Company: BSM
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001628280-25-007730
Chunk: 23

Company: Black Stone Minerals, L.P.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 9B
Chunk 23
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pon the sale of a complete depletable unit, the book value thereof, less proceeds or salvage value, is charged to income. Upon the sale or retirement of an individual well, or an aggregation of interests which make up less than a complete depletable unit, the proceeds are credited to accumulated DD&A, unless doing so would significantly alter the DD&A rate of the depletable unit, in which case a gain or loss would be recorded.Other Property and Equipment Other property and equipment includes furniture, fixtures, office equipment, leasehold improvements, and computer software and is stated at historical cost. Depreciation and amortization are calculated using the straight-line method over expected useful lives ranging from 3 years to 7 years. Depreciation and amortization expense totaled $0.4 million, $0.7 million, and $0.6 million for the years ended December 31, 2024, 2023, and 2022, respectively.Repairs and Maintenance The cost of normal maintenance and repairs is charged to expense as incurred. Material expenditures that increase the life of an asset are capitalized and depreciated over the shorter of the estimated remaining useful life of the asset or the term of the lease, if applicable.Accrued Liabilities Accrued liabilities consisted of the following: December 31, 20242023 (in thousands)Accrued liabilities:Accrued capital expenditures$— $5 Accrued incentive compensation8,356 8,041 Accrued property taxes6,498 6,378 Accrued other2,388 2,579 Total accrued liabilities$17,242 $17,003 Debt Issuance Costs Debt issuance costs consist of costs directly associated with obtaining credit with financial institutions. These costs are capitalized and are amortized on a straight-line basis over the life of the credit agreement, which approximates the effective-interest method. Any unamortized debt issuance costs are expensed in the year when the associated debt instrument is terminated. Amortization expense for debt issuance costs was $1.1 million, $1.0 million, and $2.0 million for the years ended December 31, 2024, 2023, and 2022, respectively, and is included in interest expense in the consolidated statements of operations.Asset Retirement Obligations Fair values of legal obligations to retire and remove long-lived assets are recorded when the obligation is incurred and becomes determinable. When the liability is