Properties and Equipment

9 Months Ended

Sep. 30, 2015

Property, Plant and Equipment [Abstract]

The carrying amounts of our properties and equipment are as follows:



	September 30, 2015		December 31, 2014
	(In thousands)
Pipelines, terminals and tankage	$	1,182,134	$	1,137,157
Land and right of way	65,023		64,458
Construction in progress	58,344		56,228
Other	22,309		22,636
	1,327,810		1,280,479
Less accumulated depreciation	337,243		300,000
	$	990,567	$	980,479

On March 6, 2015, we completed the acquisition of an existing crude tank farm adjacent to HFC's El Dorado Refinery from an unrelated third-party for $27.5 million in cash. We recorded the assets acquired and liabilities assumed at their fair values at the date of acquisition based on preliminary valuations. Substantially all of the purchase price was allocated to properties and equipment and no goodwill has been recorded. We expect to finalize the purchase price allocation during the fourth quarter of 2015. HFC is the main customer of this crude tank farm.

We capitalized $0.7 million and $1.2 million in interest attributable to construction projects during the nine months ended September 30, 2015 and 2014, respectively.

Depreciation expense was $40.5 million and $41.4 million for the nine months ended September 30, 2015 and 2014, respectively.