Derivatives (Tables)

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Non-designated hedges outstanding

The following non-designated commodity hedges were outstanding as of June 30, 2022:

Term	Commodity	Contracted Volume	Weighted Average  Fixed Price for Swaps	Contracted Market
Jul'22 - Dec'22	Natural gas - swap	5,000 MMBtu/day	$2.61	IF - NYMEX (HH)
Jul'22 - Feb'23	Natural gas - swap	18,765 MMBtu/day	$9.14	IF - NYMEX (HH)
Jan'23 - Dec'23	Natural gas - swap	22,000 MMBtu/day	$2.46	IF - NYMEX (HH)
Jul'22 - Dec'22	Natural gas - collar	35,000 MMBtu/day	$2.50 - $2.68	IF - NYMEX (HH)
Jul'22 - Dec'22	Crude oil - swap	2,300 Bbl/day	$42.25	WTI - NYMEX
Jul'22 - Dec'22	Crude oil - swap	596 Bbl/day	$103.98	WTI - NYMEX
Jan'23 - Feb'23	Crude oil - swap	1,339 Bbl/day	$95.40	WTI - NYMEX
Jan'23 - Dec'23	Crude oil - swap	1,300 Bbl/day	$43.60	WTI - NYMEX

Fair Value of Derivative Instruments and Locations in Balance Sheets

The following tables present the recognized derivative assets and liabilities on our unaudited condensed consolidated balance sheets:

		Balances as of June 30, 2022
	Balance Sheet Classification	Presented Gross		Effects of Netting		Presented Net
		(In thousands)
Assets:
Current Commodity Derivatives	Current derivative assets	$	16,481	$	(16,481)	$	—
Long-term Commodity Derivatives	Non-current derivative assets	—		—		—
Total derivative assets		$	16,481	$	(16,481)	$	—
Liabilities:
Current Commodity Derivatives	Current derivative liabilities	$	65,325	$	(16,481)	$	48,844
Long-term Commodity Derivatives	Non-current derivative liabilities	17,231		—		17,231
Total derivative liabilities		$	82,556	$	(16,481)	$	66,075

		Balances as of December 31, 2021
	Balance Sheet Classification	Presented Gross		Effects of Netting		Presented Net
		(In thousands)
Liabilities:
Current Commodity Derivatives	Current derivative liabilities	$	40,876	$	—	$	40,876
Long-term Commodity Derivatives	Non-current derivative liabilities	17,855		—		17,855
Warrant Liability	Warrant liability	19,822		—		19,822
Total derivative liabilities		$	78,553	$	—	$	78,553

Effect of Derivative Instruments Recognized in Income Statements, Derivative Instruments

The following table shows the activity related to derivative instruments in the unaudited condensed consolidated statements of operations for the periods indicated:

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
	(In thousands)
Gain (loss) on derivatives	$	2,609	$	(42,400)	$	(61,467)	$	(65,231)
Cash settlements paid on commodity derivatives	(32,884)		(6,403)		(54,123)		(9,707)
Gain (loss) on derivatives less cash settlements paid on commodity derivatives	$	35,493	$	(35,997)	$	(7,344)	$	(55,524)
Gain (loss) on change in fair value of warrants	$	7,289	$	(3,574)	$	(29,323)	$	(3,574)