Asset Retirement Obligations

12 Months Ended

Dec. 31, 2024

Asset Retirement Obligation Disclosure [Abstract]

Asset Retirement Obligations

8.  Asset Retirement Obligations

The following table describes the changes in our asset retirement obligations for the years ended December 31:

	2024		2023
	(In millions)
Balance at January 1	$	1,346	$	1,241
Liabilities incurred	112		135
Liabilities settled or disposed of (a)	(185)		(240)
Accretion expense	73		61
Revisions of estimated liabilities	113		148
Foreign currency remeasurement	(1)		1
Balance at December 31	$	1,458	$	1,346
Total Asset Retirement Obligations at December 31:
Current portion of asset retirement obligations	$	81	$	160
Long-term asset retirement obligations	1,377		1,186
Total at December 31	$	1,458	$	1,346

(a)Payments to settle asset retirement obligations are presented in Changes in other operating assets and liabilities on the Statement of Consolidated Cash Flows.

The liabilities incurred in 2024 primarily relate to operations in Guyana and the Gulf of America while liabilities incurred in 2023 primarily relate to operations in Guyana. Liabilities settled or disposed of in 2024 and 2023 primarily result from abandonment activity completed in the Gulf of America and the Bakken.

Revisions of estimated liabilities in 2024 primarily reflect changes in service and equipment rates. Revisions of estimated liabilities in 2023 include $82 million that resulted from revisions to estimated costs to abandon certain wells, pipelines and production facilities in the West Delta Field in the Gulf of America. See Note 12, Impairment. Other revisions of estimated liabilities in 2023 primarily reflect changes in service and equipment rates.

Sinking fund deposits that are legally restricted for purposes of settling asset retirement obligations, which are reported in non-current Other assets in the Consolidated Balance Sheet, were $327 million at December 31, 2024 (2023: $294 million).