Note 5 - Asset Retirement Obligations

12 Months Ended

Dec. 31, 2020

NOTE 5—ASSET RETIREMENT OBLIGATIONS

We estimate asset retirement obligations (“ARO”) for final reclamation based upon detailed engineering calculations of the amount and timing of the future cash spending for a third-party to perform the required work. Spending estimates were escalated for inflation at 2% per year and the estimated cash outflows were then discounted at 4% at December 31, 2020 and 2019. Amounts recorded related to asset retirement obligations were as follows:


	December 31,
(In thousands)	2020		2019
Balance at beginning of year	$	14,605	$	12,778
Additional asset retirement obligations acquired/incurred		—		800
Expenditures made		(105)		—
Accretion expense		570		511
Revisions to estimates		86		516
Balance at end of year	$	15,156	$	14,605