XML 42 R30.htm IDEA: XBRL DOCUMENT v3.5.0.2
Derivative Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2016
Derivative Instruments Not Designated as Hedging Instruments [Abstract]  
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block]
The following tables summarize the approximate volumes and average contract prices of contracts the Company had in place as of September 30, 2016:

Oil Swaps


Contract Period
 
NYMEX WTI Volumes
 
Weighted-Average
 Contract Price
 
 
(MBbls)
 
(per Bbl)
Fourth quarter 2016
 
2,249

 
$
59.03

2017
 
5,612

 
$
46.46

Total
 
7,861

 
 

Oil Collars
Contract Period
 
NYMEX WTI
 Volumes
 
Weighted-
Average Floor
 Price
 
Weighted-
Average Ceiling
 Price
 
 
(MBbls)
 
(per Bbl)
 
(per Bbl)
Fourth quarter 2016
 
881

 
$
40.00

 
$
51.52

2017
 
2,463

 
$
45.00

 
$
54.09

Total
 
3,344

 
 
 
 

Natural Gas Swaps
Contract Period
 
Sold
Volumes
 
Weighted-Average
 Contract Price
 
Purchased Volumes
 
Weighted- Average Contract Price
 
Net
Volumes
 
 
(BBtu)
 
(per MMBtu)
 
(BBtu)
 
(per MMBtu)
 
(BBtu)
Fourth quarter 2016
 
26,700

 
$
3.34

 
—

 
$
—

 
26,700

2017
 
99,549

 
$
3.94

 
—

 
$
—

 
99,549

2018
 
57,970

 
$
3.70

 
(30,606
)
 
$
4.27

 
27,364

2019
 
24,415

 
$
4.34

 
(24,415
)
 
$
4.34

 
—

Total*
 
208,634

 
 
 
(55,021
)
 
 
 
153,613

*Total net volumes of natural gas swaps are comprised of IF El Paso Permian (1%), IF HSC (96%), and IF NNG Ventura (3%).

NGL Swaps
 
 
OPIS Purity Ethane Mont Belvieu
 
OPIS Propane Mont Belvieu Non-TET
 
OPIS Normal Butane Mont Belvieu Non-TET
 
OPS Isobutane Mont Belvieu Non-TET
Contract Period
 
Volumes
Weighted-Average
 Contract Price
 
Volumes
Weighted-Average
Contract Price
 
Volumes
Weighted-Average
Contract Price
 
Volumes
Weighted-Average
Contract Price
 
 
(MBbls)
(per Bbl)
 
(MBbls)
(per Bbl)
 
(MBbls)
(per Bbl)
 
(MBbls)
(per Bbl)
Fourth quarter 2016
 
687

$
8.71

 
792

$
18.53

 
226

$
22.91

 
182

$
23.25

2017
 
3,062

$
8.92

 
1,530

$
20.78

 
—

$
—

 
—

$
—

2018
 
2,435

$
10.18

 
593

$
21.60

 
—

$
—

 
—

$
—

2019
 
1,200

$
10.92

 
—

$
—

 
—

$
—

 
—

$
—

2020
 
539

$
11.13

 
—

$
—

 
—

$
—

 
—

$
—

Total
 
7,923

 
 
2,915

 
 
226

 
 
182

 
Schedule of fair value of derivatives in accompanying balance sheets
The following tables detail the fair value of derivatives recorded in the accompanying balance sheets, by category:

 
As of September 30, 2016
 
Derivative Assets
 
Derivative Liabilities
 
Balance Sheet
 Classification
 
Fair Value
 
Balance Sheet
 Classification
 
Fair Value
 
(in thousands)
Commodity contracts
Current assets
 
$
109,818

 
Current liabilities
 
$
51,059

Commodity contracts
Noncurrent assets
 
107,029

 
Noncurrent liabilities
 
104,705

Derivatives not designated as hedging instruments
 
 
$
216,847

 
 
 
$
155,764


 
As of December 31, 2015
 
Derivative Assets
 
Derivative Liabilities
 
Balance Sheet
 Classification
 
Fair Value
 
Balance Sheet
 Classification
 
Fair Value
 
(in thousands)
Commodity contracts
Current assets
 
$
367,710

 
Current liabilities
 
$
8

Commodity contracts
Noncurrent assets
 
120,701

 
Noncurrent liabilities
 
—

Derivatives not designated as hedging instruments
 
 
$
488,411

 
 
 
$
8
Schedule of the potential effects of master netting arrangements [Table Text Block]
The following table provides a reconciliation between the gross assets and liabilities reflected on the accompanying balance sheets and the potential effects of master netting arrangements on the fair value of the Company’s derivative contracts:
 
 
Derivative Assets
 
Derivative Liabilities
 
 
As of
 
As of
Offsetting of Derivative Assets and Liabilities
 
September 30, 2016
 
December 31, 2015
 
September 30, 2016
 
December 31, 2015
 
 
(in thousands)
Gross amounts presented in the accompanying balance sheets
 
$
216,847

 
$
488,411

 
$
(155,764
)
 
$
(8
)
Amounts not offset in the accompanying balance sheets
 
(136,358
)
 
(8
)
 
136,358

 
8

Net amounts
 
$
80,489

 
$
488,403

 
$
(19,406
)
 
$
—
Schedule of derivative (gain) loss
The following table summarizes the components of the derivative (gain) loss presented in the accompanying statements of operations:
 
For the Three Months Ended September 30,
 
For the Nine Months Ended September 30,
 
2016
 
2015
 
2016
 
2015
 
(in thousands)
Derivative settlement (gain) loss:
 
 
 
 
 
 
 
Oil contracts
$
(49,241
)
 
$
(90,493
)
 
$
(221,397
)
 
$
(270,622
)
Gas contracts (1)
(10,096
)
 
(19,167
)
 
(82,588
)
 
(92,279
)
NGL contracts
1,841

 
(4,035
)
 
(2,249
)
 
(24,818
)
Total derivative settlement gain
$
(57,496
)

$
(113,695
)

$
(306,234
)

$
(387,719
)
 
 
 
 
 
 
 
 
Total derivative (gain) loss:
 
 
 
 
 
 
 
Oil contracts
$
(733
)
 
$
(131,728
)
 
$
49,608

 
$
(138,839
)
Gas contracts
(14,006
)
 
(66,538
)
 
24,460

 
(142,807
)
NGL contracts
(13,298
)
 
(13,987
)
 
47,018

 
(3,845
)
Total derivative (gain) loss:
$
(28,037
)

$
(212,253
)

$
121,086


$
(285,491
)