Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts of Outstanding Derivative Positions

The following tables summarize the approximate volumes and average contract prices of contracts the Company had in place as of December 31, 2014:

Oil Contracts

Oil Swaps



Contract Period	NYMEX WTI Volumes	Weighted- Average Contract Price
	(Bbls)	(per Bbl)
First quarter 2015	1,711,000	$	91.96
Second quarter 2015	1,639,000	$	91.26
Third quarter 2015	1,254,000	$	90.78
Fourth quarter 2015	1,137,000	$	90.15
2016	5,570,000	$	88.01
All oil swaps	11,311,000

Oil Collars



Contract Period	NYMEX WTI Volumes	Weighted- Average Floor Price		Weighted- Average Ceiling Price
	(Bbls)	(per Bbl)		(per Bbl)
First quarter 2015	882,000	$	85.00	$	99.53
Second quarter 2015	709,000	$	85.00	$	94.06
Third quarter 2015	906,000	$	85.00	$	91.25
Fourth quarter 2015	869,000	$	85.00	$	92.19
All oil collars	3,366,000

Natural Gas Contracts

Gas Swaps



Contract Period	Volumes	Weighted- Average Contract Price
	(MMBtu)	(per MMBtu)
First quarter 2015	23,548,000	$	4.22
Second quarter 2015	15,985,000	$	3.90
Third quarter 2015	14,950,000	$	4.03
Fourth quarter 2015	13,570,000	$	4.02
2016	48,896,000	$	4.12
2017	37,414,000	$	4.16
2018	35,241,000	$	4.21
2019	28,159,000	$	4.28
All gas swaps*	217,763,000

____________________________________________

*Natural gas swaps are comprised of IF El Paso Permian (3%), IF HSC (82%), IF NGPL TXOK (1%), IF NNG Ventura (3%), and IF Enable East (11%).

Gas Collars



Contract Period	Volumes	Weighted- Average Floor Price		Weighted- Average Ceiling Price
	(MMBtu)	(per MMBtu)		(per MMBtu)
First quarter 2015	2,524,000	$	4.00	$	4.30
Second quarter 2015	2,297,000	$	4.00	$	4.30
Third quarter 2015	2,005,000	$	4.00	$	4.30
Fourth quarter 2015	6,176,000	$	3.97	$	4.30
All gas collars*	13,002,000

____________________________________________

*Natural gas collars are comprised of IF El Paso Permian (4%), IF HSC (80%), IF NNG Ventura (8%), and IF Enable East (8%).

NGL Contracts

NGL Swaps



Contract Period	Volumes	Weighted- Average Contract Price
	(Bbls)	(per Bbl)
First quarter 2015	781,000	$	55.42
All NGL swaps*	781,000

____________________________________________

*NGL swaps are comprised of OPIS Natural Gasoline Mt Belv Non TET (28%) and OPIS Propane Mt Belv TET (72%).

Schedule of fair value of derivatives in accompanying balance sheets

The following tables detail the fair value of derivatives recorded in the accompanying balance sheets, by category:



	As of December 31, 2014
	Derivative Assets			Derivative Liabilities
	Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
	(in thousands)
Commodity Contracts	Current assets	$	402,668	Current liabilities	$	—
Commodity Contracts	Noncurrent assets	189,540		Noncurrent liabilities	70
Derivatives not designated as hedging instruments		$	592,208		$	70



	As of December 31, 2013
	Derivative Assets			Derivative Liabilities
	Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
	(in thousands)
Commodity Contracts	Current assets	$	21,559	Current liabilities	$	26,380
Commodity Contracts	Noncurrent assets	30,951		Noncurrent liabilities	4,640
Derivatives not designated as hedging instruments		$	52,510		$	31,020

Schedule of the potential effects of master netting arrangements

The following table provides a reconciliation between the gross assets and liabilities reflected on the accompanying balance sheets and the potential effects of master netting arrangements on the fair value of the Company’s derivative contracts:



	Derivative Assets						Derivative Liabilities
	As of December 31,						As of December 31,
Offsetting of Derivative Assets and Liabilities	2014			2013			2014			2013
	(in thousands)
Gross amounts presented in the accompanying balance sheets	$	592,208		$	52,510		$	(70	)	$	(31,020	)
Amounts not offset in the accompanying balance sheets	(70		)	(30,652		)	70			30,652
Net amounts	$	592,138		$	21,858		$	—		$	(368	)

Schedule of unrealized and realized gains and losses on derivative instruments in the statement of operations

The following table summarizes the components of derivative gain presented in the accompanying statements of operations:



	For the Years Ended December 31,
	2014			2013			2012
	(in thousands)
Derivative settlement (gain) loss:
Oil contracts	$	(28,410	)	$	15,161		$	11,893
Gas contracts	26,706			(30,338		)	(47,270		)
NGL contracts	(10,911		)	(6,885		)	(8,887		)
Total derivative settlement gain ⁽¹⁾	$	(12,615	)	$	(22,062	)	$	(44,264	)

Total derivative (gain) loss:
Oil contracts	$	(457,082	)	$	14,665		$	(20,088	)
Gas contracts	(93,267		)	(14,053		)	(15,493		)
NGL contracts	(32,915		)	(3,692		)	(20,049		)
Total derivative gain ⁽²⁾	$	(583,264	)	$	(3,080	)	$	(55,630	)

____________________________________________

⁽¹⁾

Total derivative settlement gain is reported in the derivative cash settlements line item on the accompanying statements of cash flows within net cash provided by operating activities with the change in accrued settlements between years being reported in change in accounts receivable and change in accounts payable and accrued expenses line items. Total derivative settlement gains are adjusted by a $41.0 million decrease attributable to the change in current assets and liabilities at December 31, 2014.


⁽²⁾	Total derivative gain is reported in the derivative gain line item on the accompanying statements of cash flows within net cash provided by operating activities.

Detail of the effect of derivative instruments reclassified from AOCI to the statement of operations (net of income tax)

The following table details the effect of derivative instruments on AOCL and the accompanying statements of operations (net of income tax):



		Location on Accompanying Statements of Operations	For the Years Ended December 31,
	Derivatives	Location on Accompanying Statements of Operations	2014		2013		2012
			(in thousands)
Amount reclassified from AOCL	Commodity Contracts	Other operating revenues	$	—	$	1,115	$	(2,264	)