In third quarter 2020, the Company sold its North Louisiana assets and retained certain gathering, transportation and processing obligations which extend into 2030. These are contracts where we will not realize any future benefit. The estimated obligations are included in current and long-term divestiture contract obligation in our consolidated balance sheets. In the first nine months 2026, we recorded accretion expense of $20.0 million compared to $25.5 million in the same period of the prior year. Also during the first nine months 2026, we recorded a net adjustment of $2.9 million to increase this obligation for a change in expected throughput volumes.

The following details the accrued exit cost liability activity for the nine months ended September 30, 2026 (in thousands):


	Exit Costs
Balance as of December 31, 2025	$	278,428
Accretion of discount		20,003
Changes in estimate		2,850
Payments		(59,798	)
Balance as of September 30, 2026	$	241,483