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Price-Risk Management Price-Risk Management (Notes)
 6 Months Ended
Jun. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Price-Risk Management Activities
(8)          Price-Risk Management Activities

        Derivatives are recorded on the balance sheet at fair value with changes in fair value recognized in earnings. The changes in the fair value of our derivatives are recognized in “Gain (loss) on commodity derivatives, net” on the accompanying condensed consolidated statements of operations. We have a price-risk management policy to use derivative instruments to protect against declines in oil and natural gas prices, primarily through the purchase of commodity price swaps and collars as well as basis swaps.

During the three months ended June 30, 2020 and 2019, the Company recorded losses of $8.5 million and gains of $25.0 million, respectively, on its commodity derivatives. During the six months ended June 30, 2020 and 2019, the Company recorded gains of $79.8 million and $20.9 million, respectively. The Company collected cash payments of $67.5 million and $4.4 million for settled derivative contracts during the six months ended June 30, 2020 and 2019, respectively. Included in our collected cash payments during the six months ended June 30, 2020 was $38.3 million for monetized derivative contracts.

At June 30, 2020, there were $4.7 million in receivables for settled derivatives while at December 31, 2019, we had $2.9 million in receivables for settled derivatives which were included on the accompanying condensed consolidated balance sheet in “Accounts receivable, net” and were subsequently collected in July 2020 and January 2020, respectively. At June 30, 2020 and December 31, 2019, we also had less than $0.1 million and $0.2 million, respectively, in payables for settled
derivatives which were included on the accompanying condensed consolidated balance sheet in “Accounts payable and accrued liabilities” and were subsequently paid in July 2020 and January 2020, respectively.

The fair values of our swap contracts are computed using observable market data whereas our collar contracts are valued using a Black-Scholes pricing model and are periodically verified against quotes from brokers. At June 30, 2020, there was $20.8 million and $4.7 million in current unsettled derivative assets and long-term unsettled derivative assets, respectively, and $4.2 million and $2.4 million in current and long-term unsettled derivative liabilities, respectively. At December 31, 2019, there was $12.8 million and $3.9 million in current and long-term unsettled derivative assets, respectively, and $6.6 million and $1.6 million in current and long-term unsettled derivative liabilities, respectively.

The Company uses an International Swap and Derivatives Association master agreement for our derivative contracts. This is an industry-standardized contract containing the general conditions of our derivative transactions including provisions relating to netting derivative settlement payments under certain circumstances (such as default). For reporting purposes, the Company has elected to not offset the asset and liability fair value amounts of its derivatives on the accompanying balance sheets. Under the right of set-off, there was a $18.8 million net fair value asset at June 30, 2020, and a $8.4 million net fair value asset at December 31, 2019. For further discussion related to the fair value of the Company's derivatives, refer to Note 9 of these Notes to Condensed Consolidated Financial Statements.

The following tables summarize the weighted-average prices as well as future production volumes for our future derivative contracts in place as of June 30, 2020:
Oil Derivative Swaps
(New York Mercantile Exchange (“NYMEX”) WTI Settlements)		Total Volumes
(Bbls)		Weighted-Average PriceWeighted-Average Collar Floor Price Weighted-Average Collar Call Price
2020 Contracts
3Q20354,338  $50.30  
4Q20353,626  $47.72  
2021 Contracts
1Q21215,538  $51.93  
2Q21195,646  $51.93  
3Q21179,759  $51.19  
4Q21163,812  $52.39  
Collar Contracts
2020 Contracts
3Q2062,350  $30.00  $35.38  
4Q20115,000  $31.00  $36.15  
2021 Contracts
1Q21161,475  $34.29  $39.36  
2Q21136,230  $34.92  $40.68  
3Q2190,620  $34.34  $39.87  
4Q2184,640  $34.70  $41.01  
Natural Gas Derivative Contracts
(NYMEX Henry Hub Settlements)		Total Volumes
(MMBtu)		Weighted-Average PriceWeighted-Average Collar Floor Price Weighted-Average Collar Call Price
2020 Contracts
3Q207,575,000  $2.60  
4Q207,817,000  $2.63  
2021 Contracts
1Q212,398,078  $2.74  
2Q21832,255  $2.42  
3Q21640,000  $2.26  
4Q21290,000  $2.69  
Collar Contracts
2020 Contracts
4Q20310,000  $2.60  $3.06  
2021 Contracts
1Q217,027,800  $2.53  $3.33  
2Q214,546,000  $2.18  $2.69  
3Q214,665,175  $2.02  $2.65  
4Q214,391,000  $2.25  $2.71  
Natural Gas Basis Derivative Swap
(East Texas Houston Ship Channel vs. NYMEX Settlements)		Total Volumes
(MMBtu)		Weighted-Average Price
2020 Contracts
3Q2011,868,000  $(0.07) 
4Q2011,868,000  $(0.04) 
2021 Contracts
1Q218,100,000  $(0.01) 
2Q218,190,000  $(0.01) 
3Q218,280,000  $(0.01) 
4Q218,280,000  $(0.01) 
Oil Basis Contracts
(Calendar Monthly Roll Differential Swaps)		Total Volumes (Bbls)Weighted-Average Price
2020 Contracts
3Q20821,525  $1.43  
4Q20935,175  $0.59  
2021 Contracts
1Q21749,750  $0.41  
2Q21634,050  $0.43  
3Q21515,200  $0.48  
4Q21483,000  $0.47  
NGL ContractsTotal Volumes
(Bbls)		Weighted-Average Price
2020 Contracts
3Q2035,119  $12.50