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Derivative Instruments
 9 Months Ended
Sep. 30, 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 September 30, 2025, the Company’s oil and natural gas derivative contracts consisted of fixed price swaps, costless collars and basis swaps. The following table summarizes the open financial derivative positions as of September 30, 2025, related to our future oil and natural gas production:
202520262027
Fourth QuarterFirst QuarterSecond QuarterThird QuarterFourth QuarterFirst QuarterSecond Quarter
Oil
WTI Oil Swaps
Volume (Bbl)
679,947 561,000 525,000 465,000 495,000 245,000 80,000 
Weighted average price
($/Bbl)
$66.93 $62.22 $61.93 $61.30 $60.85 $61.37 $61.83 
WTI Oil Collars
Volume (Bbl)
480,000 516,000 486,000 465,000 375,000 355,000 477,000 
Weighted average floor price ($/Bbl)$63.10 $59.55 $57.78 $57.05 $56.63 $57.03 $55.31 
Weighted average ceiling price ($/Bbl)$77.07 $77.16 $73.54 $72.57 $69.39 $66.19 $68.35 
Natural Gas
NYMEX Natural Gas Swaps
Volume (MMBtu)965,000 1,005,000 450,000 300,000 500,000 600,000 
Weighted average price
($/MMBtu)
$3.74 $3.97 $3.64 $3.59 $4.07 $4.19 
NYMEX Natural Gas Collars
Volume (MMBtu)400,000 225,000 900,000 900,000 600,000 450,000 
Weighted average floor price ($/MMBtu)$3.30 $3.67 $3.05 $3.05 $3.43 $3.80 
Weighted average ceiling price ($/MMBtu)
$4.00 $4.30 $3.74 $3.74 $4.79 $5.84 
Waha Basis Swaps
Volume (MMBtu)450,000 450,000 450,000 450,000 600,000 675,000 
Weighted average price
($/MMBtu)
$(2.07)$(2.01)$(2.26)$(2.26)$(1.31)$(0.99)
Interest Rate Contracts
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 September 30, 2025:
Open Coverage Period
Position
Notional AmountFixed Rate
(In thousands)
October 2025 - April 2026
Long
$30,000 3.18 %
October 2025 - April 2026
Long
$50,000 3.04 %
October 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:
September 30, 2025
Balance Sheet ClassificationGross Fair ValueAmounts NettedNet Fair Value
(In thousands)
Current derivative assets$15,656 $(5,090)$10,566 
Non-current derivative assets7,429 (6,948)481 
Current derivative liabilities(5,090)5,090 — 
Non-current derivative liabilities(7,269)6,948 (321)
Total$10,726 $— $10,726 
December 31, 2024
Balance Sheet ClassificationGross Fair ValueAmounts NettedNet Fair Value
(In thousands)
Current derivative assets$9,817 $(6,553)$3,264 
Non-current derivative assets6,661 (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 gain (loss) on derivatives, net for the periods presented below:
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
(In thousands)
Settlements on derivative contracts$2,263 $815 $8,529 $(910)
Non-cash gain (loss) on derivatives(343)23,402 6,261 7,691 
Gain on derivatives, net$1,920 $24,217 $14,790 $6,781