Transactions with Related Parties

12 Months Ended

Dec. 31, 2020

Transactions with related parties were as follows:


	Year Ended December 31,
	2020		2019		2018
Revenues:
Sales of CO2 to Sandhill Group, LLC (1)	$	—	$	—	$	1,233
Revenues from services and fees to Poseidon Oil Pipeline Company, LLC (2)	12,902		12,669		12,557
Revenues from product sales to ANSAC	236,408		367,133		373,606



Expenses:
Amounts paid to our CEO in connection with the use of his aircraft	$	660	$	660	$	660
Charges for products purchased from Poseidon Oil Pipeline Company, LLC (2)	960		975		994
Charges for services from ANSAC	2,460		4,446		5,284

(1) We owned a 50% interest in Sandhill Group, LLC which was sold in the third quarter of 2018.

(2) We own a 64% interest in Poseidon Oil Pipeline Company, LLC.

Our CEO, Mr. Sims, owns an aircraft which is used by us for business purposes in the course of operations. We pay Mr. Sims a fixed monthly fee and reimburse the aircraft management company for costs related to our usage of the aircraft, including fuel and the actual out-of-pocket costs. Based on current market rates for chartering of private aircraft under long-term, priority arrangements with industry recognized chartering companies, we believe that the terms of this arrangement are no worse than what we could have expected to obtain in an arms-length transaction.

Transactions with Unconsolidated Affiliates

Poseidon

We provide management, administrative and pipeline operator services to Poseidon under an Operation and Management Agreement . Currently, that agreement renews automatically annually unless terminated by either party (as defined in the agreement). Our revenues for the years ended December 31, 2020, 2019 and 2018 reflect $9.2 million, $8.9 million and $8.6 million, respectively, of fees we earned through the provision of services under that agreement. At December 31, 2020, and 2019, Poseidon Oil Pipeline Company, LLC owed us $2.6 million and $2.4 million, respectively, for services rendered.

ANSAC

We (through a subsidiary of our Alkali Business) are a member of the American Natural Soda Ash Corp. (ANSAC), an organization whose purpose is promoting and increasing the use and sale of natural soda ash and other refined or processed sodium products produced in the U.S. and consumed in specified countries outside of the U.S. Members sell products to ANSAC to satisfy ANSAC’s sales commitments to its customers. ANSAC passes its costs through to its members using a pro rata calculation based on sales. Those costs include sales and marketing, employees, office supplies, professional fees, travel, rent, and certain other costs. Those transactions do not necessarily represent arm's length transactions and may not represent all costs we would otherwise incur if we operated the Alkali Business on a stand-alone basis. We also benefit from favorable shipping rates for our direct exports when using ANSAC to arrange for ocean transport.

ANSAC is considered a variable interest entity (VIE) as we do experience certain risks and rewards from our relationship with them. As we do not exercise control over ANSAC and are not considered its primary beneficiary, we do not consolidate ANSAC. The ANSAC membership agreement provides that in the event an ANSAC member exits or the ANSAC cooperative is dissolved, the exiting members are obligated for their respective portion of the residual net assets or deficit of the cooperative. As of December 31, 2020, such amount is not material to us.

Net sales to ANSAC were $236.4 million, $367.1 million and $373.6 million for the years ended December 31, 2020, 2019 and 2018. The costs charged to us by ANSAC, included in operating costs, were $2.5 million, $4.4 million and $5.3 million for the years ended December 31, 2020, 2019 and 2018.

As of December 31, 2020 and 2019, our receivables from and payables to ANSAC were:


	December 31		December 31
	2020		2019
Receivables:
ANSAC	$	43,400	$	68,075
Payables:
ANSAC	$	470	$	2,103