Property and Equipment

9 Months Ended

Sep. 30, 2022

Property and Equipment

Property and Equipment

(6) Property and Equipment

(a) Summary of Property and Equipment

Property and equipment, net consisted of the following items:

				(Unaudited)
	Estimated	December 31,		September 30,
(in thousands)	Useful Lives	2021		2022
Land	n/a	$	23,369		26,682
Gathering systems and facilities	40-50 years (1)		2,817,918		3,052,459
Permanent buried pipelines and equipment	7-20 years		582,481		602,343
Surface pipelines and equipment	1-7 years		54,542		67,520
Heavy trucks and equipment	3-5 years		5,157		5,157
Above ground storage tanks	5-10 years		2,946		2,953
Construction-in-progress	n/a		174,271		114,582
Total property and equipment			3,660,684		3,871,696
Less accumulated depreciation			(265,938)		(363,688)
Property and equipment, net		$	3,394,746		3,508,008

(1) Gathering systems and facilities are recognized as a single-leased asset with no residual value.

(b) Subsequent Event

On October 25, 2022, the Company acquired certain Marcellus gas gathering and compression assets from Crestwood Equity Partners LP (NYSE: CEQP) for $205 million in cash, before closing adjustments, which was funded by borrowings under the Company’s Credit Facility (as defined in Note 7─Long-Term Debt). These assets include 72 miles of dry gas gathering pipelines and nine compressor stations with approximately 700 MMcf/d of compression capacity.