Company: WBI
Filing Date: 2025-09-08
Form Type: S-1/A
Source: 0000950170-25-113383
Chunk: 488

Company: WaterBridge Infrastructure LLC
Filing Date: 2025-09-08
Form: S-1/A
Chunk 488
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 These obligations are those for which we have a legal obligation for settlement. The fair value of the liability is added to the carrying amount of the associated asset. The Level 3 inputs to this fair value measurement include estimates of abandonment and remediation costs, inflation rates, credit-adjusted risk-free rate, and expected abandonment dates. This additional carrying amount is then depreciated over the period remaining to the expected abandonment date. The liability increases due to the passage of time based on the time value of money until the obligation is settled. Our ARO relates primarily to the slope stabilization, covering of the landfill cells, drainage control, groundwater monitoring and associated operations.

Revenue Recognition

In accordance with FASB ASC Topic 606 (“ASC 606”), the Company follows a five-step process to recognize revenue:(1) identify the contract with the customer, (2) identify the performance obligations, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations and (5) recognize revenue when the performance obligations are satisfied.

The Company’s revenues are from waste reclamation and skim oil sales. The Company recognizes revenue based on the transfer of control or the customers’ ability to benefit from services and products in an amount that reflects the consideration the Company expects to receive in exchange for those services and products. The Company’s sales arrangements do not include any significant post-delivery obligations. Under ASC 606,Revenue from Contracts with Customers, the Company recognizes revenue over time or at a point in time, depending on the contract with the customer. Customer advances or deposits are deferred and recognized as revenue when the Company has completed all performance obligations related to the sale. The Company had no customer advances or deposits as of December 31, 2024 and 2023.

The Company's typical contracts with customers are short-term in nature and billed with standard credit terms.

As substantially all of the Company's contracts contain one performance obligation, the allocation of contract transaction price to multiple performance obligations is generally not applicable. Contracts do not include significant financing components since the contracts typically span less than one year. For the years ended December 31, 2024 and 2023, 100% of the Company’s revenues are with customers located within the United States.

Income Taxes

The Company is a limited liability company, and therefore has elected to be treated as a pass-through entity for federal income tax purposes. As a result, the net taxable income of the Company and any related tax credits, for federal income tax purposes, are deemed to pass to the members and