Trecora Resources (TREC) 10-Q 9 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 04, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	TRECORA RESOURCES
Entity Central Index Key	7,039
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		24,252,564
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017

CONSOLIDATED BALANCE SHEETS (un

CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current Assets
Cash and cash equivalents	$ 4,045	$ 8,389
Trade receivables, net	24,248	22,193
Inventories	14,957	17,871
Prepaid expenses and other assets	3,481	3,511
Taxes receivable	4,143	3,983
Total current assets	50,874	55,947
Plant, pipeline and equipment, net	151,606	140,009
Goodwill	21,798	21,798
Other intangible assets, net	22,204	22,669
Investment in AMAK	48,420	49,386
Mineral properties in the United States	588	588
Other assets	63	87
TOTAL ASSETS	295,553	290,484
Current Liabilities
Accounts payable	13,062	13,306
Current portion of derivative instruments	34	58
Accrued liabilities	3,247	2,017
Current portion of post-retirement benefit	314	316
Current portion of long-term debt	8,061	10,145
Current portion of other liabilities	1,112	870
Total current liabilities	25,830	26,712
Long-term debt, net of current portion	76,092	73,107
Post-retirement benefit, net of current portion	897	897
Other liabilities, net of current portion	1,977	2,309
Deferred income taxes	24,261	23,083
Total liabilities	129,057	126,108
EQUITY
Common stock-authorized 40 million shares of $.10 par value; issued 24.5 million in 2017 and 2016 and outstanding 24.3 million and 24.2 million shares in 2017 and 2016, respectively	2,451	2,451
Additional paid-in capital	54,077	53,474
Common stock in treasury, at cost	(254)	(284)
Retained earnings	109,933	108,446
Total Trecora Resources Stockholders' Equity	166,207	164,087
Noncontrolling Interest	289	289
Total equity	166,496	164,376
TOTAL LIABILITIES AND EQUITY	$ 295,553	$ 290,484

CONSOLIDATED BALANCE SHEETS (u3

CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares shares in Millions	Mar. 31, 2017	Dec. 31, 2016
EQUITY
Common stock, authorized (in shares)	40	40
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares issued (in shares)	24.5	24.5
Common stock, outstanding (in shares)	24.3	24.2

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
REVENUES
Petrochemical and Product Sales	$ 50,899	$ 47,181
Processing Fees	4,643	5,019
Total Revenues	55,542	52,200
OPERATING COSTS AND EXPENSES
Cost of Sales and Processing (including depreciation and amortization of $2,383 and $2,219, respectively)	44,924	40,429
GROSS PROFIT	10,618	11,771
GENERAL AND ADMINISTRATIVE EXPENSES
General and Administrative	6,221	5,449
Depreciation	205	177
Total General and Administrative Expenses	6,426	5,626
OPERATING INCOME	4,192	6,145
OTHER INCOME (EXPENSE)
Interest Income	2	4
Interest Expense	(636)	(628)
Equity in Earnings (Losses) of AMAK	(966)	5,367
Miscellaneous Expense	(44)	(17)
Total other income (expense)	(1,644)	4,726
INCOME BEFORE INCOME TAXES	2,548	10,871
INCOME TAXES	1,061	3,647
NET INCOME	1,487	7,224
NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTEREST	0	0
NET INCOME ATTRIBUTABLE TO TRECORA RESOURCES	$ 1,487	$ 7,224
Basic Earnings per Common Share
Net Income Attributable to Trecora Resources (in dollars per share)	$ 0.06	$ 0.30
Basic Weighted Average Number of Common Shares Outstanding (in shares)	24,240	24,484
Diluted Earnings per Common Share
Net Income Attributable to Trecora Resources (in dollars per share)	$ 0.06	$ 0.29
Diluted Weighted Average Number of Common Shares Outstanding (in shares)	25,054	25,085

CONSOLIDATED STATEMENTS OF INC5

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
OPERATING COSTS AND EXPENSES
Depreciation and amortization included in the cost of sales and processing	$ 2,383	$ 2,219

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) - 3 months ended Mar. 31, 2017 - USD ($) shares in Thousands, $ in Thousands	Common Stock [Member]	Additional Paid-In Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	Total [Member]	Non-Controlling Interest [Member]	Total
Balance at Dec. 31, 2016	$ 2,451	$ 53,474	$ (284)	$ 108,446	$ 164,087	$ 289	$ 164,376
Balance (in shares) at Dec. 31, 2016	24,222						24,200
Stock options
Issued to Directors	$ 0	30	0	0	30	0	$ 30
Issued to Employees	0	308	0	0	308	0	308
Restricted Common Stock
Issued to Directors	0	82	0	0	82	0	82
Issued to Employees	0	213	0	0	213	0	213
Common Stock
Issued to Directors	$ 0	(3)	3	0	0	0	0
Issued to Directors (in shares)	3
Issued to Employees	$ 0	(27)	27	0	0	0	0
Issued to Employees (in shares)	27
Net Income	$ 0	0	0	1,487	1,487	0	1,487
Balance at Mar. 31, 2017	$ 2,451	$ 54,077	$ (254)	$ 109,933	$ 166,207	$ 289	$ 166,496
Balance (in shares) at Mar. 31, 2017	24,252						24,300

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
OPERATING ACTIVITIES
Net Income	$ 1,487	$ 7,224
Adjustments to Reconcile Net Income of Trecora Resources To Net Cash Provided by Operating Activities:
Depreciation	2,123	1,926
Amortization of Intangible Assets	465	469
Unrealized Gain on Derivative Instruments	(24)	(30)
Share-based Compensation	633	647
Deferred Income Taxes	1,178	1,407
Postretirement Obligation	(2)	2
Equity in (earnings) losses of AMAK	966	(5,367)
Amortization of loan fees	68	68
Changes in Operating Assets and Liabilities:
(Increase) Decrease in Trade Receivables	(2,056)	695
(Increase) Decrease in Taxes Receivable	(160)	2,177
(Increase) Decrease in Inventories	2,914	(1,521)
Decrease in Prepaid Expenses and Other Assets	79	180
Increase (Decrease) in Accounts Payable and Accrued Liabilities	989	(1,430)
Increase (Decrease) in Other Liabilities	70	(1,244)
Net Cash Provided by Operating Activities	8,730	5,203
INVESTING ACTIVITIES
Additions to Plant, Pipeline and Equipment	(13,881)	(7,602)
Advances to AMAK, net	(26)	0
Cash Used in Investing Activities	(13,907)	(7,602)
FINANCING ACTIVITIES
Issuance of Common Stock	0	11
Addition to Long-Term Debt	5,000	0
Repayment of Long-Term Debt	(4,167)	(2,083)
Net Cash Provided by (Used in) Financing Activities	833	(2,072)
NET DECREASE IN CASH AND CASH EQUIVALENTS	(4,344)	(4,471)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	8,389	18,623
CASH AND CASH EQUIVALENTS AT END OF PERIOD	4,045	14,152
Supplemental disclosure of cash flow information:
Cash payments for interest	936	583
Cash payments for taxes, net of refunds	0	0
Supplemental disclosure of non-cash items:
Capital expansion amortized to depreciation expense	$ 161	$ 197

GENERAL

GENERAL	3 Months Ended
	Mar. 31, 2017
GENERAL [Abstract]
GENERAL	1. GENERAL Organization Trecora Resources (the “Company”), was incorporated in the State of Delaware in 1967. Our principal business activities are the manufacturing of various specialty hydrocarbons and synthetic waxes and the provision of custom processing services. Unless the context requires otherwise, references to “we,” “us,” “our,” and the “Company” are intended to mean Trecora Resources and its subsidiaries. This document includes the following abbreviations: (1) TREC – Trecora Resources (2) TOCCO – Texas Oil & Chemical Co. II, Inc. – Wholly owned subsidiary of TREC and parent of SHR and TC (3) SHR – South Hampton Resources, Inc. – Petrochemical segment and parent of GSPL (4) GSPL – Gulf State Pipe Line Co, Inc. – Pipeline support for the petrochemical segment (5) TC – Trecora Chemical, Inc. – Specialty wax segment (6) AMAK – Al Masane Al Kobra Mining Company – Mining equity investment – 33% ownership (7) PEVM – Pioche Ely Valley Mines, Inc. – Inactive mine - 55% ownership Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these unaudited financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and, therefore, should be read in conjunction with the financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The unaudited condensed financial statements included in this document have been prepared on the same basis as the annual condensed financial statements and in management’s opinion reflect all adjustments, including normal recurring adjustments, necessary to present fairly the Company’s financial position, results of operations and cash flows for the interim periods presented. We have made estimates and judgments affecting the amounts reported in this document. The actual results that we experience may differ materially from our estimates. In the opinion of management, the disclosures included in these financial statements are adequate to make the information presented not misleading. Operating results for the three months ended March 31, 2017, are not necessarily indicative of results for the year ending December 31, 2017. We currently operate in two segments, specialty petrochemical products and specialty synthetic waxes. All revenue originates from United States’ sources, and all long-lived assets owned are located in the United States. In addition the Company owns a 33% interest in AMAK, a Saudi Arabian closed joint stock company which owns, operates and is developing mining assets in Saudi Arabia. We account for our investment under the equity method of accounting. See Note 16. Certain reclassifications have been made to the Consolidated Balance Sheet for the year ended December 31, 2016, related to our adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2015-17 as noted below in Note 2. The impact of the adoption ASU 2015-17 on the Company’s previously issued December 31, 2016, balance sheet is as follows: As Originally Reported As Retrospectively Adjusted (in thousands) Deferred income tax asset, current $ 1,615 $ - Total current assets 57,562 55,947 Total assets 292,099 290,484 Deferred income tax liability, noncurrent 24,698 23,083 Total liabilities 127,723 126,108 Total liabilities and equity 292,099 290,484

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 31, 2017
RECENT ACCOUNTING PRONOUNCEMENTS [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	2. RECENT ACCOUNTING PRONOUNCEMENTS In May 2014 the FASB issued ASU 2014-09, Revenue from Contracts with Customers . Revenue Recognition Revenue from Contracts with Customers In November 2015 the FASB issued ASU No. 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes In February 2016 the FASB issued ASU No. 2016-02, Leases (Topic 842), In March 2016 the FASB issued ASU No. 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In January 2017 the FASB issued ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350).

TRADE RECEIVABLES

TRADE RECEIVABLES	3 Months Ended
	Mar. 31, 2017
TRADE RECEIVABLES [Abstract]
TRADE RECEIVABLES	3. TRADE RECEIVABLES Trade receivables, net, consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Trade receivables $ 24,548 $ 22,493 Less allowance for doubtful accounts (300 ) (300 ) Trade receivables, net $ 24,248 $ 22,193 Trade receivables serves as collateral for our amended and restated credit agreement. See Note 9.

PREPAID EXPENSES AND OTHER ASSE

PREPAID EXPENSES AND OTHER ASSETS	3 Months Ended
	Mar. 31, 2017
PREPAID EXPENSES AND OTHER ASSETS [Abstract]
PREPAID EXPENSES AND OTHER ASSETS	4. PREPAID EXPENSES AND OTHER ASSETS Prepaid expenses and other assets consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Prepaid license $ 1,919 $ 1,919 Prepaid catalyst 124 187 Prepaid insurance 566 797 Other prepaid expenses and assets 872 608 Total $ 3,481 $ 3,511

INVENTORIES

INVENTORIES	3 Months Ended
	Mar. 31, 2017
INVENTORIES [Abstract]
INVENTORIES	5. INVENTORIES Inventories included the following: March 31, 2017 December 31, 2016 (thousands of dollars) Raw material $ 3,225 $ 3,627 Work in process 27 12 Finished products 11,458 14,232 Spare parts 247 - Total inventory $ 14,957 $ 17,871 Effective January 1, 2017, we changed the inventory basis of SHR to FIFO. We believe that the use of FIFO more accurately reflects current inventory valuation. The drop in crude oil prices over the last several years has caused LIFO value of inventory to be above the FIFO value for each of the past three years. There was no LIFO reserve in any of the periods shown in this filing; therefore, no change is reflected in our current statements for the retrospective application. Prior to this change, the difference between the calculated value of inventory under the FIFO and LIFO bases generated either a recorded LIFO reserve (i.e., where FIFO value exceeds the LIFO value) or an unrecorded negative LIFO reserve (i.e., where LIFO value exceeds the FIFO value). In the latter case, in order to ensure that inventory was reported at the lower of cost or market and in accordance with ASC 330-10, we did not increase the stated value of our inventory to the LIFO value. At December 31, 2016, LIFO value of petrochemical inventory exceeded FIFO; therefore, in accordance with the above policy, no LIFO reserve was recorded. Inventory serves as collateral for our amended and restated credit agreement. See Note 9. Inventory included petrochemical products in transit valued at approximately $2.4 million and $2.1 million at March 31, 2017, and December 31, 2016, respectively. Beginning January 1, 2017, due to the expansion of our plant assets at SHR and TC, we began inventorying spare parts for our plant equipment repairs and maintenance.

PLANT, PIPELINE AND EQUIPMENT

PLANT, PIPELINE AND EQUIPMENT	3 Months Ended
	Mar. 31, 2017
PLANT, PIPELINE AND EQUIPMENT [Abstract]
PLANT, PIPELINE AND EQUIPMENT	6. PLANT, PIPELINE AND EQUIPMENT Plant, pipeline and equipment consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Platinum catalyst metal $ 1,612 $ 1,612 Land 5,376 5,376 Plant, pipeline and equipment 156,142 154,107 Construction in progress 45,093 33,391 Total plant, pipeline and equipment 208,223 194,486 Less accumulated depreciation (56,617 ) (54,477 ) Net plant, pipeline and equipment $ 151,606 $ 140,009 Plant, pipeline, and equipment serve as collateral for our amended and restated credit agreement. See Note 9. Interest capitalized for construction was approximately $373,808 and $31,000 for the three months ended March 31, 2017, and 2016, respectively. Construction in progress during the first three months of 2017 included equipment purchased for the hydrogenation/distillation project at the TC facility, the new reformer unit and additional tankage at SHR. Amortization relating to the platinum catalyst which is included in cost of sales was approximately $25,000 and $21,000 for the three months ended March 31, 2017, and 2016, respectively.

GOODWILL AND INTANGIBLE ASSETS,

GOODWILL AND INTANGIBLE ASSETS, NET	3 Months Ended
	Mar. 31, 2017
GOODWILL AND INTANGIBLE ASSETS, NET [Abstract]
GOODWILL AND INTANGIBLE ASSETS, NET	7. GOODWILL AND INTANGIBLE ASSETS, NET Goodwill and intangible assets were recorded in relation to the acquisition of TC on October 1, 2014. Intangible Assets The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class (in thousands): March 31, 2017 Intangible assets subject to amortization (Definite-lived) Gross Accumulated Amortization Net Customer relationships $ 16,852 $ (2,808 ) $ 14,044 Non-compete agreements 94 (48 ) 46 Licenses and permits 1,471 (311 ) 1,160 Developed technology 6,131 (1,532 ) 4,599 24,548 (4,699 ) 19,849 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 - 197 Trade name 2,158 - 2,158 Total $ 26,903 $ (4,699 ) $ 22,204 December 31, 2016 Intangible assets subject to amortization (Definite-lived) Gross Accumulated Amortization Net Customer relationships $ 16,852 $ (2,527 ) $ 14,325 Non-compete agreements 94 (43 ) 51 Licenses and permits 1,471 (285 ) 1,186 Developed technology 6,131 (1,379 ) 4,752 24,548 (4,234 ) 20,314 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 - 197 Trade name 2,158 - 2,158 Total $ 26,903 $ (4,234 ) $ 22,669 Amortization expense for intangible assets included in cost of sales for the three months ended March 31, 2017, and 2016, was approximately $465,000 and $470,000, respectively. Based on identified intangible assets that are subject to amortization as of March 31, 2017, we expect future amortization expenses for each period to be as follows (in thousands): Remainder of 2017 2018 2019 2020 2021 Thereafter Customer relationships $ 843 $ 1,123 $ 1,123 $ 1,123 1,123 $ 8,710 Non-compete agreements 14 19 12 - - - Licenses and permits 80 106 106 106 106 656 Developed technology 460 613 613 613 613 1,687 Total future amortization expense $ 1,397 $ 1,861 $ 1,854 $ 1,842 $ 1,842 $ 11,053

NET INCOME PER COMMON SHARE ATT

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES	3 Months Ended
	Mar. 31, 2017
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES [Abstract]
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES	8. NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES The following table (in thousands, except per share amounts) sets forth the computation of basic and diluted net income per share attributable to Trecora Resources for the three months ended March 31, 2017, and 2016, respectively. Three Months Ended March 31, 2017 Three Months Ended March 31, 2016 Per Share Per Share Income Shares Amount Income Shares Amount Basic Net Income per Share: Net Income Attributable to Trecora Resources $ 1,487 24,240 $ 0.06 $ 7,224 24,484 $ 0.30 Unvested restricted stock grant 321 282 Dilutive stock options outstanding 493 319 Diluted Net Income per Share: Net Income Attributable to Trecora Resources $ 1,487 25,054 $ 0.06 $ 7,224 25,085 $ 0.29 At March 31, 2017, and 2016, 1,344,087 and 1,368,437 potential common stock shares, respectively were issuable upon the exercise of options and warrants. The earnings per share calculation for the period ended March 31, 2016, included 300,000 shares of the Company that were held in the treasury of TOCCO. These shares were transferred to the treasury of TREC in late 2016.

LIABILITIES AND LONG-TERM DEBT

LIABILITIES AND LONG-TERM DEBT	3 Months Ended
	Mar. 31, 2017
LIABILITIES AND LONG-TERM DEBT [Abstract]
LIABILITIES AND LONG-TERM DEBT	9. LIABILITIES AND LONG-TERM DEBT On October 1, 2014, we entered into an Amended and Restated Credit Agreement (“ARC”) with the lenders which from time to time are parties to the ARC and Bank of America, N.A., as Administrative Agent for the Lenders, and Merrill Lynch, Pierce, Fenner & Smith Incorporated as Lead Arranger. On March 28, 2017, we entered into a Second Amendment to the ARC with terms which increase the Maximum Consolidated Leverage Ratio financial covenant of 3.25x to 4.00x at March 31, 2017, and 4.25x at June 30, 2017, before stepping down to 3.75x at September 30, 2017, 3.50x at December 31, 2017, and reverting to the original financial covenant of 3.25x at March 31, 2018. Four Fiscal Quarter Ending Maximum Consolidated Leverage Ratio March 31, 2017 4.00 to 1.00 June 30, 2017 4.25 to 1.00 September 30, 2017 3.75 to 1.00 December 31, 2017 3.50 to 1.00 March 31, 2018 and each fiscal quarter thereafter 3.25 to 1.00 The Second Amendment also reduces the Minimum Consolidated Fixed Charge Coverage Ratio of 1.25x to 1.10x at March 31, 2017, 1.05x at June 30, 2017 and September 30, 2017, 1.10x at December 31, 2017, before reverting to the original financial covenant of 1.25x at March 31, 2018. Four Fiscal Quarter Ending Minimum Consolidated Fixed Charge Coverage Ratio March 31, 2017 1.10 to 1.00 June 30, 2017 1.05 to 1.00 September 30, 2017 1.05 to 1.00 December 31, 2017 1.10 to 1.00 March 31, 2018 and each fiscal quarter thereafter 1.25 to 1.00 Also, under the terms of the Second Amendment, two additional levels of pricing were added – levels 4 and 5. Level Consolidated Leverage Ratio LIBOR Margin Base Rate Margin Commitment Fee 1 Less than 1.50 to 1.00 2.00 % 1.00 % 0.25 % 2 Greater than or equal to 1.50 to 1.00 but less than 2.00 to 1.00 2.25 % 1.25 % 0.25 % 3 Greater than or equal to 2.00 to 1.00 but less than 3.00 to 1.00 2.50 % 1.50 % 0.375 % 4 Greater than or equal to 3.00 to 1.00 but less than 3.50 to 1.00 2.75 % 1.75 % 0.375 % 5 Greater than or equal to 3.50 to 1.00 3.00 % 2.00 % 0.375 % We were in compliance with all covenants at March 31, 2017. Under the ARC as amended, we have a $40.0 million revolving line of credit which matures on October 1, 2019. As of March 31, 2017, and December 31, 2016, there was a long-term amount of $14.0 million and $9.0 million outstanding, respectively. The interest rate on the loan varies according to several options. Interest on the loan is paid monthly and a commitment fee of between 0.25% and 0.375% is due quarterly on the unused portion of the loan. At March 31, 2017, approximately $26.0 million was available to be drawn. Under the Second Amendment we could draw the full amount and maintain compliance with our covenants. Under the ARC, we also borrowed $70.0 million in a single advance term loan (the “Acquisition Loan”) to partially finance the acquisition of TC. Interest on the Acquisition Loan is payable quarterly using a ten year commercial style amortization. Principal is also payable on the last business day of each March, June, September and December in an amount equal to $1,750,000, provided that the final installment on the September 30, 2019, maturity date shall be in an amount equal to the then outstanding unpaid principal balance of the Acquisition Loan. At March 31, 2017, there was a short-term amount of $7.0 million and a long-term amount of $45.5 million outstanding. At December 31, 2016, there was a short-term amount of $8.8 million and a long-term amount of $47.3 million outstanding. Under the ARC, we also had the right to borrow $25.0 million in a multiple advance loan (“Term Loans”). Borrowing availability under the Term Loans ended on December 31, 2015. The Term Loans converted from a multiple advance loan to a “mini-perm” loan once certain obligations were fulfilled such as certification that construction of D-Train was completed in a good and workmanlike manner, receipt of applicable permits and releases from governmental authorities, and receipt of releases of liens from the contractor and each subcontractor and supplier. Interest on the Term Loans is paid monthly. At March 31, 2017, there was a short-term amount of $1.3 million and a long-term amount of $17.0 million outstanding. At December 31, 2016, there was a short-term amount of $1.7 million and a long-term amount of $17.3 million outstanding. Debt issuance costs of approximately $0.7 million for the periods ended March 31, 2017, and December 31, 2016, have been netted against outstanding loan balances. The interest rate on all of the above loans varies according to several options as defined in the ARC. At March 31, 2017, and December 31, 2016, the rate was 3.48% and 3.27%, respectively.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Mar. 31, 2017
FAIR VALUE MEASUREMENTS [Abstract]
FAIR VALUE MEASUREMENTS	10. FAIR VALUE MEASUREMENTS The following items are measured at fair value on a recurring basis subject to disclosure requirements of ASC Topic 820 at March 31, 2017, and December 31, 2016: Assets and Liabilities Measured at Fair Value on a Recurring Basis Fair Value Measurements Using March 31, 2017 Level 1 Level 2 Level 3 (thousands of dollars) Liabilities: Interest rate swap $ 34 - $ 34 - Fair Value Measurements Using December 31, 2016 Level 1 Level 2 Level 3 (thousands of dollars) Liabilities: Interest rate swap $ 58 - $ 58 - The carrying value of cash and cash equivalents, trade receivables, accounts payable, accrued liabilities, and other liabilities approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair value of variable rate long term debt reflects recent market transactions and approximate carrying value. We used other observable inputs that would qualify as Level 2 inputs to make our assessment of the approximate fair value of our cash and cash equivalents, trade receivables, accounts payable, accrued liabilities, other liabilities and variable rate long term debt. The fair value of the derivative instruments are described below. Commodity Financial Instruments We periodically enter into financial instruments to hedge the cost of natural gasoline (the primary feedstock) and natural gas (used as fuel to operate the plant). We assess the fair value of the financial swaps on feedstock using quoted prices in active markets for identical assets or liabilities (Level 1 of fair value hierarchy). At March 31, 2017, and December 31, 2016, no commodity financial instruments were outstanding. For additional information see Note 11. Interest Rate Swap In March 2008 we entered into an interest rate swap agreement with Bank of America related to a $10.0 million term loan secured by plant, pipeline and equipment. The interest rate swap was designed to minimize the effect of changes in the London InterBank Offered Rate (“LIBOR”) rate. We had designated the interest rate swap as a cash flow hedge under ASC Topic 815, Derivatives and Hedging We assess the fair value of the interest rate swap using a present value model that includes quoted LIBOR rates and the nonperformance risk of the Company and Bank of America based on the Credit Default Swap Market (Level 2 of fair value hierarchy). We have consistently applied valuation techniques in all periods presented and believe we have obtained the most accurate information available for the types of derivative contracts we hold. See discussion of our derivative instruments in Note 11.

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	3 Months Ended
	Mar. 31, 2017
DERIVATIVE INSTRUMENTS [Abstract]
DERIVATIVE INSTRUMENTS	11. DERIVATIVE INSTRUMENTS Commodity Financial Contracts Hydrocarbon based manufacturers, such as the Company, are significantly impacted by changes in feedstock and natural gas prices. Not considering derivative transactions, feedstock and natural gas used for the three months ended March 31, 2017, and 2016, represented approximately 67.3% and 64.0% of our petrochemical cost of sales, respectively. We endeavor to acquire feedstock and natural gas at the lowest possible cost. Our primary feedstock (natural gasoline) is traded over the counter and not on organized futures exchanges. Financially settled instruments (fixed price swaps) are the principal vehicle used to give some predictability to feed prices. We do not purchase or hold any derivative financial instruments for trading or speculative purposes and hedging is limited by our risk management policy to a maximum of 40% of monthly feedstock requirements. Typically, financial contracts are not designated as hedges. As of March 31, 2017, we had no outstanding committed financial contracts. Realized and unrealized gains/losses are recorded in Cost of Sales and Processing. Since we have not held any contracts during the periods covered in this filing, there has been no effect on the three months ended March 31, 2017, or 2016. Interest Rate Swap In March 2008, we entered into a pay-fixed, receive-variable interest rate swap agreement with Bank of America related to a $10.0 million (later increased to $14 million) term loan secured by plant, pipeline and equipment. The effective date of the interest rate swap agreement was August 15, 2008, and terminates on December 15, 2017. The notional amount of the interest rate swap was $1.5 million and $1.75 million at March 31, 2017, and December 31, 2016, respectively. We receive credit for payments of variable rate interest made on the term loan at the loan’s variable rates, which are based upon the London InterBank Offered Rate (LIBOR), and pay Bank of America an interest rate of 5.83% less the credit on the interest rate swap. We originally designated the transaction as a cash flow hedge according to ASC Topic 815, Derivatives and Hedging The following table shows (in thousands) the impact the agreement had on the financial statements: March 31, 2017 December 31, 2016 Fair value of interest rate swap - liability $ 34 $ 58 Due to the ARC discussed in Note 9, we believe that the hedge is no longer entirely effective; therefore, we began treating the interest rate swap as ineffective at that point. The changes in fair value are now recorded in the Statement of Income. For the three months ended March 31, 2017, an unrealized gain of approximately $3,000 and a realized loss of approximately $21,000 were recorded. For the three months ended March 31, 2016, an unrealized loss of approximately $6,000 and a realized loss of approximately $37,000 were recorded.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	3 Months Ended
	Mar. 31, 2017
STOCK-BASED COMPENSATION [Abstract]
STOCK-BASED COMPENSATION	12. STOCK-BASED COMPENSATION Stock-based compensation recognized in the three months ended March 31, 2017, and 2016, was approximately $633,000 and $647,000, respectively. Restricted Stock Awards Director compensation of approximately $56,000 and $0 was recognized during the three months ended March 31, 2017, and 2016, respectively, related to restricted stock awards granted to directors vesting through 2020. Officer compensation of approximately $105,000 and $35,000 was recognized during the three months ended March 31, 2017, and 2016, respectively, related to restricted stock awards granted to officers. One-half of the restricted stock vests ratably over 3 years. The other half vests at the end of the three years based upon the performance metrics of return on invested capital and earnings per share growth. The number of shares actually granted will be adjusted based upon relative performance to our peers. Director compensation of approximately $6,000 and $87,000 was recognized during the three months ended March 31, 2017, and 2016, respectively, related to an award of restricted stock to a director. The restricted stock award vests over 4 years in 20% increments. Director compensation of approximately $19,000 and $19,000 during the three months ended March 31, 2017, and 2016, respectively, was recognized related to restricted stock grants vesting through 2020. Employee compensation of approximately $108,000 and $108,000 during the three months ended March 31, 2017, and 2016, respectively, was recognized related to restricted stock with a 4 year vesting period which was awarded to officers. This restricted stock vests through 2019. Restricted stock activity in the first three months of 2017 was as follows: Shares of Restricted Stock Weighted Average Grant Date Price per Share Outstanding at January 1, 2017 350,891 $ 11.44 Granted - - Forfeited (21,201 ) $ 10.52 Vested (59,064 ) $ 12.12 Outstanding at March 31, 2017 270,626 $ 11.37 Stock Option and Warrant Awards A summary of the status of our stock option awards and warrants is presented below: Number of Stock Options & Warrants Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Life Outstanding at January 1, 2017 1,348,437 $ 7.79 Granted -- -- Exercised (4,350 ) 3.90 Expired -- -- Cancelled -- -- Forfeited -- -- Outstanding at March 31, 2017 1,344,087 $ 7.80 4.9 Exercisable at March 31, 2017 976,587 $ 8.15 5.2 The fair value of the options granted were calculated using the Black Scholes option valuation model with the assumptions as disclosed in prior quarterly and annual filings. Director compensation of approximately $30,000 and $66,000 during the three months ended March 31, 2017, and 2016, respectively, was recognized related to options to purchase shares vesting through 2017. Employee compensation of approximately $309,000 and $308,000 during the three months ended March 31, 2017, and 2016, respectively, was recognized related to options with a 4 year vesting period which were awarded to officers and key employees. These options vest through 2018. Post-retirement compensation of approximately $0 and $24,000 was recognized during the three months ended March 31, 2017, and 2016, related to options awarded to Mr. Hatem El Khalidi in July 2009. On May 9, 2010, the Board of Directors determined that Mr. El Khalidi forfeited these options and other retirement benefits when he made various demands against the Company and other AMAK Saudi shareholders which would benefit him personally and were not in the best interests of the Company and its shareholders. The Company is litigating its right to withdraw the options and benefits and as such, these options and benefits continue to be shown as outstanding. See further discussion in Note 18. See the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, for additional information.

SEGMENT INFORMATION

SEGMENT INFORMATION	3 Months Ended
	Mar. 31, 2017
SEGMENT INFORMATION [Abstract]
SEGMENT INFORMATION	13. SEGMENT INFORMATION We operate through business segments according to the nature and economic characteristics of our products as well as the manner in which the information is used internally by our key decision maker, who is our Chief Executive Officer. Segment data may include rounding differences. Our petrochemical segment includes SHR and GSPL. Our specialty wax segment includes TC. We also separately identify our corporate overhead which includes financing and administrative activities such as legal, accounting, consulting, investor relations, officer and director compensation, corporate insurance, and other administrative costs. Three Months Ended March 31, 2017 Petrochemical Specialty Wax Corporate Consolidated (in thousands) Product sales $ 44,391 $ 6,508 $ - $ 50,899 Processing fees 1,488 3,155 - 4,643 Net revenues 45,879 9,663 - 55,542 Operating profit (loss) before depreciation and amortization 8,214 745 (2,179 ) 6,780 Operating profit (loss) 6,658 (271 ) (2,195 ) 4,192 Profit (loss) before taxes 6,005 (290 ) (3,167 ) 2,548 Depreciation and amortization 1,556 1,016 16 2,588 Capital expenditures 8,756 5,125 - 13,881 Three Months Ended March 31, 2016 Petrochemical Specialty Wax Corporate Consolidated (in thousands) Product sales $ 42,624 $ 4,557 $ - $ 47,181 Processing fees 1,441 3,578 - 5,019 Net revenues 44,065 8,135 - 52,200 Operating profit (loss) before depreciation and amortization 8,412 2,062 (1,933 ) 8,541 Operating profit (loss) 7,075 1,011 (1,941 ) 6,145 Profit (loss) before taxes 6,449 1,006 3,416 10,871 Depreciation and amortization 1,337 1,051 8 2,396 Capital expenditures 5,662 1,940 - 7,602 March 31, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Goodwill and intangible assets, net $ - $ 44,002 $ - $ - $ 44,002 Total assets 228,280 116,765 99,018 (148,510 ) 295,553 Year Ended December 31, 2016 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Goodwill and intangible assets, net $ - $ 44,467 $ - $ - $ 44,467 Total assets 219,376 113,676 106,428 (148,996 ) 290,484

INCOME TAXES

INCOME TAXES	3 Months Ended
	Mar. 31, 2017
INCOME TAXES [Abstract]
INCOME TAXES	14. INCOME TAXES We file an income tax return in the U.S. federal jurisdiction and a margin tax return in Texas. We received notification from the Internal Revenue Service (“IRS”) in November 2016 on the selection of the December 31, 2014, tax return for audit. The audit is ongoing, and we do not expect any adjustment to the return. If any issues addressed in the audit are resolved in a manner not consistent with our expectation, provisions will be adjusted in the period the resolution occurs. Tax returns for various jurisdictions remain open for examination for the years 2013 through 2016. As of March 31, 2017, and December 31, 2016, we recognized no material adjustments in connection with uncertain tax positions. The effective tax rate varies from the federal statutory rate of 35% primarily as a result of state tax expense and stock option based compensation offset by the manufacturing deduction. The application for the change in accounting method for inventory from LIFO to FIFO is also being submitted to the IRS.

POST-RETIREMENT OBLIGATIONS

POST-RETIREMENT OBLIGATIONS	3 Months Ended
	Mar. 31, 2017
POST-RETIREMENT OBLIGATIONS [Abstract]
POST-RETIREMENT OBLIGATIONS	15. POST-RETIREMENT OBLIGATIONS In January 2008 an amended retirement agreement was entered into with Mr. Hatem El Khalidi; however, on May 9, 2010, the Board of Directors terminated the agreement due to actions of Mr. El Khalidi. See Notes 12 and 18. All amounts which have not met termination dates remain recorded until a resolution is achieved. As of March 31, 2017, and December 31, 2016, approximately $1.0 million remained outstanding and was included in post-retirement benefits. In July 2015 we entered into a retirement agreement with former CEO, Nicholas Carter. As of March 31, 2017, and December 31, 2016, approximately $0.3 million remained outstanding and was included in post-retirement obligations. See the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, for additional information.

INVESTMENT IN AMAK

INVESTMENT IN AMAK	3 Months Ended
	Mar. 31, 2017
INVESTMENT IN AMAK [Abstract]
INVESTMENT IN AMAK	16. INVESTMENT IN AMAK In July 2016 AMAK issued four million shares to provide additional funds for ongoing exploration work and mine start-up activities. Arab Mining Co. (“Armico”) purchased 3.75 million shares at 20 Saudi Riyals per share (USD$5.33 per share) and the remaining 250,000 shares are for future use as employee incentives. We did not participate in the offering, thereby reducing our ownership percentage in AMAK to 33.44% from 35.25%. As of March 31, 2017, and December 31, 2016, the Company had a non-controlling equity interest of 33.44% in AMAK of approximately $48.2 million and $49.4 million, respectively. This investment is accounted for under the equity method. There were no events or changes in circumstances that may have an adverse effect on the fair value of our investment in AMAK at March 31, 2017. AMAK’s financial statements were prepared in the functional currency of AMAK which is the Saudi Riyal (SR). In June 1986 the SR was officially pegged to the U. S. Dollar (USD) at a fixed exchange rate of 1 USD to 3.75 SR. The summarized results of operation and financial position for AMAK are as follows: Results of Operations Three Months Ended March 31, 2017 2016 ( thousands of dollars) Sales $ 2,256 $ 8,992 Gross profit (loss) (1,307 ) 191 General, administrative and other expenses 2,589 2,147 Loss from operations $ (3,896 ) $ (1,956 ) Gain on settlement with former operator - 16,225 Net income (loss) $ (3,896 ) $ 14,269 Gain on settlement with former operator of approximately $16.2 million during the three months ended March 31, 2016, relates to a settlement with the former operator of the mine resulting in a reduction of previously accrued operating expenses. Depreciation and amortization was $0.5 million and $2.7 million for the three months ended March 31, 2017, and 2016, respectively. Therefore, net income (loss) before depreciation and amortization was as follows: Three Months Ended March 31, 2017 2016 ( thousands of dollars) Net income (loss) before depreciation and amortization $ (3,369 ) $ 16,978 Financial Position March 31, December 31, 2017 2016 (Thousands of Dollars) Current assets $ 17,333 $ 22,860 Noncurrent assets 257,715 251,741 Total assets $ 275,048 $ 274,601 Current liabilities $ 10,326 $ 8,005 Long term liabilities 84,567 82,546 Shareholders' equity 180,155 184,050 $ 275,048 $ 274,601 The equity in the income or loss of AMAK reflected on the consolidated statements of income for the three months ended March 31, 2017, and 2016, is comprised of the following: Three months ended March 31, 2017 2016 AMAK Net income (loss) $ (3,896 ) $ 14,269 Company’s share of income (loss) reported by AMAK $ (1,303 ) $ 5,030 Amortization of difference between Company’s investment in AMAK and Company’s share of net assets of AMAK 337 337 Equity in earnings (loss) of AMAK $ (966 ) $ 5,367 See our Annual Report on Form 10-K for the year ended December 31, 2016, for additional information.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2017
RELATED PARTY TRANSACTIONS [Abstract]
RELATED PARTY TRANSACTIONS	17. RELATED PARTY TRANSACTIONS Consulting fees of approximately $27,000 and $33,000 were incurred during the three months ended March 31, 2017, and 2016, respectively from IHS Global FZ LLC of which Company Director Gary K Adams held the position of Chief Advisor – Chemicals until April 1, 2017. Consulting fees of approximately $19,000 and $22,000 were incurred during the three months ended March 31, 2017, and 2016, respectively, from Chairman of the Board, Nicholas Carter. Due to his history and experience with the Company and to provide continuity after his retirement, a three year consulting agreement was entered into with Mr. Carter in July 2015.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2017
COMMITMENTS AND CONTINGENCIES [Abstract]
COMMITMENTS AND CONTINGENCIES	18. COMMITMENTS AND CONTINGENCIES Guarantees On October 24, 2010, we executed a limited Guarantee in favor of the Saudi Industrial Development Fund (“SIDF”) whereby we agreed to guaranty up to 41% of the SIDF loan to AMAK in the principal amount of 330.0 million Saudi Riyals (US$88.0 million) (the “Loan”). The term of the loan is through June 2019. As a condition of the Loan, SIDF required all shareholders of AMAK to execute personal or corporate Guarantees; as a result, our guarantee is for approximately 135.33 million Saudi Riyals (US$36.1 million). The loan was necessary to continue construction of the AMAK facilities and provide working capital needs. We received no consideration in connection with extending the guarantee and did so to maintain and enhance the value of its investment. The total amount outstanding to the SIDF at March 31, 2017, was 310.0 million Saudi Riyals (US$82.7 million). Litigation On March 21, 2011, Mr. El Khalidi filed suit against the Company in Texas alleging breach of contract and other claims. The 88th Judicial District Court of Hardin County, Texas dismissed all claims and counterclaims for want of prosecution in this matter on July 24, 2013. The Ninth Court of Appeals subsequently affirmed the dismissal for want of prosecution and the Supreme Court of Texas denied Mr. El Khalidi’s petition for review. On May 1, 2014, Mr. El Khalidi refiled his lawsuit against the Company for breach of contract and defamation in the 356th Judicial District Court of Hardin County, Texas. The case was transferred to the 88th Judicial District Court of Hardin County, Texas. On September 1, 2016, the Court dismissed all of Mr. El Khalidi’s claims and causes of action with prejudice. Mr. El Khalidi has filed a notice of appeal. Liabilities of approximately $1.0 million remain recorded, and the options will continue to accrue in accordance with their own terms until all matters are resolved. On or about August 3, 2015, SHR received notice of a lawsuit filed in the 14th Judicial District Court of Calcasieu Parish, Louisiana. The suit alleges that the plaintiff became ill from exposure to benzene. SHR placed its insurers on notice. Its insurers retained a law firm based in Louisiana to defend SHR. On or about March 18, 2016, SHR received notice of a lawsuit filed in the 172 nd On or about August 2, 2016, SHR received notice of a lawsuit filed in the 58 th On or about November 5, 2016, SHR received notice of a lawsuit filed in the 172 nd Environmental Remediation Amounts charged to expense for various activities related to environmental monitoring, compliance, and improvements were approximately $165,000 and $144,000 for the three months ended March 31, 2017, and 2016, respectively.

GENERAL (Tables)

GENERAL (Tables)	3 Months Ended
	Mar. 31, 2017
GENERAL [Abstract]
Schedule of Error Corrections and Prior Period Adjustments	The impact of the adoption ASU 2015-17 on the Company’s previously issued December 31, 2016, balance sheet is as follows: As Originally Reported As Retrospectively Adjusted (in thousands) Deferred income tax asset, current $ 1,615 $ - Total current assets 57,562 55,947 Total assets 292,099 290,484 Deferred income tax liability, noncurrent 24,698 23,083 Total liabilities 127,723 126,108 Total liabilities and equity 292,099 290,484

TRADE RECEIVABLES (Tables)

TRADE RECEIVABLES (Tables)	3 Months Ended
	Mar. 31, 2017
TRADE RECEIVABLES [Abstract]
Trade Receivables	Trade receivables, net, consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Trade receivables $ 24,548 $ 22,493 Less allowance for doubtful accounts (300 ) (300 ) Trade receivables, net $ 24,248 $ 22,193

PREPAID EXPENSES AND OTHER AS28

PREPAID EXPENSES AND OTHER ASSETS (Tables)	3 Months Ended
	Mar. 31, 2017
PREPAID EXPENSES AND OTHER ASSETS [Abstract]
Schedule of Prepaid Expenses and Other Assets	Prepaid expenses and other assets consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Prepaid license $ 1,919 $ 1,919 Prepaid catalyst 124 187 Prepaid insurance 566 797 Other prepaid expenses and assets 872 608 Total $ 3,481 $ 3,511

INVENTORIES (Tables)

INVENTORIES (Tables)	3 Months Ended
	Mar. 31, 2017
INVENTORIES [Abstract]
Inventories	Inventories included the following: March 31, 2017 December 31, 2016 (thousands of dollars) Raw material $ 3,225 $ 3,627 Work in process 27 12 Finished products 11,458 14,232 Spare parts 247 - Total inventory $ 14,957 $ 17,871

PLANT, PIPELINE AND EQUIPMENT (

PLANT, PIPELINE AND EQUIPMENT (Tables)	3 Months Ended
	Mar. 31, 2017
PLANT, PIPELINE AND EQUIPMENT [Abstract]
Plant, Pipeline and Equipment	Plant, pipeline and equipment consisted of the following: March 31, 2017 December 31, 2016 (thousands of dollars) Platinum catalyst metal $ 1,612 $ 1,612 Land 5,376 5,376 Plant, pipeline and equipment 156,142 154,107 Construction in progress 45,093 33,391 Total plant, pipeline and equipment 208,223 194,486 Less accumulated depreciation (56,617 ) (54,477 ) Net plant, pipeline and equipment $ 151,606 $ 140,009

GOODWILL AND INTANGIBLE ASSET31

GOODWILL AND INTANGIBLE ASSETS, NET (Tables)	3 Months Ended
	Mar. 31, 2017
GOODWILL AND INTANGIBLE ASSETS, NET [Abstract]
Summary of Intangible Assets by Major Class	The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class (in thousands): March 31, 2017 Intangible assets subject to amortization (Definite-lived) Gross Accumulated Amortization Net Customer relationships $ 16,852 $ (2,808 ) $ 14,044 Non-compete agreements 94 (48 ) 46 Licenses and permits 1,471 (311 ) 1,160 Developed technology 6,131 (1,532 ) 4,599 24,548 (4,699 ) 19,849 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 - 197 Trade name 2,158 - 2,158 Total $ 26,903 $ (4,699 ) $ 22,204 December 31, 2016 Intangible assets subject to amortization (Definite-lived) Gross Accumulated Amortization Net Customer relationships $ 16,852 $ (2,527 ) $ 14,325 Non-compete agreements 94 (43 ) 51 Licenses and permits 1,471 (285 ) 1,186 Developed technology 6,131 (1,379 ) 4,752 24,548 (4,234 ) 20,314 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 - 197 Trade name 2,158 - 2,158 Total $ 26,903 $ (4,234 ) $ 22,669
Estimated Amortization Expenses for Succeeding Five Fiscal Years	Based on identified intangible assets that are subject to amortization as of March 31, 2017, we expect future amortization expenses for each period to be as follows (in thousands): Remainder of 2017 2018 2019 2020 2021 Thereafter Customer relationships $ 843 $ 1,123 $ 1,123 $ 1,123 1,123 $ 8,710 Non-compete agreements 14 19 12 - - - Licenses and permits 80 106 106 106 106 656 Developed technology 460 613 613 613 613 1,687 Total future amortization expense $ 1,397 $ 1,861 $ 1,854 $ 1,842 $ 1,842 $ 11,053

NET INCOME PER COMMON SHARE A32

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES (Tables)	3 Months Ended
	Mar. 31, 2017
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES [Abstract]
Net Income Per Common Share	The following table (in thousands, except per share amounts) sets forth the computation of basic and diluted net income per share attributable to Trecora Resources for the three months ended March 31, 2017, and 2016, respectively. Three Months Ended March 31, 2017 Three Months Ended March 31, 2016 Per Share Per Share Income Shares Amount Income Shares Amount Basic Net Income per Share: Net Income Attributable to Trecora Resources $ 1,487 24,240 $ 0.06 $ 7,224 24,484 $ 0.30 Unvested restricted stock grant 321 282 Dilutive stock options outstanding 493 319 Diluted Net Income per Share: Net Income Attributable to Trecora Resources $ 1,487 25,054 $ 0.06 $ 7,224 25,085 $ 0.29

LIABILITIES AND LONG-TERM DEBT

LIABILITIES AND LONG-TERM DEBT (Tables)	3 Months Ended
	Mar. 31, 2017
LIABILITIES AND LONG-TERM DEBT [Abstract]
Schedule of Maximum Leverage Ratio	On March 28, 2017, we entered into a Second Amendment to the ARC with terms which increase the Maximum Consolidated Leverage Ratio financial covenant of 3.25x to 4.00x at March 31, 2017, and 4.25x at June 30, 2017, before stepping down to 3.75x at September 30, 2017, 3.50x at December 31, 2017, and reverting to the original financial covenant of 3.25x at March 31, 2018. Four Fiscal Quarter Ending Maximum Consolidated Leverage Ratio March 31, 2017 4.00 to 1.00 June 30, 2017 4.25 to 1.00 September 30, 2017 3.75 to 1.00 December 31, 2017 3.50 to 1.00 March 31, 2018 and each fiscal quarter thereafter 3.25 to 1.00
Schedule of Minimum Fixed Charge Coverage Ratio	The Second Amendment also reduces the Minimum Consolidated Fixed Charge Coverage Ratio of 1.25x to 1.10x at March 31, 2017, 1.05x at June 30, 2017 and September 30, 2017, 1.10x at December 31, 2017, before reverting to the original financial covenant of 1.25x at March 31, 2018. Four Fiscal Quarter Ending Minimum Consolidated Fixed Charge Coverage Ratio March 31, 2017 1.10 to 1.00 June 30, 2017 1.05 to 1.00 September 30, 2017 1.05 to 1.00 December 31, 2017 1.10 to 1.00 March 31, 2018 and each fiscal quarter thereafter 1.25 to 1.00
Schedule of Pricing Levels for Leverage Ratios	Also, under the terms of the Second Amendment, two additional levels of pricing were added – levels 4 and 5. Level Consolidated Leverage Ratio LIBOR Margin Base Rate Margin Commitment Fee 1 Less than 1.50 to 1.00 2.00 % 1.00 % 0.25 % 2 Greater than or equal to 1.50 to 1.00 but less than 2.00 to 1.00 2.25 % 1.25 % 0.25 % 3 Greater than or equal to 2.00 to 1.00 but less than 3.00 to 1.00 2.50 % 1.50 % 0.375 % 4 Greater than or equal to 3.00 to 1.00 but less than 3.50 to 1.00 2.75 % 1.75 % 0.375 % 5 Greater than or equal to 3.50 to 1.00 3.00 % 2.00 % 0.375 %

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Mar. 31, 2017
FAIR VALUE MEASUREMENTS [Abstract]
Fair Value of Assets and Liabilities Measured on a Recurring Basis	The following items are measured at fair value on a recurring basis subject to disclosure requirements of ASC Topic 820 at March 31, 2017, and December 31, 2016: Assets and Liabilities Measured at Fair Value on a Recurring Basis Fair Value Measurements Using March 31, 2017 Level 1 Level 2 Level 3 (thousands of dollars) Liabilities: Interest rate swap $ 34 - $ 34 - Fair Value Measurements Using December 31, 2016 Level 1 Level 2 Level 3 (thousands of dollars) Liabilities: Interest rate swap $ 58 - $ 58 -

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	3 Months Ended
	Mar. 31, 2017
Interest Rate Swaps [Member]
Derivative [Line Items]
Fair Value of Derivative Liability	The following table shows (in thousands) the impact the agreement had on the financial statements: March 31, 2017 December 31, 2016 Fair value of interest rate swap - liability $ 34 $ 58

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	3 Months Ended
	Mar. 31, 2017
STOCK-BASED COMPENSATION [Abstract]
Restricted Stock Activity	Restricted stock activity in the first three months of 2017 was as follows: Shares of Restricted Stock Weighted Average Grant Date Price per Share Outstanding at January 1, 2017 350,891 $ 11.44 Granted - - Forfeited (21,201 ) $ 10.52 Vested (59,064 ) $ 12.12 Outstanding at March 31, 2017 270,626 $ 11.37
Summary of Status of Stock Option Awards and Warrants	A summary of the status of our stock option awards and warrants is presented below: Number of Stock Options & Warrants Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Life Outstanding at January 1, 2017 1,348,437 $ 7.79 Granted -- -- Exercised (4,350 ) 3.90 Expired -- -- Cancelled -- -- Forfeited -- -- Outstanding at March 31, 2017 1,344,087 $ 7.80 4.9 Exercisable at March 31, 2017 976,587 $ 8.15 5.2

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2017
SEGMENT INFORMATION [Abstract]
Segment Information	Our petrochemical segment includes SHR and GSPL. Our specialty wax segment includes TC. We also separately identify our corporate overhead which includes financing and administrative activities such as legal, accounting, consulting, investor relations, officer and director compensation, corporate insurance, and other administrative costs. Three Months Ended March 31, 2017 Petrochemical Specialty Wax Corporate Consolidated (in thousands) Product sales $ 44,391 $ 6,508 $ - $ 50,899 Processing fees 1,488 3,155 - 4,643 Net revenues 45,879 9,663 - 55,542 Operating profit (loss) before depreciation and amortization 8,214 745 (2,179 ) 6,780 Operating profit (loss) 6,658 (271 ) (2,195 ) 4,192 Profit (loss) before taxes 6,005 (290 ) (3,167 ) 2,548 Depreciation and amortization 1,556 1,016 16 2,588 Capital expenditures 8,756 5,125 - 13,881 Three Months Ended March 31, 2016 Petrochemical Specialty Wax Corporate Consolidated (in thousands) Product sales $ 42,624 $ 4,557 $ - $ 47,181 Processing fees 1,441 3,578 - 5,019 Net revenues 44,065 8,135 - 52,200 Operating profit (loss) before depreciation and amortization 8,412 2,062 (1,933 ) 8,541 Operating profit (loss) 7,075 1,011 (1,941 ) 6,145 Profit (loss) before taxes 6,449 1,006 3,416 10,871 Depreciation and amortization 1,337 1,051 8 2,396 Capital expenditures 5,662 1,940 - 7,602 March 31, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Goodwill and intangible assets, net $ - $ 44,002 $ - $ - $ 44,002 Total assets 228,280 116,765 99,018 (148,510 ) 295,553 Year Ended December 31, 2016 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Goodwill and intangible assets, net $ - $ 44,467 $ - $ - $ 44,467 Total assets 219,376 113,676 106,428 (148,996 ) 290,484

INVESTMENT IN AMAK (Tables)

INVESTMENT IN AMAK (Tables)	3 Months Ended
	Mar. 31, 2017
INVESTMENT IN AMAK [Abstract]
Summarized Results of Operation and Financial Position for AMAK	The summarized results of operation and financial position for AMAK are as follows: Results of Operations Three Months Ended March 31, 2017 2016 ( thousands of dollars) Sales $ 2,256 $ 8,992 Gross profit (loss) (1,307 ) 191 General, administrative and other expenses 2,589 2,147 Loss from operations $ (3,896 ) $ (1,956 ) Gain on settlement with former operator - 16,225 Net income (loss) $ (3,896 ) $ 14,269
Equity in Income or Loss of AMAK Reflected on Consolidated Statements	Therefore, net income (loss) before depreciation and amortization was as follows: Three Months Ended March 31, 2017 2016 ( thousands of dollars) Net income (loss) before depreciation and amortization $ (3,369 ) $ 16,978 Financial Position March 31, December 31, 2017 2016 (Thousands of Dollars) Current assets $ 17,333 $ 22,860 Noncurrent assets 257,715 251,741 Total assets $ 275,048 $ 274,601 Current liabilities $ 10,326 $ 8,005 Long term liabilities 84,567 82,546 Shareholders' equity 180,155 184,050 $ 275,048 $ 274,601 The equity in the income or loss of AMAK reflected on the consolidated statements of income for the three months ended March 31, 2017, and 2016, is comprised of the following: Three months ended March 31, 2017 2016 AMAK Net income (loss) $ (3,896 ) $ 14,269 Company’s share of income (loss) reported by AMAK $ (1,303 ) $ 5,030 Amortization of difference between Company’s investment in AMAK and Company’s share of net assets of AMAK 337 337 Equity in earnings (loss) of AMAK $ (966 ) $ 5,367

GENERAL (Details)

GENERAL (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)Segment	Dec. 31, 2016USD ($)
Noncontrolling Interest [Line Items]
Number of operating segments | Segment	2
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Total current assets	$ 50,874	$ 55,947
Total assets	295,553	290,484
Deferred income tax liability, noncurrent	24,261	23,083
Total liabilities	129,057	126,108
Total liabilities and equity	$ 295,553	290,484
Accounting Standards Update 2015-17 [Member]
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Deferred income tax asset, current		0
Total current assets		55,947
Total assets		290,484
Deferred income tax liability, noncurrent		23,083
Total liabilities		126,108
Total liabilities and equity		290,484
Accounting Standards Update 2015-17 [Member] | As Originally Reported [Member]
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Deferred income tax asset, current		1,615
Total current assets		57,562
Total assets		292,099
Deferred income tax liability, noncurrent		24,698
Total liabilities		127,723
Total liabilities and equity		$ 292,099
AMAK [Member]
Noncontrolling Interest [Line Items]
Percentage of ownership	33.00%
Pioche Ely Valley Mines, Inc. ("PEVM") [Member]
Noncontrolling Interest [Line Items]
Percentage of ownership	55.00%

TRADE RECEIVABLES (Details)

TRADE RECEIVABLES (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
TRADE RECEIVABLES [Abstract]
Trade receivables	$ 24,548	$ 22,493
Less allowance for doubtful accounts	(300)	(300)
Trade receivables, net	$ 24,248	$ 22,193

PREPAID EXPENSES AND OTHER AS41

PREPAID EXPENSES AND OTHER ASSETS (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
PREPAID EXPENSES AND OTHER ASSETS [Abstract]
Prepaid license	$ 1,919	$ 1,919
Prepaid catalyst	124	187
Prepaid insurance	566	797
Other prepaid expenses and assets	872	608
Total	$ 3,481	$ 3,511

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
INVENTORIES [Abstract]
Raw material	$ 3,225	$ 3,627
Work in process	27	12
Finished products	11,458	14,232
Spare parts	247	0
Total inventory	14,957	17,871
Excess of current cost over LIFO value		0
Products in transit	$ 2,400	$ 2,100

PLANT, PIPELINE AND EQUIPMENT43

PLANT, PIPELINE AND EQUIPMENT (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	$ 208,223,000		$ 194,486,000
Less accumulated depreciation	(56,617,000)		(54,477,000)
Net plant, pipeline and equipment	151,606,000		140,009,000
Interest capitalized for construction	373,808	$ 31,000
Amortization relating to the platinum catalyst	25,000	$ 21,000
Platinum Catalyst Metal [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	1,612,000		1,612,000
Land [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	5,376,000		5,376,000
Plant, Pipeline and Equipment [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	156,142,000		154,107,000
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	$ 45,093,000		$ 33,391,000

GOODWILL AND INTANGIBLE ASSET44

GOODWILL AND INTANGIBLE ASSETS, NET (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Intangible assets subject to amortization [Abstract]
Gross	$ 24,548		$ 24,548
Accumulated Amortization	(4,699)		(4,234)
Net	19,849		20,314
Amortization of intangible assets	465	$ 469
Intangible assets not subject to amortization [Abstract]
Gross	26,903		26,903
Accumulated Amortization	(4,699)		(4,234)
Net	22,204		22,669
Estimated amortization expense for succeeding five fiscal years [Abstract]
Remainder of 2017	1,397
2,018	1,861
2,019	1,854
2,020	1,842
2,021	1,842
Thereafter	11,053
Emissions Allowance [Member]
Intangible assets not subject to amortization [Abstract]
Gross	197		197
Accumulated Amortization	0		0
Net	197		197
Trade Name [Member]
Intangible assets not subject to amortization [Abstract]
Gross	2,158		2,158
Accumulated Amortization	0		0
Net	2,158		2,158
Customer Relationships [Member]
Estimated amortization expense for succeeding five fiscal years [Abstract]
Remainder of 2017	843
2,018	1,123
2,019	1,123
2,020	1,123
2,021	1,123
Thereafter	8,710
Non-compete Agreements [Member]
Estimated amortization expense for succeeding five fiscal years [Abstract]
Remainder of 2017	14
2,018	19
2,019	12
2,020	0
2,021	0
Thereafter	0
Licenses and Permits [Member]
Estimated amortization expense for succeeding five fiscal years [Abstract]
Remainder of 2017	80
2,018	106
2,019	106
2,020	106
2,021	106
Thereafter	656
Developed Technology [Member]
Estimated amortization expense for succeeding five fiscal years [Abstract]
Remainder of 2017	460
2,018	613
2,019	613
2,020	613
2,021	613
Thereafter	1,687
Customer Relationships [Member]
Intangible assets subject to amortization [Abstract]
Gross	16,852		16,852
Accumulated Amortization	(2,808)		(2,527)
Net	14,044		14,325
Non-compete Agreements [Member]
Intangible assets subject to amortization [Abstract]
Gross	94		94
Accumulated Amortization	(48)		(43)
Net	46		51
Licenses and Permits [Member]
Intangible assets subject to amortization [Abstract]
Gross	1,471		1,471
Accumulated Amortization	(311)		(285)
Net	1,160		1,186
Developed Technology [Member]
Intangible assets subject to amortization [Abstract]
Gross	6,131		6,131
Accumulated Amortization	(1,532)		(1,379)
Net	4,599		$ 4,752
Acquired Indefinite-lived Intangible Assets [Member]
Intangible assets subject to amortization [Abstract]
Amortization of intangible assets	$ 465	$ 470

NET INCOME PER COMMON SHARE A45

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Basic Net Income per Share [Abstract]
Net Income Attributable to Trecora Resources	$ 1,487	$ 7,224
Weighted average number of shares outstanding, basic (in shares)	24,240,000	24,484,000
Net Income Attributable to Trecora Resources (in dollars per share)	$ 0.06	$ 0.30
Unvested restricted stock grant (in shares)	321,000	282,000
Dilutive stock options outstanding (in shares)	493,000	319,000
Diluted Net Income per Share [Abstract]
Net Income Attributable to Trecora Resources	$ 1,487	$ 7,224
Weighted average number of shares outstanding, diluted (in shares)	25,054,000	25,085,000
Net Income Attributable to Trecora Resources (in dollars per share)	$ 0.06	$ 0.29
Potential common stock shares issuable upon exercise of options (in shares)	1,344,087	1,368,437
Treasury of TOCCO included in earnings per share calculation (in shares)		300,000

LIABILITIES AND LONG-TERM DEB46

LIABILITIES AND LONG-TERM DEBT (Details) - USD ($) $ in Thousands	Oct. 01, 2014	Mar. 31, 2017	Dec. 31, 2016
Maximum Consolidated Leverage Ratio [Abstract]
Maximum consolidated leverage ratio, March 31, 2017		4
Maximum consolidated leverage ratio, June 30, 2017		4.25
Maximum consolidated leverage ratio, September 30, 2017		3.75
Maximum consolidated leverage ratio, December 31, 2017		3.50
Maximum consolidated leverage ratio, March 31, 2018 and each fiscal quarter thereafter		3.25
Minimum Consolidated Fixed Charge Coverage Ratio [Abstract]
Minimum consolidated fixed charge coverage ratio, March 31, 2017		1.10
Minimum consolidated fixed charge coverage ratio, June 30, 2017		1.05
Minimum consolidated fixed charge coverage ratio, September 30, 2017		1.05
Minimum consolidated fixed charge coverage ratio, December 31, 2017		1.10
Minimum consolidated fixed charge coverage ratio, March 31, 2018 and each fiscal quarter thereafter		1.25
Pricing Levels for Leverage Ratios [Abstract]
Maturity date		Sep. 30, 2019
Short-term amount outstanding		$ 8,061	$ 10,145
Total long-term debt, less current portion including loan fees		$ 76,092	$ 73,107
Interest rate on loan		3.48%	3.27%
Debt issuance cost		$ 700	$ 700
Leverage Ratio, Less than 1.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Commitment fee		0.25%
Consolidated leverage ratio		1.50
Leverage Ratio, Greater than or Equal to 1.50 to 1.00 but Less than 2.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Commitment fee		0.25%
Leverage Ratio, Greater than or Equal to 1.50 to 1.00 but Less than 2.00 to 1.00 [Member] | Minimum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		1.50
Leverage Ratio, Greater than or Equal to 1.50 to 1.00 but Less than 2.00 to 1.00 [Member] | Maximum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		2
Leverage Ratio, Greater than or Equal to 2.00 to 1.00 but Less than 3.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Commitment fee		0.375%
Leverage Ratio, Greater than or Equal to 2.00 to 1.00 but Less than 3.00 to 1.00 [Member] | Minimum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		2
Leverage Ratio, Greater than or Equal to 2.00 to 1.00 but Less than 3.00 to 1.00 [Member] | Maximum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		3
Leverage Ratio, Greater than or Equal to 3.00 to 1.00 but Less than 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Commitment fee		0.375%
Leverage Ratio, Greater than or Equal to 3.00 to 1.00 but Less than 3.50 to 1.00 [Member] | Minimum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		3
Leverage Ratio, Greater than or Equal to 3.00 to 1.00 but Less than 3.50 to 1.00 [Member] | Maximum [Member]
Pricing Levels for Leverage Ratios [Abstract]
Consolidated leverage ratio		3.50
Leverage Ratio, Greater than or Equal to 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Commitment fee		0.375%
Consolidated leverage ratio		3.50
Revolving Loan [Member]
Pricing Levels for Leverage Ratios [Abstract]
Maturity date		Oct. 1, 2019
Maximum borrowing capacity		$ 40,000
Borrowed funds under the agreement		14,000	9,000
Available remaining borrowing capacity		26,000
Term Note One [Member] | Revolving Loan [Member]
Pricing Levels for Leverage Ratios [Abstract]
Short-term amount outstanding		1,300	1,700
Total long-term debt, less current portion including loan fees		17,000	17,300
Amount of multiple advance loan that was available to be borrowed		25,000
Term Note [Member]
Pricing Levels for Leverage Ratios [Abstract]
Short-term amount outstanding		7,000	8,800
Total long-term debt, less current portion including loan fees		$ 45,500	$ 47,300
Total long-term debt	$ 70,000
Amortization period for principal on acquisition term loan		10 years
Quarterly installment amount of acquisition term loan		$ 1,750
LIBOR [Member] | Leverage Ratio, Less than 1.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		2.00%
LIBOR [Member] | Leverage Ratio, Greater than or Equal to 1.50 to 1.00 but Less than 2.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		2.25%
LIBOR [Member] | Leverage Ratio, Greater than or Equal to 2.00 to 1.00 but Less than 3.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		2.50%
LIBOR [Member] | Leverage Ratio, Greater than or Equal to 3.00 to 1.00 but Less than 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		2.75%
LIBOR [Member] | Leverage Ratio, Greater than or Equal to 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		3.00%
Base Rate [Member] | Leverage Ratio, Less than 1.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		1.00%
Base Rate [Member] | Leverage Ratio, Greater than or Equal to 1.50 to 1.00 but Less than 2.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		1.25%
Base Rate [Member] | Leverage Ratio, Greater than or Equal to 2.00 to 1.00 but Less than 3.00 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		1.50%
Base Rate [Member] | Leverage Ratio, Greater than or Equal to 3.00 to 1.00 but Less than 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		1.75%
Base Rate [Member] | Leverage Ratio, Greater than or Equal to 3.50 to 1.00 [Member]
Pricing Levels for Leverage Ratios [Abstract]
Basis spread on variable rate		2.00%

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2008
Liabilities [Abstract]
Term loan secured by plant, pipeline and equipment			$ 10,000
Recurring [Member]
Liabilities [Abstract]
Interest rate swap	$ 34	$ 58
Recurring [Member] | Level 1 [Member]
Liabilities [Abstract]
Interest rate swap	0	0
Recurring [Member] | Level 2 [Member]
Liabilities [Abstract]
Interest rate swap	34	58
Recurring [Member] | Level 3 [Member]
Liabilities [Abstract]
Interest rate swap	$ 0	$ 0

DERIVATIVE INSTRUMENTS (Details

DERIVATIVE INSTRUMENTS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
DERIVATIVE INSTRUMENTS [Abstract]
Feedstock and natural gas usage to operating expenses	67.30%	64.00%
Derivative [Line Items]
Unrealized gain (loss)	$ 3	$ (6)
Realized loss	$ 21	$ 37
Maximum [Member]
Derivative [Line Items]
Monthly feedstock requirements hedged	40.00%
Interest Rate Swaps [Member]
Derivative [Line Items]
Term loan in pay fixed, receive variable interest rate swap	$ 10,000
Term loan secured by plant, pipeline and equipment	14,000
Notional amount	$ 1,500		$ 1,750
Derivative, variable interest rate	5.83%
Fair value of interest rate swap - liability	$ 34		$ 58

STOCK-BASED COMPENSATION (Detai

STOCK-BASED COMPENSATION (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 633	$ 647
Restricted Stock [Member]
Shares of Restricted Stock [Roll Forward]
Outstanding at beginning of period (in shares)	350,891
Granted (in shares)	0
Forfeited (in shares)	(21,201)
Vested (in shares)	(59,064)
Outstanding at end of period (in shares)	270,626
Weighted Average Grant Date Price per Share [Abstract]
Outstanding at beginning of period (in dollars per share)	$ 11.44
Granted (in dollars per share)	0
Forfeited (in dollars per share)	10.52
Vested (in dollars per share)	12.12
Outstanding at end of period (in dollars per share)	$ 11.37
Restricted Stock [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	4 years
Vesting percentage	20.00%
Percentage of stock vests ratably over three years	50.00%
Percentage of stock vests at the end of the three years	50.00%
Vesting period of stock vests ratably over three years	3 years
Vesting period of stock vests at the end of three years	3 years
Restricted Stock [Member] | Director [Member] | Vesting through 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 56	0
Restricted Stock [Member] | Director [Member] | Vests over Five Years [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	6	87
Restricted Stock [Member] | Director 1 [Member] | Vesting through 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	19	19
Restricted Stock [Member] | Officer and Key Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 105	35
Vesting period	4 years
Restricted Stock [Member] | Officer and Key Employees [Member] | Vesting through 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 108	108
Stock Options [Member]
Stock Options and Warrants [Roll Forward]
Outstanding at beginning of period (in shares)	1,348,437
Granted (in shares)	0
Exercised (in shares)	(4,350)
Expired (in shares)	0
Cancelled (in shares)	0
Forfeited (in shares)	0
Outstanding at end of period (in shares)	1,344,087
Exercisable, end of period (in shares)	976,587
Weighted Average Exercise Price Per Share [Roll Forward]
Outstanding at beginning of period (in dollars per share)	$ 7.79
Granted (in dollars per share)	0
Exercised (in dollars per share)	3.90
Expired (in dollars per share)	0
Cancelled (in dollars per share)	0
Forfeited (in dollars per share)	0
Outstanding at end of period (in dollars per share)	7.80
Exercisable, end of period (in dollars per share)	$ 8.15
Weighted Average Remaining Contractual Life [Abstract]
Outstanding, weighted average remaining contractual life	4 years 10 months 24 days
Exercisable, weighted average remaining contractual life	5 years 2 months 12 days
Stock Options [Member] | Director [Member] | Vesting through 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 30	$ 66
Stock Options [Member] | Officer and Key Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		4 years
Stock Options [Member] | Officer and Key Employees [Member] | Vesting through 2018 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	309	$ 308
Stock Options [Member] | Mr. Hatem El Khalidi [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense	$ 0	$ 24

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Segment Reporting Information [Line Items]
Net revenues	$ 55,542	$ 52,200
Operating profit (loss) before depreciation and amortization	6,780	8,541
Operating profit (loss)	4,192	6,145
Profit (loss) before taxes	2,548	10,871
Depreciation and amortization	2,588	2,396
Capital expenditures	13,881	7,602
Goodwill and intangible assets, net	44,002		$ 44,467
Total assets	295,553		290,484
Product Sales [Member]
Segment Reporting Information [Line Items]
Net revenues	50,899	47,181
Processing Fees [Member]
Segment Reporting Information [Line Items]
Net revenues	4,643	5,019
Operating Segments [Member] | Petrochemical [Member]
Segment Reporting Information [Line Items]
Net revenues	45,879	44,065
Operating profit (loss) before depreciation and amortization	8,214	8,412
Operating profit (loss)	6,658	7,075
Profit (loss) before taxes	6,005	6,449
Depreciation and amortization	1,556	1,337
Capital expenditures	8,756	5,662
Goodwill and intangible assets, net	0		0
Total assets	228,280		219,376
Operating Segments [Member] | Petrochemical [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Net revenues	44,391	42,624
Operating Segments [Member] | Petrochemical [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Net revenues	1,488	1,441
Operating Segments [Member] | Specialty Wax [Member]
Segment Reporting Information [Line Items]
Net revenues	9,663	8,135
Operating profit (loss) before depreciation and amortization	745	2,062
Operating profit (loss)	(271)	1,011
Profit (loss) before taxes	(290)	1,006
Depreciation and amortization	1,016	1,051
Capital expenditures	5,125	1,940
Goodwill and intangible assets, net	44,002		44,467
Total assets	116,765		113,676
Operating Segments [Member] | Specialty Wax [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Net revenues	6,508	4,557
Operating Segments [Member] | Specialty Wax [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Net revenues	3,155	3,578
Eliminations [Member]
Segment Reporting Information [Line Items]
Goodwill and intangible assets, net	0		0
Total assets	(148,510)		(148,996)
Corporate [Member]
Segment Reporting Information [Line Items]
Net revenues	0	0
Operating profit (loss) before depreciation and amortization	(2,179)	(1,933)
Operating profit (loss)	(2,195)	(1,941)
Profit (loss) before taxes	(3,167)	3,416
Depreciation and amortization	16	8
Capital expenditures	0	0
Goodwill and intangible assets, net	0		0
Total assets	99,018		$ 106,428
Corporate [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Net revenues	0	0
Corporate [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Net revenues	$ 0	$ 0

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended
	Mar. 31, 2017
INCOME TAXES [Abstract]
Federal statutory rate	35.00%

POST-RETIREMENT OBLIGATIONS (De

POST-RETIREMENT OBLIGATIONS (Details) - Postretirement Benefits [Member] - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Mr. Hatem El Khalidi [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Post retirement liability	$ 1	$ 1
Nicholas Carter [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Post retirement liability	$ 0.3	$ 0.3

INVESTMENT IN AMAK (Details)

INVESTMENT IN AMAK (Details) $ / shares in Units, $ in Thousands	Jul. 31, 2016$ / sharesshares	Mar. 31, 2017USD ($)SAR / $	Mar. 31, 2016USD ($)	Dec. 31, 2016USD ($)	Jul. 31, 2016SAR / sharesshares	Jun. 30, 2016
Results of Operations [Abstract]
Loss from operations		$ 4,192	$ 6,145
Equity in Income or Loss of AMAK Reflected on Consolidated Statement Of Operation [Abstract]
Equity in earnings (loss) of AMAK		$ (966)	5,367
AMAK [Member]
Schedule of Equity Method Investments [Line Items]
Shares issued (in shares) | shares	4,000,000
Percentage investment in AMAK	33.44%	33.44%		33.44%	33.44%	35.25%
Investment in AMAK		$ 48,200		$ 49,400
Exchange rate | SAR / $		3.75
Results of Operations [Abstract]
Sales		$ 2,256	8,992
Gross profit (loss)		(1,307)	191
General, administrative and other expenses		2,589	2,147
Loss from operations		(3,896)	(1,956)
Gain on settlement with former operator		0	16,225
Net income (loss)		(3,896)	14,269
Depreciation and amortization		500	2,700
Net income (loss) before depreciation and amortization		(3,369)	16,978
Financial Position [Abstract]
Current assets		17,333		22,860
Noncurrent assets		257,715		251,741
Total assets		275,048		274,601
Current liabilities		10,326		8,005
Long term liabilities		84,567		82,546
Shareholders' equity		180,155		184,050
Total liabilities and Shareholders' equity		275,048		$ 274,601
Equity in Income or Loss of AMAK Reflected on Consolidated Statement Of Operation [Abstract]
AMAK Net income (loss)		(3,896)	14,269
Company's share of income (loss) reported by AMAK		(1,303)	5,030
Amortization of difference between Company's investment in AMAK and Company's share of net assets of AMAK		337	337
Equity in earnings (loss) of AMAK		$ (966)	$ 5,367
Arab Mining Co [Member]
Schedule of Equity Method Investments [Line Items]
Shares issued (in shares) | shares	3,750,000
Share price (in dollars per share) | (per share)	$ 5.33				SAR 20
Shares reserved for future issuance (in shares) | shares	250,000				250,000

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Director [Member]
Related Party Transaction [Line Items]
Consulting fees	$ 27	$ 33
Chairman [Member]
Related Party Transaction [Line Items]
Consulting fees	$ 19	$ 22
Period of consulting agreement	3 years

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) SAR in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)	Mar. 31, 2016USD ($)	Mar. 31, 2017SAR	Oct. 24, 2010USD ($)	Oct. 24, 2010SAR
Loss Contingencies [Line Items]
Expenses for environmental monitoring, compliance, and improvements	$ 165	$ 144
Pending Litigation [Member]
Loss Contingencies [Line Items]
Accrual recorded value	1,000
Saudi Industrial Development Fund Limited Guarantee [Member]
Guarantor Obligations [Line Items]
Principal amount of loan guaranteed				$ 88,000	SAR 330,000
Amount of maximum exposure	$ 82,700		SAR 310,000	$ 36,100	SAR 135,330
Saudi Industrial Development Fund Limited Guarantee [Member] | Maximum [Member]
Guarantor Obligations [Line Items]
Loan guarantee				41.00%	41.00%