Derivatives (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Transactions Resulting in Crude Oil Production and Gas Purchases Hedges

As of September 30, 2023, we had the following crude oil production and gas purchases hedges.

	Q4 2023		FY 2024		FY 2025		FY 2026
Brent - Crude Oil production
Swaps
Hedged volume (bbls)	1,407,600		5,426,817		1,847,125		645,768
Weighted-average price ($/bbl)	$	77.61	$	77.82	$	75.21	$	69.43
Sold Calls(1)
Hedged volume (bbls)	368,000		732,000		2,486,127		1,251,500
Weighted-average price ($/bbl)	$	106.00	$	105.00	$	91.11	$	85.53
Purchased Puts (net)(2)
Hedged volume (bbls)	552,000		1,281,000		365,000		—
Weighted-average price ($/bbl)	$	50.00	$	50.00	$	50.00	$	—
Purchased Puts (net)(2)
Hedged volume (bbls)	—		—		2,121,127		1,251,500
Weighted-average price ($/bbl)	$	—	$	—	$	60.00	$	60.00
Sold Puts (net)(2)
Hedged volume (bbls)	154,116		183,000		—		—
Weighted-average price ($/bbl)	$	40.00	$	40.00	$	—	$	—
Henry Hub - Natural Gas purchases
NWPL - Natural Gas purchases
Swaps
Hedged volume (mmbtu)	3,680,000		10,980,000		6,080,000		—
Weighted-average price ($/mmbtu)	$	5.34	$	4.21	$	4.27	$	—
Gas Basis Differentials
NWPL/HH - basis swaps
Hedged volume (mmbtu)	610,000		—		—		—
Weighted-average price ($/mmbtu)	$	1.12	$	—	$	—	$	—

__________

(1)    Purchased calls and sold calls with the same strike price have been presented on a net basis.

(2)    Purchased puts and sold puts with the same strike price have been presented on a net basis.

Fair Values (Gross and Net) of Outstanding Derivatives

The following tables present the fair values (gross and net) of our outstanding derivatives as of September 30, 2023 and December 31, 2022:

	September 30, 2023
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset  in the Balance Sheet		Net Fair Value Presented  in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	12,494	$	(12,494)	$	—
Commodity Contracts	Non-current assets	25,339		(25,339)		—
Liabilities:
Commodity Contracts	Current liabilities	(58,656)		12,494		(46,162)
Commodity Contracts	Non-current liabilities	(51,304)		25,339		(25,965)
Total derivatives		$	(72,127)	$	—	$	(72,127)

	December 31, 2022
	Balance Sheet Classification	Gross Amounts Recognized at Fair Value		Gross Amounts Offset  in the Balance Sheet		Net Fair Value Presented  in the Balance Sheet
	(in thousands)
Assets:
Commodity Contracts	Current assets	$	66,974	$	(30,607)	$	36,367
Commodity Contracts	Non-current assets	39,886		(39,810)		76
Liabilities:
Commodity Contracts	Current liabilities	(61,713)		30,607		(31,106)
Commodity Contracts	Non-current liabilities	(53,452)		39,810		(13,642)
Total derivatives		$	(8,305)	$	—	$	(8,305)