|
The table below summarizes the activity for the Company’s ARO:
|
|
|
|
|
|
Nine Months Ended |
|
September 30, 2019 |
Asset retirement obligations at January 1, 2019 |
$ |
14,292 |
|
Accretion expense |
585 |
|
Liabilities incurred |
325 |
|
Liabilities settled |
(3,187 |
) |
Dispositions |
(1,753 |
) |
Revisions to estimate |
(718 |
) |
Asset retirement obligations at end of period |
9,544 |
|
Less: Current asset retirement obligations |
(1,250 |
) |
Long-term asset retirement obligations at September 30, 2019 |
$ |
8,294 |
|
|
|
• |
Liabilities incurred include additions from acquisitions, asset swaps, and new wells drilled during the year.
|
|
|
• |
Liabilities settled include the retirement of 28 wells during the year and settlement of abandonment obligations attributable to historical activity within the Gulf of Mexico.
|
|
|
• |
Dispositions are primarily attributable to the Ranger Asset Divestiture in the second quarter of 2019. See Note 3 for details about the Ranger Asset Divestiture.
|
•
Revisions to estimates were due to changes in plugging cost estimates, timing of abandonment activities, and changes in working interest of producing wells.
|