VAALCO Energy, Inc. Quarterly report pursuant to Section 13 or 15(d)

Note 4 - Segment Information (Tables)

6 Months Ended

Jun. 30, 2022

	*Three Months Ended June 30, 2022*
*(in thousands)*	*Gabon*			*Equatorial Guinea*			*Corporate and Other*			*Total*
Revenues:
Crude oil and natural gas sales	$	110,985		$	—		$	—		$	110,985
Operating costs and expenses:
Production expense		25,360			175			(60	)		25,475
Exploration expense		67			—			—			67
Depreciation, depletion and amortization		8,173			—			18			8,191
General and administrative expense		565			110			2,859			3,534
Bad debt expense and other		571			—			—			571
Total operating costs and expenses		34,736			285			2,817			37,838
Other operating expense, net		—			—			—			—
Operating income		76,249			(285	)		(2,817	)		73,147
Other income (expense):
Derivative instruments loss, net		—			—			(9,542	)		(9,542	)
Interest (expense) income, net		(158	)		—			40			(118	)
Other (expense) income, net		(856	)		(1	)		(1,254	)		(2,111	)
Total other expense, net		(1,014	)		(1	)		(10,756	)		(11,771	)
Income from continuing operations before income taxes		75,235			(286	)		(13,573	)		61,376
Income tax (benefit) expense		36,423			1			9,828			46,252
Income from continuing operations		38,812			(287	)		(23,401	)		15,124
Loss from discontinued operations, net of tax		—			—			(20	)		(20	)
Net income	$	38,812		$	(287	)	$	(23,421	)	$	15,104
Consolidated capital expenditures	$	38,102		$	—		$	67		$	38,169

	*Six Months Ended June 30, 2022*
*(in thousands)*	*Gabon*			*Equatorial Guinea*			*Corporate and Other*			*Total*
Revenues:
Crude oil and natural gas sales	$	179,641		$	—		$	—		$	179,641
Operating costs and expenses:
Production expense		43,441			394			—			43,835
Exploration expense		194			—			—			194
Depreciation, depletion and amortization		12,826			—			38			12,864
General and administrative expense		1,158			209			7,161			8,528
Bad debt expense and other		1,063			—			—			1,063
Total operating costs and expenses		58,682			603			7,199			66,484
Other operating expense, net		(5	)		—			—			(5	)
Operating income		120,954			(603	)		(7,199	)		113,152
Other income (expense):
Derivative instruments loss, net		—			—			(41,300	)		(41,300	)
Interest (expense) income, net		(164	)		—			43			(121	)
Other (expense) income, net		(1,494	)		(2	)		(1,311	)		(2,807	)
Total other expense, net		(1,658	)		(2	)		(42,568	)		(44,228	)
Income from continuing operations before income taxes		119,296			(605	)		(49,767	)		68,924
Income tax (benefit) expense		49,256			1			(7,633	)		41,624
Income from continuing operations		70,040			(606	)		(42,134	)		27,300
Loss from discontinued operations, net of tax		—			—			(32	)		(32	)
Net income	$	70,040		$	(606	)	$	(42,166	)	$	27,268
Consolidated capital expenditures	$	69,882		$	—		$	67		$	69,949

	*Three Months Ended June 30, 2021*
*(in thousands)*	*Gabon*			*Equatorial Guinea*			*Corporate and Other*			*Total*
Revenues:
Crude oil and natural gas sales	$	47,023		$	—		$	—		$	47,023
Operating costs and expenses:
Production expense		16,378			32			9			16,419
Exploration expense		665			—			—			665
Depreciation, depletion and amortization		5,786			—			24			5,810
General and administrative expense		254			70			4,410			4,734
Bad debt expense and other		395			—			—			395
Total operating costs and expenses		23,478			102			4,443			28,023
Other operating expense, net		(126	)		—			—			(126	)
Operating income		23,419			(102	)		(4,443	)		18,874
Other income (expense):
Derivative instruments loss, net		—			—			(9,969	)		(9,969	)
Interest (expense) income, net		—			—			1			1
Other (expense) income, net		(156	)		1			(9	)		(164	)
Total other expense, net		(156	)		1			(9,977	)		(10,132	)
Income from continuing operations before income taxes		23,263			(101	)		(14,420	)		8,742
Income tax (benefit) expense		6,045			—			(3,220	)		2,825
Income from continuing operations		17,218			(101	)		(11,200	)		5,917
Loss from discontinued operations, net of tax		—			—			(33	)		(33	)
Net income	$	17,218		$	(101	)	$	(11,233	)	$	5,884
Consolidated capital expenditures ⁽¹⁾	$	1,782		$	—		$	—		$	1,782

	*Six Months Ended June 30, 2021*
*(in thousands)*	*Gabon*			*Equatorial Guinea*			*Corporate and Other*			*Total*
Revenues:
Crude oil and natural gas sales	$	86,797		$	—		$	—		$	86,797
Operating costs and expenses:
Production expense		32,511			32			9			32,552
Exploration expense		807			—			—			807
Depreciation, depletion and amortization		9,907			—			51			9,958
General and administrative expense		491			202			8,588			9,281
Bad debt expense and other		496			—			—			496
Total operating costs and expenses		44,212			234			8,648			53,094
Other operating expense, net		(133	)		—			(353	)		(486	)
Operating income		42,452			(234	)		(9,001	)		33,217
Other income (expense):
Derivative instruments loss, net		—			—			(15,923	)		(15,923	)
Interest (expense) income, net		—			—			6			6
Other (expense) income, net		7,172			(1	)		(2,755	)		4,416
Total other expense, net		7,172			(1	)		(18,672	)		(11,501	)
Income from continuing operations before income taxes		49,624			(235	)		(27,673	)		21,716
Income tax (benefit) expense		9,479			1			(3,569	)		5,911
Income from continuing operations		40,145			(236	)		(24,104	)		15,805
Loss from discontinued operations, net of tax		—			—			(52	)		(52	)
Net income	$	40,145		$	(236	)	$	(24,156	)	$	15,753
Consolidated capital expenditures ⁽¹⁾	$	4,297		$	—		$	—		$	4,297

*(in thousands)*	*Gabon*		*Equatorial Guinea*		*Corporate and Other*		*Total*
Long-lived assets from continuing operations:
As of June 30, 2022	$	141,522	$	10,000	$	196	$	151,718
As of December 31, 2021	$	84,156	$	10,000	$	168	$	94,324

*(in thousands)*	*Gabon*		*Equatorial Guinea*		*Corporate and Other*		*Total*
Total assets from continuing operations:
As of June 30, 2022	$	291,730	$	10,927	$	66,907	$	369,564
As of December 31, 2021	$	201,748	$	10,548	$	50,794	$	263,090