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Property, Plant and Equipment
 12 Months Ended
Dec. 31, 2015
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment

NOTE 4 - PROPERTY, PLANT AND EQUIPMENT

 

Property, Plant and Equipment consist of the following at December 31,:

 

December 31, 2015   Cost     Accumulated Depreciation     Net Book Value  
                   
Leasehold improvements   $ 216,854     $ (23,096 )   $ 193,757  
Machinery and office equipment     4,190,838       (2,463,172 )     1,727,666  
Furniture and fixtures     16,368       (16,068 )     300  
Land     273,118       -       273,118  
Asset retirement obligation     36,594       (5,549 )     31,045  
Office and industrial buildings     1,433,523       (249,001 )     1,184,522  
Equipment under capital lease     73,757       (45,412 )     28,344  
Construction in process     197,322       -       197,322  
Spares     174,316       (34,863 )     139,453  
Total   $ 6,612,688     $ (2,837,162 )   $ 3,775,527  

 

December 31, 2014   Cost     Accumulated Depreciation     Net Book Value  
                   
Leasehold improvements   $ 218,054     $ (12,519 )   $ 205,535  
Machinery and office equipment     4,246,882       (1,913,102 )     2,333,780  
Furniture and fixtures     16,368       (14,782 )     1,586  
Land     273,118       -       273,118  
Asset retirement obligation     27,745       (4,439 )     23,306  
Office and industrial buildings     1,433,523       (176,909 )     1,256,614  
Equipment under capital lease     108,317       (48,041 )     60,276  
Construction in process     958,291       -       958,291  
Total   $ 7,282,298     $ (2,169,792 )   $ 5,112,506  

 

At December 31, 2015 and 2014, machinery and equipment with a cost of $73,757 and $108,317, and accumulated amortization of $45,412 and $48,041, respectively, were under capital lease. During the years ended December 31, 2015 and 2014, the Company recognized $10,636, and $15,447, respectively, of depreciation expense related to these assets under capital lease.

 

As of December 31, 2015 and 2014, the Company recorded impairment losses on property, plant and equipment of $593,060 and $927,163 respectively, in accordance to ASC 360-10-50-2 where an impairment loss will be recognized only if the carrying amount of the long-lived assets are not recoverable and exceeds its fair value. The charge in 2015 relates specifically to construction in process parts and spare parts used in Processor #3 and #2 respectively. The 2014 charge related specifically to the impairment of processor #3 as it takes on with processor #2 in pilot runs to support potential sale of processors.