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Leases

6 Months Ended

Sep. 30, 2022

8. Leases

Time charter-in contracts

During the six months ended September 30, 2022, we did not take delivery of any time chartered-in VLGCs. During this period, one existing charter was extended by 11 months that was excluded from operating lease right-of-use asset and lease liability recognition on our consolidated balance sheet. As of September 30, 2022, right-of-use assets and lease liabilities of $3.2 million were recognized on our balance sheet related to one VLGC that we had previously time chartered-in for a period of greater than 12 months. Our time chartered-in VLGCs were deployed in the Helios Pool and earned net pool revenues of $6.8 million and $2.7 million for the three months ended September 30, 2022 and 2021, respectively, and $13.6 million and $6.9 million for the six months ended September 30, 2022, and 2021, respectively.

Charter hire expenses for the VLGCs time chartered in were as follows:


	Three months ended				Six months ended
	September 30, 2022		September 30, 2021		September 30, 2022		September 30, 2021
Charter hire expenses	$	5,358,333	$	2,403,968	$	10,760,478	$	5,912,038

Office leases

We currently have operating leases for our offices in Stamford, Connecticut, USA; Copenhagen, Denmark; and Athens, Greece, which we determined to be operating leases and record the lease expense as part of general and administrative expenses in our consolidated statements of operations. The lease for our office in London, United Kingdom expired in August 2022. During the six months ended September 30, 2022, we extended the lease of our Stamford, Connecticut office for an additional five years and entered a new lease for our Copenhagen, Denmark office for a term of 31 months.

Operating lease rent expense related to our office leases was as follows:


	Three months ended				Six months ended
	September 30, 2022		September 30, 2021		September 30, 2022		September 30, 2021
Operating lease rent expense	$	162,718	$	164,334	$	317,182	$	316,010

For our office leases and time charter-in arrangement, the discount rate used ranged from 3.82% to 5.53%. The weighted average discount rate used to calculate the lease liability was 4.93%. The weighted average remaining lease term of our office leases and time chartered-in vessel as of September 30, 2022 is 14.2 months.

Our operating lease right-of-use asset and lease liabilities as of September 30, 2022 were as follows:


Description	Location on Balance Sheet	September 30, 2022
Assets:
Non-current
Office leases	Operating lease right-of-use assets	$	1,010,256
Time charter-in VLGCs	Operating lease right-of-use assets	$	3,187,038

Liabilities:
Current
Office Leases	Current portion of long-term operating leases	$	283,778
Time charter-in VLGCs	Current portion of long-term operating leases	$	3,187,038

Long-term
Office Leases	Long-term operating leases	$	732,730
Time charter-in VLGCs	Long-term operating leases	$	—

Maturities of operating lease liabilities as of September 30, 2022 were as follows:


Less than one year	$	3,539,969
One to three years		502,797
Three to five years		293,535
Total undiscounted lease payments		4,336,301
Less: imputed interest		(132,755)
Carrying value of operating lease liabilities	$	4,203,546