Income Taxes

12 Months Ended

Dec. 31, 2012

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

10. Income Taxes

The Company has not recognized any income tax provision (benefit) for the years ended December 31, 2012, and 2011 due to continuing losses from operations.

The U.S. statutory federal income tax rate is reconciled to the Company’s effective income tax rate as follows (in thousands):

	Years Ended December 31,
	2012			2011
Tax benefit at 35% federal statutory rate	$	16,213		$	3,626
State tax benefit, net of federal benefit		232			52
Noncontrolling interest		(2,300	)		(584	)
Valuation allowance		(14,273	)		(1,386	)
Cumulative effect of tax rate adjustments		—			(1,537	)
Other		128			(171	)
	$	—		$	—

The effects of temporary differences and other items that give rise to deferred tax assets and liabilities are presented below (in thousands):

	December 31,
	2012			2011
Deferred tax assets:
Capitalized start up costs	$	3,253		$	3,558
Stock-based compensation		965			665
Net operating loss carryover		84,960			68,036
Other		266			258
Deferred tax asset		89,444			72,517
Valuation allowance		(47,544	)		(33,802	)
Deferred tax liabilities:
Property, plant and equipment		(41,900	)		(38,715	)
Deferred tax liabilities		(41,900	)		(38,715	)
Net deferred tax asset	$	—		$	—

The Company assesses the recoverability of deferred tax assets and the need for a valuation allowance on an ongoing basis. In making this assessment, management considers all available positive and negative evidence to determine whether it is more likely than not that some portion or all of the deferred tax assets will be realized in future periods. This assessment requires significant judgment and estimates involving current and deferred income taxes, tax attributes relating to the interpretation of various tax laws, historical bases of tax attributes associated with certain assets and limitations surrounding the realization of deferred tax assets.

As of December 31, 2012, the net operating loss carryforward was $238.7 million, which will begin to expire if not used by December 31, 2028. The U.S. federal statute of limitations remains open for our 2009 and subsequent tax years.