Global Clean Energy Holdings, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

COMMITMENTS AND CONTINGENCIES (Tables)

COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Dec. 31, 2022

Commitments and Contingencies Disclosure [Abstract]

Summary of minimum required payments of the EPC deferred payments

The following table summarizes the minimum required payments of the EPC deferred payments as of December 31, 2022 assuming substantial completion is achieved by July 2023:

	EPC deferred payments
2023	$	35,749,538
2024		85,798,891
2025		7,149,908
Total	$	128,698,337

Lease-Related Assets and Liabilities

The table below presents the lease-related assets and liabilities recorded on the balance sheet at December 31, 2022 and December 31, 2021:

Leases	Classification		As of December 31, 2022		As of December 31, 2021
Assets
Operating lease assets		Operating lease right-of-use assets	$	5,332,110	$	481,027
Finance lease assets		Buildings, net of depreciation		-		3,433,005
Total lease assets			$	5,332,110	$	3,914,032

Liabilities
Current
Operating		Current portion of operating lease obligations	$	1,897,303	$	198,440
Finance		Notes payable including current portion of long-term debt		-		714,659
Non-current
Operating		Operating lease obligations, net of current portion		3,090,002		283,197
Finance		Long-term debt, net		-		2,831,284
Total lease liabilities			$	4,987,305	$	4,027,580

Lease Cost

The table below presents the components of lease costs for the years ended December 31, 2022 and December 31, 2021:

Leases		Classification	Year ended December 31, 2022		Year ended December 31, 2021
Operating Expenses
Operating lease cost	General and administrative expense		$	875,228	$	94,265
Finance lease cost
Amortization of leased assets	Depreciation expense			368,007		134,128
Interest on lease liabilities	Interest expense, net			93,853		15,872
Total lease costs			$	1,337,088	$	244,265

The table below presents the weighted average remaining lease terms and weighted average discount rates for the Company's leases as of December 31, 2022 and December 31, 2021:

	As of December 31, 2022			As of December 31, 2021
Weighted average remaining lease term (in years)
Operating leases		2.6			2.2
Financing leases		-			4.8

Weighted average discount rate
Operating leases		4.61	%		1.00	%
Financing leases		0.00	%		4.25	%

Lessee, Operating Lease, Liability, Maturity

The table below presents the maturity of the lease liabilities as of December 31, 2022:

	Operating leases
2023	$	1,910,016
2024		1,847,011
2025		1,274,060
2026		229,587
2027		8,589
Thereafter		1,432
Total lease payments:		5,270,695
Less: present value discount		(283,390	)
Total lease liabilities	$	4,987,305