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Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2015
Fair Value Disclosures [Abstract]  
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following fair value hierarchy tables present information about Energen’s assets and liabilities measured at fair value on a recurring basis:

 
March 31, 2015
(in thousands)
Level 2
Level 3
Total
Assets:
 
 
 
Derivative instruments
$
256,419

$
16,256

$
272,675

Total assets
256,419

16,256

272,675

Liabilities:
 
 
 
Derivative instruments
—

(12,870
)
(12,870
)
Noncurrent derivative instruments
—

(973
)
(973
)
Total liabilities
—

(13,843
)
(13,843
)
Net derivative asset
$
256,419

$
2,413

$
258,832


 
December 31, 2014
(in thousands)
Level 2
Level 3
Total
Assets:
 
 
 
Derivative instruments
$
294,865

$
27,472

$
322,337

Total assets
294,865

27,472

322,337

Liabilities:
 
 
 
Derivative instruments
2,048

(3,036
)
(988
)
Total liabilities
2,048

(3,036
)
(988
)
Net derivative asset
$
296,913

$
24,436

$
321,349
Schedule of Changes in Fair Value of Derivative Instruments Classified as Level 3
The tables below set forth a summary of changes in the fair value of Energen’s Level 3 derivative commodity instruments as follows:

 
Three months ended
 
March 31,
(in thousands)
2015
2014
Balance at beginning of period
$
24,436

$
18,289

Realized gains (losses)
13,153

(3,019
)
Unrealized losses relating to instruments held at the reporting date*
(22,023
)
(16,835
)
Settlements during period
(13,153
)
2,943

Balance at end of period
$
2,413

$
1,378

*Includes $10.3 million and $13.2 million in mark-to-market losses for the three months ended March 31, 2015 and 2014, respectively.
Schedule of Fair Value Inputs, Derivatives, Quantitative Information
The table below sets forth quantitative information about Energen’s Level 3 fair value measurements of derivative commodity instruments as follows:

(in thousands, except price data)
Fair Value as of March 31, 2015
Valuation Technique*
Unobservable Input*
Range
Oil Basis - WTS/WTI
 
 
 
 
2015
$
(6,401
)
Discounted Cash Flow
Forward Basis
($0.33 - $0.39) Bbl
2016
$
(410
)
Discounted Cash Flow
Forward Basis
($1.40) Bbl
Oil Basis - WTI/WTI
 
 
 
 
2015
$
(21,257
)
Discounted Cash Flow
Forward Basis
($0.71 - $0.91) Bbl
2016
$
(1,162
)
Discounted Cash Flow
Forward Basis
($1.75 - $1.95) Bbl
Natural Gas Basis - San Juan
 
 
 
 
2015
$
24,223

Discounted Cash Flow
Forward Basis
($0.23 - $0.25) Mcf
Natural Gas Basis - Permian
 
 
 
 
2015
$
7,420

Discounted Cash Flow
Forward Basis
($0.24) Mcf
*Discounted cash flow represents an income approach in calculating fair value including the referenced unobservable input and a discount reflecting credit quality of the counterparty.