Derivative Activities (Tables)

6 Months Ended

Jun. 30, 2026

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Volumes Hedged and Average Hedge Prices

The following table sets forth our commodity-based derivative volumes by year as of June 30, 2026, excluding our basis swaps which are discussed separately below. All fair values presented in the table below utilize Level 2 inputs except for C3 (propane) collars, which utilize Level 3 inputs. All fair market values ("FMV") are presented in thousands:


Period	Contract Type	Volume Hedged		Weighted Average Hedge Price								FMV
			Swap			Sold Put		Floor		Ceiling
Natural Gas (a)
Jul - Dec 2026	Swaps	300,000 Mmbtu/day	$		4.06							$	37,209
Jul - Dec 2026	Three-way Collars	333,424 Mmbtu/day				$	2.74	$	3.70	$	5.05	$	24,781
2027	Swaps	270,000 Mmbtu/day			4.05							$	55,648
2027	Three-way Collars	80,000 Mmbtu/day				$	3.00	$	4.00	$	4.75	$	10,382
2028	Collars	20,000 Mmbtu/day						$	3.50	$	4.50	$	1,104
2028	Three-way Collars	90,000 Mmbtu/day				$	2.50	$	3.50	$	4.50	$	232

Oil
Jul - Sep 2026	Three-way Collars	5,000 bbls/day				$	55.00	$	65.00	$	77.63	$	109

NGLs - C3 (propane)
Jul - Sep 2026	C3 Swaps	4,000 bbls/day	$		32.13							$	899
Oct - Dec 2026	C3 Collars	4,000 bbls/day						$	31.50	$	35.70	$	882

(a)

We also sold natural gas call swaptions of 50,000 Mmbtu/day for 2028 at a weighted average price of $4.00/Mmbtu that expire in December 2026. The fair value of these contracts as of June 30, 2026, which utilizes Level 3 inputs, was a derivative liability of $657,000.

Combined Fair Value of Derivatives, by Consolidated Balance Sheets

The combined fair value of derivatives included in the accompanying consolidated balance sheets as of June 30, 2026 and December 31, 2025 is summarized below. The assets and liabilities are netted where derivatives with both gain and loss positions are held by a single counterparty and we have master netting arrangements. The tables below provide additional information relating to our master netting arrangements with our derivative counterparties (in thousands):


	June 30, 2026			December 31, 2025
Derivative assets:
Gross amounts of recognized assets	$	151,970		$	87,458
Gross amounts offset in the consolidated balance sheets		(28,627	)		(18,061	)
Net amounts of assets presented in the consolidated balance sheets	$	123,343		$	69,397


	June 30, 2026			December 31, 2025
Derivative (liabilities):
Gross amounts of recognized (liabilities)	$	(32,014	)	$	(21,620	)
Gross amounts offset in the consolidated balance sheets		28,627			18,061
Net amounts of (liabilities) presented in the consolidated balance sheets	$	(3,387	)	$	(3,559	)

Effects of Derivatives on Consolidated Statements of Income

The effects of our derivatives on our consolidated statements of income are summarized below (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026			2025
Natural gas derivatives	$	65,650	$	148,863	$	59,348		$	(9,474	)
NGLs derivatives		4,573		3,289		(5,409	)		2,325
Oil derivatives		3,317		2,595		(13,828	)		2,939
Total derivative fair value income (loss)	$	73,540	$	154,747	$	40,111		$	(4,210	)