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Oil and Natural Gas Properties
 9 Months Ended
Sep. 30, 2024
Extractive Industries [Abstract]  
Oil and Natural Gas Properties Oil and Natural Gas Properties
Oil and natural gas properties are summarized below:
September 30, 2024December 31, 2023
(In thousands)
Proved$999,637 $895,783 
Unproved113,372 100,216 
Work-in-progress17,387 57,004 
1,130,396 1,053,003 
Accumulated depletion, amortization and impairment(258,400)(206,102)
Total oil and natural gas properties, net$871,996 $846,901 
Depletion and amortization expense for proved oil and natural gas properties was $18.8 million and $17.8 million, respectively, for the three months ended September 30, 2024, and 2023, and $52.3 million and $44.6 million, respectively, for the nine months ended September 30, 2024, and 2023.
Impairment of EOR Project
The cost of proved and unproved oil and natural gas properties are assessed for impairment at least annually or whenever events and circumstances indicate that a decline in the recoverability of their carrying value may have occurred. We compare the undiscounted future cash flows of the oil, natural gas and NGL properties to the carrying amount of the oil, natural gas and NGL properties to determine if the carrying amount is recoverable. If the carrying amount exceeds the estimated undiscounted future cash flows, we adjust the carrying amount of the oil, natural gas and NGL properties to their estimated fair value which is considered a Level 3 measurement. As part of the impairment review during the third quarter, the Company made the decision to discontinue its EOR Project, which was in work-in-process, in favor of redeploying the required future capital and salvaging the assets for use in its conventional vertical and horizontal development programs. As a result of this decision, the remaining fair value for the EOR Project was determined to be zero and the Company recorded a non-cash impairment charge of $28.9 million and a cash impairment charge of $1.3 million related to the termination of the Kinder Morgan CO2 contract. The total $30.2 million impairment is included in other impairments in the accompanying condensed consolidated statements of operations.