Annual report pursuant to Section 13 and 15(d)

Derivative Financial Instruments (Tables)

v3.3.1.900
Derivative Financial Instruments (Tables)
12 Months Ended
Dec. 31, 2015
Derivative Instruments And Hedging Activities Disclosure [Abstract]  
Open Commodity Derivatives

As of December 31, 2015, our open commodity derivative contracts were as follows:

 

Crude Oil:  Two-way collars, Priced off WTI (NYMEX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notional

 

 

Notional

 

 

Weighted Average Contract Price

 

 

 

 

Quantity

 

 

Quantity

 

 

Put Option

 

 

Call Option

 

Termination Period

 

(Bbls/day) (1)

 

 

(Bbls) (1)

 

 

(Bought)

 

 

(Sold)

 

2016:

1st Quarter

 

 

5,000

 

 

 

455,000

 

 

$

40.00

 

 

$

81.47

 

 

2nd Quarter

 

 

5,000

 

 

 

455,000

 

 

 

40.00

 

 

 

81.47

 

 

3rd Quarter

 

 

5,000

 

 

 

460,000

 

 

 

40.00

 

 

 

81.47

 

 

4th Quarter

 

 

5,000

 

 

 

460,000

 

 

 

40.00

 

 

 

81.47

 

 

 

 

 

 

 

 

 

1,830,000

 

 

 

40.00

 

 

 

81.47

 

 

Natural Gas:  Three-way collars, Priced off Henry Hub (NYMEX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notional

 

 

Notional

 

 

Weighted Average Contract Price

 

 

 

 

Quantity

 

 

Quantity

 

 

Put Option

 

 

Call Option

 

 

Call Option

 

Termination Period

 

(MMBTUs/day) (1)

 

 

(MMBTUs) (1)

 

 

(Bought)

 

 

(Sold)

 

 

(Bought)

 

2016:

1st Quarter (2)

 

 

40,000

 

 

 

2,400,000

 

 

$

2.25

 

 

$

3.50

 

 

$

3.77

 

 

   2nd Quarter

 

 

40,000

 

 

 

3,640,000

 

 

 

2.25

 

 

 

3.50

 

 

 

3.77

 

 

   3rd Quarter

 

 

40,000

 

 

 

3,680,000

 

 

 

2.25

 

 

 

3.50

 

 

 

3.77

 

 

   4th Quarter

 

 

40,000

 

 

 

3,680,000

 

 

 

2.25

 

 

 

3.50

 

 

 

3.77

 

 

 

 

 

 

 

 

 

13,400,000

 

 

 

2.25

 

 

 

3.50

 

 

 

3.77

 

 

 

(1)

Volume Measurements:   Bbls – barrelsMMBTUs – million British Thermal Units.

 

(2)

The natural gas derivative contracts are priced and closed in the last week prior to the related production month.  Natural gas derivative contracts related to January 2016 production were priced and closed in December 2015 and are excluded in the above table as these were closed contracts as of December 31, 2015.

 

Estimated Fair Value of Derivative Contracts

The following balance sheet line items included amounts related to the estimated fair value of our open commodity derivative contracts as reported in the following table (in thousands):

 

December 31,

 

 

2015

 

 

2014

 

Prepaid and other assets - current

$

7,672

 

 

$

 

 

Changes in Fair Value and Settlements of Commodity Derivative Contracts

Changes in the fair value and settlements of our commodity derivative contracts were as follows (in thousands):

 

Year Ended December 31,

 

 

2015

 

 

2014

 

 

2013

 

Derivative (gain) loss:

$

(14,375

)

 

$

(3,965

)

 

$

8,470

 

 

Cash Payments on Derivative Settlements, Net Included within Net Cash Provided by Operating Activities

Cash receipts (payments), net, on commodity derivative contract settlements are included within Net cash provided by operating activities on the Consolidated Statements of Cash Flows and were as follows (in thousands):

 

Year Ended December 31,

 

 

2015

 

 

2014

 

 

2013

 

Cash receipts (payments) on derivative settlements, net

$

6,703

 

 

$

(5,318

)

 

$

(8,589

)