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Revenue Recognition
 12 Months Ended
Dec. 31, 2025
Revenue Recognition [Abstract]  
Revenue Recognition Revenue Recognition
Revenue from Contracts with Customers
The following tables reflects the disaggregation of our revenues by major category for the years ended December 31, 2025, 2024 and 2023, respectively:
Year Ended December 31, 2025
Offshore Pipeline TransportationMarine TransportationOnshore Transportation and ServicesConsolidated
Fee-based revenues$531,898 $319,498 $70,517 $921,913 
Product Sales— — 634,149 634,149 
Sulfur Services— — 74,353 74,353 
$531,898 $319,498 $779,019 $1,630,415 
Year Ended December 31, 2024
Offshore Pipeline TransportationMarine TransportationOnshore Transportation and ServicesConsolidated
Fee-based revenues$404,919 $321,616 $58,298 $784,833 
Product Sales— — 796,637 796,637 
Sulfur Services— — 79,364 79,364 
$404,919 $321,616 $934,299 $1,660,834 
Year Ended December 31, 2023
Offshore Pipeline TransportationMarine TransportationOnshore Transportation and ServicesConsolidated
Fee-based revenues$382,154 $327,464 $45,704 $755,322 
Product Sales— — 870,948 870,948 
Sulfur Services— — 95,053 95,053 
$382,154 $327,464 $1,011,705 $1,721,323 
The Company recognizes revenue upon the satisfaction of its performance obligations under its contracts and generally recognizes revenue either over time as services are being performed or at a point in time for product sales. The timing of our revenue recognition varies between the revenue streams and is described in more detail below.
Fee-based Revenues
We provide a variety of fee-based transportation and logistics services to our customers across several of our reportable segments as outlined below.
Service contracts generally contain a series of distinct services that are substantially the same and have the same pattern of transfer to the customer over the contract period, and therefore, qualify as a single performance obligation that is satisfied over time. The customer receives and consumes the benefit of our services simultaneously with the provision of those services.
Offshore Pipeline Transportation
Revenue from contracts in our offshore pipeline transportation segment is generally based upon a fixed fee per unit of volume (typically per barrel of crude oil or per Mcf of natural gas) gathered, transported or processed for each volume delivered. Fees are based either on contractual arrangements or tariffs regulated by the FERC. Certain of our contracts include a single performance obligation to stand ready, on a monthly basis, to provide capacity on our assets. Revenue associated with these fee-based services is recognized as volumes are delivered over the performance obligation period.
We also have certain contracts with customers in which we earn either demand-type fees or firm capacity-reservation fees. These fees are charged to a customer regardless of the volume the customer actually delivers to the platform or through the pipeline.
Certain of our customer contracts in our offshore pipeline transportation segment include a transportation fee that has a tiered pricing structure based on cumulative milestones of throughput on the related pipeline asset and contract, or on a specified date. Our performance obligation for these contracts is to transport, gather or process commodity volumes for the customer based on firm (stand ready) service or from monthly nominations made by our customers, which can also be on an interruptible basis. While our transportation fees change when milestones are achieved for certain cumulative throughput, our performance obligation remains unchanged throughout the duration of the contract. Therefore, we recognize revenue using an average rate throughout the duration of the contract. We have estimated the total consideration we expect to receive under the contract beginning at the contract inception date based on the estimated volumes (including certain minimum volumes we are required to stand ready for), price indexing, estimated production or contracted volumes, and the contract period. We have constrained the estimates of variable consideration such that it is probable that a significant reversal of previously-recognized revenue will not occur throughout the life of the contract. These estimates are re-assessed at each reporting period as required. We bill our customers based on the rates specified in the contract. Any cumulative differences between the amounts we have billed our customers and the revenue recognized per contract results in the recognition of a contract asset or liability. In circumstances where the estimated average contract rate is less than the billed current price tier in the contract, we will recognize a contract liability or unwind an existing contract asset. In circumstances where the estimated average contract rate is higher than the billed current price tier in the contract, we will recognize a contract asset or unwind an existing contract liability.
Marine Transportation
Our marine transportation business consists of revenues from the inland and offshore marine transportation of heavy-refined petroleum products, asphalt and crude oil, using our barges or vessels. We recognize revenue over time, on a contract-by-contract basis, as individual trips are completed. Revenue from these contracts is typically based on a set day-rate or a set fee per cargo movement. The cost of fuel and certain other operational costs may be directly reimbursed by the customer, if stipulated in the contract.
Our performance obligation is to provide transportation services using our barges or vessels either under a term or spot based contract. The transaction price is typically fixed either as a day rate or as a lump sum to be allocated over the days required to complete the service. We recognize revenue as we provide the transportation services because the customer simultaneously receives and consumes the benefits of such services. If provided in the contract, certain items such as fuel or operational costs can be rebilled to the customer in the same period in which the costs are incurred. In the event the timing of a trip to provide our services crosses a reporting period under a lump sum fee contract, the revenue earned is accrued based on the progress completed in the current period on the related performance obligation as we are entitled to payment for each day. Customer invoicing occurs at the completion of a trip, or earlier at the customer’s request.
Onshore Transportation and Services
Within our onshore transportation and services segment, we provide our customers with pipeline transportation services, terminaling services and rail unloading services, among others, primarily on a per barrel fee basis.
Revenues from contracts for the transportation of crude oil by our pipelines are based on actual volumes at a published tariff. We recognize revenue for transportation and other services over the performance obligation period, which is the contract term. Revenues for both firm and interruptible transportation and other services are recognized over time as the product is delivered to the agreed upon delivery point or at the point of receipt because they specifically relate to our efforts to transfer the distinct services.
Pricing for our services is determined through a variety of mechanisms, including specified contract pricing or regulated tariff pricing. The consideration we receive under these contracts is variable, as the total volume of the commodity to be transported is unknown at contract inception. At the end of a day or month (as specified in the contract), both the price and volume are known (or “fixed”) in order to allow us to accurately calculate the amount of consideration we are entitled to invoice. The measurement of these services and invoicing occurs on a monthly basis.
Pipeline Loss Allowances
To compensate us for bearing the risk of volumetric losses of crude oil in transit in our pipelines (for our onshore and offshore pipelines) due to temperature, crude quality, and the inherent difficulties of measuring liquids in a pipeline, our tariffs and agreements allow for us to make volumetric deductions for quality and volumetric fluctuations. We refer to these deductions as pipeline loss allowances (“PLA”). We compare these allowances to the actual volumetric gains and losses of the pipeline and the net gain or loss is recorded as revenue or a reduction of revenue. As the allowance is related to our pipeline transportation services, we have a single performance obligation to transport and deliver the barrels.
When net gains occur, we have crude oil inventory. When net losses occur, we reduce any recorded inventory on hand and record a liability for the purchase of additional crude oil required to replace the lost volumes. Under ASC 606, we record excess oil as non-cash consideration in the transaction price on a net basis. The net oil recorded is valued at the lower of cost or net realizable value using the market price of crude oil during the month the product was transported. The crude oil in inventory can then be sold at current market prices, resulting in additional revenue if the sales price exceeds the inventory value when control transfers to the customer.
Product Sales
Within our onshore transportation and services division, the main sources of product sales are crude oil, NaHS and caustic soda. In evaluating revenue recognition, we concluded that these agreements consist of one distinct performance obligation, which is delivering the product to the customer at the specified point of sale.
In transactions involving NaHS and caustic soda, contracts may stipulate that customers assume control of the goods at the shipping location, although we must still coordinate the transportation as specified by the customer. According to our policy and the guidance in ASC 606, these shipping services are considered fulfillment costs, not separate performance obligations.
In transactions involving the sale of crude oil, we may enter into term contracts, which are settled on a monthly basis, or spot contracts, which are settled at a specific point in time.
For every product sale, the transaction price is determined based on the contract and is generally set at a fixed amount or tied to a market-based or indexed rate. This established pricing is considered “fixed” when revenue is recognized. Invoicing and payment arrangements follow either industry standards or the stipulations outlined in the contract. We allocate the entire transaction price to a single performance obligation and revenue is recognized at a specific point in time, therefore, we do not allocate any of the transaction price to future performance obligations.
Sulfur Services
Through our sulfur services business, we primarily provide sulfur removal services to refiners’ high sulfur (or “sour”) gas streams generated from crude oil processing operations. Our process includes the use of our proprietary technology, which uses caustic soda to act as a scrubbing agent at a prescribed temperature and pressure to remove sulfur. The technology returns a clean (sulfur-free) hydrocarbon stream to the refinery for further processing into refined products and simultaneously produces NaHS. Units of NaHS are produced ratably as a gas stream is processed. We obtain control and ownership of the NaHS immediately upon production, which constitutes the sole consideration that we receive for our sulfur removal services. We then market the NaHS we receive to third parties as part of our product sales, as described above. Some of our arrangements require that we pay a refinery access fee (“RSA fee”) for any benefits received by virtue of our plant’s proximity to the customer’s refinery. Our RSA fee is recorded as a reduction of revenue.
The sole performance obligation under our refinery service contracts is to deliver sulfur removal services. As our customers simultaneously receive and consume the benefits of service, control is transferred and revenue is recognized over time based on the extent of progress towards completion of the performance obligation. We use units of NaHS produced during a period to measure progress as the amount we receive corresponds directly with the efforts to provide our services completed to date. The transaction price for each performance obligation is determined using the fair value of a unit of NaHS on the contract inception date for each sulfur services agreement. Accordingly, we record the value of NaHS received as non-cash consideration in inventory until it is subsequently sold to our customers (see “Product Sales,” above).
Contract Assets and Liabilities
The table below summarizes our contract asset and liability balances at December 31, 2025 and December 31, 2024:
Contract AssetsContract Liabilities
Current Assets- OtherOther AssetsAccrued LiabilitiesOther Long-Term Liabilities
Balance at December 31, 2024
$— $5,174 $41,618 $82,164 
Balance at December 31, 2025
32 7,469 26,982 78,946 
For the years ended December 31, 2025, 2024, and 2023, $33.9 million, $14.6 million and $2.6 million, respectively, that was classified as a contract liability at the beginning of each period was recognized as revenue.
Transaction Price Allocations to Remaining Performance Obligations
We are required to disclose the amount of our transaction prices that are allocated to unsatisfied performance obligations as of December 31, 2025. However, ASC 606 provides the following optional exemptions that we have utilized:
1)Performance obligations that are part of a contract with an expected duration of one year or less;

2)Revenue recognized from the satisfaction of performance obligations where we have a right to consideration in an amount that corresponds directly with the value provided to customers; and

3)Contracts that contain variable consideration, such as index-based pricing or variable volumes, that is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a distinct good or service that is part of a series.
The majority of our contracts qualify for at least one of these exemptions and we apply the exemption(s) accordingly. For contracts that do no qualify for a at least one of the aforementioned exemptions, which are those that involve revenue recognition over a long-term period and include long term fixed consideration (adjusted for indexing as required), we determined the allocation of transaction price that relate to unsatisfied performance obligations. As it relates to our tiered pricing offshore transportation contracts, we provide firm capacity for both fixed and variable consideration over a long-term period. In our onshore transportation and services segment, we have certain contractual arrangements in which we receive fixed minimum payments for our obligation to provide minimum capacity on our pipelines and related assets.  Therefore, we have allocated the remaining contract value (as estimated and discussed above) to future periods for these contracts.
    The following chart summarizes how we expect to recognize revenue for future periods related to these contracts:
Offshore Pipeline TransportationOnshore Transportation and Services
2026$211,151 $29,908 
2027143,948 13,031 
202864,211 10,000 
202932,378 2,500 
203023,142 — 
Thereafter67,005 — 
Total$541,835 $55,439