Verde Clean Fuels, Inc. Commitments Disclosure
| (in thousands) | Statements of Operations | For The Year Ended December 31, | ||||||||||||||||||
| Lease Cost | Classification | 2025 | 2024 | |||||||||||||||||
| Operating lease cost | General and administrative expense | $ | 377 | $ | 336 | |||||||||||||||
| Variable lease cost | General and administrative expense | 189 | 170 | |||||||||||||||||
| Total operating lease cost | $ | 566 | $ | 506 | ||||||||||||||||
| (in thousands) | ||||||||
Maturity of lease liabilities | Operating Leases | |||||||
| 2026 | $ | 178 | ||||||
| 2027 | 12 | |||||||
| Total future minimum lease payments | 190 | |||||||
| Less: interest | (4) | |||||||
| Present value of lease liabilities | $ | 186 | ||||||
| (in thousands) | For The Year Ended December 31, | |||||||||||||
| Operating lease – supplemental information | 2025 | 2024 | ||||||||||||
| ROU assets obtained in exchange for operating lease | $ | 309 | $ | 353 | ||||||||||
| Weighted average remaining lease term – operating leases | 0.7 years | 1.4 years | ||||||||||||
| Discount rate – operating leases | 7.50 | % | 7.50 | % | ||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 27, 2026 | Showing above |
| 2024 | Mar 28, 2025 | |
| 2022 | Mar 31, 2023 | |
| 2021 | Mar 30, 2022 | |
About Commitments Disclosures
Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.
Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.