Leases

3 Months Ended

Mar. 31, 2024

The Company commenced the Rio Grande LNG Facility site lease on July 12, 2023 and it has an initial term of 30 years. The Company has the option to renew and extend the term of the lease for up to two consecutive renewal periods of ten years each, but as the Company is not reasonably certain that those options will be exercised, none are recognized as part of our right of use assets and lease liabilities. The Company has also entered into an office space lease which expires on December 31, 2035, and does not include any options for renewal.

For the three months ended March 31, 2024 and 2023, our operating lease costs were $3.0 million and $0.3 million, respectively.

Maturity of operating lease liabilities as of March 31, 2024 are as follows (in thousands, except lease term and discount rate):


2024 (remaining)	$	5,568
2025	7,610
2026	9,522
2027	9,565
2028	9,609
Thereafter	199,241
Total undiscounted lease payments	241,115
Discount to present value	(92,676)
Present value of lease liabilities	$	148,438

Weighted average remaining lease term - years	27.6
Weighted average discount rate - percent	4.0

Other information related to our operating leases is as follows (in thousands):


	Three Months Ended March 31,
	2024		2023
Operating cash flows for amounts paid included in the measurement of operating lease liabilities	$	2,143	$	290