Annual report pursuant to Section 13 and 15(d)

Note 11 - Asset Retirement Obligations

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Note 11 - Asset Retirement Obligations
 12 Months Ended
Dec. 31, 2023
Notes to Financial Statements  
Asset Retirement Obligation Disclosure [Text Block]

11. ASSET RETIREMENT OBLIGATIONS  

 

The following table summarizes the changes in the Company’s asset retirement obligations ("ARO's"):

 

(in thousands)

  

As of December 31, 2023

    

As of December 31, 2022

  

Beginning balance

   $ 42,001     $ 40,694  

Accretion

     2,352       1,958  

Additions

     2,487       6,134  

Revisions

     6,889       (43 )

Settlements

     (6,747 )     (6,577 )

Foreign currency gain (loss)

     361       (165 )

Ending balance

   $ 47,343     $ 42,001  

 

Accretion is recorded in the line item “Depreciation, depletion and amortization” on the consolidated statements of operations and comprehensive income (loss).

 

In connection with the TransGlobe Arrangement in October 2022, the Company added $6.1 million of ARO for the future abandonment and reclamation costs of the Canadian assets. The Egypt concessions have no ARO.