DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables)

3 Months Ended

Mar. 31, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The following tables illustrate our derivative positions for calendar years 2018 and 2019 as of May 7, 2018:



		Put Contracts (NYMEX)
		Oil
		Daily Volume (Bbls/d)	Price ($ per Bbl)
2018	January - December	1,000	$	54.00
2018	January - December	1,000	45.00



		Fixed-Price Swaps (NYMEX)
		Oil
		Daily Volume (Bbls/d)	Swap Price ($ per Bbl)
2018	January - December	1,000	$	52.50
2018	January - December	1,000	51.98
2018	January - December	1,000	53.67
2019	January - December	1,000	51.00
2019	January - December	1,000	51.57
2019	January - December	2,000	56.13



		Collar Contracts (NYMEX)
		Natural Gas					Oil
		Daily Volume (MMBtus/d)	Floor Price ($ per MMBtu)		Ceiling Price ($ per MMBtu)		Daily Volume (Bbls/d)	Floor Price ($ per Bbl)		Ceiling Price ($ per Bbl)
2018	January - December	6,000	$	2.75	$	3.24	1,000	$	45.00	$	55.35

Gains or Losses Related to Changes in Fair Value and Cash Settlements on Derivatives Not Qualifying as Hedging Instruments

The following tables disclose the location and fair value amounts of derivatives not designated or not qualifying as hedging instruments, as reported in our balance sheet, at March 31, 2018 (Successor) and December 31, 2017 (Successor) (in thousands).



Fair Value of Derivatives Not Designated or Not Qualifying as Hedging Instruments at
March 31, 2018
(Successor)
	Asset Derivatives			Liability Derivatives
Description	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Commodity contracts	Current assets: Fair value of derivative contracts	$	417	Current liabilities: Fair value of derivative contracts	$	13,147
	Long-term assets: Fair value of derivative contracts	—		Long-term liabilities: Fair value of derivative contracts	4,564
		$	417		$	17,711


Fair Value of Derivatives Not Designated or Not Qualifying as Hedging Instruments at
December 31, 2017
(Successor)
	Asset Derivatives			Liability Derivatives
Description	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Commodity contracts	Current assets: Fair value of derivative contracts	$	879	Current liabilities: Fair value of derivative contracts	$	8,969
	Long-term assets: Fair value of derivative contracts	—		Long-term liabilities: Fair value of derivative contracts	3,085
		$	879		$	12,054

Before Tax Effect of Derivative Instruments in Statement of Operations

The following table discloses the before tax effect of our derivatives not designated or not qualifying as hedging instruments on the statement of operations for the three months ended March 31, 2018 (Successor), the period from January 1, 2017 through February 28, 2017 (Predecessor) and the period from March 1, 2017 through March 31, 2017 (Successor) (in thousands).



Gain (Loss) Recognized in Derivative Income (Expense)
	Successor					Predecessor
	Three Months Ended March 31, 2018			Period from March 1, 2017 through March 31, 2017		Period from January 1, 2017 through February 28, 2017
Description
Commodity contracts:
Cash settlements	$	(3,429	)	$	161	$	—
Change in fair value	(6,119		)	2,485		(1,778		)
Total gains (losses) on derivatives not designated or not qualifying as hedging instruments	$	(9,548	)	$	2,646	$	(1,778	)

Summary of Offsetting Liabilities

The following tables present the potential impact of the offset rights associated with our recognized assets and liabilities at March 31, 2018 (Successor) and December 31, 2017 (Successor) (in thousands):



	March 31, 2018 (Successor)
	As Presented Without Netting			Effects of Netting			With Effects of Netting
Current assets: Fair value of derivative contracts	$	417		$	(417	)	$	—
Long-term assets: Fair value of derivative contracts	—			—			—
Current liabilities: Fair value of derivative contracts	(13,147		)	417			(12,730		)
Long-term liabilities: Fair value of derivative contracts	(4,564		)	—			(4,564		)



	December 31, 2017 (Successor)
	As Presented Without Netting			Effects of Netting			With Effects of Netting
Current assets: Fair value of derivative contracts	$	879		$	(879	)	$	—
Long-term assets: Fair value of derivative contracts	—			—			—
Current liabilities: Fair value of derivative contracts	(8,969		)	879			(8,090		)
Long-term liabilities: Fair value of derivative contracts	(3,085		)	—			(3,085		)

Summary of Offsetting Assets



	March 31, 2018 (Successor)
	As Presented Without Netting			Effects of Netting			With Effects of Netting
Current assets: Fair value of derivative contracts	$	417		$	(417	)	$	—
Long-term assets: Fair value of derivative contracts	—			—			—
Current liabilities: Fair value of derivative contracts	(13,147		)	417			(12,730		)
Long-term liabilities: Fair value of derivative contracts	(4,564		)	—			(4,564		)



	December 31, 2017 (Successor)
	As Presented Without Netting			Effects of Netting			With Effects of Netting
Current assets: Fair value of derivative contracts	$	879		$	(879	)	$	—
Long-term assets: Fair value of derivative contracts	—			—			—
Current liabilities: Fair value of derivative contracts	(8,969		)	879			(8,090		)
Long-term liabilities: Fair value of derivative contracts	(3,085		)	—			(3,085		)

STONE ENERGY CORP 10-Q