Annual report pursuant to Section 13 and 15(d)

SUPPLEMENTAL DISCLOSURES ABOUT NATURAL GAS PRODUCING ACTIVITIES (Tables)

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SUPPLEMENTAL DISCLOSURES ABOUT NATURAL GAS PRODUCING ACTIVITIES (Tables)
 12 Months Ended
Dec. 31, 2022
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,
2022 2021 2020
Proved properties $ 468,351  $ 113,950  $ 62,718 
Unproved properties —  —  — 
Gross capitalized costs 468,351  113,950  62,718 
Accumulated DD&A (92,423) (48,637) (37,639)
Net capitalized costs $ 375,928  $ 65,313  $ 25,079 
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,
2022 2021 2020
Property acquisitions:
Proved $ 135,974  $ 3,409  $ 1,307 
Unproved —  —  — 
Exploration costs —  —  — 
Development costs 210,546  28,955  — 
Costs incurred $ 346,520  $ 32,364  $ 1,307 
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,
2022 2021 2020
Natural gas sales $ 270,977  $ 51,499  $ 30,441 
Operating costs 53,963  20,576  15,814 
Depreciation, depletion and amortization 43,966  10,998  16,703 
Impairment charge —  —  81,065 
Total operating costs and expenses 97,929  31,574  113,582 
Results of operations $ 173,048  $ 19,925  $ (83,141)
Schedule of Proved Developed and Undeveloped Oil and Gas Reserve Quantities
Gas
(MMcf)		 Condensate
(Mbbl)		 Gas Equivalent
(MMcfe)
Proved reserves:
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 
Extensions, discoveries and other additions 113,047  —  113,047 
Revisions of previous estimates (52,185) —  (52,185)
Production (47,322) —  (47,322)
Sale of reserves-in-place —  —  — 
Purchases of reserves-in-place 108,017  —  108,017 
December 31, 2022 444,893  —  444,893 
Proved developed reserves:
December 31, 2020 26,593  —  26,593 
December 31, 2021 73,927  —  73,927 
December 31, 2022 218,382  —  218,382 
Proved undeveloped reserves:
December 31, 2020 72,915  —  72,915 
December 31, 2021 249,409  —  249,409 
December 31, 2022 226,511  —  226,511 
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,
2022 2021 2020
Future cash inflows $ 2,441,930  $ 945,651  $ 132,563 
Future production costs (341,925) (133,909) (34,624)
Future development costs (360,107) (211,836) (71,557)
Future income tax provisions (257,908) (54,401) — 
Future net cash flows 1,481,990  545,505  26,382 
Less effect of a 10% discount factor (445,686) (181,302) (19,497)
Standardized measure of discounted future net cash flows $ 1,036,304  $ 364,203  $ 6,885 
The following sets forth the changes in the standardized measure of discounted future net cash flows (in thousands):
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 
Sales and transfers of gas and condensate produced, net of production costs (236,374)
Net changes in prices and production costs 503,099 
Extensions, discoveries, additions and improved recovery, net of related costs 255,970 
Development costs incurred 154,931 
Revisions of estimated development costs (105,352)
Revisions of previous quantity estimates (143,398)
Accretion of discount 36,420 
Net change in income taxes (127,154)
Purchases of reserves in place 262,050 
Sales of reserves in place — 
Changes in timing and other 71,909 
December 31, 2022 $ 1,036,304