Asset Retirement Obligations

12 Months Ended

Dec. 31, 2012

Asset Retirement Obligations

Asset Retirement Obligations

14. Asset Retirement Obligations

        The Partnership's assets subject to asset retirement obligations are primarily certain gas-gathering pipelines and processing facilities, a crude oil pipeline and other related pipeline assets. The Partnership also has land leases that require the Partnership to return the land to its original condition upon termination of the lease. The Partnership reviews current laws and regulations governing obligations for asset retirements and leases, as well as the Partnership's leases and other agreements.

        The following is a reconciliation of the changes in the asset retirement obligation from January 1, 2011 to December 31, 2012 (in thousands):

	December 31, 2012		December 31, 2011
Beginning asset retirement obligation	$	6,818	$	4,029
Liabilities incurred		1,053		1,599
Accretion expense		677		1,190
Ending asset retirement obligation	$	8,548	$	6,818

        At December 31, 2012, 2011 and 2010, there were no assets legally restricted for purposes of settling asset retirement obligations. The asset retirement obligation has been recorded as part of Other long-term liabilities in the accompanying Consolidated Balance Sheets.

        In addition to recorded asset retirement obligations, the Partnership has other asset retirement obligations related to certain gathering, processing and other assets as a result of environmental and other legal requirements. The Partnership is not required to perform such work until it permanently ceases operations of the respective assets. Because the Partnership considers the operational life of these assets to be indeterminable, an associated asset retirement obligation cannot be calculated and is not recorded.