Asset Retirement Obligations

12 Months Ended

Dec. 31, 2016

Asset Retirement Obligations

Asset Retirement Obligations

10. Asset Retirement Obligations

The following table summarizes the changes in the Company’s asset retirement obligations:

	December 31,
	2016		2015
	(In thousands)
Asset retirement obligations:
Beginning asset retirement obligations	$	43,938	$	44,023
Liabilities incurred during period		14,235		3,818
Revisions in estimated retirement obligations		—		(9,023)
Accretion expense		5,401		5,120
Ending asset retirement obligations	$	63,574	$	43,938

   The Ghanaian legal and regulatory regime regarding oil field abandonment and other environmental matters is evolving. Currently, no Ghanaian environmental regulations expressly require that companies abandon or remove offshore assets. Under the Environmental Permit for the Jubilee Field, a decommissioning plan will be prepared and submitted to the Ghana Environmental Protection Agency. ASC 410—Asset Retirement and Environmental Obligations requires the Company to recognize this liability in the period in which the liability was incurred. The TEN fields commenced production during the third quarter and an asset retirement obligation was recorded for the facilities and wells that came online during 2016. Additional asset retirement obligations will be recorded in the period in which additional wells within our producing fields are commissioned.