Annual report pursuant to Section 13 and 15(d)

ASSET RETIREMENT OBLIGATION

v3.22.4
ASSET RETIREMENT OBLIGATION
 12 Months Ended
Dec. 31, 2022
Asset Retirement Obligation Disclosure [Abstract]  
ASSET RETIREMENT OBLIGATION
NOTE 11 – ASSET RETIREMENT OBLIGATION
A reconciliation of the asset retirement obligation for the years ended December 31, 2022, 2021 and 2020 is as follows:
Balance, December 31, 2019 $ 16,787,219 
Liabilities incurred 99,436 
Liabilities settled (710,577)
Revision of estimate (1)
34,441 
Accretion expense 906,616 
Balance, December 31, 2020 $ 17,117,135 
Liabilities acquired 662,705 
Liabilities incurred 171,390 
Liabilities sold (2,934,126)
Liabilities settled (904,514)
Revision of estimate (1)
435,419 
Accretion expense 744,045 
Balance, December 31, 2021 $ 15,292,054 
Liabilities acquired 14,538,550 
Liabilities incurred 353,008 
Liabilities settled (940,738)
Accretion expense 983,432 
Balance, December 31, 2022 $ 30,226,306 
(1)Several factors are considered in the annual review process, including current estimates for removal cost and estimated remaining useful life of the assets. The 2020 revision of estimates reflect an adjustment to the estimates for plugging costs. The 2021 revision of estimates primarily reflect updated interests for our working interest partners.