Attached files
| file | filename |
|---|---|
| EX-99.3 - EX-99.3 - ENERGEN CORP | d489232dex993.htm |
| EX-99.1 - EX-99.1 - ENERGEN CORP | d489232dex991.htm |
| 8-K - 8-K - ENERGEN CORP | d489232d8k.htm |
Exhibit 99.2
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
For the 3 months ending September 30, 2017 and 2016
| 3rd Quarter |
|
|||||||||||
| (in thousands, except per share data) | 2017 | 2016 | Change | |||||||||
| Revenues |
||||||||||||
| Oil, natural gas liquids and natural gas sales |
$ | 249,114 | $ | 163,973 | $ | 85,141 | ||||||
| Gain (loss) on derivative instruments, net |
(57,610 | ) | 20,412 | (78,022 | ) | |||||||
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|||||||
| Total revenues |
191,504 | 184,385 | 7,119 | |||||||||
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| Operating Costs and Expenses |
||||||||||||
| Oil, natural gas liquids and natural gas production |
44,549 | 42,280 | 2,269 | |||||||||
| Production and ad valorem taxes |
15,326 | 10,987 | 4,339 | |||||||||
| Depreciation, depletion and amortization |
131,756 | 108,167 | 23,589 | |||||||||
| Asset impairment |
100 | 587 | (487 | ) | ||||||||
| Exploration |
625 | 18 | 607 | |||||||||
| General and administrative (including stock based |
21,474 | 21,710 | (236 | ) | ||||||||
| Accretion of discount on asset retirement obligations |
1,473 | 1,556 | (83 | ) | ||||||||
| Gain on sale of assets and other |
(5,977 | ) | (91,222 | ) | 85,245 | |||||||
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| Total operating costs and expenses |
209,326 | 94,083 | 115,243 | |||||||||
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| Operating Income (Loss) |
(17,822 | ) | 90,302 | (108,124 | ) | |||||||
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| Other Income (Expense) |
||||||||||||
| Interest expense |
(9,928 | ) | (8,987 | ) | (941 | ) | ||||||
| Other income |
58 | 421 | (363 | ) | ||||||||
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| Total other expense |
(9,870 | ) | (8,566 | ) | (1,304 | ) | ||||||
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| Income (Loss) Before Income Taxes |
(27,692 | ) | 81,736 | (109,428 | ) | |||||||
| Income tax expense (benefit) |
(9,206 | ) | 28,422 | (37,628 | ) | |||||||
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| Net Income (Loss) |
$ | (18,486 | ) | $ | 53,314 | $ | (71,800 | ) | ||||
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| Diluted Earnings Per Average Common Share |
$ | (0.19 | ) | $ | 0.55 | $ | (0.74 | ) | ||||
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| Basic Earnings Per Average Common Share |
$ | (0.19 | ) | $ | 0.55 | $ | (0.74 | ) | ||||
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| Diluted Average Common Shares Outstanding |
97,198 | 97,511 | (313 | ) | ||||||||
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| Basic Average Common Shares Outstanding |
97,198 | 97,068 | 130 | |||||||||
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1
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
For the 9 months ending September 30, 2017 and 2016
| Year-to-date |
|
|||||||||||
| (in thousands, except per share data) | 2017 | 2016 | Change | |||||||||
| Revenues |
||||||||||||
| Oil, natural gas liquids and natural gas sales |
$ | 644,212 | $ | 458,374 | $ | 185,838 | ||||||
| Gain (loss) on derivative instruments, net |
45,037 | (40,005 | ) | 85,042 | ||||||||
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|
|||||||
| Total revenues |
689,249 | 418,369 | 270,880 | |||||||||
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| Operating Costs and Expenses |
||||||||||||
| Oil, natural gas liquids and natural gas production |
129,746 | 132,847 | (3,101 | ) | ||||||||
| Production and ad valorem taxes |
41,364 | 33,422 | 7,942 | |||||||||
| Depreciation, depletion and amortization |
352,957 | 344,564 | 8,393 | |||||||||
| Asset impairment |
1,589 | 220,612 | (219,023 | ) | ||||||||
| Exploration |
6,259 | 1,780 | 4,479 | |||||||||
| General and administrative (including stock based |
61,665 | 74,783 | (13,118 | ) | ||||||||
| Accretion of discount on asset retirement obligations |
4,330 | 5,092 | (762 | ) | ||||||||
| Gain on sale of assets and other |
(6,980 | ) | (252,097 | ) | 245,117 | |||||||
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| Total operating costs and expenses |
590,930 | 561,003 | 29,927 | |||||||||
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| Operating Income (Loss) |
98,319 | (142,634 | ) | 240,953 | ||||||||
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| Other Income (Expense) |
||||||||||||
| Interest expense |
(28,039 | ) | (27,858 | ) | (181 | ) | ||||||
| Other income |
486 | 580 | (94 | ) | ||||||||
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| Total other expense |
(27,553 | ) | (27,278 | ) | (275 | ) | ||||||
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| Income (Loss) Before Income Taxes |
70,766 | (169,912 | ) | 240,678 | ||||||||
| Income tax expense (benefit) |
26,368 | (56,869 | ) | 83,237 | ||||||||
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| Net Income (Loss) |
$ | 44,398 | $ | (113,043 | ) | $ | 157,441 | |||||
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| Diluted Earnings Per Average Common Share |
$ | 0.45 | $ | (1.21 | ) | $ | 1.66 | |||||
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| Basic Earnings Per Average Common Share |
$ | 0.46 | $ | (1.21 | ) | $ | 1.67 | |||||
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| Diluted Average Common Shares Outstanding |
97,678 | 93,602 | 4,076 | |||||||||
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| Basic Average Common Shares Outstanding |
97,176 | 93,602 | 3,574 | |||||||||
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2
CONSOLIDATED BALANCE SHEETS (UNAUDITED)
As of September 30, 2017 and December 31, 2016
| (in thousands) | September 30, 2017 | December 31, 2016 | ||||||
| ASSETS |
||||||||
| Current Assets |
||||||||
| Cash and cash equivalents |
$ | 252 | $ | 386,093 | ||||
| Accounts receivable, net |
129,219 | 73,322 | ||||||
| Inventories, net |
14,538 | 14,222 | ||||||
| Derivative instruments |
3,895 | 50 | ||||||
| Income tax receivable |
9,598 | 27,153 | ||||||
| Prepayments and other |
5,838 | 5,071 | ||||||
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| Total current assets |
163,340 | 505,911 | ||||||
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| Property, Plant and Equipment |
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| Oil and natural gas properties, net |
4,633,512 | 4,016,683 | ||||||
| Other property and equipment, net |
45,198 | 44,869 | ||||||
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| Total property, plant and equipment, net |
4,678,710 | 4,061,552 | ||||||
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| Other postretirement assets |
3,583 | 3,619 | ||||||
| Noncurrent derivative instruments |
1,064 | — | ||||||
| Other assets |
6,879 | 8,741 | ||||||
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| TOTAL ASSETS |
$ | 4,853,576 | $ | 4,579,823 | ||||
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| LIABILITIES AND SHAREHOLDERS’ EQUITY |
||||||||
| Current Liabilities |
||||||||
| Long-term debt due within one year |
$ | — | $ | 24,000 | ||||
| Accounts payable |
101,819 | 65,031 | ||||||
| Accrued taxes |
14,585 | 7,252 | ||||||
| Accrued wages and benefits |
21,268 | 25,089 | ||||||
| Accrued capital costs |
67,176 | 79,988 | ||||||
| Revenue and royalty payable |
48,429 | 51,217 | ||||||
| Derivative instruments |
18,089 | 65,467 | ||||||
| Other |
11,402 | 20,160 | ||||||
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| Total current liabilities |
282,768 | 338,204 | ||||||
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| Long-term debt |
765,759 | 527,443 | ||||||
| Asset retirement obligations |
86,643 | 81,544 | ||||||
| Deferred income taxes |
535,002 | 495,888 | ||||||
| Noncurrent derivative instruments |
2,962 | 3,006 | ||||||
| Other long-term liabilities |
7,162 | 13,136 | ||||||
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| Total liabilities |
1,680,296 | 1,459,221 | ||||||
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| Total Shareholders’ Equity |
3,173,280 | 3,120,602 | ||||||
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| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY |
$ | 4,853,576 | $ | 4,579,823 | ||||
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3
SELECTED BUSINESS SEGMENT DATA (UNAUDITED)
For the 3 months ending September 30, 2017 and 2016
| 3rd Quarter | ||||||||||||
| (in thousands, except sales price and per unit data) | 2017 | 2016 | Change | |||||||||
| Operating and production data |
||||||||||||
| Oil, natural gas liquids and natural gas sales |
||||||||||||
| Oil |
$ | 203,281 | $ | 138,388 | $ | 64,893 | ||||||
| Natural gas liquids |
25,508 | 12,067 | 13,441 | |||||||||
| Natural gas |
20,325 | 13,518 | 6,807 | |||||||||
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| Total |
$ | 249,114 | $ | 163,973 | $ | 85,141 | ||||||
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| Open non-cash mark-to-market gains (losses) on derivative instruments |
||||||||||||
| Oil |
$ | (46,395 | ) | $ | 22,984 | $ | (69,379 | ) | ||||
| Natural gas liquids |
(15,765 | ) | (954 | ) | (14,811 | ) | ||||||
| Natural gas |
(105 | ) | 2,992 | (3,097 | ) | |||||||
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| Total |
$ | (62,265 | ) | $ | 25,022 | $ | (87,287 | ) | ||||
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| Closed gains (losses) on derivative instruments |
||||||||||||
| Oil |
$ | 5,388 | $ | (4,118 | ) | $ | 9,506 | |||||
| Natural gas liquids |
(1,923 | ) | — | (1,923 | ) | |||||||
| Natural gas |
1,190 | (492 | ) | 1,682 | ||||||||
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| Total |
$ | 4,655 | $ | (4,610 | ) | $ | 9,265 | |||||
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| Total revenues |
$ | 191,504 | $ | 184,385 | $ | 7,119 | ||||||
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| Production volumes |
||||||||||||
| Oil (MBbl) |
4,510 | 3,325 | 1,185 | |||||||||
| Natural gas liquids (MMgal) |
60.6 | 41.2 | 19.4 | |||||||||
| Natural gas (MMcf) |
9,174 | 5,958 | 3,216 | |||||||||
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| Total production volumes (MBOE) |
7,483 | 5,298 | 2,185 | |||||||||
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| Average daily production volumes |
||||||||||||
| Oil (MBbl/d) |
49.0 | 36.1 | 12.9 | |||||||||
| Natural gas liquids (MMgal/d) |
0.7 | 0.4 | 0.3 | |||||||||
| Natural gas (MMcf/d) |
99.7 | 64.8 | 34.9 | |||||||||
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| Total average daily production volumes (MBOE/d) |
81.3 | 57.6 | 23.7 | |||||||||
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| Average realized prices excluding effects of open non-cash mark-to-market derivative instruments |
||||||||||||
| Oil (per barrel) |
$ | 46.27 | $ | 40.38 | $ | 5.89 | ||||||
| Natural gas liquids (per gallon) |
$ | 0.39 | $ | 0.29 | $ | 0.10 | ||||||
| Natural gas (per Mcf) |
$ | 2.35 | $ | 2.19 | $ | 0.16 | ||||||
| Average realized prices excluding effects of all derivative instruments |
||||||||||||
| Oil (per barrel) |
$ | 45.07 | $ | 41.62 | $ | 3.45 | ||||||
| Natural gas liquids (per gallon) |
$ | 0.42 | $ | 0.29 | $ | 0.13 | ||||||
| Natural gas (per Mcf) |
$ | 2.22 | $ | 2.27 | $ | (0.05 | ) | |||||
| Costs per BOE |
||||||||||||
| Oil, natural gas liquids and natural gas production expenses |
$ | 5.95 | $ | 7.98 | $ | (2.03 | ) | |||||
| Production and ad valorem taxes |
$ | 2.05 | $ | 2.07 | $ | (0.02 | ) | |||||
| Depreciation, depletion and amortization |
$ | 17.61 | $ | 20.42 | $ | (2.81 | ) | |||||
| Exploration expense |
$ | 0.08 | $ | — | $ | 0.08 | ||||||
| General and administrative |
$ | 2.87 | $ | 4.10 | $ | (1.23 | ) | |||||
| Capital expenditures (including acquisitions) |
$ | 251,621 | $ | 211,393 | $ | 40,228 | ||||||
4
SELECTED BUSINESS SEGMENT DATA (UNAUDITED)
For the 9 months ending September 30, 2017 and 2016
| Year-to-date | ||||||||||||
| (in thousands, except sales price and per unit data) | 2017 | 2016 | Change | |||||||||
| Operating and production data |
||||||||||||
| Oil, natural gas liquids and natural gas sales |
||||||||||||
| Oil |
$ | 532,652 | $ | 386,905 | $ | 145,747 | ||||||
| Natural gas liquids |
59,776 | 34,584 | 25,192 | |||||||||
| Natural gas |
51,784 | 36,885 | 14,899 | |||||||||
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| Total |
$ | 644,212 | $ | 458,374 | $ | 185,838 | ||||||
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| Open non-cash mark-to-market gains (losses) on derivative instruments |
||||||||||||
| Oil |
$ | 42,730 | $ | (33,444 | ) | $ | 76,174 | |||||
| Natural gas liquids |
(4,148 | ) | (954 | ) | (3,194 | ) | ||||||
| Natural gas |
8,856 | (1,462 | ) | 10,318 | ||||||||
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| Total |
$ | 47,438 | $ | (35,860 | ) | $ | 83,298 | |||||
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| Closed gains (losses) on derivative instruments |
||||||||||||
| Oil |
$ | (470 | ) | $ | (5,321 | ) | $ | 4,851 | ||||
| Natural gas liquids |
(3,468 | ) | — | (3,468 | ) | |||||||
| Natural gas |
1,537 | 1,176 | 361 | |||||||||
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| Total |
$ | (2,401 | ) | $ | (4,145 | ) | $ | 1,744 | ||||
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| Total revenues |
$ | 689,249 | $ | 418,369 | $ | 270,880 | ||||||
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| Production volumes |
||||||||||||
| Oil (MBbl) |
11,608 | 10,269 | 1,339 | |||||||||
| Natural gas liquids (MMgal) |
146.0 | 126.0 | 20.0 | |||||||||
| Natural gas (MMcf) |
22,500 | 20,700 | 1,800 | |||||||||
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| Total production volumes (MBOE) |
18,833 | 16,719 | 2,114 | |||||||||
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| Average daily production volumes |
||||||||||||
| Oil (MBbl/d) |
42.5 | 37.5 | 5.0 | |||||||||
| Natural gas liquids (MMgal/d) |
0.5 | 0.5 | — | |||||||||
| Natural gas (MMcf/d) |
82.4 | 75.5 | 6.9 | |||||||||
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| Total average daily production volumes (MBOE/d) |
69.0 | 61.0 | 8.0 | |||||||||
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| Average realized prices excluding effects of open non-cash mark-to-market derivative instruments |
||||||||||||
| Oil (per barrel) |
$ | 45.85 | $ | 37.16 | $ | 8.69 | ||||||
| Natural gas liquids (per gallon) |
$ | 0.39 | $ | 0.27 | $ | 0.12 | ||||||
| Natural gas (per Mcf) |
$ | 2.37 | $ | 1.84 | $ | 0.53 | ||||||
| Average realized prices excluding effects of all derivative instruments |
||||||||||||
| Oil (per barrel) |
$ | 45.89 | $ | 37.68 | $ | 8.21 | ||||||
| Natural gas liquids (per gallon) |
$ | 0.41 | $ | 0.27 | $ | 0.14 | ||||||
| Natural gas (per Mcf) |
$ | 2.30 | $ | 1.78 | $ | 0.52 | ||||||
| Costs per BOE |
||||||||||||
| Oil, natural gas liquids and natural gas production expenses |
$ | 6.89 | $ | 7.94 | $ | (1.05 | ) | |||||
| Production and ad valorem taxes |
$ | 2.20 | $ | 2.00 | $ | 0.20 | ||||||
| Depreciation, depletion and amortization |
$ | 18.74 | $ | 20.61 | $ | (1.87 | ) | |||||
| Exploration expense |
$ | 0.33 | $ | 0.11 | $ | 0.22 | ||||||
| General and administrative |
$ | 3.27 | $ | 4.47 | $ | (1.20 | ) | |||||
| Capital expenditures (includes acquisitions) |
$ | 971,867 | $ | 428,443 | $ | 543,424 | ||||||
5