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LOANS
6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
LOANS
3. LOANS
The following table summarizes the borrowings under the various loan facilities as of June 30, 2026 and December 31, 2025:
June 30,
2026
December 31,
2025
Effective interest rateAmountAmount
OPAL Term Loan8.4 %$421,563 $321,618 
Revolving Loan— 20,000 
Sunoma Loan8.8 %18,158 19,090 
Equipment Loan8.0 %385 559 
Less: unamortized debt issuance costs(8,415)(9,142)
Less: current portion of long-term loans(18,882)(15,062)
Total long-term loan$412,809 $337,063 
As of June 30, 2026, principal maturities of debt are expected as follows, excluding any undrawn debt facilities:
Fiscal year:
Six months ending December 31, 2026$9,505 
202718,503 
2028399,171 
20292,395 
20302,589 
Thereafter7,943 
$440,106 
OPAL Term Loan
During the six months ended June 30, 2026, the Company drew $128,382 under its term loan facility pursuant to its existing credit agreement. A portion of the proceeds from the borrowing was used to repay $20,000 outstanding under the revolving loan facility. As of June 30, 2026, the Company had utilized $30,747 of availability under the revolver loan to provide for the issuance of letters of credit to support the operations of OPAL Fuels Intermediate HoldCo LLC (the “Borrower”) and certain subsidiaries of the Borrower (the “Guarantors”).
Beginning in the first quarter of 2026, the Company commenced principal payments under its credit agreement and became subject to a quarterly cash sweep pursuant to which, within two business days after the required delivery of quarterly financial statements, a percentage of distributable cash is required to be applied to repay outstanding borrowings, with the applicable percentage determined based on the Company’s consolidated debt to cash flow ratio. If the required financial statements are not delivered within the specified timeframe, 100% of distributable cash is required to be applied to the cash sweep.
On May 30, 2026, OPAL Fuels Inc. exercised its right pursuant to that certain Credit and Guarantee Agreement dated as of September 1, 2023 among the Borrower, direct and indirect subsidiaries of the Borrower as guarantors, the lenders party thereto as lenders, and Bank of America, N.A., as administrative agent, to contribute approximately $7,965 to Borrower in order for Borrower to maintain compliance with certain financial covenants under its credit facility.
Sunoma Loan
The Company utilized $927 for the issuance of letters of credit to support the operations.