Derivatives (Tables)

6 Months Ended

Jun. 30, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instrument Activity

The following table summarizes information about these additional commodity derivative contracts:

	Aggregate volumes	Swap price		Floor price		Ceiling price		Contract period
Oil (volumes in Bbl):
Swap	288,000	$	103.56	$	—	$	—	July 2014 - December 2014
Swap	672,000	$	96.56	$	—	$	—	January 2015 - December 2015
Price collar	696,000	$	—	$	80.00	$	100.20	January 2016 - December 2016
Swap	640,500	$	84.85	$	—	$	—	January 2016 - December 2016
Swap	933,300	$	84.80	$	—	$	—	January 2016 - December 2016
Natural gas (volumes in MMBtu):
Swap(1)	5,508,000	$	4.32	$	—	$	—	March 2014 - December 2014
Price collar(1)	3,797,500	$	—	$	4.00	$	5.50	May 2014 - December 2014
Price collar(1)	20,440,000	$	—	$	3.00	$	5.95	January 2015 - December 2015
Price collar(1)	18,666,000	$	—	$	3.00	$	5.60	January 2016 - December 2016

______________________________________________________________________________

(1)These natural gas derivatives are settled based on the Inside FERC West Texas Waha index price for the calculation period.

Summary of open positions and derivatives in place

The following table summarizes open positions as of June 30, 2014, and represents, as of such date, derivatives in place through December 2016, on annual production volumes:

	Remaining Year 2014			Year 2015		Year 2016
Oil positions:
Puts:
Hedged volume (Bbl)	270,000			456,000		—
Weighted-average price ($/Bbl)	$	75.00		$	75.00	$	—
Swaps:
Hedged volume (Bbl)	1,371,998			672,000		1,573,800
Weighted-average price ($/Bbl)	$	96.35		$	96.56	$	84.82
Collars:
Hedged volume (Bbl)	1,473,000			6,557,020		2,556,000
Weighted-average floor price ($/Bbl)	$	86.42		$	79.81	$	80.00
Weighted-average ceiling price ($/Bbl)	$	104.89		$	95.40	$	93.77
Basis swaps:
Hedged volume(1) (Bbl)	1,104,000			—		—
Weighted-average price(1) ($/Bbl)	$	(1.00	)	$	—	$	—
Natural gas positions:
Swaps:
Hedged volume (MMBtu)	3,312,000			—		—
Weighted-average price ($/MMBtu)	$	4.32		$	—	$	—
Collars:
Hedged volume (MMBtu)	7,652,000			28,600,000		18,666,000
Weighted-average floor price ($/MMBtu)	$	3.37		$	3.00	$	3.00
Weighted-average ceiling price ($/MMBtu)	$	5.50		$	5.96	$	5.60

_______________________________________________________________________________

(1) The associated oil basis swap derivative is settled based on the differential between the WTI Argus index oil price and the Midland Argus oil futures.

Schedule of gains and losses on derivative instruments

The following represents cash settlements (paid) received for matured derivatives for the periods presented:

	Three months ended June 30,						Six months ended June 30,
(in thousands)	2014			2013			2014			2013
Commodity derivatives (paid) received	$	(4,420	)	$	1,086		$	(5,851	)	$	4,863
Interest rate derivatives paid	—			(105		)	—			(206		)
Cash settlements (paid) received for matured derivatives, net	$	(4,420	)	$	981		$	(5,851	)	$	4,657

Summary of derivatives outstanding on a gross basis

The following summarizes the fair value of derivatives outstanding on a gross basis as of June 30, 2014 and December 31, 2013, respectively:

(in thousands)	June 30, 2014			December 31, 2013
Assets:
Commodity derivatives:
Oil derivatives	$	20,484		$	140,496
Natural gas derivatives	2,125			657
Total assets	$	22,609		$	141,153
Liabilities:
Commodity derivatives:
Oil derivatives(1)	$	96,749		$	56,818
Natural gas derivatives(2)	5,191			2,278
Total liabilities	$	101,940		$	59,096
Net derivative position	$	(79,331	)	$	82,057

______________________________________________________________________________

(1) The oil derivatives fair value includes a deferred premium liability of $7.9 million and $11.1 million as of June 30, 2014 and December 31, 2013, respectively.

(2) The natural gas derivatives fair value includes a deferred premium liability of $1.1 million and $1.6 million as of June 30, 2014 and December 31, 2013, respectively.