Whiting Petroleum Reports Fourth Quarter and Full Year 2021 Results and Oil and Gas Reserves
DENVER–(BUSINESS WIRE)–Whiting Petroleum Corporation (NYSE: WLL) (“Whiting” or the “Company”) today announced fourth quarter 2021 results.
Fourth Quarter 2021 Highlights
- Revenue was $473 million for the quarter ending December 31, 2021
- Net income (GAAP) was $292 million or $7.34 per diluted share
- Adjusted net income (non-GAAP) was $168 million or $4.23 per diluted share
- Adjusted EBITDAX (non-GAAP) was $226 million
- Net cash provided by operating activities (GAAP) was $214 million
- Adjusted free cash flow (non-GAAP) was $156 million
- December 31, 2021 debt was $0
Lynn A. Peterson, President and CEO commented, “2021 was an eventful year as the Company had many accomplishments that strengthen us for the future. The Company generated over $500 million of adjusted free cash flow, paid off over $360 million on its revolver, spent over $120 million for acquisitions net of divestitures, and ended the year completely debt free. We divested of non-core assets in Colorado and added meaningful drilling inventory through the Company’s acquisition of working interest in its core Sanish field. The Company’s year-end reserve volumes increased 25% over the previous year driven by the significant change in commodity pricing as well as additions from our drilling program and acquisitions. As of December 31, 2021, our proved developed properties alone were valued at $3.6 billion, pre-tax and using SEC pricing of $66.56 per barrel. We recently announced our first fixed dividend that is competitive to industry peers on a yield basis, with the expectation of growing our total return of capital significantly in the coming quarters through buybacks and other strategies. We continue to develop Whiting’s strategies of value creation for the Company’s stakeholders, provide a safe environment for our employees and contractors, and advance our ESG initiatives.”
Fourth Quarter and Full Year 2021 Results
Revenue for the fourth quarter of 2021 increased $72 million to $473 million when compared to the third quarter of 2021, primarily due to increased commodity prices between periods. Revenue for the full year 2021 was $1.5 billion.
Net income for the fourth quarter of 2021 was $292 million, or $7.34 per share, as compared to $198 million, or $5.00 per share, for the third quarter of 2021. Net income for the twelve months ending December 31, 2021 was $428 million, or $10.78 per share. Adjusted net income (non-GAAP) for the fourth quarter of 2021 was $168 million, or $4.23 per diluted share, as compared to $142 million, or $3.57 per diluted share, for the third quarter of 2021. Adjusted net income (non-GAAP) for the twelve months ending December 31, 2021 was $535 million, or $13.49 per share. The primary difference between net income and adjusted net income for all periods is non-cash expense related to the change in the value of the Company’s hedging portfolio. The third quarter was also affected by the gain on sale of properties related to a previously announced divestiture.
The Company’s adjusted EBITDAX (non-GAAP) for the fourth quarter of 2021 was $226 million compared to $201 million for the third quarter of 2021. Net cash provided by operating activities was $214 million in the fourth quarter and adjusted free cash flow (non-GAAP) was $156 million. Adjusted EBITDAX (non-GAAP) for the twelve months ended December 31, 2021 was $774 million. Net cash provided by operating activities was $740 million and adjusted free cash flow (non-GAAP) was $504 million for the twelve months ended December 31, 2021.
Adjusted net income, adjusted net income per share, adjusted EBITDAX and adjusted free cash flow are non-GAAP financial measures. Please refer to the end of this release for disclosures and reconciliations regarding these measures.
Production for the fourth quarter averaged 92.8 thousand barrels of oil equivalent per day (MBOE/d) which was consistent with the previous quarter of 92.1 MBOE/d. Oil production averaged 52.9 thousand barrels of oil per day (MBO/d) compared to 51.8 MBO/d in the third quarter 2021.
Capital expenditures in the fourth quarter of 2021 were $66 million compared to the third quarter 2021 spend of $67 million. During the quarter, the Company drilled 17 gross/10.4 net operated wells and turned in line 16 gross/12.0 net operated wells. As of December 31, 2021, the Company has 34 gross (20.2 net) drilled uncompleted wells.
Lease operating expense (LOE) for the fourth quarter of 2021 was $62 million compared to $57 million in the third quarter of 2021. The increase was primarily due to more operated expense workovers and the effects of higher production. General and administrative expenses in the fourth quarter of 2021 were $15 million compared to $12 million in the third quarter 2021. Both quarters included approximately $3 million of non-cash stock compensation costs.
Liquidity
As of December 31, 2021, the Company had a borrowing base of $750 million on its revolving credit facility, no borrowings and unrestricted cash of $41 million, resulting in total liquidity of $790 million, net of outstanding letters of credit. Whiting expects to continue to fund its 2022 operations and its dividend fully within operating cash flow.
Proved Reserves
During 2021, the Company added 20.3 million barrels of oil equivalent (MMBOE) of reserves primarily due to successful drilling in the Williston Basin. Additionally, 15.9 MMBOE was added from acquisitions during the year, which was partially offset by a decrease of 10.7 MMBOE primarily due to the disposition of the Redtail field located in Colorado. As of December 31, 2021, the Company’s estimated proved reserves totaled 326.0 MMBOE. The Standardized Measure of those reserves was $3,679 million and the pre-tax PV10% of those reserves was $4,381 million, in each case using SEC pricing as noted below.
The following table summarizes our estimated proved reserves as of December 31, 2021 with the corresponding pre-tax PV10% values:
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Proved Reserves (1) |
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Pre-Tax |
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Natural |
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PV10% |
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Oil |
|
NGLs |
|
Gas |
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Total |
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% |
|
Value (2) |
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|
Reserve Category |
|
(MMBbl) |
|
(MMBbl) |
|
(Bcf) |
|
(MMBOE) |
|
Oil |
|
(in millions) |
|
|
Proved developed reserves |
|
148.3 |
|
55.0 |
|
351.9 |
|
262.0 |
|
57% |
|
$ |
3,587 |
|
Proved undeveloped reserves |
|
40.3 |
|
11.4 |
|
74.1 |
|
64.0 |
|
63% |
|
|
794 |
|
Total proved reserves |
|
188.6 |
|
66.4 |
|
426.0 |
|
326.0 |
|
58% |
|
$ |
4,381 |
|
Discounted future income tax expense |
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|
(702) |
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Standardized measure of discounted future net cash flows |
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$ |
3,679 |
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(1) |
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Oil and gas reserve quantities and related discounted future net cash flows have been derived from a WTI oil price of $66.56 per Bbl and a Henry Hub gas price of $3.60 per MMBtu, which were calculated using an average of the first-day-of-the-month price for each month within the 12 months ended December 31, 2021 as required by SEC and FASB guidelines. |
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(2) |
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Pre-tax PV10% may be considered a non-GAAP financial measure as defined by the SEC and is derived from the standardized measure of discounted future net cash flows (the “Standardized Measure”), which is the most directly comparable GAAP financial measure. Pre-tax PV10% is computed on the same basis as the Standardized Measure but without deducting future income taxes. We believe pre-tax PV10% is a useful measure for investors when evaluating the relative monetary significance of our oil and natural gas properties. We further believe investors may utilize our pre-tax PV10% as a basis for comparison of the relative size and value of our proved reserves to other companies because many factors that are unique to each individual company impact the amount of future income taxes to be paid. Our management uses this measure when assessing the potential return on investment related to our oil and gas properties and acquisitions. However, pre-tax PV10% is not a substitute for the Standardized Measure. Our pre-tax PV10% and Standardized Measure do not purport to present the fair value of our proved oil, NGL and natural gas reserves. |
Conference Call
Whiting will host a conference call on Thursday, February 24, 2022 at 11:00 a.m. Eastern time (9:00 a.m. Mountain time) to discuss the fourth quarter 2021 results. The call will be conducted by President and Chief Executive Officer Lynn A. Peterson, Executive Vice President Finance and Chief Financial Officer James P. Henderson, Executive Vice President Operations and Chief Operating Officer Charles J. Rimer and Investor Relations Director Brandon Day. A question and answer session will immediately follow the discussion of the results for the quarter.
To participate in this call please dial:
Domestic Dial-in Number: (877) 328-5506
International Dial-in Number: (412) 317-5422
Webcast URL: https://event.choruscall.com/mediaframe/webcast.html?webcastid=9BD9bizF
Replay Information:
Conference ID #: 4561404
Replay Dial-In (Toll Free): (877) 344-7529 (U.S.), (855) 669-9658 (Canada)
Replay Dial-In (International): (412) 317-0088
Expiration Date: March 3, 2022
Commodity Price Hedging
The Company uses commodity hedges in order to reduce the effects of commodity price volatility and to satisfy the requirements of its credit facility. The following table summarizes Whiting’s hedging positions as of February 17, 2022:
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Weighted Average |
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Settlement Period |
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Index |
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Derivative |
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Total Volumes |
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Units |
|
Swap |
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Floor |
|
Ceiling |
|
Crude Oil |
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|
2022 (1) |
|
NYMEX WTI |
|
Fixed Price Swaps |
|
2,761,000 |
|
Bbl |
|
$71.05 |
|
– |
|
– |
|
2022 (1) |
|
NYMEX WTI |
|
Two-way Collars |
|
10,351,500 |
|
Bbl |
|
– |
|
$47.13 |
|
$57.62 |
|
Q1 2023 |
|
NYMEX WTI |
|
Fixed Price Swaps |
|
810,000 |
|
Bbl |
|
$75.14 |
|
– |
|
– |
|
Q1-Q3 2023 |
|
NYMEX WTI |
|
Two-way Collars |
|
3,443,500 |
|
Bbl |
|
– |
|
$46.75 |
|
$58.87 |
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|
|
|
|
Total |
|
17,366,000 |
|
|
|
|
|
|
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|
Natural Gas |
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|
|
|
|
|
|
|
|
|
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|
2022 (1) |
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NYMEX Henry Hub |
|
Fixed Price Swaps |
|
10,816,500 |
|
MMBtu |
|
$3.51 |
|
– |
|
– |
|
2022 (1) |
|
NYMEX Henry Hub |
|
Two-way Collars |
|
15,754,000 |
|
MMBtu |
|
– |
|
$2.67 |
|
$3.29 |
|
Q1 2023 |
|
NYMEX Henry Hub |
|
Fixed Price Swaps |
|
1,800,000 |
|
MMBtu |
|
$4.25 |
|
– |
|
– |
|
Q1-Q3 2023 |
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NYMEX Henry Hub |
|
Two-way Collars |
|
8,799,000 |
|
MMBtu |
|
– |
|
$2.42 |
|
$2.94 |
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Total |
|
37,169,500 |
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Natural Gas Basis (2) |
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2022 (1) |
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NNG Ventura to NYMEX |
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Fixed Price Swaps |
|
5,222,500 |
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MMBtu |
|
$0.53 |
|
– |
|
– |
|
Q1-Q2 2023 |
|
NNG Ventura to NYMEX |
|
Fixed Price Swaps |
|
5,920,000 |
|
MMBtu |
|
$0.40 |
|
– |
|
– |
|
|
|
|
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Total |
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11,142,500 |
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|
|
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NGL – Propane |
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2022 (1) |
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Mont Belvieu |
|
Fixed Price Swaps |
|
18,417,000 |
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Gallons |
|
$1.07 |
|
– |
|
– |
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2022 (1) |
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Conway |
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Fixed Price Swaps |
|
56,112,000 |
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Gallons |
|
$1.07 |
|
– |
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– |
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Total |
|
74,529,000 |
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(1) |
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Includes settlement periods of February through December 2022. |
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(2) |
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The weighted average price associated with the natural gas basis swaps shown in the table above represents the average fixed differential to NYMEX as stated in the related contracts, which is compared to the Northern Natural Gas Ventura Index (“NNG Ventura”) for each period. If NYMEX combined with the fixed differential as stated in each contract is higher than the NNG Ventura index price at any settlement date, the Company receives the difference. Conversely, if the NNG Ventura index price is higher than NYMEX combined with the fixed differential, the Company pays the difference. |
Selected Operating and Financial Statistics
References to “Successor” refer to Whiting and its financial position and results of operations after its emergence from reorganization under chapter 11 of the Bankruptcy Code. References to “Predecessor” refer to Whiting and its financial position and results of operations on or before the emergence date (September 1, 2020).
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Successor |
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Three Months Ended |
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December 31, |
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September 30, |
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2021 |
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2021 |
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Selected operating statistics: |
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Production |
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Oil (MBbl) |
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|
4,871 |
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|
|
4,763 |
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NGLs (MBbl) |
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|
1,946 |
|
|
|
1,919 |
|
|
Natural gas (MMcf) |
|
|
10,303 |
|
|
|
10,745 |
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|
Total production (MBOE) |
|
|
8,535 |
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|
|
8,472 |
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|
Average prices |
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|
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||
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Oil (per Bbl): |
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|
Price received |
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$ |
75.75 |
|
|
$ |
66.54 |
|
|
Effect of crude oil hedging (1) |
|
|
(20.38 |
) |
|
|
(16.57 |
) |
|
Realized price |
|
$ |
55.37 |
|
|
$ |
49.97 |
|
|
Weighted average NYMEX price (per Bbl) (2) |
|
$ |
77.00 |
|
|
$ |
70.55 |
|
|
NGLs (per Bbl): |
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|
|
|
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|
||
|
Price received |
|
$ |
28.74 |
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|
$ |
26.81 |
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|
Effect of NGL hedging (3) |
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|
(2.08 |
) |
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|
(1.93 |
) |
|
Realized price |
|
$ |
26.66 |
|
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$ |
24.88 |
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|
Natural gas (per Mcf): |
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Price received |
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$ |
3.68 |
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$ |
2.42 |
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Effect of natural gas hedging (4) |
|
|
(2.15 |
) |
|
|
(0.82 |
) |
|
Realized price |
|
$ |
1.53 |
|
|
$ |
1.60 |
|
|
Weighted average NYMEX price (per MMBtu) (2) |
|
$ |
5.13 |
|
|
$ |
3.95 |
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|
Selected operating metrics: |
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Sales price, net of hedging ($ per BOE) |
|
$ |
39.53 |
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|
$ |
35.75 |
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|
Lease operating ($ per BOE) |
|
|
7.31 |
|
|
|
6.68 |
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|
Transportation, gathering, compression and other ($ per BOE) |
|
|
0.80 |
|
|
|
1.04 |
|
|
Depreciation, depletion and amortization ($ per BOE) |
|
|
5.76 |
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|
|
6.13 |
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|
General and administrative ($ per BOE) |
|
|
1.79 |
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|
|
1.41 |
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Production and ad valorem taxes (% of sales revenue) |
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|
7 |
% |
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|
7 |
% |
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(1) |
|
Whiting paid $99 million and $79 million in pre-tax cash settlements on crude oil hedges during the three months ended December 31, 2021 and September 30, 2021, respectively. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
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(2) |
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Average NYMEX prices weighted for monthly production volumes. |
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(3) |
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Whiting paid $4 million in pre-tax cash settlements on NGL hedges during the three months ended December 31, 2021 and September 30, 2021, respectively. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
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(4) |
|
Whiting paid $22 million and $9 million in pre-tax cash settlements on natural gas hedges during the three months ended December 31, 2021 and September 30, 2021, respectively. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
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Successor |
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Predecessor |
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Non-GAAP |
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Year Ended |
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Four Months |
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Eight Months |
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Combined |
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Selected operating statistics: |
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||||
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Production |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Oil (MBbl) |
|
|
19,316 |
|
|
|
6,857 |
|
|
|
|
15,273 |
|
|
|
22,130 |
|
|
NGLs (MBbl) |
|
|
7,218 |
|
|
|
2,104 |
|
|
|
|
4,522 |
|
|
|
6,626 |
|
|
Natural gas (MMcf) |
|
|
41,964 |
|
|
|
14,340 |
|
|
|
|
29,667 |
|
|
|
44,007 |
|
|
Total production (MBOE) |
|
|
33,528 |
|
|
|
11,351 |
|
|
|
|
24,740 |
|
|
|
36,091 |
|
|
Average prices |
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|
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|
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|
|
|
|
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|
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||||
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Oil (per Bbl): |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Price received |
|
$ |
64.77 |
|
|
$ |
37.05 |
|
|
|
$ |
28.86 |
|
|
$ |
31.40 |
|
|
Effect of crude oil hedging (1) |
|
|
(14.70 |
) |
|
|
(0.34 |
) |
|
|
|
3.00 |
|
|
|
1.96 |
|
|
Realized price |
|
$ |
50.07 |
|
|
$ |
36.71 |
|
|
|
$ |
31.86 |
|
|
$ |
33.36 |
|
|
Weighted average NYMEX price (per Bbl) (2) |
|
$ |
67.86 |
|
|
$ |
41.84 |
|
|
|
$ |
38.23 |
|
|
$ |
39.35 |
|
|
NGLs (per Bbl): |
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|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Price received |
|
$ |
22.53 |
|
|
$ |
5.90 |
|
|
|
$ |
4.45 |
|
|
$ |
4.91 |
|
|
Effect of NGL hedging (3) |
|
|
(1.19 |
) |
|
|
– |
|
|
|
|
– |
|
|
|
– |
|
|
Realized price |
|
$ |
21.34 |
|
|
$ |
5.90 |
|
|
|
$ |
4.45 |
|
|
$ |
4.91 |
|
|
Natural gas (per Mcf): |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Price received |
|
$ |
2.34 |
|
|
$ |
0.48 |
|
|
|
$ |
(0.06 |
) |
|
$ |
0.11 |
|
|
Effect of natural gas hedging (4) |
|
|
(0.74 |
) |
|
|
(0.11 |
) |
|
|
|
(0.01 |
) |
|
|
(0.04 |
) |
|
Realized price |
|
$ |
1.60 |
|
|
$ |
0.37 |
|
|
|
$ |
(0.07 |
) |
|
$ |
0.07 |
|
|
Weighted average NYMEX price (per MMBtu) (2) |
|
$ |
3.59 |
|
|
$ |
2.44 |
|
|
|
$ |
1.76 |
|
|
$ |
1.98 |
|
|
Selected operating metrics: |
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|
|
|
|
|
|
|
|
|
|
|
||||
|
Sales price, net of hedging ($ per BOE) |
|
$ |
35.44 |
|
|
$ |
23.74 |
|
|
|
$ |
20.39 |
|
|
$ |
21.44 |
|
|
Lease operating ($ per BOE) |
|
|
7.23 |
|
|
|
6.52 |
|
|
|
|
6.40 |
|
|
|
6.43 |
|
|
Transportation, gathering, compression and other ($ per BOE) |
|
|
0.90 |
|
|
|
0.71 |
|
|
|
|
0.90 |
|
|
|
0.84 |
|
|
Depreciation, depletion and amortization ($ per BOE) |
|
|
6.16 |
|
|
|
6.83 |
|
|
|
|
13.69 |
|
|
|
11.53 |
|
|
General and administrative ($ per BOE) |
|
|
1.48 |
|
|
|
1.91 |
|
|
|
|
3.71 |
|
|
|
3.15 |
|
|
Production and ad valorem taxes (% of sales revenue) |
|
|
7 |
% |
|
|
9 |
% |
|
|
|
9 |
% |
|
|
9 |
% |
|
(1) |
|
Whiting paid $284 million and received $43 million in pre-tax cash settlements on crude oil hedges during the years ended December 31, 2021 and December 31, 2020, respectively. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
|
(2) |
|
Average NYMEX prices weighted for monthly production volumes. |
|
(3) |
|
Whiting paid $9 million in pre-tax cash settlements on NGL hedges during the year ended December 31, 2021. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
|
(4) |
|
Whiting paid $31 million and $2 million in pre-tax cash settlements on natural gas hedges during the years ended December 31, 2021 and December 31, 2020, respectively. Refer to “Commodity Price Hedging” above for a summary of Whiting’s outstanding hedges. |
Selected Financial Data
For further information and discussion on the selected financial data below, please refer to Whiting’s Annual Report on Form 10‑K for the year ended December 31, 2021 filed with the Securities and Exchange Commission.
|
|
|
Successor |
||||
|
|
|
Three Months Ended |
||||
|
|
|
December 31, |
|
September 30, |
||
|
|
|
2021 |
|
2021 |
||
|
Selected financial data: |
|
|
|
|
|
|
|
(In thousands, except per share data) |
|
|
|
|
|
|
|
Total operating revenues |
|
$ |
473,408 |
|
$ |
401,037 |
|
Total operating expenses |
|
|
177,379 |
|
|
199,304 |
|
Total other expense, net |
|
|
2,940 |
|
|
3,571 |
|
Net income |
|
|
292,179 |
|
|
198,162 |
|
Per basic share |
|
|
7.47 |
|
|
5.07 |
|
Per diluted share |
|
|
7.34 |
|
|
5.00 |
|
Adjusted net income (1) |
|
|
168,493 |
|
|
141,553 |
|
Per basic share |
|
|
4.31 |
|
|
3.62 |
|
Per diluted share |
|
|
4.23 |
|
|
3.57 |
|
Adjusted EBITDAX (1) |
|
|
226,356 |
|
|
201,102 |
|
Net cash provided by operating activities |
|
|
213,914 |
|
|
189,890 |
|
Adjusted free cash flow (1) |
|
|
156,269 |
|
|
127,742 |
|
|
|
Successor |
|
|
Predecessor |
|
Non-GAAP |
||||||||
|
|
|
Year Ended |
|
Four Months |
|
|
Eight Months |
|
Combined |
||||||
|
Selected financial data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
(In thousands, except per share data) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
Total operating revenues |
|
$ |
1,533,481 |
|
$ |
273,358 |
|
|
$ |
459,004 |
|
|
$ |
732,362 |
|
|
Total operating expenses |
|
|
1,091,867 |
|
|
238,379 |
|
|
|
4,651,298 |
|
|
|
4,889,677 |
|
|
Total other (income) expense, net |
|
|
12,798 |
|
|
7,944 |
|
|
|
(170,459 |
) |
|
|
(162,515 |
) |
|
Net income (loss) |
|
|
427,906 |
|
|
39,073 |
|
|
|
(3,965,461 |
) |
|
|
(3,926,388 |
) |
|
Per basic share (2) |
|
|
10.97 |
|
|
1.03 |
|
|
|
(43.37 |
) |
|
|
(103.11 |
) |
|
Per diluted share (2) |
|
|
10.78 |
|
|
1.03 |
|
|
|
(43.37 |
) |
|
|
(103.11 |
) |
|
Adjusted net income (loss) (1) |
|
|
535,441 |
|
|
63,794 |
|
|
|
(209,656 |
) |
|
|
(145,862 |
) |
|
Per basic share (2) |
|
|
13.73 |
|
|
1.68 |
|
|
|
(2.29 |
) |
|
|
(3.83 |
) |
|
Per diluted share (2) |
|
|
13.49 |
|
|
1.67 |
|
|
|
(2.29 |
) |
|
|
(3.83 |
) |
|
Adjusted EBITDAX (1) |
|
|
774,025 |
|
|
154,521 |
|
|
|
227,580 |
|
|
|
382,101 |
|
|
Net cash provided by operating activities |
|
|
740,243 |
|
|
82,168 |
|
|
|
112,613 |
|
|
|
194,781 |
|
|
Adjusted free cash flow (1) |
|
|
503,550 |
|
|
102,493 |
|
|
|
(132,564 |
) |
|
|
(30,071 |
) |
|
(1) |
|
Reconciliations of net income (loss) to adjusted net income (loss) and adjusted EBITDAX and net cash provided by operating activities to adjusted free cash flow are included later in this news release. |
|
(2) |
|
For the combined year ended December 31, 2020, the Company used the Successor’s basic and diluted weighted average share count to calculate per share amounts. |
|
WHITING PETROLEUM CORPORATION |
||||||||
|
CONDENSED CONSOLIDATED BALANCE SHEETS |
||||||||
|
(in thousands, except share and per share data) |
||||||||
|
|
|
|
|
|
|
|
||
|
|
|
Successor |
||||||
|
|
|
December 31, |
|
December 31, |
||||
|
|
|
2021 |
|
2020 |
||||
|
ASSETS |
|
|
|
|
|
|
||
|
Current assets: |
|
|
|
|
|
|
||
|
Cash, cash equivalents and restricted cash |
|
$ |
41,245 |
|
|
$ |
28,367 |
|
|
Accounts receivable trade, net |
|
|
279,865 |
|
|
|
142,830 |
|
|
Prepaid expenses and other |
|
|
17,158 |
|
|
|
19,224 |
|
|
Total current assets |
|
|
338,268 |
|
|
|
190,421 |
|
|
Property and equipment: |
|
|
|
|
|
|
||
|
Oil and gas properties, successful efforts method |
|
|
2,274,908 |
|
|
|
1,812,601 |
|
|
Other property and equipment |
|
|
61,624 |
|
|
|
74,064 |
|
|
Total property and equipment |
|
|
2,336,532 |
|
|
|
1,886,665 |
|
|
Less accumulated depreciation, depletion and amortization |
|
|
(254,237 |
) |
|
|
(73,869 |
) |
|
Total property and equipment, net |
|
|
2,082,295 |
|
|
|
1,812,796 |
|
|
Other long-term assets |
|
|
37,368 |
|
|
|
40,723 |
|
|
TOTAL ASSETS |
|
$ |
2,457,931 |
|
|
$ |
2,043,940 |
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
||
|
Current liabilities: |
|
|
|
|
|
|
||
|
Accounts payable trade |
|
$ |
48,641 |
|
|
$ |
23,697 |
|
|
Revenues and royalties payable |
|
|
258,527 |
|
|
|
151,196 |
|
|
Accrued capital expenditures |
|
|
38,914 |
|
|
|
20,155 |
|
|
Accrued liabilities and other |
|
|
30,726 |
|
|
|
42,007 |
|
|
Accrued lease operating expenses |
|
|
32,408 |
|
|
|
23,457 |
|
|
Taxes payable |
|
|
18,864 |
|
|
|
11,997 |
|
|
Derivative liabilities |
|
|
209,653 |
|
|
|
49,485 |
|
|
Total current liabilities |
|
|
637,733 |
|
|
|
321,994 |
|
|
Long-term debt |
|
|
– |
|
|
|
360,000 |
|
|
Asset retirement obligations |
|
|
93,915 |
|
|
|
91,864 |
|
|
Operating lease obligations |
|
|
14,710 |
|
|
|
17,415 |
|
|
Long-term derivative liabilities |
|
|
46,720 |
|
|
|
9,750 |
|
|
Other long-term liabilities |
|
|
1,228 |
|
|
|
14,113 |
|
|
Total liabilities |
|
|
794,306 |
|
|
|
815,136 |
|
|
Commitments and contingencies |
|
|
|
|
|
|
||
|
Equity: |
|
|
|
|
|
|
||
|
Common stock, $0.001 par value, 500,000,000 shares authorized; 39,133,637 issued and outstanding as of December 31, 2021 and 38,051,125 issued and outstanding as of December 31, 2020 |
|
|
39 |
|
|
|
38 |
|
|
Additional paid-in capital |
|
|
1,196,607 |
|
|
|
1,189,693 |
|
|
Accumulated earnings |
|
|
466,979 |
|
|
|
39,073 |
|
|
Total equity |
|
|
1,663,625 |
|
|
|
1,228,804 |
|
|
TOTAL LIABILITIES AND EQUITY |
|
$ |
2,457,931 |
|
|
$ |
2,043,940 |
|
|
WHITING PETROLEUM CORPORATION |
||||||||
|
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) |
||||||||
|
(in thousands, except per share data) |
||||||||
|
|
|
|
|
|
|
|
||
|
|
|
Successor |
||||||
|
|
|
Three Months Ended |
||||||
|
|
|
December 31, |
|
September 30, |
||||
|
|
|
2021 |
|
2021 |
||||
|
OPERATING REVENUES |
|
|
|
|
|
|
||
|
Oil, NGL and natural gas sales |
|
$ |
462,842 |
|
|
$ |
394,333 |
|
|
Purchased gas sales |
|
|
10,566 |
|
|
|
6,704 |
|
|
Total operating revenues |
|
|
473,408 |
|
|
|
401,037 |
|
|
OPERATING EXPENSES |
|
|
|
|
|
|
||
|
Lease operating expenses |
|
|
62,393 |
|
|
|
56,562 |
|
|
Transportation, gathering, compression and other |
|
|
6,801 |
|
|
|
8,835 |
|
|
Purchased gas expense |
|
|
8,997 |
|
|
|
5,496 |
|
|
Production and ad valorem taxes |
|
|
31,885 |
|
|
|
28,712 |
|
|
Depreciation, depletion and amortization |
|
|
49,201 |
|
|
|
51,927 |
|
|
Exploration and impairment |
|
|
2,666 |
|
|
|
3,446 |
|
|
General and administrative |
|
|
15,273 |
|
|
|
11,961 |
|
|
Derivative (gain) loss, net |
|
|
(4,530 |
) |
|
|
122,559 |
|
|
(Gain) loss on sale of properties |
|
|
4,693 |
|
|
|
(90,194 |
) |
|
Total operating expenses |
|
|
177,379 |
|
|
|
199,304 |
|
|
INCOME FROM OPERATIONS |
|
|
296,029 |
|
|
|
201,733 |
|
|
OTHER INCOME (EXPENSE) |
|
|
|
|
|
|
||
|
Interest expense |
|
|
(3,426 |
) |
|
|
(3,871 |
) |
|
Other income |
|
|
486 |
|
|
|
300 |
|
|
Total other expense |
|
|
(2,940 |
) |
|
|
(3,571 |
) |
|
INCOME BEFORE INCOME TAXES |
|
|
293,089 |
|
|
|
198,162 |
|
|
INCOME TAX EXPENSE |
|
|
|
|
|
|
||
|
Current |
|
|
910 |
|
|
|
– |
|
|
Total income tax expense |
|
|
910 |
|
|
|
– |
|
|
NET INCOME |
|
$ |
292,179 |
|
|
$ |
198,162 |
|
|
INCOME PER COMMON SHARE |
|
|
|
|
|
|
||
|
Basic |
|
$ |
7.47 |
|
|
$ |
5.07 |
|
|
Diluted |
|
$ |
7.34 |
|
|
$ |
5.00 |
|
|
WEIGHTED AVERAGE SHARES OUTSTANDING |
|
|
|
|
|
|
||
|
Basic |
|
|
39,132 |
|
|
|
39,121 |
|
|
Diluted |
|
|
39,819 |
|
|
|
39,622 |
|
|
WHITING PETROLEUM CORPORATION |
|||||||||||||||||
|
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||||||||||
|
(in thousands, except per share data) |
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
Successor |
|
|
Predecessor |
|
Non-GAAP |
||||||||||
|
|
|
Year Ended |
|
Four Months |
|
|
Eight Months |
|
Combined |
||||||||
|
OPERATING REVENUES |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Oil, NGL and natural gas sales |
|
$ |
1,511,837 |
|
|
$ |
273,358 |
|
|
|
$ |
459,004 |
|
|
$ |
732,362 |
|
|
Purchased gas sales |
|
|
21,644 |
|
|
|
– |
|
|
|
|
– |
|
|
|
– |
|
|
Total operating revenues |
|
|
1,533,481 |
|
|
|
273,358 |
|
|
|
|
459,004 |
|
|
|
732,362 |
|
|
OPERATING EXPENSES |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Lease operating expenses |
|
|
242,476 |
|
|
|
73,981 |
|
|
|
|
158,228 |
|
|
|
232,209 |
|
|
Transportation, gathering, compression and other |
|
|
30,107 |
|
|
|
8,038 |
|
|
|
|
22,266 |
|
|
|
30,304 |
|
|
Purchased gas expense |
|
|
17,572 |
|
|
|
– |
|
|
|
|
– |
|
|
|
– |
|
|
Production and ad valorem taxes |
|
|
110,416 |
|
|
|
24,150 |
|
|
|
|
41,204 |
|
|
|
65,354 |
|
|
Depreciation, depletion and amortization |
|
|
206,475 |
|
|
|
77,502 |
|
|
|
|
338,757 |
|
|
|
416,259 |
|
|
Exploration and impairment |
|
|
10,781 |
|
|
|
7,865 |
|
|
|
|
4,184,830 |
|
|
|
4,192,695 |
|
|
General and administrative |
|
|
49,520 |
|
|
|
21,734 |
|
|
|
|
91,816 |
|
|
|
113,550 |
|
|
Derivative (gain) loss, net |
|
|
520,131 |
|
|
|
24,714 |
|
|
|
|
(181,614 |
) |
|
|
(156,900 |
) |
|
(Gain) loss on sale of properties |
|
|
(95,611 |
) |
|
|
395 |
|
|
|
|
927 |
|
|
|
1,322 |
|
|
Amortization of deferred gain on sale |
|
|
– |
|
|
|
– |
|
|
|
|
(5,116 |
) |
|
|
(5,116 |
) |
|
Total operating expenses |
|
|
1,091,867 |
|
|
|
238,379 |
|
|
|
|
4,651,298 |
|
|
|
4,889,677 |
|
|
INCOME (LOSS) FROM OPERATIONS |
|
|
441,614 |
|
|
|
34,979 |
|
|
|
|
(4,192,294 |
) |
|
|
(4,157,315 |
) |
|
OTHER INCOME (EXPENSE) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Interest expense |
|
|
(16,381 |
) |
|
|
(8,080 |
) |
|
|
|
(73,054 |
) |
|
|
(81,134 |
) |
|
Gain on extinguishment of debt |
|
|
– |
|
|
|
– |
|
|
|
|
25,883 |
|
|
|
25,883 |
|
|
Interest income and other |
|
|
3,583 |
|
|
|
136 |
|
|
|
|
211 |
|
|
|
347 |
|
|
Reorganization items, net |
|
|
– |
|
|
|
– |
|
|
|
|
217,419 |
|
|
|
217,419 |
|
|
Total other income (expense) |
|
|
(12,798 |
) |
|
|
(7,944 |
) |
|
|
|
170,459 |
|
|
|
162,515 |
|
|
INCOME (LOSS) BEFORE INCOME TAXES |
|
|
428,816 |
|
|
|
27,035 |
|
|
|
|
(4,021,835 |
) |
|
|
(3,994,800 |
) |
|
INCOME TAX EXPENSE (BENEFIT) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Current |
|
|
910 |
|
|
|
2,463 |
|
|
|
|
2,718 |
|
|
|
5,181 |
|
|
Deferred |
|
|
– |
|
|
|
(14,501 |
) |
|
|
|
(59,092 |
) |
|
|
(73,593 |
) |
|
Total income tax expense (benefit) |
|
|
910 |
|
|
|
(12,038 |
) |
|
|
|
(56,374 |
) |
|
|
(68,412 |
) |
|
NET INCOME (LOSS) |
|
$ |
427,906 |
|
|
$ |
39,073 |
|
|
|
$ |
(3,965,461 |
) |
|
$ |
(3,926,388 |
) |
|
INCOME (LOSS) PER COMMON SHARE |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Basic (1) |
|
$ |
10.97 |
|
|
$ |
1.03 |
|
|
|
$ |
(43.37 |
) |
|
$ |
(103.11 |
) |
|
Diluted (1) |
|
$ |
10.78 |
|
|
$ |
1.03 |
|
|
|
$ |
(43.37 |
) |
|
$ |
(103.11 |
) |
|
WEIGHTED AVERAGE SHARES OUTSTANDING |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
Basic (1) |
|
|
39,006 |
|
|
|
38,080 |
|
|
|
|
91,423 |
|
|
|
38,080 |
|
|
Diluted (1) |
|
|
39,692 |
|
|
|
38,119 |
|
|
|
|
91,423 |
|
|
|
38,080 |
|
Contacts
Company Contact: Brandon Day
Title: Investor Relations Director
Phone: 303-390-4969
Email: Brandond@whiting.com
