As of December 31,



2016

2015

Deferred tax asset

   Federal net operating loss carryforward (a)

$

$

   Statutory depletion carryforward

   Alternative minimum tax credit carryforward

   Asset retirement obligations

   Derivatives

—

   Unvested RSU equity awards

   Other

      Deferred tax asset before valuation allowance

Deferred tax liability

   Oil and natural gas properties

   Derivatives

—

   Other

—

      Total deferred tax liability

Net deferred tax asset before valuation allowance

   Less: Valuation allowance

Net deferred tax liability

$

$

—

(a)

The Company’s $135,711 deferred tax asset related to NOL carryforwards is net of $9,288 of unrealized excess tax benefits related to stock based compensation.





For the Year Ended December 31,

Components of income tax rate reconciliation

2016

2015

2014

   Income tax expense computed at the statutory federal income tax rate

   Percentage depletion carryforward

—%

—%

—%

   State taxes net of federal benefit

—%

   Restricted stock and stock options

—%

—%

—%

   Section 162(m)

(1)%

(1)%

   Valuation allowance

(34)%

(54)%

—%

Effective income tax rate

—%

(19)%





For the Year Ended December 31,

Components of income tax expense

2016

2015

2014

   Current federal income tax benefit

$

$

—

$

—

   Current state income tax expense

—

—

—

   Deferred federal income tax (benefit) expense

—

   Deferred state income tax (benefit) expense

   Valuation allowance

—

—

Total income tax expense

$

$

$