XML 101 R12.htm IDEA: XBRL DOCUMENT
v3.25.1

Derivative Instruments | 3 Months Ended
--- | ---
Mar. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Derivative Instruments | Derivative Instruments Oil and Natural Gas Contracts The Company uses commodity based derivative contracts to reduce exposure to fluctuations in oil and natural gas prices. While the use of these contracts partially limits the downside risk for adverse price changes, their use also partially limits future revenues from favorable price changes. We have not designated our derivative contracts as hedges for accounting purposes, and therefore changes in the fair value of derivatives are included and recognized in other income (expense) in our accompanying condensed consolidated statements of operations. As of March 31, 2025, the Company’s oil and natural gas derivative contracts consisted of fixed price swaps and costless collars. The following table summarizes the open financial derivative positions as of March 31, 2025, related to our future oil and natural gas production:
|  |  |  | Weighted Average Price
Calendar Quarter / Year |  | Notional Volume |  | Fixed |  | Put |  | Call
|  |  |  | ($ per unit)
Oil Swaps (Bbl) |  |  |  |  |  |  |  |
Q2 2025 |  | 555,000 |  |  | $ | 71.95 |  |  |  |  |
Q3 2025 |  | 375,000 |  |  | $ | 69.62 |  |  |  |  |
Q4 2025 |  | 330,000 |  |  | $ | 69.21 |  |  |  |  |
Natural Gas Swaps (Mcf) |  |  |  |  |  |  |  |
Q2 2025 |  | 495,000 |  |  | $ | 3.34 |  |  |  |  |
Q3 2025 |  | 480,000 |  |  | $ | 3.30 |  |  |  |  |
Q4 2025 |  | 1,165,000 |  |  | $ | 3.82 |  |  |  |  |
2026 |  | 2,555,000 |  |  | $ | 3.92 |  |  |  |  |
2027 |  | 600,000 |  |  | $ | 4.19 |  |  |  |  |
Oil Collars (Bbl) |  |  |  |  |  |  |  |
Q2 2025 |  | 300,000 |  |  |  |  | $ | 66.50 |  |  | $ | 78.77 |
Q3 2025 |  | 452,000 |  |  |  |  | $ | 64.23 |  |  | $ | 74.19 |
Q4 2025 |  | 480,000 |  |  |  |  | $ | 63.10 |  |  | $ | 77.07 |
2026 |  | 1,682,000 |  |  |  |  | $ | 57.95 |  |  | $ | 75.52 |
Natural Gas Collars (Mcf) |  |  |  |  |  |  |  |
Q2 2025 |  | 1,080,000 |  |  |  |  | $ | 3.04 |  |  | $ | 3.65 |
Q3 2025 |  | 1,110,000 |  |  |  |  | $ | 3.12 |  |  | $ | 3.76 |
Q4 2025 |  | 400,000 |  |  |  |  | $ | 3.30 |  |  | $ | 4.00 |
2026 |  | 2,675,000 |  |  |  |  | $ | 3.15 |  |  | $ | 3.82 |
Interest Rate Contracts The Company entered into floating-to-fixed interest rate swaps, in which we will receive a floating market rate equal to one-month CME Term Secured Overnight Financing Rate and will pay a fixed interest rate, to manage future interest rate exposure related to the Company’s Credit Facility. In March 2024, the Company entered into a fixed-to-floating interest rate swap for the period from May 2024 to December 2024, to reduce our interest rate exposure, which resulted in a gain of approximately $1 million on a notional amount of $80 million. This gain was realized upon settlement of the contracts throughout 2024. The following table summarizes the open interest rate derivative positions as of March 31, 2025:
Open Coverage Period |  | Position |  | Notional Amount |  | Fixed Rate
|  |  |  | (In thousands) |  |
April 2025 - April 2026 |  | Long |  | $ | 30,000 |  |  | 3.18 | %
April 2025 - April 2026 |  | Long |  | $ | 50,000 |  |  | 3.04 | %
April 2026 - April 2027 |  | Long |  | $ | 45,000 |  |  | 3.90 | %
Balance Sheet Presentation of Derivatives The following tables present the location and fair value of the Company’s derivative contracts included in our accompanying condensed consolidated balance sheets:
|  | March 31, 2025
Balance Sheet Classification |  | Gross Fair Value |  | Amounts Netted |  | Net Fair Value
|  | (In thousands)
Current derivative assets |  | $ | 8,426 |  |  | $ | (7,173) |  |  | $ | 1,253 |
Non-current derivative assets |  | 5,361 |  |  | (5,325) |  |  | 36 |
Current derivative liabilities |  | (9,832) |  |  | 7,173 |  |  | (2,659) |
Non-current derivative liabilities |  | (7,485) |  |  | 5,325 |  |  | (2,160) |
Total |  | $ | (3,530) |  |  | $ | — |  |  | $ | (3,530) |
|  | December 31, 2024
Balance Sheet Classification |  | Gross Fair Value |  | Amounts Netted |  | Net Fair Value
|  | (In thousands)
Current derivative assets |  | $ | 9,817 |  |  | $ | (6,553) |  |  | $ | 3,264 |
Non-current derivative assets |  | 6,661 |  |  | (6,076) |  |  | 585 |
Current derivative liabilities |  | (6,553) |  |  | 6,553 |  |  | — |
Non-current derivative liabilities |  | (6,490) |  |  | 6,076 |  |  | (414) |
Total |  | $ | 3,435 |  |  | $ | — |  |  | $ | 3,435 |
The following table presents the components of the Company's loss on derivatives, net for the periods presented below:
| Three Months Ended March 31, |  |
| 2025 |  | 2024 |  |  |  |
| (In thousands)
Settlements on derivative contracts | $ | 1,115 |  |  | $ | 104 |  |  |  |  |
Non-cash loss on derivatives | (6,965) |  |  | (17,181) |  |  |  |  |
Loss on derivatives, net | $ | (5,850) |  |  | $ | (17,077) |  |  |  |  |

X
- References No definition available. + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 40 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480237/815-40-50-5 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 5C -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-5C Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 815 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/815/tableOfContent + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration