Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2018	Aug. 15, 2018
Document Documentand Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2
Entity Registrant Name	Harvest Oil & Gas Corp.
Entity Central Index Key	0001361937
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		10,000,016

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Predecessor [Member]
Current assets:
Cash and cash equivalents		$ 4,896
Accounts receivable:
Oil, natural gas and natural gas liquids revenues		47,694
Other		78
Derivative asset		3,052
Other current assets		5,713
Total current assets		61,433
Oil and natural gas properites, net of accumulated depreciation, depletion and amortization; June 30, 2018, $2,730; December 31, 2017, $1,191,559		1,375,527
Other assets		4,845
Total assets		1,441,805
Current liabilities:
Third party		43,817
Related party		4,194
Derivative liability		396
Current portion of long-term debt		605,549
Total current liabilities		653,956
Asset retirement obligations		158,793
Other long-term liabilities		1,044
Commitments and contingencies (Note 10)
Stockholders' / owners' equity:
Predecessor common unitholders - 49,368,869 units issued and outstanding as of December 31, 2017		648,371
Predecessor general partner interest		(20,359)
Total stockholders' / owners' equity		628,012
Total liabilities and equity		$ 1,441,805
Successor [Member]
Current assets:
Cash and cash equivalents	$ 5,354
Restricted cash	7,650
Accounts receivable:
Oil, natural gas and natural gas liquids revenues	48,794
Other	1,377
Other current assets	2,628
Total current assets	65,803
Oil and natural gas properites, net of accumulated depreciation, depletion and amortization; June 30, 2018, $2,730; December 31, 2017, $1,191,559	617,327
Long-term derivative asset	232
Other assets	6,164
Total assets	689,526
Current liabilities:
Third party	35,303
Derivative liability	4,184
Total current liabilities	39,487
Asset retirement obligations	120,598
Long-term debt, net	280,000
Long-term derivative liability	280
Other long-term liabilities	1,021
Commitments and contingencies (Note 10)
Stockholders' / owners' equity:
Successor common stock - $0.01 par value; 65,000,000 shares authorized; 10,000,016 shares issued and outstanding as of June 30, 2018	100
Successor additional paid in capital	248,578
Successor retained earnings (accumulated deficit)	(538)
Total stockholders' / owners' equity	248,140
Total liabilities and equity	$ 689,526

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Predecessor [Member]
Oil and natural gas properties, accumulated depreciation, depletion and amortization		$ 1,191,559
Predecessor [Member] \| Common Unitholders
Common unitholders, units issued		49,368,869
Common unitholders, units outstanding		49,368,869
Successor [Member]
Oil and natural gas properties, accumulated depreciation, depletion and amortization	$ 2,730
Successor common stock, par value	$ 0.01
Successor common stock, shares authorized	65,000,000
Successor common stock, shares issued	10,000,016
Successor common stock, shares, outstanding	10,000,016

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands	1 Months Ended	2 Months Ended	3 Months Ended	5 Months Ended	6 Months Ended
	Jun. 30, 2018	May 31, 2018	Jun. 30, 2017	May 31, 2018	Jun. 30, 2017
Other income (expense), net:
Income tax benefit	$ 0
Predecessor [Member]
Revenues:
Oil, natural gas and natural gas liquids revenues		$ 42,749,000	$ 55,404,000	$ 110,307,000	$ 111,723,000
Transportation and marketing-related revenues		340,000	648,000	724,000	1,316,000
Total revenues		43,089,000	56,052,000	111,031,000	113,039,000
Operating costs and expenses:
Lease operating expenses		17,828,000	26,235,000	45,372,000	50,174,000
Cost of purchased natural gas		242,000	460,000	557,000	940,000
Dry hole and exploration costs		40,000	75,000	122,000	55,000
Production taxes		1,818,000	2,496,000	5,343,000	5,255,000
Accretion expense on obligations		1,279,000	1,870,000	3,176,000	3,869,000
Depreciation, depletion and amortization		19,194,000	21,531,000	46,196,000	48,511,000
General and administrative expenses		7,923,000	7,023,000	15,648,000	13,719,000
Restructuring costs				5,211,000
Impairment of oil and natural gas properties			18,397,000	3,000	67,984,000
(Gain) loss on sales of oil and natural gas properties		7,000	(9,000)	5,000	(35,000)
Total operating costs and expenses		48,331,000	78,078,000	121,633,000	190,472,000
Operating income (loss)		(5,242,000)	(22,026,000)	(10,602,000)	(77,433,000)
Other income (expense), net:
Gain (loss) on derivatives, net		45,000	6,511,000	444,000	20,740,000
Interest expense		(3,176,000)	(10,435,000)	(13,652,000)	(20,409,000)
Other income, net		474,000	723,000	776,000	1,081,000
Total other income (expense), net		(2,657,000)	(3,201,000)	(12,432,000)	1,412,000
Reorganization items, net		(587,325,000)		(587,325,000)
Loss before income taxes		(595,224,000)	(25,227,000)	(610,359,000)	(76,021,000)
Income tax benefit		148,000	66,000	(166,000)	29,000
Net loss		$ (595,076,000)	$ (25,161,000)	$ (610,525,000)	$ (75,992,000)
Earnings per share/unit(basic and diluted):
Net loss		$ (11.81)	$ (0.50)	$ (12.12)	$ (1.51)
Weighted average common shares/units outstanding
Weighted average common shares shares/units outstanding (basic and diluted)		49,369	49,369	49,369	49,345
Successor [Member]
Revenues:
Oil, natural gas and natural gas liquids revenues	21,535,000
Transportation and marketing-related revenues	185,000
Total revenues	21,720,000
Operating costs and expenses:
Lease operating expenses	9,375,000
Cost of purchased natural gas	129,000
Dry hole and exploration costs	43,000
Production taxes	970,000
Accretion expense on obligations	789,000
Depreciation, depletion and amortization	2,730,000
General and administrative expenses	2,029,000
(Gain) loss on sales of oil and natural gas properties	(19,000)
Total operating costs and expenses	16,046,000
Operating income (loss)	5,674,000
Other income (expense), net:
Gain (loss) on derivatives, net	(4,232,000)
Interest expense	(1,199,000)
Other income, net	27,000
Total other income (expense), net	(5,404,000)
Reorganization items, net	(808,000)
Loss before income taxes	(538,000)
Net loss	$ (538,000)
Earnings per share/unit(basic and diluted):
Net loss	$ (0.05)
Weighted average common shares/units outstanding
Weighted average common shares shares/units outstanding (basic and diluted)	10,000

Condensed Consolidated Statements of Changes in Owners' Equity - USD ($) shares in Thousands, $ in Thousands	Senior Note Holders [Member] Common Stock [Member]	Senior Note Holders [Member] Additional Paid-in Capital [Member]	Senior Note Holders [Member]	Predecessor Unit Holders [Member] Common Stock [Member]	Predecessor Unit Holders [Member] Additional Paid-in Capital [Member]	Predecessor Unit Holders [Member]	Common Unitholders	General Partner Interest	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings (Accumulated Deficit) [Member]	Total
Beginning Balance (Predecessor [Member]) at Dec. 31, 2017							$ 648,371	$ (20,359)				$ 628,012
Contributions from general partner \| Predecessor [Member]								40				40
Issuance of common stock to Predecessor common unitholders \| Predecessor [Member]							(11,967)					(11,967)
Issuance of warrants to Predecessor common unitholders \| Predecessor [Member]							(9,345)					(9,345)
Cancellation of Predecessor common unitholders \| Predecessor [Member]							(32,453)					(32,453)
Cancellation of Predecessor general partner interest \| Predecessor [Member]								32,454				32,454
Equity-based compensation \| Predecessor [Member]							3,708	76				3,784
Net loss \| Predecessor [Member]							$ (598,314)	$ (12,211)				(610,525)
Stockholders' Equity Attributable to Parent, Ending Balance (Successor [Member]) at May. 31, 2018									$ 100	$ 248,578		248,678
Stockholders' Equity Attributable to Parent, Ending Balance at May. 31, 2018												248,678
Shares, Outstanding, Ending Balance (Successor [Member]) at May. 31, 2018									10,000
Issuance of successor commons stock to predecessor equity \| Successor [Member]	9,500			500
Issuance of successor commons stock to predecessor equity, value \| Successor [Member]	$ 95	$ 227,271	$ 227,366	$ 5	$ 11,962	$ 11,967
Issuance of warrants \| Successor [Member]										9,345		9,345
Net loss \| Successor [Member]											$ (538)	(538)
Stockholders' Equity Attributable to Parent, Ending Balance (Successor [Member]) at Jun. 30, 2018									$ 100	$ 248,578	$ (538)	$ 248,140
Shares, Outstanding, Ending Balance (Successor [Member]) at Jun. 30, 2018									10,000

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	1 Months Ended	5 Months Ended	6 Months Ended
	Jun. 30, 2018	May 31, 2018	Jun. 30, 2017
Predecessor [Member]
Cash flows from operating activities:
Net loss		$ (610,525)	$ (75,992)
Adjustments to reconcile net loss to net cash flows provided by operating activities:
Accretion expense on obligations		3,176	3,869
Depreciation, depletion and amortization		46,196	48,511
Share-based compensation cost		3,784	2,204
Impairment of oil and natural gas properties		3	67,984
(Gain) loss on sales of oil and natural gas properties		5	(35)
(Gain) loss on derivatives, net		(444)	(20,740)
Cash settlements of matured derivatives contracts		3,099	(2,929)
Reorganizaiton items, net		573,304
Other		248	523
Changes in operating assets and liabilities, net of effects of amounts acquired:
Accounts receivable		(3,518)	(7,859)
Other current assets		1,853	847
Accounts payable and accrued liabilities		4,405	(5,967)
Other, net		69	(217)
Net cash flows provided by operating activities		21,655	10,199
Cash flows from investing activities:
Acquisitions of oil and natural gas properties			(58,651)
Additions to oil and natural gas properties		(29,727)	(3,635)
Reimbursements related to oil and natural gas properties		652
Proceeds from sale of oil and natural gas properties		3	1,989
Other		26	17
Net cash flows used in investing activities		(29,046)	(60,280)
Cash flows from financing activities:
Repayment of long-term debt borrowings			(21,000)
Long-term debt borrowings		34,000	17,000
Loan costs incurred		(2,813)
Contributions from general partner		40
Net cash flows provided by (used in) financing activities		31,227	(4,000)
Increase (decrease) in cash, cash equivalents and restricted cash		23,836	(54,081)
Cash, cash equivalents and restricted cash - beginning of year	$ 28,732	4,896	57,633
Cash, cash equivalents and restricted cash - end of period		28,732	$ 3,552
Successor [Member]
Cash flows from operating activities:
Net loss	(538)
Adjustments to reconcile net loss to net cash flows provided by operating activities:
Accretion expense on obligations	789
Depreciation, depletion and amortization	2,730
(Gain) loss on sales of oil and natural gas properties	(19)
(Gain) loss on derivatives, net	4,232
Other	60
Changes in operating assets and liabilities, net of effects of amounts acquired:
Accounts receivable	876
Other current assets	(354)
Accounts payable and accrued liabilities	1,490
Other, net	(790)
Net cash flows provided by operating activities	8,476
Cash flows from investing activities:
Additions to oil and natural gas properties	(7,220)
Proceeds from sale of oil and natural gas properties	16
Net cash flows used in investing activities	(7,204)
Cash flows from financing activities:
Repayment of long-term debt borrowings	(17,000)
Net cash flows provided by (used in) financing activities	(17,000)
Increase (decrease) in cash, cash equivalents and restricted cash	(15,728)
Cash, cash equivalents and restricted cash - beginning of year	28,732
Cash, cash equivalents and restricted cash - end of period	$ 13,004	$ 28,732

ORGANIZATION AND NATURE OF BUSINESS	6 Months Ended
ORGANIZATION AND NATURE OF BUSINESS	Jun. 30, 2018
ORGANIZATION AND NATURE OF BUSINESS [Abstract]
ORGANIZATION AND NATURE OF BUSINESS	NOTE 1. ORGANIZATION AND NATURE OF BUSINESS Nature of Operations Harvest Oil & Gas Corp. is a newly formed Delaware corporation and the successor reporting company to EV Energy Partners, L.P. (“EVEP”) pursuant to Rule 15d-5 of the Securities Exchange Act of 1934, as amended. As used herein, the terms “Successor”, “Harvest”, or the “Company” refer to Harvest Oil & Gas Corp. and its consolidated subsidiaries as a whole or on an individual basis, depending on the context in which the statements are made. When referring to the “Predecessor” or the “Partnership” in reference to the period prior to the emergence from bankruptcy, the intent is to refer to EVEP, the predecessor that was dissolved following the Effective Date (as defined below) of the Plan (as defined below) and its consolidated subsidiaries as a whole or on an individual basis, depending on the context in which the statements are made. Unless the context requires otherwise, references to: (i) the “Predecessor’s general partner” and “EV Energy GP” refer to EV Energy GP, L.P., a Delaware limited partnership, the Predecessor’s general partner, which was dissolved following the Effective Date of the Plan; (ii) “EV Management” refers to EV Management, LLC, a Delaware limited liability company, the former general partner of the Predecessor’s general partner; and (iii) “EnerVest” refers to EnerVest, Ltd., a Texas limited partnership, the owner of EV Management. Harvest is an independent oil and natural gas company that was formed in June 2018, in connection with the reorganization of the Predecessor. The Predecessor was publicly traded from September 2006 to June 2018. As discussed further in Note 2, on April 2, 2018, EV Energy Partners, L.P. (the “Debtor”), and 13 affiliated debtors (collectively, the “Debtors”) each filed a voluntary petition (the cases commenced thereby, the “Chapter 11 proceedings”) for relief under Chapter 11 of Title 11 of the United States Bankruptcy Code (“Chapter 11”) for bankruptcy protection in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”) via Case No. 18-10814. The Debtors requested that their cases be jointly administered under Case No. 18-10814 to pursue the prepackaged plan of reorganization. During the pendency of the Chapter 11 proceedings, the Debtor continued to operate its businesses and manage its properties under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court as a “Debtors-in-Possession”. On May 17, 2018, the Bankruptcy Court entered an order (the “Confirmation Order”) confirming the Debtors’ First Modified Joint Prepackaged Plan of Reorganization (as amended, modified and supplemented from time to time, the “Plan”). The Plan became effective on June 4, 2018 (the “Effective Date”), when all remaining conditions to the effectiveness of the Plan were satisfied and the Company emerged from bankruptcy. The Company operates one reportable segment engaged in the acquisition, development and production of oil and natural gas properties, and all of its operations are located in the United States. From time to time, the Company may look to divest non-core assets and use proceeds to concentrate in existing position, venture into new basins or repay bank debt. The oil and natural gas properties of Harvest are located in the Barnett Shale, the San Juan Basin, the Appalachian Basin (which includes the Utica Shale), Michigan, Central Texas (which includes the Austin Chalk area and the Eagle Ford Shale), the Mid–Continent areas in Oklahoma, Texas, Arkansas, Kansas and Louisiana, the Permian Basin and the Monroe Field in Northern Louisiana. Basis of Presentation The Company’s unaudited condensed consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted. The Company believes that the presentations and disclosures herein are adequate to make the information not misleading. The unaudited condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the interim periods. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. These interim financial statements should be read in conjunction with the audited consolidated financial statements and the related notes included in EVEP’s Annual Report on Form 10–K for the year ended December 31, 2017. All intercompany accounts and transactions have been eliminated in consolidation. In the Notes to Unaudited Condensed Consolidated Financial Statements, all dollar and unit amounts in tabulations are in thousands of dollars and units, respectively, unless otherwise indicated. Bankruptcy Accounting The unaudited condensed consolidated financial statements have been prepared as if the Company is a going concern and reflect the application of Accounting Standards Codification 852 Reorganizations (“ASC 852”). ASC 852 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain expenses, gains and losses that were realized or incurred related to the bankruptcy proceedings are recorded in “Reorganization items, net” on the Company’s condensed consolidated statements of operations. Upon emergence from bankruptcy on June 4, 2018, the Company elected to adopt and apply the relevant guidance provided in GAAP with respect to the accounting and financial statement disclosures for entities that have emerged from Chapter 11 (“fresh start accounting”) effective May 31, 2018 to coincide with the timing of the Company’s normal accounting period close. As a result of the application of fresh start accounting and the effects of the implementation of the plan of reorganization, the condensed consolidated financial statements as of or after May 31, 2018, are not comparable with the condensed consolidated financial statements prior to that date. To facilitate the financial statement presentations, the Company refers to the reorganized company in these unaudited condensed consolidated financial statements and notes as the “Successor” for periods subsequent to May 31, 2018 and “Predecessor” for periods prior to June 1, 2018. Furthermore, the unaudited condensed consolidated financial statements and notes have been presented with a “black line” division to delineate the lack of comparability between the Predecessor and Successor. See Note 3 for additional information. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions about future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. While Harvest believes that the estimates and assumptions used in the preparation of the unaudited condensed consolidated financial statements are appropriate, actual results could differ from those estimates. New Accounting Standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014–09, Revenue from Contracts with Customers (“ASU 2014-09”). This ASU, as amended, superseded virtually all of the revenue recognition guidance in generally accepted accounting principles in the United States. The core principle of the five–step model is that an entity will recognize revenue when it transfers control of goods or services to customers at an amount that reflects the consideration to which it expects to be entitled in exchange for those goods or services. Entities can choose to apply the standard using either the full retrospective approach or a modified retrospective approach. The Partnership implemented ASU 2014-09 as of January 1, 2018 using the modified retrospective method. The adoption of this ASU did not have a material impact on the Company’s unaudited condensed consolidated financial statements. See Note 4 for additional details about the impact upon adoption and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases. The main objective of ASU 2016-02 is to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The main difference between previous GAAP and Topic 842 is the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases. ASU 2016-02 requires lessees to recognize assets and liabilities arising from leases on the balance sheet. ASU 2016-02 further defines a lease as a contract that conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. Control over the use of the identified asset means that the customer has both (1) the right to obtain substantially all of the economic benefit from the use of the asset and (2) the right to direct the use of the asset. ASU 2016-02 requires disclosures by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. In January 2018, the FASB issued ASU 2018-01, Leases (Topic 842), Land Easement Practical Expedient for Transition to Topic 842 (“ASU 2018-01”), which permits an entity an optional election to not evaluate under ASU 2016-02 those existing or expired land easements that were not previously accounted for as leases prior to the adoption of ASU 2016-02. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842), Targeted Improvements (“ASU 2018-11”), which permits an entity (i) to apply the provisions of ASU 2016-02 at the adoption date instead of the earliest period presented in the financial statements, and, as a lessor, (ii) to account for lease and nonlease components as a single component as the nonlease components would otherwise be accounted for under the provisions of ASU 2014-09. For public entities, ASU 2016-02 and other related ASUs are effective for financial statements issued for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years; early application is permitted. The Company is continuing to evaluate the impact of this standard on its financial statements and is continuing its assessment of ASU 2016-02 by implementing its project plan, evaluating certain operational and corporate policies and processes, further defining the population of leases under the revised definition and reviewing numerous contracts. The Company does not intend to early adopt this standard, but plans to apply the new standard for its interim and annual reporting periods starting January 1, 2019 using a modified retrospective approach. The Company also plans to elect the package of practical expedients within ASU 2016-02 that allows an entity to not reassess prior to the effective date (i) whether any expired or existing contracts are or contain leases, (ii) the lease classification for any expired or existing leases or (iii) initial direct costs for any existing leases. Additionally, the Company plans to elect the practical expedient under ASU 2018-01 and not evaluate existing or expired land easements not previously accounted for as leases prior to the effective date. The adoption of this standard will result in an increase in the assets and liabilities on the Company’s consolidated balance sheets. The quantitative impacts of the new standard are dependent on the leases in force at the time of adoption. As a result, the evaluation of the effect of the new standards will extend over future periods. In August 2016, the FASB issued ASU No. 2016–15, Statement of Cash Flows. This ASU addresses certain cash flow issues with the objective of reducing the existing diversity in practice in how the cash receipts and cash payments are presented and classified in the statement of cash flows. The Partnership adopted ASU 2016–15 on January 1, 2018. The adoption of this ASU did not have a material impact on the Company’s unaudited condensed consolidated financial statements. In November 2016, the FASB issued ASU No. 2016-18: Statement of Cash Flows– Restricted Cash. The main objective of ASU 2016-18 is to address the diversity that exists in the classification and presentation of changes in restricted cash on the statement of cash flows. The amendments in ASU 2016-18 require that a statement of cash flows explain the change during the period in the total of cash, cash equivalents and amounts generally described as restricted cash or restricted cash equivalents. Thus, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning of period and end of period total amounts shown on the statement of cash flows. The Partnership adopted ASU 2016-18 on January 1, 2018. The adoption of this ASU resulted in a change to the condensed consolidated statement of cash flows for the six months ended June 30, 2017. For the six months ended June 30, 2017, the $5.5 million cash and cash equivalents – beginning of year was revised to $57.6 million cash, cash equivalents and restricted cash – beginning of year and the net cash used in investing activities was increased from $8.2 million to $60.3 million. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business (“ASU 2017-01”). The main objective of ASU 2017-01 is to clarify the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments of this ASU provide a screen to determine when a set is not a business. The screen requires that when substantially all of the fair value of the gross assets acquired (or disposed of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the set is not a business. This screen reduces the number of transactions that need to be further evaluated. If the screen is not met, the amendments of this ASU (i) require that to be considered a business, a set must include, at a minimum, an input and a substantive process that together significantly contribute to the ability to create output and (ii) remove the evaluation of whether a market participant could replace missing elements. The Partnership adopted ASU 2017-01 on January 1, 2018, and the ASU will be applied prospectively to any acquisitions. No other new accounting pronouncements issued or effective during the six months ended June 30, 2018 have had or are expected to have a material impact on the unaudited condensed consolidated financial statements other than those disclosed in EVEP’s Annual Report on Form 10-K for the year ended December 31, 2017. Subsequent Events The Company evaluated subsequent events for appropriate accounting and disclosure through the date these unaudited condensed consolidated financial statements were issued. In August 2018, the Company entered into a definitive agreement to sell certain oil and gas properties in Central Texas to a third party for $3.5 million (subject to purchase price adjustments).

EMERGENCE FROM VOLUNTARY REORGANIZATION UNDER CHAPTER 11

6 Months Ended

Jun. 30, 2018

EMERGENCE FROM VOLUNTARY REORGANIZATION UNDER CHAPTER 11 [Abstract]

EMERGENCE FROM VOLUNTARY REORGANIZATION UNDER CHAPTER 11

NOTE 2. EMERGENCE FROM VOLUNTARY REORGANIZATION UNDER CHAPTER 11

On March 13, 2018, the Debtors entered into a Restructuring Support Agreement (the “Restructuring Support Agreement”) with (i) holders (collectively, the “Supporting Noteholders”) of approximately 70% of the 8.0% senior unsecured notes due April 2019 (the “Senior Notes”) issued pursuant to that certain indenture, dated as of March 22, 2011 (as amended, restated, supplemented or otherwise modified from time to time, the “Indenture”), among EVEP, EV Energy Finance Corp., each of the guarantors party thereto, and Delaware Trust Company, as indenture trustee, that are signatories to the Restructuring Support Agreement; (ii) lenders under the Predecessor’s reserve-based lending facility, by and among EVEP, EV Properties, L.P., JPMorgan Chase Bank, N.A., as administrative agent, BNP Paribas and Wells Fargo, National Association, as co-syndication agents, the guarantors party thereto (the “credit facility”), and the lenders signatory thereto, initially constituting approximately 94%, but subsequently increased to 100%, of the principal amount outstanding thereunder; (iii) EnerVest; and (iv) EnerVest Operating, L.L.C. (“EnerVest Operating”). The Restructuring Support Agreement set forth, subject to certain conditions, the commitment of the Debtors and the consenting creditors to support a comprehensive restructuring of the Debtors’ long-term debt (the “Restructuring”).

On April 2, 2018 (the “Petition Date”), the Debtors each filed Chapter 11 proceedings for relief under Chapter 11 in the Bankruptcy Court. The Debtors’ Chapter 11 proceedings were jointly administered under the caption In re EV Energy Partners, L.P., et al., Case No. 18-10814.

On May 17, 2018, the Bankruptcy Court entered the Confirmation Order confirming the Debtors’ Plan.

On June 4, 2018, the Debtors satisfied the conditions to effectiveness of the Plan, the Plan became effective in accordance with its terms and the Company emerged from bankruptcy. Although the Company is no longer a debtor-in-possession, the Company was a debtor-in-possession from April 2, 2018 through June 4, 2018. As such, certain aspects of the Chapter 11 proceedings and related matters are described below in order to provide context to the Company’s financial condition and results of operations for the period presented.

Plan of Reorganization

In accordance with the Plan, on the Effective Date:

The Successor issued (i) 9,500,000 new shares of its common stock, par value $0.01 per share (“common stock”) pro rata to holders of the Senior Notes with claims allowed under the Plan; (ii) 500,016 shares of common stock pro rata to holders of units of EVEP prior to the Effective Date; (iii) 800,000 warrants (the “Warrants”) to purchase 800,000 shares of the Company’s common stock to holders of units of EVEP prior to the Effective Date exercisable for a five-year period commencing on the Effective Date entitling their holders upon exercise thereof, on a pro rata basis, to 8% of the total issued and outstanding common stock (including common stock as of the Effective Date issuable upon full exercise of the Warrants, but excluding any common stock issuable under the Company’s Management Incentive Plan (the “MIP”)), at a per share exercise price of $37.48; (iv) 79,000 shares of 8% Cumulative Nonparticipating Redeemable Series A Preferred Stock (the “Series A Preferred Stock”) to its indirectly wholly-owned subsidiary EV Midstream, L.P. for consideration of $790,000; and (v) 21,000 shares of Series A Preferred Stock to one employee of the Company and one employee of EnerVest for consideration of services to the Company, which vest on the earlier of (i) June 4, 2019 or (ii) immediately prior to the consummation of a Sale Transaction as such term is defined in the Certificate of Designations, Preferences and Rights of the Series A Preferred Stock (the “Certificate of Designations”);

The holders of claims under the Predecessor’s credit facility received full recovery, consisting of (i) their pro rata share of the $1 billion new reserve-based revolving loan (the “Exit Credit Facility”), as further discussed in Note 9; (ii) cash in amount equal to the accrued but unpaid interest payable to such lenders under the credit facility as of the Effective Date; and (iii) unfunded commitments and letter of credit participation under the Exit Credit Facility equal to the unfunded commitments and letter of credit participation of such lender as of the Effective Date;

The Senior Notes were cancelled and the Predecessor’s liability thereunder discharged, and the holders of the Notes received (directly or indirectly) their pro rata share of New Common Stock representing, in the aggregate, 95% of the New Common Stock on the Effective Date (subject to dilution by the MIP and the common shares issuable upon exercise of the Warrants);

The Predecessor’s common units were cancelled, and each common unitholder received its pro rata share of: (i) 5% of the New Common Shares and (ii) the Warrants;

The holders of administrative expense claims, other priority claims and general unsecured creditors of the Predecessor received in exchange for their claims payment in full in cash or otherwise had their rights unimpaired under Title 11 of the United States Code;

The Successor entered into a registration rights agreement (the “Registration Rights Agreement”) with certain recipients of shares of its common stock pursuant to which the Successor agreed to, among other things, file a shelf registration statement (the “Initial Shelf Registration Statement”) and use its reasonable best efforts to have the Initial Shelf Registration Statement declared effective as soon as possible after the date of this current report on Form 10-Q;

The Successor adopted the MIP, pursuant to which employees, directors, consultants and other service providers of the Company and its subsidiaries are eligible to receive stock options, stock appreciation rights, restricted stock, restricted stock units, other stock-based awards and cash-based awards. As of the Effective Date, an aggregate of 689,362 shares of common stock are reserved for issuance under the MIP, all of which may be granted in the form of incentive stock options;

The terms of the Predecessor’s board of directors automatically expired on the Effective Date. The Successor formed a new five-member board of directors consisting of the Chief Executive Officer and two new members designated by certain parties to the Restructuring Support Agreement and two independent members; and

General unsecured claims received, (i) if such claim was due and payable on or before the Effective Date, payment in full, in cash, or the unpaid portion of its allowed general unsecured claim, (ii) if such claim was not due and payable before the Effective Date, payment in the ordinary course, and (iii) other treatment, as may be agreed upon by the Debtors, the Supporting Noteholders and the holder of such general unsecured claim; and

The Company converted from a limited partnership to a corporation.

FRESH START ACCOUNTING

6 Months Ended

Jun. 30, 2018

FRESH START ACCOUNTING [Abstract]

FRESH START ACCOUNTING

NOTE 3. FRESH START ACCOUNTING

In connection with emergence from the Chapter 11 proceedings on the Effective Date, the Company applied the provisions of fresh start accounting, pursuant to ASC 852, Reorganizations (“ASC 852”), to its consolidated financial statements, which resulted in the Company becoming a new entity for financial reporting purposes. Harvest qualified for fresh start accounting as (i) the holders of existing voting common units of the Predecessor received less than 50% of the voting shares of the emerged entity and (ii) the reorganization value of assets immediately prior to confirmation was less than the post-petition liabilities and allowed claims. ASC 852 requires that fresh start accounting be applied when the Bankruptcy Court enters the Confirmation Order confirming the Plan, or as of a later date when all material conditions precedent to the effectiveness of the Plan are resolved, which was June 4, 2018. The Company elected to apply fresh start accounting effective May 31, 2018, to coincide with the timing of its normal accounting period close. The Company evaluated the events between May 31, 2018 and June 4, 2018 and concluded that the use of an accounting convenience date of May 31, 2018 did not have a material impact on the results of operations or financial position.

Upon adoption of fresh start accounting, the reorganization value derived from the enterprise value was allocated to the Company’s assets and liabilities based on their fair values (except for deferred income taxes) in accordance with Accounting Standards Codification 805 Business Combinations (“ASC 805”). The amount of deferred income taxes recorded was determined in accordance with Accounting Standards Codification 740 Income Taxes (“ASC 740”). The Effective Date fair values of the Company’s assets and liabilities differed materially from their recorded values as reflected on the historical balance sheet of the Predecessor. The effects of the Plan and the application of fresh start accounting were reflected in the condensed consolidated financial statements as of May 31, 2018, and the related adjustments thereto were recorded on the condensed consolidated statement of operations for the five months ended May 31, 2018.

As a result of the adoption of fresh start accounting and the effects of the implementation of the Plan, the Company’s condensed consolidated financial statements subsequent to May 31, 2018, are not comparable to its condensed consolidated financial statements prior to May 31, 2018. References to “Successor” relate to the financial position and results of operations of the reorganized Company as of and subsequent to May 31, 2018. References to “Predecessor” relate to the financial position of the Company prior to, and results of operations through and including, May 31, 2018.

The Company’s condensed consolidated financial statements and related footnotes are presented with a black line division, which delineates the lack of comparability between amounts presented after May 31, 2018, and amounts presented on or prior to May 31, 2018. The Company’s financial results for future periods following the application of fresh start accounting will be different from historical trends and the differences may be material.

Reorganization Value

In the disclosure statement associated with the Plan, which was confirmed by the Bankruptcy Court, the Successor’s enterprise value was estimated to be within a range of $450 million to $550 million, with a midpoint estimate of approximately $500 million. Enterprise value represents the estimated fair value of a company’s interest-bearing debt, its stockholders’ equity and working capital. Based on the estimates and assumptions utilized in the fresh start accounting process, the Company estimated the Successor’s enterprise value to be approximately $524.6 million before the consideration of cash and cash equivalents on hand at the Effective Date. Reorganization value represents the fair value of the Successor’s total assets prior to the consideration of liabilities and is intended to approximate the amount a willing buyer would pay for the assets immediately after a restructuring. The reorganization value, which was derived from the Successor’s enterprise value, was allocated to the Company’s individual assets based on their estimated fair values.

The following table is a reconciliation of the enterprise value to the estimated fair value of the Successor’s common stock at the Effective Date (in thousands):



Enterprise Value	$	524,596
Plus: Cash and cash equivalents		21,082
Less: Fair value of debt		(297,000)
Fair value of successor equity	$	248,678

The following table is a reconciliation of the enterprise value to the reorganization value of the Successor assets at the Effective Date (in thousands):



Enterprise Value	$	524,596
Plus: Cash and cash equivalents		21,082
Plus: Other working capital liabilities		36,787
Plus: Other long-term liabilities		121,041
Reorganization value of Successor assets	$	703,506

Our assets consist primarily of producing oil and natural gas properties. The fair values of proved and unproved oil and natural gas properties were estimated using valuation techniques consistent with the income approach, converting future cash flows to a single discounted amount. The factors to determine fair value include, but are not limited to, estimates of: (i) economic reserves, (ii) future operating and development costs, (iii) future commodity prices and (iv) a market-based weighted average cost of capital. These inputs require significant judgments and estimates by the Company’s management at the time of the valuation and are the most sensitive and subject to change. The underlying commodity prices embedded in the Company’s estimated cash flows are the product of a process that incorporates forward commodity pricing, analyst pricing estimates and adjustments for estimated location and quality differentials, as well as other factors as necessary that the Company’s management believes will impact realizable prices. The fair value of support equipment and facilities were estimated using a cost approach, based on current replacement costs of the assets less depreciation based on the estimated economic useful lives of the assets and age of the assets.

See below under the caption “Fresh Start Adjustments” for additional information regarding assumptions used in the valuation of the Company’s various other significant assets and liabilities.

Condensed Consolidated Balance Sheet

The adjustments included in the following condensed consolidated balance sheet reflect the effect of the transactions contemplated by the Plan (reflected in the column “Reorganization Adjustments”) as well as fair value and other required accounting adjustments resulting from the adoption of fresh start accounting (reflected in the column “Fresh Start Adjustments”). The explanatory notes provide additional information with regard to the adjustments recorded, the methods used to determine the fair values and significant assumptions.



	As of May 31, 2018
			Reorganization			Fresh Start
	Predecessor		Adjustments (1)			Adjustments			Successor
ASSETS
Current assets:
Cash and cash equivalents	$	35,020	$	(13,938)	(2)	$	-		$	21,082
Restricted cash		-		7,650	(3)		-			7,650
Accounts receivable:
Oil, natural gas and natural gas liquids revenues		48,986		1,261	(4)		-			50,247
Related party		1,503		(1,503)	(4)		-			-
Other		800		-			-			800
Other current assets		4,580		(527)	(5)		(1,791)	(12)		2,262
Total current assets		90,889		(7,057)			(1,791)			82,041
Oil and natural gas properties, net		1,355,504		-			(739,486)	(13)		616,018
Other assets		4,507		1,941	(6)		(1,001)	(14)		5,447
Total assets	$	1,450,900	$	(5,116)		$	(742,278)		$	703,506

LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	34,922	$	2,177	(7)	$	(312)	(15)	$	36,787
Current portion of long-term debt		297,000		(297,000)	(8)		-			-
Total current liabilities		331,922		(294,823)			(312)			36,787
Liabilities subject to compromise		356,066		(356,066)	(9)		-			-
Asset retirement obligations		161,661		-			(41,641)	(15)		120,020
Long–term debt, net		-		297,000	(8)		-			297,000
Other long–term liabilities		1,021		-			-			1,021
Total liabilities		850,670		(353,889)			(41,953)			454,828
Commitments and contingencies (Note 10)
Stockholders' / owners’ equity:
Predecessor common unitholders		621,144		65,175	(10)		(686,319)	(16)		-
Predecessor general partner interest		(20,914)		34,920	(10)		(14,006)	(16)		-
Successor common stock		-		100	(11)		-			100
Successor additional paid-in capital		-		248,578	(11)		-			248,578
Total stockholders' / owners’ equity		600,230		348,773			(700,325)			248,678
Total liabilities and equity	$	1,450,900	$	(5,116)		$	(742,278)		$	703,506

_____________

Reorganization Adjustments

(1)Reflects amounts recorded as of the Effective Date for the implementation of the Plan, including among other items, settlement of the Predecessor’s liabilities subject to compromise, cancellation of the Predecessor’s equity, issuance of the Successor New Common Shares and the Warrants, repayment of certain of Predecessor’s liabilities and settlement with holders of the Senior Notes.

(2)Reflects the changes in cash and cash equivalents, including the following:



Funding of the professional fees escrow account	$	(7,650)
Payment of debt issuance costs on the Successor Exit Credit Facility		(2,813)
Payment of professional fees		(1,591)
Payment of success fees		(1,573)
Payment of derivative settlement		(216)
Payment of accrued interest payable under the Predecessor credit facility		(135)
Transfer of funds from Predecessor's general partner		40
Changes in cash and cash equivalents	$	(13,938)

(3)Reflects the transfer of restricted cash to fund the professional fees escrow account.

(4)Primarily reflects the reclassification of the related party net receivable from EnerVest to a third party receivable as EnerVest is no longer a related party as result of the restructuring. Also, reflects the cancellation of related party claims of $0.2 million with the general partner of EVEP as a result of the Debtor’s emergence from Chapter 11 bankruptcy proceedings.

(5)Represents the expense of certain prepaid professional fees as a result of the Debtor’s emergence from Chapter 11 bankruptcy proceedings.

(6)Reflects the capitalization of the deferred financing costs of $2.8 million related to the Successor’s Exit Credit Facility, offset by the write-off of $0.8 million of deferred financing costs related to the Predecessor’s credit facility.

(7)Net increase in Accounts payable and accrued liabilities reflects the following:



Recognition of payables for success fees	$	4,086
Recognition of payables for professional fees		32
Payment of professional fees		(1,590)
Payment of derivative settlement		(216)
Payment of accrued interest payable under the Predecessor credit facility		(135)
Net increase in accounts payable and accrued liabilities	$	2,177

(8)Reflects the reclassification of $297.0 million in borrowings under the Exit Credit Facility to long-term debt.

(9)Settlement of liabilities subject to compromise and the resulting net gain were determined as follows:



Senior Notes	$	343,348
Accrued interest payable		12,718
Total liabilities subject to compromise of Predecessor		356,066
Issuance of common stock to holders of the Senior Notes		(227,366)
Gain on settlement of liabilities subject to compromise	$	128,700

The amount of disallowed interest during the period from the Petition Date through the Effective Date of emergence not included in the accrued interest payable in the table above was $4.7 million.

(10)Reflects the cancellation of the Predecessor company common unitholders and general partner interest.



			General
	Common		Partner
	Unitholders		Interest
Net gain from reorganization adjustments	$	118,940	$	2,426
Contribution from general partner		-		40
Issuance of common stock to Predecessor common unitholders		(11,967)		-
Issuance of warrants to Predecessor common unitholders		(9,345)		-
Cancellation of Predecessor common unitholders / general partner interest		(32,453)		32,454
	$	65,175	$	34,920

(11)Reflects the issuance of 10,000,016 shares of common stock at a par value of $0.01 per share in accordance with the Plan, and the issuance of 800,000 warrants in accordance with the Plan. The fair value of the Warrants was determined by using the Black-Scholes model and were reasonably estimated to be approximately $11.68 per share. See Note 12 for additional information on the issuance of the Successor’s Warrants.



Issuance of shares of Successor common stock at par value of $0.01 per share	$	100
Additional paid-in capital from issuance of Successor common stock		239,233
Additional paid-in capital from issuance of Successor warrants		9,345
Fair value of Successor equity	$	248,678

See Note 12 for additional information on the issuances of the Successor’s equity.

Fresh Start Adjustments

(12)Reflects the adjustment to write-down certain other current assets to fair value.

(13)Reflects a decrease of oil and natural gas properties, net. In determining the fair value of the oil and gas properties both the income and market approach were utilized and the accumulated depreciation, depletion and impairment was eliminated. The following table summarizes the components of oil and natural gas properties as of the Effective Date: based on the methodology discussed above and the elimination of accumulated depreciation, depletion and impairment. The fresh start adjustments to oil and natural gas properties, net are as follows:



	Successor		Predecessor
	Fair Value		Historical Book Value
Proved oil and natural gas properties	$	547,136	$	2,593,249
Unproved oil and natural gas properties		68,882		-
		616,018		2,593,249
Accumulated depreciation, depletion and amortization		-		(1,237,745)
Net capitalized costs	$	616,018	$	1,355,504

(14)Reflects the write-off of immaterial other assets not anticipated to have value to Harvest.

(15)Reflects a decrease of $42.0 million for asset retirement obligations. The fair value of asset retirement obligations was estimated using valuation techniques that convert future cash flows to a single discounted amount. Significant inputs to the valuation include estimates of: (i) plugging and abandonment costs per well based on existing regulatory requirements, (ii) remaining life per well, (iii) future inflation factors and (iv) a credit-adjusted risk free rate.

(16)Reflects the cumulative impact of the fresh start adjustments discussed above.

Reorganization Items, Net

The Company has incurred significant costs associated with the reorganization. These costs, which are expensed as incurred, are expected to significantly affect the Company’s results of operations. Reorganization items, net represent costs, gains and losses directly associated with the Chapter 11 proceedings since the Petition Date.

The following table summarizes the components of reorganization items, net included in the accompanying unaudited condensed consolidated statements of operations:



	Successor		Predecessor
	One Month		Two Months		Five Months
	Ended		Ended		Ended
	June 30, 2018		May 31, 2018		May 31, 2018
Gain on settlement of liabilities subject to compromise	$	-	$	128,700	$	128,700
Fresh start valuation adjustments		-		(700,325)		(700,325)
Professional fees		(808)		(13,345)		(13,345)
Other		-		(2,355)		(2,355)
Reorganization items, net	$	(808)	$	(587,325)	$	(587,325)

REVENUE

6 Months Ended

Jun. 30, 2018

REVENUE [Abstract]

REVENUE

NOTE 4. REVENUE

On January 1, 2018, the Partnership adopted ASU No. 2014–09, Revenue from Contracts with Customers (“Topic 606”), using the modified retrospective method applied to contracts that were not completed as of January 1, 2018. Accordingly, the comparative information for the three and six months ended June 30, 2017, has not been adjusted and continues to be reported under the previous revenue standard. The adoption of this ASU did not have a material impact on the unaudited condensed consolidated financial statements, and the primary impacts of this change in accounting policy for revenue recognition effective January 1, 2018, are detailed below.

There were no significant changes to the timing of revenue recognized for sales of production. However, as a result of management’s evaluation under new considerations within Topic 606, the adoption did result in certain contracts being recorded on a net basis instead of a gross basis, as well as some contracts being recorded on a gross basis instead of a net basis, as a result of the determined delivery point. These presentation changes did not have an impact on income or loss from operations, earnings per share/unit or cash flows, but did increase oil, natural gas and natural gas liquids revenues and lease operating expenses in the unaudited condensed consolidated financial statements by approximately $0.4 million for the one month ended June 30, 2018 and by approximately $0.7 million and $2.1 million for the two and five months ended May 31, 2018, respectively, as compared to what would have been recognized using the revenue recognition guidance that was in effect before the adoption of Topic 606.

The following table summarizes the impact of adopting Topic 606 on the unaudited condensed consolidated financial statements:



	Without		Impact of
	Adoption of		Change in
	Topic 606		Accounting Policy		As Reported
Successor
For the One Month Ended June 30, 2018:
Oil, natural gas and natural gas liquids revenues	$	21,086	$	449	$	21,535
Lease operating expenses	$	8,926	$	449	$	9,375


Predecessor
For the Two Months Ended May 31, 2018:
Oil, natural gas and natural gas liquids revenues	$	42,063	$	686	$	42,749
Lease operating expenses	$	17,142	$	686	$	17,828

For the Five Months Ended May 31, 2018:
Oil, natural gas and natural gas liquids revenues	$	108,253	$	2,054	$	110,307
Lease operating expenses	$	43,318	$	2,054	$	45,372

Revenue from contracts with customers includes the sale of oil, natural gas and natural gas liquids production (recorded in “Oil, natural gas and natural gas liquids revenues” in the unaudited condensed consolidated statements of operations) and gathering and transportation revenues (recorded in “Transportation and marketing-related revenues” in the unaudited condensed consolidated statements of operations).

Oil, Natural Gas and Natural Gas Liquids Revenues

Oil, natural gas and natural gas liquids revenues are recognized upon the transfer of control of the products to a purchaser. Transfer of control typically occurs when the products are delivered to the purchaser, title has transferred and collectability of the revenue is reasonably assured. Revenue is recognized net of royalties due to third parties in an amount that reflects the consideration the Company expects to receive in exchange for those products.

The Company’s oil production is primarily sold under market-sensitive contracts that are typically priced at a differential to the New York Mercantile Exchange (“NYMEX”) price or at purchaser posted prices for the producing area. For oil contracts, the Company generally records sales based on the net amount received.

The Company’s natural gas production is primarily sold under market-sensitive contracts that are typically priced at a differential to the published natural gas index price for the producing area due to the natural gas quality and the proximity to major consuming markets. For natural gas contracts, the Company generally records wet gas sales at the wellhead or inlet of the gas processing plant as revenues net of transportation, gathering and processing expenses if the processor is the customer and there is no redelivery of commodities to the Company at the tailgate of the plant. Conversely, the Company generally records residual natural gas and NGL sales at the tailgate of the plant on a gross basis along with the associated transportation, gathering and processing expenses if the processor is a service provider and there is redelivery of commodities to the Company at the tailgate of the plant. All facts and circumstances of an arrangement are considered and judgment is often required in making this determination.

In addition, the Company recognizes processing expenses for commodities paid as noncash consideration in exchange for processing services and recognizes the associated revenues for those same commodities. This recognition results in an increase to revenues and expenses with no impact on net income.

Harvest follows the sales method of accounting for natural gas revenues. Under this method of accounting, revenues are recognized based on volumes sold, which may differ from the volume to which the Company is entitled based on its working interest. An imbalance is recognized as a liability only when the estimated remaining reserves will not be sufficient to enable the under–produced owner(s) to recoup its entitled share through future production. Under the sales method, no receivables are recorded where the Company has taken less than its share of production.

Transportation and Marketing-Related Revenues

Harvest owns and operates a network of natural gas gathering systems in the Appalachian Basin and the Monroe field in Northern Louisiana which gather and transport owned natural gas and a small amount of third party natural gas to intrastate, interstate and local distribution pipelines. Natural gas gathering and transportation revenue is recognized when the natural gas has been delivered to a custody transfer point.

The following table disaggregates revenue by significant product and service type:



	Successor		Predecessor
	One Month		Two Months		Five Months
	Ended		Ended		Ended
	June 30, 2018		May 31, 2018		May 31, 2018
Oil	$	7,161	$	17,555	$	42,460
Natural gas (1)		8,664		14,562		40,951
Natural gas liquids (1)		5,710		10,632		26,896
Oil, natural gas and natural gas liquids revenues		21,535		42,749		110,307
Transportation and marketing–related revenues		185		340		724
Total revenues	$	21,720	$	43,089	$	111,031

_____________

(1)The Company recognizes wet gas revenues, which are recorded net of transportation, gathering and processing expenses, partially as natural gas revenues and partially as natural gas liquids revenues based on the end products after processing occurs. For the Successor period of the one month ended June 30, 2018, wet gas revenues were $1.5 million which were recognized as $0.5 million of natural gas revenues and $1.0 million of natural gas liquids revenues. For the Predecessor period of the two months ended May 31, 2018, wet gas revenues were $3.3 million which were recognized as $1.4 million of natural gas revenues and $1.9 million of natural gas liquids revenues. For the Predecessor period of the five months ended May 31, 2018, wet gas revenues were $8.4 million which were recognized as $3.2 million of natural gas revenues and $5.2 million of natural gas liquids revenues.

Contract Balances

Customers are invoiced once the Company’s performance obligations have been satisfied. Payment terms and conditions vary by contract type, although terms generally include a requirement of payment within 30 days. There are no significant judgments that significantly affect the amount or timing of revenue from contracts with customers. Accordingly, the Company’s product sales contacts do not give rise to material contract assets or contract liabilities.

Accounts receivable are primarily from purchasers of oil, natural gas and natural gas liquids and from exploration and production companies that own interests in properties Harvest operates. This industry concentration could affect overall exposure to credit risk, either positively or negatively, because the Company’s purchasers and joint working interest owners may be similarly affected by changes in economic, industry or other conditions. The Company routinely assesses the financial strength of its customers and bad debts are recorded based on an account-by-account review specifically identifying receivables that the Company believes may be uncollectible after all means of collection have been exhausted, and the potential recovery is considered remote. As of June 30, 2018 and December 31, 2017, the Company did not have any reserves for doubtful accounts.

Performance Obligations

The Company applies the optional exemptions in Topic 606 and does not disclose consideration for remaining performance obligations with an original expected duration of one year or less or for variable consideration related to unsatisfied performance obligations.

SHARE-BASED COMPENSATION	6 Months Ended
SHARE-BASED COMPENSATION	Jun. 30, 2018
SHARE-BASED COMPENSATION [Abstract]
SHARE-BASED COMPENSATION	NOTE 5. SHARE–BASED COMPENSATION On the Effective Date, in connection with the Plan, the Company adopted the MIP, pursuant to which employees, directors, consultants and other service providers of the Company and its subsidiaries are eligible to receive stock options, stock appreciation rights, restricted stock, restricted stock units, other stock-based awards and cash-based awards. An aggregate of 689,362 shares of the Company’s common stock are reserved for issuance under the MIP. To the extent that an award under the MIP is expired, forfeited or cancelled for any reason without having been exercised in full, the unexercised award would then be available again for grant under the MIP. The Compensation Committee of the Company’s Board of Directors (the “Board”) (or any properly delegated subcommittee thereof) or a committee of at least two people as the Board may appoint or, if no such committee or subcommittee has been appointed by the Board, the Board (the “Committee”) will administer the MIP. The Committee has broad authority under the MIP to, among other things: (i) select participants; (ii) determine the types of awards that participants are to receive and the number of shares or the amount of cash that are to be subject to such awards and grant such awards; and (iii) determine the terms, conditions and restrictions of awards, including the applicable performance criteria relating to the award. As of June 30, 2018, the board of directors had not yet approved any grants under the MIP. Series A Preferred Stock In connection with the Restructuring under the Plan and in reliance on the exemption from the registration requirements of the Securities Act provided by Section 1145 of the Bankruptcy Code, Harvest issued 21,000 shares of Series A Preferred Stock to one employee of the Company and one employee of EnerVest for consideration of services to the Company pursuant to Preferred Stock Purchase Agreements, dated as of the Effective Date, which vest on the earlier of (i) June 4, 2019 or (ii) immediately prior to the consummation of a Sale Transaction (as defined in the Certificate of Designations). The Company estimated the fair value of the Series A Preferred Stock as of June 30, 2018 at $0.2 million. The fair value of the preferred stock award will be recognized on a straight–line basis over the service period, and the Company will account for forfeitures as they occur. Each holder of the Series A Preferred Stock is entitled to receive mandatory and cumulative dividends payable semi-annually in arrears with respect to each dividend period ending on and including the last calendar day of each six-month period ending June 4 and December 4, at a rate per share of Series A Preferred Stock equal to 8.0% per annum payable upon the Liquidation Preference (as defined in the Certificate of Designations) payable in kind unless another form of payment is designated by the Board of Directors of the Company. In the event that dividends due to each share of Series A Preferred Stock have not been paid for a period of two consecutive Dividend Periods (as defined in the Certificate of Designations), the holders of the Series A Preferred Stock, as an independent class, shall be entitled to nominate and vote to appoint one director of the Board of Directors of the Company. Holders of shares of Series A Preferred Stock have no right, by virtue of their status as holders of shares of Series A Preferred Stock, to vote on any matters on which holders of shares of New Common Stock are entitled to vote. The Series A Preferred Stock shall automatically be redeemed upon the consummation of a Sale Transaction (as defined in the Certificate of Designation) at a price equal to the Accrued Liquidation Preference (as defined in the Certificate of Designation). The Series A Preferred Stock may be redeemed at the option of the Company after June 4, 2023, in whole or in part, at a price equal to the Accrued Liquidation Preference. The Series A Preferred Stock may be redeemed at the option of the holder after June 4, 2039, in whole or in part, at a price equal to the Accrued Liquidation Preference. Predecessor Equity-Based Compensation EV Management had two long-term incentive plans, the 2006 Long-Term Incentive Plan (the “2006 Plan”) and the 2016 Long-Term Incentive Plan (the “2016 Plan” and together, the “Plans”) for employees, consultants and directors of EV Management and its affiliates who performed services for EVEP. These equity–based awards consisted only of phantom units as of May 31, 2018. EVEP estimated the fair value of the phantom units at the grant date using the Black–Scholes option pricing model. These phantom units were subject to graded vesting over a four year period. Compensation cost had been recognized for these phantom units on a straight–line basis over the service period, and EVEP accounted for forfeitures as they occurred.