Asset Retirement Obligations

12 Months Ended

Dec. 31, 2020

Asset Retirement Obligation Disclosure [Abstract]

Note 14 – Asset Retirement Obligations

Please refer to Asset Retirement Obligations in Note 1 – Summary of Significant Accounting Policies for a discussion of the initial and subsequent measurements of asset retirement obligation liabilities and the significant assumptions used in the estimates.

The following is a reconciliation of the Company’s total asset retirement obligation liability as of December 31, 2020, and 2019:


	As of December 31,
	2020		2019
	(in thousands)
Beginning asset retirement obligations	$	86,846	$	94,194
Liabilities incurred (1)	1,018		3,927
Liabilities settled (2)	(1,404)		(4,105)
Accretion expense	4,034		4,016
Revision to estimated cash flows	(5,169)		(11,186)
Ending asset retirement obligations (3)	$	85,325	$	86,846

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(1)Reflects liabilities incurred through drilling activities and acquisitions of drilled wells.

(2)Reflects liabilities settled through plugging and abandonment activities and divestitures of properties.

(3)Balances as of December 31, 2020, and 2019, included $2.0 million and $2.7 million, respectively, related to the Company’s current asset retirement obligation liability, which is recorded in the accounts payable and accrued expenses line item on the accompanying balance sheets.