Lease Obligations

12 Months Ended

Dec. 31, 2016

Text Block [Abstract]

Lease Obligations

LEASE OBLIGATIONS

We have entered into several operating lease arrangements for office space, equipment and pipeline facilities. Rent expense related to these leases for 2016, 2015 and 2014 was $2.5 million, $1.7 million and $1.8 million, respectively. Future minimum payments under our current lease agreements for the years 2017 through 2021 are $1.4 million, $1.1 million, $848,000, $688,000, and $462,000, respectively, and approximately $2.3 million thereafter, with an aggregate total of approximately $6.8 million.

For each of the years ended December 31, 2016 and 2015, we paid $1.5 million and for the year ended December 31, 2014, we paid $1.1 million, for a capital lease arrangement related to Sandpiper's capacity, supply and operating agreement. Future minimum payments under this lease arrangement are $1.5 million per year for both 2017 and 2018 and $625,000 in 2019, with an aggregate total of $3.6 million.