Property, Plant and Equipment

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

4. Property, Plant and Equipment

Property, plant and equipment consist of the following at:

(Dollars in thousands)	June 30, 2022			December 31, 2021
Land	$	52		$	52
Land improvements		488			238
Buildings		7,188			5,650
Leasehold improvements		366			317
Vehicles		15			15
Computers and related software		66,773			30,890
Machinery and equipment		4,753			2,588
Office furniture and fixtures		22			22
Construction in progress		19,489			7,590
		99,146			47,362
Less: Accumulated depreciation		(12,098	)		(2,765	)
	$	87,048		$	44,597

Depreciation expense was $5.5 million and $149 thousand for the three months ended June 30, 2022 and 2021, respectively. Depreciation expense was $9.9 million and $225 thousand for the six months ended June 30, 2022 and 2021, respectively.

The Company incurred a $1.6 million loss for the three and six months ended June 30, 2022 in connection with the disposal of miners with a net book value of approximately $2.1 million in which the Company received proceeds of $465 thousand. There were no such disposals on equipment for the three and six months ended June 30, 2021.

During the three and six months ended June 30, 2022, the Company concluded that there were impairment indicators on property, plant and equipment associated with the S-9 miners. As a result, a quantitative impairment analysis was required as of June 30, 2022. As such, the Company reassessed its estimates and forecasts as of June 30, 2022, to determine the fair values of the S-9 miners. As a result of the analysis, as of June 30, 2022, the Company concluded the carrying amount of the property, plant and equipment associated with the S-9 miners exceeded its fair value, which resulted in impairment charges of $750 thousand on the condensed consolidated statements of operations for the three and six months ended June 30, 2022.