ASSET RETIREMENT OBLIGATIONS

12 Months Ended

Dec. 31, 2024

Asset Retirement Obligation [Abstract]

ASSET RETIREMENT OBLIGATIONS

ASSET RETIREMENT OBLIGATIONS

The following table describes the changes to the Company’s asset retirement obligations liability for the following periods:

	Year Ended December 31,
	2024		2023
	(In millions)
Asset retirement obligations, beginning of period	$	245	$	347
Additional liabilities incurred	8		4
Liabilities acquired	278		8
Liabilities settled and divested	(37)		(88)
Accretion expense	22		16
Revisions in estimated liabilities(1)	76		(42)
Asset retirement obligations, end of period	592		245
Less: current portion(2)	19		6
Asset retirement obligations - long-term	$	573	$	239

(1) Revisions in estimated liabilities for the year ended December 31, 2024 are primarily the result of changes in estimated future plugging and abandonment costs due to increases in current cost estimates and other factors.

(2) The current portion of the asset retirement obligation is included in the caption “Other accrued liabilities” in the Company’s consolidated balance sheets.

The Company’s asset retirement obligations primarily relate to the future plugging and abandonment of wells and related facilities. The Company estimates the future plugging and abandonment costs of wells, the ultimate productive life of the properties, a risk-adjusted discount rate and an inflation factor in order to determine the current present value of this obligation. To the extent future revisions to these assumptions impact the present value of the existing asset retirement obligation liability, a corresponding adjustment is made to the oil and natural gas property balance.