Derivative Commodity Instruments (Tables)

9 Months Ended

Sep. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Offsetting of Derivative Assets and Liabilities at Fair Value

The following tables detail the offsetting of derivative assets and liabilities as well as the fair values of derivatives on the balance sheets:

(in thousands)	September 30, 2016
										Gross Amounts Not Offset in the Balance Sheets
	Gross Amounts Recognized at Fair Value			Gross Amounts Offset in the Balance Sheets			Net Amount Presented in the Balance Sheets			Financial Instruments		Cash Collateral Received		Net Fair Value Presented in the Balance Sheets
Derivatives not designated as hedging instruments
Assets
Derivative instruments	$	8,308		$	(4,655	)	$	3,653		$	—	$	—	$	3,653
Noncurrent derivative instruments	170			(170		)	—			—		—		—
Total derivative assets	8,478			(4,825		)	3,653			—		—		3,653
Liabilities
Derivative instruments	29,564			(4,655		)	24,909			—		—		24,909
Noncurrent derivative instruments	6,213			(170		)	6,043			—		—		6,043
Total derivative liabilities	35,777			(4,825		)	30,952			—		—		30,952
Total derivatives	$	(27,299	)	$	—		$	(27,299	)	$	—	$	—	$	(27,299	)

(in thousands)	December 31, 2015
								Gross Amounts Not Offset in the Balance Sheets
	Gross Amounts Recognized at Fair Value		Gross Amounts Offset in the Balance Sheets			Net Amount Presented in the Balance Sheets		Financial Instruments		Cash Collateral Received		Net Fair Value Presented in the Balance Sheets
Derivatives not designated as hedging instruments *
Assets
Derivative instruments	$	72,563	$	(15,600	)	$	56,963	$	—	$	—	$	56,963
Liabilities
Derivative instruments	16,059		(15,600		)	459		—		—		459
Total derivatives	$	56,504	$	—		$	56,504	$	—	$	—	$	56,504

*All derivative instruments were current at December 31, 2015.

Effects of Open and Closed Derivative Commodity Instruments Not Designated as Hedging Instruments

The following table details the effect of open and closed derivative commodity instruments not designated as hedging instruments on the income statement:

(in thousands)	Location on Statements of Income	Three months ended September 30, 2016		Three months ended September 30, 2015
Gain recognized in income on derivatives	Gain (loss) on derivative instruments, net	$	20,412	$	107,173

(in thousands)	Location on Statements of Income	Nine months ended September 30, 2016			Nine months ended September 30, 2015
Gain (loss) recognized in income on derivatives	Gain (loss) on derivative instruments, net	$	(40,005	)	90,245

Schedule of Hedging Transactions

As of September 30, 2016, Energen had entered into the following transactions for the remainder of 2016 and subsequent years:

Production Period	Description	Total Hedged Volumes		Average Contract Price
Oil
2016	NYMEX Swaps	2,282 MBbl		$45.23 Bbl
2017	NYMEX Swaps	4,080 MBbl		$47.97 Bbl
	NYMEX Three-Way Collars	4,440 MBbl
	Ceiling sold price (call)			$62.11 Bbl
	Floor purchased price (put)			$45.00 Bbl
	Floor sold price (put)			$35.00 Bbl
Oil Basis Differential
2016	WTI/WTI Basis Swaps	1,881	MBbl	$(1.92) Bbl
2016	WTS/WTI Basis Swaps	514	MBbl	$(1.64) Bbl
Natural Gas Liquids
2017	Liquids Swaps	45.4	MMGal	$0.52 Gal
Natural Gas
2016	Basin Specific Swaps - Permian	1.8	Bcf	$2.30 Mcf
2017	Basin Specific Swaps - Permian	14.7	Bcf	$2.85 Mcf
WTI - West Texas Intermediate/Midland, WTI - West Texas Intermediate/Cushing
WTS - West Texas Sour/Midland, WTI - West Texas Intermediate/Cushing