ASSETS HELD FOR SALE AND PROPERTY, PLANT AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

ASSETS HELD FOR SALE AND PROPERTY, PLANT AND EQUIPMENT, NET

Assets Held for Sale

During 2022, the Company entered into an agreement to sell certain assets for $2.0 million. At December 31, 2022, the Company had received the funds; however, the purchaser had not taken delivery of the assets and they remained within the Company's custody at December 31, 2022, but are expected to be delivered to the purchaser during the first quarter of 2023. The Company classified the assets as assets held for sale which are included as their own line item on the Company's Consolidated Balance Sheet at December 31, 2022. Proceeds received from the purchaser have been reported as investing activities within the Company's Consolidated Statement of Cash flows for the year ended December 31, 2022 and included within accrued liabilities on the Company's Condensed Consolidated Balance Sheet at December 31, 2022. The proceeds received from the sale equaled the carrying value of the assets. Accordingly, no gain or loss was recorded related to this sale. These assets are classified as

construction in progress within property, plant and equipment and did not meet the criteria for discontinued operations presentation.

Property, Plant and Equipment

The Company’s property, plant and equipment, net consisted of the following (in thousands):


	Estimated Useful Life	December 31,
	(years)	2022		2021

Liquefaction plants and systems	10 - 15	$	47,636	$	47,236
Real property and buildings	3 - 25	2,057		2,047
Vehicles and tanker trailers and equipment	2 - 10	52,647		49,905
Computer and office equipment	2 - 7	470		478
Construction in progress	—	527		1,495
Leasehold improvements	—	31		31
		103,368		101,192
Less: accumulated depreciation		(55,699)		(47,027)
		$	47,669	$	54,165

Depreciation expense for December 31, 2022 and 2021 totaled $8.7 million and $8.9 million respectively, of which all is included in the Consolidated Statements of Operations as its own line item.

Acquisition of Port Allen Facility

On June 1, 2021 the Company closed on the purchase of an LNG production facility in Port Allen, Louisiana. The acquisition included the LNG liquefaction facility, the related assets and real property. The Company paid consideration of $5.0 million in cash plus legal fees and closing costs of approximately $0.1 million and 500,000 shares of Company common stock, subject to a registration rights agreement, which shares were valued at $3.8 million. The purchase was accounted for as an asset acquisition.