Quarterly report pursuant to Section 13 or 15(d)

Property and Equipment

v3.20.2
Property and Equipment
9 Months Ended
Sep. 30, 2020
Property and Equipment  
Property and Equipment

(8) Property and Equipment

The Company’s investment in property and equipment for the periods presented is as follows:

Estimated

December 31,

September 30,

(in thousands)

    

useful lives

    

2019

2020

Land

    

n/a

    

$

23,549

    

23,582

Gathering systems and facilities

40-50 years(1)

2,375,241

2,624,591

Permanent buried pipelines and equipment

7-20 years

602,230

538,249

Surface pipelines and equipment

1-7 years

48,594

43,978

Landfill

n/a(2)

1,244

1,244

Heavy trucks and equipment

3-5 years

6,617

5,919

Above ground storage tanks

5-10 years

3,418

2,443

Construction-in-progress

n/a

 

300,165

146,728

Total property and equipment

3,361,058

3,386,734

Less accumulated depreciation

(87,648)

(130,845)

Property and equipment, net

$

3,273,410

3,255,889

(1) Gathering systems and facilities are recognized as a single-leased asset with no residual value.
(2) Amortization of landfill costs is recorded over the life of the landfill on a units-of-consumption basis.

Due to the decline in the industry environment as a result of low commodity prices, the Company evaluated its assets for impairment during the first quarter of 2020. As a result of this evaluation, the Company recorded an impairment expense of $89 million, which included an $83 million impairment expense to its permanent buried pipelines and equipment and a $6 million impairment expense to its surface pipelines and equipment.