Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 22

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 22
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):

    June 30,  
    December 31, 

    2025  
    2024 

    (in thousands) 
  
    Prepaid expenses and other current assets 
    $-  
    $131 

    Total 
    $-  
    $131 

7. Capitalized development cost and other long-term assets

Capitalized development costs
are amounts paid to vendors that are related to the purchase and construction of microgrid and solar energy facilities. Long-term prepaid
expenses and other receivables consist of amounts owed to the Company as well as amounts paid to vendors for services that have yet to
be received by the Company. Capitalized development costs and other long-term assets consisted of the following:

    June 30,  
    December 31, 

    2025  
    2024 

    (in thousands) 
  
    Capitalized development cost 
    $3,162  
    $4,775 
  
    Long-term prepaid expenses 
     518  
     518 
  
    Total 
    $3,680  
    $5,293 

Capitalized development costs
relate to various projects that are under development for the period. As the Company closes either a purchase or development of new solar
parks, these development costs are added to the final asset displayed in Property and Equipment. If the Company does not close on the
prospective project, these costs are written off to Development Cost on the Consolidated Statement Operations and Comprehensive Loss.

12

Capitalized development cost
as of June 30, 2025 consisted of $3.2 million relating to the development of microgrid projects with Hover Energy in the UK and US that
the Company expects to start to receive meaningful revenues from as they are commissioned. As of December 31, 2024 consisted of $1.2 million
of microgrid development in the US and $3.6 million relating to the Italian projects.

Long-term Prepaid Expenses
consist of estimated income tax payments made by Clean Earth prior to the business combination in December 2023 that will used to offset
any taxes payable in the future.

8. Accounts Payable

Accounts payable represents
the amounts owed to suppliers of goods and services the Company has consumed through operations. Accounts payable consist of the following:

    June 30,  
    December 31, 

    2025  
    2024