Quarterly report pursuant to Section 13 or 15(d)

PLANT, PIPELINE AND EQUIPMENT

PLANT, PIPELINE AND EQUIPMENT

9 Months Ended

Sep. 30, 2015

PLANT, PIPELINE AND EQUIPMENT [Abstract]

5. PLANT, PIPELINE AND EQUIPMENT

Plant, pipeline and equipment consisted of the following:

	September 30, 2015			December 31, 2014
	(thousands of dollars)
Platinum catalyst	$	1,612		$	1,612
Land		4,577			4,577
Plant, pipeline and equipment		103,297			95,351
Construction in progress		26,808			11,590
Total plant, pipeline and equipment		136,294			113,130
Less accumulated depreciation		(44,924	)		(39,319	)
Net plant, pipeline and equipment	$	91,370		$	73,811

Plant, pipeline, and equipment serve as collateral for our amended and restated loan agreement. See Note 8.

Interest capitalized for construction was approximately $27,000 and $122,000 for the three and nine months ended September 30, 2015. No amounts were capitalized during 2014.

Construction in progress during the first nine months of 2015 included petrochemical construction on the D-Train expansion, purchase of additional manufacturing equipment such as towers and tanks, additions to the tank farm, and upgrades to the electrical and flaring systems at SHR, as well as equipment for construction on the hydrogenation/distillation project at TC.

Amortization relating to the platinum catalyst which is included in cost of sales was $21,067 for the three months and $63,202 for the nine months ended September 30, 2015, and 2014.