Delaware | 001-37670 | 81-0874035 | ||
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (IRS Employer Identification No.) |
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit Number | Description | |
99.1 |
Lonestar Resources US Inc. | ||||||||||||||
Dated: November 11, 2019 | By: | /s/ Gregory R. Packer | ||||||||||||
Name: | Gregory R. Packer | |||||||||||||
Title: | Vice President, General Counsel & Corporate Secretary |
• | Production Increases 45%, Exceeds Guidance- Lonestar reported a 45% increase in net oil and gas production to a Company-record 18,097 BOE/d during the three months ended September 30, 2019 ("3Q19"), compared to 12,471 BOE/d for the three months ended September 30, 2018 ("3Q18"). Reported production volumes exceeded the Company’s guidance of 17,000 - 17,500 BOE/d, and also represented a 33% sequential increase in production. Production was comprised of 67% crude oil and NGL’s on an equivalent basis. Excellent execution of a large number of high-rate wells in our 2019 capital program fueled these results. |
• | More High-Rate Completions- Lonestar’s 2019 drilling program continues to deliver outstanding results. In DeWitt County, our Buchhorn #4H-#6H wells, which delivered average Max-30 IP’s of 2,494 BOE/d, are performing extremely well, in spite of a variety of temporary constraints. In Brazos County, the Smith Family Ranch well has delivered an IP of 1,258 BOE/d. Most recently, the Company brought the FMC EB #A1H and #B2H wells online in October which have exhibited promising productivity, averaging 1,179 BOE/d on a three-stream basis, 86% of which is crude oil. |
• | Net Income Rises- Lonestar reported net income attributable to its common stockholders of $14.1 million during 3Q19 compared to a net loss of $21.7 million during 3Q18, or a net income of $0.33 and a net loss of $0.88 per diluted common share, respectively. |
• | EBITDAX Increases 12%- Lonestar reported Adjusted EBITDAX for 3Q19 of $37.1 million. On a sequential basis, Adjusted EBITDAX increased 12%, as a 33% increase in production more than offset a 24% decrease in wellhead prices. Please see Non-GAAP Financial Measures at the end of this release for the definition of Adjusted EBITDAX, a reconciliation of net income (loss) to Adjusted EBITDAX, and the reasons for its use. |
• | Robust Hedging Program Protects Prices- Lonestar continues to utilize commodity derivatives to create a higher degree of certainty in our cash flows and returns while mitigating financial risk. Lonestar has crude swap volumes of 7,212 Bbls/d for the remainder of 2019 ("Bal '19") at an average WTI price of $54.54/bbl and added hedges which bring total swap volumes to 7,480 bbls/d for Cal ‘20 at an average WTI price of $56.95/bbl, and 4,000 Bbls/d for Cal '21 at an average WTI price of $53.93/bbl. Lonestar also has Henry Hub natural gas swaps covering 15,000 MMBTU/d at a weighted-average price of $2.87 per MMBTU for Bal '19 and has 20,000 MMBTU/d of Henry Hub natural gas swaps for Cal '20 at an average price of $2.58 per MMBTU, significantly insulating Lonestar from fluctuations in the commodity markets. |
• | 4Q19 Guidance- Lonestar has issued production guidance of 17,200 to 17,600 BOE/d for 4Q19. Production rates remain relatively flat quarter over quarter as the pace of capital spending and completions is reduced for the fourth quarter (2 gross / 2.0 net new wells at Marquis) as the Company completes its 2019 program. Given current strip pricing for the oil and gas benchmarks, the Company has issued EBITDAX guidance of $32.0 to $34.0 million for 4Q19. |
• | Production- Lonestar reported net oil and gas production of 18,097 BOE/d during the three months ended September 30, 2019, representing a 45% increase year-over-year and a 33% increase sequentially vs. 2Q19 production of 13,630 BOE/d. 3Q19 production volumes consisted of 7,885 barrels of oil per day (44%), 4,209 barrels of NGLs per day (23%), and 36,019 Mcf of natural gas per day (33%). |
• | Pricing- Lonestar’s Eagle Ford Shale assets continued to deliver favorable wellhead realizations in 3Q19. Lonestar’s wellhead crude oil price realization was $58.16/bbl, which reflects a premium of $1.71/bbl vs. West Texas Intermediate. Lonestar’s realized NGL price was $8.88/bbl, or 16% of WTI. This was largely the result of a sharp drop in ethane, which fell as much as 70% from 1Q19 prices, and propane and other heavy liquids pricing, which fell as much as 44% from 1Q19 prices. Lonestar’s realized wellhead natural gas price was $2.27 per Mcf, reflecting a $0.11 discount to Henry Hub. This discount to Henry Hub was largely driven by the increase in gas sales at the beginning of the quarter with the additions of our 5 highest producing gas wells beginning flowback operations in June and July, the Horned Frog F #A1H, Horned Frog F #B1H, Buchhorn #4H, Buchhorn #5H, and Buchhorn #6H. |
• | Revenues- Operating revenues increased sequentially by $0.9 million to $53.1 million, or 2%, compared to 2Q19, primarily driven by a 33% increase in production offset by a 24% decrease in commodity price realizations. |
• | Expenses- Lonestar’s ramp-up in production has generated a powerful reduction in its cash unit-cost structure. Total cash expenses, which include the cash portions of lease operating, gathering, processing, transportation, production taxes, general & administrative, and interest expenses were $26.8 million for 3Q19. While 3Q19 cash operating costs rose 6% sequentially compared to $25.3 million in 2Q19, continued strong volume growth yielded a 21% reduction on a per-unit basis from $20.43 per BOE in 2Q19 to $16.09 per BOE in 3Q19. |
• | Lease Operating Expenses ("LOE"), excluding rig standby costs of $0.1 million, were $8.8 million for 3Q19, which was 19% higher than LOE of $7.4 million in 2Q19. However, on a unit-of-production basis, LOE per BOE were reduced 11% sequentially to $5.29 per in 3Q19. |
• | Gathering, Processing & Transportation Expenses ("GP&T") for 3Q19 were $1.1 million, which was 11% lower than the GP&T of $1.2 million in the three months ended 2Q19. On a unit-of-production basis, GP&T decreased 33% sequentially from $1.00 per BOE in 2Q19 to $0.66 per BOE in 3Q19. |
• | Production and ad valorem taxes for 3Q19 were $3.0 million, which was 7% higher than production taxes of $2.8 million in 2Q19. On a unit-of-production basis, production and ad valorem taxes decreased 20% sequentially from $2.27 in 2Q19 to $1.81 per BOE in 3Q19. |
• | General & Administrative Expenses ("G&A") in 3Q19 were $4.1 million vs. $3.8 million in 2Q19. G&A Expenses, excluding stock-based compensation of $0.1 million in 2Q19 and $0.9 million in 3Q19, decreased from $3.7 million to $3.2 million, respectively. Excluding stock-based compensation, on a unit-of-production basis G&A per BOE decreased 37% sequentially from $3.02 per BOE in 2Q19 to $1.91 per BOE in 3Q19. |
• | Interest expense was $11.3 million for 3Q19 vs. $10.8 million for 2Q19. Interest expense excluding amortization of debt issuance cost, premiums, and discounts increased 5% sequentially from $10.2 million in 2Q19 to $10.7 |
• | Capital Spending- The Company’s drilling program has proceeded rapidly this year, with 17 of its planned 20 drill wells finished by August 2019. The Company ran a two-rig program from February to August 2019, resulting in a concentration of drilling and completion expenditures in the third quarter of 2019. The compressed intensity of activity resulted in a concentration of drilling and completion ("D&C") expenditures in the third quarter, totaling $46.2 million of D&C spending, compared to $25.9 million in 1Q19 and $37.2 million in 2Q19. The remaining $7.9 million of the reported capital spending of $54.1 million was on a combination of lease acquisitions in the Horned Frog and Cyclone Hawkeye areas and most significantly, on upgrades and expansions of centralized gathering, processing and treatment facilities, principally at Horned Frog and Sooner, which were required for both higher-than-expected rates on new wells and much higher anticipated volumes resulting from additional development in 2020 and beyond. Based on these considerations, Lonestar expects drilling and completions expenditures to range from between $15 and $18 million in 4Q19. |
• | 2019 Activity- In the nine months ended September 30,2019, the Company had placed 15 of its 20 planned wells into production, and in October placed 2 gross / 2.0 net wells onstream on its Marquis property. These wells are our first wells drilled and completed at our Marquis acquisition that closed in June 2017. Flowback results are promising results, and at the present, Lonestar’s recent Marquis completions are conclude expected flowback activity for 2019. Lonestar deferred the commencement of drilling operations on its 3-well Cyclone pad to await the upgrade of a new rig which it put under contract at favorable day rates. Consequently, Lonestar anticipates fracture stimulation operations to be deferred until December, with first production expected in early 2020. |
• | 4Q19 Production- In our second quarter earnings release, Lonestar increased its 2019 full-year production forecast from 13,700-14,700 BOE/d to current guidance of 14,800-15,000 BOE/d. With newly issued production guidance of 17,200-17,600 BOE/d for the fourth quarter of 2019, Lonestar is poised to exceed the upper end of its already-increased full-year guidance. |
• | 4Q19 EBITDAX- Based on the aforementioned factors, and current benchmark pricing, Lonestar issued Adjusted EBITDAX guidance of $32.0 to $34.0 million for the fourth quarter of 2019. This 11% sequential decrease from 3Q19 results is a result of only 2 gross / 2.0 net new wells beginning flowback operations in 4Q19 as the 2019 drilling and completions program comes to a close. The Company anticipates oil realizations of -$0.60 to -$1.20/Bbl to WTI, NGL realizations which are 17% to 19% of WTI, and gas price realizations of -$0.05 to -$0.10/Mcf to Henry Hub, and lease operating expenses of $5.50-$5.60/BOE. |
• | Buchhorn #4H - With a 6,157’ perforated interval, the #4H recorded Max-30 rates of 360 Bbls/d oil, 880 Bbls/d of NGLs, and 6,614 Mcf/d, or 2,342 BOE/d on a three-stream basis. Currently, the 4H is producing 229 Bbls/d oil, 524 Bbls/d of NGLs, 3,935 Mcf/d gas, or 1,409 BOE/d on a three-stream basis. |
• | Buchhorn #5H - With a 5,981’ perforated interval, the #5H recorded Max-30 rates 366 Bbls/d oil, 962 Bbls/d of NGLs, and 7,231 Mcf/d, or 2,533 BOE/d on a three-stream basis. Currently, the 5H is producing 266 Bbls/d oil, 679 Bbls/d of NGLs, 5,100 Mcf/d gas, or 1,795 BOE/d on a three-stream basis. |
• | Buchhorn #6H - With a 6,021’ perforated interval, the #6H recorded Max-30 rates 328 Bbls/d oil, 1,012 Bbls/d of NGLs, and 7,606 Mcf/d, or 2,607 BOE/d on a three-stream basis. Currently, the 6H is producing 295 Bbls/d oil, 744 Bbls/d of NGLs, and 5,592 Mcf/d gas, or 1,971 BOE/d on a three-stream basis. |
September 30, 2019 | December 31, 2018 | ||||||
Assets | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 3,441 | $ | 5,355 | |||
Accounts receivable | |||||||
Oil, natural gas liquid and natural gas sales | 16,594 | 15,103 | |||||
Joint interest owners and others, net | 5,159 | 4,541 | |||||
Related parties | 5,213 | 301 | |||||
Derivative financial instruments | 15,798 | 15,841 | |||||
Prepaid expenses and other | 2,844 | 1,966 | |||||
Total current assets | 49,049 | 43,107 | |||||
Property and equipment | |||||||
Oil and gas properties, using the successful efforts method of accounting | |||||||
Proved properties | 1,009,545 | 960,711 | |||||
Unproved properties | 80,565 | 81,850 | |||||
Other property and equipment | 21,344 | 17,727 | |||||
Less accumulated depreciation, depletion and amortization | (392,604 | ) | (369,529 | ) | |||
Property and equipment, net | 718,850 | 690,759 | |||||
Derivative financial instruments | 9,857 | 7,302 | |||||
Other non-current assets | 2,457 | 2,944 | |||||
Total assets | $ | 780,213 | $ | 744,112 | |||
Liabilities and Stockholders' Equity | |||||||
Current liabilities | |||||||
Accounts payable | $ | 34,363 | $ | 18,260 | |||
Accounts payable - related parties | 251 | 181 | |||||
Oil, natural gas liquid and natural gas sales payable | 15,286 | 13,022 | |||||
Accrued liabilities | 16,100 | 28,128 | |||||
Derivative financial instruments | 3,271 | 430 | |||||
Total current liabilities | 69,271 | 60,021 | |||||
Long-term liabilities | |||||||
Long-term debt | 499,772 | 436,882 | |||||
Asset retirement obligations | 7,139 | 7,195 | |||||
Deferred tax liabilities, net | 5,387 | 12,370 | |||||
Warrant liability | 162 | 366 | |||||
Warrant liability - related parties | 299 | 689 | |||||
Derivative financial instruments | 4 | 21 | |||||
Other non-current liabilities | 3,360 | 4,021 | |||||
Total long-term liabilities | 516,123 | 461,544 | |||||
Commitments and contingencies | |||||||
Stockholders' Equity | |||||||
Class A voting common stock, $0.001 par value, 100,000,000 shares authorized, 24,933,853 and 24,645,825 issued and outstanding, respectively | 142,655 | 142,655 | |||||
Series A-1 convertible participating preferred stock, $0.001 par value, 98,120 and 91,784 shares issued and outstanding, respectively | — | — | |||||
Additional paid-in capital | 175,709 | 174,379 | |||||
Accumulated deficit | (123,545 | ) | (94,487 | ) | |||
Total stockholders' equity | 194,819 | 222,547 | |||||
Total liabilities and stockholders' equity | $ | 780,213 | $ | 744,112 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Revenues | |||||||||||||||
Oil sales | $ | 42,187 | $ | 47,846 | $ | 120,496 | $ | 120,705 | |||||||
Natural gas liquid sales | 3,439 | 6,795 | 10,381 | 12,939 | |||||||||||
Natural gas sales | 7,519 | 4,096 | 15,224 | 9,637 | |||||||||||
Total revenues | 53,145 | 58,737 | 146,101 | 143,281 | |||||||||||
Expenses | |||||||||||||||
Lease operating and gas gathering | 10,055 | 6,687 | 26,695 | 17,761 | |||||||||||
Production and ad valorem taxes | 3,017 | 3,218 | 8,126 | 8,145 | |||||||||||
Depreciation, depletion and amortization | 24,635 | 23,775 | 64,120 | 59,937 | |||||||||||
Loss on sale of oil and gas properties | 483 | — | 33,530 | 1,568 | |||||||||||
Impairment of oil and gas properties | — | 12,169 | — | 12,169 | |||||||||||
General and administrative | 4,124 | 4,661 | 12,345 | 13,385 | |||||||||||
Acquisition costs and other | (2 | ) | 315 | (4 | ) | 302 | |||||||||
Total expenses | 42,312 | 50,825 | 144,812 | 113,267 | |||||||||||
Income from operations | 10,833 | 7,912 | 1,289 | 30,014 | |||||||||||
Other expense | |||||||||||||||
Interest expense | (11,295 | ) | (10,215 | ) | (32,730 | ) | (28,771 | ) | |||||||
Change in fair value of warrants | (100 | ) | 509 | 594 | (2,105 | ) | |||||||||
Gain (loss) on derivative financial instruments | 21,546 | (18,198 | ) | (5,177 | ) | (54,852 | ) | ||||||||
Loss on extinguishment of debt | — | — | — | (8,619 | ) | ||||||||||
Total other expense | 10,151 | (27,904 | ) | (37,313 | ) | (94,347 | ) | ||||||||
Income (loss) before income taxes | 20,984 | (19,992 | ) | (36,024 | ) | (64,333 | ) | ||||||||
Income tax (expense) benefit | (4,767 | ) | 282 | 6,966 | 6,493 | ||||||||||
Net income (loss) | 16,217 | (19,710 | ) | (29,058 | ) | (57,840 | ) | ||||||||
Preferred stock dividends | (2,159 | ) | (1,975 | ) | (6,336 | ) | (5,796 | ) | |||||||
Net income (loss) attributable to common stockholders | $ | 14,058 | $ | (21,685 | ) | $ | (35,394 | ) | $ | (63,636 | ) | ||||
Net income (loss) per common share | |||||||||||||||
Basic | $ | 0.34 | $ | (0.88 | ) | $ | (1.42 | ) | $ | (2.59 | ) | ||||
Diluted | $ | 0.33 | $ | (0.88 | ) | $ | (1.42 | ) | $ | (2.59 | ) | ||||
Weighted average common shares outstanding | |||||||||||||||
Basic | 24,933,853 | 24,599,744 | 24,852,994 | 24,598,816 | |||||||||||
Diluted | 25,331,810 | 24,599,744 | 24,852,994 | 24,598,816 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Cash flows from operating activities | |||||||||||||||
Net income (loss) | $ | 16,216 | $ | (19,710 | ) | $ | (29,058 | ) | $ | (57,840 | ) | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||
Depreciation, depletion and amortization | 24,634 | 23,775 | 64,120 | 59,937 | |||||||||||
Stock-based compensation | 942 | 924 | 1,294 | 3,637 | |||||||||||
Stock-based payments | — | — | — | (601 | ) | ||||||||||
Deferred taxes | 4,705 | (714 | ) | (6,983 | ) | (7,145 | ) | ||||||||
(Gain) loss on derivative financial instruments | (21,547 | ) | 18,198 | 5,177 | 54,852 | ||||||||||
Settlements of derivative financial instruments | (279 | ) | (7,647 | ) | (3,858 | ) | (16,323 | ) | |||||||
Impairment of oil and gas properties | — | 12,169 | — | 12,169 | |||||||||||
Gain on disposal of property and equipment | — | — | (17 | ) | — | ||||||||||
Loss on abandoned property and equipment | — | — | — | 171 | |||||||||||
Loss on sale of oil and gas properties | 484 | — | 33,530 | — | |||||||||||
Non-cash interest expense | 640 | 1,013 | 1,822 | 4,556 | |||||||||||
Changes in fair value of warrants | 100 | (509 | ) | (594 | ) | 2,105 | |||||||||
Changes in operating assets and liabilities: | |||||||||||||||
Accounts receivable | (4,951 | ) | (4,343 | ) | (8,330 | ) | (4,596 | ) | |||||||
Prepaid expenses and other assets | (410 | ) | (676 | ) | (1,102 | ) | (1,835 | ) | |||||||
Accounts payable and accrued expenses | (5,848 | ) | (5,410 | ) | (3,128 | ) | 6,733 | ||||||||
Net cash provided by operating activities | 14,686 | 17,070 | 52,873 | 55,820 | |||||||||||
Cash flows from investing activities | |||||||||||||||
Acquisition of oil and gas properties | (2,214 | ) | (1,900 | ) | (5,239 | ) | (4,762 | ) | |||||||
Development of oil and gas properties | (51,577 | ) | (55,931 | ) | (119,273 | ) | (122,691 | ) | |||||||
Proceeds from sale of oil and gas properties | (483 | ) | — | 11,470 | — | ||||||||||
Purchases of other property and equipment | (260 | ) | (133 | ) | (3,527 | ) | (1,631 | ) | |||||||
Net cash used in investing activities | (54,534 | ) | (57,964 | ) | (116,569 | ) | (129,084 | ) | |||||||
Cash flows from financing activities | |||||||||||||||
Proceeds from borrowings | 60,000 | 58,000 | 114,000 | 348,744 | |||||||||||
Payments on borrowings | (20,051 | ) | (18,014 | ) | (52,218 | ) | (273,466 | ) | |||||||
Repurchase and retire Class B Common Stock | — | (10 | ) | — | (10 | ) | |||||||||
Net cash provided by financing activities | 39,949 | 39,976 | 61,782 | 75,268 | |||||||||||
Net increase (decrease) in cash and cash equivalents | 101 | (918 | ) | (1,914 | ) | 2,004 | |||||||||
Cash and cash equivalents, beginning of the period | 3,340 | 5,460 | 5,355 | 2,538 | |||||||||||
Cash and cash equivalents, end of the period | $ | 3,441 | $ | 4,542 | $ | 3,441 | $ | 4,542 | |||||||
Supplemental information: | |||||||||||||||
Cash paid for taxes | $ | — | $ | — | $ | — | $ | 1,147 | |||||||
Cash paid for interest | 8,355 | 16,181 | 28,125 | 22,324 | |||||||||||
Non-cash investing and financing activities: | |||||||||||||||
Change in asset retirement obligation | 163 | 39 | (292 | ) | 222 | ||||||||||
Change in liabilities for capital expenditures | (19,286 | ) | 4,563 | 9,098 | 16,988 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
($ in thousands) | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Net Income (Loss) | $ | 14,058 | $ | (21,685 | ) | $ | (35,394 | ) | $ | (63,636 | ) | |||||
Income tax expense (benefit) | 4,767 | (282 | ) | (6,966 | ) | (6,493 | ) | |||||||||
Interest expense (1) | 13,454 | 12,190 | 39,066 | 34,567 | ||||||||||||
Exploration expense | — | 109 | 190 | 109 | ||||||||||||
Depreciation, depletion and amortization | 24,635 | 23,775 | 64,120 | 59,937 | ||||||||||||
EBITDAX | 56,914 | 14,107 | 61,016 | 24,484 | ||||||||||||
Rig standby expense | 135 | 27 | 552 | 27 | ||||||||||||
Stock-based compensation | 942 | 924 | 1,970 | 3,637 | ||||||||||||
Loss on sale of oil and gas properties | 483 | — | 33,530 | — | ||||||||||||
Office lease write-off | — | — | — | 1,568 | ||||||||||||
Loss on extinguishment of debt | — | — | — | 8,619 | ||||||||||||
Impairment of oil and gas properties | — | 12,169 | — | 12,169 | ||||||||||||
Unrealized (gain) loss on derivative financial instruments | (22,098 | ) | 9,911 | (349 | ) | 36,401 | ||||||||||
Unrealized loss (gain) on warrants | 100 | (509 | ) | (593 | ) | 2,105 | ||||||||||
Other expense | 576 | 375 | 1,435 | 600 | ||||||||||||
Adjusted EBITDAX | $ | 37,052 | $ | 37,004 | $ | 97,561 | $ | 89,610 | ||||||||
(1) Interest expense also includes dividends paid on Series A Preferred Stock. |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
($ in thousands) | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Income (loss) before income taxes, as reported | $ | 20,984 | $ | (19,992 | ) | $ | (36,024 | ) | $ | (64,333 | ) | |||||
Adjustments for special items: | ||||||||||||||||
Impairment of oil and gas properties | — | 12,169 | — | 12,169 | ||||||||||||
General & administrative non-recurring costs | — | 168 | 960 | 176 | ||||||||||||
Rig standby expense | 135 | 27 | 552 | 27 | ||||||||||||
Non-recurring legal expense | — | — | 670 | 233 | ||||||||||||
Loss on extinguishment of debt | — | — | — | 8,619 | ||||||||||||
Unrealized hedging (gain) loss | (22,098 | ) | 9,911 | (349 | ) | 36,401 | ||||||||||
Lease write-off | — | — | — | 1,568 | ||||||||||||
Loss on sale of oil and gas properties | 483 | — | 33,530 | — | ||||||||||||
Stock-based compensation | 942 | 924 | 1,970 | 3,637 | ||||||||||||
(Loss) Income before income taxes, as adjusted | 446 | 3,207 | 1,309 | (1,503 | ) | |||||||||||
Income tax benefit (expense), as adjusted | ||||||||||||||||
Deferred (1) | (93 | ) | (655 | ) | (273 | ) | 307 | |||||||||
Net (loss) income excluding certain items, a non-GAAP measure | 353 | 2,552 | 1,036 | (1,196 | ) | |||||||||||
Preferred stock dividends | (2,159 | ) | (1,975 | ) | (6,336 | ) | (5,796 | ) | ||||||||
Net (loss) income excluding certain items, a non-GAAP measure | $ | (1,806 | ) | $ | 577 | $ | (5,300 | ) | $ | (6,992 | ) | |||||
(1) Effective tax rate for 2019 and 2018 is estimated to be approximately 21% and 20%, respectively. |
In thousands, except per share and unit data | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||||||
Operating Results | ||||||||||||||||
Net income (loss) attributable to common stockholders | $ | 14,058 | $ | (21,685 | ) | $ | (35,394 | ) | $ | (63,636 | ) | |||||
Net income (loss) per common share - basic | 0.34 | (0.88 | ) | (1.42 | ) | (2.59 | ) | |||||||||
Net income (loss) per common share - diluted | 0.33 | (0.88 | ) | (1.42 | ) | (2.59 | ) | |||||||||
Net cash provided by operating activities | 14,686 | 17,069 | 52,873 | 55,820 | ||||||||||||
Revenues | ||||||||||||||||
Oil | $ | 42,187 | $ | 47,846 | $ | 120,496 | $ | 120,705 | ||||||||
NGLs | 3,439 | 6,795 | 10,381 | 12,939 | ||||||||||||
Natural gas | 7,519 | 4,096 | 15,224 | 9,637 | ||||||||||||
Total revenues | $ | 53,145 | $ | 58,737 | $ | 146,101 | $ | 143,281 | ||||||||
Total production volumes by product | ||||||||||||||||
Oil (Bbls) | 725,405 | 660,836 | 2,024,862 | 1,758,393 | ||||||||||||
NGLs (Bbls) | 387,256 | 262,660 | 868,811 | 571,389 | ||||||||||||
Natural gas (Mcf) | 3,313,757 | 1,343,016 | 6,210,617 | 3,190,824 | ||||||||||||
Total barrels of oil equivalent (6:1) | 1,664,954 | 1,147,332 | 3,928,776 | 2,861,586 | ||||||||||||
Daily production volumes by product | ||||||||||||||||
Oil (Bbls/d) | 7,885 | 7,183 | 7,417 | 6,441 | ||||||||||||
NGLs (Bbls/d) | 4,209 | 2,855 | 3,182 | 2,093 | ||||||||||||
Natural gas (Mcf/d) | 36,019 | 14,600 | 22,750 | 11,689 | ||||||||||||
Total barrels of oil equivalent (BOE/d) | 18,097 | 12,471 | 14,391 | 10,482 | ||||||||||||
Average realized prices | ||||||||||||||||
Oil ($ per Bbl) | $ | 58.16 | $ | 72.40 | $ | 59.51 | $ | 68.65 | ||||||||
NGLs ($ per Bbl) | 8.88 | 25.87 | 11.95 | 22.64 | ||||||||||||
Natural gas ($ per Mcf) | 2.27 | 3.05 | 2.45 | 3.02 | ||||||||||||
Total oil equivalent, excluding the effect from commodity derivatives ($ per BOE) | 31.92 | 51.19 | 37.19 | 50.07 | ||||||||||||
Total oil equivalent, including the effect from commodity derivatives ($ per BOE) | 31.59 | 43.97 | 35.78 | 43.62 | ||||||||||||
Operating and other expenses | ||||||||||||||||
Lease operating and gas gathering | $ | 10,055 | $ | 6,687 | $ | 26,695 | $ | 17,761 | ||||||||
Production and ad valorem taxes | 3,017 | 3,218 | 8,126 | 8,145 | ||||||||||||
Depreciation, depletion and amortization | 24,635 | 23,775 | 64,120 | 59,937 | ||||||||||||
General and administrative (1) | 4,124 | 4,661 | 12,345 | 13,385 | ||||||||||||
Interest expense (2) | 11,295 | 10,215 | 32,730 | 28,771 | ||||||||||||
Operating and other expenses per BOE | ||||||||||||||||
Lease operating and gas gathering | $ | 6.04 | $ | 5.83 | $ | 6.79 | $ | 6.21 | ||||||||
Production and ad valorem taxes | 1.81 | 2.80 | 2.07 | 2.85 | ||||||||||||
Depreciation, depletion and amortization | 14.80 | 20.72 | 16.32 | 20.95 | ||||||||||||
General and administrative | 2.48 | 4.06 | 3.14 | 4.68 | ||||||||||||
Interest expense | 6.78 | 8.90 | 8.33 | 10.05 | ||||||||||||
(1) General and administrative expenses include stock-based compensation. (2) Interest expense includes amortization of debt issuance cost, premiums, and discounts. |
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