fang-20210331
false2021Q1000153983812/3100015398382021-01-012021-03-31xbrli:shares00015398382021-04-30iso4217:USD00015398382021-03-3100015398382020-12-31iso4217:USDxbrli:shares0001539838fang:OilExplorationandProductionMember2021-01-012021-03-310001539838fang:OilExplorationandProductionMember2020-01-012020-03-310001539838us-gaap:NaturalGasProductionMember2021-01-012021-03-310001539838us-gaap:NaturalGasProductionMember2020-01-012020-03-310001539838fang:NaturalGasLiquidsProductionMember2021-01-012021-03-310001539838fang:NaturalGasLiquidsProductionMember2020-01-012020-03-310001539838us-gaap:NaturalGasMidstreamMember2021-01-012021-03-310001539838us-gaap:NaturalGasMidstreamMember2020-01-012020-03-3100015398382020-01-012020-03-310001539838us-gaap:NaturalGasGatheringTransportationMarketingAndProcessingMember2021-01-012021-03-310001539838us-gaap:NaturalGasGatheringTransportationMarketingAndProcessingMember2020-01-012020-03-310001539838us-gaap:CommonStockMember2020-12-310001539838us-gaap:AdditionalPaidInCapitalMember2020-12-310001539838us-gaap:RetainedEarningsMember2020-12-310001539838us-gaap:NoncontrollingInterestMember2020-12-310001539838us-gaap:NoncontrollingInterestMember2021-01-012021-03-310001539838us-gaap:RetainedEarningsMember2021-01-012021-03-310001539838us-gaap:CommonStockMember2021-01-012021-03-310001539838us-gaap:AdditionalPaidInCapitalMember2021-01-012021-03-310001539838us-gaap:CommonStockMember2021-03-310001539838us-gaap:AdditionalPaidInCapitalMember2021-03-310001539838us-gaap:RetainedEarningsMember2021-03-310001539838us-gaap:NoncontrollingInterestMember2021-03-310001539838us-gaap:CommonStockMember2019-12-310001539838us-gaap:AdditionalPaidInCapitalMember2019-12-310001539838us-gaap:RetainedEarningsMember2019-12-310001539838us-gaap:NoncontrollingInterestMember2019-12-3100015398382019-12-310001539838us-gaap:NoncontrollingInterestMember2020-01-012020-03-310001539838us-gaap:AdditionalPaidInCapitalMember2020-01-012020-03-310001539838us-gaap:CommonStockMember2020-01-012020-03-310001539838us-gaap:RetainedEarningsMember2020-01-012020-03-310001539838us-gaap:CommonStockMember2020-03-310001539838us-gaap:AdditionalPaidInCapitalMember2020-03-310001539838us-gaap:RetainedEarningsMember2020-03-310001539838us-gaap:NoncontrollingInterestMember2020-03-3100015398382020-03-31xbrli:pure0001539838fang:ViperEnergyPartnersLPMember2021-03-310001539838fang:RattlerMIdstreamLPMember2021-03-310001539838fang:OilIncomeMemberfang:MidlandBasinMember2021-01-012021-03-310001539838fang:OilIncomeMemberfang:DelawareBasinMember2021-01-012021-03-310001539838fang:OilIncomeMemberus-gaap:OtherCustomerMember2021-01-012021-03-310001539838fang:OilIncomeMember2021-01-012021-03-310001539838fang:OilIncomeMemberfang:MidlandBasinMember2020-01-012020-03-310001539838fang:OilIncomeMemberfang:DelawareBasinMember2020-01-012020-03-310001539838fang:OilIncomeMemberus-gaap:OtherCustomerMember2020-01-012020-03-310001539838fang:OilIncomeMember2020-01-012020-03-310001539838fang:MidlandBasinMemberfang:NaturalGasIncomeMember2021-01-012021-03-310001539838fang:DelawareBasinMemberfang:NaturalGasIncomeMember2021-01-012021-03-310001539838fang:NaturalGasIncomeMemberus-gaap:OtherCustomerMember2021-01-012021-03-310001539838fang:NaturalGasIncomeMember2021-01-012021-03-310001539838fang:MidlandBasinMemberfang:NaturalGasIncomeMember2020-01-012020-03-310001539838fang:DelawareBasinMemberfang:NaturalGasIncomeMember2020-01-012020-03-310001539838fang:NaturalGasIncomeMemberus-gaap:OtherCustomerMember2020-01-012020-03-310001539838fang:NaturalGasIncomeMember2020-01-012020-03-310001539838fang:MidlandBasinMemberfang:NaturalGasLiquidsIncomeMember2021-01-012021-03-310001539838fang:DelawareBasinMemberfang:NaturalGasLiquidsIncomeMember2021-01-012021-03-310001539838us-gaap:OtherCustomerMemberfang:NaturalGasLiquidsIncomeMember2021-01-012021-03-310001539838fang:NaturalGasLiquidsIncomeMember2021-01-012021-03-310001539838fang:MidlandBasinMemberfang:NaturalGasLiquidsIncomeMember2020-01-012020-03-310001539838fang:DelawareBasinMemberfang:NaturalGasLiquidsIncomeMember2020-01-012020-03-310001539838us-gaap:OtherCustomerMemberfang:NaturalGasLiquidsIncomeMember2020-01-012020-03-310001539838fang:NaturalGasLiquidsIncomeMember2020-01-012020-03-310001539838fang:MidlandBasinMember2021-01-012021-03-310001539838fang:DelawareBasinMember2021-01-012021-03-310001539838us-gaap:OtherCustomerMember2021-01-012021-03-310001539838fang:MidlandBasinMember2020-01-012020-03-310001539838fang:DelawareBasinMember2020-01-012020-03-310001539838us-gaap:OtherCustomerMember2020-01-012020-03-31utr:acre0001539838fang:GuidonOperatingLLCMemberfang:NorthernMidlandBasinMember2020-12-210001539838fang:GuidonOperatingLLCMember2020-12-212020-12-21fang:well0001539838fang:GuidonOperatingLLCMember2020-12-210001539838fang:GuidonOperatingLLCMember2021-02-262021-03-310001539838fang:QEPResourcesIncMember2021-03-1700015398382021-03-172021-03-1700015398382021-03-170001539838fang:QEPResourcesIncMember2021-03-172021-03-170001539838fang:QEPResourcesIncMember2021-03-172021-03-310001539838fang:QEPResourcesIncMember2021-01-012021-03-310001539838fang:QEPResourcesIncMember2020-01-012020-03-310001539838srt:MinimumMemberus-gaap:BuildingMember2021-01-012021-03-310001539838srt:MaximumMemberus-gaap:BuildingMember2021-01-012021-03-310001539838us-gaap:LeaseholdImprovementsMember2021-01-012021-03-310001539838us-gaap:LandImprovementsMember2021-01-012021-03-310001539838us-gaap:OilAndGasPropertiesMember2021-03-310001539838us-gaap:OilAndGasPropertiesMember2020-12-310001539838us-gaap:PropertyPlantAndEquipmentOtherTypesMember2021-03-310001539838us-gaap:PropertyPlantAndEquipmentOtherTypesMember2020-12-310001539838fang:GuidonOperatingLLCAndQEPResourcesMember2021-01-012021-03-310001539838fang:QEPResourcesIncMember2021-03-310001539838fang:GuidonOperatingLLCMember2021-03-310001539838fang:EpicPipelineMemberfang:RattlerLLCMember2019-02-010001539838fang:EpicPipelineMemberfang:RattlerLLCMember2021-03-310001539838fang:EpicPipelineMemberfang:RattlerLLCMember2020-12-310001539838fang:RattlerLLCMemberfang:GrayOakPipelineMember2019-02-150001539838fang:RattlerLLCMemberfang:GrayOakPipelineMember2021-03-310001539838fang:RattlerLLCMemberfang:GrayOakPipelineMember2020-12-310001539838fang:WinkToWebsterPipelineMemberfang:RattlerLLCMember2019-07-300001539838fang:WinkToWebsterPipelineMemberfang:RattlerLLCMember2021-03-310001539838fang:WinkToWebsterPipelineMemberfang:RattlerLLCMember2020-12-310001539838fang:OMOGJVLLCMemberfang:RattlerLLCMember2019-10-010001539838fang:OMOGJVLLCMemberfang:RattlerLLCMember2021-03-310001539838fang:OMOGJVLLCMemberfang:RattlerLLCMember2020-12-310001539838fang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2019-12-200001539838fang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2021-03-310001539838fang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2020-12-310001539838fang:RattlerLLCMember2021-03-310001539838fang:RattlerLLCMember2020-12-310001539838fang:RattlerLLCMember2020-01-012020-03-310001539838fang:RattlerLLCMember2021-01-012021-03-310001539838fang:A4.625Notesdue2021Member2021-03-310001539838fang:A4.625Notesdue2021Member2020-12-310001539838fang:A5375SeniorNotesDue2022Member2021-03-310001539838fang:A5375SeniorNotesDue2022Member2020-12-310001539838fang:A7.32MediumTermSeriesAdue2022Member2021-03-310001539838fang:A7.32MediumTermSeriesAdue2022Member2020-12-310001539838fang:A0900SeniorNotesDue2023Member2021-03-310001539838fang:A0900SeniorNotesDue2023Member2020-12-310001539838fang:A5250SeniorNotesDue2023Member2021-03-310001539838fang:A5250SeniorNotesDue2023Member2020-12-310001539838fang:A2.875SeniorNotesdue2024Member2021-03-310001539838fang:A2.875SeniorNotesdue2024Member2020-12-310001539838fang:A4750SeniorNotesDue2025Member2021-03-310001539838fang:A4750SeniorNotesDue2025Member2020-12-310001539838fang:A5.375SeniorNotesDue2025Member2021-03-310001539838fang:A5.375SeniorNotesDue2025Member2020-12-310001539838fang:A3.250SeniorNotesDue2026Member2021-03-310001539838fang:A3.250SeniorNotesDue2026Member2020-12-310001539838fang:A5625SeniorNotesDue2026Member2021-03-310001539838fang:A5625SeniorNotesDue2026Member2020-12-310001539838fang:A7.125MediumTermNotesSeriesBMember2021-03-310001539838fang:A7.125MediumTermNotesSeriesBMember2020-12-310001539838fang:A3.500SeniorNotesDue2029Member2021-03-310001539838fang:A3.500SeniorNotesDue2029Member2020-12-310001539838fang:A3125SeniorNotesDue2031Member2021-03-310001539838fang:A3125SeniorNotesDue2031Member2020-12-310001539838fang:A4400SeniorNotesDue2051Member2021-03-310001539838fang:A4400SeniorNotesDue2051Member2020-12-310001539838fang:DrillCoAgreementMember2021-03-310001539838fang:DrillCoAgreementMember2020-12-310001539838fang:CompanyCreditFacilityMember2021-03-310001539838fang:CompanyCreditFacilityMember2020-12-310001539838fang:ViperCreditFacilityMemberfang:ViperEnergyPartnersLPMember2021-03-310001539838fang:ViperCreditFacilityMemberfang:ViperEnergyPartnersLPMember2020-12-310001539838fang:A5.375SeniorNotesDue2027Member2021-03-310001539838fang:ViperEnergyPartnersLPMemberfang:A5.375SeniorNotesDue2027Member2021-03-310001539838fang:ViperEnergyPartnersLPMemberfang:A5.375SeniorNotesDue2027Member2020-12-310001539838fang:RattlerCreditFacilityMemberfang:RattlerLLCMember2021-03-310001539838fang:RattlerCreditFacilityMemberfang:RattlerLLCMember2020-12-310001539838fang:A5625SeniorNotesDue2025Member2021-03-310001539838fang:A5625SeniorNotesDue2025Memberfang:RattlerLLCMember2021-03-310001539838fang:A5625SeniorNotesDue2025Memberfang:RattlerLLCMember2020-12-31fang:letter0001539838fang:CompanyCreditFacilityMember2021-01-012021-03-310001539838fang:CompanyCreditFacilityMember2020-01-012020-03-310001539838fang:A0900SeniorNotesDue2023Member2021-03-240001539838fang:A3125SeniorNotesDue2031Member2021-03-240001539838fang:A4400SeniorNotesDue2051Member2021-03-240001539838fang:March2021NotesMember2021-03-170001539838fang:March2021NotesMember2021-03-242021-03-240001539838fang:A5375SeniorNotesDue2022Member2021-03-170001539838fang:A5250SeniorNotesDue2023Member2021-03-170001539838fang:A5625SeniorNotesDue2026Member2021-03-170001539838fang:QEPNotesMember2021-03-310001539838fang:QEPNotesMember2021-03-172021-03-310001539838fang:QEPNotesMember2021-01-012021-03-310001539838fang:A5.375SeniorNotesDue2025Member2021-03-012021-03-310001539838fang:ViperCreditFacilityMemberfang:ViperEnergyPartnersLPMember2021-01-012021-03-310001539838fang:ViperCreditFacilityMemberfang:ViperEnergyPartnersLPMember2020-01-012020-03-310001539838fang:RattlerCreditFacilityMemberfang:RattlerLLCMember2021-01-012021-03-310001539838fang:RattlerCreditFacilityMemberfang:RattlerLLCMember2020-01-012020-03-310001539838fang:QEPResourcesIncMember2020-12-212020-12-210001539838us-gaap:LimitedPartnerMember2021-01-012021-03-310001539838us-gaap:LimitedPartnerMember2020-01-012020-03-310001539838us-gaap:GeneralAndAdministrativeExpenseMember2021-01-012021-03-310001539838us-gaap:GeneralAndAdministrativeExpenseMember2020-01-012020-03-310001539838fang:EquityPlanMemberus-gaap:RestrictedStockUnitsRSUMember2020-12-310001539838fang:EquityPlanMemberus-gaap:RestrictedStockUnitsRSUMember2021-01-012021-03-310001539838fang:EquityPlanMemberus-gaap:RestrictedStockUnitsRSUMember2021-03-310001539838fang:EquityPlanMemberus-gaap:RestrictedStockUnitsRSUMemberfang:QEPResourcesIncMember2021-01-012021-03-310001539838fang:EquityPlanMemberus-gaap:RestrictedStockUnitsRSUMember2020-01-012020-03-310001539838fang:EquityPlanMemberus-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838fang:EquityPlanMembersrt:MinimumMemberus-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838fang:EquityPlanMembersrt:MaximumMemberus-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838us-gaap:ShareBasedCompensationAwardTrancheTwoMemberfang:EquityPlanMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838us-gaap:ShareBasedCompensationAwardTrancheTwoMemberfang:EquityPlanMembersrt:MinimumMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838us-gaap:ShareBasedCompensationAwardTrancheTwoMemberfang:EquityPlanMembersrt:MaximumMemberus-gaap:PerformanceSharesMember2019-03-012019-03-31fang:installment0001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2020-03-012020-03-310001539838fang:EquityPlanMembersrt:MinimumMemberus-gaap:PerformanceSharesMember2020-03-012020-03-310001539838fang:EquityPlanMembersrt:MaximumMemberus-gaap:PerformanceSharesMember2020-03-012020-03-310001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2021-03-012021-03-310001539838fang:EquityPlanMembersrt:MinimumMemberus-gaap:PerformanceSharesMember2021-03-012021-03-310001539838fang:EquityPlanMembersrt:MaximumMemberus-gaap:PerformanceSharesMember2021-03-012021-03-310001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2019-03-012019-03-310001539838us-gaap:ShareBasedCompensationAwardTrancheTwoMemberfang:EquityPlanMemberus-gaap:PerformanceSharesMember2021-01-012021-03-310001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2020-12-310001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2021-01-012021-03-310001539838fang:EquityPlanMemberus-gaap:PerformanceSharesMember2021-03-310001539838us-gaap:PhantomShareUnitsPSUsMemberfang:RattlerMidstreamLPLongTermIncentivePlanMember2020-12-310001539838us-gaap:PhantomShareUnitsPSUsMemberfang:RattlerMidstreamLPLongTermIncentivePlanMember2021-01-012021-03-310001539838us-gaap:PhantomShareUnitsPSUsMemberfang:RattlerMidstreamLPLongTermIncentivePlanMember2021-03-31utr:bbl0001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-01-012021-03-31iso4217:USDutr:bbl0001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:WTIMemberfang:DerivativeSettlementMonthTwoMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:WTIMemberfang:DerivativeSettlementMonthTwoMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthThreeMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthThreeMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:BrentMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:ArgusWTIMidlandMemberfang:DerivativeSettlementMonthOneMemberus-gaap:BasisSwapMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:ArgusWTIMidlandMemberfang:DerivativeSettlementMonthOneMemberus-gaap:BasisSwapMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthFiveMemberfang:ArgusWTIMidlandMemberus-gaap:BasisSwapMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthFiveMemberfang:ArgusWTIMidlandMemberus-gaap:BasisSwapMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwaptionMemberfang:DerivativeSettlementMonthFiveMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberus-gaap:SwaptionMemberfang:DerivativeSettlementMonthFiveMemberfang:BrentMember2021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:RollingHedgeMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:RollingHedgeMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:RollingHedgeMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthFiveMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:RollingHedgeMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthFiveMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:WTIMemberfang:DerivativeSettlementMonthTwoMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:WTIMemberfang:DerivativeSettlementMonthTwoMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthThreeMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthThreeMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthFiveMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthFiveMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:BrentMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:BrentMemberfang:DerivativeSettlementMonthTwoMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:BrentMemberfang:DerivativeSettlementMonthTwoMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthThreeMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthThreeMemberfang:BrentMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:WTIMemberfang:DerivativeSettlementMonthSevenMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberus-gaap:SwapMemberfang:WTIMemberfang:DerivativeSettlementMonthSevenMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthSixMemberfang:ArgusWTIMidlandMemberus-gaap:BasisSwapMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthSixMemberfang:ArgusWTIMidlandMemberus-gaap:BasisSwapMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthEightMemberfang:BrentMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberfang:DerivativeSettlementMonthOneMemberfang:BrentMember2021-03-31utr:MMBTU0001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:HenryHubMembersrt:NaturalGasReservesMember2021-01-012021-03-31iso4217:USDutr:MMBTU0001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:HenryHubMembersrt:NaturalGasReservesMember2021-03-310001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:WahaHubMembersrt:NaturalGasReservesMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:WahaHubMembersrt:NaturalGasReservesMember2021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:DerivativeSettlementMonthFourMemberfang:WahaHubMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMemberfang:DerivativeSettlementMonthFourMemberfang:WahaHubMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-03-310001539838fang:DerivativeSettlementYearTwoMemberfang:DerivativeSettlementMonthSixMemberfang:WahaHubMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMemberfang:DerivativeSettlementMonthSixMemberfang:WahaHubMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-03-310001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:MontBelvieuPropaneMembersrt:NaturalGasLiquidsReservesMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMemberus-gaap:SwapMemberfang:DerivativeSettlementMonthFourMemberfang:MontBelvieuPropaneMembersrt:NaturalGasLiquidsReservesMember2021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:RollingHedgeMemberfang:WTIMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearOneMembersrt:CrudeOilMemberfang:RollingHedgeMemberfang:WTIMember2021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthSixMemberus-gaap:ShortMemberfang:BrentMember2021-01-012021-03-310001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:DerivativeSettlementMonthSixMemberus-gaap:ShortMemberfang:BrentMember2021-03-310001539838us-gaap:InterestRateContractMember2021-01-012021-03-310001539838us-gaap:CommodityContractMember2021-01-012021-03-310001539838us-gaap:CommodityContractMember2020-01-012020-03-310001539838us-gaap:InterestRateContractMember2020-01-012020-03-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2021-03-310001539838us-gaap:FairValueInputsLevel2Memberus-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2021-03-310001539838us-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMemberus-gaap:FairValueInputsLevel3Member2021-03-310001539838us-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2020-12-310001539838us-gaap:FairValueInputsLevel2Memberus-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2020-12-310001539838us-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMemberus-gaap:FairValueInputsLevel3Member2020-12-310001539838us-gaap:DerivativeMemberus-gaap:FairValueMeasurementsRecurringMemberfang:ViperEnergyPartnersLPMember2020-12-310001539838fang:CompanyCreditFacilityMemberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:CompanyCreditFacilityMemberus-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:CompanyCreditFacilityMemberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:CompanyCreditFacilityMemberus-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A4.625Notesdue2021Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A4.625Notesdue2021Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A4.625Notesdue2021Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A4.625Notesdue2021Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5375SeniorNotesDue2022Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5375SeniorNotesDue2022Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5375SeniorNotesDue2022Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5375SeniorNotesDue2022Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A7.32MediumTermSeriesAdue2022Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A7.32MediumTermSeriesAdue2022Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A7.32MediumTermSeriesAdue2022Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A7.32MediumTermSeriesAdue2022Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A0900SeniorNotesDue2023Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A0900SeniorNotesDue2023Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A0900SeniorNotesDue2023Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A0900SeniorNotesDue2023Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5250SeniorNotesDue2023Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5250SeniorNotesDue2023Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5250SeniorNotesDue2023Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5250SeniorNotesDue2023Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A2.875SeniorNotesdue2024Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A2.875SeniorNotesdue2024Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A2.875SeniorNotesdue2024Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A2.875SeniorNotesdue2024Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A4750SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberfang:A4750SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A4750SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberfang:A4750SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5.375SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberfang:A5.375SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5.375SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberfang:A5.375SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3.250SeniorNotesDue2026Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberfang:A3.250SeniorNotesDue2026Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3.250SeniorNotesDue2026Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberfang:A3.250SeniorNotesDue2026Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5625SeniorNotesDue2026Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5625SeniorNotesDue2026Memberus-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5625SeniorNotesDue2026Memberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5625SeniorNotesDue2026Memberus-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A7.125MediumTermNotesSeriesBMemberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A7.125MediumTermNotesSeriesBMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A7.125MediumTermNotesSeriesBMemberus-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A7.125MediumTermNotesSeriesBMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3.500SeniorNotesDue2029Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberfang:A3.500SeniorNotesDue2029Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3.500SeniorNotesDue2029Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberfang:A3.500SeniorNotesDue2029Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3125SeniorNotesDue2031Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A3125SeniorNotesDue2031Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A3125SeniorNotesDue2031Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A3125SeniorNotesDue2031Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A4400SeniorNotesDue2051Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberfang:A4400SeniorNotesDue2051Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A4400SeniorNotesDue2051Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberfang:A4400SeniorNotesDue2051Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:ViperCreditFacilityMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel2Memberfang:ViperCreditFacilityMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:ViperCreditFacilityMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel2Memberfang:ViperCreditFacilityMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5.375SeniorNotesDue2027Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A5.375SeniorNotesDue2027Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5.375SeniorNotesDue2027Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:A5.375SeniorNotesDue2027Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:RattlerCreditFacilityMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:FairValueInputsLevel2Memberfang:RattlerCreditFacilityMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:RattlerCreditFacilityMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:FairValueInputsLevel2Memberfang:RattlerCreditFacilityMemberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5625SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838fang:A5625SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:A5625SeniorNotesDue2025Memberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838fang:A5625SeniorNotesDue2025Memberus-gaap:EstimateOfFairValueFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:DrillCoAgreementMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:DrillCoAgreementMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-03-310001539838us-gaap:CarryingReportedAmountFairValueDisclosureMemberfang:DrillCoAgreementMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:EstimateOfFairValueFairValueDisclosureMemberfang:DrillCoAgreementMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-12-310001539838us-gaap:SubsequentEventMember2021-04-292021-04-290001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberus-gaap:SubsequentEventMemberfang:DerivativeSettlementMonthSevenMember2021-04-012021-05-070001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:WTIHoustonArgusMemberfang:CostlessCollarMemberus-gaap:SubsequentEventMemberfang:DerivativeSettlementMonthSevenMember2021-05-070001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberus-gaap:SubsequentEventMemberfang:BrentMemberfang:DerivativeSettlementMonthSevenMember2021-04-012021-05-070001539838fang:DerivativeSettlementYearTwoMembersrt:CrudeOilMemberfang:CostlessCollarMemberus-gaap:SubsequentEventMemberfang:BrentMemberfang:DerivativeSettlementMonthSevenMember2021-05-070001539838fang:DerivativeSettlementMonthSixMemberfang:WahaHubMemberus-gaap:SubsequentEventMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-04-012021-05-070001539838fang:DerivativeSettlementMonthSixMemberfang:WahaHubMemberus-gaap:SubsequentEventMemberus-gaap:BasisSwapMembersrt:NaturalGasReservesMember2021-05-070001539838us-gaap:SubsequentEventMemberfang:WillistonBasinMember2021-05-030001539838us-gaap:SubsequentEventMemberfang:WillistonBasinMember2021-05-032021-05-03utr:MMBblsutr:Dutr:MMBoeutr:D0001539838fang:SouthernMidlandBasinMemberus-gaap:SubsequentEventMember2021-04-280001539838fang:DelawareBasinMemberus-gaap:SubsequentEventMember2021-04-280001539838fang:SouthernMidlandBasinAndDelawareBasinMemberus-gaap:SubsequentEventMember2021-04-282021-04-28utr:bblutr:D0001539838fang:SouthernMidlandBasinAndDelawareBasinMemberus-gaap:SubsequentEventMember2021-04-28utr:Boeutr:D0001539838us-gaap:DisposalGroupDisposedOfBySaleNotDiscontinuedOperationsMemberus-gaap:SubsequentEventMemberfang:RattlerLLCAndAmarilloMidstreamMemberfang:AmarilloRattlerLLCMember2021-04-300001539838us-gaap:DisposalGroupDisposedOfBySaleNotDiscontinuedOperationsMemberus-gaap:SubsequentEventMemberfang:RattlerLLCAndAmarilloMidstreamMemberfang:AmarilloRattlerLLCMember2021-04-302021-04-300001539838us-gaap:DisposalGroupDisposedOfBySaleNotDiscontinuedOperationsMemberus-gaap:SubsequentEventMemberfang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2021-04-300001539838us-gaap:DisposalGroupDisposedOfBySaleNotDiscontinuedOperationsMemberus-gaap:SubsequentEventMembersrt:ScenarioForecastMemberfang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2022-04-300001539838us-gaap:DisposalGroupDisposedOfBySaleNotDiscontinuedOperationsMemberus-gaap:SubsequentEventMembersrt:ScenarioForecastMemberfang:AmarilloRattlerLLCMemberfang:RattlerLLCMember2023-04-30fang:segment0001539838us-gaap:OperatingSegmentsMemberfang:UpstreamServicesSegmentMember2021-01-012021-03-310001539838us-gaap:OperatingSegmentsMemberfang:MidstreamOperationsSegmentMember2021-01-012021-03-310001539838us-gaap:IntersegmentEliminationMember2021-01-012021-03-310001539838fang:UpstreamServicesSegmentMember2021-01-012021-03-310001539838fang:MidstreamOperationsSegmentMember2021-01-012021-03-310001539838us-gaap:OperatingSegmentsMemberfang:UpstreamServicesSegmentMember2021-03-310001539838us-gaap:OperatingSegmentsMemberfang:MidstreamOperationsSegmentMember2021-03-310001539838us-gaap:IntersegmentEliminationMember2021-03-310001539838us-gaap:OperatingSegmentsMemberfang:UpstreamServicesSegmentMember2020-01-012020-03-310001539838us-gaap:OperatingSegmentsMemberfang:MidstreamOperationsSegmentMember2020-01-012020-03-310001539838us-gaap:IntersegmentEliminationMember2020-01-012020-03-310001539838fang:UpstreamServicesSegmentMember2020-01-012020-03-310001539838fang:MidstreamOperationsSegmentMember2020-01-012020-03-310001539838us-gaap:OperatingSegmentsMemberfang:UpstreamServicesSegmentMember2020-12-310001539838us-gaap:OperatingSegmentsMemberfang:MidstreamOperationsSegmentMember2020-12-310001539838us-gaap:IntersegmentEliminationMember2020-12-31

Table of Contents
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2021
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF SECURITIES EXCHANGE ACT OF 1934
Commission File Number 001-35700
 
Diamondback Energy, Inc.
(Exact Name of Registrant As Specified in Its Charter)
DE
45-4502447
(State or Other Jurisdiction of Incorporation or Organization)
(I.R.S. Employer Identification Number)
500 West Texas
Suite 1200
Midland,TX
79701
(Address of principal executive offices)
(Zip code)
(432) 221-7400
(Registrant’s telephone number, including area code)
 Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common StockFANGThe Nasdaq Stock Market LLC
(NASDAQ Global Select Market)

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes      No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check One):
Large Accelerated FilerAccelerated Filer
Non-Accelerated FilerSmaller Reporting Company
Emerging Growth Company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.    

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes       No   

As of April 30, 2021, the registrant had 180,997,368 shares of common stock outstanding.


Table of Contents
DIAMONDBACK ENERGY, INC.
FORM 10-Q
FOR THE QUARTER ENDED MARCH 31, 2021
TABLE OF CONTENTS
Page


i

Table of Contents
GLOSSARY OF OIL AND NATURAL GAS TERMS
The following is a glossary of certain oil and natural gas industry terms that are used in this Quarterly Report on Form 10-Q (this “report”):
BasinA large depression on the earth’s surface in which sediments accumulate.
Bbl or barrelOne stock tank barrel, or 42 U.S. gallons liquid volume, used in this report in reference to crude oil or other liquid hydrocarbons.
BOEOne barrel of oil equivalent, with six thousand cubic feet of natural gas being equivalent to one barrel of oil.
BOE/dBOE per day.
British Thermal Unit or BtuThe quantity of heat required to raise the temperature of one pound of water by one degree Fahrenheit.
CompletionThe process of treating a drilled well followed by the installation of permanent equipment for the production of natural gas or oil, or in the case of a dry hole, the reporting of abandonment to the appropriate agency.
Crude oilLiquid hydrocarbons retrieved from geological structures underground to be refined into fuel sources.
Finding and development costsCapital costs incurred in the acquisition, exploitation and exploration of proved oil and natural gas reserves divided by proved reserve additions and revisions to proved reserves.
Gross acres or gross wellsThe total acres or wells, as the case may be, in which a working interest is owned.
Horizontal wellsWells drilled directionally horizontal to allow for development of structures not reachable through traditional vertical drilling mechanisms.
MBblOne thousand barrels of crude oil and other liquid hydrocarbons.
MBOE/dOne thousand BOE per day.
McfOne thousand cubic feet of natural gas.
Mineral interestsThe interests in ownership of the resource and mineral rights, giving an owner the right to profit from the extracted resources.
MMBtuOne million British Thermal Units.
Net acres or net wellsThe sum of the fractional working interest owned in gross acres.
Oil and natural gas propertiesTracts of land consisting of properties to be developed for oil and natural gas resource extraction.
Plugging and abandonmentRefers to the sealing off of fluids in the strata penetrated by a well so that the fluids from one stratum will not escape into another or to the surface. Regulations of all states require plugging of abandoned wells.
ProspectA specific geographic area which, based on supporting geological, geophysical or other data and also preliminary economic analysis using reasonably anticipated prices and costs, is deemed to have potential for the discovery of commercial hydrocarbons.
Proved reservesThe estimated quantities of oil, natural gas and natural gas liquids which geological and engineering data demonstrate with reasonable certainty to be commercially recoverable in future years from known reservoirs under existing economic and operating conditions.
ReservesThe estimated remaining quantities of oil and natural gas and related substances anticipated to be economically producible, as of a given date, by application of development projects to known accumulations. In addition, there must exist, or there must be a reasonable expectation that there will exist, the legal right to produce or a revenue interest in the production, installed means of delivering oil and natural gas or related substances to the market and all permits and financing required to implement the project. Reserves are not assigned to adjacent reservoirs isolated by major, potentially sealing, faults until those reservoirs are penetrated and evaluated as economically producible. Reserves should not be assigned to areas that are clearly separated from a known accumulation by a non-productive reservoir (i.e., absence of reservoir, structurally low reservoir or negative test results). Such areas may contain prospective resources (i.e., potentially recoverable resources from undiscovered accumulations).
ReservoirA porous and permeable underground formation containing a natural accumulation of producible natural gas and/or crude oil that is confined by impermeable rock or water barriers and is separate from other reservoirs.
Royalty interestAn interest that gives an owner the right to receive a portion of the resources or revenues without having to carry any costs of development, which may be subject to expiration.
Working interestAn operating interest that gives the owner the right to drill, produce and conduct operating activities on the property and receive a share of production and requires the owner to pay a share of the costs of drilling and production operations.
ii

Table of Contents
GLOSSARY OF CERTAIN OTHER TERMS
The following is a glossary of certain other terms that are used in this report:
ASCAccounting Standards Codification.
ASUAccounting Standards Update.
Equity PlanThe Company’s Equity Incentive Plan.
Exchange ActThe Securities Exchange Act of 1934, as amended.
FASBFinancial Accounting Standards Board.
GAAPAccounting principles generally accepted in the United States.
2025 IndentureThe indenture relating to the 2025 Senior Notes (defined below), dated as of December 20, 2016, among the Company, the subsidiary guarantors party thereto and Wells Fargo, as the trustee, as supplemented.
2025 Senior NotesThe Company’s 5.375% senior unsecured notes due 2025 in the aggregate principal amount of $800 million.
December 2019 NotesThe Company’s 2.875% senior unsecured notes due 2024 in the aggregate principal amount of $1.0 billion, the Company’s 3.250% senior unsecured notes due 2026 in the aggregate principal amount of $800 million and the Company’s 3.500% senior unsecured notes due 2029 in the aggregate principal amount of $1.2 billion.
December 2019 Notes IndentureThe indenture, dated as of December 5, 2019, among the Company and Wells Fargo, as the trustee, as supplemented by the first supplemental indenture dated as of December 5, 2019 and the second supplemental indenture dated as of May 26, 2020, relating to the December 2019 Notes (defined above), the May 2020 Notes (defined below) and the March 2021 Notes (defined below).
LIBORThe London interbank offered rate.
May 2020 NotesThe Company’s 4.750% Senior Notes due 2025 in the aggregate principal amount of $500.0 million issued on May 26, 2020 under the December 2019 Notes Indenture (defined above) and the related second supplemental indenture.
March 2021 NotesThe Company’s 0.900% Senior Notes due 2023 in the aggregate principal amount of $650 million, the Company’s 3.125% Senior Notes due 2031 in the aggregate principal amount of $900 million and the Company’s 4.400% Senior Notes due 2051 in the aggregate principal amount of $650 million.
NYMEXNew York Mercantile Exchange.
OPECOrganization of the Petroleum Exporting Countries.
RattlerRattler Midstream LP, a Delaware limited partnership.
Rattler’s General PartnerRattler Midstream GP LLC, a Delaware limited liability company; the general partner of Rattler Midstream LP and a wholly owned subsidiary of the Company.
Rattler LLCRattler Midstream Operating LLC, a Delaware limited liability company and a subsidiary of Rattler.
Rattler LTIPRattler Midstream LP Long-Term Incentive Plan.
SECUnited States Securities and Exchange Commission.
Senior NotesThe 2025 Senior Notes, the December 2019 Notes and the May 2020 Notes.
ViperViper Energy Partners LP, a Delaware limited partnership.
Viper LLCViper Energy Partners LLC, a Delaware limited liability company and a subsidiary of the Partnership.
Wells FargoWells Fargo Bank, National Association.

iii

Table of Contents
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

Various statements contained in this report are “forward-looking statements” as defined by the SEC. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, many of which are beyond our control. All statements, other than statements of historical fact, regarding our strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward-looking statements. When used in this report, the words “could,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “may,” “continue,” “predict,” “potential,” “project” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. In particular, the factors discussed in this report and detailed under Part II, Item 1A. Risk Factors in this report and our Annual Report on Form 10–K for the year ended December 31, 2020 could affect our actual results and cause our actual results to differ materially from expectations, estimates or assumptions expressed, forecasted or implied in such forward-looking statements. Unless the context requires otherwise, references to “we,” “us,” “our” or the “Company” are intended to mean the business and operations of the Company and its consolidated subsidiaries.

Forward-looking statements may include statements about:
the volatility of realized oil and natural gas prices;
the implications and logistical challenges of epidemic or pandemic diseases, including the ongoing COVID-19 pandemic on the oil and natural gas industry, including the impact on pricing and demand for oil and natural gas and the supply chain disruptions during the ongoing COVID-19 pandemic;
logistical challenges and the supply chain disruptions;
changes in general economic, business or industry conditions, including conditions of the U.S. oil and natural gas industry and the effect of U.S. energy, environmental, monetary and trade policies;
conditions in the capital, financial and credit markets and our ability to obtain capital needed for development and exploration operations on favorable terms or at all;
conditions of the U.S. oil and natural gas industry and the effect of U.S. energy, monetary and trade policies;
our ability to execute our business and financial strategies;
exploration and development drilling prospects, inventories, projects and programs;
levels of production;
the impact of reduced drilling activity on our exploration and development drilling prospects, inventories, projects and programs;
regional supply and demand factors, delays, curtailment delays or interruptions of production, and any governmental order, rule or regulation that may impose production limits;
our ability to replace our oil and natural gas reserves;
our ability to identify, complete and effectively integrate acquisitions of properties or businesses, including our recently completed acquisition of certain assets of Guidon Operating LLC and our merger with QEP Resources, Inc., as well as our anticipated synergies and cost savings from these transactions;
competition in the oil and natural gas industry;
uncertainties with respect to identified drilling locations and estimates of reserves;
the impact of severe weather conditions, including the recent winter storms in the Permian Basin, on our production;
our ability to comply with applicable governmental laws and regulations and to obtain permits and governmental approvals;
our environmental initiatives and targets;
future operating results;
future dividends to our stockholders;
impact of any impairment charges;
lease operating expenses, general and administrative costs and finding and development costs;
capital expenditure plans;
other plans, objectives, expectations and intentions; and
iv

Table of Contents
certain other factors discussed elsewhere in this report.

All forward-looking statements speak only as of the date of this report or, if earlier, as of the date they were made. We do not intend to, and disclaim any obligation to, update or revise any forward-looking statements unless required by securities laws. You should not place undue reliance on these forward-looking statements. Moreover, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements we make in this report are reasonable, we can give no assurance that these plans, intentions or expectations will be achieved or occur, and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements.
v

Table of Contents

PART I. FINANCIAL INFORMATION


ITEM 1.     CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)
March 31,December 31,
20212020
(In millions, except par values and share data)
Assets
Current assets:
Cash and cash equivalents$121 $104 
Restricted cash19 4 
Accounts receivable:
Joint interest and other, net68 56 
Oil and natural gas sales, net531 281 
Inventories52 33 
Derivative instruments 1 
Income tax receivable33 100 
Prepaid expenses and other current assets27 23 
Total current assets851 602 
Property and equipment:
Oil and natural gas properties, full cost method of accounting ($8,430 million and $7,493 million excluded from amortization at March 31, 2021 and December 31, 2020, respectively)
31,765 27,377 
Midstream assets1,018 1,013 
Other property, equipment and land152 138 
Accumulated depletion, depreciation, amortization and impairment(12,583)(12,314)
Property and equipment, net20,352 16,214 
Funds held in escrow34 51 
Equity method investments525 533 
Derivative instruments4  
Deferred income taxes, net32 73 
Investment in real estate, net101 101 
Other assets97 45 
Total assets$21,996 $17,619 













See accompanying notes to condensed consolidated financial statements.
1

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets-(Continued)
(Unaudited)

March 31,December 31,
20212020
Liabilities and Stockholders’ Equity(In millions, except par values and share data)
Current liabilities:
Accounts payable - trade$71 $71 
Accrued capital expenditures233 186 
Current maturities of long-term debt191 191 
Other accrued liabilities416 302 
Revenues and royalties payable353 237 
Derivative instruments604 249 
Total current liabilities1,868 1,236 
Long-term debt7,465 5,624 
Derivative instruments8 57 
Asset retirement obligations190 108 
Deferred income taxes790 783 
Other long-term liabilities23 7 
Total liabilities10,344 7,815 
Commitments and contingencies (Note 15)
Stockholders’ equity:
Common stock, $0.01 par value; 200,000,000 shares authorized; 180,984,014 and 158,088,182 shares issued and outstanding at March 31, 2021 and December 31, 2020, respectively
2 2 
Additional paid-in capital14,384 12,656 
Retained earnings (accumulated deficit)(3,713)(3,864)
Total Diamondback Energy, Inc. stockholders’ equity10,673 8,794 
Non-controlling interest979 1,010 
Total equity11,652 9,804 
Total liabilities and equity$21,996 $17,619 






















See accompanying notes to condensed consolidated financial statements.
2

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)
Three Months Ended March 31,
20212020
(In millions, except per share amounts, shares in thousands)
Revenues:
Oil sales$944 $827 
Natural gas sales104 4 
Natural gas liquid sales124 52 
Midstream services11 14 
Other operating income1 2 
Total revenues1,184 899 
Costs and expenses:
Lease operating expenses102 127 
Production and ad valorem taxes75 71 
Gathering and transportation31 36 
Midstream services expense28 23 
Depreciation, depletion, amortization and accretion273 409 
Impairment of oil and natural gas properties 1,009 
Impairment of midstream assets3  
General and administrative expenses25 24 
Merger and integration expense75  
Other operating expense1 2 
Total costs and expenses613 1,701 
Income (loss) from operations571 (802)
Other income (expense):
Interest expense, net(56)(48)
Other income (expense), net1 1 
Gain (loss) on derivative instruments, net(164)542 
Gain (loss) on revaluation of investment (10)
Loss on extinguishment of debt(61) 
Income (loss) from equity investments(3) 
Total other income (expense), net(283)485 
Income (loss) before income taxes288 (317)
Provision for (benefit from) income taxes65 83 
Net income (loss) 223 (400)
Net income (loss) attributable to non-controlling interest3 (128)
Net income (loss) attributable to Diamondback Energy, Inc.$220 $(272)
Earnings (loss) per common share:
Basic$1.34 $(1.72)
Diluted$1.33 $(1.72)
Weighted average common shares outstanding:
Basic164,169 158,291 
Diluted164,926 158,494 
Dividends declared per share$0.40 $0.375 

See accompanying notes to condensed consolidated financial statements.
3

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Statements of Stockholders’ Equity
(Unaudited)


Common StockAdditional Paid-in CapitalRetained Earnings (Accumulated Deficit)Non-Controlling InterestTotal
SharesAmount
($ in millions, shares in thousands)
Balance December 31, 2020158,088 $2 $12,656 $(3,864)$1,010 $9,804 
Unit-based compensation— — — — 3 3 
Distribution equivalent rights payments— — — (1)— (1)
Common units issued for acquisitions22,795 — 1,727 — — 1,727 
Stock-based compensation— — 11 — — 11 
Cash paid for tax withholding on vested equity awards— — (6)— — (6)
Repurchased units under buyback programs— — — — (24)(24)
Distributions to non-controlling interest— — — — (17)(17)
Dividend paid— — — (68)— (68)
Exercise of stock options and issuance of restricted stock units and awards101 — — — — — 
Change in ownership of consolidated subsidiaries, net— — (4)— 4  
Net income (loss)— — — 220 3 223 
Balance March 31, 2021180,984 $2 $14,384 $(3,713)$979 $11,652 

Common StockAdditional Paid-in CapitalRetained Earnings (Accumulated Deficit)Non-Controlling InterestTotal
SharesAmount
($ in millions, shares in thousands)
Balance December 31, 2019159,002 $2 $12,357 $890 $1,657 $14,906 
Unit-based compensation— — — — 5 5 
Distribution equivalent rights payments— — — — (1)(1)
Stock-based compensation— — 10 — — 10 
Cash paid for tax withholding on vested equity awards— — (5)— — (5)
Repurchased shares for share buyback program(1,280)— (98)— — (98)
Distribution to non-controlling interest— — — — (43)(43)
Dividend paid— — — (59)— (59)
Exercise of stock options and vesting of restricted stock units93 — 1 — — 1 
Net income (loss)— — — (272)(128)(400)
Balance March 31, 2020157,815 $2 $12,265 $559 $1,490 $14,316 











See accompanying notes to condensed consolidated financial statements.
4

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Unaudited)
Three Months Ended March 31,
20212020
(In millions)
Cash flows from operating activities:
Net income (loss) $223 $(400)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Provision for (benefit from) deferred income taxes64 145 
Impairment of oil and natural gas properties 1,009 
Impairment of midstream assets3  
Depreciation, depletion, amortization and accretion273 409 
Loss on extinguishment of debt61  
(Gain) loss on derivative instruments, net164 (542)
Cash received (paid) on settlement of derivative instruments(178)87 
Equity-based compensation expense10 9 
Other7 12 
Changes in operating assets and liabilities:
Accounts receivable(137)175 
Income tax receivable100 (62)
Prepaid expenses and other22 (4)
Accounts payable and accrued liabilities(26)(35)
Revenues and royalties payable50 14 
Other(12)32 
Net cash provided by (used in) operating activities624 849 
Cash flows from investing activities:
Drilling, completions and non-operated additions to oil and natural gas properties(281)(690)
Infrastructure additions to oil and natural gas properties(8)(56)
Additions to midstream assets(7)(44)
Purchase of business and assets, net(342)(40)
Acquisitions of mineral interests (65)
Funds held in escrow50  
Contributions to equity method investments(4)(33)
Other5 5 
Net cash provided by (used in) investing activities(587)(923)
Cash flows from financing activities:
Proceeds from borrowings under credit facilities432 430 
Repayments under credit facilities(455)(140)
Proceeds from senior notes2,200  
Repayment of senior notes(1,916) 
Premium on extinguishment of debt(166) 
Proceeds from joint venture(4)16 
Debt issuance costs(24) 
Repurchased shares under buyback program (98)
Repurchased units under buyback program(24) 
Dividends to stockholders(68)(59)
Distributions to non-controlling interest(17)(43)
Financing portion of net cash received (paid) for derivative instruments76  
Other(5)(5)
Net cash provided by (used in) financing activities29 101 
Net increase (decrease) in cash and cash equivalents66 27 
Cash, cash equivalents and restricted cash at beginning of period108 128 
Cash, cash equivalents and restricted cash at end of period(1)
$174 $155 
5

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows - Continued
(Unaudited)
Three Months Ended March 31,
20212020
(In millions)
Supplemental disclosure of non-cash transactions:
Accrued capital expenditures included in accounts payable and accrued expenses$252 $646 
Common stock issued for business combinations$1,727 $ 

















































See accompanying notes to condensed consolidated financial statements.
6

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements
(Unaudited)


1.    DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION

Organization and Description of the Business

Diamondback Energy, Inc., together with its subsidiaries (collectively referred to as “Diamondback” or the “Company” unless the context otherwise requires), is an independent oil and natural gas company currently focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas.

The wholly owned subsidiaries of Diamondback, as of March 31, 2021, include Diamondback E&P LLC, a Delaware limited liability company, Diamondback O&G LLC (“O&G”), a Delaware limited liability company, Viper Energy Partners GP LLC, a Delaware limited liability company, Rattler Midstream GP LLC, a Delaware limited liability company, Energen Corporation, an Alabama corporation (“Energen”) and QEP Resources, Inc. (“QEP”), a Delaware corporation.

Basis of Presentation

The condensed consolidated financial statements include the accounts of the Company and its subsidiaries after all significant intercompany balances and transactions have been eliminated upon consolidation.

Diamondback’s publicly traded subsidiaries Viper Energy Partners LP (“Viper”) and Rattler Midstream LP (“Rattler”) are consolidated in the Company’s financial statements. As of March 31, 2021, the Company owned approximately 59% of Viper’s total units outstanding. The Company’s wholly owned subsidiary, Viper Energy Partners GP LLC, is the general partner of Viper. As of March 31, 2021, the Company owned approximately 72% of Rattler’s total units outstanding. The Company’s wholly owned subsidiary, Rattler Midstream GP LLC, is the general partner of Rattler. The results of operations attributable to the non-controlling interest in Viper and Rattler are presented within equity and net income and are shown separately from the Company’s equity and net income attributable to the Company.

These condensed consolidated financial statements have been prepared by the Company without audit, pursuant to the rules and regulations of the SEC. They reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for interim periods, on a basis consistent with the annual audited financial statements. All such adjustments are of a normal recurring nature. Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted pursuant to SEC rules and regulations, although the Company believes the disclosures are adequate to make the information presented not misleading. This Quarterly Report on Form 10–Q should be read in conjunction with the Company’s most recent Annual Report on Form 10–K for the fiscal year ended December 31, 2020, which contains a summary of the Company’s significant accounting policies and other disclosures.

Reclassifications

Certain prior period amounts have been reclassified to conform to the current period financial statement presentation. These reclassifications had an immaterial effect on the previously reported total assets, total liabilities, stockholders’ equity, results of operations or cash flows.

2.    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Use of Estimates

Certain amounts included in or affecting the Company’s consolidated financial statements and related disclosures must be estimated by management, requiring certain assumptions to be made with respect to values or conditions that cannot be known with certainty at the time the consolidated financial statements are prepared. These estimates and assumptions affect the amounts the Company reports for assets and liabilities and the Company’s disclosure of contingent assets and liabilities at the date of the consolidated financial statements. Actual results could differ from those estimates.

7

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements-(Continued)
(Unaudited)
Making accurate estimates and assumptions is particularly difficult in the oil and natural gas industry, given the challenges resulting from volatility in oil and natural gas prices. For instance, in 2020, the effects of COVID-19 and actions by OPEC members and other exporting nations on the supply and demand in global oil and natural gas markets resulted in significant negative pricing pressures in the first half of 2020, followed by a recovery in pricing in the second half of 2020 and into 2021. The financial results of companies in the oil and natural gas industry have been impacted materially as a result of changing market conditions. Such circumstances generally increase the uncertainty in the Company’s accounting estimates, particularly those involving financial forecasts.

The Company evaluates these estimates on an ongoing basis, using historical experience, consultation with experts and other methods the Company considers reasonable in the particular circumstances. Nevertheless, actual results may differ significantly from the Company’s estimates. Any effects on the Company’s business, financial position or results of operations resulting from revisions to these estimates are recorded in the period in which the facts that give rise to the revision become known. Significant items subject to such estimates and assumptions include estimates of proved oil and natural gas reserves and related present value estimates of future net cash flows therefrom, the carrying value of oil and natural gas properties, asset retirement obligations, the fair value determination of acquired assets and liabilities assumed, equity-based compensation, fair value estimates of derivative instruments and estimates of income taxes.

Cash, Cash Equivalents and Restricted Cash

The following table provides a reconciliation of cash, cash equivalents and restricted cash as reported at the end of the period in the condensed consolidated statements of cash flows for the three months ended March 31, 2021 and 2020 to the line items within the condensed consolidated balance sheets:

Three Months Ended March 31,
20212020
(In millions)
Cash and cash equivalents$121 $149 
Restricted cash19 6 
Restricted cash included in funds held in escrow(1)
34  
      Total cash, cash equivalents and restricted cash$174 $155 
(1) As of March 31, 2021, the restricted cash included in funds held in escrow on the condensed consolidated balance sheet is primarily related to cash deposited into an escrow account for a title dispute between outside parties in the Williston Basin.

Recent Accounting Pronouncements

Recently Adopted Pronouncements

In December 2019, the FASB issued ASU 2019-12, "Income Taxes (Topic 740) - Simplifying the Accounting for Income Taxes." This update is intended to simplify the accounting for income taxes by removing certain exceptions and by clarifying and amending existing guidance and is effective for public business entities beginning after December 15, 2020 with early adoption permitted. The Company adopted this update effective January 1, 2021. The adoption of this update did not have a material impact on its financial position, results of operations or liquidity.

The Company considers the applicability and impact of all ASUs. ASUs not discussed above were assessed and determined to be either not applicable or clarifications of ASUs previously disclosed.

8

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements-(Continued)
(Unaudited)
3.    REVENUE FROM CONTRACTS WITH CUSTOMERS

Revenue from Contracts with Customers

Sales of oil, natural gas and natural gas liquids are recognized at the point control of the product is transferred to the customer. Virtually all of the pricing provisions in the Company’s contracts are tied to a market index, with certain adjustments based on, among other factors, whether a well delivers to a gathering or transmission line, the quality of the oil or natural gas and the prevailing supply and demand conditions. As a result, the price of the oil, natural gas and natural gas liquids fluctuates to remain competitive with other available oil, natural gas and natural gas liquids supplies. The following tables present the Company’s revenue from contracts with customers disaggregated by product type and basin:

Three Months Ended March 31, 2021Three Months Ended March 31, 2020
Midland BasinDelaware Basin OtherTotalMidland BasinDelaware Basin OtherTotal
(In millions)
Oil sales$569 $358 $17 $944 $473 $351 $3 $827 
Natural gas sales41 61 2 104 2 2  4 
Natural gas liquid sales75 47 2 124 29 23  52 
Total$685 $466 $21 $1,172 $504 $376 $3 $883 

4.    ACQUISITIONS

Guidon Operating LLC

On December 21, 2020, the Company entered into a definitive purchase agreement to acquire all leasehold interests and related assets of Guidon Operating LLC (the “Guidon Acquisition”) which include approximately 32,500 net acres in the Northern Midland Basin in exchange for 10.68 million shares of the Company’s common stock and $375 million of cash. The Guidon Acquisition closed on February 26, 2021. The cash portion of this transaction was funded through a combination of cash on hand and borrowings under the Company’s credit facility. As a result of the Guidon Acquisition, the Company added approximately 210 gross producing wells.

The following table presents the acquisition consideration paid in the Guidon Acquisition (in millions, except per share data, shares in thousands):

Consideration:
Shares of Diamondback common stock issued at closing10,676
Closing price per share of Diamondback common stock on the closing date$69.28 
Fair value of Diamondback common stock issued$740 
Cash consideration375 
Total consideration (including fair value of Diamondback common stock issued)$1,115 

Purchase Price Allocation

The Guidon Acquisition has been accounted for as a business combination using the acquisition method of accounting. The following table represents the allocation of the total purchase price paid in the Guidon Acquisition to the identifiable assets acquired based on the fair values at the acquisition date, with any excess of the purchase price over the estimated fair value of the identifiable net assets acquired. Although the purchase price allocation is substantially complete as of the date of this filing, there may be further adjustments to the fair value of certain assets acquired and liabilities assumed, including but not limited to the Company’s oil and natural gas properties. The Company expects to complete the purchase price allocation during the 12-month period following the acquisition date and may revise the value of the assets and liabilities as appropriate within that time frame.

9

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements-(Continued)
(Unaudited)
Total consideration$1,115 
Fair value of liabilities assumed:
Asset retirement obligations9 
Fair value of assets acquired:
Oil and gas properties1,110 
Midstream assets14
Amount attributable to assets acquired1,124 
Net assets acquired and liabilities assumed$1,115 

Oil and natural gas properties were valued using an income approach utilizing the discounted cash flow method, which takes into account production forecasts, projected commodity prices and pricing differentials, and estimates of future capital and operating costs which are then discounted utilizing an estimated weighted-average cost of capital for industry market participants. The fair value of acquired midstream assets was based on the cost approach, which utilized asset listings and cost records with consideration for the reported age, condition, utilization and economic support of the assets.

With the completion of the Guidon Acquisition, the Company acquired proved properties of $537 million and unproved properties of $573 million. The Company has included in its condensed consolidated statements of operations, revenues of $28 million and direct operating expenses of $12 million for the period from February 26, 2021 to March 31, 2021 attributable to the acquired assets.

QEP Resources, Inc.

On March 17, 2021, the Company completed its acquisition of QEP in an all-stock transaction (the “QEP Merger”). The addition of QEP’s assets increased the Company’s net acreage in the Midland Basin by approximately 49,000 net acres. Under the terms of the QEP Merger, each eligible share of QEP common stock issued and outstanding immediately prior to the effective time converted into the right to receive 0.050 of a share of Diamondback common stock, with cash being paid in lieu of any fractional shares (the “merger consideration”). At the closing date of the QEP Merger, the carrying value of QEP’s outstanding debt was approximately $1.6 billion. See Note 9—Debt for further discussion.

The following table presents the acquisition consideration paid to QEP stockholders in the QEP Merger (in millions, except per share data, shares in thousands):

Consideration:
Eligible shares of QEP common stock converted into shares of Diamondback common stock238,153 
Shares of QEP equity awards included in precombination consideration4,221 
Total shares of QEP common stock eligible for merger consideration242,374 
Exchange ratio0.050 
Shares of Diamondback common stock issued as merger consideration (in thousands)12,119 
Closing price per share of Diamondback common stock$81.41 
Total consideration (fair value of the Company's common stock issued)$987 

Purchase Price Allocation

The QEP Merger has been accounted for as a business combination using the acquisition method. The following table represents the preliminary allocation of the total purchase price for the acquisition of QEP to the identifiable assets acquired and the liabilities assumed based on the fair values at the acquisition date, with any excess of the purchase price over the estimated fair value of the identifiable net assets acquired. Although the purchase price allocation is substantially complete as of the date of this filing, certain data necessary to complete the purchase price allocation is not yet available, and includes, but is not limited to, final tax returns that provide the underlying tax basis of QEP’s assets and liabilities. As such, there may be further adjustments to the fair value of certain assets acquired and liabilities assumed, including the Company’s oil and natural gas properties. The Company expects to complete the purchase price allocation during the 12-month period following the acquisition date.
10

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements-(Continued)
(Unaudited)
The following table sets forth the Company’s preliminary purchase price allocation (in millions):

Total consideration$987 
Fair value of liabilities assumed:
Accounts payable - trade$26 
Accrued capital expenditures38 
Other accrued liabilities108 
Revenues and royalties payable67 
Derivative instruments242 
Long-term debt1,710 
Asset retirement obligations54 
Other long-term liabilities47 
Amount attributable to liabilities assumed$2,292 
Fair value of assets acquired:
Cash, cash equivalents and restricted cash$22 
Accounts receivable - joint interest and other, net87 
Accounts receivable - oil and natural gas sales, net44 
Inventories18 
Income tax receivable33 
Prepaid expenses and other current assets7 
Oil and natural gas properties2,938 
Other property, equipment and land9 
Deferred income taxes15 
Other assets106 
Amount attributable to assets acquired3,279 
Net assets acquired and liabilities assumed$987 

The purchase price allocation above was based on preliminary estimates of the fair values of the assets and liabilities of QEP as of the closing date of the QEP Merger. The majority of the measurements of assets acquired and liabilities assumed are based on inputs that are not observable in the market and are therefore considered Level 3 inputs. The fair value of acquired property and equipment, including midstream assets classified in oil and natural gas properties, is based on the cost approach, which utilized asset listings and cost records with consideration for the reported age, condition, utilization and economic support of the assets. Oil and natural gas properties were valued using an income approach utilizing the discounted cash flow method, which takes into account production forecasts, projected commodity prices and pricing differentials, and estimates of future capital and operating cost which are then discounted utilizing an estimated weighted-average cost of capital for industry market participants. The fair value of QEP’s outstanding senior unsecured notes was based on unadjusted quoted prices in an active market, which are considered Level 1 inputs. The value of derivative instruments was based on observable inputs including forward commodity-price curves which are considered Level 2 inputs. Deferred income taxes represent the tax effects of differences in the tax basis and merger-date fair values of assets acquired and liabilities assumed.

With the completion of the QEP Merger, the Company acquired proved properties of $2.3 billion and unproved properties of $444 million, primarily in the Midland Basin and the Williston Basin. The Company has included in its condensed consolidated statements of operations, revenues of $54 million and direct operating expenses of $31 million for the period from March 17, 2021 to March 31, 2021 attributable to the QEP business.

Pro Forma Financial Information

The following unaudited summary pro forma financial information for the three months ended March 31, 2021 and 2020 has been prepared to give effect to the QEP Merger and the Guidon Acquisition as if they had occurred on January 1, 2020. The unaudited pro forma financial information does not purport to be indicative of what the combined company’s results of operations would have been if these transactions had occurred on the dates indicated, nor is it indicative of the future financial position or results of operations of the combined company.

11

Table of Contents
Diamondback Energy, Inc. and Subsidiaries
Condensed Notes to Consolidated Financial Statements-(Continued)
(Unaudited)

The below information reflects pro forma adjustments for the issuance of the Company’s common stock in exchange for QEP’s outstanding shares of common stock, as well as pro forma adjustments based on available information and certain assumptions that the Company believes are reasonable, including adjustments to depreciation, depletion and amortization based on the full cost method of accounting and the purchase price allocated to property, plant, and equipment as well as adjustments to interest expense and the provision for (benefit from) income taxes.

Additionally, pro forma earnings were adjusted to exclude acquisition-related costs incurred by the Company for the QEP Merger and the Guidon Acquisition of approximately $75 million for the three months ended March 31, 2021 and acquisition-related costs incurred by QEP of $31 million. These acquisition-related costs primarily consist of one-time severance costs and the accelerated or change-in-control vesting of certain QEP share-based awards for former QEP employees based on the terms of the merger agreement relating to the QEP Merger and other bank, legal and advisory fees. The pro forma results of operations do not include any cost savings or other synergies that may result from the QEP Merger and Guidon Acquisition or any estimated costs that have been or will be incurred by the Company to integrate the acquired assets. The pro forma financial data does not include the results of operations for any other acquisitions made during the periods presented, as they were primarily acreage acquisitions and their results were not deemed material.

Three Months Ended March 31,
20212020
(In millions, except per share amounts)
Revenues$1,481 $1,190 
Income (loss) from operations$684 $(822)
Net income (loss)$146 $58 
Basic earnings per common share$0.81 $0.32 
Diluted earnings per common share$0.80 $0.32 

5.    REAL ESTATE ASSETS    

The following schedule presents the cost and related accumulated depreciation of the Company’s real estate assets. The Company’s intangible lease assets and related accumulated amortization were immaterial as of March 31, 2021 and December 31, 2020.
Estimated Useful LivesMarch 31, 2021December 31, 2020
(Years)(In millions)
Buildings
20-30
$104 $102 
Tenant improvements155 5 
LandN/A2 2 
Land improvements151 1 
Total real estate assets112 110