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Derivative Activities (Tables) | 6 Months Ended
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Jun. 30, 2024
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, 2024, excluding our basis swaps which are discussed separately below:
Period |  | Contract Type |  | Volume Hedged |  |  | Weighted Average Hedge Price |
|  |  |  |  |  | Swap |  |  | Sold Put |  |  | Floor |  |  | Ceiling |
Natural Gas (a) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2024 |  | Swaps |  | 300,000 Mmbtu/day |  | $ |  | 4.11 |  |  |  |  |  |  |  |  |  |  |  |  |
2024 |  | Collars |  | 433,424 Mmbtu/day |  |  |  |  |  |  |  |  |  | $ |  | 3.51 |  |  | $ |  | 5.66 |
2024 |  | Three-way Collars |  | 91,576 Mmbtu/day |  |  |  |  |  | $ |  | 2.58 |  |  | $ |  | 3.40 |  |  | $ |  | 4.31 |
2025 |  | Swaps |  | 400,000 Mmbtu/day |  | $ |  | 4.12 |  |  |  |  |  |  |  |  |  |  |  |  |
2025 |  | Three-way Collars |  | 138,959 Mmbtu/day |  |  |  |  |  | $ |  | 2.52 |  |  | $ |  | 3.33 |  |  | $ |  | 4.93 |
2026 |  | Swaps |  | 100,000 Mmbtu/day |  | $ |  | 4.11 |  |  |  |  |  |  |  |  |  |  |  |  |
2027 |  | Swaps |  | 30,000 Mmbtu/day |  | $ |  | 4.10 |  |  |  |  |  |  |  |  |  |  |  |  |
Oil (b) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2024 |  | Swaps |  | 5,250 bbls/day |  | $ |  | 80.90 |  |  |  |  |  |  |  |  |  |  |  |  |
July - September 2024 |  | Collars |  | 500 bbls/day |  |  |  |  |  |  |  |  |  | $ |  | 80.00 |  |  | $ |  | 90.00 |
NGLs (C3-Propane) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2024 |  | Swaps |  | 6,500 bbls/day |  | $ |  | 33.63 |  |  |  |  |  |  |  |  |  |  |  |  |
(a) | We also sold natural gas swaptions of 40,000 Mmbtu/day for calendar year 2026 at a weighted average price of $4.08/Mmbtu that expire through October 2024 and 30,000 Mmbtu/day for calendar year 2027 at a weighted price of $4.10/Mmbtu that expire in October 2024.
(b) | We also sold oil swaptions of 2,000 bbls/day for calendar year 2025 at a weighted average price of $80.00/bbl that expire in September 2024.
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, 2024 and December 31, 2023 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, 2024 |  |  | December 31, 2023 |  |
Derivative assets: |  |  |  |  |  |
Gross amounts of recognized assets | $ | 274,593 |  |  | $ | 452,378 |  |
Gross amounts offset in the consolidated balance sheets |  | (13,196 | ) |  |  | (9,407 | ) |
Net amounts of assets presented in the consolidated balance sheets | $ | 261,397 |  |  | $ | 442,971 |  |
| June 30, 2024 |  |  | December 31, 2023 |
Derivative (liabilities): |  |  |  |  |
Gross amounts of recognized (liabilities) | $ | (18,974 | ) |  | $ | (9,736 | )
Gross amounts offset in the consolidated balance sheets |  | 13,196 |  |  |  | 9,407 |
Net amounts of (liabilities) presented in the consolidated balance sheets | $ | (5,778 | ) |  | $ | (329 | )
Effects of Derivatives on Consolidated Statements of Income | The effects of our derivatives on our consolidated statements of income are summarized below (in thousands):
| Three Months Ended June 30, |  |  | Six Months Ended June 30, |
| 2024 |  |  | 2023 |  |  | 2024 |  |  | 2023 |
Commodity swaps | $ | (680 | ) |  | $ | 43,067 |  |  | $ | 31,961 |  |  | $ | 252,159 |
Swaptions |  | 192 |  |  |  | (2,492 | ) |  |  | (867 | ) |  |  | (2,492 | )
Three-way collars |  | 2,260 |  |  |  | 5,399 |  |  |  | 8,743 |  |  |  | 56,214 |
Collars |  | (16,084 | ) |  |  | 11,787 |  |  |  | 25,887 |  |  |  | 172,358 |
Basis swaps |  | 31,120 |  |  |  | 66,993 |  |  |  | (2,318 | ) |  |  | 18,402 |
Divestiture contingent consideration |  | — |  |  |  | (1,020 | ) |  |  | — |  |  |  | (4,940 | )
Total derivative fair value income | $ | 16,808 |  |  | $ | 123,734 |  |  | $ | 63,406 |  |  | $ | 491,701 |

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