0001705873-21-000010 | 10-K | XBRL Viewer

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Cover Page - USD ($) $ in Millions	12 Months Ended
Cover Page - USD ($) $ in Millions	Dec. 31, 2020	Jan. 31, 2021	Jun. 30, 2020
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2020
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	001-38606
Entity Registrant Name	BERRY CORPORATION (bry)
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	81-5410470
Entity Address, Address Line One	16000 Dallas Parkway
Entity Address, Address Line Two	Suite 500
Entity Address, City or Town	Dallas
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75248
City Area Code	661
Local Phone Number	616-3900
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	BRY
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Entity Public Float			$ 266.2
Entity Common Stock, Shares Outstanding		79,932,806
Documents Incorporated by Reference	The Company’s definitive proxy statement relating to the annual meeting of shareholders (to be held May 19, 2021) will be filed with the Securities and Exchange Commission within 120 days after the close of the Company’s fiscal year ended December 31, 2020 and is incorporated by reference in Part III to the extent described herein.
Entity Central Index Key	0001705873
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	FY
Amendment Flag	false

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 80,557	$ 0
Accounts receivable, net of allowance for doubtful accounts of $2,215 at December 31, 2020 and $1,103 at December 31, 2019	52,027	71,867
Derivative instruments	2,507	9,166
Other current assets	19,400	19,399
Total current assets	154,491	100,432
Noncurrent assets:
Oil and natural gas properties	1,412,566	1,675,717
Accumulated depletion and amortization	(235,259)	(209,105)
Total oil and natural gas properties, net	1,177,307	1,466,612
Other property and equipment	112,145	135,117
Accumulated depreciation	(31,368)	(25,462)
Total other property and equipment, net	80,777	109,655
Derivative instruments	0	525
Other noncurrent assets	7,235	12,974
Total assets	1,419,810	1,690,198
Current liabilities:
Accounts payable and accrued expenses	151,985	151,811
Derivative instruments	23,321	4,817
Total current liabilities	175,306	156,628
Noncurrent liabilities:
Long-term debt	393,480	394,319
Derivative instruments	0	141
Deferred income taxes	1,011	9,057
Asset retirement obligation	135,192	124,019
Other noncurrent liabilities	785	33,586
Commitments and Contingencies - Note 5
Stockholders' Equity:
Common stock ($0.001 par value; 750,000,000 shares authorized; 85,041,581 and 84,655,222 shares issued; and 79,929,335 and 79,542,976 shares outstanding, at December 31, 2020 and December 31, 2019, respectively)	85	85
Additional paid-in capital	915,877	901,830
Treasury stock, at cost (5,112,246 shares at December 31, 2020 and at December 31, 2019)	(49,995)	(49,995)
Retained (deficit) earnings	(151,931)	120,528
Total stockholders' equity	714,036	972,448
Total liabilities and stockholders' equity	$ 1,419,810	$ 1,690,198

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 2,215	$ 1,103
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	750,000,000	750,000,000
Common stock, shares issued (in shares)	85,041,581	84,655,222
Common stock, shares outstanding (in shares)	79,929,335	79,542,976
Treasury stock, shares at cost (in shares)	5,112,246	5,112,246

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Revenues and other:
Revenues and other	$ 406,052	$ 597,403	$ 591,178
(Losses) gains on derivatives	116,746	(44,955)	1,735
Total revenues and other	523,833	559,405	586,557
Expenses and other:
Transportation expenses	6,938	8,059	9,860
Marketing expenses	1,380	2,073	2,140
General and administrative expenses	77,696	62,643	54,026
Depreciation, depletion and amortization	139,180	106,006	86,271
Impairment of oil and gas properties	289,085	51,081	0
Taxes, other than income taxes	35,572	40,645	33,117
Losses (gains) on derivatives	(116,746)	44,955	(1,735)
Other operating expense (income)	5,781	4,588	(2,747)
Total expenses and other	759,623	517,836	385,705
Other (expenses) income:
Interest expense	(34,295)	(34,234)	(35,648)
Other, net	(28)	80	243
Total other (expenses) income	(34,323)	(34,154)	(35,405)
Reorganization items, net	0	(426)	24,690
(Loss) income before income taxes	(270,113)	6,989	190,137
Income tax expense (benefit)	(7,218)	(36,550)	43,035
Net (loss) income	(262,895)	43,539	147,102
Series A Preferred Stock dividends and conversion to common stock	0	0	(97,942)
Net (loss) income attributable to common stockholders	$ (262,895)	$ 43,539	$ 49,160
Net (loss) earnings per share attributable to common stockholders:
Basic (in dollars per share)	$ (3.29)	$ 0.54	$ 0.85
Diluted (in dollars per share)	$ (3.29)	$ 0.53	$ 0.85
Oil and gas
Revenues and other:
Revenues and other	$ 378,663	$ 565,596	$ 552,874
(Losses) gains on derivatives	117,781	(37,998)	(4,621)
Expenses and other:
Cost of goods sold	186,348	216,294	188,776
Losses (gains) on derivatives	(117,781)	37,998	4,621
Electricity sales
Revenues and other:
Revenues and other	25,813	29,397	35,208
Expenses and other:
Cost of goods sold	16,608	19,490	20,619
Marketing revenues
Revenues and other:
Revenues and other	1,426	2,094	2,322
Other revenues
Revenues and other:
Revenues and other	150	316	774
Losses (gains) on natural gas purchase derivatives
Revenues and other:
Revenues and other	14,041	19,391	26,244
(Losses) gains on derivatives	(1,035)	(6,957)	6,357
Expenses and other:
Losses (gains) on derivatives	$ 1,035	$ 6,957	$ (6,357)

CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands	Total	Series A Preferred Stock	Common Stock	Additional Paid-in Capital	Treasury Stock	Retained (Deficit) Earnings
Beginning balance at Dec. 31, 2017	$ 859,310	$ 335,000	$ 33	$ 545,345	$ 0	$ (21,068)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cash dividends declared on Series A Preferred Stock, $0.308/share	(11,301)			(11,301)
Conversion of Series A Preferred Stock into common stock	0	(335,000)	40	334,960
Cash payment to Series A Preferred Stockholders	(60,273)			(60,273)
Issuance of common stock in initial public offering	133,805		10	133,795
Repurchase of common stock	(23,712)		(2)	(23,710)
Shares withheld for payment of taxes on equity awards	(3,699)		1	(3,700)
Stock based compensation	6,789			6,789
Purchase of rights to common stock	(20,265)				(20,265)
Purchase of treasury stock	(3,953)				(3,953)
Dividends declared on common stock	(17,357)			(7,365)		(9,992)
Net (loss) income	147,102					147,102
Ending balance at Dec. 31, 2018	1,006,446	0	82	914,540	(24,218)	116,042
Beginning balance at Dec. 31, 2017	859,310	335,000	33	545,345	0	(21,068)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Purchase of treasury stock	(50,000)
Ending balance at Dec. 31, 2019	972,448	0	85	901,830	(49,995)	120,528
Beginning balance at Dec. 31, 2018	1,006,446	0	82	914,540	(24,218)	116,042
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares withheld for payment of taxes on equity awards	(1,268)			(1,268)
Stock based compensation	8,826			8,826
Purchase of rights to common stock	0			(20,265)	20,265
Purchase of treasury stock	(46,042)				(46,042)
Common stock issued to settle unsecured claims	0		3	(3)
Dividends declared on common stock	(39,053)					(39,053)
Net (loss) income	43,539					43,539
Ending balance at Dec. 31, 2019	972,448	0	85	901,830	(49,995)	120,528
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares withheld for payment of taxes on equity awards	(1,039)			(1,039)
Stock based compensation	15,086			15,086
Dividends declared on common stock	(9,564)					(9,564)
Net (loss) income	(262,895)					(262,895)
Ending balance at Dec. 31, 2020	$ 714,036	$ 0	$ 85	$ 915,877	$ (49,995)	$ (151,931)

CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares	3 Months Ended				12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Statement of Stockholders' Equity [Abstract]
Preferred stock, dividends declared (in dollars per share)							$ 0.308
Common stock, dividends declared (in dollars per share)	$ 0.12	$ 0.12	$ 0.12	$ 0.12	$ 0.12	$ 0.48	$ 0.21

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Cash flow from operating activities:
Net (loss) income	$ (262,895)	$ 43,539	$ 147,102
Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities:
Depreciation, depletion and amortization	139,180	106,006	86,271
Amortization of debt issuance costs	5,351	5,059	5,430
Impairment of oil and gas properties	289,085	51,081	0
Stock-based compensation expense	14,630	8,647	6,750
Deferred income taxes	(8,045)	(36,778)	43,946
Increase (decrease) in allowance for doubtful accounts	1,112	153	(20)
Other operating expenses (income)	5,083	5,518	(2,747)
Reorganization expenses, net (non-cash)	0	0	(25,523)
Derivatives activities:
Total (gains) losses	(116,746)	44,955	(1,735)
Cash settlements on derivatives	142,292	42,197	(38,482)
Cash payments on early-terminated derivatives	0	0	(126,949)
Changes in assets and liabilities:
Decrease (increase) in accounts receivable	18,767	(14,597)	(1,683)
Increase in other assets	(2)	(5,136)	(819)
Increase (decrease) in accounts payable and accrued expenses	(14,172)	(917)	19,526
Decrease in other liabilities	(17,111)	(7,898)	(5,596)
Net cash provided by operating activities	196,529	241,829	105,471
Capital expenditures:
Capital expenditures	(76,480)	(211,995)	(150,023)
Changes in capital expenditures accruals	(11,336)	(11,159)	20,371
Acquisition of properties and equipment and other	(5,981)	(2,840)	0
Proceeds from sale of property and equipment and other	177	969	8,212
Net cash used in investing activities	(93,620)	(225,025)	(121,440)
Cash flow from financing activities:
Borrowings under credit facility	228,900	355,132	203,510
Repayments on credit facility	(230,750)	(353,282)	(582,510)
Dividends paid on common stock	(19,463)	(39,157)	(7,365)
Purchase of treasury stock	0	(46,909)	(23,351)
Shares withheld for payment of taxes on equity awards and other	(1,039)	(1,268)	(3,699)
Issuance of 2026 Senior Unsecured Notes	0	0	400,000
Debt issuance costs	0	0	(9,193)
IPO proceeds net of issuance costs	0	0	133,805
Repurchase of common stock	0	0	(23,712)
Payment to preferred stockholders in conversion	0	0	(60,273)
Dividends paid on Series A Preferred Stock	0	0	(11,301)
Net cash (used in) provided by financing activities	(22,352)	(85,484)	15,911
Net increase (decrease) in cash, cash equivalents and restricted cash	80,557	(68,680)	(58)
Cash, cash equivalents and restricted cash:
Beginning	0	68,680	68,738
Ending	$ 80,557	$ 0	$ 68,680

Basis of Presentation and Significant Accounting Policies

12 Months Ended

Dec. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation and Significant Accounting Policies

Effective February 18, 2020, Berry Petroleum Corporation changed its name to Berry Corporation (bry) and introduced a new logo. We believe that the name Berry Corporation (bry) is a name that better represents our progressive approach to evolving and growing the business in today’s dynamic oil and gas industry.

“Berry Corp.” refers to Berry Corporation (bry), a Delaware corporation, which is the sole member of Berry Petroleum Company, LLC (“Berry LLC”).

As the context may require, the “Company”, “we”, “our” or similar words refer to (i) Berry Corp. and Berry LLC, its consolidated subsidiary, as a whole or (ii) either Berry Corp. or Berry LLC.

Nature of Business

Berry Corp. is an independent oil and natural gas company that was incorporated under Delaware law in February 2017 and its common stock began trading on NASDAQ under the symbol “bry” in July 2018. Berry Corp. operates through its wholly-owned subsidiary, Berry LLC. Our properties are located onshore in the United States (the “U.S.”), in California (in the San Joaquin and Ventura basins), Utah (in the Uinta basin), and Colorado (in the Piceance basin).

Principles of Consolidation and Reporting

The consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), which requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We eliminated all significant intercompany transactions and balances upon consolidation. For oil and gas exploration and production joint ventures in which we have a direct working interest, we account for our proportionate share of assets, liabilities, revenue, expense and cash flows within the relevant lines of the financial statements.

Reclassification

We reclassified certain prior year amounts in the cash flow statements to conform to the current year presentation. These reclassifications had no material impact on the financial statements.

Use of Estimates

The preparation of the accompanying consolidated financial statements in conformity with GAAP required management of the Company to make informed estimates and assumptions about future events. These estimates and the underlying assumptions affect the amount of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses.

Estimates that are particularly significant to the financial statements include estimates of our reserves of oil and gas; future cash flows from oil and gas properties; depreciation, depletion and amortization; asset retirement obligations; fair values of commodity derivatives; stock-based compensation; fair values of assets acquired and liabilities assumed; and income taxes.

Cash Equivalents

We consider all highly liquid short-term investments with original maturities of three months or less to be cash equivalents.

Inventories

Inventories were included in other current assets. Oil and natural gas inventories were valued at the lower of cost or net realizable value. Materials and supplies were valued at their weighted-average cost and are reviewed periodically for obsolescence.

Oil and Natural Gas Properties

Proved Properties

We account for oil and natural gas properties in accordance with the successful efforts method. Under this method, all acquisition costs of proved properties are capitalized and amortized on a unit-of-production basis over the remaining life of the proved reserves. All development costs of proved properties are capitalized and amortized on a unit-of-production basis over the remaining life of the proved developed reserves. Costs of retired, sold or abandoned properties that constitute a part of an amortization base are charged or credited, net of proceeds, to accumulated depreciation, depletion and amortization unless doing so significantly affects the unit-of-production amortization rate, in which case a gain or loss is recognized in the current period. Gains or losses from the disposal of other properties are recognized in the current period. For assets acquired, we base the capitalized cost on fair value at the acquisition date. We expense expenditures for maintenance and repairs necessary to maintain properties in operating condition, as well as annual lease rentals, as they are incurred. Estimated dismantlement and abandonment costs are capitalized at their estimated net present value and amortized over the remaining lives of the related assets. Interest is capitalized only during the periods in which these assets are brought to their intended use. The amount of capitalized interest was approximately $1 million in 2020, $2 million in 2019, and in 2018 these costs were not significant. We only capitalize the interest on borrowed funds related to our share of costs associated with qualifying capital expenditures. The amount of capitalized exploratory well costs was zero for all periods and the amount of capitalized overhead was approximately $6 million, $2 million and $1 million in 2020, 2019 and 2018, respectively.

We evaluate the impairment of our proved oil and natural gas properties generally on a field by field basis or at the lowest level for which cash flows are identifiable, whenever events or changes in circumstance indicate that the carrying value may not be recoverable. We reduce the carrying values of proved properties to fair value when the expected undiscounted future cash flows are less than net book value. We measure the fair values of proved properties using valuation techniques consistent with the income approach, converting future cash flows to a single discounted amount. Significant inputs used to determine the fair values of proved properties include estimates of: (i) reserves; (ii) future operating and development costs; (iii) future commodity prices; and (iv) a risk-adjusted discount rate. These inputs require significant judgments and estimates by our management at the time of the valuation which can change significantly over time. The underlying commodity prices are embedded in our estimated cash flows and are the product of a process that begins with the relevant forward curve pricing, adjusted for estimated location and quality differentials, as well as other factors our management believes will impact realizable prices. The fair value was estimated using inputs characteristic of a Level 3 fair value measurement.

Unproved Properties

A portion of the carrying value of our oil and gas properties was attributable to unproved properties. At December 31, 2020 and 2019, the net capitalized costs attributable to unproved properties was approximately $311 million and $314 million, respectively. The unproved amounts were not subject to depreciation, depletion and amortization until they were classified as proved properties and amortized on a unit-of-production basis.

We evaluate the impairment of our unproved oil and gas properties whenever events or changes in circumstances indicate the carrying value may not be recoverable. If the exploration and development work were to be unsuccessful, or management decided not to pursue development of these properties as a result of lower commodity prices, higher development and operating costs, contractual conditions or other factors, the capitalized costs of such properties would be expensed. The timing of any write-downs of unproved properties, if warranted, depends upon management’s plans, the nature, timing and extent of future exploration and development activities and their results.

As of March 31, 2020, we performed impairment tests with respect to our proved and unproved oil and gas properties as a result of significant declines in oil prices during the latter part of the first quarter. These declines were driven by the uncertainty surrounding the outbreak of a novel strain of coronavirus (SARS-Cov-2), which causes COVID-19 (“COVID-19”) and other macroeconomic events such as the geopolitical tensions between the Organization of Petroleum Exporting Countries (“OPEC”) and Russia. The COVID-19 pandemic and related economic repercussions, coupled with actions taken by OPEC and other oil producing nations (“OPEC+”), created significant volatility, uncertainty, and turmoil in the oil and gas industry, which have negatively affected and are expected to continue to negatively affect our business.

Consequently, we recorded a non-cash pre-tax asset impairment charge of $289 million during the first quarter of 2020 on proved properties in Utah and certain California locations. We evaluated our proved properties in accordance with accounting guidance and fair value techniques utilizing the period-end forward price curve, as well as assessing projects we determine we would not pursue in the foreseeable future given the current environment. We believe our current plans and exploration and development efforts will allow us to realize the carrying value of our unproved property balance December 31, 2020.

At year end 2019, we evaluated our proved and unproved natural gas properties in regards to the decline in our expectations of future gas prices. As a result, we recorded a non-cash pre-tax asset impairment charge of $51 million for our Piceance gas properties in Colorado, of which $23 million was for proved properties and $28 million for unproved properties.

Other Property and Equipment

Other property and equipment includes natural gas gathering systems, pipelines, cogeneration facilities, buildings, software, data processing and telecommunications equipment, office furniture and equipment, and other fixed assets. These assets are recorded at cost, depreciated using the straight-line method based on expected useful lives ranging from 5 to 30 years for buildings and leasehold improvements and 2 to 30 years for plant and pipeline, drilling and other equipment, and the salvage value is considered as applicable.

Asset Retirement Obligation

We recognize the fair value of asset retirement obligations (“AROs”) in the period in which a determination is made that a legal obligation exists to dismantle an asset and remediate the property at the end of its useful life and the cost of the obligation can be reasonably estimated. The liability amounts were based on future retirement cost estimates and incorporate many assumptions such as time to abandonment, technological changes, future inflation rates and the risk-adjusted discount rate. When the liability was initially recorded, we capitalized the cost by increasing the related property, plant and equipment (“PP&E”) balances. If the estimated future cost of the AROs changes, we record an adjustment to both the ARO and PP&E. Over time, the liability is increased and the capitalized cost is depreciated over the useful life of the asset. Accretion expense is also recognized over time as the discounted liabilities are accreted to their expected settlement value and is included in depreciation, depletion and amortization in the statement of operations.

The following table summarizes activity in our ARO account in which approximately $135 million and $124 million were included in long term liabilities as of December 31, 2020 and December 31, 2019, respectively, with the remaining current portion included in accrued liabilities:


	Year Ended December 31,
	2020		2019
	(in thousands)
Beginning balance	$	149,227	$	95,548
Liabilities incurred including from acquisitions	5,919		11,534
Settlements and payments	(14,931)		(22,036)

Accretion expense	9,996		7,570

Revisions	9,981		56,611

Ending balance	$	160,192	$	149,227

A majority of the revisions during 2019 was a result of California's new idle well regulations which became effective in the second quarter of that year and accelerated the timing of abandonment of certain long existing idle wells. The revisions in 2020 largely reflected further changes to timing and cost estimates of these abandonment projects.

Revenue Recognition

Substantially all of the Company’s revenue is from the sale of crude oil, natural gas and NGLs. See Note 12 for information regarding the Company’s revenue recognition policy.

Fair Value Measurements

We have categorized our assets and liabilities that are measured at fair value in a three-level fair value hierarchy, based on the inputs to the valuation techniques: Level 1—using quoted prices in active markets for the assets or liabilities; Level 2—using observable inputs other than quoted prices for the assets or liabilities; and Level 3—using unobservable inputs. Transfers between levels, if any, are recognized at the end of each reporting period. We primarily apply the market approach for recurring fair value measurement, maximize our use of observable inputs and minimize use of unobservable inputs. We generally use an income approach to measure fair value when observable inputs are unavailable. This approach utilizes management’s judgments regarding expectations of projected cash flows and discounts those cash flows using a risk-adjusted discount rate.

The most significant items on our balance sheet that would be affected by recurring fair value measurements are derivatives. We determine the fair value of our oil and gas sales and natural gas purchase derivatives using valuation techniques which utilize market quotes and pricing analysis. Inputs include publicly available prices and forward price curves generated from a compilation of data gathered from third parties. We classify these measurements as Level 2.

Our PP&E is written down to fair value if we determine that there has been an impairment in its value. The fair value is determined as of the date of the assessment using discounted cash flow models based on management’s expectations for the future. Inputs include estimates of future production, prices based on commodity forward price curves as of the date of the estimate, estimated future operating and development costs and a risk-adjusted discount rate. We classify these measurements as Level 3.

Stock-based Compensation

We have issued restricted stock units (“RSUs”) that vest over time and performance-based restricted stock units (“PSUs”) that vest based on our achievement of certain average prices per share or total shareholder return, to certain employees and non-employee directors. The fair value of the stock-based awards is determined at the date of grant and is not remeasured. Prior to our IPO in July 2018, we determined the fair value of the RSUs based on an estimate of the fair value of our equity using an income approach. We used a discounted cash flow method to value the estimated future cash flows at an appropriate discount rate. Subsequent to our IPO, since the underlying shares

are now trading in the public markets, these estimates are no longer necessary. For PSUs, compensation value is measured on the grant date using payout values derived from a Monte-Carlo valuation model. Estimates used in the Monte Carlo valuation model are considered highly complex and subjective. Compensation expense, net of actual forfeitures, for the RSUs and PSUs is recognized on a straight-line basis over the requisite service periods, which is over the awards’ respective vesting or performance periods which range from one to three years.

Other Loss Contingencies

In the normal course of business, we are involved in lawsuits, claims and other environmental and legal proceedings and audits. We accrue reserves for these matters when it is probable that a liability has been incurred and the liability can be reasonably estimated. In addition, we disclose, if material, in aggregate, our exposure to loss in excess of the amount recorded on the balance sheet for these matters if it is reasonably possible that an additional material loss may be incurred. We review our loss contingencies on an ongoing basis.

Loss contingencies are based on judgments made by management with respect to the likely outcome of these matters and are adjusted as appropriate. Management’s judgments could change based on new information, changes in, or interpretations of, laws or regulations, changes in management’s plans or intentions, opinions regarding the outcome of legal proceedings, or other factors.

Electricity Cost Allocation

We own several cogeneration facilities. Our investment in cogeneration facilities has been for the express purpose of lowering steam costs in our heavy oil operations in California and securing operating control of the respective steam generation. Cogeneration, also called combined heat and power, extracts energy from the exhaust of a turbine, which would otherwise be wasted, to produce steam. Such cogeneration operations also produce electricity. We allocate steam and electricity costs to lease operating expenses based on the conversion efficiency of the cogeneration facilities plus certain direct costs of producing steam. We also allocate a portion of the electricity production costs related to the power we sell to third parties, which is reported in “electricity generation expenses” in the statement of operations.

Income Taxes

Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their tax bases. Deferred tax assets are recognized when it is more likely than not that they will be realized. We periodically assess our deferred tax assets and reduce such assets by a valuation allowance if we deem it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We recognize a tax benefit from an uncertain tax position when it is more likely than not that the position will be sustained upon examination, based on the technical merits of the position. Interest and penalties related to unrecognized tax benefits are recognized in income tax expense (benefit).

Earnings per Share

We computed basic and diluted earnings per share (EPS) using the two-class method required for participating securities. Common stock awards and preferred stock are considered participating securities when such shares have non-forfeitable dividend rights at the same rate as common stock.

Under the two-class method, undistributed earnings allocated to participating securities are subtracted from net income attributable to common stock in determining net income attributable to common stockholders. In loss periods, no allocation is made to participating securities because the participating securities do not share in losses. For basic EPS, the weighted-average number of common shares outstanding excludes outstanding shares related to unvested restricted stock awards. For diluted EPS, the basic shares outstanding are adjusted by adding potentially dilutive securities, unless their effect is anti-dilutive.

Business and Credit Concentrations

We maintain our cash in bank deposit accounts which, at times, may exceed federally insured amounts. We have not experienced any losses in such accounts. We believe we are not exposed to any significant credit risk on our cash.

We also sell oil, natural gas and NGLs to various types of customers, including pipelines, refineries and other oil and natural gas companies and electricity to utility companies. Based on the current demand for oil, natural gas and NGLs and the availability of other purchasers, we believe that the loss of any one of our major purchasers would not have a material adverse effect on our financial condition, results of operations or net cash provided by operating activities.

For the year ended December 31, 2020, our three largest customers represented approximately 44%, 20% and 12% of our sales. For the year ended December 31, 2019, our three largest customers represented 36%, 24%, and 13% of our sales. For the year ended December 31, 2018, our three largest customers represented approximately 35%, 28% and 13% of our sales.

At December 31, 2020, trade accounts receivable from three customers represented approximately 38%, 15%, and 11% of our receivables. At December 31, 2019, trade accounts receivable from three customers represented approximately 40%, 17% and 11% of our receivables.

New Accounting Standards Issued, But Not Yet Adopted

In February 2016, the Financial Accounting Standards Board (“FASB”) issued rules requiring lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months and to include qualitative and quantitative disclosures with respect to the amount, timing, and uncertainty of cash flows arising from leases. As an emerging growth company, we have elected to delay the adoption of these rules until they are applicable to non-SEC issuers. During the second quarter of 2020, this adoption date was further delayed by FASB until fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. We are currently identifying our lease population in accordance with the new lease standard. We expect the adoption of these rules to increase other assets and other liabilities on our balance sheet and we are currently evaluating the impact on our consolidated results of operations.

In December 2019, the FASB issued rules which simplify the accounting for income taxes. As an emerging growth company, we have elected to delay the adoption of these rules until they are applicable to non-SEC issuers which is for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. We are currently evaluating the impact of these rules on our consolidated financial statements.

In March 2020, the FASB issued rules providing optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by the reference rate reform, if certain criteria are met. The optional expedient for contract modifications applies to contract modifications that replace a reference rate affected by the reference rate reform, such as the London Interbank Offered Rate (“LIBOR”). Entities may elect to apply the amendments for contract modifications as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020 through December 31, 2022. To date, these rules have not had any impact on our consolidated financial statements and we continue to assess the future impact of these rules on our consolidated financial statements.

Oil and Natural Gas Properties and Other Property and Equipment

12 Months Ended

Dec. 31, 2020

Extractive Industries [Abstract]

Oil and Natural Gas Properties and Other Property and Equipment

Oil and Natural Gas Capitalized Costs

Aggregate capitalized costs related to oil, natural gas and NGL production activities with applicable accumulated depletion and amortization are presented below:


	Year Ended December 31,
	2020		2019
	(in thousands)
Proved properties	$	1,101,371	$	1,361,814
Unproved properties	311,195		313,903
Total proved and unproved properties	1,412,566		1,675,717
Less accumulated depletion and amortization	(235,259)		(209,105)
Total proved and unproved properties, net	$	1,177,307	$	1,466,612

Other Property and Equipment

Other property and equipment consisted of the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Cogens, natural gas plants and pipelines	$	72,999	$	94,619
Buildings and leasehold improvements	2,241		3,752
Vehicles and service equipment	8,878		9,124
Furniture and equipment	21,515		20,078
Land	6,512		7,544
Total other property and equipment	112,145		135,117
Less: accumulated depreciation	(31,368)		(25,462)
Total other property and equipment, net	$	80,777	$	109,655

Debt

12 Months Ended

Dec. 31, 2020

Debt Disclosure [Abstract]

Debt

The following table summarizes our outstanding debt:


	December 31, 2020		December 31, 2019		Interest Rate	Maturity	Security
	(in thousands)

RBL Facility	$	—	$	1,850	variable rates of 4.0% (2020) and 5.5% (2019), respectively	July 29, 2022	Mortgage on 85% of Present Value of proven oil and gas reserves and lien on certain other assets
2026 Notes	400,000		400,000		7.0%	February 15, 2026	Unsecured
Long-Term Debt - Principal Amount	400,000		401,850
Less: Debt Issuance Costs	(6,520)		(7,531)
Long-Term Debt, net	$	393,480	$	394,319

Deferred Financing Costs

We incurred legal and bank fees related to the issuance of debt. At December 31, 2020 and December 31, 2019, debt issuance costs for the RBL Facility (as defined below) reported in “other noncurrent assets” on the balance sheet were approximately $7 million and $11 million, net of amortization, respectively. At December 31, 2020 and 2019, debt issuance costs, net of amortization, for the unsecured notes due February 2026 (the “2026 Notes”) reported in “Long-Term Debt, net” on the balance sheet were approximately $7 million and $8 million, respectively.

For the years ended December 31, 2020, 2019, and 2018, the amortization expense for both the RBL Facility and 2026 Notes was approximately $5 million for all periods. The amortization of debt issuance costs is presented in “interest expense” on the consolidated statements of operations.

Fair Value

Our debt is recorded at the carrying amount on the balance sheets. The carrying amount of the RBL Facility approximates fair value because the interest rates are variable and reflect market rates. The fair value of the 2026 Notes was approximately $337 million and $376 million at December 31, 2020 and 2019, respectively.

The RBL Facility

On July 31, 2017, we entered into a credit agreement that provided for a revolving loan with up to $1.5 billion of commitment, subject to a reserve borrowing base (“RBL Facility”). The RBL Facility provides a letter of credit subfacility for the issuance of letters of credit in an aggregate amount not to exceed $25 million. Issuances of letters of credit reduce the borrowing availability for revolving loans under the RBL Facility on a dollar for dollar basis. Borrowing base redeterminations generally become effective each May and November, although each of us and the administrative agent may make one interim redetermination between scheduled redeterminations. The RBL Facility has an elected commitment feature that allows us to increase commitments to the amount of our borrowing base with lender approval. In November 2020, we completed our scheduled semi-annual borrowing base redetermination under our RBL Facility, which resulted in a reaffirmed borrowing base and the Company's elected commitment at $200 million with no further borrowing restrictions beyond the covenants noted below.

The RBL Facility contains customary events of default and remedies for credit facilities of a similar nature. If we do not comply with the financial and other covenants in the RBL Facility, the lenders may, subject to customary cure rights, require immediate payment of all amounts outstanding under the RBL Facility and exercise all of their other rights and remedies, including foreclosure on all of the collateral. Certain anti-cash hoarding provisions,

including the requirement to repay outstanding loans on a weekly basis in the amount of any cash on the balance sheet (subject to certain exceptions) in excess of $30 million; and further limits to dividends and share repurchases. The RBL Facility matures on July 29, 2022, unless terminated earlier in accordance with the RBL Facility terms.

The RBL Facility requires us to maintain on a consolidated basis as of each quarter-end (i) a Leverage Ratio of no more than 4.0 to 1.0 and (ii) a Current Ratio of at least 1.0 to 1.0. The RBL Facility also contains customary restrictions. As of December 31, 2020, our Leverage Ratio and Current Ratio were 1.8:1.0 and 2.2:1.0, respectively. In addition, the RBL Facility currently provides that to the extent we incur unsecured indebtedness, including any amounts raised in the future, the borrowing base will be reduced by an amount equal to 25% of the amount of such unsecured debt. We were in compliance with all financial covenants under the RBL Facility as of December 31, 2020.

The RBL Facility permits us to repurchase equity and indebtedness, among other things, if availability is equal to or greater than 20% of the elected commitments or borrowing base, whichever is in effect, and our pro forma leverage ratio is less than or equal to 2.5 to 1.0.

Berry Corp. guarantees and each future subsidiary of Berry Corp. (other than Berry LLC), with certain exceptions, is required to guarantee, our obligations and obligations of the other guarantors under the RBL Facility and under certain hedging transactions and banking services arrangements (the “Guaranteed Obligations”). In addition, pursuant to a Guaranty Agreement dated as of July 31, 2017, Berry LLC guarantees the Guaranteed Obligations. The lenders under the RBL Facility hold a mortgage on 85% of the present value of our proven oil and gas reserves. The obligations of Berry LLC and the guarantors are also secured by liens on substantially all of our personal property, subject to customary exceptions. The RBL Facility, with certain exceptions, also requires that any future subsidiaries of Berry LLC will also have to grant mortgages, security interests and equity pledges.

The outstanding borrowings under the RBL Facility bear interest at a rate equal to either (i) a customary London interbank offered rate plus an applicable margin ranging from 2.5% to 3.5% per annum, and (ii) a customary base rate plus an applicable margin ranging from 1.5% to 2.5% per annum, in each case depending on levels of borrowing base utilization. In addition, we must pay the lenders a quarterly commitment fee of 0.5% on the average daily unused amount of the borrowing availability under the RBL Facility. We have the right to prepay any borrowings under the RBL Facility with prior notice at any time without a prepayment penalty, other than customary “breakage” costs with respect to euro-dollar loans.

As of December 31, 2020, we had no borrowings outstanding, $7 million in letters of credit outstanding, and approximately $193 million of available borrowings capacity under the RBL Facility.

Senior Unsecured Notes Offering

In February 2018, we completed a private issuance of $400 million in aggregate principal amount of 7.0% senior unsecured notes due February 2026 (the “2026 Notes”), which resulted in net proceeds to us of approximately $391 million after deducting expenses and the initial purchasers’ discount. We used a portion of the net proceeds from the issuance of the 2026 Notes to repay the $379 million outstanding balance on the RBL Facility and used the remainder for general corporate purposes.

We may, at our option, redeem all or a portion of the 2026 Notes at any time on or after February 15, 2021. We were also entitled to redeem up to 35% of the aggregate principal amount of the 2026 Notes before February 15, 2021, with an amount of cash not greater than the net proceeds that we raise in certain equity offerings at a redemption price equal to 107% of the principal amount of the 2026 Notes being redeemed, plus accrued and unpaid interest, if any. In addition, prior to February 15, 2021, we may redeem some or all of the 2026 Notes at a price equal to 100% of the principal amount thereof, plus a “make-whole” premium, plus any accrued and unpaid interest. If we experience certain kinds of changes of control, holders of the 2026 Notes may have the right to require us to repurchase their notes at 101% of the principal amount of the 2026 Notes, plus accrued and unpaid interest, if any.

The 2026 Notes are our senior unsecured obligations and rank equally in right of payment with all of our other senior indebtedness and senior to any of our subordinated indebtedness. The notes are fully and unconditionally guaranteed on a senior unsecured basis by us and will also be guaranteed by certain of our future subsidiaries (other than Berry LLC). The 2026 Notes and related guarantees are effectively subordinated to all of our secured indebtedness (including all borrowings and other obligations under our RBL Facility) to the extent of the value of the collateral securing such indebtedness, and structurally subordinated in right of payment to all existing and future indebtedness and other liabilities (including trade payables) of any future subsidiaries that do not guarantee the 2026 Notes.

The indenture governing the 2026 Notes contains restrictive covenants that may limit our ability to, among other things:

•incur or guarantee additional indebtedness or issue certain types of preferred stock;

•pay dividends on capital stock or redeem, repurchase or retire our capital stock or subordinated indebtedness;

•transfer, sell or dispose of assets;

•make investments;

•create certain liens securing indebtedness;

•enter into agreements that restrict dividends or other payments from our restricted subsidiaries to us;

•consolidate, merge or transfer all or substantially all of our assets; and

•engage in transactions with affiliates.

The indenture governing the 2026 Notes contains customary events of default, including, among others, (a) non-payment; (b) non-compliance with covenants (in some cases, subject to grace periods); (c) payment default under, or acceleration events affecting, material indebtedness and (d) bankruptcy or insolvency events involving us or certain of our subsidiaries. We were in compliance with all covenants as of December 31, 2020.

Bond Repurchase Program

In February 2020, our Board of Directors adopted a program to spend up to $75 million for the opportunistic repurchase of our 2026 Notes. The manner, timing and amount of any purchases will be determined based on our evaluation of market conditions, compliance with outstanding agreements and other factors, may be commenced or suspended at any time without notice and does not obligate Berry Corp. to purchase the 2026 Notes during any period or at all. We have not yet repurchased any bonds under this program.

Corporate Organization

Berry Corp., as Berry LLC's parent company, has no independent assets or operations. Any guarantees of potential future registered debt securities by Berry Corp. or Berry LLC would be full and unconditional. Berry Corp. and Berry LLC currently do not have any other subsidiaries. In addition, there are no significant restrictions upon the ability of Berry LLC to distribute funds to Berry Corp. by distribution or loan other than under the RBL Facility. None of the assets of Berry Corp. or Berry LLC represent restricted net assets.

The RBL permits Berry LLC to make distributions to Berry Corp. so long as both before and after giving pro forma effect to such distribution no default or borrowing base deficiency exists, availability equals or exceeds 20% of the then effective borrowing base, and Berry Corp. demonstrates a pro forma leverage ratio less than or equal to 2.5 to 1.0. The conditions are currently met with significant margin.

Derivatives

12 Months Ended

Dec. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

We utilize derivatives, such as swaps, puts and calls, to hedge a portion of our forecasted oil and gas production and gas purchases to reduce exposure to fluctuations in oil and natural gas prices, which addresses our market risk. We target covering our operating expenses and a majority of our fixed charges, which includes capital needed to sustain production levels, as well as interest and dividends as applicable, with the oil and gas sales hedges for a period of up to two years out. Additionally, we target fixing the price for a large portion of our natural gas purchases used in our steam operations for up to two years. We also, from time to time, have entered into agreements to purchase a portion of the natural gas we require for our operations, which we do not record at fair value as derivatives because they qualify for normal purchases and normal sales exclusions.

For fixed-price oil and gas sales swaps, we are the seller, so we make settlement payments for prices above the indicated weighted-average price per barrel and per MMBtu, respectively, and receive settlement payments for prices below the indicated weighted-average price per barrel and per MMBtu, respectively.

For fixed-price gas purchase swaps, we are the buyer so we make settlement payments for prices below the weighted-average price per MMBtu and receive settlement payments for prices above the weighted-average price per MMBtu.

We use oil and gas swaps and puts to protect our sales against decreases in oil and gas prices. We also use swaps to protect our natural gas purchases against increases in prices. We do not enter into derivative contracts for speculative trading purposes and have not accounted for our derivatives as cash-flow or fair-value hedges. The changes in fair value of these instruments are recorded in current earnings. Gains (losses) on oil and gas sales hedges are classified in the revenues and other section of the statement of operations, while natural gas purchase hedges are included in expenses and other section of the statement of operations.

As of December 31, 2020, we had the following crude oil production and gas purchases hedges.


	Q1 2021		Q2 2021		Q3 2021		Q4 2021
Fixed Price Oil Swaps (Brent):
Hedged volume (MBbls)	1,710		1,728		1,042		1,042
Weighted-average price ($/Bbl)	$	45.82	$	45.82	$	46.17	$	46.17









Fixed Price Gas Purchase Swaps (Kern, Delivered):
Hedged volume (MMBtu)	4,950,000		4,777,500		4,830,000		2,085,000
Weighted-average price ($/MMBtu)	$	2.69	$	2.83	$	2.83	$	2.95

As of December 31, 2020 we also had open swap positions that are excluded from the table above where we are both buyer and seller of equal notional volumes of 12,500 MMBtu/d of fixed price gas sales swaps each indexed to Northwest Pipeline Rocky Mountains and CIG, for the period January 1, 2021 through December 31, 2021. These swap positions effectively cancel each other while resulting in a mark-to-market gain of $2.6 million. This gain will be cash settled in 2021 as the positions expire

In February 2021, we added 3,000 Bbls/d of fixed price oil swaps (Brent) at approximately $58 for the period July 2021 through December 31, 2021.

Our commodity derivatives are measured at fair value using industry-standard models with various inputs including publicly available underlying commodity prices and forward curves, and all are classified as Level 2 in the required fair value hierarchy for the periods presented. These commodity derivatives are subject to counterparty

netting. The following tables present the fair values (gross and net) of our outstanding derivatives as of December 31, 2020 and 2019:


	December 31, 2020
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset in the Balance Sheet		Net Fair Value Presented in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	15,217	$	(12,710)	$	2,507

Liabilities:
Commodity Contracts	Current liabilities	(36,031)		12,710		(23,321)

Total derivatives		$	(20,814)	$	—	$	(20,814)


	December 31, 2019
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset in the Balance Sheet		Net Fair Value Presented in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	17,799	$	(8,633)	$	9,166
Commodity Contracts	Non-current assets	773		(248)		525
Liabilities:
Commodity Contracts	Current liabilities	(13,450)		8,633		(4,817)
Commodity Contracts	Non-current liabilities	(389)		248		(141)
Total derivatives		$	4,733	$	—	$	4,733

In May 2018, we elected to terminate outstanding commodity derivative contracts for all WTI oil swaps and certain WTI/Brent basis swaps for July 2018 through December 2019 and all WTI oil sold call options for July 2018 through June 2020. Termination costs totaled approximately $127 million and were calculated in accordance with a bilateral agreement on the cost of elective termination included in these derivative contracts; the present value of the contracts using the forward price curve as of the date termination was elected. No penalties were charged as a result of the elective termination. Concurrently, Berry Corp. entered into commodity derivative contracts consisting of Brent oil swaps for July 2018 through March 2019.

By using derivative instruments to economically hedge exposure to changes in commodity prices, we expose ourselves to credit risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes us, which creates credit risk. We do not receive collateral from our counterparties.

We minimize the credit risk in derivative instruments by limiting our exposure to any single counterparty. In addition, our RBL Facility prevents us from entering into hedging arrangements that are secured, except with our lenders and their affiliates that have margin call requirements, that otherwise require us to provide collateral or with a non-lender counterparty that does not have an A- or A3 credit rating or better from Standards & Poor’s or Moody’s, respectively. In accordance with our standard practice, our commodity derivatives are subject to counterparty netting under agreements governing such derivatives which partially mitigates the counterparty nonperformance risk.

Gains (Losses) on Derivatives

A summary of gains and losses on the derivatives included on the statements of operations is presented below:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Gains (losses) on oil and gas sales derivatives	$	117,781	$	(37,998)	$	(4,621)
(Losses) gains on natural gas purchase derivatives	(1,035)		(6,957)		6,357

Total gains (losses) on derivatives	$	116,746	$	(44,955)	$	1,735

For the years ended December 31, 2020 and 2019, we received net cash scheduled settlements of approximately $142 million and $42 million, respectively. For the year ended December 31, 2018, we paid net cash settlements of approximately $38 million, excluding the payments for the early terminated derivatives.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

In the normal course of business, we, or our subsidiary, are the subject of, or party to, pending or threatened legal proceedings, contingencies and commitments involving a variety of matters that seek, or may seek, among other things, compensation for alleged personal injury, breach of contract, property damage or other losses, punitive damages, fines and penalties, remediation costs, or injunctive or declaratory relief.

We accrue reserves for currently outstanding lawsuits, claims and proceedings when it is probable that a liability has been incurred and the liability can be reasonably estimated. We have not recorded any reserve balances at December 31, 2020 and December 31, 2019. We also evaluate the amount of reasonably possible losses that we could incur as a result of these matters. We believe that reasonably possible losses that we could incur in excess of reserves accrued on our balance sheet would not be material to our consolidated financial position or results of operations.

We, or our subsidiary, or both, have indemnified various parties against specific liabilities those parties might incur in the future in connection with transactions that they have entered into with us. As of December 31, 2020, we are not aware of material indemnity claims pending or threatened against us.

We have certain commitments under contracts, including purchase commitments for goods and services. Prior to our 2017 emergence, Berry entered into a Carry and Earning Agreement with Encana, effective June 7, 2006, in connection with our Piceance assets which, among other things, required us to either build a road or secure a license for alternative access, in lieu of paying a $6 million penalty. As of December 31, 2019, we fulfilled the obligation by delivering the access license pursuant to the agreement. On January 30, 2020, Caerus Piceance LLC, the successor of Encana's interests filed a claim in the City and County of Denver District Court challenging the sufficiency of such access, which we dispute. We will continue to defend the matter vigorously, however, given the uncertainty of litigation and the stage of the case, among other things, at this time we cannot estimate the likelihood or an amount of possible loss, that may result from this action.

Securities Litigation Matter

On November, 20, 2020, Luis Torres, individually and on behalf of a putative class, filed a securities class action lawsuit (the “Torres Lawsuit”) in the United States District Court for the Northern District of Texas against Berry Corp. and certain of its current and former directors and officers. The complaint alleges that the Defendants made false and misleading statements during the Class Period and in the offering materials for the IPO, concerning the Company’s business, operational efficiency and stability, and compliance policies, that artificially inflated the Company’s stock price, resulting in injury to the purported class members when the value of Berry Corp.’s common

stock declined following release of its financial results for the third quarter of 2020. The complaint does not quantify the alleged losses but seeks to recover all damages sustained by the putative class as a result of these alleged securities violations, as well as attorneys’ fees and costs.

On January 21, 2021, multiple plaintiffs filed motions in the Torres Lawsuit seeking to be appointed lead plaintiff and lead counsel. We dispute these claims and intend to defend the matter vigorously. Given the uncertainty of litigation, the preliminary stage of the case, and the legal standards that must be met for, among other things, class certification and success on the merits, we cannot estimate the reasonably possible loss or range of loss that may result from this action.

Other Commitments

In addition, we entered into certain firm commitments to secure transportation of our natural gas production to market as well as processing and storage capacity which require a minimum monthly charge regardless of whether the contracted capacity is used or not. We also entered into a drilling commitment associated with our property acquisition. We also have operating lease agreements mainly for office space. Office rent payments are generally expensed as part of general and administrative expenses and were approximately $1.5 million, $1.5 million and $1.2 million in 2020, 2019 and 2018, respectively. At December 31, 2020, future net minimum payments for non-cancelable purchase obligations and operating leases (excluding oil and natural gas and other mineral leases, utilities, taxes and insurance and maintenance expense) were as follows:


	2021		2022		2023		2024		2025		Thereafter		Total
	(in thousands)
Processing, transportation and storage contracts(1)	$	4,104	$	2,588	$	1,218	$	—	$	—	$	—	$	7,910
Operating lease obligations	1,863		1,872		1,778		1,551		1,551		2,491		11,106
Other purchase obligations(2)	18,000		14,700		2,400		—		—		—		35,100
Total	$	23,967	$	19,160	$	5,396	$	1,551	$	1,551	$	2,491	$	54,116

__________

(1) Amounts include payments which will become due under long-term agreements to purchase goods and services used in the normal course of business to secure transportation of our natural gas production to market, as well as, pipeline, processing and storage capacity.

(2) Amounts include a purchase commitment of $6 million to build a road, which is classified as current. Additionally, we have a drilling commitment in California, for which we are required to drill 97 wells with an estimated total cost of $29 million by April 2023 and 40 of those wells are estimated at $12 million and are required to be drilled by December 2021.

Stockholders' Equity

12 Months Ended

Dec. 31, 2020

Equity [Abstract]

Stockholders' Equity

On the Effective Date (as defined in Note 13), Berry Corp. filed with the Secretary of State of the State of Delaware the Amended and Restated Certificate of Incorporation of Berry Corp. (the “Certificate of Incorporation”) and the Certificate of Designation of Series A Convertible Preferred Stock of Berry Corp. (the “Series A Certificate of Designation”). Berry Corp. also adopted the Amended and Restated Bylaws of Berry Corp. (the “Bylaws”) on the Effective Date. The Certificate of Incorporation provides that Berry Corp.’s authorized capital stock consists of 750,000,000 shares of common stock, par value $0.001 per share, and 250,000,000 shares of undesignated preferred stock, par value $0.001 per share.

Cash Dividends

Our Board of Directors approved a $0.12 per share cash dividend for the first quarter of 2020. For the year ended December 31, 2020 we paid approximately $19 million in cash dividends on our common stock, which included payment of the dividend declared for the fourth quarter of 2019. For the year ended December 31, 2019 we declared a cash dividend of $0.12 per share each quarter for a total of $0.48 per share and paid approximately $39 million in cash dividends on our common stock. For the year ended December 31, 2018, we declared cash

dividends on our common stock beginning at our IPO, resulting in $0.21 per share and paid approximately $7 million in cash dividends on our common stock.

We reinstated a quarterly dividend beginning the first quarter of 2021, subject to future determination by the Company's Board of Directors. The Company's Board of Directors declared a regular dividend of $0.04 per share on the Company’s outstanding common stock, payable on April 15, 2021 to shareholders of record at the close of business on March 15, 2021.

Common Stock

On the Effective Date, 32,920,000 shares of common stock in Berry Corp. were distributed in accordance with the Plan (as defined in Note 13). In addition 7,080,000 shares of Berry Corp. common stock reserved for future issuance in the event that the holders of such rights chose cash distributions instead. We negotiated with the claimants to settle their claims and in 2019 we issued approximately 2,770,000 shares of Berry Corp. common stock instead of 7,080,000 to resolve these claims for approximately $20 million.

Voting Rights. Each share of common stock is entitled to one vote with respect to each matter on which holders of common stock are entitled to vote. Holders of common stock do not have cumulative voting rights.

Dividend Rights. Holders of common stock will be entitled to receive dividends, if any, as may be declared from time to time by our board of directors (the “Board”) out of legally available funds.

Liquidation Rights. Upon liquidation, dissolution or winding up of the Company, subject to the rights of the holders of outstanding preferred stock, holders of our common stock will be entitled to share ratably in the assets of the Company that are legally available for distribution to holders of our common stock after payment of the Company’s debts and other liabilities.

Holders of preferred stock that is outstanding may be entitled to dividend or liquidation preferences over holders of our common stock, which means that the Company would have to pay distributions to holders of preferred stock before paying any distributions to holders of our common stock.

Preemptive and Conversion Rights. Holders of common stock have no preemptive, conversion or other rights to subscribe for additional shares.

Preferred Stock

On the Effective Date, we issued 35,845,001 shares of preferred stock to participants in the rights offerings extended by the Company to certain holders of claims and in satisfaction of a backstop commitment fee for proceeds of $335 million. In July 2018, all shares of our Series A Preferred Stock, approximately 37.7 million in total, were converted to approximately 39.6 million common shares and, as a result, there were no shares of our Series A Preferred Stock outstanding as of December 31, 2020 and 2019.

Dividend Rights. Holders of Series A Preferred Stock were entitled to receive, when, as and if declared by the board of directors, cumulative dividends at a rate of 6.0% per annum either in cash or in additional shares of Series A Preferred Stock at the discretion of the board of directors.

Also in 2018, the board approved $0.308 per share, or approximately $11.3 million in cash dividends on the Series A Preferred Stock.

Registration Rights Agreement

On the Effective Date, Berry Corp. entered into a registration rights agreement (the “Registration Rights Agreement”) with certain holders of the Unsecured Notes. Subsequently, the registration rights agreement was amended and restated in connection with our IPO.

In accordance with the Registration Rights Agreement, Berry Corp. filed a shelf registration statement with the SEC subsequent to the Effective Date. The shelf registration statement registered the resale, on a delayed or continuous basis, of all Registrable Securities that have been timely designated for inclusion by specified Holders (as defined in the Registration Rights Agreement). Generally, “Registrable Securities” includes (i) common stock issued or to be issued by Berry Corp. under the Plan (defined in Note 13), (ii) preferred stock that was purchased by the participants in the rights offering noted above and (iii) common stock into which the preferred stock converts, except that “Registrable Securities” does not include securities that have been sold under an effective registration statement or Rule 144 under the Securities Act. The Registration Rights Agreement will terminate when there are no longer any Registrable Securities outstanding.

Initial Public Offering of Common Stock

In July 2018, we completed our IPO and as a result, on July 26, 2018, our common stock began trading on the NASDAQ under the ticker symbol BRY. We received approximately $110 million of net proceeds, after deducting underwriting discounts and offering expenses payable by us, for the 8,695,653 shares of common stock issued for our benefit in the IPO, net of the shares sold for the benefit of certain selling stockholders. The price to the public for the shares sold in our IPO was $14.00 per share. See “—Use of IPO proceeds” below for additional information.

In connection with the IPO, each of the 37.7 million shares of our Series A Preferred Stock was automatically converted into 1.05 shares of our common stock or 39.6 million shares in aggregate and the right to receive a cash payment of $1.75 (the “Series A Preferred Stock Conversion”). The cash payment was reduced in respect of any cash dividend paid by the Company on such share of Series A Preferred Stock for any period commencing on or after April 1, 2018. Because we paid the second quarter preferred dividend of $0.15 per share in June, the cash payment for the conversion was reduced to $1.60 per share, or approximately $60 million. In connection with the IPO, we assigned the additional 1.9 million shares of common stock issued in the Series A Preferred Stock Conversion a value of $14.00 per share, which was equal to the value of shares sold in the IPO. This approximate $27 million value and the $60 million conversion cash payment reduced the income attributable to common stockholders by approximately $87 million for the year ended December 31, 2018.

Shares Outstanding

As of December 31, 2020, there were 79,929,335 shares of common stock outstanding. Up to an additional 4,520,989 shares were issuable for unvested restricted stock units and performance restricted stock units under the Company's 2017 Omnibus Incentive Plan as of December 31, 2020.

Stock Repurchase Program

In December 2018, our Board of Directors adopted a program for the opportunistic repurchase of up to $100 million of our common stock. Based on the Board’s evaluation of market conditions for our common stock at the time, they authorized repurchases of up to $50 million under the program at such time. The Company repurchased a total of 5,057,682 shares at an average price of $9.88 per share under the stock repurchase program for approximately $50 million in 2018 and 2019. In February 2020, the Board of Directors authorized the repurchase of the remaining $50 million of our $100 million repurchase program. Repurchases may be made from time to time in the open market, in privately negotiated transactions or by other means, as determined in the Company's sole discretion. The manner, timing and amount of any purchases will be determined based on our evaluation of market conditions, stock price, compliance with outstanding agreements and other factors, may be commenced or suspended at any time without notice and does not obligate Berry Corp. to purchase shares during any period or at all. Any shares acquired will be available for general corporate purposes. For the year ended December 31, 2020, we did not repurchase any shares under the stock repurchase program.

Stock-Based Compensation

The Company has awarded restricted stock units (“RSUs”) that are solely time-based awards and performance-based restricted stock units (“PSUs”) that include (i) awards that vest if the Company's stock price reaches certain levels over defined periods of time and (ii) awards with a market objective measured against both absolute total stockholder return (“Absolute TSR”) and a relative total stockholder return (“Relative TSR”) to the Vanguard World Fund - Vanguard Energy ETF index (the “Index”) over the performance period, assuming the reinvestment of dividends. Depending on the results achieved during the two or three-year performance period, the actual number of shares that a grant recipient receives at the end of the period may range from 0% to 200% of the PSUs granted.

The fair value of the PSUs was determined using a Monte Carlo simulation analysis to estimate the total shareholder return ranking of the Company, including a comparison against the Index over the performance periods. The expected volatility of the Company’s common stock at the date of grant was estimated based on average volatility rates for the Company and selected guideline public companies. The dividend yield assumption was based on the then current annualized declared dividend. The risk-free interest rate assumption was based on observed interest rates consistent with the approximate two or three year performance measurement period.

As of July 2018, the fair value of our common stock underlying our stock-based compensation awards granted was no longer based on complex models using inputs and assumptions, but rather is based on the price of our stock at the date of grant.

On June 27, 2018, our board of directors adopted the second amended and restated 2017 Omnibus Incentive Plan (“Omnibus Plan”), as amended and restated (our “Restated Incentive Plan”). This plan constitutes an amendment and restatement of the plan (the “Prior Plan”) as in effect immediately prior to the adoption of the Restated Incentive Plan. The Prior Plan constituted an amendment and restatement of the plan originally adopted as of June 15, 2017 (the “2017 Plan”). The Restated Incentive Plan provides for the grant, from time to time, at the discretion of the board of directors or a committee thereof, of stock options, stock appreciation rights (“SARs”), restricted stock, restricted stock units, stock awards, dividend equivalents, other stock-based awards, cash awards and substitute awards. The maximum number of shares of common stock that may be issued pursuant to an award under the Restated Incentive Plan is 10,000,000 inclusive of the number of shares of common stock previously issued pursuant to awards granted under the Prior Plan or the 2017 Plan. The maximum number of shares remaining that may be issued is 4,395,440 as of December 31, 2020.

For the years ended December 31, 2020, 2019, and 2018 the stock-based compensation expense was approximately $15 million, $9 million, and $7 million, respectively. For the years ended December 31, 2020, 2019 and 2018 the stock-based compensation had an income tax benefit of approximately zero, zero and $1.5 million, respectively.

The table below summarizes the activity relating to RSUs issued under the Restated Incentive Plan during the year ended December 31, 2020. The RSUs vest ratably over three years. Unrecognized compensation cost associated with the RSUs at December 31, 2020 was approximately $9 million which will be recognized over a weighted-average period of approximately two years.


	Number of shares	Weighted-average Grant Date Fair Value
	(shares in thousands)
Non-vested at December 31, 2019	1,014	$	12.05
Granted	1,850	$	6.32
Vested	(595)	$	11.16
Forfeited	(330)	$	8.14
Non-vested at December 31, 2020	1,939	$	7.52

The table below summarizes the activity relating to the PSUs issued under the Revised Incentive Plan during the year ended December 31, 2020. Unrecognized compensation cost associated with the PSUs at December 31, 2020 is approximately $14 million which will be recognized over a weighted-average period of approximately two years.


	Number of shares	Weighted-average Grant Date Fair Value
	(shares in thousands)
Non-vested at December 31, 2019	798	$	10.77
Granted	1,328	$	15.89
Vested	(5)	$	11.33
Forfeited	(469)	$	11.20
Non-vested at December 31, 2020	1,652	$	14.77

Use of IPO Proceeds

Of the approximately $110 million of net proceeds received by us in the IPO, we used approximately $105 million to repay borrowings under our RBL Facility. This included the $60 million we borrowed on the RBL Facility to make the payment due to the holders of our Series A Preferred Stock in connection with the conversion of preferred stock to common stock. We used the remainder for general corporate purposes.

In connection with the IPO, on July 17, 2018, we entered into stock purchase agreements with certain funds affiliated with Oaktree Capital Management and Benefit Street Partners, pursuant to which we purchased an aggregate of 410,229 and 1,391,967 shares of our common stock, respectively, or 1,802,196 in total. In addition to the 8,695,653 shares of common stock issued and sold for our benefit in the IPO, we simultaneously received $24 million for selling 1,802,196 shares to the public and paid $24 million to purchase 1,802,196 shares under the stock purchase agreements. We purchased the shares immediately following the closing of the IPO and retired and returned them to the status of authorized but unissued shares. The selling stockholders also directly sold an additional 2,545,630 shares at a price to the public of $14.00 per share for which we did not receive any proceeds.

Defined Contribution Plan	12 Months Ended
Defined Contribution Plan	Dec. 31, 2020
Retirement Benefits [Abstract]
Defined Contribution Plan	Defined Contribution PlanWe sponsor a defined contribution retirement plan under section 401(k) of the Internal Revenue Code to assist all full-time employees in providing for retirement or other future financial needs. Employees are eligible to participate in the 401(k) plan on their date of hire. The 401(k) plan provided for a matching contribution of up to 6% of an employee’s eligible compensation until June 2020. The Company temporarily suspended matching due to COVID-19. As of January 2021, the Company reinstated the Plan's matching contributions to 100% of the first 3% of compensation deferred by the participant. We expensed approximately $1.0 million, $1.7 million, and $1.4 million for the years ended December 31, 2020, 2019, and 2018, respectively, under the provisions of the 401(k) plan.

- Definition

The entire disclosure for retirement benefits.

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+ Details

Income Taxes

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Income Taxes

Income taxes

The COVID-19 pandemic and related economic repercussions, coupled with OPEC+ actions, created significant volatility, uncertainty, and turmoil in the oil and gas industry, which negatively affected our business in 2020. As a result, after evaluating the positive and negative evidence, we determined that it was more likely than not that our tax credits recorded in 2019 and other deferred tax assets would not be realized. Accordingly, we recognized a valuation allowance on our deferred tax assets for the year ended December 31, 2020 in the amount of $78 million. The key contributor to the change in our effective rate from (523)% in the year ended December 31, 2019 to 2.8% for the year ended December 31, 2020 is due to the valuation allowance recorded in 2020 and the recognition of U.S. federal general business credits in 2019 related to the 2017 and 2018 tax periods.

The key contributor to the change in our effective rate from 23% in the year ended December 31, 2018 to (523)% for the year ended December 31, 2019 is due to the recognition of U.S. federal general business credits in 2019 and are related to the 2017 and 2018 tax periods. These credits are available to offset future federal income tax liabilities.

Income tax expense (benefit) consisted of the following:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Current taxes:
Federal	$	—	$	—	$	(465)
State	828		227		(446)
Total current taxes	828		227		(911)
Deferred taxes:
Federal	2,653		(36,756)		33,227
State	(10,699)		(21)		10,719
Total deferred taxes	(8,046)		(36,777)		43,946
Total current and deferred taxes	$	(7,218)	$	(36,550)	$	43,035

A reconciliation of the federal statutory tax rate to the effective tax rate is as follows:


	Year Ended December 31,
	2020		2019		2018
Federal statutory rate	21.0	%	21.0	%	21.0	%
State, net of federal tax benefit	6.3	%	8.9	%	6.3	%
Effect of permanent differences	(0.6)	%	0.2	%	(0.6)	%
Tax credits - Prior Year	4.9	%	(546.4)	%	—	%
Tax credits - Current Year	1.1	%	—	%	—	%
State return to provision	(1.1)	%	(6.6)	%	—	%

Change in valuation allowance	(28.8)	%	—	%	(4.1)	%
Effective tax rate	2.8	%	(522.9)	%	22.6	%

Significant components of the deferred tax assets and liabilities are as follows:


	Year Ended December 31,
	2020		2019
	(in thousands)
Deferred tax assets:
Net operating loss carryforwards	$	21,205	$	14,542
Accruals	14,208		12,218
Asset retirement obligations	43,518		41,382
Derivative instruments	5,654		—
Tax credits	62,058		47,803
Interest limitation carryforward	—		13,892
Other	4,946		5,154
Subtotal	151,589		134,991
Valuation allowance	(77,923)		—
Total deferred tax assets	73,666		134,991
Deferred tax liabilities:
Book tax differences in property basis	(74,677)		(143,896)
Derivative instruments	—		(152)
Total deferred tax liabilities	(74,677)		(144,048)
Net deferred tax liability	$	(1,011)	$	(9,057)

As of December 31, 2020, the Company had approximately $96 million of federal net operating loss (“NOL”) carryforwards and $20 million of state NOL carryforwards. The federal net operating loss carryovers have no expiration date. State net operating loss carry forwards will expire in varying amounts beginning after taxable year ended 2027. In addition, as of December 31, 2020, the Company had US federal general business tax credit carryforwards totaling $51 million and state tax credits of $14 million ($11 million net of federal benefit), which, if unused, will expire after taxable years ended 2037 and 2032, respectively.

During 2020, the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) and the Consolidated Appropriations Act of 2021 (the “CAA”) were signed into law. The CARES Act provides relief to corporate taxpayers by permitting a five-year carryback of 2018-2020 Net Operating Losses (“NOLs”), removing the 80% limitation on the utilization of those NOLs, increasing the Section 163(j) 30% limitation on interest expense deductibility to 50% of adjusted taxable income for 2019 and 2020, and accelerates refunds for minimum tax credit carryforwards, along with a few other provisions. Both the CARES Act and CAA did not have a material impact to our consolidated financial statements and related disclosures.


	Year Ended December 31,
	2020		2019
	(in thousands)
Unrecognized tax benefits - January 1	$	13,892	$	—
Prior year - change	(13,892)		6,720
Current year - change	—		7,172
Unrecognized tax benefits - December 31	$	—	$	13,892

During the third quarter 2020, the Internal Revenue Service issued final regulations implementing interest expense deduction limitation rules under section 163(j) of the Internal Revenue Code. The final regulations changed certain rules on the computation and limitation of interest expense amounts and are applicable for tax years

beginning on or after November 13, 2020. Early adoption is permitted for tax years beginning after December 31, 2017. We assessed the impact of these regulations being issued in 2020. As a result, we recognized the entirety of its $14 million of uncertain tax benefits that were recorded as of December 31, 2019. The recognition of these uncertain tax benefits did not affect the effective tax rate. No penalties or interest expense have been accrued on unrecognized tax benefits as of December 31, 2020.

We had no material uncertain tax positions at December 31, 2020. We do not believe that the total unrecognized benefits will significantly increase within the next 12 months.

We are subject to taxation in the United States and various state jurisdictions. We are not currently under audit by any federal or state income tax authority. The 2017 through 2020 federal and state tax returns remain open to examination under the respective statute of limitations.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References + Details

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows

12 Months Ended

Dec. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows

Other current assets reported on the consolidated balance sheets included the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Prepaid expenses	$	3,592	$	4,577

Materials and supplies	11,666		10,544
Oil inventories	3,490		3,432
Other	652		846
Total other current assets	$	19,400	$	19,399

Other non-current assets at December 31, 2020 and December 31, 2019 included approximately $7 million and $11 million of deferred financing costs, net of amortization, respectively.

Accounts payable and accrued expenses on the consolidated balance sheets included the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Accounts payable-trade	$	11,055	$	13,986
Accrued expenses	43,452		57,078
Royalties payable	15,150		25,385

Greenhouse gas liability - current portion	35,554		—
Taxes other than income tax liability	10,118		9,150
Accrued interest	10,783		10,500
Dividends payable	—		9,888
Asset retirement obligation - current portion	25,000		25,208
Other	873		616
Total accounts payable and accrued expenses	$	151,985	$	151,811

We reclassified certain accrued expenses to accounts payable trade accounts for the prior period to conform to the current year presentation. These reclassifications had no impact on the financial statements.

At December 31, 2020 we had no non-current greenhouse gas liability as the entire amount is due in 2021 and thus classified as a current liability in accounts payable and accrued expenses. At December 31, 2019 other non-current liabilities included approximately $33 million of greenhouse gas liability.

Supplemental Information on the Statement of Operations

For the years ended December 31, 2020 and 2019 other operating expenses were $6 million and $5 million, respectively. These other operating expenses mainly consisted of the costs in excess of the liability, due to earlier than anticipated abandonment and spending, related to our long-term abandonment activities and obligation. Additionally in 2020, as a result of the drastic and abrupt change to the oil supply and demand environment, we incurred additional costs for added oil tank storage capacity and drilling rig standby charges, partially offset by tax and other refunds from prior years received in 2020. For the year ended December 31, 2018 other operating income was $3 million, which consisted of a gain from the sale of our East Texas property, partially offset by a loss on the settlement of asset retirement obligations, largely due to a change in timing of the retirements.

Supplemental Cash Flow Information

Supplemental disclosures to the consolidated statements of cash flows are presented below:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Supplemental Disclosures of Significant Non-Cash Operating Activities:
Greenhouse gas liability - reclassification from long-term to current liability	$	33,376	$	—	$	—
Supplemental Disclosures of Significant Non-Cash Investing Activities:
Material inventory transfers to oil and natural gas properties	$	1,596	$	10,056	$	2,371
Supplemental Disclosures of Cash Payments (Receipts):
Interest, net of amounts capitalized	$	29,962	$	30,720	$	19,761
Income taxes payments (refunds)	$	222	$	(2)	$	(1,901)
Reorganization items, net	$	—	$	—	$	832

The following table provides a reconciliation of cash, cash equivalents and restricted cash as reported in the consolidated statements of cash flows to the line items within the consolidated balance sheets:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Beginning of Period
Cash and cash equivalents	$	—	$	68,680	$	33,905
Restricted cash	—		—		34,833

Cash, cash equivalents and restricted cash	$	—	$	68,680	$	68,738

Ending of Period
Cash and cash equivalents	$	80,557	$	—	$	68,680
Restricted cash	—		—		—

Cash, cash equivalents and restricted cash	$	80,557	$	—	$	68,680

Restricted cash was associated with cash reserved to settle claims with general unsecured creditors prior to 2020. Cash and cash equivalents consists primarily of highly liquid investments with original maturities of three months or less and are stated at cost, which approximates fair value. As part of our cash management system, we use a controlled disbursement account to fund cash distribution checks presented for payment by the holder. Checks issued but not yet presented to banks may result in overdraft balances, which amounts are immaterial for these periods, for accounting purposes in the accounts payable and accrued expenses account.

Acquisitions and Divestitures	12 Months Ended
Acquisitions and Divestitures	Dec. 31, 2020
Business Combinations [Abstract]
Acquisitions and Divestitures	Acquisitions and Divestitures 2020 In May 2020, we acquired approximately 740 net acres in the North Midway Sunset Field for approximately $5 million. We paid $2 million at closing and the remaining $3 million was paid following our first production from this property, in the fourth quarter 2020. This property is adjacent to, and extends, our existing producing area and we have identified numerous future drilling locations. We believe additional opportunities exist in other productive reservoirs of this property. We also acquired all existing idle wells on this property, some of which we plan to return to production in the near future as price and strategy dictate. We will plug and abandon the remaining idle wells pursuant to the California Idle Well Management Program. We recorded a $6 million liability for asset retirement obligations of the existing wells on this property. We also acquired approximately 267 acres in McKittrick Field which will allow us to continue development of the 21Z mineral fee and leases without requiring written approval from a third party surface fee owner for infrastructure on or across the surface fee property. The purchase price was not material. 2019 During 2019 we had various property acquisitions of approximately $2.9 million that individually were not significant. 2018 Disposition of East Texas Properties On November 30, 2018, we sold our non-core gas-producing properties and related assets located in the East Texas basin for approximately $7 million, before purchase price adjustments, which resulted in a gain of approximately $4 million. Production comprised approximately 0.7 MBoe per day of natural gas in the third quarter of 2018. Acquisition of Chevron North Midway-Sunset In April 2018, we acquired 2 leases on an aggregate of 214 acres of land owned by Chevron U.S.A. in the north Midway-Sunset field immediately adjacent to assets we currently operate. We assumed a drilling commitment of approximately $35 million to drill 115 wells on or before April 1, 2020, which we extended to April 1, 2023. We drilled 18 wells of these wells as of December 31, 2020. We paid no other consideration for the acquisition. Our drilling commitment will be tolled for a month for each consecutive 30-day period for which the posted price of WTI is less than $45 per barrel. This transaction is consistent with our business strategy to investigate areas beyond our known productive areas.

Earnings Per Share

12 Months Ended

Dec. 31, 2020

Earnings Per Share [Abstract]

Earnings Per Share

We calculate basic (loss) earnings per share by dividing net (loss) income attributable to common stockholders by the weighted-average number of common shares outstanding for each period presented. Common shares issuable upon the satisfaction of certain conditions pursuant to a contractual agreement, are considered common shares outstanding and are included in the computation of net income (loss) per share. Our initial capitalization included the issuance of 32,920,000 shares of common stock and another 7,080,000 shares reserved to settle claims of unsecured creditors, all of which were included in our computation of net income (loss) per share until the claims were settled and the shares issued. In March 2019, we finalized settlement of these claims, issuing approximately 2,770,000 shares. In 2019, we retrospectively adjusted the year ended December 31, 2018 weighted average shares in our earnings per share calculations for the ultimate shares issued, instead of the 7,080,000 shares that had been reserved.

In July 2018, all outstanding shares of our Series A Preferred Stock were converted to common shares in connection with the IPO of our common stock (see Note 6). The conversion was characterized as an induced conversion that required a deduction in our EPS calculation, from net income, of approximately $87 million in determining income attributable to common stockholders. This deduction represents the excess of fair value of the total consideration given to preferred stockholders in the transaction over the fair value of the common stock issuable under the original conversion terms. Included in the $87 million is a $60 million cash payment and approximately $27 million of value from the 1.9 million additional common shares received by preferred stockholders as a result of the automatic conversion that occurred in conjunction with our IPO.

The Series A Preferred Stock was not a participating security, therefore, we calculated diluted EPS using the “if-converted” method under which the preferred dividends are added back to the numerator and the convertible preferred stock is assumed to be converted at the beginning of the period. No incremental shares of Series A Preferred Stock were included in the diluted EPS calculation for the years ended December 31, 2020 and 2019 as all outstanding shares of our Series A Preferred Stock were converted to common shares in connection with the IPO of our common stock in July 2018. No Series A Preferred Stock were included in the diluted EPS calculations for the year ended December 31, 2018 as their effect was anti-dilutive under the “if-converted” method.

The RSUs and PSUs are not a participating security as the dividends are forfeitable. No incremental RSU or PSU shares were included in the diluted EPS calculation as their effect was anti-dilutive under the “if-converted” method for the year ended December 31, 2020. The incremental RSU and PSU shares of 572,000 for the year ended December 31, 2019, and the incremental RSU shares of 189,000 for the year ended December 31, 2018 were included in the diluted EPS calculation for those respective years, as their effect was dilutive under the “if-converted” method. No PSUs were included in the EPS calculations for the year end December 31, 2018 due to their contingent nature.


	Year Ended December 31,
	2020		2019		2018
	(in thousands except per share amounts)
Basic EPS calculation
Net (loss) income	$	(262,895)	$	43,539	$	147,102
less: Series A Preferred Stock dividends and conversion to common stock	—		—		(97,942)
Net (loss) income attributable to common stockholders	$	(262,895)	$	43,539	$	49,160


Weighted-average shares of common stock outstanding(1)	79,802		81,379		57,743
Basic (loss) earnings per share	$	(3.29)	$	0.54	$	0.85
Diluted EPS calculation
Net (loss) income	$	(262,895)	$	43,539	$	147,102
less: Series A Preferred Stock dividends and conversion to common stock	—		—		(97,942)
Net (loss) income attributable to common stockholders	$	(262,895)	$	43,539	$	49,160


Weighted-average shares of common stock outstanding(1)	79,802		81,379		57,743
Dilutive effect of potentially dilutive securities	—		572		189
Weighted-average common shares outstanding - diluted(2)	79,802		81,951		57,932
Diluted (loss) earnings per share	$	(3.29)	$	0.53	$	0.85

__________

(1) In 2019 we retrospectively adjusted the year ended December 31, 2018 weighted average shares in our earnings per share calculations for the 2,770,000 shares issued instead of 7,080,000 shares that had been reserved.

(2) We excluded 101,000 RSUs and PSUs from the diluted weighted-average common shares outstanding for the year ended December 31, 2020, because their effect was anti-dilutive.

Revenue Recognition

12 Months Ended

Dec. 31, 2020

Revenue from Contract with Customer [Abstract]

Revenue Recognition

We account for revenue in accordance with the Accounting Standards Codification 606, Revenue from Contracts with Customers, which we adopted on January 1, 2019, using the modified retrospective method, which was applied to all contracts that were not completed as of that date. Prior period results were not adjusted and continue to be reported under the accounting standards in effect for the prior period. The new standard did not affect the timing of our revenue recognition and did not impact net income; accordingly, we did not record an adjustment to the opening balance of retained earnings.

We adopted the practical expedient related to disclosing the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied at the end of the reporting period. The performance obligations that are unsatisfied at the end of a reporting period relate solely to future volumes that we have yet to sell. As such, these are wholly unsatisfied performance obligations as each unit of product represents a separate performance obligation as well as a wholly unsatisfied promise to transfer a distinct good that forms part of a single performance obligation.

We derive substantially all of our revenue from sales of oil, natural gas and natural gas liquids (“NGL”), with the remaining revenue generated from sales of electricity and marketing activities.

The following is a description of our principal activities from which we generate revenue. Revenues are recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration we expect to receive in exchange for those goods or services.

Oil, Natural Gas and NGLs

We recognize revenue from the sale of our oil, natural gas and NGL production when delivery has occurred and control passes to the customer. Our oil and natural gas contracts are short term, typically less than a year and our NGL contracts are both short and long term. We consider our performance obligations to be satisfied upon transfer of control of the commodity. Our commodity sales contracts are indexed to a market price or an average index price. We recognize revenue in the amount that we expect to receive once we are able to adequately estimate the consideration (i.e., when market prices are known). Our contracts with customers typically require payment within 30 days following invoicing.

Electricity Sales

The electrical output of our cogeneration facilities that is not used in our operations is sold to the California market based on market pricing, which includes capacity payments. The majority of the portion sold from three of our cogeneration facilities is sold under long-term contracts to two California utility companies, based on the market pricing. Revenue is recognized over time when obligations under the terms of a contract with our customer are satisfied; generally, this occurs upon delivery of the electricity. Revenue is measured as the amount of consideration we expect to receive based on average index pricing with payment due the month following delivery. Capacity payments are based on a fixed annual amount per kilowatt hour and monthly rates vary based on seasonality, which is consistent with how we earn the capacity payment. Capacity payments are settled monthly. We consider our performance obligations to be satisfied upon delivery of electricity or as the contracted amount of energy is made available to the customer in the case of capacity payments. We report electricity revenue as electricity sales on our consolidated statements of operations.

Marketing Revenue

Marketing revenue primarily includes our activities associated with transporting and marketing third-party volumes. These sales are made under the same agreements with the same purchaser as our natural gas sales discussed above. We consider our performance obligations to be satisfied upon transfer of control of the commodity. Revenues are presented excluding costs incurred prior to transferring control of these volumes to the customer, or the costs to purchase these volumes when we are acting as the principal. The revenues and expenses related to the sale and purchase of third-party volumes are presented separately as marketing revenue and marketing expenses on the consolidated statements of operations.

Disaggregated Revenue

As a result of adoption of this standard, we are now required to disclose the following information regarding revenue from contracts with customers on a disaggregated basis.


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Oil sales	$	362,976	$	543,634	$	520,979
Natural gas sales	14,041		19,391		26,244
Natural gas liquids sales	1,646		2,571		5,651
Electricity sales	25,813		29,397		35,208
Marketing revenues	1,426		2,094		2,322
Other revenues	150		316		774
Revenues from contracts with customers	406,052		597,403		591,178
Gains (losses) on oil and gas sales derivatives	117,781		(37,998)		(4,621)
Total revenues and other	$	523,833	$	559,405	$	586,557

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=121604090&loc=SL49130554-203045

+ Details

Emergence from Voluntary Reorganization under Chapter 11

12 Months Ended

Dec. 31, 2020

Reorganizations [Abstract]

Emergence from Voluntary Reorganization under Chapter 11

On May 11, 2016 our predecessor company filed bankruptcy. On January 27, 2017, the Bankruptcy Court approved and confirmed our plan of reorganization in the Chapter 11 Proceeding (the “Plan”). Berry LLC settled all intercompany claims against it's former parent company (pre-Effective Date) and its affiliates pursuant to a settlement agreement approved as part of the Plan and the confirmation order. The settlement agreement provided Berry LLC with a $25 million general unsecured claim against the former parent company which Berry LLC has fully-reserved. On February 28, 2017 (the “Effective Date”), the Plan became effective and was implemented. On that date Berry LLC adopted fresh-start accounting and was recapitalized, which resulted in Berry LLC becoming a wholly-owned subsidiary of Berry Corp. and Berry Corp. being treated as the new entity for financial reporting. A final decree closing the Chapter 11 Proceeding was entered September 28, 2018, with the Court retaining jurisdiction as described in the confirmation order and without prejudice to the request of any party–in–interest to reopen the case including with respect to certain, immaterial remaining matters.

GAAP requires that the financial statements, for periods subsequent to filing of the bankruptcy proceedings, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain expenses, gains and losses that are realized or incurred in connection with the bankruptcy proceedings are recorded in “reorganization items, net” on our consolidated statements of operations.

Liabilities Subject to Compromise

The holders of unsecured claims against Berry LLC, (other than the Unsecured Notes) (the “Unsecured Claims”) received a right to their pro-rated share of either (i) 7,080,000 shares of common stock in Berry Corp. or (ii) in the event that such holder irrevocably elected to receive a cash recovery, cash distributions from the Cash Distribution Pool. After the Effective Date we have negotiated with claimants to settle their claims. Through the claims resolution process, many claims were disallowed by the Bankruptcy Court because they were duplicative, amended or superseded by later filed claims, were without merit, or were otherwise overstated. Throughout the Chapter 11 proceedings, the Debtors also resolved many claims through settlements or by Bankruptcy Court orders following the filing of an objection. As a result, in early 2019, we issued 2,770,000 shares to settle these claims for which we had originally reserved 7,080,000 shares. We settled all liabilities subject to compromise through cash recovery as of

December 31, 2018, resulting in a significant recognition of gains due to the return of undistributed funds. See “Reorganization Items, net” below.

Reorganization Items, Net

Reorganization items, net represents costs and income directly associated with the Chapter 11 proceedings since the Petition Date, and also includes adjustments to reflect the carrying value of certain liabilities subject to compromise at their estimated allowed claim amounts, as such adjustments were determined.

The following table summarizes the components of reorganization items included in the consolidated statements of operations:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Return of undistributed funds from cash distribution pool(1)	$	—	$	—	$	22,855

Gains on resolution of pre-emergence liabilities and claims	—		—		3,713

Legal and other professional advisory fees	—		(426)		(3,083)




Other	—		—		1,205
Reorganization items, net	$	—	$	(426)	$	24,690

__________

(1) This amount was reclassed from restricted cash to general cash, thus does not represent a cash transaction.

Basis of Presentation and Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Principles of Consolidation and Reporting	Principles of Consolidation and ReportingThe consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”), which requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. We eliminated all significant intercompany transactions and balances upon consolidation. For oil and gas exploration and production joint ventures in which we have a direct working interest, we account for our proportionate share of assets, liabilities, revenue, expense and cash flows within the relevant lines of the financial statements.
Reclassification	ReclassificationWe reclassified certain prior year amounts in the cash flow statements to conform to the current year presentation. These reclassifications had no material impact on the financial statements.
Use of Estimates	Use of Estimates The preparation of the accompanying consolidated financial statements in conformity with GAAP required management of the Company to make informed estimates and assumptions about future events. These estimates and the underlying assumptions affect the amount of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses. Estimates that are particularly significant to the financial statements include estimates of our reserves of oil and gas; future cash flows from oil and gas properties; depreciation, depletion and amortization; asset retirement obligations; fair values of commodity derivatives; stock-based compensation; fair values of assets acquired and liabilities assumed; and income taxes.
Cash Equivalents	Cash Equivalents We consider all highly liquid short-term investments with original maturities of three months or less to be cash equivalents.
Inventories	Inventories Inventories were included in other current assets. Oil and natural gas inventories were valued at the lower of cost or net realizable value. Materials and supplies were valued at their weighted-average cost and are reviewed periodically for obsolescence.
Oil and Natural Gas Properties	Oil and Natural Gas Properties Proved Properties We account for oil and natural gas properties in accordance with the successful efforts method. Under this method, all acquisition costs of proved properties are capitalized and amortized on a unit-of-production basis over the remaining life of the proved reserves. All development costs of proved properties are capitalized and amortized on a unit-of-production basis over the remaining life of the proved developed reserves. Costs of retired, sold or abandoned properties that constitute a part of an amortization base are charged or credited, net of proceeds, to accumulated depreciation, depletion and amortization unless doing so significantly affects the unit-of-production amortization rate, in which case a gain or loss is recognized in the current period. Gains or losses from the disposal of other properties are recognized in the current period. For assets acquired, we base the capitalized cost on fair value at the acquisition date. We expense expenditures for maintenance and repairs necessary to maintain properties in operating condition, as well as annual lease rentals, as they are incurred. Estimated dismantlement and abandonment costs are capitalized at their estimated net present value and amortized over the remaining lives of the related assets. Interest is capitalized only during the periods in which these assets are brought to their intended use. The amount of capitalized interest was approximately $1 million in 2020, $2 million in 2019, and in 2018 these costs were not significant. We only capitalize the interest on borrowed funds related to our share of costs associated with qualifying capital expenditures. The amount of capitalized exploratory well costs was zero for all periods and the amount of capitalized overhead was approximately $6 million, $2 million and $1 million in 2020, 2019 and 2018, respectively. We evaluate the impairment of our proved oil and natural gas properties generally on a field by field basis or at the lowest level for which cash flows are identifiable, whenever events or changes in circumstance indicate that the carrying value may not be recoverable. We reduce the carrying values of proved properties to fair value when the expected undiscounted future cash flows are less than net book value. We measure the fair values of proved properties using valuation techniques consistent with the income approach, converting future cash flows to a single discounted amount. Significant inputs used to determine the fair values of proved properties include estimates of: (i) reserves; (ii) future operating and development costs; (iii) future commodity prices; and (iv) a risk-adjusted discount rate. These inputs require significant judgments and estimates by our management at the time of the valuation which can change significantly over time. The underlying commodity prices are embedded in our estimated cash flows and are the product of a process that begins with the relevant forward curve pricing, adjusted for estimated location and quality differentials, as well as other factors our management believes will impact realizable prices. The fair value was estimated using inputs characteristic of a Level 3 fair value measurement. Unproved Properties A portion of the carrying value of our oil and gas properties was attributable to unproved properties. At December 31, 2020 and 2019, the net capitalized costs attributable to unproved properties was approximately $311 million and $314 million, respectively. The unproved amounts were not subject to depreciation, depletion and amortization until they were classified as proved properties and amortized on a unit-of-production basis. We evaluate the impairment of our unproved oil and gas properties whenever events or changes in circumstances indicate the carrying value may not be recoverable. If the exploration and development work were to be unsuccessful, or management decided not to pursue development of these properties as a result of lower commodity prices, higher development and operating costs, contractual conditions or other factors, the capitalized costs of such properties would be expensed. The timing of any write-downs of unproved properties, if warranted, depends upon management’s plans, the nature, timing and extent of future exploration and development activities and their results. As of March 31, 2020, we performed impairment tests with respect to our proved and unproved oil and gas properties as a result of significant declines in oil prices during the latter part of the first quarter. These declines were driven by the uncertainty surrounding the outbreak of a novel strain of coronavirus (SARS-Cov-2), which causes COVID-19 (“COVID-19”) and other macroeconomic events such as the geopolitical tensions between the Organization of Petroleum Exporting Countries (“OPEC”) and Russia. The COVID-19 pandemic and related economic repercussions, coupled with actions taken by OPEC and other oil producing nations (“OPEC+”), created significant volatility, uncertainty, and turmoil in the oil and gas industry, which have negatively affected and are expected to continue to negatively affect our business. Consequently, we recorded a non-cash pre-tax asset impairment charge of $289 million during the first quarter of 2020 on proved properties in Utah and certain California locations. We evaluated our proved properties in accordance with accounting guidance and fair value techniques utilizing the period-end forward price curve, as well as assessing projects we determine we would not pursue in the foreseeable future given the current environment. We believe our current plans and exploration and development efforts will allow us to realize the carrying value of our unproved property balance December 31, 2020.
Other Property and Equipment	Other Property and Equipment Other property and equipment includes natural gas gathering systems, pipelines, cogeneration facilities, buildings, software, data processing and telecommunications equipment, office furniture and equipment, and other fixed assets. These assets are recorded at cost, depreciated using the straight-line method based on expected useful lives ranging from 5 to 30 years for buildings and leasehold improvements and 2 to 30 years for plant and pipeline, drilling and other equipment, and the salvage value is considered as applicable.
Asset Retirement Obligation	Asset Retirement Obligation We recognize the fair value of asset retirement obligations (“AROs”) in the period in which a determination is made that a legal obligation exists to dismantle an asset and remediate the property at the end of its useful life and the cost of the obligation can be reasonably estimated. The liability amounts were based on future retirement cost estimates and incorporate many assumptions such as time to abandonment, technological changes, future inflation rates and the risk-adjusted discount rate. When the liability was initially recorded, we capitalized the cost by increasing the related property, plant and equipment (“PP&E”) balances. If the estimated future cost of the AROs changes, we record an adjustment to both the ARO and PP&E. Over time, the liability is increased and the capitalized cost is depreciated over the useful life of the asset. Accretion expense is also recognized over time as the discounted liabilities are accreted to their expected settlement value and is included in depreciation, depletion and amortization in the statement of operations.
Revenue Recognition	Revenue RecognitionSubstantially all of the Company’s revenue is from the sale of crude oil, natural gas and NGLs. We account for revenue in accordance with the Accounting Standards Codification 606, Revenue from Contracts with Customers, which we adopted on January 1, 2019, using the modified retrospective method, which was applied to all contracts that were not completed as of that date. Prior period results were not adjusted and continue to be reported under the accounting standards in effect for the prior period. The new standard did not affect the timing of our revenue recognition and did not impact net income; accordingly, we did not record an adjustment to the opening balance of retained earnings. We adopted the practical expedient related to disclosing the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied at the end of the reporting period. The performance obligations that are unsatisfied at the end of a reporting period relate solely to future volumes that we have yet to sell. As such, these are wholly unsatisfied performance obligations as each unit of product represents a separate performance obligation as well as a wholly unsatisfied promise to transfer a distinct good that forms part of a single performance obligation. We derive substantially all of our revenue from sales of oil, natural gas and natural gas liquids (“NGL”), with the remaining revenue generated from sales of electricity and marketing activities. The following is a description of our principal activities from which we generate revenue. Revenues are recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration we expect to receive in exchange for those goods or services. Oil, Natural Gas and NGLs We recognize revenue from the sale of our oil, natural gas and NGL production when delivery has occurred and control passes to the customer. Our oil and natural gas contracts are short term, typically less than a year and our NGL contracts are both short and long term. We consider our performance obligations to be satisfied upon transfer of control of the commodity. Our commodity sales contracts are indexed to a market price or an average index price. We recognize revenue in the amount that we expect to receive once we are able to adequately estimate the consideration (i.e., when market prices are known). Our contracts with customers typically require payment within 30 days following invoicing. Electricity Sales The electrical output of our cogeneration facilities that is not used in our operations is sold to the California market based on market pricing, which includes capacity payments. The majority of the portion sold from three of our cogeneration facilities is sold under long-term contracts to two California utility companies, based on the market pricing. Revenue is recognized over time when obligations under the terms of a contract with our customer are satisfied; generally, this occurs upon delivery of the electricity. Revenue is measured as the amount of consideration we expect to receive based on average index pricing with payment due the month following delivery. Capacity payments are based on a fixed annual amount per kilowatt hour and monthly rates vary based on seasonality, which is consistent with how we earn the capacity payment. Capacity payments are settled monthly. We consider our performance obligations to be satisfied upon delivery of electricity or as the contracted amount of energy is made available to the customer in the case of capacity payments. We report electricity revenue as electricity sales on our consolidated statements of operations. Marketing Revenue Marketing revenue primarily includes our activities associated with transporting and marketing third-party volumes. These sales are made under the same agreements with the same purchaser as our natural gas sales discussed above. We consider our performance obligations to be satisfied upon transfer of control of the commodity. Revenues are presented excluding costs incurred prior to transferring control of these volumes to the customer, or the costs to purchase these volumes when we are acting as the principal. The revenues and expenses related to the sale and purchase of third-party volumes are presented separately as marketing revenue and marketing expenses on the consolidated statements of operations.
Fair Value Measurements	Fair Value Measurements We have categorized our assets and liabilities that are measured at fair value in a three-level fair value hierarchy, based on the inputs to the valuation techniques: Level 1—using quoted prices in active markets for the assets or liabilities; Level 2—using observable inputs other than quoted prices for the assets or liabilities; and Level 3—using unobservable inputs. Transfers between levels, if any, are recognized at the end of each reporting period. We primarily apply the market approach for recurring fair value measurement, maximize our use of observable inputs and minimize use of unobservable inputs. We generally use an income approach to measure fair value when observable inputs are unavailable. This approach utilizes management’s judgments regarding expectations of projected cash flows and discounts those cash flows using a risk-adjusted discount rate. The most significant items on our balance sheet that would be affected by recurring fair value measurements are derivatives. We determine the fair value of our oil and gas sales and natural gas purchase derivatives using valuation techniques which utilize market quotes and pricing analysis. Inputs include publicly available prices and forward price curves generated from a compilation of data gathered from third parties. We classify these measurements as Level 2. Our PP&E is written down to fair value if we determine that there has been an impairment in its value. The fair value is determined as of the date of the assessment using discounted cash flow models based on management’s expectations for the future. Inputs include estimates of future production, prices based on commodity forward price curves as of the date of the estimate, estimated future operating and development costs and a risk-adjusted discount rate. We classify these measurements as Level 3.
Stock-based Compensation	Stock-based Compensation We have issued restricted stock units (“RSUs”) that vest over time and performance-based restricted stock units (“PSUs”) that vest based on our achievement of certain average prices per share or total shareholder return, to certain employees and non-employee directors. The fair value of the stock-based awards is determined at the date of grant and is not remeasured. Prior to our IPO in July 2018, we determined the fair value of the RSUs based on an estimate of the fair value of our equity using an income approach. We used a discounted cash flow method to value the estimated future cash flows at an appropriate discount rate. Subsequent to our IPO, since the underlying shares are now trading in the public markets, these estimates are no longer necessary. For PSUs, compensation value is measured on the grant date using payout values derived from a Monte-Carlo valuation model. Estimates used in the Monte Carlo valuation model are considered highly complex and subjective. Compensation expense, net of actual forfeitures, for the RSUs and PSUs is recognized on a straight-line basis over the requisite service periods, which is over the awards’ respective vesting or performance periods which range from one to three years.
Other Loss Contingencies	Other Loss Contingencies In the normal course of business, we are involved in lawsuits, claims and other environmental and legal proceedings and audits. We accrue reserves for these matters when it is probable that a liability has been incurred and the liability can be reasonably estimated. In addition, we disclose, if material, in aggregate, our exposure to loss in excess of the amount recorded on the balance sheet for these matters if it is reasonably possible that an additional material loss may be incurred. We review our loss contingencies on an ongoing basis. Loss contingencies are based on judgments made by management with respect to the likely outcome of these matters and are adjusted as appropriate. Management’s judgments could change based on new information, changes in, or interpretations of, laws or regulations, changes in management’s plans or intentions, opinions regarding the outcome of legal proceedings, or other factors.
Electricity Cost Allocation	Electricity Cost Allocation We own several cogeneration facilities. Our investment in cogeneration facilities has been for the express purpose of lowering steam costs in our heavy oil operations in California and securing operating control of the respective steam generation. Cogeneration, also called combined heat and power, extracts energy from the exhaust of a turbine, which would otherwise be wasted, to produce steam. Such cogeneration operations also produce electricity. We allocate steam and electricity costs to lease operating expenses based on the conversion efficiency of the cogeneration facilities plus certain direct costs of producing steam. We also allocate a portion of the electricity production costs related to the power we sell to third parties, which is reported in “electricity generation expenses” in the statement of operations.
Income Taxes	Income Taxes Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their tax bases. Deferred tax assets are recognized when it is more likely than not that they will be realized. We periodically assess our deferred tax assets and reduce such assets by a valuation allowance if we deem it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We recognize a tax benefit from an uncertain tax position when it is more likely than not that the position will be sustained upon examination, based on the technical merits of the position. Interest and penalties related to unrecognized tax benefits are recognized in income tax expense (benefit).
Earnings per Share	Earnings per Share We computed basic and diluted earnings per share (EPS) using the two-class method required for participating securities. Common stock awards and preferred stock are considered participating securities when such shares have non-forfeitable dividend rights at the same rate as common stock. Under the two-class method, undistributed earnings allocated to participating securities are subtracted from net income attributable to common stock in determining net income attributable to common stockholders. In loss periods, no allocation is made to participating securities because the participating securities do not share in losses. For basic EPS, the weighted-average number of common shares outstanding excludes outstanding shares related to unvested restricted stock awards. For diluted EPS, the basic shares outstanding are adjusted by adding potentially dilutive securities, unless their effect is anti-dilutive.
Business and Credit Concentration	Business and Credit Concentrations We maintain our cash in bank deposit accounts which, at times, may exceed federally insured amounts. We have not experienced any losses in such accounts. We believe we are not exposed to any significant credit risk on our cash. We also sell oil, natural gas and NGLs to various types of customers, including pipelines, refineries and other oil and natural gas companies and electricity to utility companies. Based on the current demand for oil, natural gas and NGLs and the availability of other purchasers, we believe that the loss of any one of our major purchasers would not have a material adverse effect on our financial condition, results of operations or net cash provided by operating activities.
New Accounting Standards Issued, But Not Yet Adopted	New Accounting Standards Issued, But Not Yet Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued rules requiring lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months and to include qualitative and quantitative disclosures with respect to the amount, timing, and uncertainty of cash flows arising from leases. As an emerging growth company, we have elected to delay the adoption of these rules until they are applicable to non-SEC issuers. During the second quarter of 2020, this adoption date was further delayed by FASB until fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. We are currently identifying our lease population in accordance with the new lease standard. We expect the adoption of these rules to increase other assets and other liabilities on our balance sheet and we are currently evaluating the impact on our consolidated results of operations. In December 2019, the FASB issued rules which simplify the accounting for income taxes. As an emerging growth company, we have elected to delay the adoption of these rules until they are applicable to non-SEC issuers which is for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. We are currently evaluating the impact of these rules on our consolidated financial statements. In March 2020, the FASB issued rules providing optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by the reference rate reform, if certain criteria are met. The optional expedient for contract modifications applies to contract modifications that replace a reference rate affected by the reference rate reform, such as the London Interbank Offered Rate (“LIBOR”). Entities may elect to apply the amendments for contract modifications as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020 through December 31, 2022. To date, these rules have not had any impact on our consolidated financial statements and we continue to assess the future impact of these rules on our consolidated financial statements.

Basis of Presentation and Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Summary of Activity in ARO Account


	Year Ended December 31,
	2020		2019
	(in thousands)
Beginning balance	$	149,227	$	95,548
Liabilities incurred including from acquisitions	5,919		11,534
Settlements and payments	(14,931)		(22,036)

Accretion expense	9,996		7,570

Revisions	9,981		56,611

Ending balance	$	160,192	$	149,227

Oil and Natural Gas Properties and Other Property and Equipment (Tables)

12 Months Ended

Dec. 31, 2020

Extractive Industries [Abstract]

Schedule of Aggregate Capitalized Costs Related to Oil, Natural Gas and NGL Production Activities

Aggregate capitalized costs related to oil, natural gas and NGL production activities with applicable accumulated depletion and amortization are presented below:


	Year Ended December 31,
	2020		2019
	(in thousands)
Proved properties	$	1,101,371	$	1,361,814
Unproved properties	311,195		313,903
Total proved and unproved properties	1,412,566		1,675,717
Less accumulated depletion and amortization	(235,259)		(209,105)
Total proved and unproved properties, net	$	1,177,307	$	1,466,612

Schedule of Other Property and Equipment

Other property and equipment consisted of the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Cogens, natural gas plants and pipelines	$	72,999	$	94,619
Buildings and leasehold improvements	2,241		3,752
Vehicles and service equipment	8,878		9,124
Furniture and equipment	21,515		20,078
Land	6,512		7,544
Total other property and equipment	112,145		135,117
Less: accumulated depreciation	(31,368)		(25,462)
Total other property and equipment, net	$	80,777	$	109,655

Debt (Tables)

12 Months Ended

Dec. 31, 2020

Debt Disclosure [Abstract]

Schedule of Outstanding Debt

The following table summarizes our outstanding debt:


	December 31, 2020		December 31, 2019		Interest Rate	Maturity	Security
	(in thousands)

RBL Facility	$	—	$	1,850	variable rates of 4.0% (2020) and 5.5% (2019), respectively	July 29, 2022	Mortgage on 85% of Present Value of proven oil and gas reserves and lien on certain other assets
2026 Notes	400,000		400,000		7.0%	February 15, 2026	Unsecured
Long-Term Debt - Principal Amount	400,000		401,850
Less: Debt Issuance Costs	(6,520)		(7,531)
Long-Term Debt, net	$	393,480	$	394,319

Derivatives (Tables)

12 Months Ended

Dec. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Transactions Resulting in Crude Oil Production and Gas Purchases Hedges

As of December 31, 2020, we had the following crude oil production and gas purchases hedges.


	Q1 2021		Q2 2021		Q3 2021		Q4 2021
Fixed Price Oil Swaps (Brent):
Hedged volume (MBbls)	1,710		1,728		1,042		1,042
Weighted-average price ($/Bbl)	$	45.82	$	45.82	$	46.17	$	46.17









Fixed Price Gas Purchase Swaps (Kern, Delivered):
Hedged volume (MMBtu)	4,950,000		4,777,500		4,830,000		2,085,000
Weighted-average price ($/MMBtu)	$	2.69	$	2.83	$	2.83	$	2.95

Fair Values (Gross and Net) of Outstanding Derivatives

The following tables present the fair values (gross and net) of our outstanding derivatives as of December 31, 2020 and 2019:


	December 31, 2020
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset in the Balance Sheet		Net Fair Value Presented in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	15,217	$	(12,710)	$	2,507

Liabilities:
Commodity Contracts	Current liabilities	(36,031)		12,710		(23,321)

Total derivatives		$	(20,814)	$	—	$	(20,814)


	December 31, 2019
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset in the Balance Sheet		Net Fair Value Presented in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	17,799	$	(8,633)	$	9,166
Commodity Contracts	Non-current assets	773		(248)		525
Liabilities:
Commodity Contracts	Current liabilities	(13,450)		8,633		(4,817)
Commodity Contracts	Non-current liabilities	(389)		248		(141)
Total derivatives		$	4,733	$	—	$	4,733

Gains and Losses of Derivatives Instruments in Statement of Operations

A summary of gains and losses on the derivatives included on the statements of operations is presented below:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Gains (losses) on oil and gas sales derivatives	$	117,781	$	(37,998)	$	(4,621)
(Losses) gains on natural gas purchase derivatives	(1,035)		(6,957)		6,357

Total gains (losses) on derivatives	$	116,746	$	(44,955)	$	1,735

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=121590274&loc=SL5624163-113959

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=121590274&loc=SL5580258-113959

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=121590274&loc=d3e41620-113959

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
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-SubTopic 10
-Section 50
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=121590274&loc=SL5579245-113959

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
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-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=121590274&loc=d3e41638-113959

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=121590274&loc=d3e41678-113959

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=121590274&loc=d3e41641-113959

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
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-URI http://asc.fasb.org/extlink&oid=121590274&loc=SL5624171-113959

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=121590274&loc=SL5579240-113959

+ Details

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2020

Commitments and Contingencies Disclosure [Abstract]

Future Net Minimum Payments for Purchase Obligations and Operating Leases

At December 31, 2020, future net minimum payments for non-cancelable purchase obligations and operating leases (excluding oil and natural gas and other mineral leases, utilities, taxes and insurance and maintenance expense) were as follows:


	2021		2022		2023		2024		2025		Thereafter		Total
	(in thousands)
Processing, transportation and storage contracts(1)	$	4,104	$	2,588	$	1,218	$	—	$	—	$	—	$	7,910
Operating lease obligations	1,863		1,872		1,778		1,551		1,551		2,491		11,106
Other purchase obligations(2)	18,000		14,700		2,400		—		—		—		35,100
Total	$	23,967	$	19,160	$	5,396	$	1,551	$	1,551	$	2,491	$	54,116

__________

Stockholders' Equity (Tables)

12 Months Ended

Dec. 31, 2020

Equity [Abstract]

Schedule of Restricted Stock Units (RSUs) Activity


	Number of shares	Weighted-average Grant Date Fair Value
	(shares in thousands)
Non-vested at December 31, 2019	1,014	$	12.05
Granted	1,850	$	6.32
Vested	(595)	$	11.16
Forfeited	(330)	$	8.14
Non-vested at December 31, 2020	1,939	$	7.52

Schedule of Performance-Based Restricted Stock Unit (PSUs) Activity


	Number of shares	Weighted-average Grant Date Fair Value
	(shares in thousands)
Non-vested at December 31, 2019	798	$	10.77
Granted	1,328	$	15.89
Vested	(5)	$	11.33
Forfeited	(469)	$	11.20
Non-vested at December 31, 2020	1,652	$	14.77

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense (benefit) consisted of the following:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Current taxes:
Federal	$	—	$	—	$	(465)
State	828		227		(446)
Total current taxes	828		227		(911)
Deferred taxes:
Federal	2,653		(36,756)		33,227
State	(10,699)		(21)		10,719
Total deferred taxes	(8,046)		(36,777)		43,946
Total current and deferred taxes	$	(7,218)	$	(36,550)	$	43,035

Reconciliation of the Federal Statutory Tax Rate to the Effective Tax Rate

A reconciliation of the federal statutory tax rate to the effective tax rate is as follows:


	Year Ended December 31,
	2020		2019		2018
Federal statutory rate	21.0	%	21.0	%	21.0	%
State, net of federal tax benefit	6.3	%	8.9	%	6.3	%
Effect of permanent differences	(0.6)	%	0.2	%	(0.6)	%
Tax credits - Prior Year	4.9	%	(546.4)	%	—	%
Tax credits - Current Year	1.1	%	—	%	—	%
State return to provision	(1.1)	%	(6.6)	%	—	%

Change in valuation allowance	(28.8)	%	—	%	(4.1)	%
Effective tax rate	2.8	%	(522.9)	%	22.6	%

Schedule of Significant Components of Deferred Tax Assets and Liabilities

Significant components of the deferred tax assets and liabilities are as follows:


	Year Ended December 31,
	2020		2019
	(in thousands)
Deferred tax assets:
Net operating loss carryforwards	$	21,205	$	14,542
Accruals	14,208		12,218
Asset retirement obligations	43,518		41,382
Derivative instruments	5,654		—
Tax credits	62,058		47,803
Interest limitation carryforward	—		13,892
Other	4,946		5,154
Subtotal	151,589		134,991
Valuation allowance	(77,923)		—
Total deferred tax assets	73,666		134,991
Deferred tax liabilities:
Book tax differences in property basis	(74,677)		(143,896)
Derivative instruments	—		(152)
Total deferred tax liabilities	(74,677)		(144,048)
Net deferred tax liability	$	(1,011)	$	(9,057)

Summary of Unrecognized Tax Benefits


	Year Ended December 31,
	2020		2019
	(in thousands)
Unrecognized tax benefits - January 1	$	13,892	$	—
Prior year - change	(13,892)		6,720
Current year - change	—		7,172
Unrecognized tax benefits - December 31	$	—	$	13,892

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows (Tables)

12 Months Ended

Dec. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Other Current Assets

Other current assets reported on the consolidated balance sheets included the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Prepaid expenses	$	3,592	$	4,577

Materials and supplies	11,666		10,544
Oil inventories	3,490		3,432
Other	652		846
Total other current assets	$	19,400	$	19,399

Schedule of Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses on the consolidated balance sheets included the following:


	Year Ended December 31,
	2020		2019
	(in thousands)
Accounts payable-trade	$	11,055	$	13,986
Accrued expenses	43,452		57,078
Royalties payable	15,150		25,385

Greenhouse gas liability - current portion	35,554		—
Taxes other than income tax liability	10,118		9,150
Accrued interest	10,783		10,500
Dividends payable	—		9,888
Asset retirement obligation - current portion	25,000		25,208
Other	873		616
Total accounts payable and accrued expenses	$	151,985	$	151,811

Supplemental Cash Flow Information

Supplemental disclosures to the consolidated statements of cash flows are presented below:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Supplemental Disclosures of Significant Non-Cash Operating Activities:
Greenhouse gas liability - reclassification from long-term to current liability	$	33,376	$	—	$	—
Supplemental Disclosures of Significant Non-Cash Investing Activities:
Material inventory transfers to oil and natural gas properties	$	1,596	$	10,056	$	2,371
Supplemental Disclosures of Cash Payments (Receipts):
Interest, net of amounts capitalized	$	29,962	$	30,720	$	19,761
Income taxes payments (refunds)	$	222	$	(2)	$	(1,901)
Reorganization items, net	$	—	$	—	$	832


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Beginning of Period
Cash and cash equivalents	$	—	$	68,680	$	33,905
Restricted cash	—		—		34,833

Cash, cash equivalents and restricted cash	$	—	$	68,680	$	68,738

Ending of Period
Cash and cash equivalents	$	80,557	$	—	$	68,680
Restricted cash	—		—		—

Cash, cash equivalents and restricted cash	$	80,557	$	—	$	68,680

Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2020

Earnings Per Share [Abstract]

Schedule of Earnings Per Share


	Year Ended December 31,
	2020		2019		2018
	(in thousands except per share amounts)
Basic EPS calculation
Net (loss) income	$	(262,895)	$	43,539	$	147,102
less: Series A Preferred Stock dividends and conversion to common stock	—		—		(97,942)
Net (loss) income attributable to common stockholders	$	(262,895)	$	43,539	$	49,160


Weighted-average shares of common stock outstanding(1)	79,802		81,379		57,743
Basic (loss) earnings per share	$	(3.29)	$	0.54	$	0.85
Diluted EPS calculation
Net (loss) income	$	(262,895)	$	43,539	$	147,102
less: Series A Preferred Stock dividends and conversion to common stock	—		—		(97,942)
Net (loss) income attributable to common stockholders	$	(262,895)	$	43,539	$	49,160


Weighted-average shares of common stock outstanding(1)	79,802		81,379		57,743
Dilutive effect of potentially dilutive securities	—		572		189
Weighted-average common shares outstanding - diluted(2)	79,802		81,951		57,932
Diluted (loss) earnings per share	$	(3.29)	$	0.53	$	0.85

__________

(2) We excluded 101,000 RSUs and PSUs from the diluted weighted-average common shares outstanding for the year ended December 31, 2020, because their effect was anti-dilutive.

Revenue Recognition (Tables)

12 Months Ended

Dec. 31, 2020

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

As a result of adoption of this standard, we are now required to disclose the following information regarding revenue from contracts with customers on a disaggregated basis.


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Oil sales	$	362,976	$	543,634	$	520,979
Natural gas sales	14,041		19,391		26,244
Natural gas liquids sales	1,646		2,571		5,651
Electricity sales	25,813		29,397		35,208
Marketing revenues	1,426		2,094		2,322
Other revenues	150		316		774
Revenues from contracts with customers	406,052		597,403		591,178
Gains (losses) on oil and gas sales derivatives	117,781		(37,998)		(4,621)
Total revenues and other	$	523,833	$	559,405	$	586,557

Emergence from Voluntary Reorganization under Chapter 11 (Tables)

12 Months Ended

Dec. 31, 2020

Reorganizations [Abstract]

Schedule of Reorganization Items

The following table summarizes the components of reorganization items included in the consolidated statements of operations:


	Year Ended December 31,
	2020		2019		2018
	(in thousands)
Return of undistributed funds from cash distribution pool(1)	$	—	$	—	$	22,855

Gains on resolution of pre-emergence liabilities and claims	—		—		3,713

Legal and other professional advisory fees	—		(426)		(3,083)




Other	—		—		1,205
Reorganization items, net	$	—	$	(426)	$	24,690

__________

(1) This amount was reclassed from restricted cash to general cash, thus does not represent a cash transaction.

Basis of Presentation and Significant Accounting Policies - Narrative (Details) - USD ($)	1 Months Ended	3 Months Ended	12 Months Ended
	May 31, 2020	Mar. 31, 2020	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Public Utilities, General Disclosures [Line Items]
Capitalized interest			$ 1,000,000	$ 2,000,000	$ 0
Capitalized exploratory well costs			0	0	0
Capitalized overhead			6,000,000	2,000,000	1,000,000
Net capitalized costs attributable to unproved properties			311,000,000	314,000,000
Impairment of oil and gas properties			289,085,000	51,081,000	$ 0
Asset retirement obligation, noncurrent			135,192,000	124,019,000
Asset retirement obligation, accretion expense			9,996,000	7,570,000
Asset retirement obligation, liabilities incurred	$ 6,000,000		5,919,000	11,534,000
Asset retirement obligation, liabilities settled			$ 14,931,000	$ 22,036,000
Largest customers \| Sales \| Customer one
Public Utilities, General Disclosures [Line Items]
Concentration risk			44.00%	36.00%	35.00%
Largest customers \| Sales \| Customer two
Public Utilities, General Disclosures [Line Items]
Concentration risk			20.00%	24.00%	28.00%
Largest customers \| Sales \| Customer three
Public Utilities, General Disclosures [Line Items]
Concentration risk			12.00%	13.00%	13.00%
Largest customers \| Trade accounts receivable \| Customer one
Public Utilities, General Disclosures [Line Items]
Concentration risk			38.00%	40.00%
Largest customers \| Trade accounts receivable \| Customer two
Public Utilities, General Disclosures [Line Items]
Concentration risk			15.00%	17.00%
Largest customers \| Trade accounts receivable \| Customer three
Public Utilities, General Disclosures [Line Items]
Concentration risk			11.00%	11.00%
Buildings and leasehold improvements \| Minimum
Public Utilities, General Disclosures [Line Items]
Expected useful life			5 years
Buildings and leasehold improvements \| Maximum
Public Utilities, General Disclosures [Line Items]
Expected useful life			30 years
Plant and pipeline, drilling and other equipment \| Minimum
Public Utilities, General Disclosures [Line Items]
Expected useful life			2 years
Plant and pipeline, drilling and other equipment \| Maximum
Public Utilities, General Disclosures [Line Items]
Expected useful life			30 years
Restricted Stock Units (RSUs) and Performance-based Restricted Stock Units (PSUs) \| Minimum
Public Utilities, General Disclosures [Line Items]
Vesting period			1 year
Restricted Stock Units (RSUs) and Performance-based Restricted Stock Units (PSUs) \| Maximum
Public Utilities, General Disclosures [Line Items]
Vesting period			3 years
Proved Oil and Gas Properties
Public Utilities, General Disclosures [Line Items]
Impairment of oil and gas properties		$ 289,000,000		$ 23,000,000
Unproved Oil and Gas Properties
Public Utilities, General Disclosures [Line Items]
Impairment of oil and gas properties				$ 28,000,000

Basis of Presentation and Significant Accounting Policies - Asset Retirement Obligation (Details) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	May 31, 2020	Dec. 31, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Asset retirement obligation, noncurrent		$ 135,192	$ 124,019
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Beginning balance		149,227	95,548
Liabilities incurred including from acquisitions	$ 6,000	5,919	11,534
Settlements and payments		(14,931)	(22,036)
Accretion expense		9,996	7,570
Revisions		9,981	56,611
Ending balance		$ 160,192	$ 149,227

Oil and Natural Gas Properties and Other Property and Equipment - Aggregate Capitalized Costs Related to Oil, Natural Gas and NGL Production Activities (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Extractive Industries [Abstract]
Proved properties	$ 1,101,371	$ 1,361,814
Unproved properties	311,195	313,903
Oil and natural gas properties	1,412,566	1,675,717
Less accumulated depletion and amortization	(235,259)	(209,105)
Total oil and natural gas properties, net	$ 1,177,307	$ 1,466,612

Oil and Natural Gas Properties and Other Property and Equipment - Other Property and Equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Property, Plant and Equipment [Line Items]
Other property and equipment	$ 112,145	$ 135,117
Less accumulated depreciation	(31,368)	(25,462)
Total other property and equipment, net	80,777	109,655
Cogens, natural gas plants and pipelines
Property, Plant and Equipment [Line Items]
Other property and equipment	72,999	94,619
Buildings and leasehold improvements
Property, Plant and Equipment [Line Items]
Other property and equipment	2,241	3,752
Vehicles and service equipment
Property, Plant and Equipment [Line Items]
Other property and equipment	8,878	9,124
Furniture and office equipment
Property, Plant and Equipment [Line Items]
Other property and equipment	21,515	20,078
Land
Property, Plant and Equipment [Line Items]
Other property and equipment	$ 6,512	$ 7,544

Debt - Outstanding Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Debt Instrument [Line Items]
Long-Term Debt - Principal Amount	$ 400,000	$ 401,850
Less: Debt Issuance Costs	(6,520)	(7,531)
Long-Term Debt, net	$ 393,480	394,319
Line of credit \| RBL Facility
Debt Instrument [Line Items]
Present value of proven oil and gas reserves	85.00%
Long-Term Debt - Principal Amount	$ 0	1,850
Medium-term notes \| 2026 Notes
Debt Instrument [Line Items]
Interest Rate	7.00%
Long-Term Debt - Principal Amount	$ 400,000	$ 400,000
Line of credit \| RBL Facility
Debt Instrument [Line Items]
Variable rate	4.00%	5.50%

Debt - Narrative (Details)			1 Months Ended	12 Months Ended
Debt - Narrative (Details)	Jul. 26, 2018 USD ($)	Jul. 31, 2017 USD ($)	Feb. 28, 2018 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Dec. 31, 2018 USD ($)	Nov. 30, 2020 USD ($)	Feb. 27, 2020 USD ($)
Debt Instrument [Line Items]
Debt issuance costs for the 2026 Senior Unsecured Notes				$ 6,520,000	$ 7,531,000
Amortization of debt issuance costs				5,351,000	5,059,000	$ 5,430,000
Maximum pro forma leverage ratio allowable which will permit repurchase of equity and indebtedness		2.5
Mortgage held on present value of proven oil and gas reserves		85.00%
Net proceeds from issuance of debt				0	0	400,000,000
Borrowings repaid under the facility				$ 230,750,000	353,282,000	582,510,000
Minimum availability of borrowing base required which will permit distributions to parent company				20.00%
Bond repurchase program, authorized amount								$ 75,000,000
RBL Facility
Debt Instrument [Line Items]
Debt issuance costs for the RBL Facility				$ 7,000,000	11,000,000
Medium-term notes \| 2026 Notes
Debt Instrument [Line Items]
Fair value of debt				$ 337,000,000	376,000,000
Interest rate				7.00%
Line of credit \| RBL Facility
Debt Instrument [Line Items]
Borrowings outstanding				$ 0
Unsecured debt \| 2026 Notes
Debt Instrument [Line Items]
Principal amount of debt issued			$ 400,000,000
Interest rate			7.00%
Net proceeds from issuance of debt			$ 391,000,000
Aggregate principal amount able to be redeemed			35.00%
Redemption price in event of change in control			101.00%
Line of credit \| RBL Facility
Debt Instrument [Line Items]
Leverage ratio (no more than)		4.0
Current ratio (at least)		1.0
Leverage ratio at period end				1.8
Current ratio at period end				2.2
Reduction in borrowing base if unsecured indebtedness is incurred		25.00%
Minimum availability of borrowing base required which will permit repurchase of equity and indebtedness		20.00%
Commitment fee		0.50%
Letters of credit outstanding				$ 7,000,000
Borrowings repaid under the facility	$ 105,000,000		$ 379,000,000
Maximum pro forma leverage ratio allowable which will permit distributions to parent company				2.5
Letters of credit \| RBL Facility
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 25,000,000
Revolving credit facility \| Line of credit \| RBL Facility
Debt Instrument [Line Items]
Maximum borrowing capacity		1,500,000,000
Borrowing base							$ 200,000,000
Repayment of loans outstanding for amounts exceeding cash reported		$ 30,000,000
Available borrowing capacity				$ 193,000,000
LIBOR \| Minimum \| Line of credit \| RBL Facility
Debt Instrument [Line Items]
Applicable margin		2.50%
LIBOR \| Maximum \| Line of credit \| RBL Facility
Debt Instrument [Line Items]
Applicable margin		3.50%
Customary base rate \| Minimum \| Line of credit \| RBL Facility
Debt Instrument [Line Items]
Applicable margin		1.50%
Customary base rate \| Maximum \| Line of credit \| RBL Facility
Debt Instrument [Line Items]
Applicable margin		2.50%
On or after February 15, 2021 \| Unsecured debt \| 2026 Notes
Debt Instrument [Line Items]
Redemption price			107.00%
Prior to February 15, 2021 \| Unsecured debt \| 2026 Notes
Debt Instrument [Line Items]
Redemption price			100.00%
Interest expense
Debt Instrument [Line Items]
Amortization of debt issuance costs				$ 5,000,000	$ 5,000,000	$ 5,000,000

Derivatives - Narrative (Details) $ in Thousands	1 Months Ended		12 Months Ended
Derivatives - Narrative (Details) $ in Thousands	Feb. 24, 2021 $ / bbl bbl	May 31, 2018 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($) MMBTU	Dec. 31, 2019 USD ($)	Dec. 31, 2018 USD ($)
Derivative [Line Items]
Target period to cover operating expenses and fixed charges (up to)				2 years
Target period for fixing the price natural gas purchases used in steam operations (up to)				2 years
Gain on derivative				$ 116,746	$ (44,955)	$ 1,735
Derivative termination costs		$ 127,000
Cash settlements received on derivatives				142,000	42,000
Cash settlements paid on normal derivatives				$ (142,292)	$ (42,197)	$ 38,482
Northwest Pipeline Rocky Mountains And CIG Fixed Price Oils And Gas Swaps Contracts
Derivative [Line Items]
Fixed price swaps as buyer and seller (in MMBtu) \| MMBTU				12,500
Northwest Pipeline Rocky Mountains And CIG Fixed Price Oils And Gas Swaps Contracts \| Scenario, Forecast
Derivative [Line Items]
Gain on derivative			$ 2,600
Fixed Price Oil Swaps (Brent) \| Subsequent Event
Derivative [Line Items]
Fixed price swaps sold (in Bbls) \| bbl	3,000
Fixed price swaps sold (in dollars per barrel) \| $ / bbl	58

Derivatives - Derivative Transactions Resulting in Crude Oil Production and Gas Purchases Hedges (Details) - Scenario, Forecast MBbls in Thousands	3 Months Ended
	Dec. 31, 2021 MMBTU $ / bbl $ / MMBtu MBbls	Sep. 30, 2021 MMBTU $ / bbl $ / MMBtu MBbls	Jun. 30, 2021 MMBTU $ / bbl $ / MMBtu MBbls	Mar. 31, 2021 MMBTU $ / bbl $ / MMBtu MBbls
Fixed Price Oil Swaps (Brent)
Derivative [Line Items]
Hedged volume (MBbls) \| MBbls	1,042	1,042	1,728	1,710
Weighted-average price ($/Bbl) \| $ / bbl	46.17	46.17	45.82	45.82
Fixed Price Gas Purchase Swaps (Kern, Delivered)
Derivative [Line Items]
Hedged volume (MMBtu) \| MMBTU	2,085,000	4,830,000	4,777,500	4,950,000
Weighted-average price ($/MMBtu) \| $ / MMBtu	2.95	2.83	2.83	2.69

Derivatives - Fair Values (Gross and Net) of Outstanding Derivatives (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Derivative Liability [Abstract]
Total derivatives	$ (20,814)	$ 4,733
Commodity Contracts \| Current assets
Assets:
Gross Amounts Recognized at Fair Value	15,217	17,799
Gross Amounts Offset in the Balance Sheet	(12,710)	(8,633)
Net Fair Value Presented in the Balance Sheet	2,507	9,166
Commodity Contracts \| Non-current assets
Assets:
Gross Amounts Recognized at Fair Value		773
Gross Amounts Offset in the Balance Sheet		(248)
Net Fair Value Presented in the Balance Sheet		525
Commodity Contracts \| Current liabilities
Derivative Liability [Abstract]
Gross Amounts Recognized at Fair Value	(36,031)	(13,450)
Gross Amounts Offset in the Balance Sheet	12,710	8,633
Net Fair Value Presented in the Balance Sheet	$ (23,321)	(4,817)
Commodity Contracts \| Non-current liabilities
Derivative Liability [Abstract]
Gross Amounts Recognized at Fair Value		(389)
Gross Amounts Offset in the Balance Sheet		248
Net Fair Value Presented in the Balance Sheet		$ (141)

Derivatives - Gains and Losses of Derivatives Instruments in Statement of Operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Derivative [Line Items]
(Losses) gains on derivatives	$ 116,746	$ (44,955)	$ 1,735
Oil and gas
Derivative [Line Items]
(Losses) gains on derivatives	117,781	(37,998)	(4,621)
Natural gas sales
Derivative [Line Items]
(Losses) gains on derivatives	$ (1,035)	$ (6,957)	$ 6,357

Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments under contracts	$ 6.0
Office rent expense	$ 1.5	$ 1.5	$ 1.2

Commitments and Contingencies - Future Net Minimum Payments for Purchase Obligations and Operating Leases (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2020 USD ($) well
Operating lease obligations
2021	$ 1,863
2022	1,872
2023	1,778
2024	1,551
2025	1,551
Thereafter	2,491
Total	11,106
Total
2021	23,967
2022	19,160
2023	5,396
2024	1,551
2025	1,551
Thereafter	2,491
Total	54,116
Commitments under contracts	$ 6,000
Drilling commitment, number of wells \| well	97
Drilling commitment, estimated total cost	$ 29,000
Drilling commitment, number of wells required to be drilled by next fiscal year \| well	40
Drilling commitment, required to be paid next year	$ 12,000
Processing, transportation and storage contracts
Minimum purchase obligations
2021	4,104
2022	2,588
2023	1,218
2024	0
2025	0
Thereafter	0
Total	7,910
Other purchase obligations
Minimum purchase obligations
2021	18,000
2022	14,700
2023	2,400
2024	0
2025	0
Thereafter	0
Total	$ 35,100

Stockholders' Equity - Additional Information (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	2 Months Ended	3 Months Ended				12 Months Ended
	Apr. 30, 2020	Feb. 24, 2021	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	Feb. 28, 2017
Class of Stock [Line Items]
Common stock, shares authorized (in shares)			750,000,000				750,000,000	750,000,000		750,000,000
Common stock, par value (in dollars per share)			$ 0.001				$ 0.001	$ 0.001		$ 0.001
Preferred stock, shares authorized (in shares)										250,000,000
Preferred stock, par value (in dollars per share)										$ 0.001
Common stock, dividends paid (in dollars per share)	$ 0.12
Dividends paid on common stock							$ 19,463	$ 39,157	$ 7,365
Common stock, dividends declared (in dollars per share)			$ 0.12	$ 0.12	$ 0.12	$ 0.12	$ 0.12	$ 0.48	$ 0.21
Subsequent Event
Class of Stock [Line Items]
Common stock, dividends declared (in dollars per share)		$ 0.04

Stockholders' Equity - Common Stock (Narrative) (Details) $ in Millions		12 Months Ended
	Feb. 28, 2017 vote shares	Dec. 31, 2019 USD ($)	Mar. 31, 2019 shares
Class of Stock [Line Items]
Common stock reserved to settle claims of unsecured creditors (in shares)	7,080,000
Shares issued to settle claims (in shares)			2,770,000
Payments for repurchase of common stock, subject to claims \| $		$ 20
Number of voting rights per share \| vote	1
Common Stock
Class of Stock [Line Items]
Issuance of shares (in shares)	32,920,000

Stockholders' Equity - Preferred Stock (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended	12 Months Ended
	Jul. 26, 2018	Feb. 28, 2017	Jul. 31, 2018	Dec. 31, 2018	Dec. 31, 2020	Dec. 31, 2019
Class of Stock [Line Items]
Issuance of common stock in initial public offering				$ 133,805
Preferred shares outstanding (in shares)					0	0
Preferred stock, dividend rate		6.00%
Preferred stock, dividends declared (in dollars per share)				$ 0.308
Preferred stock, cash dividend				$ 11,300
Series A Preferred Stock
Class of Stock [Line Items]
Issuance of shares (in shares)		35,845,001
Issuance of common stock in initial public offering		$ 335,000
Conversion of Series A to Common Shares
Class of Stock [Line Items]
Number of shares converted (in shares)	37,700,000		37,700,000
Common shares issued on conversion (in shares)	39,600,000		39,600,000

Stockholders' Equity - Initial Public Offering of Common Stock (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended		12 Months Ended
	Jul. 26, 2018	Jul. 17, 2018	Jul. 31, 2018	Jun. 30, 2018	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Subsidiary, Sale of Stock [Line Items]
Net proceeds from IPO					$ 0	$ 0	$ 133,805
Preferred dividend paid (in dollars per share)				$ 0.15
Conversion of Series A to Common Shares
Subsidiary, Sale of Stock [Line Items]
Number of shares converted (in shares)	37,700,000		37,700,000
Common shares issued on conversion (in shares)	39,600,000		39,600,000
Right to receive cash payment per share (in dollars per share)	$ 1.75
Right to receive cash payment less paid dividends per share (in dollars per share)	$ 1.60
Cash payment for conversion of preferred shares	$ 60,000
Common Stock \| Conversion of Series A to Common Shares
Subsidiary, Sale of Stock [Line Items]
Number of shares converted per each share of preferred stock (in shares)	1.05
Series A Preferred Stock Conversion and Common Stock Offering
Subsidiary, Sale of Stock [Line Items]
Net proceeds from IPO	$ 110,000
Increase in common stock outstanding (in shares)	8,695,653	8,695,653
Sale of stock, price per share (in dollars per share)	$ 14.00
Cash payment for conversion of preferred shares	$ 60,000
Sale of stock, consideration received	$ 27,000		$ 27,000
Reduction in income available to common stockholders							$ 87,000
Over-allotment option
Subsidiary, Sale of Stock [Line Items]
Sale of stock, price per share (in dollars per share)	$ 14.00
Sale of stock, underwriter option to purchase additional shares (in shares)	1,900,000		1,900,000

Stockholders' Equity - Shares Outstanding (Narrative) (Details) - shares	Dec. 31, 2020	Dec. 31, 2019
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	79,929,335	79,542,976
2017 Omnibus Incentive Plan
Class of Stock [Line Items]
Common stock, shares outstanding (in shares)	79,929,335
Unvested restricted stock units and performance restricted stock units outstanding (in shares)	4,520,989

Stockholders' Equity - Stock Repurchase Program (Narrative) (Details) - USD ($)	1 Months Ended	12 Months Ended			24 Months Ended
	Feb. 29, 2020	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2019
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased (in shares)		0	5,057,682	5,057,682
Average price of shares repurchased (in dollars per share)			$ 9.88	$ 9.88
Repurchase of stock			$ 46,042,000	$ 3,953,000	$ 50,000,000
Stock Repurchase Program
Equity, Class of Treasury Stock [Line Items]
Authorized amount of repurchases	$ 100,000,000			100,000,000
Authorized current repurchases	$ 50,000,000
Stock Repurchase Program, Current Repurchases Authorized
Equity, Class of Treasury Stock [Line Items]
Authorized amount of repurchases				$ 50,000,000

Stockholders' Equity - Stock-Based Compensation (Narrative) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	Jun. 27, 2018	Feb. 28, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares reserved for future issuance (in shares)					7,080,000
Allocated share-based compensation expense	$ 15,000,000	$ 9,000,000	$ 7,000,000
Tax benefit from compensation expense	$ 0	$ 0	$ 1,500,000
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Unrecognized compensation costs	$ 9,000,000
Unrecognized compensation cost, weighted average period of recognition	2 years
Performance-based Restricted Stock Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation costs	$ 14,000,000
Unrecognized compensation cost, weighted average period of recognition	2 years
Restated Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares reserved for future issuance (in shares)				10,000,000
Number of shares available for grant (in shares)	4,395,440
Minimum \| Performance-based Restricted Stock Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	2 years
Vesting rights percentage	0.00%
Maximum \| Performance-based Restricted Stock Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Vesting rights percentage	200.00%

Stockholders' Equity - RSUs and PRUs Activity (Details) - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Restricted Stock Units (RSUs)
Number of shares
Outstanding, beginning of period (in shares)	1,014
Granted (in shares)	1,850
Vested (in shares)	(595)
Forfeited (in shares)	(330)
Outstanding, end of period (in shares)	1,939	1,014
Weighted-average Grant Date Fair Value
Outstanding, beginning of period (in dollars per share)	$ 12.05
Granted (in dollars per share)	6.32
Vested (in dollars per share)	11.16
Forfeited (in dollars per share)	8.14
Outstanding, end of period (in dollars per share)	$ 7.52	$ 12.05
Performance-based Restricted Stock Units (PSUs)
Number of shares
Outstanding, beginning of period (in shares)	798
Granted (in shares)		1,328
Vested (in shares)		(5)
Forfeited (in shares)		(469)
Outstanding, end of period (in shares)	1,652	798
Weighted-average Grant Date Fair Value
Outstanding, beginning of period (in dollars per share)	$ 10.77
Granted (in dollars per share)		$ 15.89
Vested (in dollars per share)		11.33
Forfeited (in dollars per share)		11.20
Outstanding, end of period (in dollars per share)	$ 14.77	$ 10.77

Stockholders' Equity - Use of IPO Proceeds (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended	12 Months Ended
	Jul. 26, 2018	Jul. 17, 2018	Feb. 28, 2018	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Subsidiary, Sale of Stock [Line Items]
Net proceeds from IPO				$ 0	$ 0	$ 133,805
Payment to the holders of claims under the Pre-Emergence Credit Facility				$ 230,750	$ 353,282	$ 582,510
Series A Preferred Stock Conversion and Common Stock Offering
Subsidiary, Sale of Stock [Line Items]
Net proceeds from IPO	$ 110,000
Net proceeds received	$ 60,000
Issuance of shares of common stock in the IPO (in shares)	8,695,653	8,695,653
Sale of stock, price per share (in dollars per share)	$ 14.00
Additional shares sold directly by the selling shareholders
Subsidiary, Sale of Stock [Line Items]
Number of shares sold (in shares)		2,545,630
Sale of stock, price per share (in dollars per share)		$ 14.00
Line of credit \| RBL Facility
Subsidiary, Sale of Stock [Line Items]
Payment to the holders of claims under the Pre-Emergence Credit Facility	$ 105,000		$ 379,000
Oaktree Capital Management and Benefit Street Partners Stock Purchase Agreements \| Oaktree Capital Management And Benefit Street Partners
Subsidiary, Sale of Stock [Line Items]
Number of shares purchased (in shares)		1,802,196
Net proceeds from the IPO to purchase shares of common stock from certain stockholders		$ 24,000
Oaktree Capital Management and Benefit Street Partners Stock Purchase Agreements \| Oaktree Capital Management
Subsidiary, Sale of Stock [Line Items]
Number of shares purchased (in shares)		410,229
Oaktree Capital Management and Benefit Street Partners Stock Purchase Agreements \| Benefit Street Partners
Subsidiary, Sale of Stock [Line Items]
Number of shares purchased (in shares)		1,391,967

Defined Contribution Plan (Details) - USD ($) $ in Millions	1 Months Ended	6 Months Ended	12 Months Ended
Defined Contribution Plan (Details) - USD ($) $ in Millions	Jan. 31, 2021	Jun. 30, 2020	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Defined contribution plan, matching contribution, percentage of employee's gross pay (up to)		6.00%
Defined contribution plan, cost			$ 1.0	$ 1.7	$ 1.4
Subsequent Event
Subsequent Event [Line Items]
Defined contribution plan, matching contribution percentage	100.00%
Defined contribution plan, matching contribution, percentage of employee's gross pay (up to)	3.00%

Income Taxes - Narrative (Details) - USD ($)	12 Months Ended
Income Taxes - Narrative (Details) - USD ($)	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Components Of Income Tax Expense (Benefit) [Line Items]
Valuation allowance	$ 77,923,000	$ 0
Effective tax rate	2.80%	(522.90%)	22.60%
Income tax expense (benefit)	$ (7,218,000)	$ (36,550,000)	$ 43,035,000
Prior year - change	13,892,000
Unrecognized tax benefits, accrued penalties or interest expense	0
Domestic
Components Of Income Tax Expense (Benefit) [Line Items]
Net operating loss carryforwards	96,000,000
Domestic \| General Business Tax Credit Carryforward
Components Of Income Tax Expense (Benefit) [Line Items]
Tax credit carryforwards	51,000,000
Domestic \| State Tax Credit Carryforward
Components Of Income Tax Expense (Benefit) [Line Items]
Income tax expense (benefit)	(11,000,000)
State and Local Jurisdiction
Components Of Income Tax Expense (Benefit) [Line Items]
Net operating loss carryforwards	20,000,000
State and Local Jurisdiction \| State Tax Credit Carryforward
Components Of Income Tax Expense (Benefit) [Line Items]
Tax credit carryforwards	$ 14,000,000

Income Taxes - Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Current taxes:
Federal	$ 0	$ 0	$ (465)
State	828	227	(446)
Total current taxes	828	227	(911)
Deferred taxes:
Federal	2,653	(36,756)	33,227
State	(10,699)	(21)	10,719
Total deferred taxes	(8,046)	(36,777)	43,946
Total current and deferred taxes	$ (7,218)	$ (36,550)	$ 43,035

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Income Taxes - Reconciliation of the Federal Statutory Tax Rate to the Effective Tax Rate (Details)	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Federal statutory rate	21.00%	21.00%	21.00%
State, net of federal tax benefit	6.30%	8.90%	6.30%
Effect of permanent differences	(0.60%)	0.20%	(0.60%)
Tax credits - Prior Year	4.90%	(546.40%)	0.00%
Tax credits - Current Year	1.10%	0.00%	0.00%
State return to provision	(1.10%)	(6.60%)	0.00%
Change in valuation allowance	(28.80%)	0.00%	(4.10%)
Effective tax rate	2.80%	(522.90%)	22.60%

Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Deferred tax assets:
Net operating loss carryforwards	$ 21,205	$ 14,542
Accruals	14,208	12,218
Asset retirement obligations	43,518	41,382
Derivative instruments	5,654	0
Tax credits	62,058	47,803
Interest limitation carryforward	0	13,892
Other	4,946	5,154
Subtotal	151,589	134,991
Valuation allowance	(77,923)	0
Total deferred tax assets	73,666	134,991
Deferred tax liabilities:
Book tax differences in property basis	(74,677)	(143,896)
Derivative instruments	0	(152)
Total deferred tax liabilities	(74,677)	(144,048)
Net deferred tax liability	$ (1,011)	$ (9,057)

Income Taxes - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Unrecognized tax benefits - January 1	$ 13,892	$ 0
Prior year - change	(13,892)
Prior year - change		6,720
Current year - change	0	7,172
Unrecognized tax benefits - December 31	$ 0	$ 13,892

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows - Other Current Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prepaid expenses	$ 3,592	$ 4,577
Materials and supplies	11,666	10,544
Oil inventories	3,490	3,432
Other	652	846
Total other current assets	$ 19,400	$ 19,399

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Deferred financing costs, non-current, net of amortization	$ 7,000	$ 11,000
Greenhouse gas liability, noncurrent	0	33,000
Other operating expense (income)	$ 5,781	$ 4,588	$ (2,747)

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows - Schedule of Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accounts payable-trade	$ 11,055	$ 13,986
Accrued expenses	43,452	57,078
Royalties payable	15,150	25,385
Greenhouse gas liability - current portion	35,554	0
Taxes other than income tax liability	10,118	9,150
Accrued interest	10,783	10,500
Dividends payable	0	9,888
Asset retirement obligation - current portion	25,000	25,208
Other	873	616
Total accounts payable and accrued expenses	$ 151,985	$ 151,811

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Supplemental Disclosures of Significant Non-Cash Operating Activities:
Greenhouse gas liability - reclassification from long-term to current liability	$ 33,376	$ 0	$ 0
Supplemental Disclosures of Significant Non-Cash Investing Activities:
Material inventory transfers to oil and natural gas properties	1,596	10,056	2,371
Supplemental Disclosures of Cash Payments (Receipts):
Interest, net of amounts capitalized	29,962	30,720	19,761
Income taxes payments (refunds)	222	(2)	(1,901)
Reorganization items, net	$ 0	$ 0	$ 832

Supplemental Disclosures to the Balance Sheets and Statements of Cash Flows - Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Cash and cash equivalents	$ 80,557	$ 0	$ 68,680	$ 33,905
Restricted cash	0	0	0	34,833
Cash, cash equivalents and restricted cash	$ 80,557	$ 0	$ 68,680	$ 68,738

Acquisitions and Divestitures (Details)		1 Months Ended		3 Months Ended		12 Months Ended
Acquisitions and Divestitures (Details)	Nov. 30, 2018 USD ($)	May 31, 2020 USD ($) a	Apr. 30, 2018 USD ($) a well lease $ / bbl	Dec. 31, 2020 USD ($)	Sep. 30, 2018 MBoe	Dec. 31, 2020 USD ($) well	Dec. 31, 2019 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Asset retirement obligation, liabilities incurred		$ 6,000,000				$ 5,919,000	$ 11,534,000
Payments to acquire property							$ 2,900,000
Drilling commitment, number of wells \| well						97
Chevron North Midway-Sunset Acquisition
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Area of land acquired (in acres) \| a		740
Consideration transferred in acquisition		$ 5,000,000	$ 0
Payments to acquire business		$ 2,000,000
Payment for contingent consideration liability				$ 3,000,000
Number of leases acquired \| lease			2
Area of land acquired in lease (in acres) \| a			214
Drilling commitment assumed			$ 35,000,000
Drilling commitment, number of wells \| well			115
Drilling commitment, number of wells drilled \| well						18
Oil and gas delivery commitments, consecutive period for which price not met which will incur a toll			30 days
Oil and gas delivery commitments, fixed price to be met, less than (in dollars per barrel) \| $ / bbl			45
McKittrick Field
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Area of land acquired (in acres) \| a		267
East Texas operating area
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from sale of non-core oil and gas properties	$ 7,000,000
Gains on sale of assets and other, net	$ 4,000,000
Daily production (Mboe) \| MBoe					0.7

Earnings Per Share - Narrative (Details) - USD ($) $ in Thousands			1 Months Ended	12 Months Ended
	Jul. 26, 2018	Feb. 28, 2017	Jul. 31, 2018	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018	Mar. 31, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Common stock reserved to settle claims of unsecured creditors (in shares)		7,080,000				7,080,000
Shares issued to settle claims (in shares)							2,770,000
Series A preferred stock dividends and conversion to common stock			$ 87,000	$ 0	$ 0	$ 97,942
Cash payment to preferred stockholders			60,000	$ 0	$ 0	$ 60,273
Incremental common shares attributable to dilutive effect of preferred stock (in shares)				0	0	0
Series A Preferred Stock Conversion and Common Stock Offering
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Sale of stock, consideration received	$ 27,000		$ 27,000
Over-allotment option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Additional common shares received by preferred stockholders (in shares)	1,900,000		1,900,000
Restricted Stock Units (RSUs) and Performance-based Restricted Stock Units (PSUs)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental common shares attributable to dilutive effect of preferred stock (in shares)				0
Incremental common shares attributable to dilutive effect of share-based payment arrangements (in shares)					572,000
Restricted Stock Units (RSUs)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental common shares attributable to dilutive effect of share-based payment arrangements (in shares)						189,000
Performance-based Restricted Stock Units (PSUs)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental common shares attributable to dilutive effect of share-based payment arrangements (in shares)						0
Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Issuance of shares (in shares)		32,920,000

Earnings Per Share - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		1 Months Ended	12 Months Ended
	Feb. 28, 2017	Jul. 31, 2018	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Basic EPS calculation
Net (loss) income			$ (262,895)	$ 43,539	$ 147,102
less: Series A Preferred Stock dividends and conversion to common stock		$ (87,000)	0	0	(97,942)
Net (loss) income attributable to common stockholders			$ (262,895)	$ 43,539	$ 49,160
Weighted-average shares of common stock outstanding (in shares)			79,802	81,379	57,743
Basic (loss) earnings per share (in dollars per share)			$ (3.29)	$ 0.54	$ 0.85
Diluted EPS calculation
Net (loss) income			$ (262,895)	$ 43,539	$ 147,102
less: Series A Preferred Stock dividends and conversion to common stock		$ (87,000)	0	0	(97,942)
Net (loss) income attributable to common stockholders			$ (262,895)	$ 43,539	$ 49,160
Weighted-average shares of common stock outstanding (in shares)			79,802	81,379	57,743
Dilutive effect of potentially dilutive securities (in shares)			0	572	189
Weighted-average common shares outstanding - diluted (in shares)			79,802	81,951	57,932
Diluted (loss) earnings per share (in dollars per share)			$ (3.29)	$ 0.53	$ 0.85
Common stock reserved to settle claims of unsecured creditors (in shares)	7,080				7,080
Restricted Stock Units (RSUs) and Performance-based Restricted Stock Units (PSUs)
Diluted EPS calculation
Potentially dilutive securities (in shares)			101
Scenario, Adjustment
Basic EPS calculation
Weighted-average shares of common stock outstanding (in shares)				2,770
Diluted EPS calculation
Weighted-average shares of common stock outstanding (in shares)				2,770

Revenue Recognition - Narrative (Details)	12 Months Ended
Revenue Recognition - Narrative (Details)	Dec. 31, 2020 cogeneration_facility utility_company
Revenue from Contract with Customer [Abstract]
Payment term (within)	30 days
Number of cogeneration facilities selling majority of electric output not used in operations \| cogeneration_facility	3
Number of utility companies under long term contract to buy electrical output \| utility_company	2

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Disaggregation of Revenue [Line Items]
Revenues and other	$ 406,052	$ 597,403	$ 591,178
(Losses) gains on derivatives	116,746	(44,955)	1,735
Total revenues and other	523,833	559,405	586,557
Oil sales
Disaggregation of Revenue [Line Items]
Revenues and other	362,976	543,634	520,979
Natural gas sales
Disaggregation of Revenue [Line Items]
Revenues and other	14,041	19,391	26,244
(Losses) gains on derivatives	(1,035)	(6,957)	6,357
Natural gas liquids sales
Disaggregation of Revenue [Line Items]
Revenues and other	1,646	2,571	5,651
Electricity sales
Disaggregation of Revenue [Line Items]
Revenues and other	25,813	29,397	35,208
Marketing revenues
Disaggregation of Revenue [Line Items]
Revenues and other	1,426	2,094	2,322
Other revenues
Disaggregation of Revenue [Line Items]
Revenues and other	150	316	774
Oil and gas
Disaggregation of Revenue [Line Items]
Revenues and other	378,663	565,596	552,874
(Losses) gains on derivatives	$ 117,781	$ (37,998)	$ (4,621)

Emergence from Voluntary Reorganization under Chapter 11 - Narrative (Details) - USD ($) $ in Millions	Mar. 31, 2019	Feb. 28, 2017
Reorganization Items [Line Items]
Bankruptcy claims, common shares available to unsecured creditors (in shares)		7,080,000
Shares issued to settle claims (in shares)	2,770,000
Common stock, shares reserved for future issuance (in shares)		7,080,000
LINN Energy
Reorganization Items [Line Items]
General unsecured claims settled		$ 25

Emergence from Voluntary Reorganization under Chapter 11 - Schedule of Reorganization Items (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Reorganizations [Abstract]
Return of undistributed funds from cash distribution pool	$ 0	$ 0	$ 22,855
Gains on resolution of pre-emergence liabilities and claims	0	0	3,713
Legal and other professional advisory fees	0	(426)	(3,083)
Other	0	0	1,205
Reorganization items, net	$ 0	$ (426)	$ 24,690