v3.26.1
DERIVATIVES (Tables)
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Open Derivative Contracts
We held the following Brent-based contracts for our forecasted oil production as of March 31, 2026:

Q2
2026		Q3
2026		Q4
2026		20272028
Sold Calls
Barrels per day36,000 36,000 36,000 2,465 17,534 
Weighted-average price per barrel$83.51 $83.51 $83.51 $71.06 $81.28 
Purchased Puts
Barrels per day36,000 36,000 36,000 2,465 17,534 
Weighted-average price per barrel$61.11 $61.11 $61.11 $61.01 $62.74 
Swaps
Barrels per day44,487 42,869 41,703 69,610 7,285 
Weighted-average price per barrel$68.52 $68.20 $67.98 $65.69 $66.98 

At March 31, 2026, we also held the following swaps to hedge purchased natural gas used in our operations as shown in the table below.

Q2
2026		Q3
2026		Q4
2026		20272028
SoCal Border
MMBtu per day
13,250 10,570 9,908 3,463 — 
Weighted-average price per MMBtu
$4.82 $4.83 $4.84 $4.77 $— 
NWPL Rockies
MMBtu per day
91,750 91,750 91,750 88,254 11,475 
Weighted-average price per MMBtu
$3.77 $3.76 $4.17 $4.00 $3.51 
We report gains and losses on our derivative contracts related to our oil production and our marketing activities in operating revenue on our consolidated statements of operations as shown in the table below:
Three months ended
March 31,
20262025
(in millions)
Non-cash (loss) gain from commodity sales derivatives
$(792)$22 
Net settlements and premiums
(56)(16)
Net (loss) gain from commodity sales derivatives
$(848)$6 

We report gains and losses on our commodity derivative contracts related to purchases of natural gas in operating expenses on our condensed consolidated statements of operations as shown in the table below:

Three months ended
March 31,
20262025
(in millions)
Non-cash loss (gain) from natural gas purchase derivatives
$12 $(18)
Settlements
12 12 
Net loss (gain) from natural gas purchase derivatives
$24 $(6)
Schedule of Fair Value of Derivatives The following tables present the fair values of our outstanding commodity derivatives as of March 31, 2026 and December 31, 2025.
March 31, 2026
ClassificationGross Amounts at Fair ValueNettingNet Fair Value
(in millions)
Other current assets, net
$17 $(15)$2 
Other noncurrent assets
41 (35)6 
Current liabilities(436)15 (421)
Noncurrent liabilities(204)35 (169)
$(582)$— $(582)
December 31, 2025
ClassificationGross Amounts at Fair ValueNettingNet Fair Value
(in millions)
Other current assets, net
$193 $(6)$187 
Other noncurrent assets
106 (5)101 
Current liabilities(48)6 (42)
Noncurrent liabilities(22)5 (17)
$229 $— $229