Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.22.1
Leases
3 Months Ended
Mar. 31, 2022
Leases  
Leases

7.Leases

In the normal course of business, we enter into operating lease agreements to support our operations. Our leased assets include right-of-way easements for our wells and facilities, office space and other assets. We currently have no finance leases.

Balance Sheet Information

The following table provides supplemental consolidated balance sheet information related to leases at March 31, 2022:

(in thousands)

Classification

March 31, 2022

Assets

Right-of-Use Assets

Consolidated Balance Sheet

$

7,002

Liabilities

Current Lease Liabilities

Other Current Liabilities

1,092

Noncurrent Lease Liabilities

Other Long-Term Liabilities

5,398

Statement of Operations Information

The following table provides the components of lease cost, excluding lease cost related to short-term leases, for the three months ended March 31, 2022:

Three Months Ended

(in thousands)

March 31, 2022

Direct Operating Costs

$

220

General and Administrative

167

Total Lease Cost

$

387

Short-Term Leases

Our short-term lease cost was $1.8 million for the three months ended March 31, 2022, which consisted primarily of field equipment rentals.

Cash Flow Information

The following table summarizes supplemental cash flow information related to leases for the three months ended March 31, 2022:

(in thousands)

March 31, 2022

Cash Paid for Amounts Included in Measurement of Lease Liabilities

$

272

Reduction in Right-of-Use Assets and Lease Liabilities Due to Lease Agreement Modifications

(613)

Lease Terms and Discount Rates

The following table provides lease terms and discount rates related to leases at March 31, 2022:

March 31, 2022

Weighted Average Remaining Lease Term (Years)

6.5

Weighted Average Discount Rate

2.85%

Annual Lease Maturities

The following table provides maturities of lease liabilities at March 31, 2022:

(in thousands)

2022

$

949

2023

1,013

2024

924

2025

686

2026

611

Thereafter

3,046

Total Lease Payments

7,229

Less: Interest

(739)

Present Value of Lease Liabilities

$

6,490

Future Minimum Lease Commitments

Future minimum lease commitments under non-cancellable leases at December 31, 2021 were as follows:

(in thousands)

2022

$

824

2023

638

2024

622

2025

514

2026

438

Thereafter

816

Total

$

3,852