ASSET RETIREMENT OBLIGATIONS

6 Months Ended

Jun. 30, 2018

Asset Retirement Obligation [Abstract]

We recognize the present value of the fair value of liabilities for retirement obligations associated with tangible long-lived assets in the period in which there is a legal obligation associated with the retirement of such assets and the amount can be reasonably estimated. The associated asset retirement costs are capitalized as part of the carrying amount of the long-lived asset. This liability includes costs related to the plugging and abandonment of wells, the removal of facilities and equipment, and site restorations. Subsequent to initial measurement, the asset retirement liability is accreted each period. If there is a change in the estimated cost or timing of retirement, a revision is recorded to both the asset retirement obligation and the asset retirement capitalized cost. Capitalized costs are included as a component of the depreciation and depletion calculations.

The following table reflects the components of the change in the carrying amount of the asset retirement obligation for the six months ended June 30, 2018:



(in thousands)	Six Months Ended June 30, 2018
Asset retirement obligation at January 1, 2018	$	169,469
Liabilities incurred	3,921
Liability settlements and disposals	(10,103		)
Accretion expense	3,712
Revisions of estimated liabilities	999
Asset retirement obligation at June 30, 2018	167,998
Less current obligation	(8,430		)
Long-term asset retirement obligation	$	159,568