| Vessels and Equipment |
10)Vessels and Equipment As of June 30, 2025 and December 31, 2024, Vessels with a book value of $1,513 million and $1,462 million, respectively, are pledged as security for the Partnership’s long-term debt. See Note 13—Long-term debt. | | | | | | | | | | | | | | | Vessels & | | Accumulated | | Accumulated | | | | (U.S. Dollars in thousands) | | equipment | | depreciation | | impairment | | Net Vessels | Vessels, December 31, 2023 | | $ | 2,398,434 | | $ | (826,366) | | $ | (79,070) | | $ | 1,492,998 | Additions (1) | | | 126,106 | | | — | | | — | | | 126,106 | Drydock costs | | | 553 | | | — | | | — | | | 553 | Disposals (2) | | | (103,537) | | | 43,973 | | | 30,300 | | | (29,264) | Depreciation and impairment for the period (3) | | | — | | | (111,817) | | | (16,384) | | | (128,201) | Vessels, December 31, 2024 | | $ | 2,421,556 | | $ | (894,210) | | $ | (65,154) | | $ | 1,462,192 | Additions (1) | | | 125,567 | | | — | | | — | | | 125,567 | Drydock costs | | | 7,592 | | | — | | | — | | | 7,592 | Disposals (2) | | | (110,652) | | | 50,349 | | | 35,734 | | | (24,569) | Depreciation for the period | | | — | | | (58,135) | | | — | | | (58,135) | Vessels, June 30, 2025 | | $ | 2,444,063 | | $ | (901,996) | | $ | (29,420) | | $ | 1,512,647 |
| (1) | On September 3, 2024 the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 31 AS, the company that owns and operates the Tuva Knutsen. On March 3, 2025 the Partnership acquired KNOT’s 100% interest in KNOT Shuttle Tankers 27 AS, the company that owns and operates the Live Knutsen. Both acquisitions were accounted for as acquisitions of assets. See Note 21—Acquisitions. |
| (2) | On September 3, 2024 the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 20 AS, the company that owns and operates the Dan Cisne. On March 3, 2025 the Partnership sold to KNOT its 100% interest in KNOT Shuttle Tankers 21 AS, the company that owns and operates the Dan Sabia. Both sales transactions were part of an asset swap. See footnote (1) above and see Note 14 (f)—Related Parties. |
| (3) | The carrying values of each of the Dan Cisne and the Dan Sabia were written down to their respective estimated fair values as of June 30, 2024. See Note 20—Impairment of long-lived assets. |
Drydocking activity as of June 30, 2025 and December 31, 2024 is summarized as follows: | | | | | | | | (U.S. Dollars in thousands) | | At June 30, 2025 | | At December 31, 2024 | | Balance at the beginning of the year | | $ | 28,661 | | $ | 40,587 | | Costs incurred for drydocking | | | 7,592 | | | 553 | | Costs re-allocated to drydocking due to change of contract | | | — | | | 2,039 | | Costs allocated to drydocking as part of acquisition of asset | | | 1,067 | | | 910 | | Drydock amortization as part of sale of asset | | | (1,526) | | | (1,490) | | Drydock amortization | | | (7,249) | | | (13,938) | | Balance at period end | | $ | 28,544 | | $ | 28,661 | |
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