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v3.23.2

Derivative Activities (Tables) | 6 Months Ended
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Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Volumes Hedged and Average Hedge Prices | The following table sets forth our commodity-based derivative volumes by year as of June 30, 2023, excluding our basis swaps and divestiture contingent consideration which are discussed separately below:
Period |  | Contract Type |  | Volume Hedged |  | Weighted Average Hedge Price
|  |  |  |  |  | Swap |  | Sold Put |  | Floor |  | Ceiling
Natural Gas (a) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2023 |  | Swaps |  | 381,658 Mmbtu/day |  | $ | 3.52 |  |  |  |  |  |  |  |
2023 |  | Collars |  | 256,685 Mmbtu/day |  |  |  |  |  |  | $ | 3.37 |  | $ | 4.50
2023 |  | Three-way Collars |  | 140,000 Mmbtu/day |  |  |  | $ | 2.25 |  | $ | 3.25 |  | $ | 4.28
2024 |  | Swaps |  | 304,973 Mmbtu/day |  | $ | 4.01 |  |  |  |  |  |  |  |
2024 |  | Collars |  | 436,694 Mmbtu/day |  |  |  |  |  |  | $ | 3.50 |  | $ | 5.63
2024 |  | Three-way Collars |  | 50,000 Mmbtu/day |  |  |  | $ | 2.50 |  | $ | 3.50 |  | $ | 4.24
2025 |  | Swaps |  | 360,000 Mmbtu/day |  | $ | 4.12 |  |  |  |  |  |  |  |
2026 |  | Swaps |  | 32,500 Mmbtu/day |  | $ | 4.16 |  |  |  |  |  |  |  |
Crude Oil |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2023 |  | Swaps |  | 5,000 bbls/day |  | $ | 71.30 |  |  |  |  |  |  |  |
January-September 2024 |  | Collars |  | 832 bbls/day |  |  |  |  |  |  | $ | 80.00 |  | $ | 90.12
Combined Fair Value of Derivatives, by Consolidated Balance Sheets | The combined fair value of derivatives included in the accompanying consolidated balance sheets as of June 30, 2023 and December 31, 2022 is summarized below. The assets and liabilities are netted where derivatives with both gain and loss positions are held by a single counterparty and we have master netting arrangements. The tables below provide additional information relating to our master netting arrangements with our derivative counterparties (in thousands):
|  |  | June 30, 2023 |
|  |  | Gross Amounts of Recognized Assets |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of Assets Presented in the Balance Sheet |
Derivative assets: |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | 116,529 |  |  | $ | (3,359 | ) |  | $ | 113,170 |
| –swaptions |  |  | — |  |  |  | (2,492 | ) |  |  | (2,492 | )
| –collars |  |  | 94,885 |  |  |  | (2,044 | ) |  |  | 92,841 |
| –three-way collars |  |  | 10,017 |  |  |  | (240 | ) |  |  | 9,777 |
| –basis swaps |  |  | 47,065 |  |  |  | (15,317 | ) |  |  | 31,748 |
Crude oil | –swaps |  |  | 1,092 |  |  |  | (391 | ) |  |  | 701 |
| –collars |  |  | 2,783 |  |  |  | — |  |  |  | 2,783 |
Divestiture contingent consideration |  |  | 8,140 |  |  |  | — |  |  |  | 8,140 |
|  |  | $ | 280,511 |  |  | $ | (23,843 | ) |  | $ | 256,668 |
|  |  | June 30, 2023 |
|  |  | Gross Amounts of Recognized (Liabilities) |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of (Liabilities) Presented in the Balance Sheet |
Derivative (liabilities): |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | (3,359 | ) |  | $ | 3,359 |  |  | $ | — |
| –swaptions |  |  | (2,492 | ) |  |  | 2,492 |  |  |  | — |
| –collars |  |  | (2,044 | ) |  |  | 2,044 |  |  |  | — |
| –three-way collars |  |  | (240 | ) |  |  | 240 |  |  |  | — |
| –basis swaps |  |  | (16,335 | ) |  |  | 15,317 |  |  |  | (1,018 | )
Crude oil | –swaps |  |  | (391 | ) |  |  | 391 |  |  |  | — |
|  |  | $ | (24,861 | ) |  | $ | 23,843 |  |  | $ | (1,018 | )
|  |  | December 31, 2022 |
|  |  | Gross Amounts of Recognized Assets |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of Assets Presented in the Balance Sheet |
Derivative assets: |  |  |  |  |  |  |  |  |  |
Natural gas |  | –swaps | $ | 19,438 |  |  | $ | (6,236 | ) |  | $ | 13,202 |
|  | –collars |  | 54,222 |  |  |  | (45,452 | ) |  |  | 8,770 |
|  | –three-way collars |  | 12,424 |  |  |  | (12,424 | ) |  |  | — |
|  | –basis swaps |  | 25,493 |  |  |  | (20,437 | ) |  |  | 5,056 |
Crude oil |  | –collars |  | 1,807 |  |  |  | — |  |  |  | 1,807 |
Divestiture contingent consideration |  | 13,080 |  |  |  | — |  |  |  | 13,080 |
|  |  | $ | 126,464 |  |  | $ | (84,549 | ) |  | $ | 41,915 |
|  |  | December 31, 2022 |
|  |  | Gross Amounts of Recognized (Liabilities) |  |  | Gross Amounts Offset in the Balance Sheet |  |  | Net Amounts of (Liabilities) Presented in the Balance Sheet |
Derivative (liabilities): |  |  |  |  |  |  |  |  |  |
Natural gas | –swaps |  | $ | (115,374 | ) |  | $ | 6,236 |  |  | $ | (109,138 | )
| –collars |  |  | (72,866 | ) |  |  | 45,452 |  |  |  | (27,414 | )
| –three-way collars |  |  | (24,341 | ) |  |  | 12,424 |  |  |  | (11,917 | )
| –basis swaps |  |  | (24,972 | ) |  |  | 20,437 |  |  |  | (4,535 | )
Crude oil | –swaps |  |  | (13,908 | ) |  |  | — |  |  |  | (13,908 | )
|  |  | $ | (251,461 | ) |  | $ | 84,549 |  |  | $ | (166,912 | )
Effects of Derivatives on Consolidated Statements of Operations | The effects of our derivatives on our consolidated statements of operations are summarized below (in thousands):
| Derivative Fair Value Income (Loss) |
| Three Months Ended June 30, |  |  | Six Months Ended June 30, |
| 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
Commodity swaps | $ | 43,067 |  |  | $ | (127,949 | ) |  | $ | 252,159 |  |  | $ | (649,304 | )
Swaptions |  | (2,492 | ) |  |  | 19,868 |  |  |  | (2,492 | ) |  |  | (14,854 | )
Three-way collars |  | 5,399 |  |  |  | (27,506 | ) |  |  | 56,214 |  |  |  | (207,432 | )
Collars |  | 11,787 |  |  |  | (83,252 | ) |  |  | 172,358 |  |  |  | (315,545 | )
Calls |  | — |  |  |  | — |  |  |  | — |  |  |  | (1,363 | )
Basis swaps |  | 66,993 |  |  |  | (21,083 | ) |  |  | 18,402 |  |  |  | 1,432 |
Freight swaps |  | — |  |  |  | — |  |  |  | — |  |  |  | (33 | )
Divestiture contingent consideration |  | (1,020 | ) |  |  | — |  |  |  | (4,940 | ) |  |  | 8,120 |
Total | $ | 123,734 |  |  | $ | (239,922 | ) |  | $ | 491,701 |  |  | $ | (1,178,979 | )

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