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Derivative Instruments (Tables)
 9 Months Ended
Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Outstanding Commodity Derivative Instruments
In connection with the completion of the Merger, the following outstanding commodity derivative contracts were novated to the Company on July 1, 2022:
CommoditySettlement
Period		Derivative
Instrument		VolumesWeighted Average Prices
Fixed-Price SwapsFloorCeiling
  
Crude oil2022Fixed-price swaps1,840,000 Bbl$76.92 
Crude oil2022Two-way collar5,628,000 Bbl$47.20 $57.33 
Crude oil2023Fixed-price swaps1,172,000 Bbl$76.79 
Crude oil2023Two-way collar3,443,500 Bbl$46.75 $58.87 
Natural gas2022Fixed-price swaps4,140,000 MMBtu$3.97 
Natural gas2022Two-way collar10,074,000 MMBtu$2.68 $3.31 
Natural gas2023Fixed-price swaps1,800,000 MMBtu$4.25 
Natural gas2023Two-way collar8,799,000 MMBtu$2.85 $3.57 
Natural gas basis(1)
2022Fixed-price swaps620,000 MMBtu$1.17 
Natural gas basis(1)
2023Fixed-price swaps5,920,000 MMBtu$0.40 
NGL - Propane(2)
2022Fixed-price swaps7,728,000 Gallons$1.07 
NGL - Propane(3)
2022Fixed-price swaps30,912,000 Gallons$1.04 
NGL - Propane(3)
2023Fixed-price swaps7,560,000 Gallons$1.16 

At September 30, 2022, the Company had the following outstanding commodity derivative contracts:
CommoditySettlement
Period		Derivative
Instrument		VolumesWeighted Average Prices
Fixed-Price SwapsFloorCeiling
  
Crude oil2022Two-way collar3,864,000 Bbl$48.13 $60.00 
Crude oil2022Fixed-price swaps2,760,000 Bbl$72.32 
Crude oil2023Two-way collar7,823,500 Bbl$45.77 $62.25 
Crude oil2023Fixed-price swaps6,282,000 Bbl$55.00 
Natural gas2022Two-way collar4,370,000 MMBtu$2.71 $3.41 
Natural gas2022Fixed-price swaps2,760,000 MMBtu$4.19 
Natural gas2023Two-way collar8,799,000 MMBtu$2.84 $3.57 
Natural gas2023Fixed-price swaps1,800,000 MMBtu$4.25 
Natural gas basis(1)
2022Fixed-price swaps620,000 MMBtu$1.17 
Natural gas basis(1)
2023Fixed-price swaps5,920,000 MMBtu$0.40 
NGL - Propane(2)
2022Fixed-price swaps3,864,000 Gallons$1.07 
NGL - Propane(3)
2022Fixed-price swaps15,456,000 Gallons$1.04 
NGL - Propane(3)
2023Fixed-price swaps7,560,000 Gallons$1.16 
__________________ 
(1)    The weighted average price associated with the natural gas basis swaps shown in the tables above represents the average fixed differential to NYMEX HH as stated in the related contracts, which is compared to the NNG Ventura index price for each period. If NYMEX HH combined with the fixed differential as stated in each contract is higher than the NNG Ventura index price at any settlement date, the Company receives the difference. Conversely, if the NNG Ventura index price is higher than NYMEX HH combined with the fixed differential, the Company pays the difference.
(2)    Settled based on the Mont Belvieu propane price.
(3)    Settled based on the Conway propane price.
Schedule of Gains and Losses from Commodity Derivative Instruments
The following table summarizes the location and amounts of gains and losses from the Company’s derivative instruments recorded in the Company’s Condensed Consolidated Statements of Operations for the periods presented:
Three Months Ended September 30,Nine Months Ended September 30,
Derivative InstrumentStatements of Operations Location2022202120222021
 (In thousands)
Commodity price hedges (commodity derivative contracts)Net gain (loss) on derivative instruments$344,379 $(108,647)$(136,066)$(557,199)
Buy/sell transportation contracts (commodity derivative contracts)
Gathering, processing and transportation expenses(1)
6,939 — 6,939 — 
Embedded commodity derivative (contingent consideration)Net gain (loss) on derivative instruments(6,970)6,857 7,300 6,857 
Embedded commodity derivative (contingent consideration)Gain on sale of assets— — — 32,860 
__________________ 
(1)    The change in the fair value of the transportation derivative contracts was recorded as a gain in gathering, processing and transportation expenses for the three and nine months ended September 30, 2022.
Schedule of Gross and Net Information about Commodity Derivative Assets
The following table summarizes the location and fair value of all outstanding derivative instruments recorded in the Company’s Condensed Consolidated Balance Sheets:
September 30, 2022
Derivative InstrumentBalance Sheet LocationGross AmountGross Amount OffsetNet Amount
(In thousands)
Derivatives assets:
Commodity derivativesDerivative instruments — current assets$28,137 $(25,076)$3,061 
Commodity derivativesDerivative instruments — non-current assets4,324 (4,324)— 
Contingent considerationDerivative instruments — non-current assets52,110 — 52,110 
Total derivatives assets$84,571 $(29,400)$55,171 
Derivatives liabilities:
Commodity derivatives(1)
Derivative instruments — current liabilities$381,318 $(25,076)$356,242 
Commodity derivatives (buy/sell transportation contracts)Derivative instruments — current liabilities10,363 — 10,363 
Commodity derivativesDerivative instruments — non-current liabilities37,499 (4,324)33,175 
Commodity derivatives (buy/sell transportation contracts)Derivative instruments — non-current liabilities4,723 — 4,723 
Total derivatives liabilities$433,903 $(29,400)$404,503 
December 31, 2021
Derivative InstrumentBalance Sheet LocationGross AmountGross Amount OffsetNet Amount
(In thousands)
Derivatives assets:
Commodity derivativesDerivative instruments — non-current assets$55 $— $55 
Contingent considerationDerivative instruments — non-current assets44,810 — 44,810 
Total derivatives assets$44,865 $— $44,865 
Derivatives liabilities:
Commodity derivativesDerivative instruments — current liabilities$96,172 $(6,725)$89,447 
Commodity derivativesDerivative instruments — non-current liabilities133,655 (18,373)115,282 
Total derivatives liabilities$229,827 $(25,098)$204,729 
__________________ 
(1)     Includes $39.6 million of commodity derivative liabilities paid in October 2022.
Schedule of Gross and Net Information about Commodity Derivative Liabilities
The following table summarizes the location and fair value of all outstanding derivative instruments recorded in the Company’s Condensed Consolidated Balance Sheets:
September 30, 2022
Derivative InstrumentBalance Sheet LocationGross AmountGross Amount OffsetNet Amount
(In thousands)
Derivatives assets:
Commodity derivativesDerivative instruments — current assets$28,137 $(25,076)$3,061 
Commodity derivativesDerivative instruments — non-current assets4,324 (4,324)— 
Contingent considerationDerivative instruments — non-current assets52,110 — 52,110 
Total derivatives assets$84,571 $(29,400)$55,171 
Derivatives liabilities:
Commodity derivatives(1)
Derivative instruments — current liabilities$381,318 $(25,076)$356,242 
Commodity derivatives (buy/sell transportation contracts)Derivative instruments — current liabilities10,363 — 10,363 
Commodity derivativesDerivative instruments — non-current liabilities37,499 (4,324)33,175 
Commodity derivatives (buy/sell transportation contracts)Derivative instruments — non-current liabilities4,723 — 4,723 
Total derivatives liabilities$433,903 $(29,400)$404,503 
December 31, 2021
Derivative InstrumentBalance Sheet LocationGross AmountGross Amount OffsetNet Amount
(In thousands)
Derivatives assets:
Commodity derivativesDerivative instruments — non-current assets$55 $— $55 
Contingent considerationDerivative instruments — non-current assets44,810 — 44,810 
Total derivatives assets$44,865 $— $44,865 
Derivatives liabilities:
Commodity derivativesDerivative instruments — current liabilities$96,172 $(6,725)$89,447 
Commodity derivativesDerivative instruments — non-current liabilities133,655 (18,373)115,282 
Total derivatives liabilities$229,827 $(25,098)$204,729