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LEASES (Tables)
 12 Months Ended
Dec. 31, 2022
Leases [Abstract]  
Schedule of Balance Sheet Activity, Asset Classes
The Company’s right-of-use assets and lease liabilities are recognized on the accompanying balance sheets based on the present value of the expected lease payments over the lease term. As of December 31, 2022 and 2021, the Company did not have any agreements in place that were classified as finance leases. The following table summarizes the asset classes of the Company’s operating leases (in thousands):
As of December 31,
20222021
Operating Leases
Field equipment(1)
$15,131 $29,312 
Corporate leases8,235 9,484 
Vehicles 759 1,089 
Total right-of-use asset$24,125 $39,885 
Field equipment(1)
$15,131 $29,312 
Corporate leases8,898 9,870 
Vehicles759 1,089 
Total lease liability$24,788 $40,271 
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(1)Includes compressors, certain natural gas processing equipment, and other field equipment.
Summary of Operating Lease Costs and Summary of Supplemental Cash Flow Information
The following table summarizes the components of the Company’s gross lease costs incurred for the periods below (in thousands):
Year Ended December 31,
202220212020
Operating lease cost(1)
$21,050 $15,449 $13,957 
Short-term lease cost(2)
55,059 3,662 2,058 
Sublease income(3)
(63)(367)(358)
Total lease cost(4)
$76,046 $18,744 $15,657 
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(1)Includes office rent expense of $4.3 million, $2.2 million, and $1.1 million for the years ended December 31, 2022, 2021, and 2020, respectively.
(2)Includes drilling rigs and other equipment. Short-term drilling rig costs include a non-lease labor component, which is treated as a single lease component.
(3)The Company subleased a portion of one of its office spaces for the remainder of the office lease term
(4)Variable lease costs represent differences between lease obligations and actual costs incurred for certain leases that do not have fixed payments related to both lease and non-lease components. Such incremental costs include lease payment increases or decreases driven by market price fluctuations and leased asset maintenance costs.Variable lease costs were not material for the years ended December 31, 2022, 2021, and 2020.
Schedule of Weighted-Average Information The Company’s weighted-average remaining lease terms and discount rates as of December 31, 2022 are as follows:
Operating Leases
Weighted-average lease term (years)2.6
Weighted-average discount rate 4.0%
Schedule of Future Minimum Commitments for Operating Leases Future commitments by year for the Company’s leases with a lease term of one year or more as of December 31, 2022 are presented in the table below. Such commitments are reflected at undiscounted values and are reconciled to the discounted present value recognized on the accompanying balance sheets as follows (in thousands):
Operating Leases
2023$14,139 
20245,737 
20252,150 
20261,803 
20271,771 
Thereafter598 
Total lease payments26,198 
Less: imputed interest(1,410)
Total lease liability$24,788