Derivative Activities (Tables)

6 Months Ended

Jun. 30, 2016

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Volumes Hedged and Average Hedge Prices

The following table sets forth our commodity-based derivative volumes by year as of June 30, 2016, excluding our basis and freight swaps which are discussed separately below:

Period	Contract Type	Volume Hedged	Weighted Average Hedge Price
Natural Gas
2016	Swaps	788,315 Mmbtu/day	$ 3.22
2017	Swaps	300,000 Mmbtu/day	$ 2.91
2018	Swaps	70,000 Mmbtu/day	$ 2.92
Crude Oil
2016	Swaps	6,000 bbls/day	$ 58.40
2017	Swaps	2,496 bbls/day	$ 51.29
NGLs (C2-Ethane)
2016	Swaps	500 bbls/day	$ 0.22/gallon
2017	Swaps	3,000 bbls/day	$ 0.27/gallon
NGLs (C3-Propane)
2016	Swaps	5,500 bbls/day	$ 0.60/gallon
2017	Swaps	3,966 bbls/day	$ 0.53/gallon
NGLs (NC4-Normal Butane)
2016	Swaps	4,750 bbls/day	$ 0.66/gallon
2017	Swaps	500 bbls/day	$ 0.61/gallon
NGLs (C5-Natural Gasoline)
2016	Swaps	3,500 bbls/day	$ 1.11/gallon
2017	Swaps	1,750 bbls/day	$ 0.97/gallon

Combined Fair Value of Derivatives, by Consolidated Balance Sheets

The combined fair value of derivatives included in the accompanying consolidated balance sheets as of June 30, 2016 and December 31, 2015 is summarized below. The assets and liabilities are netted where derivatives with both gain and loss positions are held by a single counterparty and we have master netting arrangements. The tables below provide additional information relating to our master netting arrangements with our derivative counterparties (in thousands):

		June 30, 2016
		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Balance Sheet			Net Amounts of Assets Presented in the Balance Sheet
Derivative assets:
Natural gas	–swaps	$	48,702	$	(14,875	)	$	33,827
	–basis swaps		3,621		(6,942	)		(3,321	)
Crude oil	–swaps		12,472		(5,312	)		7,160
NGLs	–C2 ethane swaps		51		(201	)		(150	)
	–C3 propane swaps		1,999		(1,391	)		608
	–C3 propane spread swaps		11,964		(8,394	)		3,570
	–NC4 butane swaps		522		(86	)		436
	–C5 natural gasoline swaps		4,281		(2,314	)		1,967
Freight	–swaps		¾		(34	)		(34	)
		$	83,612	$	(39,549	)	$	44,063

		June 30, 2016
		Gross Amounts of  Recognized (Liabilities)			Gross Amounts Offset in the Balance Sheet		Net Amounts of (Liabilities) Presented in the Balance Sheet
Derivative (liabilities):
Natural gas	–swaps	$	(50,780	)	$	14,875	$	(35,905	)
	–basis swaps		(7,446	)		6,942		(504	)
Crude oil	–swaps		(4,108	)		5,312		1,204
NGLs	–C2 ethane swaps		(1,252	)		201		(1,051	)
	–C3 propane swaps		(2,101	)		1,391		(710	)
	–C3 propane spread swaps		(7,988	)		8,394		406
	–NC4 butane swaps		(2,567	)		86		(2,481	)
	–C5 natural gasoline swaps		(3,165	)		2,314		(851	)
Freight	–swaps		(34	)		34		¾
		$	(79,441	)	$	39,549	$	(39,892	)

		December 31, 2015
		Gross Amounts of Recognized  Assets		Gross Amounts Offset in the Balance Sheet			Net Amounts of Assets Presented in the Balance Sheet
Derivative assets:
Natural gas	–swaps	$	219,357	$	(10,245	)	$	209,112
	–basis swaps		8,251		(2,765	)		5,486
Crude oil	–swaps		38,699		¾			38,699
NGLs	–C3 propane swaps		15,884		¾			15,884
	–C3 propane spread swaps		2,497		(2,497	)		¾
	–NC4 butane swaps		6,968		¾			6,968
	–C5 natural gasoline swaps		12,694		(81	)		12,613
		$	304,350	$	(15,588	)	$	288,762

		December 31, 2015
		Gross Amounts of Recognized  (Liabilities)			Gross Amounts Offset in the Balance Sheet		Net Amounts of (Liabilities) Presented in the Balance Sheet
Derivative (liabilities):
Natural gas	–swaps	$	(10,245	)	$	10,245	$	¾
	–basis swaps		(2,786	)		2,765		(21	)
NGLs	–C3 propane spread swap		(3,633	)		2,497		(1,136	)
	–C5 natural gasoline swaps		(81	)		81		¾
		$	(16,745	)	$	15,588	$	(1,157	)

Effects of Derivatives on Consolidated Statements of Operations

The effects of our derivatives on our consolidated statements of operations are summarized below (in thousands):

		Three Months Ended June 30,
		Derivative Fair Value Income (Loss)
		2016			2015
Commodity swaps	$	(158,576	)	$	(42,100	)
Collars		¾			(1,650	)
Basis swaps		(4,199	)		8,959
Freight swaps		(23	)		¾
Total	$	(162,798	)	$	(34,791	)

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		Six Months Ended June 30,
		Derivative Fair Value Income (Loss)
		2016			2015
Commodity swaps	$	(78,931	)	$	83,676
Collars		¾			6,765
Basis swaps		3,075			(2,393	)
Freight swaps		(34	)		¾
Total	$	(75,890	)	$	88,048