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Derivative Financial Instruments (Tables)
 3 Months Ended
Mar. 31, 2018
Derivative Instruments Not Designated as Hedging Instruments [Abstract]  
Schedule of Notional Amounts of Outstanding Derivative Positions
As of March 31, 2018, the Company had commodity derivative contracts outstanding as summarized in the tables below:
Oil Swaps


Contract Period
 
NYMEX WTI Volumes
 
Weighted-Average
 Contract Price
 
 
(MBbl)
 
(per Bbl)
Second quarter 2018
 
1,534

 
$
49.57

Third quarter 2018
 
1,769

 
$
49.77

Fourth quarter 2018
 
1,894

 
$
49.87

2019
 
1,940

 
$
50.70

Total
 
7,137

 
 
Oil Collars
Contract Period
 
NYMEX WTI
 Volumes
 
Weighted-
Average Floor
 Price
 
Weighted-
Average Ceiling
 Price
 
 
(MBbl)
 
(per Bbl)
 
(per Bbl)
Second quarter 2018
 
1,459

 
$
50.00

 
$
59.03

Third quarter 2018
 
1,948

 
$
50.00

 
$
58.61

Fourth quarter 2018
 
2,222

 
$
50.00

 
$
58.44

2019
 
5,908

 
$
47.65

 
$
59.19

Total
 
11,537

 
 
 
 
Oil Basis Swaps


Contract Period
 
Midland-Cushing Volumes
 
Weighted-Average
 Contract Price (1)
 
 
(MBbl)
 
(per Bbl)
Second quarter 2018
 
2,392

 
$
(1.03
)
Third quarter 2018
 
3,018

 
$
(1.06
)
Fourth quarter 2018
 
3,327

 
$
(1.08
)
2019
 
5,788

 
$
(1.09
)
Total
 
14,525

 
 
____________________________________________
(1)  
Represents the price differential between WTI prices at Midland, Texas and WTI prices at Cushing, Oklahoma.
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)
Second quarter 2018
 
23,507

 
$
3.31

 
(7,795
)
 
$
4.24

 
15,712

Third quarter 2018
 
24,627

 
$
3.29

 
(7,480
)
 
$
4.23

 
17,147

Fourth quarter 2018
 
25,856

 
$
3.29

 
(7,210
)
 
$
4.27

 
18,646

2019
 
41,394

 
$
3.76

 
(24,415
)
 
$
4.34

 
16,979

Total (1)
 
115,384

 
 
 
(46,900
)
 
 
 
68,484

____________________________________________
(1) 
Total net volumes of gas swaps are comprised 100% of IF HSC.
NGL Swaps
 
 
OPIS Purity Ethane Mont Belvieu
 
OPIS Propane Mont Belvieu Non-TET
 
OPIS Normal Butane Mont Belvieu Non-TET
 
OPIS Isobutane Mont Belvieu Non-TET
 
OPIS Natural Gasoline 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
 
Volumes
Weighted-Average
Contract Price
 
 
(MBbl)
(per Bbl)
 
(MBbl)
(per Bbl)
 
(MBbl)
(per Bbl)
 
(MBbl)
(per Bbl)
 
(MBbl)
(per Bbl)
Second quarter 2018
 
915

$
10.87

 
554

$
24.94

 
84

$
35.69

 
66

$
35.07

 
175

$
50.99

Third quarter 2018
 
1,033

$
10.99

 
610

$
24.27

 
93

$
35.70

 
70

$
35.07

 
202

$
51.13

Fourth quarter 2018
 
1,146

$
11.18

 
671

$
24.39

 
102

$
35.70

 
76

$
35.07

 
208

$
50.99

2019
 
3,533

$
12.31

 
1,503

$
27.83

 
154

$
35.64

 
117

$
35.70

 
197

$
50.93

2020
 
539

$
11.13

 
—

$
—

 
—

$
—

 
—

$
—

 
—

$
—

Total
 
7,166

 
 
3,338

 
 
433

 
 
329

 
 
782

 
Schedule of fair value of derivatives in accompanying balance sheets
The following table details the fair value of commodity derivative contracts recorded in the accompanying balance sheets, by category:
 
 
As of March 31, 2018
 
As of December 31, 2017
 
 
(in thousands)
Derivative assets:
 
 
 
 
Current assets
 
$
77,296

 
$
64,266

Noncurrent assets
 
35,128

 
40,362

Total derivative assets
 
$
112,424

 
$
104,628

Derivative liabilities:
 
 
 
 
Current liabilities
 
$
181,068

 
$
172,582

Noncurrent liabilities
 
53,712

 
71,402

Total derivative liabilities
 
$
234,780

 
$
243,984
Schedule of the potential effects of master netting arrangements
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
 
 
March 31, 
 2018
 
December 31, 2017
 
March 31, 
 2018
 
December 31, 2017
 
 
(in thousands)
Gross amounts presented in the accompanying balance sheets
 
$
112,424

 
$
104,628

 
$
(234,780
)
 
$
(243,984
)
Amounts not offset in the accompanying balance sheets
 
(100,617
)
 
(100,035
)
 
100,617

 
100,035

Net amounts
 
$
11,807

 
$
4,593

 
$
(134,163
)
 
$
(143,949
)
Schedule of derivative (gain) loss
The following table summarizes the components of the net derivative (gain) loss presented in the accompanying statements of operations:
 
 
For the Three Months Ended 
 March 31,
 
 
2018
 
2017
 
(in thousands)
Derivative settlement (gain) loss:
 
 
 
 
Oil contracts
 
$
20,748

 
$
9,084

Gas contracts
 
(6,410
)
 
(17,506
)
NGL contracts
 
10,190

 
8,415

Total derivative settlement (gain) loss
 
$
24,528

 
$
(7
)
 
 
 
 
 
Net derivative (gain) loss:
 
 
 
 
Oil contracts
 
$
13,966

 
$
(49,590
)
Gas contracts
 
9,990

 
(44,468
)
NGL contracts
 
(16,427
)
 
(20,716
)
Total net derivative (gain) loss
 
$
7,529

 
$
(114,774
)