v3.25.2
Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2025
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]  
Schedule of Balance of Liabilities Measured at Fair Value on a Recurring Basis

The following table summarizes the Company’s liabilities which were measured at fair value on a recurring basis as of the periods presented and their classification within the fair value hierarchy:

 

                 
   Fair Value Measurement as of June 30, 2025 
   Total   Level 1   Level 2   Level 3 
   (In thousands) 
Assets:                    
Commodity derivative contracts 

$

18,694

  

$

—

  

$

18,694

  

$

—

 
Liabilities:                    
Subordinated note warrants – related party   538    —    

—

    538 
Series F Preferred Stock embedded derivatives   1,130    —    —    1,130 
Series F Preferred Stock warrants   43,718    —    —    43,718 

 

                 
   Fair Value Measurement as of December 31, 2024 
   Total   Level 1   Level 2   Level 3 
   (In thousands) 
Liabilities:                    
Commodity derivative contracts  $4,395   $—   $4,395   $— 
SEPA   790    —    —    790 
Senior convertible note   12,555    —    —    12,555 
Subordinated note – related party   4,609    —    4,609    — 
Subordinated note warrants – related party   4,159    —    —    4,159 
Schedule of Financial Instrument Presented at Fair Value

 

   June 30, 2025   December 31, 2024 
   (In thousands) 
SEPA, at the beginning of the period  $790   $— 
(Gain) loss on adjustment to fair value   (790)   790 
SEPA, at the end of the period  $—   $790 
           
Senior convertible note, at the beginning of the period  $12,555   $— 
Borrowing   —    14,250 
Repayments   —    (3,748)
Conversions   (18,057)   — 
Loss on adjustment to fair value   5,502    2,053 
Senior convertible note, at the end of the period  $—   $12,555 
           
Subordinated note – related party, at the beginning of the period  $4,609   $— 
Borrowing   —    5,000 
Repayments   (3,214)   (1,786)
Loss on issuance of debt   —    281 
Loss on adjustment to fair value   63    1,114 
Subordinated note – related party, at the end of the period  $1,458   $4,609 
           
Subordinated note warrants – related party, at the beginning of the period  $4,159   $— 
Loss on issuance of debt   —    2,758 
(Gain) loss on adjustment to fair value   (3,621)   1,401 
Subordinated note warrants – related party, at the end of the period  $538   $4,159 
           
Series F Preferred Stock embedded derivatives, at the beginning of the period  $—   $— 
Embedded derivatives recognized at issuance of Series F Preferred Stock   19,350    — 
Gain on adjustment to fair value   (18,220)   — 
Series F Preferred Stock embedded derivatives, at the end of the period  $1,130   $— 
           
Series F Preferred Stock warrants, at the beginning of the period  $—   $— 
Issuance of Series F Preferred Stock   22,115    — 
Loss on adjustment to fair value   21,603    — 
Series F Preferred Stock warrants, at the end of the period  $43,718   $— 
Schedule of Fair Value on Financial Instrument Balance Sheets

 

   June 30, 2025   December 31, 2024 
   Face Value   Fair Value   Face Value   Fair Value 
   (In thousands) 
SEPA  $—   $—   $—   $790 
Senior convertible note   —    —    11,252    12,555 
Subordinated note – related party   1,458    1,458    3,214    4,609 
Subordinated note warrants – related party   —    538    —    4,159 
Series F Preferred Stock embedded derivatives   —    1,130    —    — 
Series F Preferred Stock warrants  $—   $43,718   $—   $— 
Subordinated Note Warrants [Member]  
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]  
Schedule of Fair Value Instruments Unobservable Market

As of June 30, 2025, the fair value of the Subordinated Note Warrants was determined by a third-party using a Monte Carlo simulation model using the significant inputs listed below, which are based on unobservable market data and are therefore considered Level 3 inputs within the fair value hierarchy.

  

Subordinated Note Warrants – Monte Carlo Simulation Model  Key Inputs 
Time to termination (years)   4.25 
Stock price – as of June 30, 2025  $2.995 
Exercise price  $8.89 
Risk-free rate   3.68%
Equity volatility rate   80.0%

 

As of June 30, 2025, the fair value of the Series F Preferred Stock embedded derivatives was determined by a third-party using a Monte Carlo simulation model using the significant inputs listed below, which are based on unobservable market data and are therefore considered Level 3 inputs within the fair value hierarchy.

 

Series F Preferred Stock Embedded Derivatives – Monte Carlo Simulation Model  Key Inputs 
Time to termination (years)   3.67 
Stock price – as of June 30, 2025  $2.995 
Conversion rate   202.02 
Stated dividend rate   12.0%
Risk-free rate   3.65%
Preferred equity volatility rate   48.0%
 

 

Series F Preferred Stock Warrants – Monte Carlo Simulation Model  Key Inputs 
Time to termination (years)   5.74 
Stock price – as of June 30, 2025  $2.995 
Exercise price  $6.59 
Future value of one Series F Preferred Stock Warrant share  $1.091 
Risk-free rate   3.79%
Equity volatility rate   90.0%