SUPPLEMENTAL DISCLOSURES ABOUT NATURAL GAS PRODUCING ACTIVITIES (Tables)
|
12 Months Ended |
Dec. 31, 2021 |
|---|
| Extractive Industries [Abstract] |
|
| Capitalized Costs Relating to Oil and Gas Producing Activities Disclosure |
Capitalized costs related to Tellurian’s natural gas producing activities are summarized as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
December 31, |
|
|
2021 |
|
2020 |
|
2019 |
Proved properties |
|
$ |
113,950 |
|
$ |
62,718 |
|
$ |
142,494 |
Unproved properties |
|
|
— |
|
|
— |
|
|
— |
Gross capitalized costs |
|
|
113,950 |
|
|
62,718 |
|
|
142,494 |
Accumulated DD&A |
|
|
(48,637) |
|
|
(37,639) |
|
|
(21,010) |
Net capitalized costs |
|
$ |
65,313 |
|
$ |
25,079 |
|
$ |
121,484 |
|
| Cost Incurred in Oil and Gas Property Acquisition, Exploration, and Development Activities Disclosure |
Costs incurred in natural gas property acquisition (inclusive of producing well costs), exploration and development activities are summarized as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
|
2021 |
|
2020 |
|
2019 |
Property acquisitions: |
|
|
|
|
|
|
|
|
|
Proved |
|
$ |
3,409 |
|
$ |
1,307 |
|
$ |
45,484 |
Unproved |
|
|
— |
|
|
— |
|
|
— |
Exploration costs |
|
|
— |
|
|
— |
|
|
— |
Development |
|
|
28,955 |
|
|
— |
|
|
800 |
Costs incurred |
|
$ |
32,364 |
|
$ |
1,307 |
|
$ |
46,284 |
|
| Oil and Gas Net Production, Average Sales Price and Average Production Costs Disclosure |
The following table includes revenues and expenses directly associated with our natural gas and condensate producing activities. It does not include any interest costs or indirect general and administrative costs and, therefore, is not necessarily indicative of the contribution to consolidated net operating results of our natural gas operations. Tellurian’s results of operations from natural gas and condensate producing activities for the periods presented are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
|
2021 |
|
2020 |
|
2019 |
Natural gas sales |
|
$ |
51,499 |
|
$ |
30,441 |
|
$ |
28,774 |
Operating costs |
|
|
20,576 |
|
|
15,814 |
|
|
14,923 |
Depreciation, depletion and amortization |
|
|
10,998 |
|
|
16,703 |
|
|
19,736 |
Impairment charge |
|
|
— |
|
|
81,065 |
|
|
— |
Total operating costs and expenses |
|
|
31,574 |
|
|
113,582 |
|
|
34,659 |
Results of operations |
|
$ |
19,925 |
|
$ |
(83,141) |
|
$ |
(5,885) |
|
| Schedule of Proved Developed and Undeveloped Oil and Gas Reserve Quantities |
|
|
|
|
|
|
|
|
|
Gas |
|
Condensate |
|
Gas Equivalent |
|
|
(MMcf) |
|
(Mbbl) |
|
(MMcfe) |
Proved reserves: |
|
|
|
|
|
|
December 31, 2018 |
|
264,854 |
|
7 |
|
264,899 |
Extensions, discoveries and other additions |
|
12,848 |
|
— |
|
12,848 |
Revisions of previous estimates |
|
4,737 |
|
(6) |
|
4,696 |
Production |
|
(13,901) |
|
(1) |
|
(13,905) |
Sale of reserves-in-place |
|
— |
|
— |
|
— |
Purchases of reserves-in-place |
|
— |
|
— |
|
— |
December 31, 2019 |
|
268,538 |
|
— |
|
268,538 |
Extensions, discoveries and other additions |
|
— |
|
— |
|
— |
Revisions of previous estimates |
|
(152,132) |
|
— |
|
(152,132) |
Production |
|
(16,898) |
|
— |
|
(16,898) |
Sale of reserves-in-place |
|
— |
|
— |
|
— |
Purchases of reserves-in-place |
|
— |
|
— |
|
— |
December 31, 2020 |
|
99,508 |
|
— |
|
99,508 |
Extensions, discoveries and other additions |
|
202,897 |
|
— |
|
202,897 |
Revisions of previous estimates |
|
35,237 |
|
— |
|
35,237 |
Production |
|
(14,306) |
|
— |
|
(14,306) |
Sale of reserves-in-place |
|
— |
|
— |
|
— |
Purchases of reserves-in-place |
|
— |
|
— |
|
— |
December 31, 2021 |
|
323,336 |
|
— |
|
323,336 |
Proved developed reserves: |
|
|
|
|
|
|
December 31, 2019 |
|
30,699 |
|
— |
|
30,699 |
December 31, 2020 |
|
26,593 |
|
— |
|
26,593 |
December 31, 2021 |
|
73,927 |
|
— |
|
73,927 |
Proved undeveloped reserves: |
|
|
|
|
|
|
December 31, 2019 |
|
237,839 |
|
— |
|
237,839 |
December 31, 2020 |
|
72,915 |
|
— |
|
72,915 |
December 31, 2021 |
|
249,409 |
|
— |
|
249,409 |
|
| Standardized Measure of Discounted Future Cash Flows Relating to Proved Reserves Disclosure |
The following summary sets forth our future net cash flows relating to proved natural gas and condensate reserves based on the standardized measure (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
|
2021 |
|
2020 |
|
2019 |
Future cash inflows |
|
$ |
945,651 |
|
$ |
132,563 |
|
$ |
534,577 |
Future production costs |
|
|
(133,909) |
|
|
(34,624) |
|
|
(102,268) |
Future development costs |
|
|
(211,836) |
|
|
(71,557) |
|
|
(287,111) |
Future income tax provisions |
|
|
(54,401) |
|
|
— |
|
|
(6,612) |
Future net cash flows |
|
|
545,505 |
|
|
26,382 |
|
|
138,586 |
Less effect of a 10% discount factor |
|
|
(181,302) |
|
|
(19,497) |
|
|
(85,415) |
Standardized measure of discounted future net cash flows |
|
$ |
364,203 |
|
$ |
6,885 |
|
$ |
53,171 |
The following table sets forth the changes in the standardized measure of discounted future net cash flows (in thousands):
|
|
|
|
December 31, 2018 |
|
$ |
145,811 |
Sales and transfers of gas and condensate produced, net of production costs |
|
|
(21,704) |
Net changes in prices and production costs |
|
|
(134,366) |
Extensions, discoveries, additions and improved recovery, net of related costs |
|
|
2,019 |
Development costs incurred |
|
|
23,485 |
Revisions of estimated development costs |
|
|
6,165 |
Revisions of previous quantity estimates |
|
|
(12,660) |
Accretion of discount |
|
|
17,821 |
Net change in income taxes |
|
|
28,316 |
Purchases of reserves in place |
|
|
— |
Sales of reserves in place |
|
|
— |
Changes in timing and other |
|
|
(1,716) |
December 31, 2019 |
|
$ |
53,171 |
Sales and transfers of gas and condensate produced, net of production costs |
|
|
(20,211) |
Net changes in prices and production costs |
|
|
(58,136) |
Extensions, discoveries, additions and improved recovery, net of related costs |
|
|
— |
Development costs incurred |
|
|
— |
Revisions of estimated development costs |
|
|
— |
Revisions of previous quantity estimates |
|
|
26,133 |
Accretion of discount |
|
|
5,725 |
Net change in income taxes |
|
|
4,077 |
Purchases of reserves in place |
|
|
— |
Sales of reserves in place |
|
|
— |
Changes in timing and other |
|
|
(3,874) |
December 31, 2020 |
|
$ |
6,885 |
Sales and transfers of gas and condensate produced, net of production costs |
|
|
(39,806) |
Net changes in prices and production costs |
|
|
110,850 |
Extensions, discoveries, additions and improved recovery, net of related costs |
|
|
255,246 |
Development costs incurred |
|
|
— |
Revisions of estimated development costs |
|
|
10,643 |
Revisions of previous quantity estimates |
|
|
35,012 |
Accretion of discount |
|
|
688 |
Net change in income taxes |
|
|
(27,455) |
Purchases of reserves in place |
|
|
— |
Sales of reserves in place |
|
|
— |
Changes in timing and other |
|
|
12,140 |
December 31, 2021 |
|
$ |
364,203 |
|