Asset Retirement Obligations

12 Months Ended

Dec. 31, 2021

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, 2021, and 2020:


	As of December 31,
	2021		2020
	(in thousands)
Beginning asset retirement obligations	$	85,325	$	86,846
Liabilities incurred (1)	1,715		1,018
Liabilities settled (2)	(1,948)		(1,404)
Accretion expense	4,159		4,034
Revision to estimated cash flows	12,173		(5,169)
Ending asset retirement obligations (3)	$	101,424	$	85,325

____________________________________________

(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, 2021, and 2020, included $4.1 million and $2.0 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.