Stock-Based Compensation

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation

10. STOCK-BASED COMPENSATION

Stock-based compensation awards consist of stock options, restricted stock units (“RSUs”) and restricted stock awards (“RSAs”) issued under the Company’s equity incentive plans which include: the 2013 Omnibus Incentive Plan (the “2013 Plan”); the 2007 Restricted Stock Plan (the “2007 Plan”); the Amended and Restated 2004 Directors’ Stock Option and Restricted Stock Plan (the “2004 Directors’ Plan”); and the 2004 Stock Incentive Plan (the “2004 Plan”). Upon approval of the 2013 Plan by the Company’s stockholders on June 4, 2013, the Company’s authority to grant new awards under all plans other than the 2013 Plan was terminated. As of June 30, 2017, 54,460 shares were available for future issuances under the 2013 Plan. On July 18, 2017, the Company’s stockholders approved an amendment to the 2013 Plan to increase the authorized number of shares of common stock available and reserved for issuance under the 2013 Plan by 1.0 million shares and to re-approve the material terms of the performance goals under such plan. As a result of the amendment, as of August 11, 2017, the Company had 1,054,460 shares available for future issuances under the 2013 Plan.

For the three months ending June 30, 2017 and 2016, the Company recorded stock-based compensation expense of $15,890 and $287,022, respectively. For the six months ending June 30, 2017 and 2016, the Company recorded stock-based compensation expense of $38,078 and $469,671, respectively. Stock-based compensation expense has been included in general and administrative expense.

In addition to the plans above, upon closing of the Company’s acquisition of Anatolia Energy Limited in November 2015, the Company issued 374,749 replacement options and performance shares to the option holders and performance shareholders of Anatolia Energy Limited. The number of replacement options and performance shares was based upon the Black-Scholes value with the exercise prices of the replacement options and performance shares determined using the exchange rate of 0.00548. The options and performance shares were issued with the same terms and conditions as were applicable prior to the acquisition of Anatolia Energy Limited.

Stock Options

The following table summarizes stock options outstanding and changes for the six-month periods ending June 30, 2017 and 2016:

	June 30,		June 30,
	2017		2016
	Number of Stock Options	Weighted Average Exercise Price	Number of Stock Options	Weighted Average Exercise Price
Stock options outstanding at beginning of period	110,828	$           18.24	326,424	$           24.90
Expired	(5,583)	11.04	(4,724)	438.89
Stock options outstanding at end of period	105,245	$           18.62	321,700	$           18.82
Stock options exercisable at end of period	105,139	$           18.60	321,491	$           18.81

The following table summarizes stock options outstanding and exercisable by stock option plan at June 30, 2017:

	Outstanding Stock Options		Exercisable Stock Options
Stock Option Plan	Number of Outstanding Stock Options	Weighted Average Exercise  Price	Number of Exercisable Stock Options	Weighted Average Exercise  Price
2004 Plan	4,792	$             35.14	4,792	$              35.14
2004 Directors’ Plan	1,390	629.52	1,390	629.52
2013 Plan	417	35.88	312	35.88
Replacement Stock Options	98,646	9.13	98,645	9.23
	105,245	$               18.62	105,139	$               18.60

Restricted Stock Units

Time-based and performance-based RSUs are valued using the closing share price of the Company’s common stock on the date of grant. The final number of shares issued under performance-based RSUs is generally based on the Company’s prior year performance as determined by the Compensation Committee of the Board of Directors at each vesting date, and the valuation of such awards assumes full satisfaction of all performance criteria.

The following table summarizes RSU activity for the six-month periods ended June 30, 2017 and 2016:

	June 30,		June 30,
	2017		2016
	Number of RSUs	Weighted-Average Grant Date Fair Value	Number of RSUs	Weighted-Average Grant Date Fair Value
Unvested RSUs at beginning of period	8,649	$           43.71	32,699	$           34.25
Forfeited	-	-	(3,334)	32.21
Vested	(3,625)	31.32	(7,698)	29.45
Unvested RSUs at end of period	5,024	$           52.64	21,667	$           36.27