XML 82 R29.htm IDEA: XBRL DOCUMENT v3.19.3
Derivative Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2019
Derivative [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]
As of September 30, 2019, we had the following outstanding derivative contracts. When aggregating multiple contracts, the weighted-average contract price is shown.
 
 
Collars
 
Fixed-Price Swaps
 
 
Commodity/ Index/
Maturity Period
 
Quantity
(Crude oil -
MBls
Natural Gas - BBtu)
 
Weighted-Average
Contract Price
 
Quantity (Crude Oil - MBbls
Gas and Basis-
BBtu )
 
Weighted-
Average
Contract
Price
 
Fair Value
September 30,
2019 (1)
(in thousands)
 
 
Floors
 
Ceilings
 
 
 
Crude Oil
 
 
 
 
 
 
 
 
 
 
 
 
NYMEX
 
 
 
 
 
 
 
 
 
 
 
 
2019
 
1,450

 
$
57.07

 
$
66.82

 
1,650

 
$
55.96

 
$
10,336

2020
 
3,600

 
55.00

 
71.68

 
6,200

 
61.28

 
84,429

2021
 
—

 
—

 
—

 
1,200

 
57.99

 
9,166

Total Crude Oil
 
5,050

 
 
 
 
 
9,050

 
 
 
$
103,931

 
 
 
 
 
 
 
 
 
 
 
 
 
Natural Gas
 
 
 
 
 
 
 
 
 
 
 
 
NYMEX
 
 
 
 
 
 
 
 
 
 
 
 
2019
 
—

 
$
—

 
$
—

 
7,582

 
$
2.91

 
$
3,699

Dominion South
 
 
 
 
 
 
 
 
 
 
 
 
2019
 
—

 
—

 
—

 
21

 
2.54

 
1

2020
 
—

 
—

 
—

 
14

 
2.54

 
—

Total Natural Gas
 
—

 
 
 
 
 
7,617

 
 
 
$
3,700

 
 
 
 
 
 
 
 
 
 
 
 
 
Basis Protection - Natural Gas
 
 
 
 
 
 
 
 
 
 
 
 
CIG
 
 
 
 
 
 
 
 
 
 
 
 
2019
 
—

 
$
—

 
$
—

 
13,861

 
$
(0.64
)
 
$
(1,629
)
2020
 
—

 
—

 
—

 
20,500

 
(0.62
)
 
(601
)
Total Basis Protection - Natural Gas
 
—

 
 
 
 
 
34,361

 
 
 
$
(2,230
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity Derivatives Fair Value
 
 
 
 
 
 
 
$
105,401

_____________
(1)
Approximately 29.1 percent of the fair value of our commodity derivative assets and 22.1 percent of the fair value of our commodity derivative liabilities were measured using significant unobservable inputs (Level 3).

Schedule of Derivatives 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 condensed consolidated balance sheets:
 
 
 
 
 
Fair Value
Derivative Instruments:
 
Condensed Consolidated Balance Sheet Line Item
 
September 30, 2019
 
December 31, 2018
 
 
 
 
 
(in thousands)
Derivative assets:
Current
 
 
 
 
 
 
 
Commodity derivative contracts
 
Fair value of derivatives
 
$
75,663

 
$
84,492

 
Basis protection derivative contracts
 
Fair value of derivatives
 
167

 
—

 
 
 
 
 
75,830

 
84,492

 
Non-current
 
 
 
 
 
 
 
Commodity derivative contracts
 
Fair value of derivatives
 
33,185

 
93,722

Total derivative assets
 
 
 
$
109,015

 
$
178,214

 
 
 
 
 
 
 
 
Derivative liabilities:
Current
 
 
 
 
 
 
 
Commodity derivative contracts
 
Fair value of derivatives
 
$
990

 
$
748

 
Basis protection derivative contracts
 
Fair value of derivatives
 
1,963

 
2,616

 
 
 
 
 
2,953

 
3,364

 
Non-current
 
 
 
 
 
 
 
Commodity derivative contracts
 
Fair value of derivatives
 
227

 
1,364

 
Basis protection derivative contracts
 
Fair value of derivatives
 
434

 
—

 
 
 
 
 
661

 
1,364

Total derivative liabilities
 
 
 
$
3,614

 
$
4,728


    
The following table presents the impact of our derivative instruments on our condensed consolidated statements of operations:
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
Condensed Consolidated Statement of Operations Line Item
 
2019
 
2018
 
2019
 
2018
 
 
(in thousands)
Commodity price risk management gain (loss), net
 
 
 
 
 
 
 
 
Net settlements
 
$
1,845

 
$
(48,096
)
 
$
(19,800
)
 
$
(90,542
)
Net change in fair value of unsettled derivatives
 
53,022

 
(46,298
)
 
(68,058
)
 
(167,218
)
Total commodity price risk management gain (loss), net
 
$
54,867

 
$
(94,394
)
 
$
(87,858
)
 
$
(257,760
)
 
 
 
 
 
 
 
 
 
Derivatives Not Designated as Hedging Instruments [Table Text Block]
The following table reflects the impact of netting agreements on gross derivative assets and liabilities:
As of September 30, 2019
 
Derivative Instruments, Gross
 
Effect of Master Netting Agreements
 
Derivative Instruments, Net
 
 
(in thousands)
Asset derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
109,015

 
$
(2,843
)
 
$
106,172

 
 
 
 
 
 
 
Liability derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
3,614

 
$
(2,843
)
 
$
771

 
 
 
 
 
 
 

As of December 31, 2018
 
Derivative Instruments, Gross
 
Effect of Master Netting Agreements
 
Derivative Instruments, Net
 
 
(in thousands)
Asset derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
178,214

 
$
(3,985
)
 
$
174,229

 
 
 
 
 
 
 
Liability derivatives:
 
 
 
 
 
 
Derivative instruments, at fair value
 
$
4,728

 
$
(3,985
)
 
$
743