48,221
Non-current deferred tax liabilities
Property and Equipment		(21	)		—
Net operating losses		28,006			22,751
		50,686			70,972
Less: valuation allowance		(50,686	)		(70,972	)
Net non-current deferred tax assets (liabilities)	$	—		$	—

Reconciliation of actual taxes

	2013			2012			2011
Income tax (benefit) at the statutory federal rate (35%)	$	(6,461	)	$	(52,256	)	$	(3,933	)
Increase (decrease) resulting from nondeductible stock compensation		349			1,454			(515	)
Reduction of net operating losses related to excess tax benefits from non-qualifying stock options		(68	)		854			—
Increase (decrease) resulting from nontaxable gain on derivative liability		—			—			270
Deemed taxable income not recognized for book purposes from Tullow carried well costs		12,950			—			—
Non-deductible capital loss		7,875			—			—
Reserve against US net operating loss upon transfer of the Concession to non-US tax jurisdiction		5,485
Other, net		216			1,403			14
Change in valuation allowance		(20,346	)		48,545			4,164
Net income tax expense	$	—		$	—		$	—

Summary of activity related to gross unrecognized tax benefits

	Federal, State and Foreign Tax
	(In thousands)
Balance at July 1, 2010	$	5,485
Additions to tax positions related to the current year		—
Additions to tax positions related to prior years		—
Statute expirations		—
Balance at June 30, 2011	$	5,485
Additions to tax positions related to the current year		—
Additions to tax positions related to prior years		—
Statute expirations		—
Balance at June 30, 2012	$	5,485
Additions to tax positions related to the current year		—
Additions to tax positions related to prior years		—
Statute expirations		—
Balance at June 30, 2013	$	5,485