REVENUES

Revenue Recognition

We account for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when our performance obligations under the terms of a contract with our customers are satisfied. Recognition occurs when the Company transfers control by completing the specified services at the point in time the customer benefits from the services performed or once our products are delivered. Revenue is measured as the amount of consideration we expect to receive in exchange for completing our performance obligations. Sales tax and other taxes we collect with revenue-producing activities are excluded from revenue. In the case of contracts with multiple performance obligations, the Company allocates the transaction price to each performance obligation based on the relative stand-alone selling prices of the various goods and/or services encompassed by the contract. We do not have any material significant payment terms, as payment is generally due within 30 days after the performance obligation has been satisfactorily completed. The Company has elected the practical expedient to recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that we otherwise would have recognized is one year or less. In applying the guidance in Topic 606, there were no judgments or estimates made that the Company deems significant.

For time to time, our fuel oil customers in our black oil segment may request that we store product which they purchase from us in our facilities. We recognize revenues for these “bill and hold” sales once the following criteria have been met: (1) there is a substantive reason for the arrangement, (2) the product is segregated and identified as the customer's asset, (3) the product is ready for delivery to the customer, and (4) we cannot use the product or direct it to another customer.

Disaggregation of Revenue

The following table presents our revenues disaggregated by revenue source:



	Three Months Ended September 30, 2018
	Black Oil		Refining & Marketing		Recovery		Total
Primary Geographical Markets
Northern United States	$	12,361,348	$	—	$	—	$	12,361,348
Southern United States	28,038,716		7,313,630		2,919,254		38,271,600
	$	40,400,064	$	7,313,630	$	2,919,254	$	50,632,948
Sources of Revenue
Petroleum products	$	40,400,064	$	7,313,630	$	547,184	$	48,260,878
Metals	—		—		2,372,070		2,372,070
Total revenues	$	40,400,064	$	7,313,630	$	2,919,254	$	50,632,948



	Nine Months Ended September 30, 2018
	Black Oil		Refining & Marketing		Recovery		Total
Primary Geographical Markets
Northern United States	$	31,314,405	$	—	$	—	$	31,314,405
Southern United States	79,792,036		17,381,741		10,430,731		107,604,508
	$	111,106,441	$	17,381,741	$	10,430,731	$	138,918,913
Sources of Revenue
Petroleum products	$	111,106,441	$	17,381,741	$	1,607,596	$	130,095,778
Metals	—		—		8,823,135		8,823,135
Total revenues	$	111,106,441	$	17,381,741	$	10,430,731	$	138,918,913



	Three Months Ended September 30, 2017
	Black Oil		Refining & Marketing		Recovery		Total
Primary Geographical Markets
Northern United States	$	7,770,262	$	—	$	—	$	7,770,262
Southern United States	17,588,055		4,856,520		2,255,614		24,700,189
	$	25,358,317	$	4,856,520	$	2,255,614	$	32,470,451
Sources of Revenue
Petroleum products	$	25,358,317	$	4,856,520	$	284,526	$	30,499,363
Metals	—		—		1,971,088		1,971,088
Total revenues	$	25,358,317	$	4,856,520	$	2,255,614	$	32,470,451



	Nine Months Ended September 30, 2017
	Black Oil		Refining & Marketing		Recovery		Total
Primary Geographical Markets
Northern United States	$	22,305,861	$	—	$	—	$	22,305,861
Southern United States	55,240,941		15,436,919		11,170,123		81,847,983
	$	77,546,802	$	15,436,919	$	11,170,123	$	104,153,844
Sources of Revenue
Petroleum products	$	77,546,802	$	15,436,919	$	6,389,229	$	99,372,950
Metals	—		—		4,780,894		4,780,894
Total revenues	$	77,546,802	$	15,436,919	$	11,170,123	$	104,153,844

Petroleum products- We derive a majority of our revenues from the sale of recovered/re-refined petroleum products, which include Base Oil, VGO (Vacuum Gas Oil), Pygas, Gasoline, Cutterstock and Fuel Oils.

Metals- Consist of recoverable ferrous and non-ferrous recyclable metals from manufacturing and consumption. Scrap metal can be recovered from pipes, barges, boats, building supplies, surplus equipment, tanks, and other items consisting of metal composition. These materials are segregated, processed, cut-up and sent back to a steel mill for re-purposing.