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Derivative Instruments (Tables) | 12 Months Ended
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Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Summary of Outstanding Financial Commodity Derivatives | As of December 31, 2021, the Company had the following outstanding financial commodity derivatives:
|  |  |  |  |  | Collars |  | Swaps
|  |  |  |  |  | Floor |  | Ceiling |  | Basis Swaps |  | Roll Swaps
Type of Contract |  | Volume (Mbbl) |  | Contract Period |  | Range ($/Bbl) |  | Weighted- Average ($/Bbl) |  | Range ($/Bbl) |  | Weighted- Average ($/Bbl) |  | Weighted- Average ($/Bbl) |  | Weighted- Average ($/Bbl)
Crude oil (WTI) |  | 630 |  | Jan. 2022-Mar. 2022 |  | $— |  | $ | 35.00 |  |  | $45.15-$45.40 |  | $ | 45.28 |  |  |  |  |
Crude oil (WTI) |  | 1,629 |  | Jan. 2022-Jun. 2022 |  | $35.00-$37.50 |  | $ | 36.11 |  |  | $48.38-$51.10 |  | $ | 49.97 |  |  |  |  |
Crude oil (WTI) |  | 2,730 |  | Jan. 2022-Sep. 2022 |  | $— |  | $ | 40.00 |  |  | $47.55-$50.89 |  | $ | 49.19 |  |  |  |  |
Crude oil (WTI) |  | 2,920 |  | Jan. 2022-Dec. 2022 |  | $— |  | $ | 57.00 |  |  | $72.20-$72.80 |  | $ | 72.43 |  |  |  |  |
Crude oil (WTI Midland)(1) |  | 630 |  | Jan. 2022-Mar. 2022 |  |  |  |  |  |  |  |  |  | $ | 0.11 |  |  |
Crude oil (WTI Midland)(1) |  | 1,448 |  | Jan. 2022-Jun. 2022 |  |  |  |  |  |  |  |  |  | $ | 0.25 |  |  |
Crude oil (WTI Midland)(1) |  | 1,911 |  | Jan. 2022-Sep. 2022 |  |  |  |  |  |  |  |  |  | $ | 0.38 |  |  |
Crude oil (WTI Midland)(1) |  | 2,920 |  | Jan. 2022-Dec. 2022 |  |  |  |  |  |  |  |  |  | $ | 0.05 |  |  |
Crude oil (WTI) |  | 630 |  | Jan. 2022-Mar. 2022 |  |  |  |  |  |  |  |  |  |  |  | $ | (0.24) |
Crude oil (WTI) |  | 724 |  | Jan. 2022-Jun. 2022 |  |  |  |  |  |  |  |  |  |  |  | $ | (0.20) |
Crude oil (WTI) |  | 1,911 |  | Jan. 2022-Sep. 2022 |  |  |  |  |  |  |  |  |  |  |  | $ | 0.10 |
________________________________________________________ (1)The index price the Company pays under these basis swaps is WTI Midland, as quoted by Argus Americas Crude.
|  |  |  |  |  | Collars |  |  |  |
|  |  |  |  |  | Floor |  | Ceiling |  |  |  |
Type of Contract |  | Volume (Mmbtu) |  | Contract Period |  | Range ($/Mmbtu) |  | Weighted-Average ($/Mmbtu) |  | Range ($/Mmbtu) |  | Weighted- Average ($/Mmbtu) |  |  |  |
Natural gas (NYMEX) |  | 36,000,000 |  |  | Jan. 2022-Mar. 2022 |  | $4.00 - $4.75 |  | $ | 4.38 |  |  | $5.00 - $10.32 |  | $ | 6.97 |  |  |  |  |
Natural gas (NYMEX) |  | 42,800,000 |  |  | Apr. 2022 - Oct. 2022 |  | $3.00 - $3.50 |  | $ | 3.19 |  |  | $4.07 - $4.83 |  | $ | 4.30 |  |  |  |  |
Natural gas (Perm EP)(1) |  | 1,800,000 |  |  | Jan. 2022-Mar. 2022 |  | $1.80 - $1.90 |  | $ | 1.85 |  |  | $2.18 - $2.19 |  | $ | 2.18 |  |  |  |  |
Natural gas (Perm EP)(1) |  | 3,620,000 |  |  | Jan. 2022-Jun. 2022 |  | $ | — |  |  | $ | 2.40 |  |  | $2.85 - $2.90 |  | $ | 2.88 |  |  |  |  |
Natural gas (Perm EP)(1) |  | 7,300,000 |  |  | Jan. 2022-Dec. 2022 |  | $ | — |  |  | $ | 2.50 |  |  | $ | — |  |  | $ | 3.15 |  |  |  |  |
Natural gas (PEPL)(2) |  | 3,600,000 |  |  | Jan. 2022-Mar. 2022 |  | $1.90 - $2.10 |  | $ | 2.00 |  |  | $2.35 - $2.44 |  | $ | 2.40 |  |  |  |  |
Natural gas (PEPL)(2) |  | 3,620,000 |  |  | Jan. 2022-Jun. 2022 |  | $ | — |  |  | $ | 2.40 |  |  | $2.81 - $2.91 |  | $ | 2.86 |  |  |  |  |
Natural gas (PEPL)(2) |  | 7,300,000 |  |  | Jan. 2022-Dec. 2022 |  | $ | — |  |  | $ | 2.60 |  |  | $ | — |  |  | $ | 3.27 |  |  |  |  |
Natural gas (Waha)(3) |  | 3,600,000 |  |  | Jan. 2022-Mar. 2022 |  | $1.70 - $1.84 |  | $ | 1.77 |  |  | $2.10 - $2.20 |  | $ | 2.15 |  |  |  |  |
Natural gas (Waha)(3) |  | 3,620,000 |  |  | Jan. 2022-Jun. 2022 |  | $ | — |  |  | $ | 2.40 |  |  | $2.82 - $2.89 |  | $ | 2.86 |  |  |  |  |
Natural gas (Waha)(3) |  | 2,730,000 |  |  | Jan. 2022-Sep. 2022 |  | $ | — |  |  | $ | 2.40 |  |  | $ | — |  |  | $ | 2.77 |  |  |  |  |
Natural gas (Waha)(3) |  | 7,300,000 |  |  | Jan. 2022-Dec. 2022 |  | $ | — |  |  | $ | 2.50 |  |  | $ | — |  |  | $ | 3.12 |  |  |  |  |
________________________________________________________ (1)The index price for these collars is El Paso Natural Gas Company, Permian Basin Index (“Perm EP”), as quoted in Platt’s Inside FERC. (2)The index price for these collars is Panhandle Eastern Pipe Line, Tex/OK Mid-Continent Index (“PEPL”), as quoted in Platt’s Inside FERC. (3)The index price for these collars is Waha West Texas Natural Gas Index (“Waha”), as quoted in Platt’s Inside FERC. In early 2022, the Company entered into the following outstanding financial commodity derivatives:
|  |  |  |  |  | Collars
|  |  |  |  |  | Floor |  | Ceiling
Type of Contract |  | Volume (Mmbtu) |  | Contract Period |  | Range ($/Mmbtu) |  | Weighted- Average ($/Mmbtu) |  | Range ($/Mmbtu) |  | Weighted- Average ($/Mmbtu)
Natural gas (NYMEX) |  | 71,500,000 |  | Apr. 2022-Dec. 2022 |  | $3.50 - $4.25 |  | $ | 3.84 |  |  | $4.75 - $6.65 |  | $ | 5.39 |
Natural gas (NYMEX) |  | 10,700,000 |  |  | Apr. 2022-Oct. 2022 |  | $ | — |  |  | $ | 4.00 |  |  | $5.60 - $5.69 |  | $ | 5.63 |
Natural gas (NYMEX) |  | 7,550,000 |  |  | Nov. 2022-Mar. 2023 |  | $ | — |  |  | $ | 4.00 |  |  | $7.06 - $7.10 |  | $ | 7.08 |
Effect of Derivative Instruments on Consolidated Balance Sheet | Effect of Derivative Instruments on the Consolidated Balance Sheet
|  |  |  | Fair Values of Derivative Instruments
|  |  |  | Derivative Assets |  | Derivative Liabilities
|  |  |  | December 31, |  | December 31,
(In millions) |  | Balance Sheet Location |  | 2021 |  | 2020 |  | 2021 |  | 2020
Commodity contracts |  | Derivative instruments (current) |  | $ | 7 |  |  | $ | 26 |  |  | $ | 159 |  |  | $ | — |
Schedule of Offsetting Derivative Assets in Consolidated Balance Sheet | Offsetting of Derivative Assets and Liabilities in the Consolidated Balance Sheet
|  | December 31,
(In millions) |  | 2021 |  | 2020
Derivative assets |  |  |  |
Gross amounts of recognized assets |  | $ | 27 |  |  | $ | 26 |
Gross amounts offset in the consolidated balance sheet |  | (20) |  |  | — |
Net amounts of assets presented in the consolidated balance sheet |  | 7 |  |  | 26 |
Gross amounts of financial instruments not offset in the consolidated balance sheet |  | — |  |  | — |
Net amount |  | $ | 7 |  |  | $ | 26 |
Derivative liabilities |  |  |  |
Gross amounts of recognized liabilities |  | $ | 179 |  |  | $ | — |
Gross amounts offset in the consolidated balance sheet |  | (20) |  |  | — |
Net amounts of liabilities presented in the consolidated balance sheet |  | 159 |  |  | — |
Gross amounts of financial instruments not offset in the consolidated balance sheet |  | 35 |  |  | — |
Net amount |  | $ | 194 |  |  | $ | — |
Schedule of Offsetting Derivative Liabilities in Consolidated Balance Sheet | Offsetting of Derivative Assets and Liabilities in the Consolidated Balance Sheet
|  | December 31,
(In millions) |  | 2021 |  | 2020
Derivative assets |  |  |  |
Gross amounts of recognized assets |  | $ | 27 |  |  | $ | 26 |
Gross amounts offset in the consolidated balance sheet |  | (20) |  |  | — |
Net amounts of assets presented in the consolidated balance sheet |  | 7 |  |  | 26 |
Gross amounts of financial instruments not offset in the consolidated balance sheet |  | — |  |  | — |
Net amount |  | $ | 7 |  |  | $ | 26 |
Derivative liabilities |  |  |  |
Gross amounts of recognized liabilities |  | $ | 179 |  |  | $ | — |
Gross amounts offset in the consolidated balance sheet |  | (20) |  |  | — |
Net amounts of liabilities presented in the consolidated balance sheet |  | 159 |  |  | — |
Gross amounts of financial instruments not offset in the consolidated balance sheet |  | 35 |  |  | — |
Net amount |  | $ | 194 |  |  | $ | — |
Effect of Derivative Instruments on Consolidated Statement of Operations | Effect of Derivative Instruments on the Consolidated Statement of Operations
|  | Year Ended December 31,
(In millions) |  | 2021 |  | 2020 |  | 2019
Cash (paid) received on settlement of derivative instruments |  |  |  |  |  |
Gas contracts |  | $ | (307) |  |  | $ | 35 |  |  | $ | 139 |
Oil contracts |  | (124) |  |  | — |  |  | — |
Non-cash (loss) gain on derivative instruments |  |  |  |  |  |
Gas contracts |  | 99 |  |  | 26 |  |  | (58) |
Oil contracts |  | 111 |  |  | — |  |  | — |
|  | $ | (221) |  |  | $ | 61 |  |  | $ | 81 |

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