Related Parties and Other Matters

12 Months Ended

Dec. 31, 2016

Related Party Transactions [Abstract]

Related Parties and Other Matters

Related Parties and Other Matters

During 2011, we entered into an asset contribution and share subscription agreement that involved our acquiring certain assets and liabilities from GES and Independence Contract Drilling LLC. One of our directors was a director of the ultimate parent company of GES as of December 31, 2016, and one of our directors was a director of the ultimate parent company of GES through May 31, 2015. The director who continues to serve as a director of the ultimate parent company of GES is also the director of a fund that owned a portion of the ultimate parent company of GES as of December 31, 2016. We did not make any purchases from GES during the twelve months ended December 31, 2016 or 2015.

We purchased certain items used in the construction of our drilling rigs from a former affiliate of GES. This vendor was sold by GES to a third party during the second quarter of 2015 and was no longer a related party. Total purchases from the vendor while it was a related party amounted to $1.2 million and $2.2 million, during the twelve months ended December 31, 2015 and 2014, respectively. We had outstanding payables with this vendor totaling $0.5 million as of December 31, 2014.

One of our directors was a director of one of our vendors during 2016, 2015 and 2014, from which we purchase oilfield equipment and related supplies. Total purchases from this vendor were $1.3 million, $5.1 million and $8.6 million in 2016, 2015 and 2014, respectively. We had outstanding payables of $20.0 thousand, $0.1 million and $0.4 million as of December 31, 2016, 2015 and 2014, respectively.

From the beginning of 2015 through the second quarter of 2016, the son of an executive officer and director of the Company worked in a sales capacity at, and became a minority owner of, a vendor from which we purchase oilfield equipment and related supplies. Total purchases from this vendor through the second quarter of 2016 and for the year ended December 31, 2015 were $0.1 million and $0.1 million, respectively. We had outstanding accounts payables of $12.0 thousand and $0.1 million as of June 30, 2016 and December 31, 2015, respectively. Prior to 2015, the son of this executive officer and director worked in a sales capacity at a separate vendor from whom we purchase oilfield equipment and related supplies.  Total purchases from that vendor were $1.7 million in 2014.  We had outstanding payables with that vendor of $0.6 million as of December 31, 2014.