Crescent Energy discloses derivative cash outflows and an updated hedge book

what happened

Crescent Energy (CRGY) said in a Form 8-K filed with the SEC on October 15, 2026, that its total cash paid on commodity derivatives should reach roughly $144 million for the third quarter of 2026 and about $383 million for the first nine months. Net settlements on the hedges alone came to $160 million and $504 million, partly offset by $33 million and $156 million received on derivative contracts inherited through the SilverBow and Vital mergers. The company also paid $17 million and $35 million to settle contingent earn-out consideration tied to the Ridgemar acquisition.

A separate disclosure, labeled Regulation FD by its publisher, lays out the net volume positions as of September 30, 2026, including hedges added through October 9. For WTI, swaps covering 2026 total 5,253 thousand barrels at an average fixed price of $64.62, while 2027 swaps cover 21,915 thousand barrels at $75.73. On natural gas, 2026 swaps total 22,540 thousand MMBtu at $4.10.

The company stressed that these dollar amounts are preliminary and may change. Final results for the three and nine months will appear in its Form 10-Q for the period.

why it matters

For the market, the derivative payments reduce Crescent's cash flow in 2026, while fixed-price swaps and collars set part of its future production revenue in advance. That caps the benefit from higher WTI prices but also limits exposure to a decline. The company reports these hedge settlements as additions to Adjusted EBITDAX, so they feed directly into that closely watched earnings measure.

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