ASSET RETIREMENT OBLIGATION

12 Months Ended

Dec. 31, 2021

ASSET RETIREMENT OBLIGATION

ASSET RETIREMENT OBLIGATION

5. ASSET RETIREMENT OBLIGATION

The following table summarizes the changes in the reserve for future restoration and reclamation costs on the balance sheet:

	December 31,		December 31,
(thousands of dollars)	2021		2020
Balance, beginning of period	$	—	$	6,300
Liabilities settled		—		(1,262)
Accretion expense		—		201
Balance, end of period		—		5,239
Less: Obligation transferred to enCore		—		(5,239)
Non-current portion	$	—	$	—

Asset retirement obligation (ARO) is primarily comprised of estimated reclamation costs related to ISR projects in South Texas. On December 31, 2020, the Company closed the sale of its U.S. uranium assets to enCore. With the sale, enCore assumed all liabilities for the purchased subsidiaries, including the $6 million in asset retirement obligations for the south Texas uranium projects. At December 31, 2021, there is no ARO recorded for the Coosa Deposit as there has been only minimal environmental disturbance due to exploration which has since been reclaimed.