Derivative Instruments and Hedging Activities (Tables)

12 Months Ended

Dec. 31, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Unsettled Derivative Instruments

As of December 31, 2019, we had entered into the following crude oil derivative instruments:

				Swaps					Collars
Settlement Period	Type of Contract	Index	Bbls per Day	Weighted Average Differential			Weighted Average Fixed Price		Weighted Average Short Put Price		Weighted Average Floor Price		Weighted Average Ceiling Price
2020	Sold Calls	NYMEX WTI	8,000	$	—		$	65.59	$	—	$	—	$	—
2020	Swaps	NYMEX WTI	35,000	—			58.12		—		—		—
2020	Three-Way Collars	NYMEX WTI	30,000	—			—		48.33		57.87		64.27
Jan2020-Jun2020	Swaps	NYMEX WTI	24,000	—			59.54		—		—		—
Jul2020-Dec2020	Call Swaption	NYMEX WTI	11,000	—			58.95		—		—		—
2020	Basis Swaps	(1)	15,000	(5.01		)	—		—		—		—

⁽¹⁾   We have entered into crude oil basis swap contracts in order to establish a fixed amount for the differential between pricing in Midland, Texas, and Cushing, Oklahoma. The weighted average differential represents the amount of reduction to Cushing, Oklahoma, prices for the notional volumes covered by the basis swap contracts.

As of December 31, 2019, we had entered into the following NGL derivative instruments:

				Swaps
Settlement Period	Type of Contract	Index	Bbls per Day	Weighted Average Fixed Price
Apr 2020-Sept 2020	Ethane Swaps	Mont Belvieu	2,000	$	7.77
Apr 2020-Sept 2020	Propane Swaps	Mont Belvieu	5,000	21.04
Apr 2020-Sept 2020	Isobutane Swaps	Mont Belvieu	1,000	25.36
Apr 2020-Sept 2020	Butane Swaps	Mont Belvieu	1,500	24.31

As of December 31, 2019, we had entered into the following natural gas derivative instruments:

				Swaps					Collars
Settlement Period	Type of Contract	Index	MMBtu per Day	Weighted Average Differential			Weighted Average Fixed Price		Weighted Average Short Put Price		Weighted Average Floor Price		Weighted Average Ceiling Price
Apr2020-Dec2020	Swaps	NYMEX HH	90,000	$	—		$	2.60	$	—	$	—	$	—
Apr2020-Oct2020	Three-Way Collars	NYMEX HH	40,000	—			—		2.25		2.70		2.85
2020	Sold Puts	NYMEX HH	90,000	—			—		2.15		—		—
2020	Basis Swaps	CIG (1)	139,000	(0.56		)	—		—		—		—
2020	Basis Swaps	Waha (1)	49,500	(1.05		)	—		—		—		—
2021	Basis Swaps	CIG (1)	60,000	(0.52		)	—		—		—		—
2021	Basis Swaps	Waha (1)	14,000	(0.60		)	—		—		—		—

⁽¹⁾  

We have entered into natural gas basis swap contracts in order to establish a fixed amount for the differential between index pricing for Colorado Interstate Gas (CIG) and Waha Hub versus NYMEX Henry Hub (HH). The weighted average differential represents the amount of reduction to NYMEX HH prices for the notional volumes covered by the basis swap contracts.

Fair Value of Derivative Instruments

The fair values of derivative instruments on our consolidated balance sheets were as follows (in millions): 

Asset Derivative Instruments					Liability Derivative Instruments
Balance Sheet Location	December 31, 2019		December 31, 2018		Balance Sheet Location	December 31, 2019		December 31, 2018
Other Current Assets	$	14	$	180	Other Current Liabilities	$	36	$	1
Other Noncurrent Assets	1		—		Other Noncurrent Liabilities	1		26
Total Assets	$	15	$	180	Total Liabilities	$	37	$	27

Effect of derivative instruments on consolidated statement of operations

The effect of derivative instruments on our consolidated statements of operations was as follows:

	Year Ended December 31,
(millions)	2019			2018			2017
Cash (Received) Paid in Settlement of Commodity Derivative Instruments
Crude Oil	$	(10	)	$	162		$	(14	)
Natural Gas	(22		)	(1		)	1
Total Cash (Received) Paid in Settlement of Commodity Derivative Instruments	(32		)	161			(13		)
Non-cash Portion of Loss (Gain) on Commodity Derivative Instruments
Crude Oil	184			(225		)	18
NGLs	(3		)	—			—
Natural Gas	(6		)	1			(68		)
Total Non-cash Portion of Loss (Gain) on Commodity Derivative Instruments	175			(224		)	(50		)
Loss (Gain) on Commodity Derivative Instruments
Crude Oil	174			(63		)	4
NGLs	(3		)	—			—
Natural Gas	(28		)	—			(67		)
Total Loss (Gain) on Commodity Derivative Instruments	$	143		$	(63	)	$	(63	)