v3.25.4
Commitments and Contingencies
 9 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal Contingencies

We are party to various claims, legal actions, and complaints arising in the ordinary course of business. In the opinion of our management, the ultimate resolution of these claims, legal actions, and complaints, after consideration of amounts accrued, insurance coverage, and other arrangements, is not expected to have a material adverse effect on our consolidated financial position, results of operations or cash flows. However, the outcome of such matters is inherently uncertain, and estimates of our liabilities may change materially as circumstances develop.

Environmental Matters

At December 31, 2025, we have an environmental liability, measured on an undiscounted basis, of $1.3 million, which is recorded within accrued expenses and other payables in our unaudited condensed consolidated balance sheet. Our operations are subject to extensive federal, state, and local environmental laws and regulations. Although we believe our operations are in substantial compliance with applicable environmental laws and regulations, risks of additional costs and liabilities are inherent in our businesses, and there can be no assurance that we will not incur significant costs. Moreover, it is possible that other developments, such as increasingly stringent environmental laws, regulations and enforcement policies thereunder, and claims for damages to property or persons resulting from the operations, could result in substantial costs. Accordingly, we have adopted policies, practices, and procedures in the areas of pollution control, product safety, occupational health, and the handling, storage, use, and disposal of hazardous materials designed to prevent material environmental or other damage, and to limit the financial liability that could result from such events. However, some risk of environmental or other damage is inherent in our businesses.
Asset Retirement Obligations

We have contractual and regulatory obligations at certain facilities for which we have to perform remediation, dismantlement, or removal activities when the assets are retired. Our liability for asset retirement obligations is discounted to present value. To calculate the liability, we make estimates and assumptions about the retirement cost and the timing of retirement. Changes in our assumptions and estimates may occur as a result of the passage of time and the occurrence of future events.

The following table summarizes changes in our asset retirement obligations, which is reported within other noncurrent liabilities in our unaudited condensed consolidated balance sheets (in thousands):
Asset retirement obligations at March 31, 2025$69,572 
Liabilities incurred8,892 
Liabilities associated with disposed assets (1)(402)
Liabilities settled(6,546)
Accretion expense3,829 
Asset retirement obligations at December 31, 2025$75,345 
(1)    Relates to the sale of a certain saltwater disposal well within our Water Solutions segment.

In addition to the obligations described above, we may be obligated to remove facilities or perform other remediation upon retirement of certain other assets. However, the fair value of the asset retirement obligation cannot currently be reasonably estimated because the settlement dates are indeterminable. We will record an asset retirement obligation for these assets in the periods in which settlement dates are reasonably determinable.

Sales and Purchase Contracts

We have entered into product sales and purchase contracts for which we expect the parties to physically settle and deliver the inventory in future periods.

At December 31, 2025, we had the following commodity purchase commitments:
Crude Oil (1)Natural Gas Liquids
ValueVolume
(in barrels)		ValueVolume
(in gallons)
(in thousands)
Fixed-Price Commodity Purchase Commitments:
Year ending March 31,
2026 (three months)$21,799 373 $10,136 13,902 
2027— — 4,328 6,174 
2028— — 1,290 1,890 
Total$21,799 373 $15,754 21,966 
Index-Price Commodity Purchase Commitments:
Year ending March 31,
2026 (three months)$701,769 12,643 $177,336 222,937 
2027303,344 5,576 58,047 82,824 
2028256,780 4,680 18,687 24,150 
2029100,499 1,820 — — 
2030102,663 1,820 — — 
203131,899 557 — — 
Thereafter117,838 2,045 — — 
Total$1,614,792 29,141 $254,070 329,911 
(1)    Our crude oil index-price purchase commitments exceed our crude oil index-price sales commitments (presented above) due primarily to our long-term purchase commitments for crude oil that we purchase and ship on the Grand Mesa Pipeline.
At December 31, 2025, we had the following commodity sale commitments:
Crude OilNatural Gas Liquids
ValueVolume
(in barrels)		ValueVolume
(in gallons)
(in thousands)
Fixed-Price Commodity Sale Commitments:
Year ending March 31,
2026 (three months)$21,940 372 $33,419 36,382 
2027— — 9,228 11,380 
2028— — 1,409 1,903 
2029— — 19 19 
2030— — 19 19 
Total$21,940 372 $44,094 49,703 
Index-Price Commodity Sale Commitments:
Year ending March 31,
2026 (three months)$645,908 11,162 $188,672 187,388 
2027118,980 2,088 75,778 74,869 
202872,918 1,266 366 570 
202974,595 1,263 — — 
203075,862 1,263 — — 
Total$988,263 17,042 $264,816 262,827 

We account for the contracts shown in the tables above using the normal purchase and normal sale election. Under this accounting policy election, we do not record the physical contracts at fair value at each balance sheet date; instead, we record the purchase or sale at the contracted value once the delivery occurs. Contracts in the tables above may have offsetting derivative contracts (described in Note 9) or inventory positions (described in Note 2).

Other Commitments

We have noncancelable agreements for product storage, railcar spurs, capital projects and real estate. The following table summarizes future minimum payments under these agreements at December 31, 2025 (in thousands):
Year Ending March 31,
2026 (three months)$1,403 
20275,498 
20284,647 
20292,653 
20301,664 
20311,408 
Thereafter1,154 
Total$18,427