v3.26.1
COMMITMENTS AND CONTINGENCIES
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES 8 – COMMITMENTS AND CONTINGENCIES
Leases
The Company leases its office in Houston, Texas and its office and demonstration plant in Hillsborough, New Jersey. The Company's lease for its office in Houston is through February 2027 and its lease for its office and demonstration plant in Hillsborough, New Jersey is through April 2026. Subsequent to the year ended December 31, 2025, the Company extended its lease for its office and demonstration plant in Hillsborough, New Jersey for an additional year through April 2027. See Notes 1 and 13 for further information.
For the years ended December 31, 2025 and 2024, the Company determined that the rent portion of such leases qualified as an operating lease under ASC 842.
For the years ended December 31, 2025 and 2024, the Company had expenses related to its operating leases as follows:
(in thousands)Statements of OperationsFor The Year Ended
December 31,
Lease CostClassification20252024
Operating lease costGeneral and administrative expense$377 $336 
Variable lease costGeneral and administrative expense189 170 
Total operating lease cost$566 $506 

As of December 31, 2025, maturities of the Company’s operating leases are as follows:
(in thousands)
Maturity of lease liabilities
Operating Leases
2026$178 
202712 
Total future minimum lease payments190 
Less: interest(4)
Present value of lease liabilities$186 
For the years ended December 31, 2025 and 2024, supplemental information related to the Company’s operating lease arrangements are as follows:
(in thousands)For The Year Ended
December 31,
Operating lease – supplemental information20252024
ROU assets obtained in exchange for operating lease$309 $353 
Weighted average remaining lease term – operating leases0.7 years1.4 years
Discount rate – operating leases7.50%7.50%
Commitments
As of December 31, 2025 and 2024, the Company had restricted cash of $100.
Contingencies
As of December 31, 2025 and 2024, the Company was not party to any litigation and has not recorded any contingent liabilities. Subsequent to December 31, 2025, Five Star Clean Fuels filed an original petition against the Company seeking a declaratory judgment that a letter agreement between a subsidiary of the Company and a predecessor of Five Star Clean Fuels constituted a binding contract that effectuates a grant to Five Star Clean Fuels of certain non-exclusive rights to utilize the STG+® technology. See Note 14 for further information.