Quarterly report pursuant to Section 13 or 15(d)

Significant Accounting Policies (Policies)

v3.23.3
Significant Accounting Policies (Policies)
 9 Months Ended
Sep. 30, 2023
Accounting Policies [Abstract]  
Credit Loss, Financial Instrument [Policy Text Block]

Allowance for credit losses and other – On January 1, 2023, the Company adopted Accounting Standards Update 2016-13, Financial Instruments—Credit Losses (“ASU 2016-13”). ASU 2016-13 requires an entity to measure credit losses of certain financial assets, including trade receivables, utilizing a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to form credit loss estimates. 

 

The Company estimates the current expected credit losses based primarily using either an aging analysis or discounted cash flow methodology that incorporates consideration of current and future conditions that could impact its counterparties’ credit quality and liquidity. Uncollectible receivables are written off when a settlement is reached for an amount that is less than the outstanding historical balance or when the Company has determined that the balance will not be collected.

 

The following table provides an analysis of the change of the aggregate credit loss allowance and other allowances.

 

   

Three Months Ended September 30,

    

Nine Months Ended September 30,

  
   

2023

    

2022

    

2023

    

2022

  
   

(in thousands)

  

Allowance for credit losses and other

                                

Balance at beginning of period

   $ (13,519 )   $ (6,389 )   $ (8,704 )   $ (5,741 )

Credit loss charges and other, net of receipts

     (822 )     (1,020 )     (2,437 )     (2,083 )

Cumulative effect of adjustment upon adoption of ASU 2016-13 on January 1, 2023

     —       —       (3,120 )     —  

Foreign currency gain (loss)

     238       355       158       770  

Balance at end of period

   $ (14,103 )   $ (7,054 )   $ (14,103 )   $ (7,054 )

 
Prepayments and Other [Policy Text Block]

Prepayments and Other – Included in “Prepayments and other” line item of the Company’s September 30, 2023 condensed consolidated balance sheet are $2.3 million of prepayments related to fixed assets, $4.3 million of prepayments related to royalties in Gabon, $1.0 million in Gabon and corporate prepaid insurance, $1.2 million in short-term employees loans and advances to Gabon employees, $4.0 million in Egyptian advances to contractors, and $3.3 million in other prepaid items. 

 
Fair Value of Financial Instruments, Policy [Policy Text Block]

Fair value of financial instruments

 

     

As of September 30, 2023

  
 

Balance Sheet Line

  

Level 1

    

Level 2

    

Level 3

    

Total

  
     

(in thousands)

  

Assets

                                  

Derivative asset

Prepayments and other

   $ —     $ —     $ —     $ —  
      $ —     $ —     $ —     $ —  

Liabilities

                                  

SARs liability

Accrued liabilities and other

   $ —     $ 239     $ —     $ 239  

Derivative liability

Accrued liabilities and other

     —       2,162       —       2,162  
      $ —     $ 2,401     $ —     $ 2,401  

 

`

      

As of December 31, 2022

  
   

Balance Sheet Line

  

Level 1

    

Level 2

    

Level 3

    

Total

  
       

(in thousands)

  

Assets

                                    

Derivative asset

  

Prepayments and other

   $ —     $ 102     $ —     $ 102  
      $ —     $ 102     $ —     $ 102  

Liabilities

                                    

SARs liability

  

Accrued liabilities and other

   $ —     $ 556     $ —     $ 556  
      $ —     $ 556     $ —     $ 556