Derivative Instruments (Tables)

9 Months Ended

Sep. 30, 2012

Schedule of Outstanding Commodity Derivative Instruments

As of September 30, 2012, the Company had the following outstanding commodity derivative instruments, all of which settle monthly based on the average West Texas Intermediate crude oil index price:

Settlement Period	Derivative Instrument	Total Notional Amount of Oil (Barrels)		Average Swap Price		Average Sub-Floor Price		Average Floor Price		Average Ceiling Price		Fair Value Asset (Liability)
												(In thousands)
2012	Two-Way Collars		819,000					$	88.61	$	105.59	$	975
2012	Three-Way Collars		910,000			$	66.25	$	90.25	$	110.04		841
2012	Swaps		91,000	$	94.61								130
2013	Two-Way Collars		1,782,000					$	86.50	$	98.93		(1,164	)
2013	Three-Way Collars		2,023,420			$	65.30	$	92.51	$	112.63		8,561
2013	Put Spreads		1,717,080			$	70.71	$	91.24				9,931
2013	Swaps		699,000	$	96.41								1,850
2014	Two-Way Collars		139,500					$	86.11	$	97.69		(84	)
2014	Three-Way Collars		1,495,030			$	70.60	$	91.43	$	110.30		3,229
2014	Put Spreads		150,970			$	71.03	$	91.03				1,019
2014	Swaps		62,000	$	96.49								215
2015	Three-Way Collars		124,000			$	71.25	$	91.25	$	109.96		231
												$	25,734

Schedule of Location and Fair Value of Outstanding Commodity Derivative Instruments

The following table summarizes the location and fair value of all outstanding commodity derivative instruments recorded in the balance sheet for the periods presented:

Fair Value of Derivative Instrument Assets (Liabilities)
		Fair Value
Commodity	Balance Sheet Location	September 30, 2012			December 31, 2011
		(In thousands)
Crude oil	Derivative instruments — current assets	$	17,320		$	—
Crude oil	Derivative instruments — non-current assets		10,047			4,362
Crude oil	Derivative instruments — current liabilities		(1,273	)		(5,907	)
Crude oil	Derivative instruments — non-current liabilities		(360	)		(3,505	)
Total derivative instruments		$	25,734		$	(5,050	)

Realized and Unrealized Gains and Losses From Commodity Derivative Instruments

The following table summarizes the location and amounts of realized and unrealized gains and losses from the Company’s commodity derivative instruments for the periods presented:

		Three Months Ended September 30,						Nine Months Ended September 30,
	Income Statement Location	2012			2011			2012		2011
		(In thousands)						(In thousands)
Change in unrealized gain (loss) on derivative instruments	Net gain (loss) on derivative instruments	$	(27,690	)	$	71,403		$	30,784	$	71,936
Realized gain (loss) on derivative instruments	Net gain (loss) on derivative instruments		5,249			(179	)		2,784		(4,831	)
Total net gain (loss) on derivative instruments		$	(22,441	)	$	71,224		$	33,568	$	67,105