Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2014

Summary of Significant Accounting Policies [Abstract]

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

	June 30,		December 31,
	2014		2013

Cash collateral deposits for commodity purchases	$	17,038	$	13,705
Insurance premiums		2,911		2,490
Rents, license and other		1,365		584

	$	21,314	$	16,779

Capitalized costs for non-producing oil and gas leasehold interests

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

	June 30,		December 31,
	2014		2013

South Texas Project acreage	$	4,185	$	4,217
West Texas Project acreage		14		116
Napoleonville, Louisiana acreage		48		162
Other acreage areas		557		411

Total Non-producing Leasehold Costs	$	4,804	$	4,906

Capitalized cost activity on the other acreage areas

Onshore leasehold periods are normally three years and may contain renewal options. Capitalized cost activity on the ‟other acreage areas” was as follows (in thousands):

	Leasehold Costs
	June 30,			December 31,
	2014			2013
Net book value January 1	$	411		$	329
Property additions		183			304
Impairments		(37	)		(222	)

Net book value end of period	$	557		$	411

Components of cash deposits and other assets

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

	June 30,		December 31,
	2014		2013
Insurance collateral deposits	$	4,432	$	3,718
State collateral deposits		183		160
Materials and supplies		559		609
	$	5,174	$	4,487

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 Unaudited Condensed Consolidated Balance Sheet as of June 30, 2014 as follows (in thousands):

	Balance Sheet Location and Amount
	Current		Other		Current		Other
	Assets		Assets		Liabilities		Liabilities
Asset Derivatives
- Fair Value Forward Hydrocarbon Commodity
Contracts at Gross Valuation	$	176	$	-	$	-	$	-
Liability Derivatives
- Fair Value Forward Hydrocarbon Commodity
Contracts at Gross Valuation		-		-		112		-
Less Counterparty Offsets		-		-		-		-

As Reported Fair Value Contracts	$	176	$	-	$	112	$	-

Derivatives reflected in the Consolidated Statement of Operations

Forward month commodity contracts (derivatives) are reflected in the accompanying Unaudited Condensed 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 Forward Hydrocarbon Commodity
Contracts at Gross Valuation	$	449		$	-	$	-		$	-
Liability Derivatives
- Fair Value Forward Hydrocarbon Commodity
Contracts at Gross Valuation		-			-		54			-
Less Counterparty Offsets		(54	)		-		(54	)		-

As Reported Fair Value Contracts	$	395		$	-	$	-		$	-

Fair value assets and liabilities

Forward month commodity contracts (derivatives) are reflected in the accompanying Unaudited Condensed Consolidated Statement of Operations for the six months ended June 30, 2014 and 2013 as follows (in thousands):

	Earnings (Loss)					Earnings (Loss)
	Six Months Ended					Three Months Ended
	June 30,					June 30,
	2014		2013			2014			2013

Revenues – Marketing	$	383	$	(1	)	$	(15	)	$	(151	)

As of June 30, 2014, 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	$	-	$	176		$	-	$	-	$	176
- Current liabilities		-		(112	)		-		-		(112	)
Net Value	$	-	$	64		$	-	$	-	$	64

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