Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 02, 2020 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-38870 | |
Entity Registrant Name | Brigham Minerals, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 83-1106283 | |
Entity Address, Address Line One | 5914 W. Courtyard Drive | |
Entity Address, Address Line Two | Suite 200 | |
Entity Address, City or Town | Austin | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 78730 | |
City Area Code | 512 | |
Local Phone Number | 220-6350 | |
Title of 12(b) Security | Class A common stock, par value $0.01 | |
Trading Symbol | MNRL | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0001745797 | |
Current Fiscal Year End Date | --12-31 | |
Class A Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 43,315,863 | |
Class B Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 13,167,687 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 8,182 | $ 51,133 |
Restricted cash | 338 | 0 |
Accounts receivable | 19,680 | 30,291 |
Prepaid expenses and other | 2,464 | 1,688 |
Total current assets | 30,664 | 83,112 |
Non-current assets: | ||
Unevaluated property | 318,693 | 291,664 |
Evaluated property | 472,687 | 449,061 |
Less accumulated depreciation, depletion, and amortization | (116,532) | (61,103) |
Total oil and gas properties, net | 674,848 | 679,622 |
Other property and equipment | 5,435 | 5,095 |
Less accumulated depreciation | (4,570) | (3,703) |
Other property and equipment, net | 865 | 1,392 |
Deferred tax asset | 16,750 | 18,823 |
Other assets, net | 825 | 1,213 |
Total assets | 723,952 | 784,162 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 7,423 | 11,533 |
Total current liabilities | 7,423 | 11,533 |
Long-term bank debt | 5,000 | 0 |
Other non-current liabilities | 1,813 | 803 |
Temporary equity | 127,182 | 454,507 |
Shareholders' equity: | ||
Preferred stock, $0.01 par value; 50,000,000 authorized; no shares issued and outstanding at September 30, 2020 and December 31, 2019 | 0 | 0 |
Additional paid-in capital | 633,634 | 323,578 |
Accumulated deficit | (48,011) | (6,599) |
Treasury stock, at cost; 436,630 shares at September 30, 2020 and no shares at December 31, 2019 | (3,527) | 0 |
Total shareholders' equity attributable to Brigham Minerals, Inc. | 582,534 | 317,319 |
Total liabilities and shareholders' equity | 723,952 | 784,162 |
Class A Common Stock | ||
Shareholders' equity: | ||
Common stock | 438 | 340 |
Class B Common Stock | ||
Shareholders' equity: | ||
Common stock | $ 0 | $ 0 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Treasury stock (in shares) | 436,630 | 0 |
Class A Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 |
Common stock, shares issued (in shares) | 43,752,493 | 34,040,934 |
Common stock, shares outstanding (in shares) | 43,315,863 | 34,040,934 |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 150,000,000 | 150,000,000 |
Common stock, shares issued (in shares) | 13,167,687 | 22,847,045 |
Common stock, shares outstanding (in shares) | 13,167,687 | 22,847,045 |
Condensed Consolidated and Comb
Condensed Consolidated and Combined Statement of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
REVENUES | ||||
Total revenues | $ 23,078 | $ 25,107 | $ 67,963 | $ 67,901 |
OPERATING EXPENSES | ||||
Gathering, transportation and marketing | 1,702 | 1,113 | 5,106 | 3,750 |
Severance and ad valorem taxes | 1,393 | 1,377 | 4,179 | 4,206 |
Depreciation, depletion, and amortization | 11,801 | 8,434 | 35,827 | 20,310 |
Impairment of oil and gas properties | 18,905 | 0 | 18,905 | 0 |
General and administrative | 5,162 | 5,068 | 16,562 | 16,779 |
Total operating expenses | 38,963 | 15,992 | 80,579 | 45,045 |
(LOSS) INCOME FROM OPERATIONS | (15,885) | 9,115 | (12,616) | 22,856 |
Gain (loss) on derivative instruments, net | 0 | 91 | 0 | (521) |
Interest expense, net | (118) | (65) | (695) | (5,160) |
Loss on extinguishment of debt | 0 | 0 | 0 | (6,933) |
Other income, net | 4 | 130 | 29 | 165 |
(Loss) income before income taxes | (15,999) | 9,271 | (13,282) | 10,407 |
Income tax (benefit) expense | (2,982) | 807 | (2,250) | 1,114 |
NET (LOSS) INCOME | (13,017) | 8,464 | (11,032) | 9,293 |
Less: net income attributable to Predecessor | 0 | 0 | 0 | (5,092) |
Less: net loss (income) attributable to temporary equity | 3,552 | (5,318) | 2,223 | (2,377) |
Net (loss) income attributable to Brigham Minerals, Inc. shareholders | $ (9,465) | $ 3,146 | $ (8,809) | $ 1,824 |
NET (LOSS) INCOME PER COMMON SHARE | ||||
Basic (in dollars per share) | $ (0.24) | $ 0.14 | $ (0.24) | $ 0.07 |
Diluted (in dollars per share) | $ (0.24) | $ 0.14 | $ (0.24) | $ 0.07 |
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING | ||||
Basic (in shares) | 40,124 | 21,838 | 36,475 | 13,299 |
Diluted (in shares) | 40,124 | 21,926 | 36,475 | 13,346 |
Mineral and royalty revenues | ||||
REVENUES | ||||
Total revenues | $ 21,568 | $ 24,135 | $ 62,485 | $ 64,774 |
Lease bonus and other revenues | ||||
REVENUES | ||||
Total revenues | $ 1,510 | $ 972 | $ 5,478 | $ 3,127 |
Condensed Consolidated and Co_2
Condensed Consolidated and Combined Statement of Changes in Shareholders' and Members' Equity - USD ($) $ in Thousands | Total | Members' Contributed Capital | Additional Paid-in Capital | Accumulated Deficit | Treasury Stock | Class A Common Stock | Class A Common StockCommon Stock | Class B Common Stock | Class B Common StockCommon Stock |
Beginning balance (in shares) at Dec. 31, 2018 | 0 | 0 | |||||||
Beginning balance at Dec. 31, 2018 | $ 373,948 | $ (3,057) | $ 168,277 | $ 0 | $ 0 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to shareholders | 534 | 534 | |||||||
Ending balance (in shares) at Mar. 31, 2019 | 0 | 0 | |||||||
Ending balance at Mar. 31, 2019 | 377,984 | (3,057) | 172,313 | $ 0 | $ 0 | ||||
Beginning balance at Dec. 31, 2018 | $ 208,728 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | 3,502 | 3,502 | |||||||
Ending balance at Mar. 31, 2019 | 208,728 | ||||||||
Beginning balance (in shares) at Dec. 31, 2018 | 0 | 0 | |||||||
Beginning balance at Dec. 31, 2018 | 373,948 | (3,057) | 168,277 | $ 0 | $ 0 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to shareholders | 1,824 | ||||||||
Ending balance (in shares) at Sep. 30, 2019 | 21,997,000 | 28,778,000 | |||||||
Ending balance at Sep. 30, 2019 | 59,478 | 63,203 | (3,945) | $ 220 | $ 0 | ||||
Beginning balance at Dec. 31, 2018 | 208,728 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | 5,092 | ||||||||
Ending balance at Sep. 30, 2019 | 0 | ||||||||
Beginning balance (in shares) at Mar. 31, 2019 | 0 | 0 | |||||||
Beginning balance at Mar. 31, 2019 | 377,984 | (3,057) | 172,313 | $ 0 | $ 0 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to shareholders | 314 | 314 | |||||||
Ending balance (in shares) at Apr. 16, 2019 | 0 | 0 | |||||||
Ending balance at Apr. 16, 2019 | 379,888 | (3,057) | 174,217 | $ 0 | $ 0 | ||||
Beginning balance at Mar. 31, 2019 | 208,728 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | 1,590 | 1,590 | |||||||
Ending balance at Apr. 16, 2019 | 208,728 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Share-based compensation | 7,505 | 7,505 | |||||||
Net income attributable to shareholders | (2,170) | (2,170) | |||||||
Adjustment of temporary equity to carrying and redemption value | (97,344) | (97,344) | |||||||
Ending balance (in shares) at Jun. 30, 2019 | 21,997,000 | 28,778,000 | |||||||
Ending balance at Jun. 30, 2019 | 58,456 | 57,719 | 517 | $ 220 | $ 0 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Conversion of PE Units for Class A Common Stock and Class B Common Stock | 0 | (208,728) | 380,205 | (171,530) | $ 53 | ||||
Conversion of PE Units for Class A Common Stock and Class B Common Stock (in shares) | 5,322,000 | 28,778,000 | |||||||
Issuance of common stock in IPO, net of offering costs (in shares) | 16,675,000 | ||||||||
Issuance of common stock | 274,913 | 274,746 | $ 167 | ||||||
Deferred tax asset arising from the IPO | 13,664 | 13,664 | |||||||
Reclassification of noncontrolling interests to temporary equity | (518,000) | (518,000) | |||||||
Ending balance at Jun. 30, 2019 | 0 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Share-based compensation | 3,152 | 3,152 | |||||||
Dividends declared | (7,206) | (7,206) | |||||||
Dividend equivalent rights declared | (402) | (402) | |||||||
Net income attributable to shareholders | 3,146 | 3,146 | |||||||
Adjustment of temporary equity to carrying and redemption value | 3,797 | 3,797 | |||||||
Ending balance (in shares) at Sep. 30, 2019 | 21,997,000 | 28,778,000 | |||||||
Ending balance at Sep. 30, 2019 | 59,478 | 63,203 | (3,945) | $ 220 | $ 0 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | 0 | ||||||||
Issuance of common stock | (1,465) | (1,465) | |||||||
Ending balance at Sep. 30, 2019 | $ 0 | ||||||||
Beginning balance (in shares) at Dec. 31, 2019 | 0 | 34,040,934 | 34,041,000 | 22,847,045 | 22,847,000 | ||||
Beginning balance at Dec. 31, 2019 | 317,319 | 323,578 | (6,599) | $ 0 | $ 340 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Shares surrendered for tax withholdings on vested equity awards | (7,000) | ||||||||
Conversion of shares of Class B Common Stock to Class A Common Stock (in shares) | 140,000 | (140,000) | |||||||
Conversion of shares of Class B Common Stock to Class A Common Stock | 1,526 | 1,524 | $ 2 | ||||||
Deferred tax asset arising from conversion of shares of Class B Common Stock to Class A Common Stock | 204 | 204 | |||||||
Share-based compensation | 3,402 | 3,402 | |||||||
Dividends declared | (12,945) | (12,945) | |||||||
Dividend equivalent rights declared | (596) | (596) | |||||||
Net income attributable to shareholders | 4,706 | 4,706 | |||||||
Adjustment of temporary equity to carrying and redemption value | 206,017 | 206,017 | |||||||
Ending balance (in shares) at Mar. 31, 2020 | 0 | 34,174,000 | 22,707,000 | ||||||
Ending balance at Mar. 31, 2020 | 519,633 | 534,725 | (15,434) | $ 0 | $ 342 | $ 0 | |||
Beginning balance (in shares) at Dec. 31, 2019 | 0 | 34,040,934 | 34,041,000 | 22,847,045 | 22,847,000 | ||||
Beginning balance at Dec. 31, 2019 | 317,319 | 323,578 | (6,599) | $ 0 | $ 340 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to shareholders | (8,809) | ||||||||
Ending balance (in shares) at Sep. 30, 2020 | 437,000 | 43,315,863 | 43,316,000 | 13,167,687 | 13,168,000 | ||||
Ending balance at Sep. 30, 2020 | 582,534 | 633,634 | (48,011) | $ (3,527) | $ 438 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | 0 | ||||||||
Beginning balance (in shares) at Mar. 31, 2020 | 0 | 34,174,000 | 22,707,000 | ||||||
Beginning balance at Mar. 31, 2020 | 519,633 | 534,725 | (15,434) | $ 0 | $ 342 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Shares surrendered for tax withholdings on vested equity awards | (11,000) | ||||||||
Shares surrendered for tax withholdings on vested equity awards | (185) | (185) | |||||||
Conversion of shares of Class B Common Stock to Class A Common Stock (in shares) | 5,094,000 | (5,094,000) | |||||||
Conversion of shares of Class B Common Stock to Class A Common Stock | 51,569 | 51,518 | $ 51 | ||||||
Deferred tax asset arising from conversion of shares of Class B Common Stock to Class A Common Stock | (780) | (780) | |||||||
Share-based compensation (in shares) | 50,000 | ||||||||
Share-based compensation | 3,332 | 3,332 | |||||||
Restricted stock forfeited (in shares) | (9,000) | ||||||||
Dividends declared | (12,710) | (12,710) | |||||||
Dividend equivalent rights declared | (562) | (562) | |||||||
Net income attributable to shareholders | (4,050) | (4,050) | |||||||
Adjustment of temporary equity to carrying and redemption value | (37,445) | (37,445) | |||||||
Ending balance (in shares) at Jun. 30, 2020 | 0 | 39,298,000 | 17,613,000 | ||||||
Ending balance at Jun. 30, 2020 | 518,802 | 551,165 | (32,756) | $ 0 | $ 393 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Conversion of shares of Class B Common Stock to Class A Common Stock (in shares) | 4,445,000 | (4,445,000) | |||||||
Conversion of shares of Class B Common Stock to Class A Common Stock | 44,396 | 44,351 | $ 45 | ||||||
Deferred tax asset arising from conversion of shares of Class B Common Stock to Class A Common Stock | (2,845) | (2,845) | |||||||
Purchase of treasury stock (in shares) | 437,000 | (437,000) | |||||||
Purchase of treasury stock | (3,527) | $ (3,527) | |||||||
Share-based compensation (in shares) | 10,000 | ||||||||
Share-based compensation | 3,518 | 3,518 | |||||||
Dividends declared | (5,567) | (5,567) | |||||||
Dividend equivalent rights declared | (223) | (223) | |||||||
Net income attributable to shareholders | (9,465) | (9,465) | |||||||
Adjustment of temporary equity to carrying and redemption value | 37,445 | 37,445 | |||||||
Ending balance (in shares) at Sep. 30, 2020 | 437,000 | 43,315,863 | 43,316,000 | 13,167,687 | 13,168,000 | ||||
Ending balance at Sep. 30, 2020 | 582,534 | $ 633,634 | $ (48,011) | $ (3,527) | $ 438 | $ 0 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income attributable to predecessor | $ 0 |
Condensed Consolidated and Co_3
Condensed Consolidated and Combined Statement of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities | ||
Net income attributable to shareholders | $ (11,032) | $ 9,293 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 35,827 | 20,310 |
Impairment of oil and gas properties | 18,905 | 0 |
Share-based compensation expense | 5,692 | 8,232 |
Loss on extinguishment of debt | 0 | 6,933 |
Amortization of debt issuance costs | 545 | 354 |
Deferred income taxes | (1,351) | 2 |
Loss on derivative instruments, net | 0 | 521 |
Net cash received for derivative settlements | 0 | 356 |
Bad debt expense | 299 | 293 |
Changes in operating assets and liabilities: | ||
Decrease (increase) in accounts receivables | 10,312 | (2,612) |
(Increase) decrease in other current assets | (776) | 970 |
Decrease in other deferred charges | 45 | 0 |
(Decrease) increase in accounts payables and accrued liabilities | (4,269) | 1,827 |
(Decrease) increase in other long-term liabilities | (465) | 46 |
Net cash provided by operating activities | 53,732 | 46,525 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Additions to oil and gas properties | (45,996) | (181,484) |
Additions to other fixed assets | (340) | (400) |
Proceeds from sale of oil and gas properties, net | 1,565 | 2,001 |
Net cash used in investing activities | (44,771) | (179,883) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Payments of short-term debt | 0 | (4,596) |
Payments of long-term debt | 0 | (195,404) |
Borrowing of long-term debt | 5,000 | 70,000 |
Payment of debt extinguishment fees | 0 | (2,091) |
Proceeds from issuance of Class A common stock | 0 | 277,075 |
Purchase of treasury stock | (3,527) | 0 |
Dividends paid | (31,340) | (7,206) |
Distribution to holders of temporary equity | (21,504) | (9,379) |
Debt issuance costs | (203) | (1,211) |
Net cash (used in) provided by financing activities | (51,574) | 127,188 |
Decrease in cash and cash equivalents and restricted cash | (42,613) | (6,170) |
Cash and cash equivalents and restricted cash, beginning of period | 51,133 | 32,018 |
Cash and cash equivalents and restricted cash, end of period | 8,520 | 25,848 |
Supplemental disclosure of noncash activity: | ||
Accrued capital expenditures | 163 | 286 |
Capitalized share-based compensation cost | 4,560 | 2,425 |
Temporary equity cumulative adjustment to redemption value | (206,017) | 93,546 |
Supplemental cash flow information: | ||
Cash payments for loan commitment fees and interest | 570 | 5,657 |
Cash taxes paid | $ 113 | $ 1,014 |
Business and Basis of Presentat
Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business and Basis of Presentation | Business and Basis of Presentation Description of the Business Brigham Minerals, Inc. (together with its wholly owned subsidiaries, “Brigham Minerals” or the “Company”) is a Delaware corporation formed in June 2018 to become a holding company. Brigham Minerals acquired an indirect interest in Brigham Resources, LLC (“Brigham Resources”), our predecessor, on July 16, 2018 in a series of restructuring transactions pursuant to which certain entities affiliated with Warburg Pincus LLC (“Warburg Pincus”) contributed all of their respective interests in the entities through which they held interests in Brigham Resources to Brigham Minerals in exchange for all of the outstanding shares of common stock of Brigham Minerals (the “July 2018 Restructuring”). As a result of such restructuring transactions, Brigham Minerals became wholly owned by an entity affiliated with Warburg Pincus, and Brigham Minerals indirectly owned a 16.5% membership interest in Brigham Resources. The remaining outstanding membership interests of Brigham Resources remained with certain other entities affiliated with Warburg Pincus, Yorktown Partners LLC and Pine Brook Road Advisors, LP, Brigham Minerals’ management and its other investors (collectively, the “Original Owners”). On November 20, 2018, Brigham Resources underwent a second series of restructuring transactions (the “November 2018 Restructuring”). In the November 2018 Restructuring, Brigham Resources became a wholly owned subsidiary of Brigham Minerals Holdings, LLC (“Brigham LLC”), which was a wholly owned subsidiary of Brigham Equity Holdings, LLC (“Brigham Equity Holdings”), and Brigham Equity Holdings became wholly owned by the owners of Brigham Resources immediately prior to such restructuring, directly or indirectly, through Brigham Minerals. As a result of the foregoing transactions, there was no change in the control or economic interests of the Original Owners and Brigham Minerals in Brigham Resources, although their ownership became indirect through Brigham Equity Holdings and its wholly owned subsidiary, Brigham LLC. The July 2018 Restructuring and the November 2018 Restructuring are collectively referred to herein as the “2018 corporate reorganizations.” Brigham Resources wholly owns Brigham Minerals, LLC and Rearden Minerals, LLC (collectively, the “Minerals Subsidiaries”), which acquire and actively manage a portfolio of mineral and royalty interests. The Minerals Subsidiaries are Brigham Resources’ sole material assets. Initial Public Offering In April 2019, Brigham Minerals completed the initial public offering (the "IPO") of 16,675,000 shares of Class A common stock at a price to the public of $18.00 per share. This resulted in net proceeds of approximately $273.4 million, after deducting underwriting commissions and discounts and offering expenses, which proceeds were used to repay $200.0 million of existing indebtedness and to fund mineral and royalty acquisitions. As a result of the IPO and the corporate restructuring described in "Note 10—Temporary Equity", Brigham Minerals became a holding company whose sole material asset consisted of a 43.3% interest in Brigham LLC, which wholly owns Brigham Resources. Brigham Resources continues to wholly own the Minerals Subsidiaries, which own all of Brigham Resources’ operating assets. In connection with the IPO, Brigham Minerals became the sole managing member of Brigham LLC and is responsible for all operational, management and administrative decisions relating to Brigham LLC’s business and consolidates the financial results of Brigham LLC and its wholly owned subsidiary, Brigham Resources. December 2019 Offering On December 16, 2019, Brigham Minerals completed an offering of 12,650,000 shares of its Class A common stock (the "December 2019 Offering"), including 6,000,000 shares issued and sold by Brigham Minerals and an aggregate of 6,650,000 shares sold by certain shareholders of the Company (the "Selling Shareholders"), of which 5,496,813 represents shares issued upon redemption of an equivalent number of their common units in Brigham LLC (the "Brigham LLC Units") (together with a corresponding number of shares of Class B common stock in Brigham Minerals), at a price to the public of $18.10 per share ($17.376 per share net of underwriting discounts and commissions). After deducting underwriting discounts, commissions and offering expenses, Brigham Minerals received net proceeds of approximately $102.7 million which were used to repay $80.0 million of existing indebtedness and to fund future mineral and royalty acquisitions. Brigham Minerals did not receive any proceeds from the sale of shares of Class A common stock by the Selling Shareholders. June 2020 Secondary Offering On June 12, 2020, Brigham Minerals completed an offering of 6,600,000 shares of its Class A common stock (the "June 2020 Secondary Offering"), all of which were sold by certain shareholders of the Company (the “June 2020 Selling Shareholders”), and 4,872,669 of which represented shares issued upon redemption of an equivalent number of the June 2020 Selling Shareholders’ Brigham LLC Units (together with a corresponding number of shares of Class B common stock in Brigham Minerals), at a price to the public of $13.75 per share. Brigham Minerals did not sell any shares of its common stock in the June 2020 Secondary Offering and did not receive any proceeds pursuant to the June 2020 Secondary Offering. September 2020 Secondary Offering On September 15, 2020, Brigham Minerals completed an offering of 5,021,140 shares of its Class A common stock, including 654,931 shares issued pursuant to the option granted to the underwriter to purchase additional shares to cover over-allotments (the "September 2020 Secondary Offering"), all of which were sold by certain shareholders of the Company (the "September 2020 Selling Shareholders"), and 3,062,011 of which represented shares issued upon redemption of an equivalent number of the September 2020 Selling Shareholders’ Brigham LLC Units (together with a corresponding number of shares of Class B common stock in Brigham Minerals), at a price to the public of $8.20 per share. Brigham Minerals did not sell any shares of its Class A common stock in the September 2020 Secondary Offering and did not receive any proceeds pursuant to the September 2020 Secondary Offering. In addition, in connection with the September 2020 Secondary Offering, Brigham Minerals repurchased 436,630 shares of its Class A common stock from the September 2020 Selling Shareholders in a privately negotiated transaction at a price equal to the price per share at which the underwriter purchased shares from the September 2020 Selling Shareholders in the September 2020 Secondary Offering (and Brigham LLC redeemed a corresponding number of Brigham LLC Units held by Brigham Minerals). The repurchased shares are presented in the Company's condensed consolidated balance sheet as Treasury Stock, at cost. Following the completion of the September 2020 Secondary Offering and as of September 30, 2020, Brigham Minerals owned a 76.7% interest in Brigham LLC and the Original Owners owned 23.3% of the outstanding voting stock of Brigham Minerals. Certain other entities affiliated with Yorktown Partners LLC and Pine Brook Road Advisors, LP, which are a subset of the Company's Original Owners, collectively owned 17.0% of the outstanding voting stock of Brigham Minerals as of September 30, 2020. Basis of Presentation Subsequent to the July 2018 Restructuring and prior to the IPO, Brigham Minerals used the equity method of accounting for its investment in Brigham Resources, its predecessor, because its 16.5% ownership in Brigham Resources provided Brigham Minerals with significant influence, but not with a controlling financial interest or the ability to direct the most significant activities of Brigham Resources. Upon the completion of the IPO, Brigham Minerals indirectly owned an approximate 43.3% interest of Brigham Resources and 100% of the voting rights and consolidated the results of operations of Brigham Resources. In order to furnish comparative financial information, the accompanying consolidated and combined financial statements and related notes of Brigham Minerals for periods prior to the IPO, including the 2019 amounts presented, have been retrospectively recast to include the combined historical financial information of both Brigham Resources (at historical carrying values) and Brigham Minerals, taking into account state and federal income taxes and liabilities associated with Brigham Minerals. All intercompany transactions between Brigham Minerals and Brigham Resources have been eliminated. Because Brigham Minerals acquired an interest in Brigham Resources as part of certain reorganization transactions in 2018, net income is attributable to stockholders of Brigham Minerals in addition to its predecessor beginning in 2018. The accompanying unaudited condensed, consolidated and combined interim financial statements of Brigham Minerals have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), except that, in accordance with the instructions to Form 10-Q, they do not include all of the notes required for financial statements prepared in conformity with U.S. GAAP. Accordingly, the accompanying unaudited interim financial statements should be read in conjunction with our audited financial statements included in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") on February 28, 2020 (the "Annual Report"). The unaudited interim financial statements reflect all normal recurring adjustments that, in the opinion of management, are necessary for a fair representation. The results of operations for the three and nine months ended September 30, 2020 are not necessarily indicative of the results to be expected for the entire fiscal year ending December 31, 2020. Brigham Minerals operates in one segment: oil and natural gas exploration and production. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Use of Estimates These condensed, consolidated and combined financial statements and related notes are presented in accordance with GAAP. Preparation in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities in the condensed consolidated and combined financial statements and accompanying notes. Although management believes these estimates are reasonable, actual results could differ from these estimates. Changes in estimates are recorded prospectively. The accompanying condensed, consolidated and combined financial statements are based on a number of significant estimates including quantities of oil, natural gas and NGL reserves that are the basis for the calculations of depreciation, depletion, amortization (“DD&A”) and impairment of oil and natural gas properties. Reservoir engineering is a subjective process of estimating underground accumulations of oil and natural gas and there are numerous uncertainties inherent in estimating quantities of proved oil and natural gas reserves. The accuracy of any reserve estimate is a function of the quality of available data and of engineering and geological interpretation and judgment. As a result, reserve estimates may differ from the quantities of oil and natural gas that are ultimately recovered. Brigham Minerals’ year-end reserve estimates are audited by Cawley, Gillespie & Associates, Inc. (“CG&A”), an independent petroleum engineering firm. Quarterly reserve estimates are internally generated by our in-house engineering staff. Other items subject to significant estimates and assumptions include the carrying amount of oil and natural gas properties, valuation of derivative instruments, share-based compensation costs, and revenue accruals. Significant Accounting Policies Significant accounting policies are disclosed in Brigham Minerals' audited consolidated and combined financial statements and notes for the year ended December 31, 2019, presented in the Annual Report. There have been no changes in such policies or the application of such policies during the three and nine months ended September 30, 2020. Recently Adopted Accounting Standards Restricted cash includes cash that is contractually restricted for its use through an agreement with a non-related party. On December 31, 2019, the Company adopted ASU 2016-18, Statement of Cash Flows, which amends ASC 230 to add or clarify guidance on the classification and presentation of restricted cash in the statement of cash flows. The ASU requires entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. As a result, entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. The adoption resulted in a decrease in reported investing cash flow of $33,000 for the nine months ended September 30, 2019. The September 30, 2019 accompanying statement of cash flow that was adjusted as a result of adoption of ASU 2016-18 is summarized below: Nine Months Ended September 30, 2019 (In thousands) As reported As adjusted Changes in restricted cash held in escrow for acquisitions $ 33 $ — Net cash used in investing activities $ (179,850) $ (179,883) Decrease in cash, cash equivalents and restricted cash (6,137) (6,170) Cash, cash equivalents and restricted cash, beginning of period $ 31,985 $ 32,018 Accounts Receivables As of September 30, 2020 and December 31, 2019, accounts receivables was comprised of the following: (In thousands) September 30, 2020 December 31, 2019 Accounts receivables Oil and gas sales $ 17,727 $ 27,888 Reserve for bad debt (855) (556) Other 2,808 2,959 Total accounts receivables $ 19,680 $ 30,291 Concentration of Credit Risk and Significant Customers Financial instruments that potentially subject Brigham Minerals to concentrations of credit risk consist of cash, accounts receivable, commodity derivative financial instruments and its revolving credit facility. Cash and cash equivalents are held in a few financial institutions in amounts that may, at times, exceed federally insured limits. However, no losses have been incurred and management believes that counterparty risks are minimal based on the reputation and history of the institutions selected. Accounts receivable are concentrated among operators and purchasers engaged in the energy industry within the United States. Management periodically assesses the financial condition of these entities and institutions and considers any possible credit risk to be minimal. Concentrations of oil and gas sales to significant customers (operators) are presented in the table below. Three Months Ended September 30, Nine Months Ended September 30, Customer (Operator) Name 2020 2019 2020 2019 Continental Resources Inc 12 % 12 % 9 % 10 % Occidental Petroleum Corp 11 % 14 % 13 % 18 % Exxon Mobil Corp 10 % 15 % 9 % 8 % Royal Dutch Shell PLC 9 % 1 % 13 % 1 % Management does not believe that the loss of any customer would have a long-term material adverse effect on our financial position or the results of operations. For the three and nine months ended September 30, 2020, we received revenues from over 150 operators with approximately 63% of revenues for both periods coming from the top ten operators on our properties. Recently Issued Accounting Standards Not Yet Adopted Brigham Minerals’ status as an emerging growth company under Section 107 of the Jumpstart Our Business Startups Act of 2012 permits it to delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. Brigham Minerals is choosing to take advantage of this extended transition period and, as a result, Brigham Minerals will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for private companies. In February 2016, Financial Accounting Standards Board (the "FASB") issued ASU 2016-02, Leases, which requires all leasing arrangements to be presented in the balance sheet as liabilities along with a corresponding asset. ASU 2016-02 does not apply to leases of mineral rights to explore for or use crude oil and natural gas. The ASU will replace most existing lease guidance in GAAP when it becomes effective. In January 2018, the FASB issued ASU 2018-01, Land Easement Practical Expedient for Transition to Topic 842, to provide an optional practical expedient to not evaluate existing or expired land easements that were not previously accounted for as leases under Topic 840. In July 2018, the FASB issued ASU 2018-11 Leases (Topic 842): Targeted Improvements, which provides for another transition method, in addition to the existing transition method, by allowing entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption (i.e. comparative periods presented in the financial statements will continue to be in accordance with current GAAP (Topic 840, Leases)). The new standard becomes effective for us during the fiscal year ending December 31, 2022 and interim periods within the fiscal year ending December 31, 2023 and early adoption is permitted. We are currently evaluating the impact that the adoption of this update will have on our condensed consolidated and combined financial statements and related disclosures. |
Oil and Gas Properties
Oil and Gas Properties | 9 Months Ended |
Sep. 30, 2020 | |
Extractive Industries [Abstract] | |
Oil and Gas Properties | Oil and Gas Properties Brigham Minerals uses the full cost method of accounting for its oil and natural gas properties. Under this method, all acquisition costs incurred for the purpose of acquiring mineral and royalty interests, including certain internal costs, are capitalized into a full cost pool. Costs associated with general corporate activities are expensed in the period incurred. Oil and gas properties as of the dates shown consisted of the following: (In thousands) September 30, 2020 December 31, 2019 Oil and gas properties, at cost, using the full cost method of accounting: Unevaluated property $ 318,693 $ 291,664 Evaluated property 472,687 449,061 Total oil and gas properties, at cost 791,380 740,725 Less accumulated depreciation, depletion, and amortization (116,532) (61,103) Total oil and gas properties, net $ 674,848 $ 679,622 Capitalized costs are depleted on a unit of production basis based on proved oil and natural gas reserves. Depletion expense was $11.6 million and $8.3 million for the three months ended September 30, 2020 and 2019, respectively, and $35.0 million and $19.9 million for the nine months ended September 30, 2020 and 2019, respectively. Average depletion of proved properties was $13.58 per Boe and $11.49 per Boe for the three months ended September 30, 2020 and 2019, respectively, and $13.40 per Boe and $10.91 per Boe for the nine months ended September 30, 2020 and 2019, respectively. The costs associated with unevaluated properties primarily consist of acquisition costs and capitalized general and administrative costs. Under the full cost method of accounting, Brigham Minerals capitalizes certain overhead expenses and other internal costs attributable to the acquisition of mineral and royalty interests as part of its investment in oil and gas properties over the periods benefitted by these activities. Capitalized costs do not include any costs related to general corporate overhead or similar activities. Capitalized costs were $2.6 million and $2.3 million for the three months ended September 30, 2020 and 2019, respectively, and $7.6 million and $5.0 million for the nine months ended September 30, 2020 and 2019, respectively. Under the full cost method of accounting, total capitalized costs of oil and natural gas properties, net of accumulated depletion, may not exceed an amount equal to the present value of future net revenues from proved reserves, discounted at 10% per annum ("PV-10"), plus the cost of unevaluated properties (full cost ceiling limitation). A write-down of the carrying value of the full cost pool ("impairment charge") is a noncash charge that reduces earnings and impacts equity in the period of occurrence and typically results in lower depletion expense in future periods. A ceiling limitation is calculated at each reporting period. The ceiling limitation calculation is prepared using unweighted arithmetic average of oil price ("SEC oil price") and natural gas price ("SEC gas price") as of the first day of each month for the trailing 12-month period ended September 30, 2020, as required under the guidelines established by the SEC. As of September 30, 2020, the SEC oil price and SEC gas price used in the calculation of the ceiling test was $43.55 per barrel of oil and $1.98 per MMbtu of natural gas, respectively. Using these prices, the net book value of oil and natural gas properties exceeded the ceiling limitation resulting in an impairment charge of $18.9 million to oil and gas properties, net during the three and nine months ended September 30, 2020. There was no impairment charge during the three and nine months ended September 30, 2019. Based on the decline subsequent to September 30, 2020 in the unweighted arithmetic average SEC oil prices used in the full cost ceiling test, an additional impairment charge may be necessary in the fourth quarter of 2020 and such amount could be material. In addition to the impact of lower prices, any changes in the fourth quarter of 2020 to assumptions of drilling and completion activity, development timing, acquisitions or divestitures of oil and gas properties, proved undeveloped locations, and production and other estimates may require revisions to estimates of total proved reserves which would impact the amount of any impairment charge. During the three months ended September 30, 2020, Brigham Minerals reduced its proved undeveloped reserves by 228 Mboe primarily due to conversion from proved undeveloped reserves to proved developed reserves within the quarter as well as the 8% reduction in SEC oil pricing over the quarter. During the nine months ended September 30, 2020, Brigham Minerals reduced its proved undeveloped reserves by 5,279 Mboe primarily as a result of a 22% reduction in SEC oil prices over the period, conversion from proved undeveloped reserves to proved developed reserves and a decrease in rig activity. The reduction in rig activity led to changes in the development timing and a reduction of the number of proved undeveloped locations that Brigham Minerals expects will be developed within five years after the date of booking. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures During the nine months ended September 30, 2020 and 2019, Brigham Minerals entered into a number of acquisitions of mineral and royalty interests from various sellers in Texas, Oklahoma, Colorado, New Mexico, and North Dakota, as reflected in the tables below. The change in the oil and natural gas property balance is comprised of payments for acquisitions of minerals, land brokerage costs and capitalized general and administrative expenses that for the nine months ended September 30, 2020 were funded with proceeds from the December 2019 Offering and our revolving credit facility (as defined below). The changes in the oil and natural gas property balance for the nine months ended September 30, 2019 were funded with proceeds from the Owl Rock credit facility (as defined below), our revolving credit facility, and the IPO. Oil and Gas Properties Acquired Cash Consideration Paid (In thousands) Evaluated Unevaluated Quarter Ended March 31, 2020 $ 9,471 $ 15,947 $ 25,418 Quarter Ended June 30, 2020 805 2,493 3,298 Quarter Ended September 30, 2020 6,881 10,499 17,380 Total $ 17,157 $ 28,939 $ 46,096 Oil and Gas Properties Acquired Cash Consideration Paid (In thousands) Evaluated Unevaluated Quarter Ended March 31, 2019 $ 27,929 $ 13,403 $ 41,332 Quarter Ended June 30, 2019 25,050 14,925 39,975 Quarter Ended September 30, 2019 63,787 35,251 99,038 Total $ 116,766 $ 63,579 $ 180,345 |
Revenue from contracts with cus
Revenue from contracts with customers | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from contracts with customers | Revenue from contracts with customers Contract Balances Oil, natural gas and NGLs sales revenues are recognized when control of the product is transferred to the customer, the performance obligations under the terms of the contracts with customers are satisfied and collectability is reasonably assured. Lease bonus and other revenues are recognized when the lease agreement has been executed, payment has been received, and the Company has no further obligation to refund the payment. Accordingly, the Company’s contracts do not give rise to contract assets or liabilities. As of September 30, 2020, accounts receivable from oil and gas sales of $17.7 million represent rights to payment for which Brigham Minerals has satisfied its obligations under contracts with customers. Prior-period performance obligations As a non-operator, Brigham Minerals has limited visibility into the timing of when new wells start producing and is required to estimate the amount of production delivered to the purchaser and the price that will be received for the sale of the product. The amount of production delivered to the purchaser is estimated on the basis of state-reported production data or production statements from operators. The difference between the Company’s estimates and the actual amounts received for oil and natural gas sales is recorded in the month that payment is received from the third party. For the three and nine months ended September 30, 2020 and 2019, revenue recognized in the reporting periods related to performance obligations satisfied in prior reporting periods was immaterial. Allocation of transaction price to remaining performance obligations |
Derivative Instruments
Derivative Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments Brigham Minerals periodically uses commodity derivative instruments to reduce its exposure to commodity price volatility for a portion of its forecasted crude oil and natural gas sales and thereby achieve a more predictable level of cash flows. None of the derivative instruments are designated as hedges. Brigham Minerals does not enter into derivative instruments for speculative or trading purposes. Because the counterparties to Brigham Minerals derivative instruments have investment grade credit ratings, Brigham Minerals believes it does not have significant credit risk and does not anticipate nonperformance from its counterparties. Brigham Minerals continually monitors the credit ratings of its counterparties. Concurrent with the termination of its prior revolving credit facility in July 2018, Brigham Resources posted cash collateral of $1.4 million for its existing WTI fixed price swap contracts. The cash collateral was $1.6 million in May 2019 prior to the termination of the Owl Rock credit facility and was returned to Brigham Resources upon entering into the revolving credit facility. See "Note 8—Long-Term Debt." Brigham Minerals had no derivative contracts in place as of September 30, 2020 and December 31, 2019. Prior to December 31, 2019, we had certain oil swap contracts based on the NYMEX futures index. The following table summarizes Brigham Minerals' gain (loss) on derivative instruments, net on its condensed consolidated and combined statement of operations for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2020 2019 2020 2019 Realized gain $ — $ 119 $ — $ 356 Unrealized gain (loss) — (28) — (877) Combined - realized/unrealized gain (loss) $ — $ 91 $ — $ (521) |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value MeasurementsWe classify financial assets and liabilities that are measured and reported at fair value on a recurring basis using a hierarchy based on the inputs used in measuring fair value. GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). We classify the inputs used to measure fair value into the following hierarchy: • Level 1: Inputs based on quoted market prices in active markets for identical assets or liabilities at the measurement date. • Level 2: Inputs based on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active or other inputs that are observable and can be corroborated by observable market data. • Level 3: Inputs that reflect management’s best estimates and assumptions of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the valuation of the instruments. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer would be reported at the beginning of the period in which the change occurs. Assets and Liabilities Measured at Fair Value on a Recurring Basis We had no financial assets and liabilities that were accounted for at fair value on a recurring basis at September 30, 2020 and December 31, 2019. Brigham Minerals had no derivative contracts in place as of September 30, 2020 and December 31, 2019 as disclosed in "Note 6—Derivative Instruments." Commodity derivative instruments are valued using a third-party industry-standard pricing model using contract terms and prices and assumptions and inputs that are substantially observable in active markets throughout the full term of the instruments, including forward oil and gas price curves, discount rates and volatility factors. The fair values are also compared to the values provided by the counterparties for reasonableness and are adjusted for the counterparties’ credit quality for derivative assets and our credit quality for derivative liabilities. As such, these derivative contracts are classified within Level 2. Brigham Minerals had no transfers into or out of Level 1 and no transfers into or out of Level 2 for the nine months ended September 30, 2020 and September 30, 2019. Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis Certain non-financial assets and liabilities, such as assets and liabilities acquired in a business combination, are measured at fair value on a nonrecurring basis on the acquisition date and are subject to fair value adjustments under certain circumstances. The inputs used to determine such fair value are primarily based upon internally developed cash flow models and include factors such as estimates of economic reserves, future commodity prices and a risk-adjusted discount rates, and are classified within Level 3. Fair Value of Other Financial Instruments |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Owl Rock Credit Facility On July 27, 2018, Brigham Resources entered into a credit facility (the “Owl Rock credit facility”) with Owl Rock Capital Corporation as administrative agent and collateral agent. Brigham Resources used the proceeds from the Owl Rock credit facility to repay the outstanding $70 million of principal under its prior revolving credit facility and to fund mineral and royalty acquisitions. The Owl Rock credit facility was subject to customary fees, guarantees of subsidiaries, restrictions and covenants, including certain restricted payments, and was collateralized by certain oil and natural gas properties of Brigham Resources. The Owl Rock credit facility provided for a $125 million initial term loan, a $75 million delayed draw term loan and a $10 million revolving credit facility, bore interest at a rate per annum equal to, at Brigham Resources’ option, (a) the base rate plus 4.50%, or (b) the adjusted LIBOR rate for such interest period (subject to a 1.00% floor) plus 5.50%, matured on July 27, 2024 and required Brigham Resources to maintain compliance with certain financial and collateral coverage ratios. On May 7, 2019, the Owl Rock credit facility was terminated and the outstanding balance of $200.0 million was fully repaid using the proceeds generated from the IPO. As a result of the debt repayment, Brigham Minerals recognized a loss on extinguishment of debt of $6.9 million, which consisted of a $4.0 million write-off of capitalized debt issuance costs, a $2.1 million prepayment fee and legal fees of $0.8 million. Revolving Credit Facility On May 16, 2019 Brigham Resources entered into a credit agreement with Wells Fargo Bank, N.A., as administrative agent for the various lenders from time to time party thereto, providing for a revolving credit facility (our “revolving credit facility”). Our revolving credit facility is guaranteed by Brigham Resources’ domestic subsidiaries and is collateralized by a lien on substantially all of Brigham Resources and its domestic subsidiaries’ assets, including substantially all of their respective royalty and mineral properties. Availability under our revolving credit facility is governed by a borrowing base, which is subject to redetermination semi-annually in May and November of each year. In addition, lenders holding two-thirds of the aggregate commitments may request one additional redetermination each year. Brigham Resources can also request one additional redetermination each year, and such other redeterminations as appropriate when significant acquisition opportunities arise. The borrowing base is subject to further adjustments for asset dispositions, material title deficiencies, certain terminations of hedge agreements and issuances of permitted additional indebtedness. Increases to the borrowing base require unanimous approval of the lenders, while decreases only require approval of lenders holding two-thirds of the aggregate commitments at such time. We fully repaid the $80.0 million of outstanding borrowings under our revolving credit facility in December 2019 using a portion of the net proceeds from the December 2019 Offering. As of September 30, 2020, the borrowing base on our revolving credit facility was $135.0 million, with outstanding borrowings of $5.0 million, resulting in $130.0 million availability for future borrowings. Our revolving credit facility bears interest at a rate per annum equal to, at our option, the adjusted base rate or the adjusted LIBOR rate plus an applicable margin. The applicable margin is based on utilization of our revolving credit facility and ranges from (a) in the case of adjusted base rate loans, 0.750% to 1.750% and (b) in the case of adjusted LIBOR rate loans, 1.750% to 2.750%. Brigham Resources may elect an interest period of one two three six twelve Our revolving credit facility matures on May 16, 2024. Loans drawn under our revolving credit facility may be prepaid at any time without premium or penalty (other than customary LIBOR breakage) and must be prepaid in the event that exposure exceeds the lesser of the borrowing base and the elected availability at such time. The principal amount of loans that are prepaid are required to be accompanied by accrued and unpaid interest and fees on such amounts. Loans that are prepaid may be reborrowed. In addition, Brigham Resources may permanently reduce or terminate in full the commitments under our revolving credit facility prior to maturity. Any excess exposure resulting from such permanent reduction or termination must be prepaid. Upon the occurrence of an event of default under our revolving credit facility, the administrative agent acting at the direction of the lenders holding a majority of the aggregate commitments at such time may accelerate outstanding loans and terminate all commitments under our revolving credit facility, provided that such acceleration and termination occurs automatically upon the occurrence of a bankruptcy or insolvency event of default. Our revolving credit facility contains customary affirmative and negative covenants, including, without limitation, reporting obligations, restrictions on asset sales, restrictions on additional debt and lien incurrence and restrictions on making distributions (subject only to no default or borrowing base deficiency) and investments. In addition, our revolving credit facility requires us to maintain (a) a current ratio of not less than 1.00 to 1.00 and (b) a ratio of total net funded debt to consolidated EBITDA of not more than 4.00 to 1.00. As of September 30, 2020, we were in compliance with all covenants in accordance with our revolving credit facility. |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity Class A Common Stock Brigham Minerals had approximately 43.3 million shares of its Class A common stock outstanding as of September 30, 2020. Holders of Class A common stock are entitled to one vote per share on all matters to be voted upon by the stockholders and are entitled to ratably receive dividends when and if declared by the Company’s board of directors. Upon liquidation, dissolution, distribution of assets or other winding up, the holders of Class A common stock are entitled to receive ratably the assets available for distribution to the stockholders after payment of liabilities. Class B Common Stock Brigham Minerals had approximately 13.2 million shares of its Class B common stock outstanding as of September 30, 2020. Holders of the Class B common stock are entitled to one vote per share on all matters to be voted upon by the stockholders. Holders of Class A common stock and Class B common stock generally vote together as a single class on all matters presented to Brigham Minerals’ stockholders for their vote or approval. Holders of Class B common stock do not have any right to receive dividends or distributions upon a liquidation or winding up of Brigham Minerals. Treasury Stock Brigham Minerals repurchased 436,630 shares of its Class A common stock from the September 2020 Selling Shareholders at a price of $8.08 per share (and Brigham LLC redeemed a corresponding number of Brigham LLC Units held by Brigham Minerals). See "Note 1—Business and Basis of Presentation." As of September 30, 2020, there were 436,630 shares of Class A common stock held in treasury. Earnings per Share Basic earnings per share (“EPS”) measures the performance of an entity over the reporting period. Diluted earnings per share measures the performance of an entity over the reporting period while giving effect to all potentially dilutive common shares that were outstanding during the period. Brigham Minerals uses the “if-converted” method to determine the potential dilutive effect of exchanges of outstanding shares of Class B common stock (and corresponding Brigham LLC Units), and the treasury stock method to determine the potential dilutive effect of vesting of its outstanding RSAs, RSUs, PSUs and unvested Incentive Units (each as defined in "Note 11—Share-Based Compensation"). Brigham Minerals does not use the two-class method because the Class B common stock and the unvested share-based awards are nonparticipating securities. For the three and nine months ended September 30, 2020, the Incentive Units, RSUs, RSAs, and shares of Class B common stock were not recognized in dilutive EPS calculations as the effects would have been antidilutive. For the three and nine months ended September 30, 2019, the Incentive Units and shares of Class B common stock were not recognized in dilutive EPS calculations as the effect would have been antidilutive. For the nine months ended September 30, 2019, the RSAs were not recognized in dilutive EPS calculations as the effect would have been antidilutive. As of September 30, 2020, there were 1,187,811 shares related to PSUs (based on target), that could vest in the future dependent on predetermined performance goals. These units were not included in the computation of EPS for the three and nine months ended September 30, 2020, because the performance goals had not been met, assuming the end of the reporting period was the end of the contingency period. For the nine months ended September 30, 2019, Brigham Minerals' EPS calculation includes only its share of net income for the period subsequent to the IPO, and omits income or loss prior to the IPO. In addition, the basic weighted average shares outstanding calculation is based on the actual days in which the shares were outstanding from the IPO through September 30, 2019. The following table reflects the allocation of net income to common shareholders and EPS computations for the period indicated based on a weighted average number of common stock outstanding for the period: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2020 2019 2020 2019 Basic EPS Numerator: Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 1,824 Less: net income attributable to Brigham Minerals, Inc. shareholders pre-IPO — — — (848) Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders post-IPO $ (9,465) $ 3,146 $ (8,809) $ 976 Denominator: Basic weighted average shares outstanding 40,124 21,838 36,475 13,299 Basic EPS attributable to Brigham Minerals, Inc. shareholders $ (0.24) $ 0.14 $ (0.24) $ 0.07 Diluted EPS Numerator: Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 976 Effects of dilutive securities: Effect of time-based restricted stock awards — — — — Diluted net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 976 Denominator: Basic weighted average shares outstanding 40,124 21,838 36,475 13,299 Effects of dilutive securities: Time-based restricted stock awards — 88 — 47 Diluted weighted average shares outstanding 40,124 21,926 36,475 13,346 Diluted EPS attributable to Brigham Minerals, Inc. shareholders $ (0.24) $ 0.14 $ (0.24) $ 0.07 |
Temporary Equity
Temporary Equity | 9 Months Ended |
Sep. 30, 2020 | |
Temporary Equity Disclosure [Abstract] | |
Temporary Equity | Temporary Equity Temporary equity represents the Original Owners' 23.3% ownership of Brigham LLC, as of September 30, 2020. Each share of Class B common stock does not have any economic rights but entitles its holder to one vote on all matters to be voted on by our stockholders generally, and holders of Brigham LLC Units (and Class B common stock) have a redemption right into shares of Class A common stock. As discussed below, following the IPO: • Each holder of Brigham LLC Units (each a "Brigham Unit Holder") other than Brigham Minerals and its subsidiaries, received a number of shares of Class B common stock equal to the number of Brigham LLC Units held by such Brigham Unit Holder following the IPO; • Brigham Minerals contributed, directly or indirectly, the net proceeds of the IPO to Brigham LLC in exchange for an additional number of Brigham LLC Units such that Brigham Minerals held, directly or indirectly, a total number of Brigham LLC Units equal to the number of shares of Class A common stock outstanding following the IPO; and • Under the Amended and Restated Limited Liability Company Agreement of Brigham LLC (the "Brigham LLC Agreement"), each Brigham Unit Holder, subject to certain limitations, has a right (the "Redemption Right") to cause Brigham LLC to acquire all or a portion of its Brigham LLC Units for, at Brigham LLC’s election, (i) shares of our Class A common stock at a redemption ratio of one share of Class A common stock for each Brigham LLC Unit redeemed, subject to conversion rate adjustments for stock splits, stock dividends and reclassification and other similar transactions or (ii) an equivalent amount of cash. We will determine whether to issue shares of Class A common stock or cash based on facts in existence at the time of the decision, which we expect would include the relative value of the Class A common stock (including trading prices for the Class A common stock at the time), the cash purchase price, the availability of other sources of liquidity (such as an issuance of preferred stock) to acquire the Brigham LLC Units and alternative uses for such cash. Alternatively, upon the exercise of the Redemption Right, Brigham Minerals (instead of Brigham LLC) will have a call right to, for administrative convenience, acquire each tendered Brigham LLC Unit directly from the redeeming Brigham Unit Holder for, at its election, (x) one share of Class A common stock or (y) an equivalent amount of cash (the "Call Right"). The decision to make a cash payment upon a Brigham Unit Holder's exercise of its Redemption Right is required to be made by the Company's directors who are independent under Section 10A-3 of the Securities Act and do not hold any Brigham LLC Units subject to such redemption. In connection with any redemption of Brigham LLC Units pursuant to the Redemption Right or acquisition pursuant to our Call Right, the corresponding number of shares of Class B common stock will be cancelled. Class B common stock is classified as temporary equity in the condensed consolidated balance sheet as, pursuant to the Brigham LLC Agreement, the Redemption Rights of each Brigham Unit Holder for either shares of Class A common stock or an equivalent amount of cash is not solely within Brigham Minerals' control. This is due to the fact that the holders of Class B common stock control a majority of the votes of the board of directors through direct representation on the board of directors, which allows the holders of Class B common stock to control the determination of whether to make a cash payment upon a Brigham Unit Holder's exercise of its Redemption Right. Temporary equity is recorded at the greater of the carrying value or redemption amount with a corresponding adjustment to additional paid-in capital. At March 31, 2020, the redemption amount was lower than its carrying value and as a result, the cumulative adjustment of temporary equity to redemption amount was reversed and temporary equity was presented at its carrying value. At June 30, 2020, temporary equity was adjusted to redemption value based on 17,612,638 shares of Class B common stock outstanding and Class A common stock 10-day volume-weighted average closing price of $12.16. This was subsequently reversed at September 30, 2020 because the redemption amount was lower than its carrying value, and as a result, temporary equity was presented at its carrying value. For the nine months ended September 30, 2020, the Company recorded adjustments to the value of temporary equity as presented in the table below: (In thousands) Temporary Equity Adjustments Balance - December 31, 2019 (1) $ 454,507 Conversion of Class B common stock to Class A common stock (1,526) Net income attributable to temporary equity 4,095 Distribution to holders of temporary equity (10,240) Adjustment of temporary equity to carrying value (2) (206,017) Balance - March 31, 2020 $ 240,819 Conversion of Class B common stock to Class A common stock (51,569) Net loss attributable to temporary equity (2,766) Distribution to holders of temporary equity (9,783) Adjustment of temporary equity to redemption value (3) 37,445 Balance - June 30, 2020 $ 214,146 Conversion of Class B common stock to Class A common stock (44,396) Net loss attributable to temporary equity (3,552) Distribution to holders of temporary equity (1,571) Adjustment of temporary equity to carrying value (4) (37,445) Balance - September 30, 2020 $ 127,182 (1) Based on 22,847,045 shares of Class B common stock outstanding and Class A common stock 10-day volume-weighted average closing price of $19.89 at December 31, 2019. (2) In connection with the IPO, the balance transferred from additional paid-in capital to temporary equity was the greater of redemption value or carrying value of the shares of Class B common stock at IPO and included an initial upward adjustment to redemption amount totaling $194.5 million. The redemption amount was lower than the carrying value as of March 31, 2020, and as such, Brigham Minerals adjusted temporary equity to equal carrying value. (3) Based on 17,612,638 shares of Class B common stock outstanding and Class A common stock 10-day volume-weighted average closing price of $12.16 at June 30, 2020. (4) The redemption amount was lower than the carrying value as of September 30, 2020, and as such, Brigham Minerals adjusted temporary equity to equal carrying value. |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Share-Based Compensation LLC Incentive Units As part of the Second Amended and Restated Limited Liability Company Agreement of Brigham Resources, LLC dated May 8, 2015, Brigham Resources authorized 120,000 restricted incentive units for issuance to management, independent directors, employees, and consultants (such incentive units, as converted as described below, the "Incentive Units”). Brigham Resources granted Incentive Units in April 2013 and September 2015 and 2018. In connection with the 2018 corporate reorganizations and the corporate reorganization consummated in connection with Brigham Minerals' IPO (collectively with the 2018 corporate reorganizations, the "corporate reorganization"), these Incentive Units were converted into units in Brigham Equity Holdings, LLC with equivalent rights, responsibilities, and preferences. The Incentive Units are subject to vesting as follows: 20% of the Incentive Units were vested on the date of grant and 20% of the Incentive Units vest on each anniversary of the date of grant if the holder remains continuously employed by Brigham Resources or its affiliates through the applicable vesting date. In connection with our IPO, holders of Incentive Units that were vested at such time received one share of Brigham Minerals' Class B common stock and one Brigham LLC Unit for each vested Incentive Unit. Upon vesting of the Incentive Units following the IPO, holders of the Incentive Units will receive one share of Brigham Minerals' Class B common stock and one Brigham LLC Unit for each vested Incentive Unit. In connection with the completion of the IPO, Brigham LLC and Brigham Equity Holdings discontinued granting new Incentive Units; however Brigham Equity Holdings will continue to administer the existing awards that remain outstanding until they are fully vested. As discussed in "Note 10—Temporary Equity," participants may receive one share of Brigham Minerals' Class A common stock in exchange for one share of Class B common stock and one Brigham LLC Unit, or cash at the option of Brigham Minerals. Brigham Minerals accounts for the Incentive Units as compensation cost measured at the fair value of the award on the date of grant. No compensation expense was recognized prior to the IPO because the IPO was not considered probable. A summary of Incentive Unit activity for the nine months ended September 30, 2020 is as follows: Incentive Units Number of Incentive Units Grant-date Fair Value Outstanding—January 1, 2020 212,733 $ 10.04 Vested 70,911 $ 10.04 Outstanding—September 30, 2020 141,822 $ 10.04 Brigham LLC used the Black-Scholes option pricing valuation model to assist management in its estimation of the grant-date fair value of the Incentive Units on the respective grant dates during 2013, 2015 and 2018. Long Term Incentive Plan In connection with the IPO, Brigham Minerals adopted the Brigham Minerals, Inc. 2019 Long Term Incentive Plan (“LTIP”) for employees, consultants and directors who perform services for Brigham Minerals. The LTIP provides for issuance of awards based on shares of Class A common stock. Brigham Minerals has issued restricted stock awards ("RSAs"), restricted stock units subject to time-based vesting ("RSUs") and restricted stock units subject to performance-based vesting ("PSUs") under the LTIP. The shares to be delivered under the LTIP shall be made available from (i) authorized but unissued shares, (ii) shares held as treasury stock or (iii) previously issued shares reacquired by Brigham Minerals including shares purchased on the open market. A total of 5,999,600 shares of Class A common stock have been authorized for issuance under the LTIP. At September 30, 2020, 3,466,893 shares of Class A common stock remained available for future grants. Currently, all RSAs, RSUs and PSUs granted under the LTIP are entitled to receive dividends (in the case of RSAs) or have dividend equivalent rights (“DERs”), which entitle holders of RSUs and PSUs to the same dividend value per share as holders of the Company's Class A common stock. Such dividends and DERs are subject to the same vesting and other terms and conditions as the corresponding unvested RSAs, RSUs, and PSUs. Dividends and DERs are accumulated and paid when the underlying shares vest. The fair value of the RSA awards granted with the right to receive dividends and RSU awards granted with the right to receive DERs are generally based on the trading price of the Company’s Class A common stock as of the date of grant. Brigham Minerals accounts for the awards granted under the LTIP as compensation cost measured at the fair value of the award on the date of grant. Brigham Minerals accounts for forfeitures as they occur. RSAs are grants of shares of Class A common stock subject to a risk of forfeiture and restrictions on transferability. The share-based compensation expense of such RSAs was determined using the closing price of Class A common stock on April 23, 2019, the date of grant, of $21.25. On April 23, 2019, 312,189 RSAs were granted and 152,742 RSAs vested immediately. During the three months ended March 31, 2020, the compensation committee of the Board of Directors of Brigham Minerals approved the accelerated vesting of 30,174 RSAs for certain employees who retired in February 2020. For the nine months ended September 30, 2020, the Company remitted $0.2 million in respect of the employee portion of applicable payroll tax withholding associated with vested RSAs which was satisfied through the surrender of 18,651 RSAs, both of which are presented as an adjustment to additional paid-in-capital and Class A common stock, respectively, included in the Company's condensed consolidated and combined statement of changes in shareholders' and members' equity included within this Quarterly Report. The remaining unvested RSAs generally vest in one-third increments on each of April 23, 2021 and 2022 and are subject to restrictions on transfer and are generally subject to a risk of forfeiture if the award recipient ceases providing services to Brigham Minerals prior to the lapse of such restrictions. The following table summarizes activity related to RSAs for the nine months ended September 30, 2020. Restricted Stock Awards Number of RSAs Grant Date Fair Value Unvested at January 1, 2020 148,456 $ 21.25 Vested (69,601) $ 21.25 Forfeited (9,390) $ 21.25 Unvested at September 30, 2020 69,465 $ 21.25 RSUs represent the right to receive shares of Class A common stock at the end of the vesting period in an amount equal to the number of RSUs that vest. The RSUs generally vest in one-third increments over a three-year period and are subject to restrictions on transfer and are generally subject to a risk of forfeiture if the award recipient ceases providing services to Brigham Minerals prior to the date the award vests. The share-based compensation cost of such RSUs was determined using the closing price on the applicable date of grant, which is then applied to the total number of RSUs granted. During the three months ended September 30, 2020, the compensation committee of the Board of Directors of Brigham Minerals approved the accelerated vesting of 10,598 RSUs for certain board members who resigned in September 2020. The following table summarizes activity related to RSUs for the nine months ended September 30, 2020. Restricted Stock Units Number of RSUs Weighted-Average Grant Date Fair Value Unvested at January 1, 2020 415,815 $ 21.25 Granted 544,045 $ 16.52 Vested (60,242) $ 19.84 Forfeited (12,086) $ 20.82 Unvested at September 30, 2020 887,532 $ 18.45 The Company has granted PSUs to certain officers and managers, which vest based on continuous employment and satisfaction of a performance metric based on the absolute total shareholder return of the Company’s common stock, including paid dividends, over an approximate three-year performance period. The terms and conditions of the PSUs allow for vesting of the awards ranging between 0% (or forfeiture) and 200% of target. Expense related to these PSUs is recognized on a straight-line basis over the length of the applicable performance period. All compensation cost related to the market-based awards will be recognized if the requisite service period is fulfilled, even if the market condition is not achieved. The grant date fair value of such PSUs was determined using a Monte Carlo simulation model that utilizes multiple input variables that determine the probability of satisfying the market condition stipulated in the award to calculate the fair value of the award. Expected volatilities in the model were estimated on the basis of historical volatility of a group of publicly traded oil and gas companies with a performance period of approximately three years. The risk-free interest rate was based on the United States Treasury rate for a term commensurate with the expected life of the grant. The following table summarizes activity related to PSUs for the nine months ended September 30, 2020. In addition, no PSUs became vested or were forfeited during the nine months ended September 30, 2020: Performance-Based Restricted Stock Units Target PSUs Estimated Earned PSUs Grant Date Fair Value Unvested at January 1, 2020 753,546 450,836 $ 20.36 Granted 434,265 174,106 $ 15.98 Unvested at September 30, 2020 1,187,811 624,942 $ 19.14 Share-Based Compensation Expense Share-based compensation expense is included in general and administrative expense in the Company's condensed consolidated and combined statement of operations included within this Quarterly Report. Share-based compensation expense recorded for each type of share-based compensation award for the three and nine months ended September 30, 2020 and 2019 is summarized in the table below. No share-based compensation expense was incurred prior to the IPO. Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2020 2019 2020 2019 Incentive Units (1) (4) $ 178 $ 559 $ 534 $ 2,726 RSAs (1) (5) 186 285 1,076 3,741 RSUs (1) 2,052 1,686 5,486 2,932 PSUs (2) 1,102 622 3,156 1,258 Capitalized share-based compensation (3) (1,562) (1,415) (4,560) (2,425) Total share-based compensation expense $ 1,956 $ 1,737 $ 5,692 $ 8,232 (1) Share-based compensation expense relating to Incentive Units, RSAs and RSUs with ratable vesting is recognized on a straight-line basis over the requisite service period for the entire award. (2) Share-based compensation expense relating to PSUs with cliff-vesting is recognized on a straight-line basis over the performance period for the entire award. (3) During the three and nine months ended September 30, 2020, Brigham Minerals capitalized $0.8 million and $2.6 million, respectively, of share-based compensation cost to unevaluated property and $0.7 million and $1.9 million, respectively, of share-based compensation cost to evaluated property. (4) Includes $2.0 million recorded at IPO. No compensation expense was recorded prior to the IPO because the IPO was not considered probable. (5) Includes $3.2 million recorded at grant date, associated with 152,742 RSAs, which vested immediately. Future Share-Based Compensation Expense The following table reflects the future share-based compensation expense expected to be recorded for the share-based compensation awards that were outstanding at September 30, 2020, a portion of which will be capitalized: (In thousands) Incentive Units RSAs RSUs PSUs Total Year 2020 $ 178 $ 186 $ 1,925 $ 1,103 $ 3,392 2021 712 738 6,770 4,374 12,594 2022 534 228 2,662 966 4,390 Total $ 1,424 $ 1,152 $ 11,357 $ 6,443 $ 20,376 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company computes its quarterly taxes under the effective tax rate method based on applying an anticipated annual effective rate to its year-to-date income, except for discrete items. Income taxes for discrete items are computed and recorded in the period that the specific transaction occurs. Income tax expense was as follows for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except for tax rate) 2020 2019 2020 2019 Income tax (benefit) expense $ (2,982) $ 807 $ (2,250) $ 1,114 Effective tax rate 18.6 % 8.7 % 16.9 % 10.7 % Total income tax expense for the three and nine months ended September 30, 2020 and 2019 differed from amounts computed by applying the U.S. federal statutory tax rate of 21% due to the impact of the temporary equity, net income attributable to predecessor, state taxes (net of the anticipated federal benefit), and percentage depletion in excess of basis. The effective tax rate for the three and nine months ended September 30, 2019 reflects the Company’s indirect 16.5% interest in Brigham Resources as a result of the 2018 corporate reorganizations. The effective tax rate for the three and nine months ended September 30, 2020 reflects the Company’s 76.7% ownership interest in Brigham LLC as a result of the IPO, the corporate reorganization, all subsequent primary and secondary equity offerings and redemptions of Brigham LLC Units and shares of Class B common stock for shares of Class A common stock completed subsequent to the IPO and prior to September 30, 2020. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments Brigham Minerals leases office space under operating leases. Rent expense for the three months ended September 30, 2020 and 2019 was $0.3 million and $0.2 million, respectively. Rent expense for the nine months ended September 30, 2020 and 2019 was $0.8 million and $0.4 million, respectively. Future minimum lease commitments under noncancelable operating leases at September 30, 2020 are presented below: (In thousands) Commitment Year 2020 (remainder of) $ 321 2021 1,345 2022 1,419 2023 1,498 2024 1,581 Thereafter 4,445 Total $ 10,609 Contingencies Brigham Minerals may, from time to time, be a party to certain lawsuits and claims arising in the ordinary course of business. The outcome of such lawsuits and claims cannot be estimated with certainty and management may not be able to estimate the range of possible losses. Brigham Minerals records reserves for contingencies when information available indicates that a loss is |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related-Party TransactionsBrigham Exploration Company, partially owned by Ben M. Brigham, on occasion leases some of our acreage at market rates. Brigham Minerals did not lease any acreage to Brigham Exploration Company during the three and nine months ended September 30, 2020 and therefore did not receive any payment for those periods. We did not receive payments for the three months ended September 30, 2019 from Brigham Exploration Company and for the nine months ended September 30, 2019, we received payments of $0.4 million.The Company is party to a services agreement with RS Energy Group, which provides the Company with certain software and services that assist in evaluating the acquisition of mineral interests. Warburg Pincus owned a controlling stake in RS Energy Group until February 2020. The service fees incurred under this agreement were $0.1 million for the three and nine months ended September 30, 2020 and 2019, respectively. |
COVID-19 Pandemic and Impact on
COVID-19 Pandemic and Impact on Global Demand for Oil and Natural Gas | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
COVID-19 Pandemic and Impact on Global Demand for Oil and Natural Gas | COVID-19 Pandemic and Impact on Global Demand for Oil and Natural Gas The ongoing global spread of a novel strain of coronavirus (SARS-Cov-2), which causes COVID-19, has caused a continuing disruption to the oil and natural gas industry and to our business by, among other things, contributing to a significant decrease in global crude oil demand and the price for oil beginning in the first quarter of 2020 and continuing through the third quarter of 2020. The declining commodity prices have adversely affected the revenues the Company receives for its royalty interests and could affect its ability to access the capital markets on terms favorable to the Company. Additionally, in response to the decline in commodity prices, many operators on the Company's properties have announced reductions in their estimated capital expenditures for 2020 and beyond, which has and will adversely affect the near-term development of the Company's properties during the second half of the year and into 2021. While these lower commodity prices initially resulted in some of the Company's operators shutting in or curtailing production from wells on its properties during the second quarter of 2020, the Company saw a majority of its operators resume production for previously curtailed and shut in wells in connection with the improvement of commodity prices in the third quarter of 2020. In response to the COVID-19 pandemic, the potential risk to Brigham Minerals' workforce and in compliance with stay at home orders, the Company successfully implemented policies and the technological infrastructure for all of its employees to work from home in the first quarter of 2020 and ceased all business travel. In compliance with the requirements for the re-opening of the Texas economy, the Company is currently operating its office at 75% capacity while continuing to support remote working for its employees that are considered high-risk pursuant to the Center for Disease Control and Prevention guidelines or have household members meeting the criteria of those guidelines. Due to these efforts, the Company has not experienced material disruptions to its operations or the health of its workforce and has maintained the engagement and connectivity of its personnel. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent EventsOn November 4, 2020, the Board of Directors of Brigham Minerals declared a dividend of $0.24 per share of Class A common stock payable on December 7, 2020, to shareholders of record at the close of business on November 30, 2020. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates These condensed, consolidated and combined financial statements and related notes are presented in accordance with GAAP. Preparation in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities in the condensed consolidated and combined financial statements and accompanying notes. Although management believes these estimates are reasonable, actual results could differ from these estimates. Changes in estimates are recorded prospectively. The accompanying condensed, consolidated and combined financial statements are based on a number of significant estimates including quantities of oil, natural gas and NGL reserves that are the basis for the calculations of depreciation, depletion, amortization (“DD&A”) and impairment of oil and natural gas properties. Reservoir engineering is a subjective process of estimating underground accumulations of oil and natural gas and there are numerous uncertainties inherent in estimating quantities of proved oil and natural gas reserves. The accuracy of any reserve estimate is a function of the quality of available data and of engineering and geological interpretation and judgment. As a result, reserve estimates may differ from the quantities of oil and natural gas that are ultimately recovered. Brigham Minerals’ year-end reserve estimates are audited by Cawley, Gillespie & Associates, Inc. (“CG&A”), an independent petroleum engineering firm. Quarterly reserve estimates are internally generated by our in-house engineering staff. Other items subject to significant estimates and assumptions include the carrying amount of oil and natural gas properties, valuation of derivative instruments, share-based compensation costs, and revenue accruals. |
Recently Issued Accounting Standards | Recently Adopted Accounting Standards Restricted cash includes cash that is contractually restricted for its use through an agreement with a non-related party. On December 31, 2019, the Company adopted ASU 2016-18, Statement of Cash Flows, which amends ASC 230 to add or clarify guidance on the classification and presentation of restricted cash in the statement of cash flows. The ASU requires entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. As a result, entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. Recently Issued Accounting Standards Not Yet Adopted Brigham Minerals’ status as an emerging growth company under Section 107 of the Jumpstart Our Business Startups Act of 2012 permits it to delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. Brigham Minerals is choosing to take advantage of this extended transition period and, as a result, Brigham Minerals will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for private companies. In February 2016, Financial Accounting Standards Board (the "FASB") issued ASU 2016-02, Leases, which requires all leasing arrangements to be presented in the balance sheet as liabilities along with a corresponding asset. ASU 2016-02 does not apply to leases of mineral rights to explore for or use crude oil and natural gas. The ASU will replace most existing lease guidance in GAAP when it becomes effective. In January 2018, the FASB issued ASU 2018-01, Land Easement Practical Expedient for Transition to Topic 842, to provide an optional practical expedient to not evaluate existing or expired land easements that were not previously accounted for as leases under Topic 840. In July 2018, the FASB issued ASU 2018-11 Leases (Topic 842): Targeted Improvements, which provides for another transition method, in addition to the existing transition method, by allowing entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption (i.e. comparative periods presented in the financial statements will continue to be in accordance with current GAAP (Topic 840, Leases)). The new standard becomes effective for us during the fiscal year ending December 31, 2022 and interim periods within the fiscal year ending December 31, 2023 and early adoption is permitted. We are currently evaluating the impact that the adoption of this update will have on our condensed consolidated and combined financial statements and related disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | The September 30, 2019 accompanying statement of cash flow that was adjusted as a result of adoption of ASU 2016-18 is summarized below: Nine Months Ended September 30, 2019 (In thousands) As reported As adjusted Changes in restricted cash held in escrow for acquisitions $ 33 $ — Net cash used in investing activities $ (179,850) $ (179,883) Decrease in cash, cash equivalents and restricted cash (6,137) (6,170) Cash, cash equivalents and restricted cash, beginning of period $ 31,985 $ 32,018 |
Schedule of Accounts Receivable | As of September 30, 2020 and December 31, 2019, accounts receivables was comprised of the following: (In thousands) September 30, 2020 December 31, 2019 Accounts receivables Oil and gas sales $ 17,727 $ 27,888 Reserve for bad debt (855) (556) Other 2,808 2,959 Total accounts receivables $ 19,680 $ 30,291 |
Schedules of Concentration of Risk, by Risk Factor | Concentrations of oil and gas sales to significant customers (operators) are presented in the table below. Three Months Ended September 30, Nine Months Ended September 30, Customer (Operator) Name 2020 2019 2020 2019 Continental Resources Inc 12 % 12 % 9 % 10 % Occidental Petroleum Corp 11 % 14 % 13 % 18 % Exxon Mobil Corp 10 % 15 % 9 % 8 % Royal Dutch Shell PLC 9 % 1 % 13 % 1 % |
Oil and Gas Properties (Tables)
Oil and Gas Properties (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Extractive Industries [Abstract] | |
Schedule of Oil and Gas Properties | Oil and gas properties as of the dates shown consisted of the following: (In thousands) September 30, 2020 December 31, 2019 Oil and gas properties, at cost, using the full cost method of accounting: Unevaluated property $ 318,693 $ 291,664 Evaluated property 472,687 449,061 Total oil and gas properties, at cost 791,380 740,725 Less accumulated depreciation, depletion, and amortization (116,532) (61,103) Total oil and gas properties, net $ 674,848 $ 679,622 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
Schedule of Asset Acquisitions | During the nine months ended September 30, 2020 and 2019, Brigham Minerals entered into a number of acquisitions of mineral and royalty interests from various sellers in Texas, Oklahoma, Colorado, New Mexico, and North Dakota, as reflected in the tables below. The change in the oil and natural gas property balance is comprised of payments for acquisitions of minerals, land brokerage costs and capitalized general and administrative expenses that for the nine months ended September 30, 2020 were funded with proceeds from the December 2019 Offering and our revolving credit facility (as defined below). The changes in the oil and natural gas property balance for the nine months ended September 30, 2019 were funded with proceeds from the Owl Rock credit facility (as defined below), our revolving credit facility, and the IPO. Oil and Gas Properties Acquired Cash Consideration Paid (In thousands) Evaluated Unevaluated Quarter Ended March 31, 2020 $ 9,471 $ 15,947 $ 25,418 Quarter Ended June 30, 2020 805 2,493 3,298 Quarter Ended September 30, 2020 6,881 10,499 17,380 Total $ 17,157 $ 28,939 $ 46,096 Oil and Gas Properties Acquired Cash Consideration Paid (In thousands) Evaluated Unevaluated Quarter Ended March 31, 2019 $ 27,929 $ 13,403 $ 41,332 Quarter Ended June 30, 2019 25,050 14,925 39,975 Quarter Ended September 30, 2019 63,787 35,251 99,038 Total $ 116,766 $ 63,579 $ 180,345 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The following table summarizes Brigham Minerals' gain (loss) on derivative instruments, net on its condensed consolidated and combined statement of operations for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2020 2019 2020 2019 Realized gain $ — $ 119 $ — $ 356 Unrealized gain (loss) — (28) — (877) Combined - realized/unrealized gain (loss) $ — $ 91 $ — $ (521) |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table reflects the allocation of net income to common shareholders and EPS computations for the period indicated based on a weighted average number of common stock outstanding for the period: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except per share data) 2020 2019 2020 2019 Basic EPS Numerator: Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 1,824 Less: net income attributable to Brigham Minerals, Inc. shareholders pre-IPO — — — (848) Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders post-IPO $ (9,465) $ 3,146 $ (8,809) $ 976 Denominator: Basic weighted average shares outstanding 40,124 21,838 36,475 13,299 Basic EPS attributable to Brigham Minerals, Inc. shareholders $ (0.24) $ 0.14 $ (0.24) $ 0.07 Diluted EPS Numerator: Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 976 Effects of dilutive securities: Effect of time-based restricted stock awards — — — — Diluted net (loss) income attributable to Brigham Minerals, Inc. shareholders $ (9,465) $ 3,146 $ (8,809) $ 976 Denominator: Basic weighted average shares outstanding 40,124 21,838 36,475 13,299 Effects of dilutive securities: Time-based restricted stock awards — 88 — 47 Diluted weighted average shares outstanding 40,124 21,926 36,475 13,346 Diluted EPS attributable to Brigham Minerals, Inc. shareholders $ (0.24) $ 0.14 $ (0.24) $ 0.07 |
Temporary Equity (Tables)
Temporary Equity (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Temporary Equity Disclosure [Abstract] | |
Temporary Equity | For the nine months ended September 30, 2020, the Company recorded adjustments to the value of temporary equity as presented in the table below: (In thousands) Temporary Equity Adjustments Balance - December 31, 2019 (1) $ 454,507 Conversion of Class B common stock to Class A common stock (1,526) Net income attributable to temporary equity 4,095 Distribution to holders of temporary equity (10,240) Adjustment of temporary equity to carrying value (2) (206,017) Balance - March 31, 2020 $ 240,819 Conversion of Class B common stock to Class A common stock (51,569) Net loss attributable to temporary equity (2,766) Distribution to holders of temporary equity (9,783) Adjustment of temporary equity to redemption value (3) 37,445 Balance - June 30, 2020 $ 214,146 Conversion of Class B common stock to Class A common stock (44,396) Net loss attributable to temporary equity (3,552) Distribution to holders of temporary equity (1,571) Adjustment of temporary equity to carrying value (4) (37,445) Balance - September 30, 2020 $ 127,182 (1) Based on 22,847,045 shares of Class B common stock outstanding and Class A common stock 10-day volume-weighted average closing price of $19.89 at December 31, 2019. (2) In connection with the IPO, the balance transferred from additional paid-in capital to temporary equity was the greater of redemption value or carrying value of the shares of Class B common stock at IPO and included an initial upward adjustment to redemption amount totaling $194.5 million. The redemption amount was lower than the carrying value as of March 31, 2020, and as such, Brigham Minerals adjusted temporary equity to equal carrying value. (3) Based on 17,612,638 shares of Class B common stock outstanding and Class A common stock 10-day volume-weighted average closing price of $12.16 at June 30, 2020. (4) The redemption amount was lower than the carrying value as of September 30, 2020, and as such, Brigham Minerals adjusted temporary equity to equal carrying value. |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Restricted Incentive Unit Activity | A summary of Incentive Unit activity for the nine months ended September 30, 2020 is as follows: Incentive Units Number of Incentive Units Grant-date Fair Value Outstanding—January 1, 2020 212,733 $ 10.04 Vested 70,911 $ 10.04 Outstanding—September 30, 2020 141,822 $ 10.04 The following table summarizes activity related to RSAs for the nine months ended September 30, 2020. Restricted Stock Awards Number of RSAs Grant Date Fair Value Unvested at January 1, 2020 148,456 $ 21.25 Vested (69,601) $ 21.25 Forfeited (9,390) $ 21.25 Unvested at September 30, 2020 69,465 $ 21.25 The following table summarizes activity related to RSUs for the nine months ended September 30, 2020. Restricted Stock Units Number of RSUs Weighted-Average Grant Date Fair Value Unvested at January 1, 2020 415,815 $ 21.25 Granted 544,045 $ 16.52 Vested (60,242) $ 19.84 Forfeited (12,086) $ 20.82 Unvested at September 30, 2020 887,532 $ 18.45 The following table summarizes activity related to PSUs for the nine months ended September 30, 2020. In addition, no PSUs became vested or were forfeited during the nine months ended September 30, 2020: Performance-Based Restricted Stock Units Target PSUs Estimated Earned PSUs Grant Date Fair Value Unvested at January 1, 2020 753,546 450,836 $ 20.36 Granted 434,265 174,106 $ 15.98 Unvested at September 30, 2020 1,187,811 624,942 $ 19.14 |
Schedule of Share-Based Compensation Expense | Share-based compensation expense recorded for each type of share-based compensation award for the three and nine months ended September 30, 2020 and 2019 is summarized in the table below. No share-based compensation expense was incurred prior to the IPO. Three Months Ended September 30, Nine Months Ended September 30, (In thousands) 2020 2019 2020 2019 Incentive Units (1) (4) $ 178 $ 559 $ 534 $ 2,726 RSAs (1) (5) 186 285 1,076 3,741 RSUs (1) 2,052 1,686 5,486 2,932 PSUs (2) 1,102 622 3,156 1,258 Capitalized share-based compensation (3) (1,562) (1,415) (4,560) (2,425) Total share-based compensation expense $ 1,956 $ 1,737 $ 5,692 $ 8,232 (1) Share-based compensation expense relating to Incentive Units, RSAs and RSUs with ratable vesting is recognized on a straight-line basis over the requisite service period for the entire award. (2) Share-based compensation expense relating to PSUs with cliff-vesting is recognized on a straight-line basis over the performance period for the entire award. (3) During the three and nine months ended September 30, 2020, Brigham Minerals capitalized $0.8 million and $2.6 million, respectively, of share-based compensation cost to unevaluated property and $0.7 million and $1.9 million, respectively, of share-based compensation cost to evaluated property. (4) Includes $2.0 million recorded at IPO. No compensation expense was recorded prior to the IPO because the IPO was not considered probable. (5) Includes $3.2 million recorded at grant date, associated with 152,742 RSAs, which vested immediately. Future Share-Based Compensation Expense The following table reflects the future share-based compensation expense expected to be recorded for the share-based compensation awards that were outstanding at September 30, 2020, a portion of which will be capitalized: (In thousands) Incentive Units RSAs RSUs PSUs Total Year 2020 $ 178 $ 186 $ 1,925 $ 1,103 $ 3,392 2021 712 738 6,770 4,374 12,594 2022 534 228 2,662 966 4,390 Total $ 1,424 $ 1,152 $ 11,357 $ 6,443 $ 20,376 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense | Income tax expense was as follows for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, (In thousands, except for tax rate) 2020 2019 2020 2019 Income tax (benefit) expense $ (2,982) $ 807 $ (2,250) $ 1,114 Effective tax rate 18.6 % 8.7 % 16.9 % 10.7 % |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | Future minimum lease commitments under noncancelable operating leases at September 30, 2020 are presented below: (In thousands) Commitment Year 2020 (remainder of) $ 321 2021 1,345 2022 1,419 2023 1,498 2024 1,581 Thereafter 4,445 Total $ 10,609 |
Business and Basis of Present_2
Business and Basis of Presentation (Details) | Sep. 15, 2020USD ($)$ / sharesshares | Jun. 12, 2020USD ($)$ / sharesshares | Dec. 16, 2019USD ($)$ / sharesshares | May 07, 2019USD ($) | Apr. 17, 2019USD ($)$ / sharesshares | Sep. 30, 2020segment | Jul. 31, 2018 |
Schedule of Equity Method Investments [Line Items] | |||||||
Number of operating segments | segment | 1 | ||||||
Brigham LLC | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Ownership percentage by subsidiary | 43.30% | ||||||
Percentage of voting rights owned | 100.00% | ||||||
Brigham Resources | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Equity method investment, ownership percentage | 16.50% | ||||||
Initial Public Offering | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Consideration received | $ | $ 273,400,000 | ||||||
Initial Public Offering | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 16,675,000 | ||||||
Share price (in dollars per share) | $ / shares | $ 18 | ||||||
December Offering | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 12,650,000 | ||||||
December Offering, Company | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Consideration received | $ | $ 102,700,000 | ||||||
December Offering, Company | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 6,000,000 | ||||||
December Offering, Selling Shareholders | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 6,650,000 | ||||||
Share price (in dollars per share) | $ / shares | $ 18.10 | ||||||
Share price, net (in dollars per share) | $ / shares | $ 17.376 | ||||||
December Offering, Equivalent Units Issued | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 5,496,813 | ||||||
June Offering | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 6,600,000 | ||||||
Share price (in dollars per share) | $ / shares | $ 13.75 | ||||||
Proceeds from issuance of common stock | $ | $ 0 | ||||||
June Offering, Equivalent Units Issued By Selling Shareholders' | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 4,872,669 | ||||||
September Offering | Brigham LLC | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, ownership percentage | 76.70% | ||||||
September Offering | Existing Owners of Brigham Minerals | Brigham LLC | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, ownership percentage | 23.30% | ||||||
September Offering | Other Entities Affiliated with Yorktown Partners LLC and Pine Brook Road Advisors, LP | Brigham Minerals | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, ownership percentage | 17.00% | ||||||
September Offering | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 5,021,140 | ||||||
Share price (in dollars per share) | $ / shares | $ 8.20 | ||||||
Proceeds from issuance of common stock | $ | $ 0 | ||||||
Repurchase of common stock (in shares) | 436,630 | ||||||
September Offering, Over-Allotment Option | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 654,931 | ||||||
September Offering, Equivalent Units Issued By Selling Shareholders' | Class A Common Stock | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Sale of stock, number of shares issued (in shares) | 3,062,011 | ||||||
New Revolving Credit Facility | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Repayments of lines of credit | $ | $ 80,000,000 | $ 200,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Effect of Adoption on Cash Flow (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Changes in restricted cash held in escrow for acquisitions | $ 0 | |
Net cash used in investing activities | $ (44,771) | (179,883) |
Decrease in cash, cash equivalents and restricted cash | (42,613) | (6,170) |
Cash and cash equivalents and restricted cash, beginning of period | $ 51,133 | 32,018 |
Previously Reported | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Changes in restricted cash held in escrow for acquisitions | 33 | |
Net cash used in investing activities | (179,850) | |
Decrease in cash, cash equivalents and restricted cash | (6,137) | |
Cash and cash equivalents and restricted cash, beginning of period | $ 31,985 |
Summary of Significant Accounts
Summary of Significant Accounts Policies - Schedule of Accounts Receivable (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Accounting Policies [Abstract] | ||
Oil and gas sales | $ 17,727 | $ 27,888 |
Reserve for bad debt | (855) | (556) |
Other | 2,808 | 2,959 |
Total accounts receivables | $ 19,680 | $ 30,291 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Concentration of Credit Risk (Details) - customer | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Concentration Risk [Line Items] | ||||
Concentration risk, number of customers | 150 | 150 | ||
Revenue Benchmark | Continental Resources, Inc. | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (as a percentage) | 12.00% | 12.00% | 9.00% | 10.00% |
Revenue Benchmark | Occidental Petroleum Corp | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (as a percentage) | 11.00% | 14.00% | 13.00% | 18.00% |
Revenue Benchmark | Exxon Mobil Corp | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (as a percentage) | 10.00% | 15.00% | 9.00% | 8.00% |
Revenue Benchmark | Royal Dutch Shell PLC | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (as a percentage) | 9.00% | 1.00% | 13.00% | 1.00% |
Revenue Benchmark | Top Ten Operators | Customer Concentration Risk | ||||
Concentration Risk [Line Items] | ||||
Concentration risk (as a percentage) | 63.00% | 63.00% |
Oil and Gas Properties - Schedu
Oil and Gas Properties - Schedule of Oil and Gas Properties (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Oil and gas properties, at cost, using the full cost method of accounting: | ||
Unevaluated property | $ 318,693 | $ 291,664 |
Evaluated property | 472,687 | 449,061 |
Total oil and gas properties, at cost | 791,380 | 740,725 |
Less accumulated depreciation, depletion, and amortization | (116,532) | (61,103) |
Total oil and gas properties, net | $ 674,848 | $ 679,622 |
Oil and Gas Properties - Narrat
Oil and Gas Properties - Narrative (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2020USD ($)MBoe$ / Boe | Sep. 30, 2019USD ($)$ / Boe | Sep. 30, 2020USD ($) | Sep. 30, 2020$ / Boe | Sep. 30, 2020$ / bbl | Sep. 30, 2020$ / MMBTU | Sep. 30, 2020MBoe | Sep. 30, 2019USD ($)$ / Boe | |
Extractive Industries [Abstract] | ||||||||
Depletion expense | $ 11,600 | $ 8,300 | $ 35,000 | $ 19,900 | ||||
Average depletion of proved properties (in dollars per Boe) | $ / Boe | 13.58 | 11.49 | 13.40 | 10.91 | ||||
Capitalized costs | $ 2,600 | $ 2,300 | 7,600 | $ 5,000 | ||||
Ceiling limitation, oil price used (in dollars per BOE/MMbtu) | 43.55 | 1.98 | ||||||
Impairment of oil and gas properties | $ 18,905 | $ 0 | $ 18,905 | $ 0 | ||||
Decrease in proved undeveloped reserves (in MBoe) | MBoe | 228 | 5,279 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Schedule of Acquisitions (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Business Combinations [Abstract] | ||||||||
Assets acquired, evaluated | $ 6,881 | $ 805 | $ 9,471 | $ 63,787 | $ 25,050 | $ 27,929 | $ 17,157 | $ 116,766 |
Assets acquired, unevaluated | 10,499 | 2,493 | 15,947 | 35,251 | 14,925 | 13,403 | 28,939 | 63,579 |
Cash consideration paid | $ 17,380 | $ 3,298 | $ 25,418 | $ 99,038 | $ 39,975 | $ 41,332 | $ 46,096 | $ 180,345 |
Revenue from contracts with c_2
Revenue from contracts with customers (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Revenue from Contract with Customer [Abstract] | ||
Oil and gas sales | $ 17,727 | $ 27,888 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - USD ($) $ in Millions | May 31, 2019 | Jul. 31, 2018 |
Brigham Resources, LLC | ||
Derivative [Line Items] | ||
Cash collateral posted for existing swap contracts | $ 1.6 | $ 1.4 |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Gains (Losses) on Derivatives (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
Realized gain | $ 0 | $ 119 | $ 0 | $ 356 |
Unrealized gain (loss) | 0 | (28) | 0 | (877) |
Combined - realized/unrealized gain (loss) | $ 0 | $ 91 | $ 0 | $ (521) |
Long-Term Debt (Details)
Long-Term Debt (Details) | Dec. 16, 2019USD ($) | May 16, 2019 | May 07, 2019USD ($) | Jul. 27, 2018USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) |
Debt Instrument [Line Items] | |||||||
Loss on extinguishment of debt | $ 6,900,000 | $ 0 | $ 6,933,000 | ||||
Unamortized debt issuance costs written off | 4,000,000 | ||||||
Prepayment premium paid | 2,100,000 | 0 | $ 2,091,000 | ||||
Legal fees paid | 800,000 | ||||||
Term Loan Facility | |||||||
Debt Instrument [Line Items] | |||||||
Line of credit, borrowing base | $ 125,000,000 | ||||||
Term Loan Facility | Base Rate | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 4.50% | ||||||
Term Loan Facility | London Interbank Offered Rate (LIBOR) | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 5.50% | ||||||
Term Loan Facility | London Interbank Offered Rate (LIBOR) | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate, floor (as a percent) | 1.00% | ||||||
Delayed Draw Term Loan | |||||||
Debt Instrument [Line Items] | |||||||
Line of credit, borrowing base | $ 75,000,000 | ||||||
New Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of lines of credit | $ 80,000,000 | $ 200,000,000 | |||||
Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Repayment of debt outstanding | 70,000,000 | $ 80,000,000 | |||||
Line of credit, borrowing base | 135,000,000 | ||||||
Line of credit, outstanding borrowings | 5,000,000 | ||||||
Line of credit, availability for future borrowings | $ 130,000,000 | ||||||
Revolving Credit Facility | Term Loan Facility | |||||||
Debt Instrument [Line Items] | |||||||
Line of credit, borrowing base | $ 10,000,000 | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, covenant, current ratio, minimum | 1 | ||||||
Debt instrument, covenant, total net funded debt to consolidated EBITDA ratio, maximum | 4 | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Interest period, one month | |||||||
Debt Instrument [Line Items] | |||||||
Interest period (in months) | 1 month | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Interest period, two months | |||||||
Debt Instrument [Line Items] | |||||||
Interest period (in months) | 2 months | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Interest period, three months | |||||||
Debt Instrument [Line Items] | |||||||
Interest period (in months) | 3 months | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Interest period, four months | |||||||
Debt Instrument [Line Items] | |||||||
Interest period (in months) | 6 months | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Interest period, twelve months | |||||||
Debt Instrument [Line Items] | |||||||
Interest period (in months) | 12 months | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee, percentage | 0.375% | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee, percentage | 0.50% | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 1.75% | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 2.75% | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Adjusted Base Rate | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 0.75% | ||||||
Brigham Resources, LLC | New Revolving Credit Facility | Adjusted Base Rate | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 1.75% |
Shareholders' Equity - Narrativ
Shareholders' Equity - Narrative (Details) | Sep. 15, 2020$ / sharesshares | Sep. 30, 2020voteshares | Dec. 31, 2019shares |
Class of Stock [Line Items] | |||
Treasury stock (in shares) | 436,630 | 0 | |
Class A Common Stock | |||
Class of Stock [Line Items] | |||
Common stock outstanding (in shares) | 43,315,863 | 34,040,934 | |
Number of votes per share (vote) | vote | 1 | ||
Class A Common Stock | September Offering | |||
Class of Stock [Line Items] | |||
Purchase of treasury stock (in shares) | 436,630 | ||
Common shares acquired (in dollars per share) | $ / shares | $ 8.08 | ||
Treasury stock (in shares) | 436,630 | ||
Class B Common Stock | |||
Class of Stock [Line Items] | |||
Common stock outstanding (in shares) | 13,167,687 | 22,847,045 | |
Number of votes per share (vote) | vote | 1 | ||
Performance-Based Restricted Stock Units | |||
Class of Stock [Line Items] | |||
Shares granted during period (in shares) | 1,187,811 |
Shareholders' Equity - Schedule
Shareholders' Equity - Schedule of Earnings per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 2 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Apr. 16, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Numerator: | |||||||||
Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders | $ 314 | $ (2,170) | $ (9,465) | $ (4,050) | $ 4,706 | $ 3,146 | $ 534 | $ (8,809) | $ 1,824 |
Less: net income attributable to Brigham Minerals, Inc. shareholders pre-IPO | 0 | 0 | 0 | (848) | |||||
Basic net (loss) income attributable to Brigham Minerals, Inc. shareholders post-IPO | $ (9,465) | $ 3,146 | $ (8,809) | $ 976 | |||||
Denominator: | |||||||||
Basic weighted average shares outstanding (in shares) | 40,124 | 21,838 | 36,475 | 13,299 | |||||
Basic EPS attributable to Brigham Minerals, Inc. shareholders (in dollars per share) | $ (0.24) | $ 0.14 | $ (0.24) | $ 0.07 | |||||
Numerator: | |||||||||
Effect of time-based restricted stock awards | $ 0 | $ 0 | $ 0 | $ 0 | |||||
Diluted net (loss) income attributable to Brigham Minerals, Inc. shareholders | $ (9,465) | $ 3,146 | $ (8,809) | $ 976 | |||||
Denominator: | |||||||||
Basic weighted average shares outstanding (in shares) | 40,124 | 21,838 | 36,475 | 13,299 | |||||
Effects of dilutive securities: | |||||||||
Time-based restricted stock awards (in shares) | 0 | 88 | 0 | 47 | |||||
Diluted weighted average shares outstanding (in shares) | 40,124 | 21,926 | 36,475 | 13,346 | |||||
Diluted EPS attributable to Brigham Minerals, Inc. shareholders (in dollars per share) | $ (0.24) | $ 0.14 | $ (0.24) | $ 0.07 |
Temporary Equity (Details)
Temporary Equity (Details) $ / shares in Units, $ in Thousands | Apr. 17, 2019USD ($)vote | Jun. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($)$ / sharesshares | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)vote | Dec. 31, 2019$ / sharesshares |
Increase (Decrease) in Temporary Equity [Roll Forward] | ||||||||
Beginning balance | $ 214,146 | $ 240,819 | $ 454,507 | $ 454,507 | ||||
Conversion of Class B common stock to Class A common stock | (44,396) | (51,569) | (1,526) | |||||
Net income attributable to temporary equity | (3,552) | (2,766) | 4,095 | |||||
Distribution to holders of temporary equity | (1,571) | (9,783) | (10,240) | |||||
Adjustment of temporary equity to redemption value | $ 194,500 | $ 97,344 | (37,445) | 37,445 | (206,017) | $ (3,797) | ||
Ending balance | $ 127,182 | $ 214,146 | $ 240,819 | $ 127,182 | ||||
Class B Common Stock | ||||||||
Temporary Equity [Line Items] | ||||||||
Number of votes per share (vote) | vote | 1 | |||||||
Conversion of shares, number of shares received | vote | 1 | |||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||||||||
Temporary equity (in shares) | shares | 17,612,638 | 22,847,045 | ||||||
Temporary equity, share price (in dollars per share) | $ / shares | $ 12.16 | $ 19.89 | ||||||
Class A Common Stock | ||||||||
Temporary Equity [Line Items] | ||||||||
Number of votes per share (vote) | vote | 1 | |||||||
Conversion of shares, number of shares received | vote | 1 | |||||||
Existing Owners of Brigham Minerals | Class B Common Stock | ||||||||
Temporary Equity [Line Items] | ||||||||
Number of votes per share (vote) | vote | 1 |
Share-Based Compensation - Narr
Share-Based Compensation - Narrative (Details) $ / shares in Units, $ in Millions | Apr. 23, 2019$ / sharesshares | Apr. 17, 2019vote | Sep. 30, 2020shares | Mar. 31, 2020shares | Sep. 30, 2020USD ($)$ / sharesshares | May 08, 2015shares |
Class B Common Stock | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Conversion of shares, number of shares received | vote | 1 | |||||
Class A Common Stock | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Conversion of shares, number of shares received | vote | 1 | |||||
Incentive Units | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized (in shares) | 120,000 | |||||
Award vesting percentage at grant (as a percent) | 20.00% | |||||
Award vesting percentage on each anniversary (as a percent) | 20.00% | |||||
Conversion of shares, number of shares received | vote | 1 | |||||
Vested (in shares) | 70,911 | |||||
RSAs | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares granted during period, grant date fair value (in dollars per share) | $ / shares | $ 21.25 | |||||
Shares granted during period (in shares) | 312,189 | |||||
Vested (in shares) | 152,742 | 69,601 | ||||
Accelerated vesting of RSAs (in shares) | 30,174 | |||||
Payment in payroll tax withholding | $ | $ 0.2 | |||||
Shares surrendered for tax withholdings on vesting equity awards (in shares) | 18,651 | |||||
RSAs | First anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
RSAs | Second anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
RSAs | Third anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
Performance-Based Restricted Stock Units | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares granted during period, grant date fair value (in dollars per share) | $ / shares | $ 15.98 | |||||
Shares granted during period (in shares) | 1,187,811 | |||||
Period of expense recognition | 3 years | |||||
Performance-Based Restricted Stock Units | Minimum | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 0.00% | |||||
Performance-Based Restricted Stock Units | Maximum | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 200.00% | |||||
RSUs | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares granted during period, grant date fair value (in dollars per share) | $ / shares | $ 16.52 | |||||
Shares granted during period (in shares) | 544,045 | |||||
Vested (in shares) | 60,242 | |||||
Accelerated vesting of RSAs (in shares) | 10,598 | |||||
Award vesting period (in years) | 3 years | |||||
RSUs | First anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
RSUs | Second anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
RSUs | Third anniversary | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting percentage at grant (as a percent) | 33.34% | |||||
Long Term Incentive Plan | Class A Common Stock | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized (in shares) | 5,999,600 | 5,999,600 | ||||
Shares available for future grants (in shares) | 3,466,893 | 3,466,893 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Restricted Stock Unit Activity (Details) - $ / shares | Apr. 23, 2019 | Sep. 30, 2020 |
Incentive Units | ||
Number of Incentive Units | ||
Beginning balance (in shares) | 212,733 | |
Vested (in shares) | (70,911) | |
Ending balance (in shares) | 141,822 | |
Grant-date Fair Value | ||
Beginning balance (in dollars per share) | $ 10.04 | |
Grant-date fair value, Vested (in dollars per share) | 10.04 | |
Ending balance (in dollars per share) | $ 10.04 | |
RSAs | ||
Number of Incentive Units | ||
Beginning balance (in shares) | 148,456 | |
Granted (in shares) | 312,189 | |
Vested (in shares) | (152,742) | (69,601) |
Forfeited (in shares) | (9,390) | |
Ending balance (in shares) | 69,465 | |
Grant-date Fair Value | ||
Beginning balance (in dollars per share) | $ 21.25 | |
Grant-date fair value, Granted (in dollars per share) | $ 21.25 | |
Grant-date fair value, Vested (in dollars per share) | 21.25 | |
Grant-date fair value, Forfeited (in dollars per share) | 21.25 | |
Ending balance (in dollars per share) | $ 21.25 | |
RSUs | ||
Number of Incentive Units | ||
Beginning balance (in shares) | 415,815 | |
Granted (in shares) | 544,045 | |
Vested (in shares) | (60,242) | |
Forfeited (in shares) | (12,086) | |
Ending balance (in shares) | 887,532 | |
Grant-date Fair Value | ||
Beginning balance (in dollars per share) | $ 21.25 | |
Grant-date fair value, Granted (in dollars per share) | 16.52 | |
Grant-date fair value, Vested (in dollars per share) | 19.84 | |
Grant-date fair value, Forfeited (in dollars per share) | 20.82 | |
Ending balance (in dollars per share) | $ 18.45 | |
Target PSUs | ||
Number of Incentive Units | ||
Beginning balance (in shares) | 753,546 | |
Granted (in shares) | 434,265 | |
Ending balance (in shares) | 1,187,811 | |
Estimated Earned PSUs | ||
Number of Incentive Units | ||
Beginning balance (in shares) | 450,836 | |
Granted (in shares) | 174,106 | |
Ending balance (in shares) | 624,942 | |
Performance-Based Restricted Stock Units | ||
Number of Incentive Units | ||
Granted (in shares) | 1,187,811 | |
Grant-date Fair Value | ||
Beginning balance (in dollars per share) | $ 20.36 | |
Grant-date fair value, Granted (in dollars per share) | 15.98 | |
Ending balance (in dollars per share) | $ 19.14 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Compensation Expense and Future Stock Compensation Expense (Details) - USD ($) $ in Thousands | Apr. 23, 2019 | Apr. 17, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Compensation expense | $ 2,000 | |||||
Capitalized share-based compensation | $ (1,562) | $ (1,415) | $ (4,560) | $ (2,425) | ||
Total share-based compensation expense | 1,956 | 1,737 | 5,692 | 8,232 | ||
Future share-based compensation expense | 20,376 | |||||
2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 3,392 | |||||
2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 12,594 | |||||
2022 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 4,390 | |||||
Incentive Units | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Compensation expense | 178 | 559 | 534 | 2,726 | ||
Future share-based compensation expense | 1,424 | |||||
Incentive Units | 2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 178 | |||||
Incentive Units | 2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 712 | |||||
Incentive Units | 2022 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 534 | |||||
RSAs | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Compensation expense | $ 3,200 | 186 | 285 | 1,076 | 3,741 | |
Future share-based compensation expense | 1,152 | |||||
RSAs | 2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 186 | |||||
RSAs | 2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 738 | |||||
RSAs | 2022 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 228 | |||||
RSUs | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Compensation expense | 2,052 | 1,686 | 5,486 | 2,932 | ||
Future share-based compensation expense | 11,357 | |||||
RSUs | 2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 1,925 | |||||
RSUs | 2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 6,770 | |||||
RSUs | 2022 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 2,662 | |||||
PSUs | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Compensation expense | 1,102 | $ 622 | 3,156 | $ 1,258 | ||
Future share-based compensation expense | 6,443 | |||||
PSUs | 2020 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 1,103 | |||||
PSUs | 2021 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 4,374 | |||||
PSUs | 2022 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Future share-based compensation expense | 966 | |||||
Unevaluated Property | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Capitalized share-based compensation | (800) | (2,600) | ||||
Evaluated Property | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Capitalized share-based compensation | $ (700) | $ (1,900) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Jul. 31, 2018 | |
Operating Loss Carryforwards [Line Items] | |||||
Income tax (benefit) expense | $ (2,982) | $ 807 | $ (2,250) | $ 1,114 | |
Effective tax rate (as a percent) | 18.60% | 8.70% | 16.90% | 10.70% | |
September Offering | Brigham LLC | |||||
Operating Loss Carryforwards [Line Items] | |||||
Sale of stock, ownership percentage | 76.70% | ||||
Brigham Resources | |||||
Operating Loss Carryforwards [Line Items] | |||||
Equity method investment, ownership percentage | 16.50% |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | ||||
Rent expense | $ 300 | $ 200 | $ 800 | $ 400 |
2020 (remainder of) | 321 | 321 | ||
2021 | 1,345 | 1,345 | ||
2022 | 1,419 | 1,419 | ||
2023 | 1,498 | 1,498 | ||
2024 | 1,581 | 1,581 | ||
Thereafter | 4,445 | 4,445 | ||
Total | $ 10,609 | $ 10,609 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Ben M. Brigham | ||||
Related Party Transaction [Line Items] | ||||
Amount received from related party | $ 0 | $ 0 | $ 0 | $ 400,000 |
RS Energy Group | Service Agreement For Evaluating The Acquisition Of Mineral Interests | Maximum | ||||
Related Party Transaction [Line Items] | ||||
Service fees incurred under agreement | $ 100,000 | $ 100,000 | $ 100,000 | $ 100,000 |
COVID-19 Pandemic and Impact _2
COVID-19 Pandemic and Impact on Global Demand for Oil and Natural Gas (Details) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Office capacity, percent reopened | 75.00% |
Subsequent Events (Details)
Subsequent Events (Details) | Nov. 04, 2020$ / shares |
Class A Common Stock | Subsequent Event | |
Subsequent Event [Line Items] | |
Dividends declared (in dollars per share) | $ 0.24 |