Company: WBI
Filing Date: 2025-09-15
Form Type: S-1/A
Source: 0001193125-25-202719
Chunk: 383

Company: WaterBridge Infrastructure LLC
Filing Date: 2025-09-15
Form: S-1/A
Chunk 383
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 financing leases. Leases are recognized on our consolidated balance sheets by recording a lease liability representing the obligation to make future lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. As our leases generally do not provide an implicit rate, in order to calculate the lease liability, we discounted our expected future lease payments using our incremental borrowing rate. The incremental borrowing rate is an estimate of the rate of interest that a lessee would have to pay to borrow on a collateralized basis over a similar term to that of the lease term. We have elected the practical expedient to omit leases with an initial term of 12 months or less (“short-term lease”) from recognition on the balance sheet. We recognize short-term lease payments on a straight-line basis over the lease term and variable payments under short-term leases in the period in which the obligation is incurred. Certain of our leases contain non-lease components which are not separated from the lease components when calculating the right-of-use asset and lease liability per our use of the practical expedient to combine both components of an arrangement for all classes of leased assets. Certain of our leases also contain variable payments, such as inflation, that are not included when calculating the right-of-use asset and lease liability unless the payments are in-substance fixed. Lease expense for finance leases is recognized as the sum of the amortization of the right-of-use assets on a straight-line basis and the interest on lease liabilities using the effective interest method over the lease term.

<div align='center'>F-37

WaterBridge NDB Operating LLC and Subsidiaries

Notes to the Consolidated Financial Statements</div>

The following table shows the classification and location of our right-of-use assets and lease liabilities on our consolidated balance sheets:

|                                       |     |                                                                | Consolidated Balance Sheets Location | December 31, |  2024 |     |   |  2023 |
|:--------------------------------------|:----|:---------------------------------------------------------------|:-------------------------------------|:-------------|------:|:----|:--|------:|
| Right-of-use assets-financing         |     | Property, plant and equipment, net of accumulated depreciation |                                      | $            | 4,153 |     | $ | 4,225 |
| Current finance lease liabilities     |     | Other current liabilities                                      |                                      | $            | 1,322 |     | $ | 1,150 |
| Non-current finance lease liabilities |     | Other long-term liabilities                                    |                                      |