Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2013

Summary of Significant Accounting Policies [Abstract]

Components of prepayments and other

The components of prepayments and other are as follows (in thousands):

	December 31,
	2013		2012
Cash collateral deposits for commodity purchases	$	13,705	$	5,000
Insurance premiums		2,490		1,872
Rents, license and other		584		840
	$	16,779	$	7,712

Fair value measurements for producing oil and gas properties that were subject to fair value impairment

Fair value measurements for producing oil and gas properties that were subject to fair value impairment for the years ended December 31, 2013 and 2012 summarized as follows (in thousands):

	Producing Properties Subject to Fair Value Impairment
	2013			2012
Net book value at January 1	$	13,180		$	11,073
Property additions		5,661			13,083
Depletion taken		(3,727	)		(6,371	)
Impairment valuation loss		(1,373	)		(4,699	)
Net book at December 31	$	13,741		$	13,086

Capitalized costs for non-producing oil and gas leasehold interests

 Capitalized costs for non-producing oil and gas leasehold interests currently represent approximately five percent of total oil and gas property costs and are categorized as follows (in thousands):

	December 31,		December 31,
	2013		2012
South Texas Project acreage	$	4,217	$	3,263
West Texas Project		116		180
Napoleonville Louisiana acreage		162		323
Other acreage areas		411		329
Total Non-producing Leasehold Costs	$	4,906	$	4,095

Capitalized cost activity on the other acreage areas

Capitalized cost activity on the ‟Other Acreage Areas” was as follows (in thousands):

	Leasehold Costs
	2013			2012
Net book value January 1	$	329		$	475
Property additions		304			810
Property sale		-			(100	)
Impairments		(222	)		(856	)
Net book value December 31	$	411		$	329

Components of cash deposits and other assets

 Components of cash deposits and other assets are as follows (in thousands):

	December 31,
	2013		2012
Insurance collateral deposits	$	3,718	$	3,413
State collateral deposits		160		170
Materials and supplies		609		616
	$	4,487	$	4,199

Derivatives reflected in the Consolidated Balance Sheet

None of the Company’s derivative instruments have been designated as hedging instruments and the estimated fair value of forward month commodity contracts (derivatives) is reflected in the accompanying Consolidated Balance Sheet as of December 31, 2013 as follows (in thousands):

	Balance Sheet Location and Amount
	Current			Other		Current			Other
	Assets			Assets		Liabilities			Liabilities
Asset Derivatives
- Fair Value Commodity
Contracts at Gross Valuation	$	449		$	-	$	-		$	-
Liability Derivatives
- Fair Value Commodity
Contracts at Gross Valuation		-			-		54			-
Less Counterparty Offsets		(54	)		-		(54	)		-
As Reported Fair Value Contracts	$	395		$	-	$	-		$	-

Forward month commodity contracts (derivatives) are reflected in the accompanying Consolidated Balance Sheet as of December 31, 2012 as follows (in thousands):

	Balance Sheet Location and Amount
	Current			Other		Current			Other
	Assets			Assets		Liabilities			Liabilities
Asset Derivatives
- Fair Value Commodity
Contracts at Gross Valuation	$	354		$	-	$	-		$	-
Liability Derivatives
- Fair Value Commodity
Contracts at Gross Valuation		-			-		381			-
Less Counterparty Offsets		(270	)		-		(270	)		-
As Reported Fair Value Contracts	$	84		$	-	$	111		$	-

Derivatives reflected in the Consolidated Statement of Operations

Forward month commodity contracts (derivatives) are reflected in the accompanying Consolidated Statement of Operations for the years ended December 31, 2013, 2012 and 2011 as follows (in thousands):

	Gain (Loss)
Location	2013			2012			2011
Revenues – marketing	$	(193	)	$	(1,365	)	$	119

Fair value assets and liabilities

As of December 31, 2013, the Company’s fair value assets and liabilities are summarized and categorized as follows (in thousands):

	Market Data Inputs
	Gross Level 1		Gross Level 2			Gross Level 3		Counterparty
	Quoted Prices		Observable			Unobservable		Offsets			Total
Derivatives
- Current assets	$	-	$	449		$	-	$	(54	)	$	395
- Current liabilities		-		(54	)		-		54			-
Net Value	$	-	$	395		$	-	$	-		$	395

As of December 31, 2012, the Company’s fair value assets and liabilities are summarized and categorized as follows (in thousands):

	Market Data Inputs
	Gross Level 1		Gross Level 2			Gross Level 3		Counterparty
	Quoted Prices		Observable			Unobservable		Offsets			Total
Derivatives
- Current assets	$	-	$	354		$	-	$	(270	)	$	84
- Current liabilities		-		(381	)		-		270			(111	)
Net Value	$	-	$	(27	)	$	-	$	-		$	(27	)

Factors impacting the change in the net value of the Company's fair value contracts

The following table illustrates the factors impacting the change in the net value of the Company’s fair value contracts for the year ended December 31, 2013 (in thousands):

	Level 1		Level 2
	Quoted Prices		Observable			Total
Net Fair Value January 1,	$	-	$	(27	)	$	(27	)
- Net realized (gains) losses		-		27			27
- Option deposit		-		615			615
- Net unrealized gains (losses)		-		(220	)		(220	)
Net Fair Value December 31,	$	-	$	395		$	395

The following table illustrates the factors impacting the change in the net value of the Company’s fair value contracts for the year ended December 31, 2012 (in thousands):

	Level 1		Level 2
	Quoted Prices		Observable			Total
Net Fair Value January 1,	$	-	$	1,338		$	1,338
- Net realized (gains) losses		-		(1,338	)		(1,338	)
- Net unrealized gains (losses)		-		(27	)		(27	)
Net Fair Value December 31,	$	-	$	(27	)	$	(27	)

Company's asset retirement obligations

 A summary of the Company’s asset retirement obligations is presented as follows (in thousands):

	2013			2012
Balance on January 1,	$	1,886		$	1,568
-Liabilities incurred		431			358
-Accretion of discount		85			63
-Liabilities settled		(138	)		(103	)
-Revisions to estimates		300			-
Balance on December 31,	$	2,564		$	1,886