Property, Plant and Equipment

12 Months Ended

Dec. 31, 2012

5. Property, Plant and Equipment

The following table sets forth the Company’s property, plant and equipment:


	December 31,
	2012			2011
	(In thousands)
Proved oil and gas properties	$	2,271,711		$	1,152,532
Less: Accumulated depreciation, depletion, amortization and impairment		(383,564	)		(174,948	)

Proved oil and gas properties, net		1,888,147			977,584
Unproved oil and gas properties		76,417			82,825
Other property and equipment		49,732			20,859
Less: Accumulated depreciation		(7,696	)		(1,313	)

Other property and equipment, net		42,036			19,546

Total property, plant and equipment, net	$	2,006,600		$	1,079,955

Included in the Company’s proved oil and gas properties are asset retirement costs of $20.7 million and $11.4 million at December 31, 2012 and 2011, respectively.

Asset impairments. As discussed in Note 2, as a result of expiring leases and periodic assessments of unproved properties, the Company recorded non-cash impairment charges on its unproved oil and gas properties of $3.6 million for each of the years ended December 31, 2012 and 2011 and $12.0 million for the year ended December 31, 2010. No impairment of proved oil and natural gas properties was recorded for the years ended December 31, 2012, 2011, and 2010.

Acquisitions. During the fourth quarter of 2010, the Company acquired approximately 16,700 net acres of land in Roosevelt County, Montana and approximately 10,000 net leasehold acres primarily located in Richland County, Montana for $52.3 million and $30.1 million, respectively. This acreage is part of theWest Williston project area. Based on the FASB’s authoritative guidance, neither acquisition qualified as a business combination. The Company did not have any significant asset acquisitions for the years ended December 31, 2012 and 2011.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

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