Derivative Activities (Tables)

12 Months Ended

Dec. 31, 2015

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Volumes Hedged and Average Hedge Prices

The following table sets forth the derivative volumes by year as of December 31, 2015:

Period	Contract Type	Volume Hedged	Weighted Average Hedge Price
Natural Gas
2016	Swaps	745,874 Mmbtu/day	$3.24
2017	Swaps	20,000 Mmbtu/day	$3.49
Crude Oil
2016	Swaps	4,247 bbls/day	$65.27
2017	Swaps	500 bbls/day	$55.00
NGLs (C3 - Propane)
2016	Swaps	5,500 bbls/day	$0.60/gallon
NGLs (NC4 – Normal Butane)
2016	Swaps	2,500 bbls/day	$0.72/gallon

NGLs (C5 - Natural Gasoline)
2016	Swaps	2,749 bbls/day	$1.20/gallon

Combined Fair Value of Derivatives, by Consolidated Balance Sheets

The combined fair value of derivatives included in the accompanying consolidated balance sheets as of December 31, 2015 and 2014 is summarized below (in thousands). As of December 31, 2015, we are conducting derivative activities with seventeen counterparties, of which all but four are secured lenders in our bank credit facility. We believe all of these counterparties are acceptable credit risks. At times, such risks may be concentrated with certain counterparties. The credit worthiness of our counterparties is subject to periodic review. The assets and liabilities are netted where derivatives with both gain and loss positions are held by a single counterparty and we have master netting arrangements.

		December 31, 2015
		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Balance Sheet			Net Amounts of Assets Presented in the Balance Sheet
Derivative assets:
Natural gas	–swaps	$	219,357	$	(10,245	)	$	209,112
	–natural gas basis swaps		8,251		(2,765	)		5,486
Crude oil	–swaps		38,699		¾			38,699
NGLs	–C3 swaps		15,884		¾			15,884
	–C3 basis		2,497		(2,497	)		¾
	–C4 swaps		6,968		¾			6,968
	–C5 swaps		12,694		(81	)		12,613
		$	304,350	$	(15,588	)	$	288,762

		December 31, 2015
		Gross Amounts of Recognized (Liabilities)			Gross Amounts Offset in the Balance Sheet		Net Amounts of (Liabilities) Presented in the Balance Sheet
Derivative (liabilities):
Natural gas	–swaps	$	(10,245	)	$	10,245	$	¾
	–natural gas basis swaps		(2,786	)		2,765		(21	)
NGLs	–C3 basis		(3,633	)		2,497		(1,136	)
	–C5 swaps		(81	)		81		¾
		$	(16,745	)	$	15,588	$	(1,157	)

		December 31, 2014
		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Balance Sheet			Net Amounts of Assets Presented in the Balance Sheet
Derivative assets:
Natural gas	–swaps	$	198,740	$	¾		$	198,740
	–collars		57,460		¾			57,460
	–basis swaps		2,442		(755	)		1,687
Crude oil	–swaps		128,578		¾			128,578
NGLs	–C3 swaps		14,727		¾			14,727
	–C5 swaps		2,171		¾			2,171
		$	404,118	$	(755	)	$	403,363

		December 31, 2014
		Gross Amounts of Recognized (Liabilities)			Gross Amounts Offset in the Balance Sheet		Net Amounts of (Liabilities) Presented in the Balance Sheet
Derivative (liabilities):
Natural gas	–basis swaps	$	(755	)	$	755	$	−
		$	(755	)	$	755	$	−

Effects of Non-Hedge Derivatives on Consolidated Statements of Operations

The effects of our non-hedge derivatives (or those derivatives that do not qualify or are not designated for hedge accounting) on our consolidated statements of operations for the last three years are summarized below (in thousands). Derivative fair value for the year ended December 31, 2014 includes no ineffective gains or losses compared to ineffective loss of $2.9 million in the year ended December 31, 2013.

	Year Ended December 31,
	Derivative Fair Value Income (Loss)
	2015		2014			2013
Swaps	$	398,020	$	367,484		$	(50,526	)
Re-purchased swaps		851		¾			1,323
Collars		16,539		42,836			(16,062	)
Basis swaps		954		(26,800	)		3,440
Total	$	416,364	$	383,520		$	(61,825	)