3. Related Party Transactions
|12 Months Ended|
Dec. 31, 2019
|Related Party Transactions [Abstract]|
|Related Party Transactions||
Accrued Expenses – Related Parties
Accrued Expenses – Related Parties consists of unused vacation of officers, unreimbursed out-of-pocket expenses incurred by officers, and unpaid board and committee fees to members of the Company’s Board of Directors. As of December 31, 2019 and 2018, total accrued expenses – related parties amounted to $7,000 and $55,000, respectively.
Leases with Related Parties
The Company’s executive offices are located at 23902 FM 2978, Tomball, Texas 77375 (“Tomball Facility”). The Tomball Facility is leased from JBL Energy Partners, an entity solely owned by Jason Lane, Company CEO. The Tomball Facility is under a month-to-month lease initiated in April 2017 (“Tomball Lease”) at lease rate of $1,500 per month. Subsequent to the addition of a laboratory facility and outdoor storage facility for large equipment, the Tomball Lease was amended effective April 2019 increasing the lease rate to $5,000 per month. Total rent expense under this lease during the years ended December 31, 2019, and 2018 was $49,500 and $18,000, respectively which are included as part of Operating Expenses in the attached consolidated statements of operations.
The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef