v3.26.1
Commitments and Contingencies
3 Months Ended
Mar. 31, 2026
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 13. Commitments and Contingencies

 

Finance Leases

 

The Company has finance lease arrangements related primarily to storage, terminaling, and transportation equipment. Certain finance lease obligations are subject to forbearance arrangements and revised payment terms.

 

As of March 31, 2026 and December 31, 2025, respectively, finance lease liabilities consisted of the following:

 

               
Description   March 31,
2026
    December 31,
2025
 
Principal portion of finance lease obligations   $ 8,711,783     $ 8,711,784  
Accrued interest   $ 651,422     $ 390,068  
Total finance lease liabilities (current)   $ 9,363,205     $ 9,101,852  

 

Operating Leases

 

The Company leases office space, land, trucking yards, and equipment under non-cancelable operating lease agreements with remaining lease terms ranging from less than one year to approximately three years. The right-of-use assets for operating leases as of March 31, 2026 and December 31, 2025 were $406,308 and $494,755, respectively. Rent expense for the period ended March 31, 2026 and December 31, 2025 were $98,129 and $494,755, respectively.

 

Operating lease liabilities consisted of the following:

 

       
2026     226,467  
2027     181,559  
2028     56,220  
2029     -  
Thereafter     -  
Total undiscounted lease payments     464,246  
Less: Imputed interest     57,939  
Present value of lease payments     406,308  
Operating lease liabilities, current     247,868  
Operating lease liabilities, long-term     158,440  
Operating lease liability     406,308  
Weighted-average remaining lease term(mo.)     7.11  
Weighted-average discount rate     9.12 %