Asset Retirement Obligation

12 Months Ended

Dec. 31, 2012

Asset Retirement Obligation [Abstract]

Asset Retirement Obligation Disclosure [Text Block]

(10) ASSET RETIREMENT OBLIGATIONS

The following table summarizes the Company’s 2012 and 2011 activity related to asset retirement obligations:

	2012		2011
	(in thousands)
Asset Retirement obligation at January 1	$	37,693	$	27,786
Accretion of discount		2,394		1,361
Obligations incurred		23,327		4,304
Obligations settled/removed		(8,804)		(883)
Revisions of estimates		46,027		5,125
Asset retirement obligation at December 31	$	100,637	$	37,693
Current liability		4,091		1,539
Long-term liability		96,546		36,154
Asset retirement obligation at December 31	$	100,637	$	37,693

In 2012, the Company recorded a correction to increase the asset retirement obligation by approximately $39 million.  Because the amounts involved were not material to the Company’s financial statements in any individual prior period and the cumulative amount is not material to the current period financial statements, the Company recorded the cumulative effect of correcting this error in 2012.  The Company’s asset retirement obligation balance is impacted by the Company’s credit adjusted risk free rate.  The combination of declining treasury rates and the Company’s upgrade by Moody’s to Baa3 in February 2012, are contributing factors to the increased asset retirement obligation balance.