v3.26.1
Fixed Assets and Asset Retirement Obligations
 6 Months Ended
Jun. 30, 2026
Fixed Assets And Asset Retirement Obligations [Abstract]  
Fixed Assets and Asset Retirement Obligations Fixed Assets and Asset Retirement Obligations
Fixed Assets
Fixed assets consisted of the following: 
June 30, 2026December 31, 2025
Crude oil and natural gas pipelines and related assets$3,844,017 $3,845,631 
Onshore facilities, machinery and equipment295,229 291,896 
Transportation equipment24,281 24,026 
Marine vessels1,076,826 1,073,262 
Land, buildings and improvements88,899 88,629 
Office equipment, furniture and fixtures12,471 10,317 
Construction in progress24,531 13,634 
Other25,897 26,665 
Fixed assets, at cost5,392,151 5,374,060 
Less: Accumulated depreciation(1,990,293)(1,908,737)
Net fixed assets$3,401,858 $3,465,323 
Our depreciation expense for the periods presented was as follows:
Three Months Ended
June 30, 		Six Months Ended
June 30,
2026202520262025
Depreciation expense$60,644 $53,347 $117,022 $106,947 
Gain on Sale of Assets
In June 2026, we divested certain non-core natural gas pipeline and platform assets in our offshore pipeline transportation segment. As a result of this divestiture, we recognized a gain of $17.4 million that is recorded in “Gain on sale of assets” in our Unaudited Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2026.
Asset Retirement Obligations
We record asset retirement obligations (“AROs”) in connection with legal requirements to perform specified retirement activities under contractual arrangements and/or governmental regulations.
The following table presents information regarding our AROs since December 31, 2025:
ARO liability balance, December 31, 2025
$266,348 
Accretion expense4,443 
Revisions in timing and estimated costs of AROs654 
Divestitures(1)
(12,717)
Settlements(2,335)
ARO liability balance, June 30, 2026
$256,393 
(1) In June 2026, we divested certain non-core natural gas pipeline and platform assets in our offshore pipeline transportation segment.
At June 30, 2026 and December 31, 2025, $24.6 million and $24.3 million, respectively, of our ARO liability balances are considered current and included in “Accrued liabilities” on our Unaudited Condensed Consolidated Balance Sheets. The remainder of the ARO liability balances as of June 30, 2026 and December 31, 2025 are included in “Other long-term liabilities” on our Unaudited Condensed Consolidated Balance Sheets.
Certain of our unconsolidated affiliates have AROs recorded at June 30, 2026 and December 31, 2025 relating to contractual agreements and regulatory requirements. In addition, certain entities that we consolidate have non-controlling interest owners that are responsible for their representative share of future costs of the related AROs. These amounts are immaterial to our Unaudited Condensed Consolidated Financial Statements.