Derivative Instruments (Tables)
|
6 Months Ended |
Jun. 30, 2026 |
|---|
| Derivative Instruments [Abstract] |
|
| Outstanding Crude Oil and Natural Gas Derivative Contracts in Place |
As of June 30, 2026, the Company had the following outstanding crude oil and natural gas derivative contracts in place, which settle monthly and are indexed to NYMEX West Texas Intermediate, NYMEX Henry Hub, and Mount Belvieu OPIS, respectively:
| |
|
Settling
July 1, 2026
through
December 31,
2026
|
|
|
Settling
January 1,
2027
through
December 31,
2027
|
|
|
Settling
January 1,
2028
through
December 31,
2028
|
|
|
Settling
January 1,
2029
through
December 31,
2029
|
|
|
Crude Oil Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
2,651,848 |
|
|
|
4,662,503 |
|
|
|
2,862,307 |
|
|
|
210,000 |
|
|
Weighted average price ($/Bbl)
|
|
$
|
63.09 |
|
|
$
|
62.51 |
|
|
$
|
62.17 |
|
|
$
|
61.57 |
|
|
Natural Gas Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (MMBtus)
|
|
|
7,584,322 |
|
|
|
14,082,126 |
|
|
|
5,606,357 |
|
|
|
400,000 |
|
|
Weighted average price ($/MMBtu)
|
|
$
|
4.08 |
|
|
$
|
4.08 |
|
|
$
|
4.02 |
|
|
$
|
4.11 |
|
|
Ethane Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
215,747 |
|
|
|
400,675 |
|
|
|
220,109 |
|
|
|
— |
|
|
Weighted average price ($/Bbl)
|
|
$
|
11.22 |
|
|
$
|
10.70 |
|
|
$
|
9.96 |
|
|
$
|
— |
|
|
Propane Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
293,113 |
|
|
|
522,684 |
|
|
|
199,160 |
|
|
|
— |
|
|
Weighted average price ($/Bbl)
|
|
$
|
28.69 |
|
|
$
|
26.85 |
|
|
$
|
25.93 |
|
|
$
|
— |
|
|
Iso Butane Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
41,114 |
|
|
|
74,572 |
|
|
|
35,088 |
|
|
|
— |
|
|
Weighted average price ($/Bbl)
|
|
$
|
35.41 |
|
|
$
|
31.77 |
|
|
$
|
30.77 |
|
|
$
|
— |
|
|
Normal Butane Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
103,276 |
|
|
|
184,140 |
|
|
|
74,903 |
|
|
|
— |
|
|
Weighted average price ($/Bbl)
|
|
$
|
35.81 |
|
|
$
|
31.95 |
|
|
$
|
30.36 |
|
|
$
|
— |
|
|
Pentane Plus Swaps:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notional volume (Bbls)
|
|
|
86,958
|
|
|
|
160,242 |
|
|
|
78,806 |
|
|
|
— |
|
|
Weighted average price ($/Bbl)
|
|
$
|
55.12 |
|
|
$
|
53.31 |
|
|
$
|
52.81 |
|
|
$
|
— |
|
|
| Gross and Net Fair Values of Derivative Instruments |
The following tables present the gross and net fair values of the Company’s derivative instruments recognized on the condensed consolidated balance sheets for the periods presented:
| |
|
June 30, 2026
|
|
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|
Gross Amounts
Recognized
|
|
|
Gross Amounts
Offset in the
Condensed
Consolidated
Balance Sheet
|
|
|
Net Amounts
Presented on
the Condensed
Consolidated
Balance Sheet
|
|
| |
|
(In thousands)
|
|
|
Current derivative assets
|
|
$
|
11,359 |
|
|
$
|
(11,359 |
)
|
|
$
|
— |
|
|
Long-term derivative assets
|
|
$
|
7,254 |
|
|
$
|
(7,254 |
)
|
|
$
|
— |
|
| |
|
|
|
|
|
|
|
|
|
|
|
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|
Current derivative liabilities
|
|
$
|
(28,313 |
)
|
|
$
|
11,359 |
|
|
$
|
(16,954 |
)
|
|
Long-term derivative liabilities
|
|
$
|
(21,966 |
)
|
|
$
|
7,254 |
|
|
$
|
(14,711 |
)
|
| |
|
December 31, 2025
|
|
| |
|
Gross Amounts
Recognized
|
|
|
Gross Amounts
Offset in the
Condensed
Consolidated
Balance Sheet
|
|
|
Net Amounts
Presented on
the Condensed
Consolidated
Balance Sheet
|
|
| |
|
(In thousands)
|
|
|
Current derivative assets
|
|
$
|
30,126 |
|
|
$
|
(1,314 |
)
|
|
$
|
28,812 |
|
|
Long-term derivative assets
|
|
$
|
26,852 |
|
|
$
|
(2,225 |
)
|
|
$
|
24,627 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
Current derivative liabilities
|
|
$
|
(1,314 |
)
|
|
$
|
1,314 |
|
|
$
|
— |
|
|
Long-term derivative liabilities
|
|
$
|
(2,225 |
)
|
|
$
|
2,225 |
|
|
$
|
— |
|
|
| Components of Realized Gain on Derivatives and Unrealized Gain on Derivatives |
The following table presents the components of the gain (loss) on derivatives, net reflected on the accompanying condensed consolidated statements of operations for the periods indicated:
| |
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
| |
|
2026
|
|
|
2025
|
|
|
2026
|
|
|
2025
|
|
| |
|
(In thousands)
|
|
|
Cash (paid) received for derivative settlements, net:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil
|
|
$
|
(34,146 |
)
|
|
$
|
4,150 |
|
|
$
|
(45,523 |
)
|
|
$
|
3,630 |
|
|
Natural gas
|
|
|
3,647 |
|
|
|
1,223 |
|
|
|
1,126 |
|
|
|
961 |
|
|
NGLs
|
|
|
(2,201 |
)
|
|
|
(429 |
)
|
|
|
(2,480 |
)
|
|
|
(429 |
)
|
|
Total cash (paid) received for derivative settlements, net:
|
|
$
|
(32,700 |
)
|
|
$
|
4,944 |
|
|
$
|
(46,877 |
)
|
|
$
|
4,162 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Non-cash gain (loss) on derivatives:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Crude oil
|
|
$
|
67,071 |
|
|
$
|
22,332 |
|
|
$
|
(83,503 |
)
|
|
$
|
23,406 |
|
|
Natural gas
|
|
|
3,259 |
|
|
|
3,375 |
|
|
|
5,625 |
|
|
|
2,185 |
|
|
NGLs
|
|
|
7,450 |
|
|
|
(2,501 |
)
|
|
|
(7,226 |
)
|
|
|
(2,501 |
)
|
|
Total non-cash gain (loss) on derivatives
|
|
$ |
77,779 |
|
|
$ |
23,206 |
|
|
$ |
(85,104 |
)
|
|
$ |
23,090 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total gain (loss) on derivatives, net
|
|
$
|
45,079 |
|
|
$
|
|
|
|
$
|
(131,981 |
)
|
|
$
|
27,252 |
|
|