Derivative Instruments and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Net Unrealized Gain (Loss) Recognized in OCI and Gain (Loss) Reclassified into Earnings

The following table presents the pre-tax effect on other comprehensive income (“OCI”) and earnings due to fair value adjustments and maturities of hedging instruments under hedge accounting:

	Net Unrealized Gain Recognized in OCI				Loss Reclassified into Earnings
Derivatives Designated as Cash Flow Hedging Instruments	Three Months Ended March 31,				Income Statement Location	Three Months Ended March 31,
	2023		2022			2023		2022
	(In thousands)
Commodity contracts	$	271	$	326	Sales and other revenues	$	(1)	$	(5,288)
Total	$	271	$	326		$	(1)	$	(5,288)

Schedule of Gain (Loss) Recognized in Earnings

The following table presents the pre-tax effect on income due to maturities and fair value adjustments of our economic hedges:

	Gain (Loss) Recognized in Earnings
Derivatives Not Designated as Hedging Instruments	Income Statement Location	Three Months Ended March 31,
		2023		2022
		(In thousands)
Commodity contracts	Cost of products sold	$	6,748	$	(9,788)
	Operating expenses	(14,058)		—
	Interest expense	2,406		(1,421)
Foreign currency contracts	Gain on foreign currency transactions	114		(6,430)
	Total	$	(4,790)	$	(17,639)

Schedule of Notional Amounts of Outstanding Derivatives Serving as Economic Hedges

As of March 31, 2023, we have the following notional contract volumes related to outstanding derivative instruments:

		Notional Contract Volumes by Year of Maturity
	Total Outstanding Notional	2023	2024	Unit of Measure
Derivatives Designated as Hedging Instruments
Forward diesel contracts - short	100,000	100,000	—	Barrels
Derivatives Not Designated as Hedging Instruments
NYMEX futures (WTI) - short	1,790,000	1,790,000	—	Barrels
Forward gasoline and diesel contracts - long	145,000	145,000	—	Barrels
Foreign currency forward contracts	428,211,705	322,227,146	105,984,559	U.S. dollar
Forward commodity contracts (platinum)	36,969	14,550	22,419	Troy ounces
Natural gas price swaps (basis spread) - long	3,850,000	3,850,000	—	MMBTU
Natural gas collar contracts	22,000,000	22,000,000	—	MMBTU

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table presents the fair value and balance sheet locations of our outstanding derivative instruments. These amounts are presented on a gross basis with offsetting balances that reconcile to a net asset or liability position in our consolidated balance sheets. We present on a net basis to reflect the net settlement of these positions in accordance with provisions of our master netting arrangements.

	Derivatives in Net Asset Position						Derivatives in Net Liability Position
	Gross Assets		Gross Liabilities Offset in Balance Sheet		Net Assets Recognized in Balance Sheet		Gross Liabilities		Gross Assets Offset in Balance Sheet		Net Liabilities Recognized in Balance Sheet
			(In thousands)
March 31, 2023
Derivatives designated as cash flow hedging instruments:
Commodity forward contracts	$	312	$	—	$	312	$	—	$	—	$	—
	$	312	$	—	$	312	$	—	$	—	$	—
Derivatives not designated as cash flow hedging instruments:
NYMEX futures contracts	$	—	$	—	$	—	$	3,438	$	—	$	3,438
Commodity price swap contracts	2,624		—		2,624		—		—		—
Commodity collar contracts	—		—		—		21,422		—		21,422
Commodity forward contracts	412		—		412		439		—		439
Foreign currency forward contracts	11,757		(663)		11,094		—		—		—
	$	14,793	$	(663)	$	14,130	$	25,299	$	—	$	25,299
Total net balance					$	14,442					$	25,299
Balance sheet classification:	Prepayment and other				$	14,442	Accrued liabilities				$	25,299

	Derivatives in Net Asset Position						Derivatives in Net Liability Position
	Gross Assets		Gross Liabilities Offset in Balance Sheet		Net Assets Recognized in Balance Sheet		Gross Liabilities		Gross Assets Offset in Balance Sheet		Net Liabilities Recognized in Balance Sheet
			(In thousands)
December 31, 2022
Derivatives not designated as cash flow hedging instruments:
NYMEX futures contracts	$	—	$	—	$	—	$	2,750	$	—	$	2,750
Commodity price swap contracts	342		—		342		—		—		—
Commodity collar contracts	—		—		—		6,275		—		6,275
Commodity forward contracts	2,949		—		2,949		2,987		—		2,987
Foreign currency forward contracts	15,359		—		15,359		—		—		—
	$	18,650	$	—	$	18,650	$	12,012	$	—	$	12,012
Total net balance					$	18,650					$	12,012
Balance sheet classification:	Prepayment and other				$	18,650	Accrued liabilities				$	12,012