Quarterly report pursuant to Section 13 or 15(d)

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET

9 Months Ended

Sep. 30, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible assets were recorded in relation to the acquisition of TC on October 1, 2014.

The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class:


	September 30, 2020
	Gross		Accumulated Amortization		Net
	(thousands of dollars)
Customer relationships	$	16,852	$	(6,741)	$	10,111
Non-compete agreements	94		(94)		—
Licenses and permits	1,471		(680)		791
Developed technology	6,131		(3,679)		2,452
Total	$	24,548	$	(11,194)	$	13,354


	December 31, 2019
	Gross		Accumulated Amortization		Net
	(thousands of dollars)
Customer relationships	$	16,852	$	(5,898)	$	10,954
Non-compete agreements	94		(94)		—
Licenses and permits	1,471		(601)		870
Developed technology	6,131		(3,219)		2,912
Total	$	24,548	$	(9,812)	$	14,736

Amortization expense for intangible assets included in cost of sales was approximately $0.5 million and $0.5 million for the three months September 30, 2020 and 2019, respectively, and approximately $1.4 million and $1.4 million for the nine months ended September 30, 2020 and 2019, respectively.

Based on identified intangible assets that are subject to amortization as of September 30, 2020, we expect future amortization expenses for each period to be as follows:


	Total		Remainder of 2020		2021		2022		2023		2024		2025		Thereafter
	(thousands of dollars)
Customer relationships	$	10,111	$	281	$	1,123	$	1,123	1,123		1,123		1,123		$	4,215

Licenses and permits	791		26		101		86		86		86		86		320
Developed technology	2,452		153		613		613		613		460		—		—
Total future amortization expense	$	13,354	$	460	$	1,837	$	1,822	$	1,822	$	1,669	$	1,209	$	4,535