Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Schedule of Net Assets (Liabilities) Measured on a Recurring Basis

Assets and liabilities measured at fair value on a recurring basis are summarized below (in millions):

	Level 2
	June 30, 2022		December 31, 2021
Commodity swaps (1)	$	5.7	$	(14.5)

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(1)    The fair values of commodity swaps represent the amount at which the instruments could be exchanged in a current arms-length transaction adjusted for our credit risk and/or the counterparty credit risk as required under ASC 820.

Schedule of the Estimated Fair Value of Financial Instruments

Considerable judgment is required to develop the estimates of fair value; thus, the estimates provided below are not necessarily indicative of the amount we could realize upon the sale or refinancing of such financial instruments (in millions):

	June 30, 2022				December 31, 2021
	Carrying Value		Fair Value		Carrying Value		Fair Value
Long-term debt (1)	$	4,320.0	$	3,750.6	$	4,363.7	$	4,520.0
Installment payable (2)	$	—	$	—	$	10.0	$	10.0
Contingent consideration (2)	$	7.2	$	7.2	$	6.9	$	6.9

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(1)The carrying value of long-term debt is reduced by debt issuance cost, net of accumulated amortization, of $29.6 million and $27.8 million as of June 30, 2022 and December 31, 2021, respectively. The respective fair values do not factor in debt issuance costs.

(2)Consideration for the Amarillo Rattler Acquisition included a $10.0 million installment payable, which was paid on April 30, 2022, and a contingent component capped at $15.0 million and payable, if at all, between 2024 and 2026 based on Diamondback E&P LLC’s drilling activity above historical levels. Estimated fair values were calculated using a discounted cash flow analysis that utilized Level 3 inputs.