Fair Value (Tables)
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6 Months Ended |
Jun. 30, 2026 |
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| Fair Value Disclosures [Abstract] |
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| Schedule of Estimated Fair Values and Carrying Values of Other Financial Instruments |
The following are estimated fair values and carrying values of our other financial instruments at each of these dates:
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Asset (Liability) |
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June 30, 2026 |
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December 31, 2025 |
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(in thousands) |
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Carrying
Amount |
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Fair
Value |
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Carrying
Amount |
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Fair
Value |
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Note receivable from related party |
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$ |
7,168 |
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$ |
7,168 |
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$ |
7,131 |
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$ |
7,131 |
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Long-term debt |
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$ |
(270,100 |
) |
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$ |
(270,100 |
) |
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$ |
(291,100 |
) |
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$ |
(291,100 |
) |
Derivative asset |
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$ |
9,654 |
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$ |
9,654 |
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$ |
23,852 |
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$ |
23,852 |
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Derivative liability |
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$ |
(26,902 |
) |
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$ |
(26,902 |
) |
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$ |
(5,092 |
) |
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$ |
(5,092 |
) |
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| Schedule of Fair Value Measurements and the Level Within the Fair Value Hierarchy |
The following table summarizes our fair value measurements and the level within the fair value hierarchy in which the fair value measurements fall.
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Fair Value Measurements |
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June 30, 2026 |
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December 31, 2025 |
(in thousands) |
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Significant
Other
Observable
Inputs
(Level 2) |
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Significant
Other
Observable
Inputs
(Level 2) |
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Note receivable from related party |
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$ |
7,168 |
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$ |
7,131 |
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Long-term debt |
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$ |
(270,100 |
) |
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$ |
(291,100 |
) |
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Derivative asset |
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$ |
9,654 |
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$ |
23,852 |
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Derivative liability |
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$ |
(26,902 |
) |
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$ |
(5,092 |
) |
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| Schedule of Fair Value of Derivative Contracts |
The fair value of our derivatives contracts consists of the following:
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Asset Derivatives |
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Liability Derivatives |
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(in thousands) |
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June 30,
2026 |
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December 31,
2025 |
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June 30,
2026 |
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December 31,
2025 |
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Derivatives not designated as hedging instruments: |
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Crude oil futures and differential swaps |
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$ |
568 |
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$ |
21,771 |
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$ |
(21,032 |
) |
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$ |
— |
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Natural gas liquids futures |
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$ |
57 |
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$ |
19 |
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$ |
— |
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$ |
— |
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Natural gas futures, collars and basis swaps |
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$ |
9,029 |
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$ |
2,062 |
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$ |
(5,870 |
) |
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$ |
(5,092 |
) |
Total |
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$ |
9,654 |
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$ |
23,852 |
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$ |
(26,902 |
) |
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$ |
(5,092 |
) |
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| Schedule of Fair Value of Derivative Gain (Loss) Included Earnings |
Derivative fair value (gain) loss, included as part of the related revenue line on the consolidated income statements, comprises the following components:
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Three Months Ended June 30, |
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Six Months Ended June 30, |
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(in thousands) |
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2026 |
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2025 |
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2026 |
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2025 |
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Net cash paid to (received from) counterparties |
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$ |
23,184 |
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$ |
(7,400 |
) |
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$ |
38,828 |
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$ |
(5,504 |
) |
Non-cash change in derivative fair value |
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$ |
(39,628 |
) |
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$ |
(7,435 |
) |
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$ |
36,008 |
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$ |
156 |
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Derivative fair value (gain) loss |
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$ |
(16,444 |
) |
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$ |
(14,835 |
) |
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$ |
74,836 |
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$ |
(5,348 |
) |
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