XML 53 R29.htm IDEA: XBRL DOCUMENT v3.3.1.900
DERIVATIVE FINANCIAL INSTRUMENTS Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2015
Derivative Instruments Not Designated as Hedging Instruments [Abstract]  
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
The following table presents the balance sheet location and fair value amounts of our derivative instruments on the consolidated balance sheets as of December 31, 2015 and 2014:
 
Derivative instruments:
 
Balance sheet line item
 
2015
 
2014
 
 
 
 
 
(in thousands)
Derivative assets:
Current
 
 
 
 
 
 
 
Commodity contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
$
221,161

 
$
186,886

 
Related to natural gas marketing
 
Fair value of derivatives
 
441

 
590

 
Basis protection contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
57

 
19

 
 
 
 
 
221,659

 
187,495

 
Non-current
 
 
 
 
 
 
 
Commodity contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
44,292

 
112,599

 
Related to natural gas marketing
 
Fair value of derivatives
 
51

 
220

 
Basis protection contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
44

 
—

 
 
 
 
 
44,387

 
112,819

Total derivative assets
 
 
 
 
$
266,046

 
$
300,314

 
 
 
 
 
 
 
 
Derivative liabilities:
Current
 
 
 
 
 
 
 
Commodity contracts
 
 
 
 
 
 
 
Related to natural gas marketing
 
Fair value of derivatives
 
$
417

 
$
545

 
Basis protection contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
1,178

 
25

 
 
 
 
 
1,595

 
570

 
Non-current
 
 
 
 
 
 
 
Commodity contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
275

 
—

 
Related to natural gas marketing
 
Fair value of derivatives
 
46

 
197

 
Basis protection contracts
 
 
 
 
 
 
 
Related to crude oil and natural gas sales
 
Fair value of derivatives
 
374

 
—

 
 
 
 
 
695

 
197

Total derivative liabilities
 
 
 
 
$
2,290

 
$
767




    
The following table presents the impact of our derivative instruments on our consolidated statements of operations:


 
Year Ended December 31,
Consolidated statement of operations line item
 
2015
 
2014
 
2013

 
(in thousands)
Commodity price risk management gain (loss), net
 
 
 
 
 
 
Net settlements
 
$
238,935

 
$
(837
)
 
$
11,177

Net change in fair value of unsettled derivatives
 
(35,752
)
 
311,141

 
(35,096
)
Total commodity price risk management gain (loss), net
 
$
203,183

 
$
310,304

 
$
(23,919
)
Sales from natural gas marketing
 
 
 
 
 
 
Net settlements
 
$
778

 
$
(208
)
 
$
446

Net change in fair value of unsettled derivatives
 
(318
)
 
364

 
429

Total sales from natural gas marketing
 
$
460

 
$
156

 
$
875

Cost of natural gas marketing
 
 
 
 
 
 
Net settlements
 
$
(745
)
 
$
346

 
$
(257
)
Net change in fair value of unsettled derivatives
 
279

 
(451
)
 
(412
)
Total cost of natural gas marketing
 
$
(466
)
 
$
(105
)
 
$
(669
)

 
 
 
 
 
 

All of our financial derivative agreements contain master netting provisions that provide for the net settlement of all contracts through a single payment in the event of early termination. Our fixed-price physical purchase and sale agreements that qualify as derivative contracts are not subject to master netting provisions and are not significant. We have elected not to offset the fair value positions recorded on our consolidated balance sheets.

The following table reflects the impact of netting agreements on gross derivative assets and liabilities:
As of December 31, 2015
 
Derivative instruments, recorded in consolidated balance sheet, gross
 
Effect of master netting agreements
 
Derivative instruments, net
 
 
(in thousands)
Asset derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
266,046

 
$
(1,921
)
 
$
264,125

 
 
 
 
 
 
 
Liability derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
2,290

 
$
(1,921
)
 
$
369

 
 
 
 
 
 
 
As of December 31, 2014
 
Derivative instruments, recorded in consolidated balance sheet, gross
 
Effect of master netting agreements
 
Derivative instruments, net
 
 
(in thousands)
Asset derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
300,314

 
$
(29
)
 
$
300,285

 
 
 
 
 
 
 
Liability derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
767

 
$
(29
)
 
$
738