Annual report pursuant to Section 13 and 15(d)

Supplemental Information On Oil And Gas Exploration And Production Activities (Unaudited) (Tables)

v3.3.1.900
Supplemental Information On Oil And Gas Exploration And Production Activities (Unaudited) (Tables)
 12 Months Ended
Dec. 31, 2015
Extractive Industries [Abstract]  
Capitalized Costs Relating to Oil and Gas Producing Activities
Capitalized Costs Related to Oil and Gas Producing Activities
 
 
2015
 
2014
 
(In thousands)
Proven properties
$
3,606,641

 
$
2,457,616

Unproven properties
1,817,701

 
1,465,538

 
5,424,342

 
3,923,154

Accumulated depreciation, depletion, amortization and impairment reserve
(2,820,113
)
 
(1,044,273
)
Net capitalized costs
$
2,604,229

 
$
2,878,881

 
 
 
 
Equity investment in Grizzly Oil Sands ULC
 
 
 
Proven properties
$
81,473

 
$
96,859

Unproven properties
82,388

 
103,160

 
163,861

 
200,019

Accumulated depreciation, depletion, amortization and impairment reserve
(1,531
)
 
(1,248
)
Net capitalized costs
$
162,330

 
$
198,771

Cost Incurred in Oil and Gas Property Acquisition, Exploration, and Development Activities
Costs Incurred in Oil and Gas Property Acquisition and Development Activities
 
 
2015
 
2014
 
2013
 
(In thousands)
Acquisition
$
810,755

 
$
440,288

 
$
338,153

Development of proved undeveloped properties
642,811

 
864,511

 
408,121

Exploratory
—

 
2,249

 
26,174

Recompletions
13,894

 
45,658

 
44,633

Capitalized asset retirement obligation
8,800

 
2,095

 
3,556

Total
$
1,476,260

 
$
1,354,801

 
$
820,637

 
 
 
 
 
 
Equity investment in Diamondback Energy, Inc.
 
 
 
 
 
Acquisition
$
—

 
$
—

 
$
44,534

Development of proved undeveloped properties
—

 
—

 
6,369

Exploratory
—

 
—

 
17,491

Capitalized asset retirement obligation
—

 
—

 
50

Total
$
—

 
$
—

 
$
68,444

 
 
 
 
 
 
Equity investment in Grizzly Oil Sands ULC
 
 
 
 
 
Acquisition
$
396

 
$
1,230

 
$
—

Development of proved undeveloped properties
47

 
7,107

 
—

Exploratory


 
—

 
—

Capitalized asset retirement obligation
282

 
1,055

 
—

Total
$
725

 
$
9,392

 
$
—

Results of Operations for Producing Activities
The results of operations exclude general office overhead and interest expense attributable to oil and gas production.
 
 
2015
 
2014
 
2013
 
(In thousands)
Revenues
$
708,990

 
$
670,762

 
$
262,225

Production costs
(222,805
)
 
(140,664
)
 
(64,666
)
Depletion
(335,288
)
 
(263,946
)
 
(118,118
)
Impairment
(1,440,418
)
 
—

—

—

 
(1,289,521
)
 
266,152

 
79,441

Income tax (benefit) expense
 
 
 
 
 
Current
—

 
—

 
—

Deferred
(220,201
)
 
96,061

 
49,447

 
(220,201
)
 
96,061

 
49,447

Results of operations from producing activities
$
(1,069,320
)
 
$
170,091

 
$
29,994

Depletion per Mcf of gas equivalent (Mcfe)
$
1.68

 
$
3.01

 
$
4.78

 
 
 
 
 
 
Results of Operations from equity method investment in Diamondback Energy, Inc.
 
 
 
 
 
Revenues
$
—

 
$
—

 
$
14,976

Production costs
—

 
—

 
(2,518
)
Depletion
—

 
—

 
(4,754
)
 
—

 
—

 
7,704

Income tax expense
—

 
—

 
2,286

Results of operations from producing activities
$
—

 
$
—

 
$
5,418

 
 
 
 
 
 
Results of Operations from equity method investment in Grizzly Oil Sands ULC
 
 
 
 
 
Revenues
$
1,436

 
$
5,449

 
$
—

Production costs
(1,549
)
 
(10,113
)
 
—

Depletion
(625
)
 
(1,195
)
 
—

 
(738
)
 
(5,859
)
 
—

Income tax expense
—

 
—

 
—

Results of operations from producing activities
$
(738
)
 
$
(5,859
)
 
$
—

 
 
 
 
 
 
Oil And Gas Reserves
These estimates are reviewed annually and revised, either upward or downward, as warranted by additional performance data.
 
 
2015
 
2014
 
2013
 
Oil
 
Gas
 
NGL
 
Oil
 
Gas
 
NGL
 
Oil
 
Gas
 
NGL
 
(MBbls)
 
(MMcf)
 
(MBbls)
 
(MBbls)
 
(MMcf)
 
(MBbls)
 
(MBbls)
 
(MMcf)
 
(MBbls)
Proved Reserves
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning of the period
9,497

 
719,006

 
26,268

 
8,346

 
146,446

 
5,675

 
8,106

 
33,771

 
145

Purchases in oil and gas reserves in place
—

 
371,663

 
—

 
173

 
8,863

 
353

 
—

 
—

 
—

Extensions and discoveries
2,413

 
997,057

 
5,486

 
4,975

 
629,151

 
22,594

 
2,765

 
123,597

 
5,850

Revisions of prior reserve estimates
(2,553
)
 
(371,430
)
 
(9,594
)
 
(1,313
)
 
(6,136
)
 
(304
)
 
(208
)
 
(2,031
)
 
—

Current production
(2,899
)
 
(156,151
)
 
(4,424
)
 
(2,684
)
 
(59,318
)
 
(2,050
)
 
(2,317
)
 
(8,891
)
 
(320
)
End of period
6,458

 
1,560,145

 
17,736

 
9,497

 
719,006

 
26,268

 
8,346

 
146,446

 
5,675

Proved developed reserves
6,120

 
652,961

 
12,910

 
5,719

 
345,166

 
12,379

 
5,609

 
94,552

 
3,527

Proved undeveloped reserves
338

 
907,184

 
4,826

 
3,778

 
373,840

 
13,889

 
2,737

 
51,894

 
2,148

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity investment in Diamondback Energy, Inc.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proved Reserves
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning of the period
—

 
—

 
—

 
—

 
—

 
—

 
5,606

 
7,398

 
1,766

Change in ownership interest in Diamondback
—

 
—

 
—

 
—

 
—

 
—

 
(3,720
)
 
(4,909
)
 
(1,171
)
Purchases in oil and gas reserves in place
—

 
—

 
—

 
—

 
—

 
—

 
528

 
752

 
120

Extensions and discoveries
—

 
—

 
—

 
—

 
—

 
—

 
1,227

 
1,741

 
331

Revisions of prior reserve estimates
—

 
—

 
—

 
—

 
—

 
—

 
(428
)
 
(417
)
 
(249
)
Current production
—

 
—

 
—

 
—

 
—

 
—

 
(146
)
 
(124
)
 
(26
)
End of period
—

 
—

 
—

 
—

 
—

 
—

 
3,067

 
4,441

 
771

Proved developed reserves
—

 
—

 
—

 
—

 
—

 
—

 
1,425

 
2,263

 
358

Proved undeveloped reserves
—

 
—

 
—

 
—

 
—

 
—

 
1,642

 
2,178

 
413

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity investment in Grizzly Oil Sands ULC
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning of the period
14,558

 
—

 
—

 
13,637

 
—

 
—

 
—

 
—

 
—

Purchases in oil and gas reserves in place
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Extensions and discoveries
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Revisions of prior reserve estimates
(14,530
)
 
—

 
—

 
990

 
—

 
—

 
—

 
—

 
—

Current production
(28
)
 
—

 
—

 
(69
)
 
—

 
—

 
—

 
—

 
—

End of period
—

 
—

 
—

 
14,558

 
—

 
—

 
—

 
—

 
—

Proved developed reserves
—

 
—

 
—

 
1,632

 
—

 
—

 
—

 
—

 
—

Proved undeveloped reserves
—

 
—

 
—

 
12,926

 
—

 
—

 
—

 
—

 
—

Standardized Measure of Discounted Future Net Cash Flows Relating to Proved Oil and Gas Reserves (Unaudited)
Standardized Measure of Discounted Future Net Cash Flows Relating to Proved Oil and Gas Reserves  
 
Year ended December 31,
 
2015
 
2014
 
2013
 
(In thousands)
Future cash flows
$
3,043,450

 
$
4,667,678

 
$
1,657,708

Future development and abandonment costs
(877,660
)
 
(719,898
)
 
(272,500
)
Future production costs
(941,243
)
 
(880,427
)
 
(274,428
)
Future production taxes
(58,169
)
 
(71,229
)
 
(78,647
)
Future income taxes
(2,648
)
 
(693,154
)
 
(172,691
)
Future net cash flows
1,163,730

 
2,302,970

 
859,442

10% discount to reflect timing of cash flows
(399,399
)
 
(875,803
)
 
(280,976
)
Standardized measure of discounted future net cash flows
$
764,331

 
$
1,427,167

 
$
578,466

 
 
 
 
 
 
Equity investment in Diamondback Energy, Inc. Standardized measure of discounted cash flows
 
 
 
 
 
Future cash flows
$
—

 
$
—

 
$
331,505

Future development and abandonment costs
—

 
—

 
(37,229
)
Future production costs
—

 
—

 
(58,096
)
Future production taxes
—

 
—

 
(22,925
)
Future income taxes
—

 
—

 
(48,547
)
Future net cash flows
—

 
—

 
164,708

10% discount to reflect timing of cash flows
—

 
—

 
(94,462
)
Standardized measure of discounted future net cash flows
$
—

 
$
—

 
$
70,246

 
 
 
 
 
 
Equity investment in Grizzly Oil Sands ULC Standardized measure of discounted cash flows
 
 
 
 
 
Future cash flows
$
—

 
$
754,720

 
$
—

Future development and abandonment costs
—

 
(205,242
)
 
—

Future production costs
—

 
(291,988
)
 
—

Future production taxes
—

 
—

 
—

Future income taxes
—

 
(11,250
)
 
—

Future net cash flows
—

 
246,240

 
—

10% discount to reflect timing of cash flows


 
(152,494
)
 
—

Standardized measure of discounted future net cash flows
$
—

 
$
93,746

 
$
—

Changes In Standardized Measure Of Discounted Future Net Cash Flows Relating To Proved Oil And Gas Reserves
Changes in Standardized Measure of Discounted Future Net Cash Flows Relating to Proved Oil and Gas Reserves
 
 
Year ended December 31,
 
2015
 
2014
 
2013
 
(In thousands)
Sales and transfers of oil and gas produced, net of production costs
$
(486,185
)
 
$
(530,098
)
 
$
(197,559
)
Net changes in prices, production costs, and development costs
(1,412,181
)
 
97,716

 
65,573

Acquisition of oil and gas reserves in place
83,340

 
14,266

 
—

Extensions and discoveries
262,895

 
790,533

 
130,826

Previously estimated development costs incurred during the period
117,540

 
68,227

 
43,478

Revisions of previous quantity estimates, less related production costs
(98,162
)
 
(37,801
)
 
(3,591
)
Accretion of discount
142,717

 
57,847

 
34,864

Net changes in income taxes
412,240

 
(295,226
)
 
(30,239
)
Change in production rates and other
314,960

 
683,237

 
186,473

Total change in standardized measure of discounted future net cash flows
$
(662,836
)
 
$
848,701

 
$
229,825

 
 
 
 
 
 
Equity investment in Diamondback Energy, Inc. Changes in standardized measure of discounted cash flows
 
 
 
 
 
Change in ownership interest in Diamondback
$
—

 
$
—

 
$
(52,145
)
Sales and transfers of oil and gas produced, net of production costs
—

 
—

 
(12,524
)
Net changes in prices, production costs, and development costs
—

 
—

 
3,312

Acquisition of oil and gas reserves in place
—

 
—

 
21,968

Extensions and discoveries
—

 
—

 
39,776

Previously estimated development costs incurred during the period
—

 
—

 
5,517

Revisions of previous quantity estimates, less related production costs
—

 
—

 
(9,143
)
Accretion of discount
—

 
—

 
4,175

Net changes in income taxes
—

 
—

 
(12,137
)
Change in production rates and other
—

 
—

 
2,862

Total change in standardized measure of discounted future net cash flows
$
—

 
$
—

 
$
(8,339
)
 
 
 
 
 
 
Equity investment in Grizzly Oil Sands ULC Changes in standardized measure of discounted cash flows
 
 
 
 
 
Sales and transfers of oil and gas produced, net of production costs
$
114

 
$
4,664

 
$
—

Net changes in prices, production costs, and development costs
—

 
(76,518
)
 
—

Acquisition of oil and gas reserves in place
—

 
—

 
—

Extensions and discoveries
—

 
7,107

 
—

Previously estimated development costs incurred during the period
47

 
—

 
—

Revisions of previous quantity estimates, less related production costs
(103,282
)
 
10,659

 
—

Accretion of discount
9,375

 
14,946

 
—

Net changes in income taxes
—

 
9,162

 
—

Change in production rates and other
—

 
(25,738
)
 
—

Total change in standardized measure of discounted future net cash flows
$
(93,746
)
 
$
(55,718
)
 
$
—