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3. Property, Plant and Equipment
 12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment

Property, plant and equipment consist of the following:

    As of  
    December 31, 2020     December 31, 2019  
Land   $ 4,092     $ 4,104  
Plant and buildings     97,398       83,139  
Furniture and fixtures     1,195       1,094  
Machinery and equipment     5,188       4,252  
Construction in progress     25,397       12,571  
Property held for development     15,408       15,408  
Finance lease right of use assets     2,308       -  
Total gross property, plant & equipment     150,986       120,568  
Less accumulated depreciation     (41,106 )     (36,342 )
Total net property, plant & equipment   $ 109,880     $ 84,226  

 

Interest capitalized in property, plant, and equipment was $1.9 million and $0.3 million for the years ended December 31, 2020 and 2019, respectively.

 

Construction in progress contains incurred costs for the Biogas Project, Riverbank Project, and Zebrex equipment installation at the Keyes Plant. In the second quarter of 2020, CO2 Project commenced operations and was placed in service at that time. In the third quarter of 2020, two diary digesters commenced operations and were placed in service at that time. Given there are several ongoing capital projects, their capital expenses have been accumulated in construction in progress and will be capitalized and depreciated once the capital projects are finished and are in service. Depreciation on the components of property, plant and equipment is calculated using the straight-line method to allocate their depreciable amounts over their estimated useful lives as follows:

 

    Years  
Plant and buildings     20 - 30  
Machinery and equipment     5 - 15  
Furniture and fixtures     3 - 5  

 

 

The Company recorded depreciation expense of approximately $4.9 million and $4.4 million respectively, for the years ended December 31, 2020 and 2019.

 

The Company evaluates the recoverability of long-lived assets with finite lives in accordance with ASC Subtopic 360-10-35 Property Plant and Equipment –Subsequent Measurements, which requires recognition of impairment of long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. When events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable, based on estimated undiscounted cash flows, the impairment loss would be measured as the difference between the carrying amount of the assets and its estimated fair value. Based on the analysis, our long-lived assets did not require impairment adjustment as of December 31, 2020 and 2019.