Derivative and Hedging Activities (Tables)

12 Months Ended

Dec. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of estimated fair value of oil, natural gas and NGL derivative instrument asset (liabilities)

The estimated fair values of our oil, natural gas and NGL derivative instrument assets (liabilities) as of December 31, 2020 and 2019 are provided below: 

	December 31, 2020			December 31, 2019
	Notional Volume	Fair Value		Notional Volume	Fair Value
		($ in millions)			($ in millions)
Oil (mmbbl):
Fixed-price swaps	27	$	(136)	24	$	(7)
Collars	—	—		2	14
Basis protection swaps	7	(1)		8	(2)
Total oil	34	(137)		34	5
Natural gas (bcf):
Fixed-price swaps	728	10		265	125
Collars	53	8		—	—
Call options (sold)	—	—		22	—
Call swaptions	—	—		29	(2)
Basis protection swaps	66	1		30	2
Total natural gas	847	19		346	125
Total estimated fair value		$	(118)		$	130

Schedule of effects of dividend instruments in consolidated balance sheets

The following table presents the fair value and location of each classification of derivative instrument included in the consolidated balance sheets as of December 31, 2020 and 2019 on a gross basis and after same-counterparty netting:

Balance Sheet Classification	Gross Fair Value		Amounts Netted in the Consolidated Balance Sheets		Net Fair Value Presented in the Consolidated Balance Sheets
	($ in millions)
As of December 31, 2020
Commodity Contracts:
Short-term derivative asset	$	84	$	(65)	$	19
Long-term derivative asset	5		(5)		—
Short-term derivative liability	(158)		65		(93)
Long-term derivative liability	(49)		5		(44)
Total derivatives	$	(118)	$	—	$	(118)
As of December 31, 2019
Commodity Contracts:
Short-term derivative asset	$	174	$	(40)	$	134
Short-term derivative liability	(42)		40		(2)
Long-term derivative liability	(2)		—		(2)
Total derivatives	$	130	$	—	$	130

Schedule of effects of derivative instruments in consolidated statements of operations

The components of oil, natural gas and NGL revenues for the years ended December 31, 2020, 2019 and 2018 are presented below:

	Years Ended December 31,
	2020		2019		2018
	($ in millions)
Oil, natural gas and NGL revenues	$	2,745	$	4,517	$	5,189
Gains on undesignated oil, natural gas and NGL derivatives	629		40		—
Losses on terminated cash flow hedges	(33)		(35)		(34)
Total oil, natural gas and NGL revenues	$	3,341	$	4,522	$	5,155

The components of marketing revenues for the years ended December 31, 2020, 2019 and 2018 are presented below:    

	Years Ended December 31,
	2020		2019		2018
	($ in millions)
Marketing revenues	$	1,869	$	3,971	$	5,069
Gains (losses) on undesignated marketing natural gas derivatives	—		(4)		7
Total marketing revenues	$	1,869	$	3,967	$	5,076

Schedule of effects of derivative instruments in accumulated other comprehensive income (loss)

A reconciliation of the changes in accumulated other comprehensive income (loss) in our consolidated statements of stockholders’ equity related to our cash flow hedges is presented below:

	Years Ended December 31,
	2020				2019				2018
	Before Tax		After  Tax		Before Tax		After  Tax		Before Tax		After  Tax
	($ in millions)
Balance, beginning of period	$	(45)	$	12	$	(80)	$	(23)	$	(114)	$	(57)
Losses reclassified to income	33		33		35		35		34		34
Balance, end of period	$	(12)	$	45	$	(45)	$	12	$	(80)	$	(23)

Schedule of fair value measurement of financial assets (liabilities) measured at fair value on a recurring basis

The following table provides information for financial assets (liabilities) measured at fair value on a recurring basis as of December 31, 2020 and 2019:

	Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value
			($ in millions)
As of December 31, 2020
Derivative Assets (Liabilities):
Commodity assets	$	—	$	78	$	10	$	88
Commodity liabilities	—		(204)		(2)		(206)
Total derivatives	$	—	$	(126)	$	8	$	(118)
As of December 31, 2019
Derivative Assets (Liabilities):
Commodity assets	$	—	$	160	$	14	$	174
Commodity liabilities	—		(42)		(2)		(44)
Total derivatives	$	—	$	118	$	12	$	130

A summary of the changes in the fair values of our financial assets (liabilities) classified as Level 3 during 2020 and 2019 is presented below: 

	Commodity Derivatives		Utica Contingent Consideration
	($ in millions)
Balance, as of January 1, 2020	$	12	$	—
Total gains (losses) (realized/unrealized):
Included in earnings(a)	11		—
Total purchases, issuances, sales and settlements:
Settlements	(15)		—
Balance, as of December 31, 2020	$	8	$	—
Balance, as of January 1, 2019	$	87	$	7
Total gains (losses) (realized/unrealized):
Included in earnings(a)	(59)		(7)
Total purchases, issuances, sales and settlements:
Settlements	(16)		—
Balance, as of December 31, 2019	$	12	$	—

___________________________________________

(a)		Commodity Derivatives				Utica Contingent Consideration
		2020		2019		2020		2019
		($ in millions)
	Total gains (losses) included in earnings for the period	$	11	$	(59)	$	—	$	(7)
	Change in unrealized gains (losses) related to assets still held at reporting date	$	—	$	(19)	$	—	$	—

Schedule of quantitative information about Level 3 inputs used in fair value measurement of commodity contracts

The following table presents quantitative information about Level 3 inputs used in the fair value measurement of our commodity derivative contracts as of December 31, 2020:

Instrument Type	Unobservable Input	Range	Weighted Average	Fair Value December 31, 2020
				($ in millions)
Natural gas trades	Natural gas price volatility curves	24% – 71%	38%	$	8