DERIVATIVES (Tables)

9 Months Ended

Sep. 30, 2020

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Schedule of derivative instruments

The Company’s derivative instruments as of December 31, 2019, include the following:

	December 31, 2019
	(in thousands)
Derivative assets (liabilities):
Derivative assets - current	$	427
Derivative assets - non-current (1)		187
Derivative liabilities - current (3)		(5,044	)
Derivative liabilities - non-current (2) (3)		(2,439	)
Liabilities subject to compromise		-
Total derivative liabilities, net (4)	$	(6,869	)

⁽¹⁾ The non-current derivative assets are included in other assets in the consolidated balance sheets.

⁽²⁾ The non-current derivative liabilities are included in long-term derivative instruments in the consolidated balance sheets.

⁽³⁾ The ARM sales agreement includes an embedded derivative. As of December 31, 2019, the embedded derivative is included as current liabilities and non-current liabilities of $0.8 million and $2.4 million, respectively.  There is no balance as of September 30, 2020 as a result of the termination of the ARM sales agreement on May 8, 2020.

⁽⁴⁾ The Company had no outstanding commodity positions as of September 30, 2020.

The table below summarizes the Company’s net gain (loss) on commodity derivatives for the three and nine months ended September 30, 2020 and 2019:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020				2019		2020				2019
	(in thousands)						(in thousands)
Unrealized gain (loss) on unsettled derivatives	$	-		$	4,383		$	-		$	(112	)
Net settlements received (paid) on derivative contracts		2,059			(233	)		18,191			(3,414	)
Net settlements receivable (payable) on derivative contracts		(1,892	)		(207	)		(1,892	)		(207	)
Net gain (loss) on commodity derivatives	$	167		$	3,943		$	16,299		$	(3,733	)

The following information summarizes the gross fair values of derivative instruments, presenting the impact of offsetting the derivative assets and liabilities on the Company’s consolidated balance sheets as of December 31, 2019:

	December 31, 2019
	Gross Amount of Recognized Assets and Liabilities			Gross Amounts Offset in the Consolidated Balance Sheets			Net Amounts Presented in the Consolidated Balance Sheets
	(in thousands)
Offsetting Derivative Assets:
Current asset	$	1,009		$	(582	)	$	427
Long-term asset		359			(172	)		187
Total asset	$	1,368		$	(754	)	$	614
Offsetting Derivative Liabilities:
Current liability	$	(4,827	)	$	582		$	(4,245	)
Current embedded derivative liabilities		(799	)		-			(799	)
Long-term commodity derivative liabilities		(172	)		172			-
Long-term embedded derivative liabilities		(2,439	)		-			(2,439	)
Total liability	$	(8,237	)	$	754		$	(7,483	)