20. Subsequent Events

On February 26, 2016, we announced that we had borrowed $340.0 million under the Credit Agreement for general corporate purposes.  Our cash balance after the borrowing was approximately $447.0 million and $9.1 million was the remaining availability under the Credit Agreement.

In February and March 2016, we received several demands from the BOEM ordering the Company to secure financial assurances in the form of additional surety bonds in the aggregate of $260.8 million to cover our decommissioning obligations under certain Federal offshore oil and gas leases and rights of way operated by us.  The bonds are to be secured on or before March 29, 2016.  The issuance of any additional surety bonds to satisfy this order could require the posting of cash collateral or letters of credit, which could be substantial.  The BOEM demand states that failure to comply with their order may result in the BOEM taking enforcement action, which includes assessing civil penalties, ordering suspension of operations or production, or initiating procedures to cancel leases.  We intend to continue discussions with the BOEM to resolve our issues concerning supplemental financial assurances, and if after review of this order the Company deems it necessary and appropriate, we may exercise our rights to appeal to the Interior Board of Land Appeals or otherwise challenge this order.