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Supplemental Oil and Gas Disclosures (Unaudited)

12 Months Ended

Dec. 31, 2012

Notes to Financial Statements [Abstract]

Supplemental Oil and Gas Disclosures (Unaudited)

NOTE R — SUPPLEMENTAL OIL AND GAS DISCLOSURES (Unaudited)

As part of the Offshore Division activities, Maritech and its subsidiaries previously acquired oil and gas reserves and operated the properties in exchange for assuming the proportionate share of the well abandonment and decommissioning obligations associated with such properties. Accordingly, our Maritech segment is included within our Offshore Division.

Costs Incurred in Property Acquisition, Exploration, and Development Activities

The following table reflects the costs incurred in oil and gas property acquisition, exploration, and development activities during the years indicated. Consideration given for the acquisition of proved properties includes the assumption, and any subsequent revision, of the amount of the proportionate share of the well abandonment and decommissioning obligations associated with the properties.

	Year Ended December 31,
	2012		2011			2010
	(In Thousands)

Acquisition	$	-		$	141		$	5,497
Exploration		-			-			16,822
Development		-			5,798			87,465
Total costs incurred	$	-		$	5,939		$	109,784

Capitalized Costs Related to Oil and Gas Producing Activities

In connection with our decision during 2011 to sell Maritech's oil and gas properties, beginning June 30, 2011, we reclassified Maritech's remaining oil and gas properties to Assets Held for Sale in our consolidated balance sheet, and have recorded their value at fair value, less cost to dispose.

Results of Operations for Oil and Gas Producing Activities

Results of operations for oil and gas producing activities excludes general and administrative and interest expenses directly related to such activities as well as any allocation of corporate or divisional overhead.

Year Ended December 31,

2012

2011

2010

(In Thousands)

Oil and gas sales revenues

6,158

^81,941

^197,841

^{Production (lifting) costs (1)}

^3,749

^33,496

^71,066

^{Depreciation, depletion, and amortization}

⁶⁰

^27,640

^73,679

^{Impairments of properties}

^15,233

^63,774

^{Excess decommissioning and abandonment costs}

^40,767

^78,382

^53,997

^{Exploration expenses}

⁷⁷

³⁰⁶

^{Accretion expense}

⁹⁷⁹

^3,705

^5,008

^{Dry hole costs}

⁽³²⁾

³²⁵

^{Gain on insurance recoveries}

^(2,541)

^{Pretax income (loss) from producing activities}

^(39,397)

^(76,560)

^(67,773)

^{Income tax expense (benefit)}

^(13,789)

^(26,797)

^(25,186)

^{Results of oil and gas producing activities}

^(25,608)

^(49,763)

^(42,587)

⁽¹⁾	^{Impairments of oil and gas properties during 2010 were primarily due to the increase in Maritech's decommissioning liabilities.}

^{Estimated Quantities of Proved Oil and Gas Reserves (Unaudited)}

^{Proved oil and gas reserves are defined as the estimated quantities of crude oil, natural gas, and natural gas liquids which geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions. Reservoirs are considered proved if economic productibility is supported by either actual production or conclusive formation tests. The area of a reservoir considered proved includes (a) that portion delineated by drilling and defined by gas-oil and/or gas-water contacts, if any, and (b) the immediately adjoining portions not yet drilled, but which can be reasonably judged as economically productive on the basis of available geological and engineering data. Reserves which can be produced economically through the application of improved recovery techniques are included in the “proved” classification when successful testing by a pilot project or the operation of an installed program in the reservoir provides support for the engineering analysis on which the project or program was based.}

^{The reliability of reserve information is considerably affected by several factors. Reserve information is imprecise due to the inherent uncertainties in, and the limited nature of, the database upon which the estimating of reserve information is predicated. Moreover, the methods and data used in estimating reserve information are often necessarily indirect or analogical in character, rather than direct or deductive. Furthermore, estimating reserve information involves numerous judgments. The extent and significance of the judgments to be made are, in themselves, sufficient to render reserve information inherently imprecise.}

^{Following the 2011 and 2012 sales of substantially all of Maritech's proved oil and gas reserves, Maritech's remaining oil and gas reserves are negligible. The reserve values and cash flow amounts reflected in the following reserve disclosures as of December 31, 2011 and 2010, are based on the average price of oil and natural gas during the twelve month period then ended, determined as an unweighted arithmetic average of the first-day-of-the-month for each month within the period. All of Maritech's reserves are located in U. S. state and federal offshore waters of the Gulf of Mexico and onshore Texas and Louisiana. Proved oil and gas reserve quantities as of December 31, 2011, reflect the 2011 sale of approximately 95% of such reserves.}

^{Reserve Quantity Information}	^Oil	^NGL	^Gas
	^(MBbls)	^(MBbls)	^(MMcf)

^{December 31, 2009}
^{Proved developed reserves}	^5,502	¹⁸⁸	^32,387
^{Proved undeveloped reserves}	^1,367	¹⁶	^1,124
^{Total proved reserves at December 31, 2009}	^6,869	²⁰⁴	^33,511

^{December 31, 2010}
^{Proved developed reserves}	^5,760	⁴¹⁵	^24,795
^{Proved undeveloped reserves}	^1,012	⁷⁴	⁷⁹⁰
^{Total proved reserves at December 31, 2010}	^6,772	⁴⁸⁹	^25,585

^{December 31, 2011}
^{Proved developed reserves}	⁹⁵	⁴⁰	⁶⁷⁶
^{Proved undeveloped reserves}	¹⁰⁷	⁶⁰	⁴⁸⁰
^{Total proved reserves at December 31, 2011}	²⁰²	¹⁰⁰	^1,156

^{December 31, 2012}
^{Proved developed reserves}	^-	^-	^-
^{Proved undeveloped reserves}	^-	^-	^-
^{Total proved reserves at December 31, 2012}	^-	^-	^-

	^Oil	^NGL	^Gas
	^(MBbls)	^(MBbls)	^(MMcf)

^{Total proved reserves at December 31, 2009}	^6,869	²⁰⁴	^33,511
^{Revisions of previous estimates}	²⁶⁶	³¹⁰	^(6,303)
^Production	^(1,360)	⁽¹³²⁾	^(7,065)
^{Extensions and discoveries}	⁷¹²	¹⁰⁷	^4,749
^{Purchases of reserves in place}	²⁹³	^-	⁸⁷⁶
^{Sales of reserves in place}	⁽⁸⁾	^-	⁽¹⁸³⁾

^{Total proved reserves at December 31, 2010}	^6,772	⁴⁸⁹	^25,585
^{Revisions of previous estimates}	⁽⁸⁸⁾	²²	^(1,903)
^Production	⁽⁶¹²⁾	⁽⁸⁸⁾	^(3,322)
^{Extensions and discoveries}	^-	^-	^-
^{Purchases of reserves in place}	^-	^-	^-
^{Sales of reserves in place}	^(5,870)	⁽³²³⁾	^(19,204)

^{Total proved reserves at December 31, 2011}	²⁰²	¹⁰⁰	^1,156
^{Revisions of previous estimates}	⁽⁸⁾	³⁹	⁽⁵²⁾
^Production	⁽²³⁾	⁽³⁹⁾	⁽³¹¹⁾
^{Extensions and discoveries}	^-	^-	^-
^{Purchases of reserves in place}	^-	^-	^-
^{Sales of reserves in place}	⁽¹⁷¹⁾	⁽¹⁰⁰⁾	⁽⁷⁹³⁾

^{Total proved reserves at December 31, 2012}	^-	^-	^-

^{Revisions of previous proved reserves estimates during 2010 were primarily due to the declassification of natural gas reserves associated with a portion of Maritech's Main Pass field due to pipeline and transportation interruptions.}

^{Standardized Measure of Discounted Future Net Cash Flows Relating to Proved Oil and Gas Reserves}

^{“Standardized measure” relates to the estimated discounted future net cash flows and major components of that calculation relating to proved reserves at the end of the year in the aggregate, based on SEC prescribed prices and costs, using statutory tax rates and using a 10% annual discount rate. The standardized measure is not an estimate of the fair value of proved oil and gas reserves. Probable and possible reserves, which may become proved in the future, are excluded from these calculations. Furthermore, prices used to determine the standardized measure are prior to the impact of hedge derivatives and are influenced by seasonal demand and other factors and may not be representative in estimating future revenues or reserve data.}

^{The standardized measure of discounted future net cash flows relating to proved oil and gas reserves attributed to our oil and gas properties is as follows:}

	^{December 31,}
	²⁰¹²		²⁰¹¹
	^{(In Thousands)}

^{Future cash inflows}	^$	^-		^$	^28,873
^{Future costs}
^Production		^-			^10,240
^{Development and abandonment}		^-			^7,922
^{Future net cash flows before income taxes}		^-			^10,711
^{Future income taxes}		^-			^(1,513)
^{Future net cash flows}		^-			^9,198
^{Discount at 10% annual rate}		^-			^(2,723)
^{Standardized measure of discounted future net cash flows}	^$	^-		^$	^6,475

^{Changes in Standardized Measure of Discounted Future Net Cash Flows}

^{Year Ended December 31,}

²⁰¹²

²⁰¹¹

²⁰¹⁰

^{(In Thousands)}

^{Standardized measure, beginning of year}

^6,475

^133,269

^86,049

^{Sales, net of production costs}

^(2,409)

^(48,445)

^(74,718)

^{Net change in prices, net of production costs}

^(11,916)

^92,065

^{Changes in future development and abandonment costs}

^43,792

^(48,002)

^{Development and abandonment costs incurred}

^25,083

^42,151

^{Accretion of discount}

^17,909

^9,720

^{Net change in income taxes}

^44,612

^(34,665)

^{Purchases of reserves in place}

^8,694

^{Extensions and discoveries}

^63,411

^{Sales of reserves in place}

^(7,918)

^(198,324)

⁽⁵⁸⁾

^{Net change due to revision in quantity estimates}

^(10,814)

^(13,738)

^{Changes in production rates (timing) and other}

^3,852

^11,309

^2,360

^Subtotal

^(6,475)

^(126,794)

^47,220

^{Standardized measure, end of year}

^6,475

^133,269