Derivative Instruments and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Notional Volume of Commodity Hedges

At March 31, 2023, the notional volumes of our commodity derivative contracts were:

Commodity	Instrument	Unit	2023		2024		2025		2026		2027
Natural Gas	Swaps	MMBtu/d		161,545		105,377		39,366		—		—
Natural Gas	Basis Swaps	MMBtu/d		609,255		328,298		256,658		102,500		25,000
NGL	Swaps	Bbl/d		41,286		24,699		11,941		—		—
NGL	Futures	Bbl/d		6,909		2,437		—		—		—
Condensate	Swaps	Bbl/d		6,273		3,832		2,053		—		—

Fair Values of Derivative Instruments

The following schedules reflect the fair value of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis:

		Fair Value as of March 31, 2023					Fair Value as of December 31, 2022
	Balance Sheet	Derivative		Derivative			Derivative		Derivative
	Location	Assets		Liabilities			Assets		Liabilities
Derivatives designated as hedging instruments
Commodity contracts	Current	$	134.9	$	(57.9	)	$	158.7	$	(93.8	)
	Long-term		33.7		(8.8	)		24.2		(30.9	)
Total derivatives designated as hedging instruments		$	168.6	$	(66.7	)	$	182.9	$	(124.7	)
Derivatives not designated as hedging instruments
Commodity contracts	Current	$	11.6	$	(98.7	)	$	21.2	$	(226.3	)
	Long-term		2.5		(53.6	)		0.3		(109.2	)
Total derivatives not designated as hedging instruments		$	14.1	$	(152.3	)	$	21.5	$	(335.5	)
Total current position		$	146.5	$	(156.6	)	$	179.9	$	(320.1	)
Total long-term position			36.2		(62.4	)		24.5		(140.1	)
Total derivatives		$	182.7	$	(219.0	)	$	204.4	$	(460.2	)

Pro Forma Impact of Derivatives Net in Consolidated Balance Sheet

The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows:

		Gross Presentation							Pro Forma Net Presentation
March 31, 2023		Asset		Liability			Collateral		Asset		Liability
Current Position
	Counterparties with offsetting positions or collateral	$	132.2	$	(154.2	)	$	1.8	$	55.7	$	(75.9	)
	Counterparties without offsetting positions - assets		14.3		—			—		14.3		—
	Counterparties without offsetting positions - liabilities		—		(2.4	)		—		—		(2.4	)
			146.5		(156.6	)		1.8		70.0		(78.3	)
Long-Term Position
	Counterparties with offsetting positions or collateral		33.4		(62.4	)		10.9		10.6		(28.7	)
	Counterparties without offsetting positions - assets		2.8		—			—		2.8		—
	Counterparties without offsetting positions - liabilities		—		—			—		—		—
			36.2		(62.4	)		10.9		13.4		(28.7	)
Total Derivatives
	Counterparties with offsetting positions or collateral		165.6		(216.6	)		12.7		66.3		(104.6	)
	Counterparties without offsetting positions - assets		17.1		—			—		17.1		—
	Counterparties without offsetting positions - liabilities		—		(2.4	)		—		—		(2.4	)
		$	182.7	$	(219.0	)	$	12.7	$	83.4	$	(107.0	)
		Gross Presentation							Pro Forma Net Presentation
December 31, 2022		Asset		Liability			Collateral		Asset		Liability
Current Position
	Counterparties with offsetting positions or collateral	$	162.2	$	(316.7	)	$	12.2	$	27.2	$	(169.5	)
	Counterparties without offsetting positions - assets		17.7		—			—		17.7		—
	Counterparties without offsetting positions - liabilities		—		(3.4	)		—		—		(3.4	)
			179.9		(320.1	)		12.2		44.9		(172.9	)
Long-Term Position
	Counterparties with offsetting positions or collateral		24.5		(137.4	)		22.4		7.3		(97.8	)
	Counterparties without offsetting positions - assets		—		—			—		—		—
	Counterparties without offsetting positions - liabilities		—		(2.7	)		—		—		(2.7	)
			24.5		(140.1	)		22.4		7.3		(100.5	)
Total Derivatives
	Counterparties with offsetting positions or collateral		186.7		(454.1	)		34.6		34.5		(267.3	)
	Counterparties without offsetting positions - assets		17.7		—			—		17.7		—
	Counterparties without offsetting positions - liabilities		—		(6.1	)		—		—		(6.1	)
		$	204.4	$	(460.2	)	$	34.6	$	52.2	$	(273.4	)

Amounts Recorded in Other Comprehensive Income OCI and Amounts Reclassified from OCI to Revenue

The following tables reflect amounts recorded in Other comprehensive income (“OCI”) and amounts reclassified from OCI to revenue for the periods indicated:

	Gain (Loss) Recognized in OCI on Derivatives (Effective Portion)
Derivatives in Cash Flow	Three Months Ended March 31,
Hedging Relationships	2023		2022
Commodity contracts	$	83.9	$	(387.1	)

	Gain (Loss) Reclassified from OCI into Income (Effective Portion)
	Three Months Ended March 31,
Location of Gain (Loss)	2023		2022
Revenues	$	45.2	$	(145.7	)

Gain (Loss) Recognized in Income on Derivatives

The use of mark-to-market accounting for financial instruments can cause non-cash earnings volatility due to changes in the underlying commodity price indices. For the three months ended March 31, 2023, the unrealized mark-to-market gains are primarily attributable to favorable movements in natural gas forward prices, as compared to our positions.

	Location of Gain (Loss)	Gain (Loss) Recognized in Income on Derivatives
Derivatives Not Designated	Recognized in Income on	Three Months Ended March 31,
as Hedging Instruments	Derivatives	2023		2022
Commodity contracts	Revenue	$	178.0	$	(177.0	)