Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Components of Income Tax Expense (Benefit)

The components of income (loss) from continuing operations before income taxes for each of the three years presented and income tax expense (benefit) attributable thereto were as follows.


(Thousands of dollars)	2023		2022		2021
Income (loss) from continuing operations before income taxes
United States	$	901,761	$	1,306,200	$	114,659
Foreign	19,308		144,061		(71,768)
Total	$	921,069	$	1,450,261	$	42,891
Income tax expense (benefit)
U.S. Federal – Current	$	–	$	–	$	–
– Deferred	170,115		234,749		(1,480)
Total U.S. Federal	170,115		234,749		(1,480)
State	6,622		9,010		3,303
Foreign – Current	13,182		18,134		(5,158)
– Deferred	6,002		47,571		(2,527)
Total Foreign	19,184		65,705		(7,685)
Total	$	195,921	$	309,464	$	(5,862)

Schedule of Effective Income Tax Rates

The following table reconciles income taxes based on the U.S. statutory tax rate to the Company’s income tax expense for each of the three years presented.


(Thousands of dollars)	2023		2022		2021
Income tax expense (benefit) based on the U.S. statutory tax rate	$	193,424	$	304,555	$	9,007

Foreign income (loss) subject to foreign tax rates different than the U.S. statutory rate	7,597		10,823		13,270
State income taxes, net of federal benefit	4,725		7,118		2,500
U.S. tax benefit on certain foreign upstream investments	–		–		(8,916)
Change in deferred tax asset valuation allowance related to other foreign exploration expenditures	10,853		24,748		4,814
Tax effect on income attributable to noncontrolling interest	(13,046)		(36,471)		(25,450)
Other, net	(7,632)		(1,309)		(1,087)
Total	$	195,921	$	309,464	$	(5,862)

Schedule of Analysis of Deferred Tax Assets and Deferred Tax Liabilities Showing Tax Effects of Significant Temporary Differences

An analysis of the Company’s deferred tax assets and deferred tax liabilities for the respective periods presented showing the tax effects of significant temporary differences follows.


(Thousands of dollars)	2023		2022
Deferred tax assets
Property and leasehold costs	$	240,065	$	242,467
Liabilities for dismantlements	34,258		31,017
Postretirement and other employee benefits	82,437		86,798

U. S. net operating loss	357,490		442,699
Investment in partnership	14,655		11,595
Other deferred tax assets	48,778		111,212
Total gross deferred tax assets	777,683		925,788
Less valuation allowance	(146,861)		(136,008)
Net deferred tax assets	630,822		789,780
Deferred tax liabilities
Deferred tax on undistributed foreign earnings	(5,000)		(5,000)
Accumulated depreciation, depletion and amortization	(847,981)		(796,510)

Other deferred tax liabilities	(54,052)		(85,284)
Total gross deferred tax liabilities	(907,033)		(886,794)
Net deferred tax (liabilities) assets	$	(276,211)	$	(97,014)

Schedule of Reconciliation of Beginning and Ending Amount of Consolidated Liability for Unrecognized Income Tax Benefits

A reconciliation of the beginning and ending amount of the consolidated liability for unrecognized income tax benefits during the three years presented is shown in the following table.


(Thousands of dollars)	2023		2022		2021
Balance at January 1	$	3,928	$	2,903	$	2,832
Additions for tax positions related to current year	–		77		71
Additions for tax positions related to prior year	2,456		948		–



Balance at December 31	$	6,384	$	3,928	$	2,903