PROPERTY, PLANT AND EQUIPMENT

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

NOTE 3 — PROPERTY, PLANT AND EQUIPMENT

The components of property, plant and equipment consist of the following (in thousands):


	June 30, 2022		December 31, 2021
Upstream natural gas assets:
Proved properties	$	156,105	$	96,297
Wells in progress	13,115		17,653
Accumulated DD&A	(58,270)		(48,638)
Total upstream natural gas assets, net	110,950		65,312

Driftwood Project assets:
Land and land improvements	49,169		25,222
Driftwood terminal construction in progress	189,980		—
Finance lease assets, net of accumulated DD&A	57,295		57,883
Buildings and other assets, net of accumulated DD&A	356		371
Total Driftwood Project, net	296,800		83,476

Fixed assets and other:
Leasehold improvements and other assets	2,928		3,104
Accumulated DD&A	(1,528)		(1,347)
Total fixed assets and other, net	1,400		1,757

Total property, plant and equipment, net	$	409,150	$	150,545

Land

We own land in Louisiana intended for the construction of the Driftwood Project.

Driftwood Terminal Construction in Progress

During the year ended December 31, 2021, the Company initiated certain owner construction activities necessary to proceed under our LSTK EPC agreement with Bechtel Energy Inc., formerly known as Bechtel Oil, Gas and Chemicals, Inc. (“Bechtel”), for Phase 1 of the Driftwood terminal dated as of November 10, 2017 (the “Phase 1 EPC Agreement”). On March 24, 2022, the Company issued a limited notice to proceed to Bechtel under the Phase 1 EPC Agreement and commenced construction of Phase 1 of the Driftwood terminal on April 4, 2022. As the Company commenced construction activities, Deferred engineering costs and Permitting Costs of approximately $110.0 million and $13.4 million, respectively, were transferred to construction in progress as of March 31, 2022. During the six months ended June 30, 2022, we capitalized approximately $66.6 million of directly identifiable project costs as construction in progress.