XML 33 R22.htm IDEA: XBRL DOCUMENT

Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2024

Significant Accounting Policies

Schedule of Investments Measured at Fair Value

						Fair Value Measurements as of March 31, 2024
(in thousands)		Total				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Assets
Investments:
Control investments		$	41,750			$	—			$	—			$	41,750
Total investments			41,750				—				—				41,750
U.S. Treasury bills			52,970				52,970				—				—
Total investments and U.S. Treasury bills		$	94,720			$	52,970			$	—			$	41,750

						Fair Value Measurements as of December 31, 2023
(in thousands)		Total				Quoted Prices in Active Markets for Identical Assets (Level 1)				Significant Other Observable Inputs (Level 2)				Significant Unobservable Inputs (Level 3)
Assets
Investments:
Control investments		$	40,853			$	—			$	—			$	40,853
Total investments			40,853				—				—				40,853
U.S. Treasury bills			44,955				44,955				—				—
Total investments and U.S. Treasury bills		$	85,808			$	44,955			$	—			$	40,853

Schedule of Reconciliation of Fair Value Changes for Investments

										Range
(in thousands)		Fair Value				Valuation Techniques		Unobservable Inputs		Minimum				Maximum				Weighted Average
Limited liability company investments
								Acreage Value (per acre)		$	1,500			$	11,000			$	4,062
Equus Energy, LLC		$	10,000			Guideline Transaction Method		Proved Reserve Multiple			4.4	x			10.9	x			9.1	x
								Daily Production Multiple			18,357.4	x			46,812.2	x			41,330.7	x
						Discounted Cash Flow		Discount Rate			11.1	%			11.1	%			11.1	%
						Guideline Public Company Method		Proved Reserve Multiple			11,703	x			14,559	x			13,131	x
								Daily Production Multiple			42,832	x			57,117	x			49,975	x
Morgan E&P, LLC			21,250			Guideline Transaction Method		Proved Reserve Multiple			8,969	x			12,818	x			10,894	x
								Daily Production Multiple			34,222	x			54,498	x			44,360	x
						Discounted Cash Flow		Discount Rate			10.4	%			12.1	%			11.25	%

Senior debt
Morgan E&P, LLC			10,500			Yield analysis		Discount for lack of marketability			11.54	%			12.0	%			11.77	%
		$	41,750

										Range
(in thousands)		Fair Value				Valuation Techniques		Unobservable Inputs		Minimum				Maximum				Weighted Average
Limited liability company investments
								Acreage Value (per acre)		$	1,500			$	11,000			$	4,062
Equus Energy, LLC		$	10,000			Guideline Transaction Method		Proved Reserve Multiple			4.2	x			10.9	x			9.0	x
								Daily Production Multiple			19,577.2	x			47,197.76	x			41,648.4	x
						Discounted Cash Flow		Discount Rate			12.8	%			12.8	%			12.8	%
						Guideline Public Company Method		Proved Reserve Multiple			10,180	x			13,953	x			12,067	x
								Daily Production Multiple			44,054	x			58,025	x			51,040	x
Morgan E&P, LLC			22,600			Guideline Transaction Method		Proved Reserve Multiple			8,878	x			12,716	x			10,797	x
								Daily Production Multiple			32,565	x			59,790	x			46,178	x
						Discounted Cash Flow		Discount Rate			10.9	%			12.9	%			11.90	%

Senior debt
Morgan E&P, LLC			8,253			Yield analysis		Discount for lack of marketability			11.13	%			12.0	%			11.57	%
		$	40,853

Schedule of Fair Value Measurement Significant Non-Observable Inputs

		Fair value measurements using significant unobservable inputs (Level 3)
*(in thousands)*		Control Investments				Affiliate Investments				Non-affiliate Investments				Total

Fair value as of January 1, 2024		$	40,853			$	—			$	—			$	40,853
Purchases of portfolio securities			2,247				—				—				2,247
Changes in unrealized appreciation			(1,350	)			—				—				(1,350	)
Fair value as of March 31, 2024		$	41,750			$	—			$	—			$	41,750

		Fair value measurements using significant unobservable inputs (Level 3)
*(in thousands)*		Control Investments				Affiliate Investments				Non-affiliate Investments				Total
Fair value as of January 1, 2023		$	15,650			$	—			$	—			$	15,650
Fair value as of March 31, 2023		$	15,650			$	—			$	—			$	15,650

Schedule of Distributable Earnings

		March 31,				December 31,
		2024				2023
Accumulated undistributed net investment losses		$	(52,555	)		$	(51,465	)
Unrealized appreciation of portfolio securities, net			23,139				24,489
Accumulated undistributed net capital gains			509				464
Accumulated deficit		$	(28,907	)		$	(26,512	)

Schedule of Cash and Cash Equivalents

		March 31,				December 31,
		2024				2023
Cash and cash equivalents at end of period		$	3,050			$	6,533
Restricted cash at end of period			530				450
Cash and cash equivalents and restricted cash at end of period		$	3,580			$	6,983

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References + Details