Derivatives (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts of Outstanding Derivative Positions

At March 31, 2023, our open commodity derivative contracts represented (in thousands of barrels):

Contract Type	Purchases	Sales	Net
Futures	51,364	(51,873)	(509)
Swaps	1,047	(3,028)	(1,981)
Total	52,411	(54,901)	(2,490)

Schedule of Derivative Instruments

The following table provides information on these option collars at our refineries as of March 31, 2023:

Average barrels per month	125,000
Weighted-average strike price - floor (in dollars)	$	67.08
Weighted-average strike price - ceiling (in dollars)	$	91.20
Earliest commencement date	April 2023
Furthest expiry date	December 2023

Fair Value Amounts of Derivatives and Placement in Consolidated Balance Sheets

The following table provides information on the fair value amounts (in thousands) of these derivatives as of March 31, 2023 and December 31, 2022, and their placement within our condensed consolidated balance sheets.

	Balance Sheet Location	March 31, 2023		December 31, 2022
		Asset (Liability)
Commodity derivatives (1)	Prepaid and other current assets	$	7,835	$	495
Commodity derivatives	Other accrued liabilities	(2,047)		(10,989)
J. Aron repurchase obligation derivative	Obligations under inventory financing agreements	1,224		(12,156)
MLC terminal obligation derivative	Obligations under inventory financing agreements	(7,203)		14,435

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(1)Does not include cash collateral of $18.9 million and $40.8 million recorded in Prepaid and other current assets as of March 31, 2023 and December 31, 2022, respectively, and $9.5 million in Other long-term assets as of both March 31, 2023 and December 31, 2022.

Pre-Tax Gain (Loss) Recognized in the Statement of Operations

The following table summarizes the pre-tax gains (losses) recognized in Net income (loss) on our condensed consolidated statements of operations resulting from changes in fair value of derivative instruments not designated as hedges charged directly to earnings (in thousands):

		Three Months Ended March 31,
	Statement of Operations Location	2023		2022
Commodity derivatives	Cost of revenues (excluding depreciation)	$	(624)	$	(18,454)
J. Aron repurchase obligation derivative	Cost of revenues (excluding depreciation)	13,380		(43,269)
MLC terminal obligation derivative	Cost of revenues (excluding depreciation)	(17,023)		(64,396)