Company: MGY
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001698990-25-000006
Chunk: 112

Company: Magnolia Oil & Gas Corp
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 112
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million on the revaluation of the remaining tranches for the years ended December 31, 2024 and 2023, respectively. Gains and losses on revaluation are included in “Other income, net” on the Company’s consolidated statements of operations.The Company has other financial instruments consisting primarily of receivables, payables, and other current assets and liabilities that approximate fair value due to the nature of the instruments and their relatively short maturities. Non-financial assets and liabilities initially measured at fair value include assets acquired and liabilities assumed in business combinations and asset retirement obligations.

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Nonrecurring Fair Value MeasurementsCertain of the Company’s assets and liabilities are measured at fair value on a nonrecurring basis. Specifically, stock based compensation is not measured at fair value on an ongoing basis but is subject to fair value calculations in certain circumstances. For further detail, see Note 12—Stock Based Compensation. There were no other material nonrecurring fair value measurements for the years ended December 31, 2024 and 2023.

5. Other Current Liabilities

The following table provides detail of the Company’s other current liabilities for the periods presented:(In thousands)December 31, 2024December 31, 2023Accrued capital expenditures$31,745 $34,131 Other77,443 87,544 Total other current liabilities$109,188 $121,675 

6. Asset Retirement Obligations

The following table summarizes the changes in the Company’s asset retirement obligations for the periods presented:Years Ended(In thousands)December 31, 2024December 31, 2023Asset retirement obligations, beginning of period$150,563 $96,247 Revisions to estimates(476)38,327 Liabilities incurred and assumed11,177 18,463 Liabilities settled(4,080)(2,170)Accretion expense6,729 4,039 Divestitures— (4,343)Asset retirement obligations, end of period$163,913 $150,563 Asset retirement obligations reflect the present value of the estimated future costs associated with the plugging and abandonment of oil and natural gas wells, removal of equipment and facilities from leased acreage, and land restoration in accordance with applicable local, state, and federal laws. Inherent in the fair value calculation of ARO are numerous assumptions and judgments including the ultimate settlement amounts, inflation factors, credit adjusted discount rates, and timing of