Additions Pending the Determination of Proved Reserves

EOG RESOURCES, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued) (Unaudited)  
6.    Asset Retirement Obligations  
The following table presents the reconciliation of the beginning and ending aggregate carrying amounts of short-term and long-term legal obligations associated with the retirement of property, plant and equipment for the nine-month periods ended September 30, 2022 and 2021 (in millions):

|  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |
|  | Nine Months EndedSeptember 30, |
|   | 2022 |  | 2021 |
| Carrying Amount at January 1 | $ | 1,231  |  |  | $ | 1,217  |  |
| Liabilities Incurred | 83  |  |  | 55  |  |
| Liabilities Settled (1) | (178) |  |  | (83) |  |
| Accretion | 32  |  |  | 33  |  |
| Revisions | 102  |  |  | (7) |  |
| Foreign Currency Translation | (5) |  |  | —  |  |
| Carrying Amount at September 30 | $ | 1,265  |  |  | $ | 1,215  |  |
|  |  |  |  |
| Current Portion | $ | 38  |  |  | $ | 54  |  |
| Noncurrent Portion | $ | 1,227  |  |  | $ | 1,161  |  |



|  |  |  |
| --- | --- | --- |
|  |  |  |
|  |

(1)Includes settlements related to asset sales.  
The current and noncurrent portions of EOG's asset retirement obligations are included in Current Liabilities - Other and Other Liabilities, respectively, on the Condensed Consolidated Balance Sheets.  
7.    Exploratory Well Costs  
EOG's net changes in capitalized exploratory well costs for the nine-month period ended September 30, 2022, are presented below (in millions):

|  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |
|   | Nine Months EndedSeptember 30, 2022 |
| Balance at January 1 | $ | 7  |  |
| Additions Pending the Determination of Proved Reserves | 93  |  |
| Reclassifications to Proved Properties | (12) |  |
| Costs Charged to Expense (1) | (35) |  |
| Balance at September 30 | $ | 53  |  |



|  |  |  |
| --- | --- | --- |
|  |  |  |
|  |

(1)Includes capitalized exploratory well costs charged to either dry hole costs or impairments.  
At September 30, 2022, all capitalized exploratory well costs had been capitalized for periods of less than one year.  
8.    Commitments and Contingencies  
There are currently various suits and claims pending against EOG that have arisen in the ordinary course of EOG's business, including contract disputes, personal injury and property damage claims and title disputes. While the ultimate outcome and impact on EOG cannot be predicted, management believes that the resolution of these suits and claims will not, individually or in the aggregate, have a material adverse effect on EOG's consolidated financial position, results of operations or cash flow. EOG records reserves for contingencies when information available indicates that a loss is probable and the amount of the loss can be reasonably estimated.  
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