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Derivative Instruments (Tables) | 6 Months Ended
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Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Summary of Offsetting Assets | The following table presents gross commodity derivative balances prior to applying netting adjustments recorded in the condensed consolidated balance sheets:
|  |  |  | June 30, 2026
(in thousands) |  | Balance Sheet Location |  | Gross Amounts of Assets and Liabilities |  | Offset Adjustments |  | Net Amounts of Assets and Liabilities
Current derivative assets |  | Commodity derivative assets, current |  | $ | 112,440 |  |  | $ | (13,052) |  |  | $ | 99,388 |
Noncurrent derivative assets |  | Commodity derivative assets |  | 52,084 |  |  | (6,335) |  |  | 45,749 |
Current derivative liabilities |  | Commodity derivative liabilities, current |  | 22,750 |  |  | (13,052) |  |  | 9,698 |
Noncurrent derivative liabilities |  | Commodity derivative liabilities |  | 6,335 |  |  | (6,335) |  |  | — |
|  |  |  | December 31, 2025
(in thousands) |  | Balance Sheet Location |  | Gross Amounts |  | Offset Adjustments |  | Net Amounts of Assets and Liabilities
Current derivative assets |  | Commodity derivative assets, current |  | $ | 66,787 |  |  | $ | (2,887) |  |  | $ | 63,900 |
Noncurrent derivative assets |  | Commodity derivative assets |  | 34,116 |  |  | (7,684) |  |  | 26,432 |
Current derivative liabilities |  | Commodity derivative liabilities, current |  | 11,356 |  |  | (2,887) |  |  | 8,469 |
Noncurrent derivative liabilities |  | Commodity derivative liabilities |  | 13,451 |  |  | (7,684) |  |  | 5,767 |
Summary of Offsetting Liabilities | The following table presents gross commodity derivative balances prior to applying netting adjustments recorded in the condensed consolidated balance sheets:
|  |  |  | June 30, 2026
(in thousands) |  | Balance Sheet Location |  | Gross Amounts of Assets and Liabilities |  | Offset Adjustments |  | Net Amounts of Assets and Liabilities
Current derivative assets |  | Commodity derivative assets, current |  | $ | 112,440 |  |  | $ | (13,052) |  |  | $ | 99,388 |
Noncurrent derivative assets |  | Commodity derivative assets |  | 52,084 |  |  | (6,335) |  |  | 45,749 |
Current derivative liabilities |  | Commodity derivative liabilities, current |  | 22,750 |  |  | (13,052) |  |  | 9,698 |
Noncurrent derivative liabilities |  | Commodity derivative liabilities |  | 6,335 |  |  | (6,335) |  |  | — |
|  |  |  | December 31, 2025
(in thousands) |  | Balance Sheet Location |  | Gross Amounts |  | Offset Adjustments |  | Net Amounts of Assets and Liabilities
Current derivative assets |  | Commodity derivative assets, current |  | $ | 66,787 |  |  | $ | (2,887) |  |  | $ | 63,900 |
Noncurrent derivative assets |  | Commodity derivative assets |  | 34,116 |  |  | (7,684) |  |  | 26,432 |
Current derivative liabilities |  | Commodity derivative liabilities, current |  | 11,356 |  |  | (2,887) |  |  | 8,469 |
Noncurrent derivative liabilities |  | Commodity derivative liabilities |  | 13,451 |  |  | (7,684) |  |  | 5,767 |
Summary of Derivative Instrument Gain (Loss) | The following tables present realized and unrealized gains and losses on derivative instruments, including amounts recognized in derivative gains, net and purchased power on the condensed consolidated statements of income:
|  | Income Statement Location |  | Three Months Ended June 30, |  | Six Months Ended June 30,
(in thousands) |  |  | 2026 |  | 2025 |  | 2026 |  | 2025
Realized gains (losses) on derivatives (natural gas) |  | Derivative gains, net |  | $ | 31,609 |  |  | $ | 6,689 |  |  | $ | 2,358 |  |  | $ | (3,685) |
Realized gains (losses) on derivatives (NGL) |  | Derivative gains, net |  | 5,857 |  |  | (43) |  |  | 8,220 |  |  | (5,139) |
Realized gains on derivatives (power sales) |  | Derivative gains, net |  | 60,507 |  |  | 65,939 |  |  | 123,077 |  |  | 133,037 |
Realized losses on derivatives (purchased power) |  | Purchased power |  | (11,516) |  |  | (9,201) |  |  | (20,973) |  |  | (16,619) |
Total realized gains on derivatives, net |  |  |  | $ | 86,457 |  |  | $ | 63,384 |  |  | $ | 112,682 |  |  | $ | 107,594 |
|  | Income Statement Location |  | Three Months Ended June 30, |  | Six Months Ended June 30,
(in thousands) |  |  | 2026 |  | 2025 |  | 2026 |  | 2025
Unrealized gains (losses) on derivatives (natural gas) |  | Derivative gains, net |  | $ | 25,676 |  |  | $ | 67,218 |  |  | 49,595 |  |  | (43,178) |
Unrealized gains (losses) on derivatives (NGL) |  | Derivative gains, net |  | 31,922 |  |  | 17,789 |  |  | (9,411) |  |  | 9,727 |
Unrealized gains (losses) on derivatives (power sales) |  | Derivative gains, net |  | (12,316) |  |  | 29,434 |  |  | 22,525 |  |  | (2,119) |
Unrealized gains (losses) on derivatives (purchased power) |  | Purchased power |  | 205 |  |  | (3,324) |  |  | (3,366) |  |  | (348) |
Total unrealized gains (losses) on derivatives, net |  |  |  | $ | 45,487 |  |  | $ | 111,117 |  |  | $ | 59,343 |  |  | $ | (35,918) |
Schedule of Derivative Instruments | The following table summarizes the Company's power derivatives:
Instrument |  | Units |  | Quantity |  | Pricing Index |  | Fair Value as of June 30, 2026 (in thousands)
2026 |  |  |  |  |  |  |  |
Swap |  | MMBtu |  | 3,066,000 |  |  | HSC Gas Daily |  | $ | (2,752) |
Power forwards - sales |  | MWh |  | 438,000 |  |  | ERCOT North |  | $ | 5,959 |
Heat rate call option |  | MMBtu |  | 2,628,000 |  |  | Various |  | $ | 13,891 |
Power forwards - purchases |  | MWh |  | 344,030 |  |  | Various |  | $ | (6,145) |
2027 |  |  |  |  |  |  |  |
Swap |  | MMBtu |  | 12,264,000 |  |  | HSC Gas Daily |  | $ | 507 |
Power forwards - sales |  | MWh |  | 1,752,000 |  |  | ERCOT North |  | $ | 2,378 |
Power forwards - purchases |  | MWh |  | 87,600 |  |  | Various |  | $ | (735) |
The following table summarizes the Company's natural gas commodity derivatives indexed to NYMEX Henry Hub pricing:
Instrument |  | MMBtu |  | Weighted Average Price (USD) |  | Weighted Average Price Floor |  | Weighted Average Price Ceiling |  | Fair Value as of June 30, 2026 (in thousands)
2026 |  |  |  |  |  |  |  |  |  |
Swap |  | 75,768,006 |  |  | $ | 3.88 |  |  |  |  |  |  | $ | 34,725 |
2027 |  |  |  |  |  |  |  |  |  |
Swap |  | 98,958,854 |  |  | $ | 3.99 |  |  |  |  |  |  | $ | 49,421 |
Collars |  | 37,662,319 |  |  |  |  | $ | 3.57 |  |  | $ | 4.00 |  |  | $ | 9,378 |
Call options |  | 36,500,000 |  |  |  |  |  |  | $ | 5.00 |  |  | $ | (6,038) |
Put options |  | 36,500,000 |  |  |  |  | $ | 3.00 |  |  |  |  | $ | 10,398 |
2028 |  |  |  |  |  |  |  |  |  |
Swap |  | 94,085,323 |  |  | $ | 3.79 |  |  |  |  |  |  | $ | 12,469 |
2029 |  |  |  |  |  |  |  |  |  |
Swap |  | 35,587,500 |  |  | $ | 3.60 |  |  |  |  |  |  | $ | (29) |
The following table summarizes the Company's natural gas basis derivatives by reference price:
Instrument |  | Basis Reference Price |  | MMBtu |  | Weighted Average Basis Differential |  | Fair Value as of June 30, 2026 (in thousands)
2026 |  |  |  |  |  |  |  |
Swap |  | Transco Leidy Basis |  | 25,526,433 |  |  | $ | (0.79) |  |  | $ | 132 |
Swap |  | HSC Basis |  | 27,600,000 |  |  | $ | (0.32) |  |  | $ | 5,796 |
Swap |  | Transco St 85 (Z4) Basis |  | 18,400,000 |  |  | $ | 0.62 |  |  | $ | (2,384) |
Swap |  | NGPL TXOK Basis |  | 23,943,741 |  |  | $ | (0.40) |  |  | $ | 2,463 |
2027 |  |  |  |  |  |  |  |
Swap |  | Transco Leidy Basis |  | 10,950,000 |  |  | $ | (0.76) |  |  | $ | (1,308) |
Swap |  | HSC Basis |  | 7,300,000 |  |  | $ | (0.25) |  |  | $ | 1,194 |
Swap |  | NGPL TXOK Basis |  | 16,965,270 |  |  | $ | (0.31) |  |  | $ | 1,593 |
2028 |  |  |  |  |  |  |  |
Swap |  | Transco Leidy Basis |  | 7,320,000 |  |  | $ | (0.76) |  |  | $ | (693) |
Swap |  | HSC Basis |  | 10,980,000 |  |  | $ | (0.17) |  |  | $ | 1,229 |
The following table summarizes the Company's natural gas liquids derivatives position by product and reference price:
Instrument |  | Commodity Reference Price |  | Gallons |  | Weighted Average Price (USD) |  | Fair Value as of June 30, 2026 (in thousands)
2026 |  |  |  |  |  |  |  |
Swap |  | OPIS Purity Ethane Mont Belvieu |  | 68,220,796 |  |  | $ | 0.25 |  |  | $ | 591 |
Swap |  | OPIS IsoButane Mont Belvieu Non-TET |  | 7,128,934 |  |  | $ | 0.86 |  |  | $ | (497) |
Swap |  | OPIS Normal Butane Mont Belvieu Non-TET |  | 11,719,147 |  |  | $ | 0.83 |  |  | $ | (938) |
Swap |  | OPIS Propane Mont Belvieu Non-TET |  | 40,975,148 |  |  | $ | 0.70 |  |  | $ | (586) |
Swap |  | OPIS Natural Gasoline Mont Belvieu Non-TET |  | 18,268,618 |  |  | $ | 1.39 |  |  | $ | (1,563) |
2027 |  |  |  |  |  |  |  |
Swap |  | OPIS Purity Ethane Mont Belvieu |  | 79,965,970 |  |  | $ | 0.28 |  |  | $ | 3,841 |
Swap |  | OPIS IsoButane Mont Belvieu Non-TET |  | 13,846,327 |  |  | $ | 0.87 |  |  | $ | 324 |
Swap |  | OPIS Normal Butane Mont Belvieu Non-TET |  | 20,203,274 |  |  | $ | 0.83 |  |  | $ | 246 |
Swap |  | OPIS Propane Mont Belvieu Non-TET |  | 76,415,634 |  |  | $ | 0.70 |  |  | $ | 1,412 |
Swap |  | OPIS Natural Gasoline Mont Belvieu Non-TET |  | 34,754,781 |  |  | $ | 1.39 |  |  | $ | 1,160 |

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