The Company has an operating lease for research laboratories and office space in Burnaby, British Columbia, which expires on June 30, 2032 and has two renewal options for 5 years each, which were not considered in the determination of the right-of-use asset and lease liability. The Company has an additional operating lease for office space in Needham, Massachusetts, which commenced in October 2022.

The cost components of the operating leases were as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Lease cost:
Operating lease expense	$	389	$	409	$	800	$	817
Variable lease expense(1)		218		207		437		407

(1)

Variable lease costs are payments that vary because of changes in facts or circumstances and include common area maintenance and property taxes related to the premises. Variable lease costs are excluded from the calculation of minimum lease payments.

Supplemental lease information is presented below:


	June 30,			June 30,
	2026			2025
Lease term and discount rate:
Weighted-average remaining lease term (years)		5.6			6.0
Weighted-average discount rate		3.7	%		3.8	%

Future minimum lease payments as of June 30, 2026 were as follows:


Year ending December 31:
2026	$	903
2027		1,138
2028		1,051
2029		1,099
2030		1,137
2031 and thereafter		1,760
Total future minimum lease payments	$	7,088
Less: Imputed interest		(670	)
Present value of lease liabilities	$	6,418