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Derivative Instruments | 6 Months Ended
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Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Instruments: | DERIVATIVE INSTRUMENTS: CNX enters into financial derivative instruments to manage its exposure to commodity price volatility. These natural gas and NGL commodity hedges are accounted for on a mark-to-market basis with changes in fair value recorded in current period earnings. CNX is exposed to credit risk in the event of non-performance by counterparties. The creditworthiness of counterparties is subject to continuing review. The Company has not experienced any issues of non-performance by derivative counterparties. None of the Company's counterparty master agreements currently require CNX to post collateral for any of its positions. However, as stated in the counterparty master agreements, if CNX's obligations with one of its counterparties cease to be secured on the same basis as similar obligations with the other lenders under the credit facility, CNX would have to post collateral for instruments in a liability position in excess of defined thresholds. All of the Company's derivative instruments are subject to master netting arrangements with our counterparties. CNX recognizes all financial derivative instruments as either assets or liabilities at fair value on the Consolidated Balance Sheets on a gross basis. Each of the Company's counterparty master agreements allows, in the event of default, the ability to elect early termination of outstanding contracts. If early termination is elected, CNX and the applicable counterparty would net settle all open hedge positions. The total notional amounts of production of CNX's derivative instruments at June 30, 2018 and December 31, 2017 were as follows:
| June 30, |  | December 31, |  | Forecasted to
| 2018 |  | 2017 |  | Settle Through
Natural Gas Commodity Swaps (Bcf) | 1,064.1 |  |  | 1,067.2 |  |  | 2023
Natural Gas Basis Swaps (Bcf) | 775.5 |  |  | 688.1 |  |  | 2023
The gross fair value of CNX's derivative instruments at June 30, 2018 and December 31, 2017 was as follows:
Asset Derivative Instruments |  | Liability Derivative Instruments
| June 30, |  | December 31, |  |  | June 30, |  | December 31,
| 2018 |  | 2017 |  |  | 2018 |  | 2017
Commodity Swaps: |  |  |  |  |  |  |  |
Prepaid Expense | $ | 27,226 |  |  | $ | 62,369 |  |  | Other Accrued Liabilities | $ | 26,943 |  |  | $ | 5,985 |
Other Assets | 132,594 |  |  | 59,281 |  |  | Other Liabilities | 10,381 |  |  | 42,419 |
Total Asset | $ | 159,820 |  |  | $ | 121,650 |  |  | Total Liability | $ | 37,324 |  |  | $ | 48,404 |
Basis Only Swaps: |  |  |  |  |  |  |  |
Prepaid Expense | $ | 10,932 |  |  | $ | 14,965 |  |  | Other Accrued Liabilities | $ | 26,969 |  |  | $ | 35,306 |
Other Assets | 35,101 |  |  | 24,223 |  |  | Other Liabilities | 20,557 |  |  | 17,179 |
Total Asset | $ | 46,033 |  |  | $ | 39,188 |  |  | Total Liability | $ | 47,526 |  |  | $ | 52,485 |
The effect of derivative instruments on the Company's Consolidated Statements of Income was as follows:
| For the Three Months Ended |  | For the Six Months Ended
| June 30, |  | June 30,
| 2018 |  | 2017 |  | 2018 |  | 2017
Cash Received (Paid) in Settlement of Commodity Derivative Instruments: |  |  |  |  |  |  |
Commodity Swaps: |  |  |  |  |  |  |
Natural Gas | $ | 17,058 |  |  | $ | (15,509 | ) |  | $ | 16,624 |  |  | $ | (40,116 | )
Propane | — |  |  | — |  |  | — |  |  | (1,216 | )
Natural Gas Basis Swaps | (374 | ) |  | (16,776 | ) |  | (16,931 | ) |  | (38,056 | )
Total Cash Received (Paid) in Settlement of Commodity Derivative Instruments | 16,684 |  |  | (32,285 | ) |  | (307 | ) |  | (79,388 | )
Unrealized Gain (Loss) on Commodity Derivative Instruments: |  |  |  |  |  |  |
Commodity Swaps: |  |  |  |  |  |  |
Natural Gas | 46,450 |  |  | 70,282 |  |  | 49,250 |  |  | 232,886 |
Propane | — |  |  | — |  |  | — |  |  | 1,147 |
Natural Gas Basis Swaps | (37,474 | ) |  | 45,791 |  |  | 11,804 |  |  | (93,320 | )
Total Unrealized Gain on Commodity Derivative Instruments | 8,976 |  |  | 116,073 |  |  | 61,054 |  |  | 140,713 |
Gain (Loss) on Commodity Derivative Instruments: |  |  |  |  |  |  |
Commodity Swaps: |  |  |  |  |  |  |
Natural Gas | 63,508 |  |  | 54,773 |  |  | 65,874 |  |  | 192,770 |
Propane | — |  |  | — |  |  | — |  |  | (69 | )
Natural Gas Basis Swaps | (37,848 | ) |  | 29,015 |  |  | (5,127 | ) |  | (131,376 | )
Total Gain on Commodity Derivative Instruments | $ | 25,660 |  |  | $ | 83,788 |  |  | $ | 60,747 |  |  | $ | 61,325 |
The Company also enters into fixed price natural gas sales agreements that are satisfied by physical delivery. These physical commodity contracts qualify for the normal purchases and sales exception and are not subject to derivative instrument accounting.

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- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -URI http://asc.fasb.org/topic&trid=2229140 + Details
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