Trecora Resources (TREC) 10-Q 6 Nov 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Nov. 01, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	TRECORA RESOURCES
Entity Central Index Key	7,039
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		24,516,069
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2018
Entity Emerging Growth Company	false
Entity Small Business	false

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Current Assets
Cash	$ 1,292	$ 3,028
Trade receivables, net	29,787	25,779
Insurance receivable	391	0
Inventories	17,828	18,450
Prepaid expenses and other assets	5,466	4,424
Taxes receivable	1,554	5,584
Total current assets	56,318	57,265
Plant, pipeline and equipment, net	192,311	181,742
Goodwill	21,798	21,798
Intangible assets, net	19,412	20,808
Investment in AMAK	44,322	45,125
Mineral properties in the United States	588	588
TOTAL ASSETS	334,749	327,326
Current Liabilities
Accounts payable	13,311	18,347
Accrued liabilities	6,018	3,961
Current portion of post-retirement benefit	24	305
Current portion of long-term debt	4,194	8,061
Current portion of other liabilities	835	870
Total current liabilities	24,382	31,544
Long-term debt, net of current portion	101,337	91,021
Post-retirement benefit, net of current portion	361	897
Other liabilities, net of current portion	1,170	1,611
Deferred income taxes	18,218	17,242
Total liabilities	145,468	142,315
EQUITY
Common stock‑authorized 40 million shares of $0.10 par value; issued 24.5 million in 2018 and 2017 and outstanding 24.3 million shares in 2018 and 2017	2,451	2,451
Additional paid-in capital	57,147	56,012
Common stock in treasury, at cost	(19)	(196)
Retained earnings	129,413	126,455
Total Trecora Resources Stockholders' Equity	188,992	184,722
Noncontrolling Interest	289	289
Total equity	189,281	185,011
TOTAL LIABILITIES AND EQUITY	$ 334,749	$ 327,326

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2018	Dec. 31, 2017
EQUITY
Common stock, shares authorized (in shares)	40,000,000	40,000,000
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares issued (in shares)	24,500,000	24,500,000
Common stock, shares outstanding (in shares)	24,300,000	24,300,000

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
REVENUES
REVENUES	$ 73,416	$ 61,508	$ 213,263	$ 179,165
OPERATING COSTS AND EXPENSES
Cost of Sales and Processing (including depreciation and amortization of $3,813, $2,565, $9,480, and $7,311, respectively)	66,574	51,638	188,139	147,570
GROSS PROFIT	6,842	9,870	25,124	31,595
GENERAL AND ADMINISTRATIVE EXPENSES
General and Administrative	6,327	5,660	17,216	17,621
Depreciation	205	245	592	655
GENERAL AND ADMINISTRATIVE EXPENSES	6,532	5,905	17,808	18,276
OPERATING INCOME	310	3,965	7,316	13,319
OTHER INCOME (EXPENSE)
Interest Income	5	0	26	0
Interest Expense	(924)	(795)	(2,617)	(2,109)
Loss on Extinguishment of Debt	(315)	0	(315)	0
Equity in Losses of AMAK	(1,130)	(897)	(672)	(5,161)
Miscellaneous Income (Expense)	(28)	22	(67)	(42)
OTHER INCOME (EXPENSE)	(2,392)	(1,670)	(3,645)	(7,312)
INCOME (LOSS) BEFORE INCOME TAXES	(2,082)	2,295	3,671	6,007
INCOME TAX EXPENSE (BENEFIT)	(473)	577	713	1,970
NET INCOME (LOSS)	(1,609)	1,718	2,958	4,037
NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTEREST	0	0	0	0
NET INCOME (LOSS) ATTRIBUTABLE TO TRECORA RESOURCES	$ (1,609)	$ 1,718	$ 2,958	$ 4,037
Basic Earnings (Loss) per Common Share
Net Income (Loss) Attributable to Trecora Resources (in dollars per share)	$ (0.07)	$ 0.07	$ 0.12	$ 0.17
Basic Weighted Average Number of Common Shares Outstanding (in shares)	24,483	24,304	24,397	24,267
Diluted Earnings (Loss) per Common Share
Net Income (Loss) Attributable to Trecora Resources (in dollars per share)	$ (0.06)	$ 0.07	$ 0.12	$ 0.16
Diluted Weighted Average Number of Common Shares Outstanding (in shares)	25,175	25,157	25,138	25,082
Petrochemical and Product Sales [Member]
REVENUES
REVENUES	$ 68,613	$ 58,030	$ 198,881	$ 165,945
Processing Fees [Member]
REVENUES
REVENUES	$ 4,803	$ 3,478	$ 14,382	$ 13,220

CONSOLIDATED STATEMENTS OF IN_2

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
OPERATING COSTS AND EXPENSES
Depreciation and amortization	$ 3,813	$ 2,565	$ 9,480	$ 7,311

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) - 9 months ended Sep. 30, 2018 - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	Total [Member]	Non-Controlling Interest [Member]	Director [Member]	Director [Member]Additional Paid-In Capital [Member]	Director [Member]Total [Member]	Employees [Member]	Employees [Member]Additional Paid-In Capital [Member]	Employees [Member]Total [Member]
Equity, beginning balance (in shares) at Dec. 31, 2017	24,300	24,311
Equity, beginning balance at Dec. 31, 2017	$ 185,011	$ 2,451	$ 56,012	$ (196)	$ 126,455	$ 184,722	$ 289
Stock Options
Issued to Directors and Employees								$ (10)	$ (10)	$ (10)	$ 154	$ 154	$ 154
Cancellations (see Note 13)	(680)		(680)			(680)
Restricted Stock Units
Issued to Directors	250		250			250
Issued to Employees	1,284		1,284			1,284
Common Stock
Issued to Directors	160		82	78		160
Issued to Employees	285		130	155		285
Stock Exchange (see Notes 8 & 17)	(131)		(66)	(65)		(131)
Warrants			(9)	9
Net Income	$ 2,958				2,958	2,958
Equity, ending balance (in shares) at Sep. 30, 2018	24,300	24,311
Equity, ending balance at Sep. 30, 2018	$ 189,281	$ 2,451	$ 57,147	$ (19)	$ 129,413	$ 188,992	$ 289

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
OPERATING ACTIVITIES
Net Income	$ 2,958	$ 4,037
To Net Cash Provided by Operating Activities:
Depreciation and Amortization	8,614	6,570
Amortization of Intangible Assets	1,396	1,396
Unrealized Gain on Derivative Instruments	0	(51)
Stock-based Compensation	1,002	2,005
Deferred Income Taxes	975	1,571
Postretirement Obligation	(817)	(8)
Equity in Losses of AMAK	672	5,161
Bad Debt Expense	152	0
Amortization of Loan Fees	216	154
Loss on Extinguishment of Debt	315	0
Changes in Operating Assets and Liabilities:
Increase in Trade Receivables	(4,160)	(545)
Increase in Insurance Receivables	(391)	0
Decrease in Taxes Receivable	4,029	218
Decrease in Inventories	622	5,022
(Increase) Decrease in Prepaid Expenses and Other Assets	(1,592)	387
(Decrease) Increase in Accounts Payable and Accrued Liabilities	(2,977)	3,356
(Decrease) Increase in Other Liabilities	96	281
Net Cash Provided by Operating Activities	11,110	29,554
INVESTING ACTIVITIES
Additions to Plant, Pipeline and Equipment	(19,090)	(39,250)
Advances to AMAK, net	(114)	(86)
Cash Used in Investing Activities	(19,204)	(39,336)
FINANCING ACTIVITIES
Issuance of Common Stock	0	25
Net Cash Received (Paid) Related to Stock-Based Compensation	441	(80)
Addition to Long-Term Debt	18,177	14,000
Repayment of Long-Term Debt	(12,260)	(8,333)
Net Cash Provided by Financing Activities	6,358	5,612
NET DECREASE IN CASH	(1,736)	(4,170)
CASH AT BEGINNING OF PERIOD	3,028	8,389
CASH AT END OF PERIOD	1,292	4,219
Supplemental disclosure of cash flow information:
Cash payments for interest	2,663	3,034
Cash payments for taxes, net of refunds	209	227
Supplemental disclosure of non-cash items:
Capital expansion amortized to depreciation expense	573	642
Stock exchange (Notes 8 & 17)	$ 131	$ 0

GENERAL

GENERAL	9 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GENERAL	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, 2017 . 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 nine months ended September 30, 2018 are not necessarily indicative of results for the year ending December 31, 2018 . We currently operate in two segments, specialty petrochemical products and specialty synthetic waxes. All revenue originates from sources in the United States, and all long-lived assets owned are located in the United States. In addition, we own 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 17. Revenue Recognition The Company adopted Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 606 ("ASC 606"), Revenue from Contracts with Customers, and its amendments with a date of the initial application of January 1, 2018. As a result, the Company has changed its accounting policy for revenue recognition as detailed below. ASC 606 outlines a single comprehensive model for an entity to use in accounting for revenue arising from all contracts with customers, except where revenues are in scope of another accounting standard. ASC 606 superseded the revenue recognition requirements in ASC Topic 605, " Revenue Recognition", and most industry specific guidance. ASC Topic 606 sets forth a five-step model for determining when and how revenue is recognized. Under the model, an entity is required to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods and services. ASC 606 also requires certain additional revenue-related disclosures. The Company applied the modified retrospective approach under ASC 606 which allows for the cumulative effect of adopting the new guidance on the date of initial application. Use of the modified retrospective approach means the Company's comparative periods prior to initial application are not restated. The initial application was applied to all contracts at the date of the initial application. The Company has determined that the adjustments using the modified retrospective approach did not have a material impact on the date of the initial application along with the disclosure of the effect on prior periods. Accounting Policy Beginning on January 1, 2018, revenue is measured based on a consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. In evaluating when a customer has control of the asset we primarily consider whether the transfer of legal title and physical delivery has occurred, whether the customer has significant risks and rewards of ownership, and whether the customer has accepted delivery and a right to payment exists. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as a fulfillment cost and are included in cost of product sales and processing. The Company does not offer material rights of return or service-type warranties. For the nine months ended September 30, 2017 the Company recognized revenue according to FASB ASC Topic 605 ("ASC 605"), " Revenue Recognition" , when: (1) the customer accepted delivery of the product and title had been transferred or when the service was performed and the Company had no significant obligations remaining to be performed; (2) a final understanding as to specific nature and terms of the agreed upon transaction had occurred; (3) price was fixed and determinable; and (4) collection was assured. Product sales generally met these criteria, and revenue was recognized, when the product was delivered or title was transferred to the customer. Sales revenue was presented net of discounts, allowances, and sales taxes. Freight costs billed to customers were recorded as a component of revenue. Revenues received in advance of future sales of products or prior to the performance of services were presented as deferred revenues. Shipping and handling costs were classified as cost of product sales and processing and were expensed as incurred. Nature of goods and services The following is a description of principal activities – separated by reportable segments – from which the Company generates its revenue. For more detailed information about reportable segments, disaggregation of revenues, and contract balance disclosures, see Note 14. Petrochemical segment The petrochemical segment of the Company produces eight high purity hydrocarbons and other petroleum based products including isopentane, normal pentane, isohexane and hexane. These products are used in the production of polyethylene, packaging, polypropylene, expandable polystyrene, poly-iso/urethane foams, crude oil from the Canadian tar sands, and in the catalyst support industry. SHR's petrochemical products are typically transported to customers by rail car, tank truck, iso-container and ship. Product Sales - The Company sells individual (distinct) products to its customers on a stand-alone basis (point-of-sale) without any further integration. There is no significant modification of any one or more products sold to fulfill another promised product or service within any of the Company's product sale transactions. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected 30 to 60 days subsequent to point of sale. Processing Fees - The Company's services consist of processing customer supplied feedstocks into custom products including, if requested, services for forming, packaging, and arranging shipping. Pursuant to Tolling Agreements the customer retains title to the feedstocks and processed products. The performance obligation in each Tolling Agreement transaction is the processing of customer provided feedstocks into custom products and is satisfied over time. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale. Specialty Wax segment The specialty wax segment of the Company manufactures and sells specialty polyethylene and poly alpha olefin waxes and also provides custom processing services for customers. Product Sales - The Company sells individual (distinct) products to its customers on a stand-alone basis (point-of-sale) without any further integration. There is no significant modification of any one or more products sold to fulfill another promised product or service within any of the Company's product sale transactions. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale. Processing Fees - The Company's promised services consist of processing customer supplied feedstocks into custom products including, if requested, services for forming, packaging, and arranging shipping. Pursuant to Tolling Agreements and Purchase Order Arrangements, the customer typically retains title to the feedstocks and processed products. The performance obligation in each Tolling Agreement transaction and Purchase Order Arrangement is the processing of customer provided feedstocks into custom products and is satisfied over time. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale.

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	RECENT ACCOUNTING PRONOUNCEMENTS In May 2014, the FASB issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements of FASB ASC Topic 605, Revenue Recognition and most industry-specific guidance throughout the ASC, resulting in the creation of FASB ASC Topic 606, Revenue from Contracts with Customers . ASU 2014-09 requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. This ASU provides alternative methods of retrospective adoption and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company completed its assessment of the impact of the adoption of ASU 2014-09 across all revenue streams. This included reviewing current accounting policies and practices to identify potential differences that would result from applying the requirements under the new standard. We completed contract reviews and validated results of applying the new revenue guidance (Note 1). In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), and has subsequently issued several supplemental and/or clarifying ASUs to increase transparency and comparability among organizations by recognizing all lease transactions (with terms in excess of 12 months) on the balance sheet as a lease liability and a right-of-use asset (as defined). The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with earlier application permitted. Upon adoption, the lessee will apply the new standard retrospectively to all periods presented or retrospectively using a cumulative effect adjustment in the year of adoption. The Company has several lease agreements for which the amendments will require the Company to recognize a lease liability to make lease payments and a right-of-use asset which will represent its right to use the underlying asset for the lease term. The Company is currently reviewing the amendments to ensure it is fully compliant by the adoption date and does not expect to early adopt. As permitted by the amendments, the Company is anticipating electing an accounting policy to not recognize lease assets and lease liabilities for leases with a term of twelve months or less. The Company has established a project team to analyze ASU No. 2016-02 and is reviewing current accounting policies and procedures to identify potential differences and changes which would result from applying the required new standard to it's lease contracts, and is developing and implementing appropriate changes to internal control processes and controls to support the accounting and disclosure requirements. The Company has identified the population of lease agreements, comprised primarily of railcar lease arrangements, as well as office space and equipment, and is assessing the impact of other arrangements for potential embedded leases. In February 2018, the FASB issued ASU No. 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . ASU 2018-02 was issued to address the income tax accounting treatment of the stranded tax effects within other comprehensive income due to the prohibition of backward tracing due to an income tax rate change that was initially recorded in other comprehensive income due to the enactment of the Tax Cuts and Jobs Act ("TCJA") on December 22, 2017, which changed the Company's income tax rate from 35% to 21% . The amendments to the ASU changed US GAAP whereby an entity may elect to reclassify the stranded tax effect from accumulated other comprehensive income to retained earnings. The amendments of the ASU may be adopted in total or in part using a full retrospective or modified retrospective method. The amendments of the ASU are effective for periods beginning after December 15, 2018. Early adoption is permitted. The Company believes there will be no material impact to the consolidated financial statements as a result of this update. In June 2018, the FASB issued ASU No. 2018-07, Improvements to Nonemployee Share-Based Payment Accounting. ASU 2018-07 simplifies the accounting for share-based payments to nonemployees by aligning it with the accounting for share-based payments to employees, with certain exceptions. The amendments in this ASU are effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The Company is assessing the effect of ASU 2018-02 on its consolidated financial statements.

TRADE RECEIVABLES

TRADE RECEIVABLES	9 Months Ended
	Sep. 30, 2018
Receivables [Abstract]
TRADE RECEIVABLES	TRADE RECEIVABLES Trade receivables, net, consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Trade receivables $ 30,239 $ 26,079 Less allowance for doubtful accounts (452 ) (300 ) Trade receivables, net $ 29,787 $ 25,779 Trade receivables serves as collateral for our amended and restated credit agreement. See Note 10.

PREPAID EXPENSES AND OTHER ASSE

PREPAID EXPENSES AND OTHER ASSETS	9 Months Ended
	Sep. 30, 2018
Prepaid Expense and Other Assets, Current [Abstract]
PREPAID EXPENSES AND OTHER ASSETS	PREPAID EXPENSES AND OTHER ASSETS Prepaid expenses and other assets consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Prepaid license $ 2,217 $ 1,919 Prepaid catalyst 620 779 Prepaid insurance 26 — Spare parts 1,557 954 Other prepaid expenses and assets 1,046 772 Total $ 5,466 $ 4,424

INVENTORIES

INVENTORIES	9 Months Ended
	Sep. 30, 2018
Inventory Disclosure [Abstract]
INVENTORIES	INVENTORIES Inventories included the following: September 30, 2018 December 31, 2017 (thousands of dollars) Raw material $ 3,135 $ 3,703 Work in process 164 27 Finished products 14,529 14,720 Total inventory $ 17,828 $ 18,450 Inventory serves as collateral for our amended and restated credit agreement. See Note 10. Inventory included petrochemical products in transit valued at approximately $4.5 million and $3.7 million at September 30, 2018 , and December 31, 2017 , respectively.

PLANT, PIPELINE AND EQUIPMENT

PLANT, PIPELINE AND EQUIPMENT	9 Months Ended
	Sep. 30, 2018
Property, Plant and Equipment [Abstract]
PLANT, PIPELINE AND EQUIPMENT	PLANT, PIPELINE AND EQUIPMENT Plant, pipeline and equipment consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Platinum catalyst metal $ 1,612 $ 1,612 Land 5,428 5,428 Plant, pipeline and equipment 254,560 186,946 Construction in progress 1,927 50,996 Total plant, pipeline and equipment 263,527 244,982 Less accumulated depreciation (71,216 ) (63,240 ) Net plant, pipeline and equipment $ 192,311 $ 181,742 Plant, pipeline, and equipment serve as collateral for our amended and restated credit agreement. See Note 10. Interest capitalized for construction was approximately $0 and $218,000 for the three and $731,000 and $878,000 for the nine months ended September 30, 2018 and 2017 , respectively. Labor capitalized for construction was approximately $0.1 million and $0.8 million for the three and $2.2 million and $2.4 million for the nine months ended September 30, 2018 , and 2017 , respectively. Construction in progress during the first nine months of 2018 included equipment purchased for various equipment updates at the TC facility; new reformer unit, tankage upgrades, and an addition to the rail spur at SHR. Construction in progress during the first nine months of 2017 included equipment purchased for the hydrogenation/distillation unit and updates to B Plan equipment at the TC facility; new reformer unit, tankage upgrades, and an addition to the rail spur at SHR. Amortization relating to the platinum catalyst, which is included in cost of sales, was approximately $24,000 and $0 for the three and $24,000 and $25,000 for the nine months ended September 30, 2018 and 2017 , respectively.

GOODWILL AND INTANGIBLE ASSETS,

GOODWILL AND INTANGIBLE ASSETS, NET	9 Months Ended
	Sep. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND INTANGIBLE ASSETS, NET	GOODWILL AND INTANGIBLE ASSETS, NET Goodwill and 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, 2018 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (4,494 ) $ 12,358 Non-compete agreements 94 (75 ) 19 Licenses and permits 1,471 (469 ) 1,002 Developed technology 6,131 (2,453 ) 3,678 24,548 (7,491 ) 17,057 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (7,491 ) $ 19,412 December 31, 2017 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (3,651 ) $ 13,201 Non-compete agreements 94 (61 ) 33 Licenses and permits 1,471 (390 ) 1,081 Developed technology 6,131 (1,993 ) 4,138 24,548 (6,095 ) 18,453 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (6,095 ) $ 20,808 Amortization expense for intangible assets included in cost of sales for the three months ended September 30, 2018 and 2017 , was approximately $465,000 and $466,000 , respectively, and for the nine months ended September 30, 2018 and 2017 , was approximately $1,396,000 and $1,396,000 , respectively. Based on identified intangible assets that are subject to amortization as of September 30, 2018 , we expect future amortization expenses for each period to be as follows: Total Remainder of 2018 2019 2020 2021 2022 2023 Thereafter (thousands of dollars) Customer relationships $ 12,358 $ 281 $ 1,123 $ 1,123 1,123 1,123 1,123 $ 6,462 Non-compete agreements 19 5 14 — — — — — Licenses and permits 1,002 26 106 106 101 86 86 491 Developed technology 3,678 153 613 613 613 613 613 460 Total future amortization expense $ 17,057 $ 465 $ 1,856 $ 1,842 $ 1,837 $ 1,822 $ 1,822 $ 7,413

NET INCOME PER COMMON SHARE ATT

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES	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 September 30, 2018 and 2017 , respectively. Three Months Ended Three Months Ended Income (Loss) Shares Per Share Amount Income (Loss) Shares Per Share Amount Basic Net Income per Share: Net Income (Loss) Attributable to Trecora Resources $ (1,609 ) 24,483 $ (0.07 ) $ 1,718 24,304 $ 0.07 Unvested restricted stock units 398 379 Dilutive stock options outstanding 294 474 Diluted Net Income per Share: Net Income (Loss) Attributable to Trecora Resources $ (1,609 ) 25,175 $ (0.06 ) $ 1,718 25,157 $ 0.07 Nine Months Ended Nine Months Ended Income Shares Per Share Amount Income Shares Per Share Amount Basic Net Income per Share: Net Income Attributable to Trecora Resources $ 2,958 24,397 $ 0.12 $ 4,037 24,267 $ 0.17 Unvested restricted stock units 383 360 Dilutive stock options outstanding 358 455 Diluted Net Income per Share: Net Income Attributable to Trecora Resources $ 2,958 25,138 $ 0.12 $ 4,037 25,082 $ 0.16 At September 30, 2018 and 2017 , 873,708 and 1,334,087 shares of common stock, respectively, were issuable upon the exercise of options and warrants. In first quarter 2018, we completed an exchange of shares with certain shareholders whereby such shareholders traded 65,000 common shares of TREC in exchange for 24,489 shares of our AMAK stock. The 65,000 shares were accounted for as treasury stock.

ACCRUED LIABILITIES

ACCRUED LIABILITIES	9 Months Ended
	Sep. 30, 2018
Accrued Liabilities [Abstract]
ACCRUED LIABILITIES	ACCRUED LIABILITIES Accrued liabilities consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Accrued state taxes $ 157 $ 272 Accrued property taxes 1,350 — Accrued payroll 1,099 1,407 Accrued interest 31 30 Accrued officer compensation 600 500 Other 2,781 1,752 Total $ 6,018 $ 3,961

LIABILITIES AND LONG-TERM DEBT

LIABILITIES AND LONG-TERM DEBT	9 Months Ended
	Sep. 30, 2018
Debt Disclosure [Abstract]
LIABILITIES AND LONG-TERM DEBT	LIABILITIES AND LONG-TERM DEBT Senior Secured Credit Facilities. On July 31, 2018, TOCCO, as borrower, and SHR, GSPL and TC, as guarantors (collectively, the “Guarantors”), entered into a Fourth Amendment (“Fourth Amendment”) to our Amended and Restated Credit Agreement (the “ARC”). Pursuant to the Fourth Amendment, the revolving commitment under the ARC (the “Revolving Facility”) was increased from $60.0 million to $75.0 million . Total borrowings under the term loan facility of the ARC (the “Term Loan Facility” and, together with the Revolving Facility, the “Credit Facilities”) were increased to $87.5 million under a single combined term loan, which comprised new term loan borrowings together with approximately $60.4 million of previously outstanding term loans under the Term Loan Facility. The $60.4 million of previously outstanding term loans included the remaining outstanding balances on (i) a $70.0 million single advance term loan incurred to partially finance the acquisition of TC (which we refer to as the “Acquisition loan”) and (ii) a $25.0 multiple advance term loan facility for which borrowing availability ended on December 31, 2015. Proceeds of the new borrowings under the Term Loan Facility were used to repay a portion of the outstanding borrowings under the Revolving Facility and pay fees and expenses of the transaction. The Fourth Amendment also increased the size of the accordion feature allowing us to request an increase to the commitment under the Revolving Facility and/or the Term Loan Facility by an additional amount of up to $50.0 million in the aggregate, subject to the lenders acceptance of any increased commitment and certain other conditions. As of September 30, 2018, we had $20.0 million in borrowings outstanding under the Revolving Facility and $86.4 million in borrowings outstanding under the Term Loan Facility. In addition, we had $55 million of available borrowings under our Revolving Facility at September 30, 2018. The Fourth Amendment also extended the maturity date for the ARC from October 1, 2019 to July 31, 2023 and decreased the interest rate margin applicable to borrowings under each of the Credit Facilities. Following the effective date of the Fourth Amendment, borrowings under each of the Credit Facilities bear interest on the outstanding principal amount at a rate equal to London Interbank Offered Rate ("LIBOR") plus an applicable margin of 1.25% to 2.25% (decreased from 2.00% to 3.00% ) or, at our option, the Base Rate (as defined in the ARC) plus an applicable margin of 0.25% to 1.25% (decreased from 1.00% to 2.00% ), in each case, with the applicable margin being determined based on the Consolidated Leverage Ratio (as defined in the ARC) of TOCCO. A commitment fee between 0.20% and 0.30% (decreased from 0.25% to 0.375% ) is also payable quarterly on the unused portion of the Revolving Facility. As of September 30, 2018, the effective interest rate for the Credit Facilities was 4.24% . Borrowings under the Term Loan Facility continue to be subject to quarterly amortization payments based on a commercial style amortization method over a twenty year period; provided that the final principal installment will be paid on the maturity date and will be in an amount equal to the outstanding borrowings under the Term Loan Facility on such date. The Fourth Amendment also modified certain covenants and other provisions of the ARC to provide us with additional flexibility, including (i) increasing the maximum Consolidated Leverage Ratio that must be maintained by TOCCO to 3.50 to 1.00 (subject to temporary increase following certain acquisitions), (ii) decreasing the minimum Consolidated Fixed Charge Coverage Ratio (as defined in the ARC) that must be maintained by TOCCO to 1.15 to 1.00 and (iii) eliminating the requirement that TOCCO maintain a minimum asset coverage ratio. Pursuant to the Fourth Amendment, we are only required to comply with the minimum Consolidated Fixed Charge Leverage Ratio covenant beginning with the quarter ended December 31, 2018. In addition to the foregoing, the Term Loan Facility contains a number of other customary affirmative and negative covenants. We were in compliance with all covenants at September 30, 2018. Following the effectiveness of the Fourth Amendment, all obligations under the ARC continue to be unconditionally guaranteed by the Guarantors and continue to be secured by a first priority lien on substantially all of the assets of TOCCO and the Guarantors under the ARC. For a summary of additional terms of the Credit Facilities and previous amendments, see Note 13, “Long-Term Debt and Long-Term Obligations” to the consolidated financial statements set forth in our Annual Report on Form 10-K for the year ended December 31, 2017. Debt Issuance Costs. Debt issuance costs of approximately $0.9 million were incurred in connection with the Fourth Amendment and the remaining debt issuance costs of $0.3 million from the previous agreements were expensed and are shown as a loss on the extinguishment of debt on the consolidated statements of income for the three and nine months ended September 30, 2018. Unamortized debt issuance costs of approximately $0.9 million and $0.5 million for the periods ended September 30, 2018 and December 31, 2017, have been netted against outstanding loan balances. The following table summarizes the carrying amounts and debt issuance costs of our long-term debt (in thousands): September 30, 2018 December 31, 2017 Acquisition loan $ — $ 47,250 Term loan 86,406 17,333 Revolving facility 20,000 35,000 Total 106,406 99,583 Debt issuance costs (875 ) (501 ) Total long-term debt $ 105,531 $ 99,082 Less current portion including loan fees 4,194 8,061 Total long-term debt, less current portion including loan fees $ 101,337 $ 91,021

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2018
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS The carrying value of cash, 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, trade receivables, accounts payable, accrued liabilities, other liabilities and variable rate long term debt. The fair value of the derivative instruments are described below. 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 LIBOR rate. We had designated the interest rate swap as a cash flow hedge under ASC Topic 815, Derivatives and Hedging. However, due to the ARC, we felt that the hedge was no longer entirely effective. Due to the time required to make the determination and the immateriality of the hedge, we began treating it as ineffective as of October 1, 2014. We assessed 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. The agreement terminated in December 2017; therefore, there was no outstanding liability at September 30, 2018 , and December 31, 2017 . See discussion of our derivative instruments in Note 12.

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	9 Months Ended
	Sep. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	DERIVATIVE INSTRUMENTS Interest Rate Swap On March 21, 2008, SHR entered into a pay-fixed, receive-variable interest rate swap agreement with Bank of America related to the $10.0 million (later increased to $14.0 million ) term loan secured by plant, pipeline and equipment. The effective date of the interest rate swap agreement was August 15, 2008, and terminated on December 15, 2017. We received credit for payments of variable rate interest made on the term loan at the loan's variable rates, which are based upon the LIBOR, and paid 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 . Beginning on August 15, 2008, the derivative instrument was reported at fair value with any changes in fair value reported within other comprehensive income (loss) in the Company's Statement of Stockholders' Equity. We entered into the interest rate swap to minimize the effect of changes in the LIBOR rate. Due to the new debt agreements associated with the acquisition of TC, we believed that the hedge was no longer entirely effective. Due to the time required to make the determination and the immateriality of the hedge, we began treating the interest rate swap as ineffective as of October 1, 2014.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
STOCK-BASED COMPENSATION	STOCK-BASED COMPENSATION Stock-based compensation of approximately $629,000 and $716,000 during the three months and $1,002,000 and $2,005,000 during the nine months ended September 30, 2018 , and 2017 , respectively, was recognized. Restricted Stock Awards On August 9, 2018, we awarded approximately 40,000 shares of restricted stock to employees at a grant date price of $12.85 . The stock will vest six months from the grant date. Compensation expense recognized during the three months ended September 30, 2018, was $171,000 . On January 17, 2018, we awarded 361 shares of restricted stock to an officer at a grant date price of $13.85 . The stock was immediately vested. Compensation expense recognized during the three months ended September 30, 2018 , was $0 and for the nine months ended September 30, 2018 , was $5,000 . Restricted Stock Unit Awards On September 1, 2018, we awarded approximately 9,000 shares of restricted stock to a director at a grant date price of $14.00 . The restricted stock award vests over 2 years in 50% increments. Director’s compensation recognized during the three and nine months ended September 30, 2018 , was approximately $4,000 . On February 20, 2018, we awarded approximately 102,000 shares of restricted stock units to officers at a grant date price of $12.15 . One-half of the restricted stock units vest ratably over three years . The other half vests at the end of 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. Compensation expense recognized during the three months ended September 30, 2018 , was approximately $108,000 and for the nine months ended September 30, 2018 , was $252,000 . Officer compensation of approximately $95,000 and $121,000 during the three months and $301,000 and $161,000 during the nine months ended September 30, 2018 , and 2017 , respectively, was recognized related to restricted stock unit awards granted to officers vesting through 2020. Director compensation of approximately $75,000 and $75,000 during the three months and $240,000 and $231,000 during the nine months ended September 30, 2018 , and 2017 , respectively, was recognized related to restricted stock unit awards granted to directors vesting through 2020. Officer compensation of approximately $79,000 and $106,000 was recognized during the three months and $255,000 and $316,000 during the nine months ended September 30, 2018 , and 2017 , respectively, related to restricted stock unit awards granted to officers. One-half of the restricted stock units vest ratably over three 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. Employee compensation of approximately $98,000 and $108,000 during the three months and $300,000 and $323,000 during the nine months ended September 30, 2018 , and 2017 , respectively, was recognized related to restricted stock units with a four years vesting period which was awarded to officers. This restricted stock vests through 2019. Restricted stock units activity in the first nine months of 2018 was as follows: Shares of Restricted Stock Units Weighted Average Grant Date Price per Share Outstanding at January 1, 2018 387,702 $ 11.39 Granted 151,908 $ 12.45 Forfeited (48,631 ) $ 10.88 Vested (92,874 ) $ 11.85 Outstanding at September 30, 2018 398,105 $ 11.72 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, 2018 1,323,587 $ 7.82 Granted — — Exercised (249,879 ) 5.61 Cancelled (200,000 ) 3.40 Forfeited — — Outstanding at September 30, 2018 873,708 $ 9.47 4.5 Exercisable at September 30, 2018 873,708 $ 9.47 4.5 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. Directors' compensation of approximately $0 and $30,000 during the three months and $0 and $90,000 during the nine months ended September 30, 2018 , and 2017 , respectively, was recognized related to options to purchase shares vesting through 2017. Employee compensation of approximately $0 and $277,000 during the three months and $154,000 and $884,000 during the nine months ended September 30, 2018 , and 2017 , 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 $0 during the three months and $679,000 and $0 during the nine months ended September 30, 2018 , and 2017 , was reversed 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 shareholders which would benefit him personally and were not in the best interests of the Company and its shareholders. The Company was successful in litigating its right to withdraw the options and benefits and as such, these options and benefits were reversed during the second quarter of 2018. See further discussion in Note 19. See the Company's Annual Report on Form 10-K for the year ended December 31, 2017 for additional information.

SEGMENT INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Sep. 30, 2018
Segment Reporting [Abstract]
SEGMENT INFORMATION	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 specialty petrochemical segment includes SHR and GSPL. Our specialty synthetic wax segment is 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 September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 61,675 $ 6,938 $ — $ — $ 68,613 Processing fees 2,056 2,799 — (52 ) 4,803 Total revenues 63,731 9,737 — (52 ) 73,416 Operating profit (loss) before depreciation and amortization 6,167 415 (2,252 ) — 4,330 Operating profit (loss) 3,516 (936 ) (2,270 ) — 310 Profit (loss) before taxes 2,561 (1,239 ) (3,404 ) — (2,082 ) Depreciation and amortization 2,651 1,351 16 — 4,018 Capital expenditures 2,562 1,094 — — 3,656 Three Months Ended September 30, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 52,440 $ 5,590 $ — — $ 58,030 Processing fees 1,519 1,959 — — 3,478 Total revenues 53,959 7,549 — — 61,508 Operating profit (loss) before depreciation and amortization 9,319 (587 ) (1,957 ) — 6,775 Operating profit (loss) 7,735 (1,795 ) (1,975 ) — 3,965 Profit (loss) before taxes 7,149 (1,975 ) (2,879 ) — 2,295 Depreciation and amortization 1,584 1,208 18 — 2,810 Capital expenditures 9,426 1,991 — — 11,417 Nine Months Ended September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 178,094 $ 20,755 $ — $ 32 $ 198,881 Processing fees 5,769 8,863 — (250 ) 14,382 Total revenues 183,863 29,618 — (218 ) 213,263 Operating profit (loss) before depreciation and amortization 20,655 1,969 (5,234 ) — 17,390 Operating profit (loss) 14,635 (2,051 ) (5,268 ) — 7,316 Profit (loss) before taxes 12,474 (2,926 ) (5,877 ) — 3,671 Depreciation and amortization 6,020 4,020 32 — 10,072 Capital expenditures 16,374 2,716 — — 19,090 Nine Months Ended September 30, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 147,339 $ 18,606 $ — — $ 165,945 Processing fees 5,078 8,142 — — 13,220 Total revenues 152,417 26,748 — — 179,165 Operating profit (loss) before depreciation and amortization 26,294 969 (5,978 ) — 21,285 Operating profit (loss) 21,610 (2,264 ) (6,027 ) — 13,319 Profit (loss) before taxes 19,750 (2,534 ) (11,209 ) — 6,007 Depreciation and amortization 4,684 3,233 49 — 7,966 Capital expenditures 27,203 12,047 — — 39,250 September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Trade receivables, product sales $ 22,600 $ 3,896 $ — $ — $ 26,496 Trade receivables, processing fees 1,165 2,126 — — 3,291 Goodwill and intangible assets, net — 41,210 — — 41,210 Total assets 282,094 115,146 91,647 (154,138 ) 334,749 December 31, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Trade receivables, product sales $ 20,211 $ 2,671 $ — $ — $ 22.882 Trade receivables, processing fees 983 1,914 — — 2,897 Goodwill and intangible assets, net — 42,606 — — 42,606 Total assets 265,213 117,579 97,880 (153,346 ) 327,326

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	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 that the December 31, 2014, tax return was selected for audit. In April 2017 the audit was expanded to include the year ended December 31, 2015, to review the refund claim related to research and development activities. We received notification from the IRS in March 2018 that audit was complete and acceptance of the refund claims resulting from the Research and Development ("R&D") credit for approximately $350,000 , which has now been received. We also received notification that Texas will audit our R&D credit calculations for 2014 and 2015. We are in the process of submitting additional documentation to Texas. We do not expect any changes related to the Texas audit. Tax returns for various jurisdictions remain open for examination for the years 2014 through 2017. As of September 30, 2018 and December 31, 2017 , respectively, we recognized no adjustment for uncertain tax positions or related interest and penalties. The effective tax rate varies from the federal statutory rate of 21% , primarily as a result of state tax expense, stock based compensation and a research and development credit for the three and nine months ended September 30, 2018 . 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 for the three and nine months ended September 30, 2017 . We continue to maintain a valuation allowance against certain deferred tax assets where realization is not certain. On December 22, 2017, Public Law No. 115-97 known as the TCJA was enacted. The TCJA includes a number of changes to existing U.S. tax laws that impact the Company, most notably a reduction of the U.S. federal corporate income tax rate from a maximum of 35% to a flat 21% for tax years effective January 1, 2018. The TCJA also implements a territorial tax system, provides for a one-time deemed repatriation tax on unrepatriated foreign earnings, eliminates the alternative minimum tax ("AMT"), makes AMT credit carryforwards refundable, and permits the acceleration of depreciation for certain assets placed into service after September 27, 2017. In addition, the TJCA creates prospective changes beginning in 2018, including repeal of the domestic manufacturing deduction, acceleration of tax revenue recognition, capitalization of research and development expenditures, additional limitations on executive compensation and limitations on the deductibility of interest. We have elected to recognize the income tax effects of the TCJA in our financial statements in accordance with Staff Accounting Bulletin 118 (SAB 118), which provides guidance for the application of ASC Topic 740 Income Taxes , in the reporting period in which the TCJA was signed into law. Under SAB 118 when a Company does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the TCJA, it will recognize provisional amounts if a reasonable estimate can be made. If a reasonable estimate cannot be made, then no impact is recognized for the effect of the TCJA. SAB 118 permits an up to one year measurement period to finalize the measurement of the impact of the TCJA. We have recognized the provisional tax impacts related to the acceleration of depreciation and included these amounts in our consolidated financial statements for the three and nine months ended September 30, 2018 . The ultimate impact may differ from these provisional amounts, possibly materially, due to, among other things, additional analysis, changes in interpretations and assumptions the we have made, additional regulatory guidance that may be issued, and actions we may take as a result of the TCJA . We did not identify items for which the income tax effects of the TCJA have not been completed, and a reasonable estimate could not be determined as of September 30, 2018 and December 31, 2017 . The federal income tax return was filed in October 2018, which resulted in net operating tax loss and business credit which were carried back to 2015 and 2016.

POST-RETIREMENT OBLIGATIONS

POST-RETIREMENT OBLIGATIONS	9 Months Ended
	Sep. 30, 2018
Retirement Benefits [Abstract]
POST-RETIREMENT OBLIGATIONS	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 13 and 19. All amounts which had not met termination dates remained recorded until a resolution was achieved. The matter was resolved on May 25, 2018 and as of June 30, 2018, post-retirement obligations of approximately $1.0 million for Mr. El Khalidi have been reversed. As of December 31, 2017 , approximately $1.0 million remained outstanding and was included in post-retirement benefits. In July 2015 and June 2018, we entered into retirement agreements with our former CEO and current Executive Chairman, and our former VP of Accounting & Compliance. As of September 30, 2018 and December 31, 2017 , approximately $0.4 million and $0.3 million , respectively, 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, 2017 for additional information.

INVESTMENT IN AMAK

INVESTMENT IN AMAK	9 Months Ended
	Sep. 30, 2018
Equity Method Investments and Joint Ventures [Abstract]
INVESTMENT IN AMAK	INVESTMENT IN AMAK In first quarter 2018, we completed an exchange of shares with certain shareholders whereby such shareholders traded 65,000 common shares of TREC in exchange for 24,489 shares of our AMAK stock. The 65,000 shares were accounted for as treasury stock. This transaction reduced our ownership percentage from 33.44% to 33.41% . As of September 30, 2018 and December 31, 2017 , the Company had a non-controlling equity interest of 33.4% in AMAK of approximately $44.3 million and $45.1 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 September 30, 2018 . 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 September 30, Nine Months Ended September 30, 2018 2017 2018 2017 (thousands of dollars) (thousands of dollars) Sales $ 19,877 $ 9,709 $ 53,458 $ 11,965 Cost of sales 20,350 11,016 49,411 23,480 Gross profit (loss) $ (473 ) $ (1,307 ) $ 4,047 $ (11,515 ) General, administrative and other expenses 3,917 2,382 9,083 6,942 Net Loss $ (4,390 ) $ (3,689 ) $ (5,036 ) $ (18,457 ) Depreciation and amortization 8,899 6,214 24,881 16,880 Net income (loss) before depreciation and amortization $ 4,509 $ 2,525 $ 19,845 $ (1,577 ) Financial Position September 30, December 31, 2018 2017 (thousands of dollars) Current assets $ 44,238 $ 23,333 Noncurrent assets 214,708 237,875 Total assets $ 258,946 $ 261,208 Current liabilities $ 11,569 $ 24,439 Long term liabilities 83,826 68,837 Shareholders' equity 163,551 167,932 $ 258,946 $ 261,208 The equity in the income or loss of AMAK reflected on the consolidated statements of income for the three months and nine months ended September 30, 2018 , and 2017 , is comprised of the following: Three Months Ended Nine Months Ended 2018 2017 2018 2017 (thousands of dollars) (thousands of dollars) AMAK Net Loss $ (4,390 ) $ (3,689 ) $ (5,036 ) $ (18,457 ) Company's share of loss reported by AMAK $ (1,467 ) $ (1,234 ) $ (1,682 ) $ (6,172 ) Amortization of difference between Company's investment in AMAK and Company's share of net assets of AMAK 337 337 1,010 1,011 Equity in loss of AMAK $ (1,130 ) $ (897 ) $ (672 ) $ (5,161 ) See our Annual Report on Form 10-K for the year ended December 31, 2017 for additional information. At September 30, 2018 , and December 31, 2017 , we had a receivable from AMAK of approximately $235,000 and $121,000 , respectively, relating to unreimbursed travel and Board expenses which are included in prepaid and other assets. We did not advance any cash to AMAK during 2018 .

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2018
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS Consulting fees of approximately $0 were incurred during the three months and $27,000 during the nine months ended September 30, 2017 , 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 $25,000 and $19,000 were incurred during the three months and $75,000 and $56,000 during the nine months ended September 30, 2018 and 2017 , respectively, from our Executive Chairman, 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. In March 2018, a new consulting agreement was entered into with Mr. Carter effective through December 31, 2018, unless otherwise agreed by the Company and Mr. Carter.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	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 was originally 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 135.3 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. On July 8, 2018, the SIDF loan was amended to adjust the repayment schedule and extend the repayment terms through April 2024. Under the new payment terms the current amount due to SIDF in 2019 is $8,000,000 . The total amount outstanding to the SIDF at September 30, 2018 , was 305.0 million Saudi Riyals (US $81.3 million ). Operating Lease Commitments We have operating leases for the rental of railcars, office space, and equipment with expiration dates through 2026. Rental expense for these operating leases for the three months ended September 30, 2018 , and 2017 , was $1.0 million and $1.0 million , respectively, and for the nine months ended September 30, 2018 , and 2017 , was $3.0 million and $2.7 million , respectively. 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. The Trial Court dismissed all of Mr. El Khalidi's claims and causes of action with prejudice and the Ninth Court of Appeals affirmed. Mr. El Khalidi filed a petition for review with the Supreme Court of Texas, which was denied April 6, 2018. Mr. El Khalidi filed a motion for rehearing of his petition for review with the Supreme Court of Texas on April 23, 2018. On May 25, 2018, the Supreme Court of Texas denied the motion for rehearing and the matter is considered closed. The Company is periodically named in legal actions arising from normal business activities. We evaluate the merits of these actions and, if we determine that an unfavorable outcome is probable and can be reasonably estimated, we will establish the necessary reserves. We are not currently involved in legal proceedings that could reasonably be expected to have a material adverse effect on our business, prospects, financial condition or results of operations. We may become involved in material legal proceedings in the future. Supplier Agreements From time to time, we may incur shortfall fees due to feedstock purchases being below the minimum amounts prescribed by our agreements with our suppliers. Shortfall fee expenses for the three months ended September 30, 2018 , and 2017 , were $0.2 million and $0.3 million , respectively, and for the nine months ended September 30, 2018 , and 2017 , were $0.7 million and $1.4 million , respectively. Environmental Remediation Amounts charged to expense for various activities related to environmental monitoring, compliance, and improvements were approximately $146,000 and $119,000 for the three months ended and $430,000 and $444,000 for the nine months ended September 30, 2018 , and 2017 , respectively.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2018
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	SUBSEQUENT EVENTS In mid-September the Silsbee facility suffered a power outage causing a shutdown of the plant including the Advanced Reformer unit. In mid-October, after extensive engineering review and consultations with the technology licensor of the Advanced Reformer unit, it was determined that the unit's catalyst required replacement. Although the unit continues to operate, the product is not meeting design specifications thus negatively impacting the unit's expected financial benefit. We are working with the catalyst manufacturer to replace the catalyst in the fourth quarter. The estimated cost of replacement is $4 million . The replacement will be capitalized and depreciated.

RECENT ACCOUNTING PRONOUNCEME_2

RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Basis of Presentation	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, 2017 .
Use of Estimates	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.
Revenue Recognition and Revenue from Contracts with Customers	Revenue Recognition The Company adopted Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 606 ("ASC 606"), Revenue from Contracts with Customers, and its amendments with a date of the initial application of January 1, 2018. As a result, the Company has changed its accounting policy for revenue recognition as detailed below. ASC 606 outlines a single comprehensive model for an entity to use in accounting for revenue arising from all contracts with customers, except where revenues are in scope of another accounting standard. ASC 606 superseded the revenue recognition requirements in ASC Topic 605, " Revenue Recognition", and most industry specific guidance. ASC Topic 606 sets forth a five-step model for determining when and how revenue is recognized. Under the model, an entity is required to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods and services. ASC 606 also requires certain additional revenue-related disclosures. The Company applied the modified retrospective approach under ASC 606 which allows for the cumulative effect of adopting the new guidance on the date of initial application. Use of the modified retrospective approach means the Company's comparative periods prior to initial application are not restated. The initial application was applied to all contracts at the date of the initial application. The Company has determined that the adjustments using the modified retrospective approach did not have a material impact on the date of the initial application along with the disclosure of the effect on prior periods. Accounting Policy Beginning on January 1, 2018, revenue is measured based on a consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. In evaluating when a customer has control of the asset we primarily consider whether the transfer of legal title and physical delivery has occurred, whether the customer has significant risks and rewards of ownership, and whether the customer has accepted delivery and a right to payment exists. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as a fulfillment cost and are included in cost of product sales and processing. The Company does not offer material rights of return or service-type warranties. For the nine months ended September 30, 2017 the Company recognized revenue according to FASB ASC Topic 605 ("ASC 605"), " Revenue Recognition" , when: (1) the customer accepted delivery of the product and title had been transferred or when the service was performed and the Company had no significant obligations remaining to be performed; (2) a final understanding as to specific nature and terms of the agreed upon transaction had occurred; (3) price was fixed and determinable; and (4) collection was assured. Product sales generally met these criteria, and revenue was recognized, when the product was delivered or title was transferred to the customer. Sales revenue was presented net of discounts, allowances, and sales taxes. Freight costs billed to customers were recorded as a component of revenue. Revenues received in advance of future sales of products or prior to the performance of services were presented as deferred revenues. Shipping and handling costs were classified as cost of product sales and processing and were expensed as incurred. Nature of goods and services The following is a description of principal activities – separated by reportable segments – from which the Company generates its revenue. For more detailed information about reportable segments, disaggregation of revenues, and contract balance disclosures, see Note 14. Petrochemical segment The petrochemical segment of the Company produces eight high purity hydrocarbons and other petroleum based products including isopentane, normal pentane, isohexane and hexane. These products are used in the production of polyethylene, packaging, polypropylene, expandable polystyrene, poly-iso/urethane foams, crude oil from the Canadian tar sands, and in the catalyst support industry. SHR's petrochemical products are typically transported to customers by rail car, tank truck, iso-container and ship. Product Sales - The Company sells individual (distinct) products to its customers on a stand-alone basis (point-of-sale) without any further integration. There is no significant modification of any one or more products sold to fulfill another promised product or service within any of the Company's product sale transactions. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected 30 to 60 days subsequent to point of sale. Processing Fees - The Company's services consist of processing customer supplied feedstocks into custom products including, if requested, services for forming, packaging, and arranging shipping. Pursuant to Tolling Agreements the customer retains title to the feedstocks and processed products. The performance obligation in each Tolling Agreement transaction is the processing of customer provided feedstocks into custom products and is satisfied over time. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale. Specialty Wax segment The specialty wax segment of the Company manufactures and sells specialty polyethylene and poly alpha olefin waxes and also provides custom processing services for customers. Product Sales - The Company sells individual (distinct) products to its customers on a stand-alone basis (point-of-sale) without any further integration. There is no significant modification of any one or more products sold to fulfill another promised product or service within any of the Company's product sale transactions. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale. Processing Fees - The Company's promised services consist of processing customer supplied feedstocks into custom products including, if requested, services for forming, packaging, and arranging shipping. Pursuant to Tolling Agreements and Purchase Order Arrangements, the customer typically retains title to the feedstocks and processed products. The performance obligation in each Tolling Agreement transaction and Purchase Order Arrangement is the processing of customer provided feedstocks into custom products and is satisfied over time. The amount of consideration received for product sales is stated within the executed invoice with the customer. Payment is typically due and collected within 30 days subsequent to point of sale.
Recent Accounting Pronouncements	In May 2014, the FASB issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements of FASB ASC Topic 605, Revenue Recognition and most industry-specific guidance throughout the ASC, resulting in the creation of FASB ASC Topic 606, Revenue from Contracts with Customers . ASU 2014-09 requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. This ASU provides alternative methods of retrospective adoption and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company completed its assessment of the impact of the adoption of ASU 2014-09 across all revenue streams. This included reviewing current accounting policies and practices to identify potential differences that would result from applying the requirements under the new standard. We completed contract reviews and validated results of applying the new revenue guidance (Note 1). In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), and has subsequently issued several supplemental and/or clarifying ASUs to increase transparency and comparability among organizations by recognizing all lease transactions (with terms in excess of 12 months) on the balance sheet as a lease liability and a right-of-use asset (as defined). The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with earlier application permitted. Upon adoption, the lessee will apply the new standard retrospectively to all periods presented or retrospectively using a cumulative effect adjustment in the year of adoption. The Company has several lease agreements for which the amendments will require the Company to recognize a lease liability to make lease payments and a right-of-use asset which will represent its right to use the underlying asset for the lease term. The Company is currently reviewing the amendments to ensure it is fully compliant by the adoption date and does not expect to early adopt. As permitted by the amendments, the Company is anticipating electing an accounting policy to not recognize lease assets and lease liabilities for leases with a term of twelve months or less. The Company has established a project team to analyze ASU No. 2016-02 and is reviewing current accounting policies and procedures to identify potential differences and changes which would result from applying the required new standard to it's lease contracts, and is developing and implementing appropriate changes to internal control processes and controls to support the accounting and disclosure requirements. The Company has identified the population of lease agreements, comprised primarily of railcar lease arrangements, as well as office space and equipment, and is assessing the impact of other arrangements for potential embedded leases. In February 2018, the FASB issued ASU No. 2018-02, Income Statement — Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . ASU 2018-02 was issued to address the income tax accounting treatment of the stranded tax effects within other comprehensive income due to the prohibition of backward tracing due to an income tax rate change that was initially recorded in other comprehensive income due to the enactment of the Tax Cuts and Jobs Act ("TCJA") on December 22, 2017, which changed the Company's income tax rate from 35% to 21% . The amendments to the ASU changed US GAAP whereby an entity may elect to reclassify the stranded tax effect from accumulated other comprehensive income to retained earnings. The amendments of the ASU may be adopted in total or in part using a full retrospective or modified retrospective method. The amendments of the ASU are effective for periods beginning after December 15, 2018. Early adoption is permitted. The Company believes there will be no material impact to the consolidated financial statements as a result of this update. In June 2018, the FASB issued ASU No. 2018-07, Improvements to Nonemployee Share-Based Payment Accounting. ASU 2018-07 simplifies the accounting for share-based payments to nonemployees by aligning it with the accounting for share-based payments to employees, with certain exceptions. The amendments in this ASU are effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The Company is assessing the effect of ASU 2018-02 on its consolidated financial statements.

TRADE RECEIVABLES (Tables)

TRADE RECEIVABLES (Tables)	9 Months Ended
	Sep. 30, 2018
Receivables [Abstract]
Trade Receivables	Trade receivables, net, consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Trade receivables $ 30,239 $ 26,079 Less allowance for doubtful accounts (452 ) (300 ) Trade receivables, net $ 29,787 $ 25,779

PREPAID EXPENSES AND OTHER AS_2

PREPAID EXPENSES AND OTHER ASSETS (Tables)	9 Months Ended
	Sep. 30, 2018
Prepaid Expense and Other Assets, Current [Abstract]
Schedule of Prepaid Expenses and Other Assets	Prepaid expenses and other assets consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Prepaid license $ 2,217 $ 1,919 Prepaid catalyst 620 779 Prepaid insurance 26 — Spare parts 1,557 954 Other prepaid expenses and assets 1,046 772 Total $ 5,466 $ 4,424

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Sep. 30, 2018
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventories included the following: September 30, 2018 December 31, 2017 (thousands of dollars) Raw material $ 3,135 $ 3,703 Work in process 164 27 Finished products 14,529 14,720 Total inventory $ 17,828 $ 18,450

PLANT, PIPELINE AND EQUIPMENT (

PLANT, PIPELINE AND EQUIPMENT (Tables)	9 Months Ended
	Sep. 30, 2018
Property, Plant and Equipment [Abstract]
Schedule of Plant, Pipeline and Equipment	Plant, pipeline and equipment consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Platinum catalyst metal $ 1,612 $ 1,612 Land 5,428 5,428 Plant, pipeline and equipment 254,560 186,946 Construction in progress 1,927 50,996 Total plant, pipeline and equipment 263,527 244,982 Less accumulated depreciation (71,216 ) (63,240 ) Net plant, pipeline and equipment $ 192,311 $ 181,742

GOODWILL AND INTANGIBLE ASSET_2

GOODWILL AND INTANGIBLE ASSETS, NET (Tables)	9 Months Ended
	Sep. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Finite-Lived Intangible Assets by Major Class	The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class: September 30, 2018 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (4,494 ) $ 12,358 Non-compete agreements 94 (75 ) 19 Licenses and permits 1,471 (469 ) 1,002 Developed technology 6,131 (2,453 ) 3,678 24,548 (7,491 ) 17,057 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (7,491 ) $ 19,412 December 31, 2017 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (3,651 ) $ 13,201 Non-compete agreements 94 (61 ) 33 Licenses and permits 1,471 (390 ) 1,081 Developed technology 6,131 (1,993 ) 4,138 24,548 (6,095 ) 18,453 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (6,095 ) $ 20,808
Summary of Indefinite-Lived Intangible Assets by Major Class	The following tables summarize the gross carrying amounts and accumulated amortization of intangible assets by major class: September 30, 2018 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (4,494 ) $ 12,358 Non-compete agreements 94 (75 ) 19 Licenses and permits 1,471 (469 ) 1,002 Developed technology 6,131 (2,453 ) 3,678 24,548 (7,491 ) 17,057 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (7,491 ) $ 19,412 December 31, 2017 Gross Accumulated Amortization Net Intangible assets subject to amortization (Definite-lived) (thousands of dollars) Customer relationships $ 16,852 $ (3,651 ) $ 13,201 Non-compete agreements 94 (61 ) 33 Licenses and permits 1,471 (390 ) 1,081 Developed technology 6,131 (1,993 ) 4,138 24,548 (6,095 ) 18,453 Intangible assets not subject to amortization (Indefinite-lived) Emissions Allowance 197 — 197 Trade name 2,158 — 2,158 Total $ 26,903 $ (6,095 ) $ 20,808
Estimated Amortization Expenses for Succeeding Five Fiscal Years	Based on identified intangible assets that are subject to amortization as of September 30, 2018 , we expect future amortization expenses for each period to be as follows: Total Remainder of 2018 2019 2020 2021 2022 2023 Thereafter (thousands of dollars) Customer relationships $ 12,358 $ 281 $ 1,123 $ 1,123 1,123 1,123 1,123 $ 6,462 Non-compete agreements 19 5 14 — — — — — Licenses and permits 1,002 26 106 106 101 86 86 491 Developed technology 3,678 153 613 613 613 613 613 460 Total future amortization expense $ 17,057 $ 465 $ 1,856 $ 1,842 $ 1,837 $ 1,822 $ 1,822 $ 7,413

NET INCOME PER COMMON SHARE A_2

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES (Tables)	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
Schedule of Income Per Share Computation	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 September 30, 2018 and 2017 , respectively. Three Months Ended Three Months Ended Income (Loss) Shares Per Share Amount Income (Loss) Shares Per Share Amount Basic Net Income per Share: Net Income (Loss) Attributable to Trecora Resources $ (1,609 ) 24,483 $ (0.07 ) $ 1,718 24,304 $ 0.07 Unvested restricted stock units 398 379 Dilutive stock options outstanding 294 474 Diluted Net Income per Share: Net Income (Loss) Attributable to Trecora Resources $ (1,609 ) 25,175 $ (0.06 ) $ 1,718 25,157 $ 0.07 Nine Months Ended Nine Months Ended Income Shares Per Share Amount Income Shares Per Share Amount Basic Net Income per Share: Net Income Attributable to Trecora Resources $ 2,958 24,397 $ 0.12 $ 4,037 24,267 $ 0.17 Unvested restricted stock units 383 360 Dilutive stock options outstanding 358 455 Diluted Net Income per Share: Net Income Attributable to Trecora Resources $ 2,958 25,138 $ 0.12 $ 4,037 25,082 $ 0.16

ACCRUED LIABILITIES (Tables)

ACCRUED LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2018
Accrued Liabilities [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following: September 30, 2018 December 31, 2017 (thousands of dollars) Accrued state taxes $ 157 $ 272 Accrued property taxes 1,350 — Accrued payroll 1,099 1,407 Accrued interest 31 30 Accrued officer compensation 600 500 Other 2,781 1,752 Total $ 6,018 $ 3,961

LIABILITIES AND LONG-TERM DEBT

LIABILITIES AND LONG-TERM DEBT (Tables)	9 Months Ended
	Sep. 30, 2018
Debt Disclosure [Abstract]
Schedule of Long-Term Debt	The following table summarizes the carrying amounts and debt issuance costs of our long-term debt (in thousands): September 30, 2018 December 31, 2017 Acquisition loan $ — $ 47,250 Term loan 86,406 17,333 Revolving facility 20,000 35,000 Total 106,406 99,583 Debt issuance costs (875 ) (501 ) Total long-term debt $ 105,531 $ 99,082 Less current portion including loan fees 4,194 8,061 Total long-term debt, less current portion including loan fees $ 101,337 $ 91,021

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Restricted Stock Units Activity	Restricted stock units activity in the first nine months of 2018 was as follows: Shares of Restricted Stock Units Weighted Average Grant Date Price per Share Outstanding at January 1, 2018 387,702 $ 11.39 Granted 151,908 $ 12.45 Forfeited (48,631 ) $ 10.88 Vested (92,874 ) $ 11.85 Outstanding at September 30, 2018 398,105 $ 11.72
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, 2018 1,323,587 $ 7.82 Granted — — Exercised (249,879 ) 5.61 Cancelled (200,000 ) 3.40 Forfeited — — Outstanding at September 30, 2018 873,708 $ 9.47 4.5 Exercisable at September 30, 2018 873,708 $ 9.47 4.5

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	9 Months Ended
	Sep. 30, 2018
Segment Reporting [Abstract]
Summary of Segment Information	Three Months Ended September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 61,675 $ 6,938 $ — $ — $ 68,613 Processing fees 2,056 2,799 — (52 ) 4,803 Total revenues 63,731 9,737 — (52 ) 73,416 Operating profit (loss) before depreciation and amortization 6,167 415 (2,252 ) — 4,330 Operating profit (loss) 3,516 (936 ) (2,270 ) — 310 Profit (loss) before taxes 2,561 (1,239 ) (3,404 ) — (2,082 ) Depreciation and amortization 2,651 1,351 16 — 4,018 Capital expenditures 2,562 1,094 — — 3,656 Three Months Ended September 30, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 52,440 $ 5,590 $ — — $ 58,030 Processing fees 1,519 1,959 — — 3,478 Total revenues 53,959 7,549 — — 61,508 Operating profit (loss) before depreciation and amortization 9,319 (587 ) (1,957 ) — 6,775 Operating profit (loss) 7,735 (1,795 ) (1,975 ) — 3,965 Profit (loss) before taxes 7,149 (1,975 ) (2,879 ) — 2,295 Depreciation and amortization 1,584 1,208 18 — 2,810 Capital expenditures 9,426 1,991 — — 11,417 Nine Months Ended September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 178,094 $ 20,755 $ — $ 32 $ 198,881 Processing fees 5,769 8,863 — (250 ) 14,382 Total revenues 183,863 29,618 — (218 ) 213,263 Operating profit (loss) before depreciation and amortization 20,655 1,969 (5,234 ) — 17,390 Operating profit (loss) 14,635 (2,051 ) (5,268 ) — 7,316 Profit (loss) before taxes 12,474 (2,926 ) (5,877 ) — 3,671 Depreciation and amortization 6,020 4,020 32 — 10,072 Capital expenditures 16,374 2,716 — — 19,090 Nine Months Ended September 30, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Product sales $ 147,339 $ 18,606 $ — — $ 165,945 Processing fees 5,078 8,142 — — 13,220 Total revenues 152,417 26,748 — — 179,165 Operating profit (loss) before depreciation and amortization 26,294 969 (5,978 ) — 21,285 Operating profit (loss) 21,610 (2,264 ) (6,027 ) — 13,319 Profit (loss) before taxes 19,750 (2,534 ) (11,209 ) — 6,007 Depreciation and amortization 4,684 3,233 49 — 7,966 Capital expenditures 27,203 12,047 — — 39,250 September 30, 2018 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Trade receivables, product sales $ 22,600 $ 3,896 $ — $ — $ 26,496 Trade receivables, processing fees 1,165 2,126 — — 3,291 Goodwill and intangible assets, net — 41,210 — — 41,210 Total assets 282,094 115,146 91,647 (154,138 ) 334,749 December 31, 2017 Petrochemical Specialty Wax Corporate Eliminations Consolidated (in thousands) Trade receivables, product sales $ 20,211 $ 2,671 $ — $ — $ 22.882 Trade receivables, processing fees 983 1,914 — — 2,897 Goodwill and intangible assets, net — 42,606 — — 42,606 Total assets 265,213 117,579 97,880 (153,346 ) 327,326

INVESTMENT IN AMAK (Tables)

INVESTMENT IN AMAK (Tables)	9 Months Ended
	Sep. 30, 2018
Equity Method Investments and Joint Ventures [Abstract]
Summary of Operating Results and Financial Position for Equity Method Investments	The summarized results of operation and financial position for AMAK are as follows: Results of Operations Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 (thousands of dollars) (thousands of dollars) Sales $ 19,877 $ 9,709 $ 53,458 $ 11,965 Cost of sales 20,350 11,016 49,411 23,480 Gross profit (loss) $ (473 ) $ (1,307 ) $ 4,047 $ (11,515 ) General, administrative and other expenses 3,917 2,382 9,083 6,942 Net Loss $ (4,390 ) $ (3,689 ) $ (5,036 ) $ (18,457 ) Depreciation and amortization 8,899 6,214 24,881 16,880 Net income (loss) before depreciation and amortization $ 4,509 $ 2,525 $ 19,845 $ (1,577 ) Financial Position September 30, December 31, 2018 2017 (thousands of dollars) Current assets $ 44,238 $ 23,333 Noncurrent assets 214,708 237,875 Total assets $ 258,946 $ 261,208 Current liabilities $ 11,569 $ 24,439 Long term liabilities 83,826 68,837 Shareholders' equity 163,551 167,932 $ 258,946 $ 261,208 The equity in the income or loss of AMAK reflected on the consolidated statements of income for the three months and nine months ended September 30, 2018 , and 2017 , is comprised of the following: Three Months Ended Nine Months Ended 2018 2017 2018 2017 (thousands of dollars) (thousands of dollars) AMAK Net Loss $ (4,390 ) $ (3,689 ) $ (5,036 ) $ (18,457 ) Company's share of loss reported by AMAK $ (1,467 ) $ (1,234 ) $ (1,682 ) $ (6,172 ) Amortization of difference between Company's investment in AMAK and Company's share of net assets of AMAK 337 337 1,010 1,011 Equity in loss of AMAK $ (1,130 ) $ (897 ) $ (672 ) $ (5,161 )

GENERAL (Details)

GENERAL (Details)	9 Months Ended
	Sep. 30, 2018segment
Noncontrolling Interest [Line Items]
Number of operating segments	2
Al Masane Al Kobra (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%

RECENT ACCOUNTING PRONOUNCEME_3

RECENT ACCOUNTING PRONOUNCEMENTS (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2018	Dec. 31, 2017
Accounting Policies [Abstract]
Federal corporate tax rate	21.00%	35.00%

TRADE RECEIVABLES (Details)

TRADE RECEIVABLES (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Receivables [Abstract]
Trade receivables	$ 30,239	$ 26,079
Less allowance for doubtful accounts	(452)	(300)
Trade receivables, net	$ 29,787	$ 25,779

PREPAID EXPENSES AND OTHER AS_3

PREPAID EXPENSES AND OTHER ASSETS (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Prepaid Expense and Other Assets, Current [Abstract]
Prepaid license	$ 2,217	$ 1,919
Prepaid catalyst	620	779
Prepaid insurance	26	0
Spare parts	1,557	954
Other prepaid expenses and assets	1,046	772
Total	$ 5,466	$ 4,424

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Raw material	$ 3,135	$ 3,703
Work in process	164	27
Finished products	14,529	14,720
Total inventory	17,828	18,450
Products in transit	$ 4,500	$ 3,700

PLANT, PIPELINE AND EQUIPMENT_2

PLANT, PIPELINE AND EQUIPMENT (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	$ 263,527		$ 263,527		$ 244,982
Less accumulated depreciation	(71,216)		(71,216)		(63,240)
Net plant, pipeline and equipment	192,311		192,311		181,742
Interest capitalized for construction	0	$ 218	731	$ 878
Capitalized labor costs	100	800	2,200	2,400
Amortization relating to the platinum catalyst	24	$ 0	24	$ 25
Platinum Catalyst Metal [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	1,612		1,612		1,612
Land [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	5,428		5,428		5,428
Plant, Pipeline and Equipment [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	254,560		254,560		186,946
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Total plant, pipeline and equipment	$ 1,927		$ 1,927		$ 50,996

GOODWILL AND INTANGIBLE ASSET_3

GOODWILL AND INTANGIBLE ASSETS, NET - Finite and Indefinite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Intangible assets subject to amortization (Definite-lived)
Gross	$ 24,548		$ 24,548		$ 24,548
Accumulated Amortization	(7,491)		(7,491)		(6,095)
Total	17,057		17,057		18,453
Intangible assets not subject to amortization (Indefinite-lived)
Gross intangible assets	26,903		26,903		26,903
Net intangible assets	19,412		19,412		20,808
Amortization of intangible assets	465	$ 466	1,396	$ 1,396
Emissions Allowance [Member]
Intangible assets not subject to amortization (Indefinite-lived)
Intangible assets not subject to amortization (Indefinite-lived)	197		197		197
Trade Name [Member]
Intangible assets not subject to amortization (Indefinite-lived)
Intangible assets not subject to amortization (Indefinite-lived)	2,158		2,158		2,158
Customer Relationships [Member]
Intangible assets subject to amortization (Definite-lived)
Gross	16,852		16,852		16,852
Accumulated Amortization	(4,494)		(4,494)		(3,651)
Total	12,358		12,358		13,201
Non-compete Agreements [Member]
Intangible assets subject to amortization (Definite-lived)
Gross	94		94		94
Accumulated Amortization	(75)		(75)		(61)
Total	19		19		33
Licenses and Permits [Member]
Intangible assets subject to amortization (Definite-lived)
Gross	1,471		1,471		1,471
Accumulated Amortization	(469)		(469)		(390)
Total	1,002		1,002		1,081
Developed Technology [Member]
Intangible assets subject to amortization (Definite-lived)
Gross	6,131		6,131		6,131
Accumulated Amortization	(2,453)		(2,453)		(1,993)
Total	$ 3,678		$ 3,678		$ 4,138

GOODWILL AND INTANGIBLE ASSET_4

GOODWILL AND INTANGIBLE ASSETS, NET - Expected Future Amortization Expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Finite-Lived Intangible Assets [Line Items]
Total	$ 17,057	$ 18,453
Remainder of 2018	465
2,019	1,856
2,020	1,842
2,021	1,837
2,022	1,822
2,023	1,822
Thereafter	7,413
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Total	12,358	13,201
Remainder of 2018	281
2,019	1,123
2,020	1,123
2,021	1,123
2,022	1,123
2,023	1,123
Thereafter	6,462
Non-compete Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Total	19	33
Remainder of 2018	5
2,019	14
2,020	0
2,021	0
2,022	0
2,023	0
Thereafter	0
Licenses and Permits [Member]
Finite-Lived Intangible Assets [Line Items]
Total	1,002	1,081
Remainder of 2018	26
2,019	106
2,020	106
2,021	101
2,022	86
2,023	86
Thereafter	491
Developed Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Total	3,678	$ 4,138
Remainder of 2018	153
2,019	613
2,020	613
2,021	613
2,022	613
2,023	613
Thereafter	$ 460

NET INCOME PER COMMON SHARE A_3

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO TRECORA RESOURCES (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2018	Mar. 31, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Basic Net Income per Share:
Net Income (Loss) Attributable to Trecora Resources	$ (1,609)		$ 1,718	$ 2,958	$ 4,037
Net Income (Loss) Attributable to Trecora Resources (in shares)	24,483,000		24,304,000	24,397,000	24,267,000
Net Income (Loss) Attributable to Trecora Resources (in dollars per share)	$ (0.07)		$ 0.07	$ 0.12	$ 0.17
Unvested restricted stock units (in shares)	398,000		379,000	383,000	360,000
Dilutive stock options outstanding (in shares)	294,000		474,000	358,000	455,000
Diluted Net Income per Share:
Net Income (Loss) Attributable to Trecora Resources	$ (1,609)		$ 1,718	$ 2,958	$ 4,037
Net Income (Loss) Attributable to Trecora Resources (in shares)	25,175,000		25,157,000	25,138,000	25,082,000
Net Income (Loss) Attributable to Trecora Resources (in dollars per share)	$ (0.06)		$ 0.07	$ 0.12	$ 0.16
Potential common stock shares issuable upon exercise of options (in shares)				873,708	1,334,087
Treasury Stock [Member]
Class of Stock [Line Items]
Number of stock exchanged (in shares)		65,000
Al Masane Al Kobra (AMAK) [Member]
Class of Stock [Line Items]
Number of stock exchanged (in shares)		24,489

ACCRUED LIABILITIES (Details)

ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Accrued Liabilities, Current [Abstract]
Accrued state taxes	$ 157	$ 272
Accrued property taxes	1,350	0
Accrued payroll	1,099	1,407
Accrued interest	31	30
Accrued officer compensation	600	500
Other	2,781	1,752
Total	$ 6,018	$ 3,961

LIABILITIES AND LONG-TERM DEB_2

LIABILITIES AND LONG-TERM DEBT LIABILITIES AND LONG-TERM DEBT - Additional Information (Details)	Jul. 31, 2018USD ($)	Sep. 30, 2018USD ($)	Dec. 31, 2017USD ($)
Line of Credit Facility [Line Items]
Interest rate on loan		4.24%
Unamortized debt issuance costs		$ (875,000)	$ (501,000)
Amended And Restated Credit Agreement, Third Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Commitment fee on unused portion	0.25%
Amended And Restated Credit Agreement, Third Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Commitment fee on unused portion	0.375%
Amended And Restated Credit Agreement, Fourth Amendment [Member]
Line of Credit Facility [Line Items]
Additional amount allowed to borrow, accordion feature	$ 50,000,000
Amended And Restated Credit Agreement, Fourth Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Commitment fee on unused portion	0.20%
Consolidated fixed charge coverage ratio	1.15
Amended And Restated Credit Agreement, Fourth Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Commitment fee on unused portion	0.30%
Consolidated leverage ratio	3.50
Various Lenders [Member] | Revolving Credit Facility [Member] | Amended And Restated Credit Agreement, Third Amendment [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 60,000,000
Debt issuance costs	300,000
Various Lenders [Member] | Revolving Credit Facility [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	75,000,000
Borrowings outstanding		20,000,000
Available remaining borrowing capacity		55,000,000
Debt issuance costs	900,000
Term Loan [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member]
Line of Credit Facility [Line Items]
Total amount available under loan	87,500,000
Borrowings outstanding	60,400,000	$ 86,400,000
Term Loan [Member] | Acquisition Term Loan [Member]
Line of Credit Facility [Line Items]
Borrowings outstanding	70,000,000
Term Loan [Member] | Multiple Advance Term Loan [Member]
Line of Credit Facility [Line Items]
Borrowings outstanding	$ 0
London Interbank Offered Rate (LIBOR) [Member] | Amended And Restated Credit Agreement, Third Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	2.00%
London Interbank Offered Rate (LIBOR) [Member] | Amended And Restated Credit Agreement, Third Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	3.00%
London Interbank Offered Rate (LIBOR) [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.25%
London Interbank Offered Rate (LIBOR) [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	2.25%
Base Rate [Member] | Amended And Restated Credit Agreement, Third Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.00%
Base Rate [Member] | Amended And Restated Credit Agreement, Third Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	2.00%
Base Rate [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	0.25%
Base Rate [Member] | Amended And Restated Credit Agreement, Fourth Amendment [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.25%

LIABILITIES AND LONG-TERM DEB_3

LIABILITIES AND LONG-TERM DEBT LIABILITIES AND LONG-TERM DEBT - Schedule of Carrying Amounts of and Issuance Costs of Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Line of Credit Facility [Line Items]
Total debt, gross	$ 106,406	$ 99,583
Debt issuance costs	(875)	(501)
Total long-term debt	105,531	99,082
Less current portion including loan fees	4,194	8,061
Total long-term debt, less current portion including loan fees	101,337	91,021
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Total debt, gross	20,000	35,000
Acquisition Term Loan [Member]
Line of Credit Facility [Line Items]
Total debt, gross	0	47,250
Term Loan [Member]
Line of Credit Facility [Line Items]
Total debt, gross	$ 86,406	$ 17,333

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($)	Sep. 30, 2018	Dec. 31, 2017	Mar. 31, 2008
Debt Instrument, Fair Value Disclosure [Abstract]
Outstanding liability	$ 0	$ 0
Interest Rate Swap [Member]
Debt Instrument, Fair Value Disclosure [Abstract]
Term loan in pay fixed, receive variable interest rate swap			$ 10,000,000

DERIVATIVE INSTRUMENTS (Details

DERIVATIVE INSTRUMENTS (Details) - Interest Rate Swap [Member]	Mar. 21, 2008USD ($)
Derivative [Line Items]
Term loan in pay fixed, receive variable interest rate swap	$ 10,000,000
Term loan secured by plant, pipeline and equipment	$ 14,000,000
Derivative, variable interest rate	5.83%

STOCK-BASED COMPENSATION - Addi

STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 01, 2018	Aug. 09, 2018	Feb. 20, 2018	Jan. 17, 2018	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					$ 629	$ 716	$ 1,002	$ 2,005
Restricted Stock Awards [Member] | Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					0		$ 5
Shares granted (in shares)				361
Shares granted (in dollars per share)				$ 13.85
Restricted Stock Unit Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted (in shares)							151,908
Shares granted (in dollars per share)							$ 12.45
Restricted Stock Unit Awards [Member] | Officer [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					108		$ 252
Shares granted (in shares)			102,000
Shares granted (in dollars per share)			$ 12.15
Percentage of stock vests ratably over three years			50.00%
Vesting period of stock vests ratably over three years							3 years
Percentage of stock vests at the end of the three years			50.00%
Vesting period of stock vests at the end of three years							3 years
Restricted Stock Unit Awards [Member] | Officer [Member] | Vesting through 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					95	121	$ 301	161
Restricted Stock Unit Awards [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					4		$ 4
Shares granted (in shares)	9,000
Shares granted (in dollars per share)	$ 14
Vesting period							2 years
Vesting increment percentage							50.00%
Restricted Stock Unit Awards [Member] | Director [Member] | Vesting through 2020 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					75	75	$ 240	231
Restricted Stock Unit Awards [Member] | Officer 1 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					79	106	$ 255	316
Percentage of stock vests ratably over three years							50.00%
Vesting period of stock vests ratably over three years							3 years
Percentage of stock vests at the end of the three years							50.00%
Vesting period of stock vests at the end of three years							3 years
Restricted Stock Unit Awards [Member] | Officer and Key Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period							4 years
Restricted Stock Unit Awards [Member] | Officer and Key Employees [Member] | Vesting through 2019 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					98	108	$ 300	323
Stock Options [Member] | Director [Member] | Vesting through 2017 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					0	30	$ 0	90
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					0	277	$ 154	884
Stock Options [Member] | Mr. Hatem El Khalidi [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					0	$ 0	$ (679)	$ 0
August 9, 2018 [Member] | Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation expense					$ 171
Shares granted (in shares)		40,000
Shares granted (in dollars per share)		$ 12.85
Vesting period		6 months

STOCK-BASED COMPENSATION - Rest

STOCK-BASED COMPENSATION - Restricted Stock Unit Activity (Details) - Restricted Stock Unit Awards [Member]	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Shares of Restricted Stock Units [Roll Forward]
Outstanding at beginning of period (in shares) | shares	387,702
Granted (in shares) | shares	151,908
Forfeited (in shares) | shares	(48,631)
Vested (in shares) | shares	(92,874)
Outstanding at end of period (in shares) | shares	398,105
Weighted Average Grant Date Price per Share [Abstract]
Outstanding at beginning of period (in dollars per share) | $ / shares	$ 11.39
Granted (in dollars per share) | $ / shares	12.45
Forfeited (in dollars per share) | $ / shares	10.88
Vested (in dollars per share) | $ / shares	11.85
Outstanding at end of period (in dollars per share) | $ / shares	$ 11.72

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option and Warrant Awards (Details) - Stock Options [Member]	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Stock Options and Warrants [Roll Forward]
Outstanding at beginning of period (in shares) | shares	1,323,587
Granted (in shares) | shares	0
Exercised (in shares) | shares	(249,879)
Cancelled (in shares) | shares	(200,000)
Forfeited (in shares) | shares	0
Outstanding at end of period (in shares) | shares	873,708
Exercisable, end of period (in shares) | shares	873,708
Weighted Average Exercise Price Per Share [Roll Forward]
Outstanding at beginning of period (in dollars per share) | $ / shares	$ 7.82
Granted (in dollars per share) | $ / shares	0
Exercised (in dollars per share) | $ / shares	5.61
Cancelled (in dollars per share) | $ / shares	3.40
Forfeited (in dollars per share) | $ / shares	0
Outstanding at end of period (in dollars per share) | $ / shares	9.47
Exercisable, end of period (in dollars per share) | $ / shares	$ 9.47
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Outstanding, weighted average remaining contractual life	4 years 6 months
Exercisable, weighted average remaining contractual life	4 years 6 months

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Segment Reporting Information [Line Items]
Total revenues	$ 73,416	$ 61,508	$ 213,263	$ 179,165
Operating profit (loss) before depreciation and amortization	4,330	6,775	17,390	21,285
Operating profit (loss)	310	3,965	7,316	13,319
Profit (loss) before taxes	(2,082)	2,295	3,671	6,007
Depreciation and amortization	4,018	2,810	10,072	7,966
Capital expenditures	3,656	11,417	19,090	39,250
Trade receivables, net	29,787		29,787		$ 25,779
Goodwill and intangible assets, net	41,210		41,210		42,606
Total assets	334,749		334,749		327,326
Product Sales [Member]
Segment Reporting Information [Line Items]
Total revenues	68,613	58,030	198,881	165,945
Trade receivables, net	26,496		26,496		22,882
Processing Fees [Member]
Segment Reporting Information [Line Items]
Total revenues	4,803	3,478	14,382	13,220
Trade receivables, net	3,291		3,291		2,897
Operating Segments [Member] | Petrochemical [Member]
Segment Reporting Information [Line Items]
Total revenues	63,731	53,959	183,863	152,417
Operating profit (loss) before depreciation and amortization	6,167	9,319	20,655	26,294
Operating profit (loss)	3,516	7,735	14,635	21,610
Profit (loss) before taxes	2,561	7,149	12,474	19,750
Depreciation and amortization	2,651	1,584	6,020	4,684
Capital expenditures	2,562	9,426	16,374	27,203
Goodwill and intangible assets, net	0		0		0
Total assets	282,094		282,094		265,213
Operating Segments [Member] | Petrochemical [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Total revenues	61,675	52,440	178,094	147,339
Trade receivables, net	22,600		22,600		20,211
Operating Segments [Member] | Petrochemical [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Total revenues	2,056	1,519	5,769	5,078
Trade receivables, net	1,165		1,165		983
Operating Segments [Member] | Specialty Wax [Member]
Segment Reporting Information [Line Items]
Total revenues	9,737	7,549	29,618	26,748
Operating profit (loss) before depreciation and amortization	415	(587)	1,969	969
Operating profit (loss)	(936)	(1,795)	(2,051)	(2,264)
Profit (loss) before taxes	(1,239)	(1,975)	(2,926)	(2,534)
Depreciation and amortization	1,351	1,208	4,020	3,233
Capital expenditures	1,094	1,991	2,716	12,047
Goodwill and intangible assets, net	41,210		41,210		42,606
Total assets	115,146		115,146		117,579
Operating Segments [Member] | Specialty Wax [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Total revenues	6,938	5,590	20,755	18,606
Trade receivables, net	3,896		3,896		2,671
Operating Segments [Member] | Specialty Wax [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Total revenues	2,799	1,959	8,863	8,142
Trade receivables, net	2,126		2,126		1,914
Corporate [Member]
Segment Reporting Information [Line Items]
Total revenues	0	0	0	0
Operating profit (loss) before depreciation and amortization	(2,252)	(1,957)	(5,234)	(5,978)
Operating profit (loss)	(2,270)	(1,975)	(5,268)	(6,027)
Profit (loss) before taxes	(3,404)	(2,879)	(5,877)	(11,209)
Depreciation and amortization	16	18	32	49
Capital expenditures	0	0	0	0
Goodwill and intangible assets, net	0		0		0
Total assets	91,647		91,647		97,880
Corporate [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Total revenues	0	0	0	0
Trade receivables, net	0		0		0
Corporate [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Total revenues	0	0	0	0
Trade receivables, net	0		0		0
Eliminations [Member]
Segment Reporting Information [Line Items]
Total revenues	(52)	0	(218)	0
Operating profit (loss) before depreciation and amortization	0	0	0	0
Operating profit (loss)	0	0	0	0
Profit (loss) before taxes	0	0	0	0
Depreciation and amortization	0	0	0	0
Capital expenditures	0	0	0	0
Goodwill and intangible assets, net	0		0		0
Total assets	(154,138)		(154,138)		(153,346)
Eliminations [Member] | Product Sales [Member]
Segment Reporting Information [Line Items]
Total revenues	0	0	32	0
Trade receivables, net	0		0		0
Eliminations [Member] | Processing Fees [Member]
Segment Reporting Information [Line Items]
Total revenues	(52)	$ 0	(250)	$ 0
Trade receivables, net	$ 0		$ 0		$ 0

INCOME TAXES (Details)

INCOME TAXES (Details) $ in Thousands	Mar. 31, 2018USD ($)
Research and Development [Member]
Tax Credit Carryforward [Line Items]
Refund claims amount	$ 350

POST-RETIREMENT OBLIGATIONS (De

POST-RETIREMENT OBLIGATIONS (Details) - Postretirement Benefits [Member] - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Mr. Hatem El Khalidi [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Post retirement liability	$ 1	$ 1
Management [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Post retirement liability	$ 0.4	$ 0.3

INVESTMENT IN AMAK - Additional

INVESTMENT IN AMAK - Additional Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018shares	Sep. 30, 2018USD ($)ر.س / $	Mar. 30, 2018	Dec. 31, 2017USD ($)
Treasury Stock [Member]
Schedule of Equity Method Investments [Line Items]
Number of stock exchanged (in shares) | shares	65,000
AMAK [Member]
Schedule of Equity Method Investments [Line Items]
Number of stock exchanged (in shares) | shares	24,489
Percentage investment in equity method investment	33.41%	33.40%	33.44%	33.40%
Investment in equity method investment | $		$ 44,300		$ 45,100
Exchange rate | ر.س / $		3.75
Amount receivable for unreimbursed travel expenses | $		$ 235		$ 121

INVESTMENT IN AMAK - Summary of

INVESTMENT IN AMAK - Summary of Operating Results (Details) - AMAK [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Schedule of Equity Method Investments [Line Items]
Sales	$ 19,877	$ 9,709	$ 53,458	$ 11,965
Cost of sales	20,350	11,016	49,411	23,480
Gross profit (loss)	(473)	(1,307)	4,047	(11,515)
General, administrative and other expenses	3,917	2,382	9,083	6,942
Net Loss	(4,390)	(3,689)	(5,036)	(18,457)
Depreciation and amortization	8,899	6,214	24,881	16,880
Net income (loss) before depreciation and amortization	$ 4,509	$ 2,525	$ 19,845	$ (1,577)

INVESTMENT IN AMAK - Summary _2

INVESTMENT IN AMAK - Summary of Financial Position (Details) - AMAK [Member] - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Schedule of Equity Method Investments [Line Items]
Current assets	$ 44,238	$ 23,333
Noncurrent assets	214,708	237,875
Total assets	258,946	261,208
Current liabilities	11,569	24,439
Long term liabilities	83,826	68,837
Shareholders' equity	163,551	167,932
Total liabilities and Shareholders' equity	$ 258,946	$ 261,208

INVESTMENT IN AMAK - Equity in

INVESTMENT IN AMAK - Equity in the Income or Loss of Equity Method Investment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Schedule of Equity Method Investments [Line Items]
Equity in loss of AMAK	$ (1,130)	$ (897)	$ (672)	$ (5,161)
AMAK [Member]
Schedule of Equity Method Investments [Line Items]
AMAK Net Loss	(4,390)	(3,689)	(5,036)	(18,457)
Company's share of loss reported by AMAK	(1,467)	(1,234)	(1,682)	(6,172)
Amortization of difference between Company's investment in AMAK and Company's share of net assets of AMAK	337	337	1,010	1,011
Equity in loss of AMAK	$ (1,130)	$ (897)	$ (672)	$ (5,161)

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Director [Member]
Related Party Transaction [Line Items]
Consulting fees		$ 0		$ 27
Executive Chairman [Member]
Related Party Transaction [Line Items]
Consulting fees	$ 25	$ 19	$ 75	$ 56
Period of consulting agreement			3 years

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands, ر.س in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2017USD ($)	Dec. 31, 2019USD ($)	Sep. 30, 2018SAR (ر.س)	Oct. 24, 2010USD ($)	Oct. 24, 2010SAR (ر.س)
Guarantor Obligations [Line Items]
Operating lease, rental expense	$ 1,000	$ 1,000	$ 3,000	$ 2,700
Shortfall fee expenses	200	300	700	1,400
Expenses for environmental monitoring, compliance, and improvements	146	$ 119	430	$ 444
Saudi Industrial Development Fund Limited Guarantee [Member]
Guarantor Obligations [Line Items]
Loan guarantee							41.00%	41.00%
Principal amount of loan guaranteed							$ 88,000	ر.س 330.0
Amount of maximum exposure	$ 81,300		$ 81,300			ر.س 305.0	$ 36,100	ر.س 135.3
Scenario, Forecast [Member] | Saudi Industrial Development Fund Limited Guarantee [Member]
Guarantor Obligations [Line Items]
Amount of maximum exposure					$ 8,000

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Millions	1 Months Ended
	Oct. 31, 2018USD ($)
Subsequent Event [Member]
Subsequent Event [Line Items]
Estimated replacement cost	$ 4