v3.26.3
LEASES (Tables)
 9 Months Ended
Sep. 30, 2026
Leases [Abstract]  
Schedule of Lease Revenue for Commenced Operating Leases
The components of the Company’s HPC leasing revenue for its commenced operating leases were as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Income relating to fixed payments$5,231 $— $5,231 $— 
Income relating to variable payments621 — 621 — 
Total HPC leasing revenue$5,852 $— $5,852 $— 
Schedule of Future Minimum Operating Lease Payments Expected to Received from Commenced Lease
The following table presents the Company’s future minimum operating lease payments expected to be received from commenced lease components as of September 30, 2026. The table includes only base rent and excludes reimbursements and variable lease components:
Remainder of Year Ending December 31, 2026$7,909 
Year Ending December 31, 202729,989 
Year Ending December 31, 202826,965 
Year Ending December 31, 202927,774 
Year Ending December 31, 203028,607 
Thereafter363,920 
Total undiscounted lease payments$485,164 
Schedule of Components of Lease Expenses
Components of the Company’s lease expenses are as follows (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Finance leases:
Amortization of ROU assets (1)
$503 $761 $1,508 $2,283 
Interest on lease liability298 246 655 817 
Total finance lease expense801 1,007 2,163 3,100 
Operating leases:
Operating lease expense1,746 676 4,185 1,962 
Total operating lease expense1,746 676 4,185 1,962 
Total lease expense$2,547 $1,683 $6,348 $5,062 
(1)Amortization of finance lease ROU asset is included within depreciation expense. The Mikeska ROU asset is not amortized as the underlying asset is land.
Schedule of Other Information Related to Leases
Other information related to the Company’s leases is shown below (dollar amounts in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Operating cash flows - operating lease$237 $570 $1,866 $1,648 
Right-of-use asset obtained in exchange for finance lease liabilities$17,959 $— $17,959 $— 
Right-of-use asset obtained in exchange for operating lease liabilities$— $491 $29,021 $491 
Decrease in right-of-use asset and operating lease liability from lease modification$2,957 $— $2,957 $— 
September 30, 2026December 31, 2025
Weighted-average remaining lease term – finance lease (in years)1.21.7
Weighted-average remaining lease term – operating lease (in years)10.57.3
Weighted-average discount rate – finance lease7.0 %11.0 %
Weighted-average discount rate – operating lease7.8 %8.0 %
Finance lease ROU assets(1)
$20,052 $5,073 
(1)As of September 30, 2026, the Company recorded accumulated amortization of $8.9 million for the Odessa finance lease ROU asset. Finance lease ROU assets are recorded within property and equipment, net on the Company’s condensed consolidated balance sheets. The Mikeska finance lease ROU asset is not amortized, as the underlying asset is land.
Schedule of Finance Leases Maturity
As of September 30, 2026, future minimum lease payments are as follows (in thousands):
Finance Lease
Operating Lease
Total
Remainder of Year Ending December 31, 20261,216 1,373 2,589 
Year Ending December 31, 20273,253 3,546 6,799 
Year Ending December 31, 202819,500 5,285 24,785 
Year Ending December 31, 2029— 5,179 5,179 
Year Ending December 31, 2030— 4,950 4,950 
Thereafter— 36,525 36,525 
Total lease payments23,969 56,858 80,827 
Less present value discount(1,650)(19,830)(21,480)
Total$22,319 $37,028 $59,347 
Schedule of Operating Lease Maturity
As of September 30, 2026, future minimum lease payments are as follows (in thousands):
Finance Lease
Operating Lease
Total
Remainder of Year Ending December 31, 20261,216 1,373 2,589 
Year Ending December 31, 20273,253 3,546 6,799 
Year Ending December 31, 202819,500 5,285 24,785 
Year Ending December 31, 2029— 5,179 5,179 
Year Ending December 31, 2030— 4,950 4,950 
Thereafter— 36,525 36,525 
Total lease payments23,969 56,858 80,827 
Less present value discount(1,650)(19,830)(21,480)
Total$22,319 $37,028 $59,347