Filed: 11 Sep 19

Document and Entity Information

Document and Entity Information6 Months Ended
Jun. 30, 2019
Document And Entity Information [Abstract]
Document TypeS-1
Amendment Flagfalse
Document Period End DateJun. 30,
2019
Entity Registrant NameStabilis Energy, Inc.
Entity Central Index Key0001043186
Entity Filer CategoryNon-accelerated Filer
Entity Small Businesstrue
Entity Emerging Growth Companyfalse

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Current assets:
Cash and cash equivalents $ 2,917 $ 1,247 $ 1,489
Accounts receivable-trade4,960 4,359 3,800
Inventory47 106 76
Prepaid expenses and other current expenses1,406 2,115 954
Due from related parties6 22 19
Total current assets9,336 7,849 6,338
Property, plant and equipment, net63,605 66,606 73,711
Loan to employee500
Operating right-of-use assets497
Other noncurrent assets250 250 250
Total assets73,688 74,705 80,799
Current liabilities:
Current portion of long-term debt2,500 2,500 2,500
Current portion of capital lease obligations-related parties5,089 3,879 3,007
Current portion of operating lease obligations276
Short-term notes payable161 121 257
Deferred revenue779 93 14
Due to related parties724 1,866
Customer deposits29 30
Accounts payable2,418 1,838 1,167
Accrued liabilities4,110 2,913 1,730
Total current liabilities15,333 12,097 10,571
Notes payable to related parties41,519
Long-term debt, net of current portion6,577 6,577 4,705
Operating lease obligations, net of current portion226
Finance leases,-related parties, net of current portion485 3,367 8,997
Total liabilities22,621 22,041 65,792
Commitments and contingencies (Note 14)
Members' capital:
Members' capital68,257 68,257 19,514
Accumulated deficit(18,720)(16,916)(5,872)
Total members' capital49,537 51,341 13,642
Non-controlling interest in Stabilis Energy, LLC1,530 1,323 1,365
Total capital51,067 52,664 15,007
Total liabilities and members' capital $ 73,688 $ 74,705 $ 80,799

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Revenue:
Total revenues $ 11,095 $ 8,691 $ 24,070 $ 18,565 $ 37,342 $ 20,447
Costs of revenue (excludes depreciation as reported separately)
Selling, general and administrative expenses2,211 1,515 4,203 3,060 7,350 4,653
Depreciation expense2,294 2,215 4,585 4,383 8,822 6,992
Total operating expenses11,816 10,791 24,995 21,746 44,624 29,426
Other Operating Income (Loss):
Gain on bargain purchase27,067
Loss from equity methods investments(1,098)
Total other operating income25,969
Income (loss) from operations(722)(2,100)(926)(3,180)(7,282)16,990
Other Income (Expense):
Interest income12 4
Interest expense(296)(1,170)(608)(2,280)(4,433)(3,380)
Gain (loss) on disposal of fixed assets(327)162 319 (1,643)
Other income(19)154 (63)352 298 97
Total other expense(315)(1,343)(671)(1,765)(3,804)(4,922)
Net income (loss)(1,037)(3,444)(1,597)(4,946)(11,086)12,068
Net income (loss) attributable to noncontrolling interests28 (157)207 46 (42)(716)
Net income (loss) attributable to parent(1,066)(3,287)(1,804)(4,991)(11,044)12,784
LNG Product [Member]
Revenue:
Total revenues8,699 7,047 18,953 14,898 30,200 15,534
Costs of revenue (excludes depreciation as reported separately)
Cost of revenue5,616 5,762 13,098 11,948 23,804 14,245
Rental Service And Other [Member]
Revenue:
Total revenues2,396 1,644 5,117 3,667 7,142 4,913
Costs of revenue (excludes depreciation as reported separately)
Cost of revenue $ 1,696 $ 1,299 $ 3,110 $ 2,355 $ 4,648 $ 3,536

Condensed Consolidated Statemen

Condensed Consolidated Statement of Changes in Members Capital - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Mar. 31, 2019Jun. 30, 2018Mar. 31, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Beginning Balance $ 52,104 $ 52,664 $ 13,505 $ 15,007 $ 52,664 $ 15,007 $ 15,007 $ 1,344
Net income (loss)(1,037)(560)(3,444)(1,502)(1,597)(4,946)(11,086)12,068
Assignment of interest in Prometheus Energy by Member1,595
Contribution in common control transaction48,743
Ending Balance51,067 52,104 10,061 13,505 51,067 10,061 52,664 15,007
Member's Capital [Member]
Beginning Balance $ 68,257 $ 68,257 $ 19,514 $ 19,514 $ 68,257 $ 19,514 $ 19,514 $ 20,000
Beginning Balance, shares1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000
Contribution in common control transaction $ 48,743 $ (486)
Ending Balance $ 68,257 $ 68,257 $ 19,514 $ 19,514 $ 68,257 $ 19,514 $ 68,257 $ 19,514
Ending Balance, shares1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000
Accumulated Deficit [Member]
Beginning Balance $ (17,654) $ (16,916) $ (7,576) $ (5,872) $ (16,916) $ (5,872) $ (5,872) $ (18,656)
Net income (loss)(1,066)(738)(3,287)(1,704)(11,044)12,784
Ending Balance(18,720)(17,654)(10,863)(7,576)(18,720)(10,863)(16,916)(5,872)
Parent [Member]
Beginning Balance50,603 51,341 11,938 13,642 51,341 13,642 13,642 1,344
Net income (loss)(1,066)(738)(3,287)(1,704)(11,044)12,784
Contribution in common control transaction48,743 (486)
Ending Balance49,537 50,603 8,651 11,938 49,537 8,651 51,341 13,642
Noncontrolling Interest [Member]
Beginning Balance1,502 1,323 1,567 1,365 1,323 1,365 1,365
Net income (loss)28 179 (157)202 (42)(716)
Assignment of interest in Prometheus Energy by Member1,595
Contribution in common control transaction486
Ending Balance $ 1,530 $ 1,502 $ 1,410 $ 1,567 $ 1,530 $ 1,410 $ 1,323 $ 1,365

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands6 Months Ended12 Months Ended
Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Cash flows from operating activities:
Net income (loss) $ (1,597) $ (4,946) $ (11,086) $ 12,068
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation expense4,585 4,383 8,822 6,992
Loss from equity methods investments1,098
(Gain) loss on disposal of fixed assets(319)1,643
Gain on bargain purchase(27,067)
Interest capitalized to notes payable to related parties3,121 2,480
Change in operating assets and liabilities, net of acquisitions:
Accounts receivable(601)(1,565)(559)(1,299)
Due from/to related parties(708)1,483 (1,145)1,054
Inventory59 (17)(30)15
Prepaid expenses and other assets709 (618)(1,588)(121)
Accounts payable580 988 737 (199)
Accrued liabilities1,544 (277)
Accrued liabilities and other current liabilities1,852 125
Deferred revenue79 (99)
Customer deposits(1)30
Net cash used/received in operating activities4,879 (167)(425)(3,682)
Cash flows from investing activities:
Acquisition of fixed assets(1,577)(819)(833)(32)
Proceeds on sales of fixed assets800 902 2,412
Acquisition of Prometheus Energy, net of cash received969
Investments in limited liabilities companies, net of cash received(1,879)
Net cash provided by investing activities(1,577)(19)69 1,470
Cash flows from financing activities:
Payments on long-term borrowings(2,412)(3,580)
Proceeds from long-term borrowings from related parties4,603 9,337
Payments on long-term borrowings from related parties(1,672)(19)(1,933)(2,657)
Proceeds from short-term notes payable216 408 425 569
Payments on short-term notes payable(176)(244)(569)(619)
Net cash provided by or used in financing activities(1,632)145 114 3,050
Net increase (decrease) in cash and cash equivalents1,670 (41)(242)838
Cash and cash equivalents, beginning of period1,247 1,489 1,489 651
Cash and cash equivalents, end of period $ 2,917 $ 1,448 1,247 1,489
Supplemental disclosure of cash flow information:
Interest paid1,387 1,417
Income taxes paid0 $ 0
Non-cash investing and financing activities:
Restructure of long-term debt49,243
Note receivable applied to long-term debt(500)
Equipment acquired under capital leases $ 1,467

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies(1) Basis of Presentation and Summary of Significant Accounting
Policies
(a) Description of Business
Stabilis Energy, LLC is a Texas Limited liability company
(“the Company”) formed in 2013 to produce, market, and
sell liquefied natural gas (“LNG”). The Company also
resells liquefied natural gas from third parties and provides
services, transportation, and equipment to customers.
The Company is a supplier of LNG to the industrial, midstream, and
oilfield sectors in North America and provides turnkey fuel
solutions to help industrial users of diesel and other crude-based
fuel products convert to LNG, resulting in reduced fuel costs and
improved environmental footprint. The Company opened a 120,000
gallons per day (“gpd”) LNG production facility in
George West, Texas in January 2015 to service industrial and
oilfield customers in Texas and the greater Gulf Coast region. The
Company owns a second liquefaction plant capable of producing
25,000 gpd that is being relocated to the Permian Basin to support
LNG demand in this region. The Company is vertically integrated
from LNG production through distribution and cryogenic equipment
rental.
On February 28, 2017, the Company acquired Prometheus Energy
Group Incorporated (“Prometheus”) in a transaction
between entities under common control and Prometheus became an 80%
owned subsidiary of the Company. Because the entities are under
common control, the assets and liabilities of Prometheus were
transferred to the Company at their historic cost (see Note
(4) Acquisition of PEG Partners, LLC
Prometheus markets and distributes LNG for off road, high
horsepower applications. Prometheus provides LNG and service
solutions to users in the oil and gas, mining, remote and temporary
power, utility, mobile on-site low-cost on-site off-pipeline
On November 28, 2018, the Company’s members and related
party creditors entered into a two-step Note (11) Members Equity
On December 17, 2018, the Company entered into a definitive
share exchange agreement with American Electric Technologies, Inc.
(“AETI”) to enter into a business combination
transaction. At the closing, the Company’s owners will
contribute 100% of their outstanding membership units to AETI in
exchange for AETI common stock resulting in the Company and its
subsidiaries becoming a wholly-owned subsidiary of AETI. The
proposed transaction has been approved by the board of directors of
AETI and the Company’s owners, and will be submitted to the
shareholders of AETI for approval of the issuance of AETI common
stock in connection with the transaction and other
transaction-related matters at a Special Meeting of Shareholders.
The transaction is expected to close during the second quarter of
2019, subject to customary closing conditions.
(b) Basis of Presentation and Consolidation
The consolidated financial statements of the Company are prepared
on the accrual basis of accounting, in accordance with accounting
principles generally accepted in the United States of America
(“U.S. GAAP”) and include the accounts of the Company
and its wholly-owned subsidiaries Stabilis Energy Services, LLC,
and Stabilis Oilfield Investment Company, LLC as of and for the
years ended December 31, 2018 and 2017.
In 2014, the Company acquired a 50% beneficial interest in Stabilis
LNG Eagle Ford, LLC (“LNG EF”) and Stabilis FHR
Oilfield LNG, LLC (“FHR”). Management determined that
the 50% beneficial interest provided the Company significant
influence but not a controlling financial interest. Through
May 19, 2017, the Company reported its share of income or loss
from its 50% interest in LNG EF and FHR using the equity method of
accounting. On May 19, 2017, the Company acquired the
remaining 50% interests in LNG EF and FHR. Accordingly, after the
purchase date all income and expense items from the date of
purchase forward have been consolidated (see Note
(3) Step Acquisition of Equity Interests
On March 1, 2018, JCH Crenshaw Holdings, LLC
(“JCH”) assigned its membership interest in PEG
Partners, LLC, (“PEG”) to the Company. PEG, a Delaware
Limited Liability Company, owns Prometheus. Management determined
that JCH (which, along with its affiliates, controls Stabilis)
gained control of PEG on February 28, 2017, when it obtained a
non-voting non-voting
All significant intercompany transactions and balances have been
eliminated in consolidation.
The accompanying consolidated financial statements have been
prepared assuming that the Company will continue as a going
concern, which contemplates the realization of assets and the
satisfaction of liabilities in the normal course of business. The
Company adopted Financial Accounting Standards Board
(“FASB”) Accounting Standards Update
(“ASU”) No. 2014-15, 205-40),
These factors were reviewed by management to determine if there was
substantial doubt as to the Company’s ability to continue as
a going concern. Management concluded that its plan to address the
Company’s liquidity issues would allow it to continue as a
going concern. Those plans include projected positive cash flows
from operations, the conversion of the majority of its existing
debt to equity, and the majority member’s intent and ability
to support operations if required.
Cash flows from operations have continued to improve due to sales
volumes and reduced operating costs. Management believes that its
business will continue to grow and will generate sufficient cash
flows to fund future operations.
On November 30, 2018, related party debt holders converted
$48.7 million of debt to equity to improve the Company’s
financial position and reduce its future debt service requirements.
Additionally, in August 2017 the Company negotiated an amendment to
its promissory note to Chart Industries. This amendment reduced and
extended its mandatory debt service payments to provide future
payments that management believes are sustainable based on current
and projected operating performance.
(c) Use of Estimates in the Preparation of the Consolidated
Financial Statements
The preparation of the consolidated financial statements in
conformity with accounting principles generally accepted in the
United States (“U.S. GAAP”) requires management to make
estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the
reported amounts of revenues and expenses during the reporting
period. Significant items subject to such estimates include the
carrying amount of contingencies, and valuation allowances for
receivables, inventories, and deferred income tax assets. Actual
results could differ from those estimates, and these differences
could be material to the consolidated financial statements.
(d) Cash and Cash Equivalents
The Company considers all highly liquid investments with maturities
of three months or less, when purchased, to be cash and cash
equivalents. Cash equivalents consist principally of money market
accounts held with major financial institutions. The Company is
exposed to credit risk from its deposits of cash and cash
equivalents in excess of amounts insured by the Federal Deposit
Insurance Corporation. The company has not experienced any losses
on its deposits of cash and cash equivalents.
(e) Accounts Receivable
Accounts receivable are recognized when products are sold. The
Company extends credit to many of its customers in the ordinary
course of business. Generally, these sales are unsecured.
Accounts receivable are stated at cost, net of any allowance for
doubtful accounts. The Company maintains allowances for doubtful
accounts for estimated losses resulting from the failure of
customers to make required payments. The Company reviews the
accounts receivables on a periodic basis and makes allowances where
there is doubt as to the collectability of individual balances. In
evaluating the collectability of individual receivable balances,
the Company considers many factors, including the age of the
balance, the customer’s payment history, its current
credit-worthiness and current economic trends. At December 31,
2018 and 2017, management believed all balances were fully
collectible such that no allowance for doubtful accounts was deemed
necessary.
(f) Inventories
Inventory consists of LNG produced that is either (1) in a
storage container at our plant or (2) in a storage trailer
that is in transit to a customer. Inventory quantities are measured
at each reporting period and are valued at the lower of cost or
market, determined on a first-in, first-out
(g) Property, Plant and Equipment
Property, plant and equipment are stated at cost, net of
accumulated depreciation and amortization. Significant additions,
renewals, and capital improvements are capitalized, whereas
expenditures for maintenance and repairs are charged to expense as
incurred. Leasehold improvements are amortized over the shorter of
the applicable remaining lease term or the estimated useful life of
the related assets. The cost and related accumulated depreciation
of assets retired or sold are removed from the appropriate asset
and depreciation accounts, and the resulting gain or loss is
reflected in income. Depreciation and amortization are computed
using the straight-line method over the estimated useful lives of
the assets as follows:
Liquefaction plants and systems
10 – 20 years
Real property and buildings
10 – 15 years
Vehicles and tanker trailers and equipment
5 – 15 years
Computer and office equipment
3 – 10 years
Leasehold improvements
3 – 5 years
(h) Long-Lived Assets
Long lived assets, such as property, plant, and equipment, are
reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be
recoverable. If circumstances require a long-lived asset or asset
group be tested for possible impairment, the Company first compares
undiscounted cash flows expected to be generated by that asset or
asset group to its carrying amount. If the carrying amount of the
long-lived asset or asset group is not recoverable on an
undiscounted cash flows basis, an impairment is recognized to the
extent that the carrying amount exceeds its fair value. Fair value
is determined through various valuation techniques including
discounted cash flows models, quoted market values and third-party
independent appraisals, as considered necessary.
(i) Asset Retirement Obligations
The Company recognizes the fair value of the liability associated
with an asset retirement obligation in the period in which the
liability is incurred or becomes reasonably estimable and if there
is a legal obligation to restore or remediate the property at the
end of a lease term. Asset retirement obligations are based upon
future retirement cost estimates and incorporate certain
assumptions, such as costs to restore the property and any salvage
value. Management does not believe the Company had any material
asset retirement obligations at December 31, 2018 or 2017.
(j) Revenue Recognition
The Company recognizes revenue associated with the sale of LNG at
the point in time when the customer obtains control of the asset.
In evaluating when a customer has control of the asset, the Company
primarily considers whether the transfer of legal title and
physical delivery has occurred, whether the customer has
significant risks and rewards of ownership, and whether the
customer accepted delivery and a right of payment exists. Revenues
from the providing of services, transportation and equipment to
customers is recognized as the service is performed (see Note
(2) Revenue Recognition
(k) Income Taxes
The Company, with the consent of all of its members, elected to be
treated as a corporation for federal income tax reporting purposes.
Deferred income taxes are accounted for under the asset-and-liability
The Company recognizes the tax benefit or obligation from an
uncertain tax position only if it is more likely than not that the
tax position will be sustained on examination by the taxing
authorities, based not only on the technical merits of the tax
position based on tax law, but also past administrative practices
and precedents of the taxing authority. The tax benefits or
obligations are recognized in the financial statements if there is
a greater than 50% likelihood of the tax benefit or obligation
being realized upon ultimate resolution. As of December 31,
2018 and 2017, the Company had no uncertain tax positions that
required recognition.
The Company files income tax returns in the United States of
America and in the state of Texas. With few exceptions, the Company
is subject to examination by the applicable taxing authorities for
years after 2014.
(l) Commitments and Contingencies
Liabilities for loss contingencies arising from claims,
assessments, litigation, fines, and penalties and other sources are
recorded when it is probable that a liability has been incurred and
the amount can be reasonably estimated. Legal costs incurred in
connection with loss contingencies are expensed as incurred.
(m) Fair Value Measurements
The Company utilizes valuation techniques that maximize the use of
observable inputs and minimize the use of unobservable inputs to
the extent possible. The Company determines fair value based on
assumptions that market participants would use in pricing an asset
or liability in the principal or most advantageous market. When
considering market participant assumptions in the fair value
measurements, the following fair value hierarchy distinguishes
between observable and unobservable inputs, which are categorized
in one of the following levels in accordance with U.S. GAAP:
Level 1 Inputs—Unadjusted quoted prices in active
markets for identical assets or liabilities accessible to the
reporting entity at the measurement date.
Level 2 Inputs—Other than quoted prices included in
Level 1 inputs that are observable for the asset or liability,
either directly or indirectly, for substantially the full term of
the asset or liability.
Level 3 Inputs—Unobservable inputs for the asset or
liability used to measure fair value to the extent that observable
inputs are not available, thereby, allowing for situations in which
there is little, if any, market activity for the asset or liability
at the measurement date.
The carrying value of cash and cash equivalents, accounts
receivable, inventory, accounts payable and accrued liabilities
approximate their respective fair values due to their relative
short maturities. The carrying value of the Company’s notes
payable and capital lease obligations approximates fair value
because the related interest rates approximate rates currently
available to the Company.
Nonfinancial assets and liabilities measured at fair value on a
nonrecurring basis include certain nonfinancial assets and
liabilities acquired in a business combination. In determining fair
value, the Company uses quoted market prices or, to the extent that
there are no available quoted market prices, market prices for
similar assets or liabilities.
(o) Recent Accounting Pronouncements
In July 2018, the FASB issued ASU No. 2018-11, Leases (Topic
842): Targeted Improvements No. 2018-11 No. 2018-11 non-lease non-lease non-lease No. 2018-11 No. 2016-02
In January 2017, the FASB issued ASU No. 2017-01, Business
Combinations (Topic 805): Clarifying the Definition of a
Business No. 2017-01 2017-01 No. 2017-01
In February 2016, the FASB issued ASU No. 2016-02, Leases right-of- No. 2016-02, No. 2016-02 No. 2016-02.
In May 2014, the FASB ASU No. 2014-09, Revenue from
Contracts with Customers No. 2014-09 No. 2014-09

Revenue Recognition

Revenue Recognition6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Revenue Recognition(3) Revenue Recognition
In May 2014, the FASB issued ASU No. 2014-09, Revenue from
Contracts with Customers
Revenue is measured as consideration specified in a contract with a
customer and excludes any sales incentives and amounts collected on
behalf of third parties. The Company recognizes revenue when it
satisfies a performance obligation by transferring control over a
product or service to a customer. Amounts are billed upon
completion of service or transfer of a product and are generally
due within 30 days.
Revenues from contracts with customers are disaggregated into
(1) LNG product and (2) Rental, service, and other.
LNG Product revenue generated includes the revenue from the product
and delivery of the LNG to our customer’s location. Product
contracts are established by agreeing on a sales price or
transaction price for the related item. Revenue is recognized when
the customer has taken control of the product. Payment terms for
product contracts are generally within thirty days from the receipt
of the invoice. Product revenue is recognized upon delivery of the
related item to the customer, at which point the customer controls
the product and the Company has an unconditional right to
payment.
Rental and Service revenue generated by the Company includes
equipment and people provided to the customer to support the use of
LNG in their application. Rental contracts are established by
agreeing on a rental price or transaction price for the related
piece of equipment and the rental period which is generally daily
or monthly. The Company maintains control of the equipment that the
customer uses and can replace the rented equipment with similar
equipment should the rented equipment become inoperable or the
Company chooses to replace the equipment for maintenance purposes.
Revenue is recognized as the rental period is completed and for
periods that cross month end, revenue is recognized for the portion
of the rental period that has been completed to date. Payment terms
for rental contracts are generally within thirty days from the
receipt of the invoice. Performance obligations for rental revenue
are considered to be satisfied as the rental period is completed
based upon the terms of the related contract. Service revenue
generated by the Company consists of mobilization and
demobilization of equipment and onsite technical support while
customers are consuming LNG in their applications. Service revenue
is billed based on contractual terms that can be based on an event
(i.e. mobilization or demobilization) or an hourly rate. Revenue is
recognized as the event is completed or work is done. Payment terms
for service contracts are generally within thirty days from the
receipt of the invoice. Performance obligations for service revenue
are considered to be satisfied as the event is completed or work is
done per the terms of the related contract.
All outstanding accounts receivable, net of allowance, on the
consolidated balance sheet are typically due and collected within
the next 30 days.
The table below presents the Company’s revenue disaggregated
by sources for the six months ended June 30, 2019 and 2018 (in
thousands):
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
LNG Product $ 8,699 $ 7,047 $ 18,953 $ 14,898
Rental, services and other 2,396 1,644 5,117 3,667
$ 11,095 $ 8,691 $ 24,070 $ 18,565
(2) Revenue Recognition
In May 2014, the FASB issued ASU No. 2014-09, Revenue from
Contracts with Customers
Revenue is measured as consideration specified in a contract with a
customer and excludes any sales incentives and amounts collected on
behalf of third parties. The Company recognizes revenue when it
satisfies a performance obligation by transferring control over a
product or service to a customer. Amounts are billed upon
completion of service or transfer of a product and are generally
due within 30 days.
Revenues from contracts with customers are disaggregated into
(1) LNG product and (2) Rental, service, and other.
LNG product revenue generated includes the revenue from the product
and delivery of the LNG to the customer’s location. Product
contracts are established by agreeing on a sales price or
transaction price for the related item. Revenue is recognized when
the customer has taken control of the product. Payment terms for
product contracts are generally within thirty days from the receipt
of the invoice. Product revenue is recognized upon delivery of the
related item to the customer, at which point the customer controls
the product and the Company has an unconditional right to
payment.
Rental and service revenue generated by the Company includes
equipment and people provided to the customer to support the use of
LNG in their application. Rental contracts are established by
agreeing on a rental price or transaction price for the related
piece of equipment and the rental period which is generally daily
or monthly. The Company maintains control of the equipment that the
customer uses and can replace the rented equipment with similar
equipment should the rented equipment become inoperable or the
Company chooses to replace the equipment for maintenance purposes.
Revenue is recognized as the rental period is completed and for
periods that cross month end, revenue is recognized for the portion
of the rental period that has been completed to date. Payment terms
for rental contracts are generally within thirty days from the
receipt of the invoice. Performance obligations for rental revenue
are considered to be satisfied as the rental period is completed
based upon the terms of the related contract. Service revenue
generated by the Company consist of mobilization and demobilization
of equipment and onsite technical support while customers are
consuming LNG in their applications. Service revenue is billed
based on contractual terms that can be based on an event (i.e.
mobilization or demobilization) or an hourly rate. Revenue is
recognized as the event is completed or work is done. Payment terms
for service contracts are generally within thirty days from the
receipt of the invoice. Performance obligations for service revenue
are considered to be satisfied as the event is completed or work is
done per the terms of the related contract.
All outstanding accounts receivable, net of allowance, on the
consolidated balance sheet are typically due and collected within
the next 30 days.
The table below presents the Company’s revenue disaggregated
by sources for the years ended December 31, 2018 and 2017 (in
thousands):
2018 2017
LNG Product $ 30,200 $ 15,534
Rental, services and other 7,142 4,913
$ 37,342 $ 20,447

Step Acquisition of Equity Inte

Step Acquisition of Equity Interests12 Months Ended
Dec. 31, 2018
Text Block [Abstract]
Step Acquisition of Equity Interests(3) Step Acquisition of Equity Interests
Prior to May 19, 2017, the Company, through its wholly-owned
subsidiary, Stabilis Oilfield Investment Co, LLC, held a 49%
membership interest in LNG EF, which was organized in September
2013. The Company also held a 50% interest in FHR, a related entity
holding a 2% membership interest in LNG EF. The Company’s
combined 50% beneficial interest in LNG EF was initially recognized
at cost, with the carrying amount subsequently increased or
decreased by the Company’s proportionate share of the
entities’ profits or losses using the equity method of
accounting.
On May 19, 2017, the Company purchased the remaining 49%
ownership of LNG EF and 50% ownership of FHR for a combined
$4.0 million. The acquisition resulted in the Company now
owning a 100% controlling interest requiring consolidation. By
eliminating the outside investor, the Company now believes it will
be able to operate the business more efficiently and focus on
additional growth opportunities.
The Company has accounted for the acquisition as a business
combination whereby the purchase price was allocated to the
identifiable assets acquired and liabilities assumed based on their
fair values. The acquisition resulted in bargain purchase gain of
approximately $13.9 million which represents the fair value of
the net assets acquired over the cash paid. The joint venture
partner invested in LNG EF as an opportunity to explore the small
scale domestic LNG market. In 2017, the joint venture party decided
not to increase its investment in this market and to reallocate its
resources to more significant projects. The joint venture
party’s ability to sell to a third-party entity was limited
due to the non-controlling
The following presents the fair value of LNG EF as of the
acquisition date (in thousands):
Current assets $ 3,064
Property, plant and equipment 48,083
Total assets 51,147
Current liabilities 5,409
Long-term debt 9,858
Total liabilities 15,267
Members equity at fair value 35,880
Total liabilities and members’ equity $ 51,147
50% equity interest at fair value $ 17,940
Consideration transferred 4,000
Bargain purchase gain $ 13,940
In connection with the acquisition, a third-party appraisal was
obtained to determine the appropriate fair value of the equity
interests. As a result, it was determined that the current book
value of the net assets approximated fair value and no
remeasurement gain or loss was recognized.

Acquisition of PEG Partners, LL

Acquisition of PEG Partners, LLC12 Months Ended
Dec. 31, 2018
PEG Partners LLC [Member]
Acquisition of PEG Partners, LLC(4) Acquisition of PEG Partners, LLC
On February 28, 2017 (the “acquisition date”),
JCH, the Company’s majority member, acquired a non-voting non-voting
The Company recorded a bargain purchase gain of $13.1 million
related to the acquisition of PEG, which represents the difference
between the fair value of the net assets acquired over the cash
paid. The prior controlling interest holder in PEG was a foreign
private equity fund in the final stages of liquidating its
investments in the United States oil and gas markets, resulting in
a bargain purchase gain.
The following table summarizes the estimated fair values of the
assets acquired, liabilities assumed and non-controlling
Cash $ 969
Accounts receivable 1,584
Other current assets 500
Property, plant and equipment 24,122
Liabilities assumed (12,454 )
Non-controlling (1,595 )
Net assets acquired 13,126
Consideration transferred

Bargain purchase gain $ 13,126
The fair value and gross amount of accounts receivable acquired was
$1.6 million and the Company expects to collect the entire
amount.
The Company obtained an 80% controlling interest in PEG at the
acquisition date and certain members of PEG’s management
group own a 20% non-controlling Consolidation non-controlling non-controlling
In connection with the acquisition, a third-party appraisal was
obtained to determine the appropriate fair value of the assets
acquired and liabilities assumed. The fair value of the
non-controlling
During the years ended December 31, 2018 and 2017, the
accompanying consolidated statements of operations includes
revenues and net income from PEG as follows (in thousands):
2018 2017
Revenue $ 24,028 $ 12,411
Net loss (209 ) (3,582 )
Net loss attributable to non-controlling (42 ) (716 )
Net loss attributable to Stabilis Energy, LLC $ (168 ) $ (2,866 )

Equity Method Investments

Equity Method Investments12 Months Ended
Dec. 31, 2018
Equity Method Investments and Joint Ventures [Abstract]
Equity Method Investments(5) Equity Method Investments
The Company’s subsidiary, Stabilis Oilfield Investment Co,
LLC, invested capital, equipment and engineering services valued at
approximately $8.0 million for a 49% membership interest in
LNG EF which was organized in 2013. The Company also invested
capital and engineering services valued at approximately
$250 thousand for a 50% membership interest in FHR, a related
entity holding a 2% interest in LNG EF.
The Company’s combined 50% interest in LNG EF resulted in the
Company having significant influence over the entity’s
operations but not control. Accordingly, the investment was
recorded at cost and the carrying amount is increased or decreased
based on the Company’s proportionate share of the
entity’s earnings or losses, using the equity method of
accounting.
As further discussed in Note (3) Step Acquisition of
Equity Interest
The following table summarizes the changes in the Company’s
recorded amount of equity method investments for the year ended
December 31, 2017 (in thousands):
LNG EF FHR Total
Carrying value at January 1, 2017 $ 18,554 $ 484 $ 19,038
Equity loss (1,095 ) (3 ) (1,098 )
Change to consolidation (17,459 ) (481 ) (17,940 )
Carrying value at December 31, 2017 $
— $
— $

Prepaid Expenses and Other Curr

Prepaid Expenses and Other Current Assets6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Text Block [Abstract]
Prepaid Expenses and Other Current Assets(4) Prepaid Expenses and Other Current Assets
The Company’s prepaid expenses and other current assets
consisted of the following (in thousands):
June 30, December 31,
Prepaid LNG $ 227 $ 367
Prepaid insurance 199 174
Other Receivables 79 672
Deposits 573 578
Other 328 324
$ 1,406 $ 2,115
(6) Prepaid Expenses and Other Current Assets
The Company’s prepaid expenses and other current assets
consisted of the following (in thousands):
December 31,
2018 2017
Prepaid LNG $ 367 $ 155
Prepaid insurance 174 310
Other receivables 672 148
Deposits 578 269
Other 324 72
$ 2,115 $ 954

Property, Plant and Equipment

Property, Plant and Equipment6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment(5) Property, Plant and Equipment
The Company’s property, plant and equipment consisted of the
following (in thousands):
June 30, December 31,
Liquefaction plants and systems $ 40,573 $ 39,679
Real property and buildings 1,396 1,396
Vehicles and tanker trailers and equipment 45,274 44,878
Computer and office equipment 250 238
Construction in progress 1,353 1,071
Leasehold improvements 1 1
88,847 87,263
Less: accumulated depreciation (25,242 ) (20,657 )
$ 63,605 $ 66,606
Depreciation expense for the six months ended June 30, 2019
and 2018 totaled $4,585 thousand and $4,383 thousand
respectively, of which all is included in the consolidated
statements of operations as its own and separate line item.
(7) Property, Plant and Equipment
The Company’s property, plant and equipment consisted of the
following (in thousands):
December 31,
2018 2017
Liquefaction plants and systems $ 39,679 $ 39,679
Real property and buildings 1,396 1,396
Vehicles and tanker trailers and equipment 44,878 43,407
Computer and office equipment 238 216
Construction in progress 1,071 880
Leasehold improvements 1 101
87,263 85,680
Less: accumulated depreciation (20,657 ) (11,969 )
$ 66,606 $ 73,711
Depreciation expense for the years ended December 31, 2018 and
2017 totaled $8.8 million and $7.0 million, respectively,
of which all is included in the consolidated statements of
operations as its own and separate line item.

Accrued Liabilities

Accrued Liabilities6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Payables and Accruals [Abstract]
Accrued Liabilities(6) Accrued Liabilities
The Company’s accrued liabilities consisted of the following
(in thousands):
June 30, December 31,
Compensation and benefits $ 965 $ 907
Professional fees 1,049 827
LNG fuel and transportation 730 612
Accrued interest 478 220
Other taxes payable 107 100
Other operating expenses 781 247
$ 4,110 $ 2,913
(8) Accrued Liabilities
The Company’s accrued liabilities consisted of the following
(in thousands):
December 31,
2018 2017
Compensation and benefits $ 907 $ 712
Professional fees 827 20
LNG fuel and transportation 612 450
Accrued interest 220 220
Other taxes payable 100 34
Other operating expenses 247 294
$ 2,913 $ 1,730

Notes Payable

Notes Payable12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]
Notes Payable(9)
Notes Payable
Short-term Notes Payable
The Company finances its annual commercial insurance premiums. The
unpaid principal balance on the premium finance notes as of
December 31, 2018 and 2017 were approximately $121,000 and
$257,000, respectively. The Company makes equal monthly payments of
principal and interest over the term of the notes which is
generally 11 months. The annual interest rate for the policy
renewal period in 2018 was approximately 5.4%.
Notes Payable to Related Party
Notes payable to related party consisted of the following at
December 31, 2018 and 2017 (in thousands):
2018 2017
Note payable to JCH Crenshaw Holdings, LLC (related party see Note
10), dated December 31, 2017, in the amount of
$9.3 million with payment of principal and interest at 8% due
March 2021 $
— $ 9,303
Note payable to Casey and Stacey Crenshaw (related party see Note
10), dated December 31, 2017, in the amount of
$5.8 million with payment of principal and interest at 8% due
March 2021
— 5,814
Note payable to Crenshaw Family Holdings, LP (related party see
Note 10), dated December 31, 2017, in the amount of
$12.0 million with payment of principal and interest at 8% due
March 2021
— 11,983
Note payable to The Modern Group, Ltd (related party see Note 10),
dated December 31, 2017, in the amount of $14.4 million
with payment of principal and interest at 8% due March 2021
— 14,419
$
— $ 41,519
Effective November 30, 2018, the holders of the
Company’s related party notes payable converted the
outstanding principal balance, plus accrued and unpaid interest,
totaling $48.7 million into members’ equity (see Note 11
Members Equity for further discussion).
Notes Payable
Notes payable consisted of the following at December 31, 2018
and 2017 (in thousands):
2018 2017
Notes payable to finance company, dated September 30, 2013, in
the amount of $19.0 million, with payments of principal and
accrued interest due in incremental amounts annually. Interest is
adjusted monthly and is calculated at LIBOR plus 3% at the end of
each month. Note is secured by $20 million equity interest and
first lien on plant assets and matures August 2024. $ 9,077 $ 11,497
Less current maturities (2,500 ) (2,500 )
$ 6,577 $ 8,997
The following schedule presents the future maturities of notes
payable for each of the next five years as of December 31,
2018 (in thousands):
December 31,
2019 2,500
2020 1,500
2021 1,500
2022 1,500
2023 1,500
Thereafter, 577
$ 9,077

Related Party Transactions

Related Party Transactions6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions(8) Related Party Transactions
Financing Lease Obligations
During 2017, the Company refinanced its’ lease agreement with
a subsidiary of TMG for equipment purchases totaling approximately
$10.1 million. Under the terms of the lease agreement, the
Company’s monthly payments are interest-only for the first 12
months at an annual rate of 6%. The Company will then repay 80% of
the outstanding lease obligation over the remaining term of 36
months at an annual interest rate of 10%. The Company has accounted
for the lease as a finance lease.
During 2018, the Company entered into lease agreements with a
subsidiary of TMG to finance vehicles and machinery and equipment
totaling approximately $1.5 million. Under the terms of the
leases, the balance is due in equal monthly installments over 24
months at annual interest rate of 10%. The Company has accounted
for the lease as a finance lease.
The Company’s carrying value of finance lease obligations to
related parties consisted of the following (in thousands):
June 30, December 31,
Finance Lease Obligations with subsidiary of The Modern Group,
Ltd $ 5,574 $ 7,246
Less: Amounts due within one year (5,089 ) (3,879 )
Total Finance lease Obligations to Related Parties $ 485 $ 3,367
Operating Leases
The Company subleases land in Fort Lupton, Colorado to a subsidiary
of TMG. During the six months ended June 30, 2019 and 2018,
amounts billed to TMG under the agreement totaled $6 thousand
and $6 thousand, respectively. During the three months ended
June 30, 2019 and 2018, amounts billed to TMG under the
agreement totaled $3 thousand and $3 thousand,
respectively.
The Company subleases space in Denver, Colorado to a subsidiary of
TMG. During the six months ended June 30, 2019 and 2018, the
Company billed $12 thousand and $25 thousand,
respectively, to TMG under the agreement. During the three months
ended June 30, 2019 and 2018, the Company billed
$6 thousand and $15 thousand, respectively, to TMG under
the agreement.
Payroll and Benefits
The Company utilizes payroll and benefit resources from TMG. During
the six months ended June 30, 2019 and 2018, the Company
incurred expenses of $4 thousand and $6 thousand for
processing and administrative charges associated with payroll
processing. During the three months ended June 30, 2019 and
2018, the Company incurred expenses of $1 thousand and
$3 thousand for processing and administrative charges
associated with payroll processing.
Other Purchases
The Company issued a purchase order to Applied Cryo Technologies,
Inc, (ACT) a company owned 51% by Crenshaw Family Holdings
International, Inc., for equipment totaling $302 thousand. The
company expects to take delivery of equipment late in 2019. The
Company also paid ACT $65 thousand for equipment repairs and
services.
The Company purchases supplies and services from a subsidiary of
TMG. During the six months ended June 30, 2019 and 2018,
purchases from TMG totaled $44 thousand and $35 thousand,
respectively. During the three months ended June 30, 2019 and
2018, purchases from TMG totaled $44 thousand and
$15 thousand, respectively.
(10) Related Party Transactions
Operating and Administration Charges to Affiliated
Companies
The Company had entered into a cost sharing agreement with LNG EF,
one of its limited liability company investments, requiring the
Company to pay for costs related to the operations of the entity.
The Company submitted requests for reimbursements of these expenses
on a monthly basis. At December 31, 2018 and 2017, LNG EF owed
the Company $6.4 million and $1.6 million, respectively,
for these expenses. On May 19, 2017, the Company obtained a
controlling financial interest in LNG EF requiring consolidation
(see Note (3) Step Acquisition of Equity
Interests
Loans with Related Parties
During 2016, the Company loaned the chief operating officer amounts
of $200 thousand and $300 thousand, respectively, bearing
an interest rate based on the equivalent to the mid-term
In November 2018, the Company distributed the notes receivable
together with all accrued but unpaid interest as a partial payment
of outstanding indebtedness owed to JCH Crenshaw Holdings, LLC.
Operating Leases
The Company subleases land in Fort Lupton, Colorado to a subsidiary
of TMG. During the years ended December 31, 2018 and 2017,
amounts billed to TMG under the agreement totaled $12 thousand
and $22 thousand, respectively.
The Company subleases space in Denver, Colorado to a subsidiary of
TMG. During the year ended December 31, 2018, the Company
billed $55 thousand to TMG under the agreement.
Payroll and Benefits
The Company utilizes payroll and benefit resources from TMG. During
the years ended December 31, 2018 and 2017, the Company
incurred expenses of $13 thousand each year for processing and
administrative charges associated with payroll processing. In
addition, the Company’s employees participated in the medical
plan of TMG. The Company’s share of costs for participating
in the medical plan during 2018 and 2017 totaled $563 thousand
and $503 thousand, respectively. The Company also billed
$29 thousand and $50 thousand for employees providing
sales support to TMG during the years ended December 31, 2018
and 2017, respectively.
The Company participates in TMG’s established savings plan
(“Savings Plan”) which is qualified under
Section 401(k) of the Internal Revenue Code.
Fixed Assets
During the year ended December 31, 2017 the Company sold an
automobile and trailers to subsidiaries of TMG for
$149 thousand and incurred a loss on sale of
$34 thousand.
Other Purchases
The Company purchased $47 thousand and $15 thousand of
equipment and services from TMG or its affiliates during the years
ended December 31, 2018 and 2017, respectively.
The Company purchased $63 thousand and $56 thousand of
equipment repairs and inspection services from Applied Cryo
Technologies, Inc., a company owned 51% by Crenshaw Family Holdings
International, Inc., during the years ended December 31, 2018
and 2017, respectively.
Beginning in July of 2018, TMG provided certain underutilized rig
and/or synthetic mats on consignment to the Company for assessment
in operations. As part of the agreement and in exchange, the
Company provided a refundable deposit in the amount of
$48 thousand. As of December 31, 2018, the mats are still
in assessment and are recorded as prepaid expenses and other
current assets on the balance sheet.

Members Equity

Members Equity6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Equity [Abstract]
Members Equity(9) Members Equity
On February 11, 2013, JCH and TMG. (the “Initial
Members”) of Stabilis Energy, LLC entered into a Company
Agreement of Stabilis Energy, LLC (“the Agreement”) in
order to regulate the Company’s affairs, conduct its business
and establish the relations of its members. Under the Agreement,
the Company was authorized to issue up to 1,000 membership
interests.
On February 11, 2013, the Company issued 1,000 membership
units ($1 par value) to the Initial Members in proportion to their
respective equal ownership interests, receiving $1,000 of capital
contributions. The net income, net loss or capital gains of the
Company for each fiscal year is allocated to the Initial Members,
pro rata in accordance with their percentage interest.
The Initial Members may authorize the creation of one or more
series of members and membership interests and, additionally, may
authorize the division of existing members and membership interests
into series and the division of any existing or new series into two
or more classes. On September 1, 2015, CFH purchased all of
TMG’s membership interest in Stabilis Energy, LLC.
On February 28, 2017, JCH acquired an 80% controlling
membership interest in PEG. On March 1, 2018, JCH assigned its
membership interest in PEG to the Company. The acquisition was
accounted for as a transaction between entities under common
control and the assets and the liabilities of PEG were transferred
to the Company at their historic cost to JCH and consolidated
accordingly. All assets and liabilities associated with the
transfer are included in the accompanying consolidated balance
sheets along with non-controlling
On November 28, 2018, JCH, CFH, TMG and the Crenshaw’s
entered into a two-step
On November 29, 2018, the Company contributed its two
notes receivable due from its chief operating officer, totaling
$500 thousand as partial settlement of its outstanding
indebtedness to JCH. The aggregate net carrying amount settled was
$500 thousand.
On November 30, 2018, JCH and CFH, the sole members of the
Company, each contributed 500 membership units in the Company
having a carrying amount of $10.0 million to LNG Investment in
exchange for 1,000 Class B units having a carrying amount
of $10.0 million in LNG Investment. An aggregate of 2,000
Class B units were issued by LNG Investment to the Company
having a carrying amount of $20.0 million.
The contribution and exchange of units resulted in the Company
becoming a wholly owned subsidiary of LNG Investment. Subsequently,
JCH, CFH, TMG and the Crenshaw’s, the related party creditors
of the Company and holders of an aggregate net carrying amount
of $48.7 million of indebtedness, each contributed their
individual indebtedness to LNG Investment in exchange for
Class A units in proportion to their percentage of
indebtedness in total. An aggregate of 4,874.28 Class A units
were issued by LNG Investment to the related party creditors of the
Company having a carrying amount of $48.7 million.
On December 17, 2018, the Company entered into a definitive
share exchange agreement with American Electric Technologies, Inc.
(“AETI”) to enter into a business combination
transaction. At the closing, the Company’s owners will
contribute 100% of their outstanding membership units to AETI in
exchange for AETI common stock resulting in the Company and its
subsidiaries becoming a wholly-owned subsidiary of AETI.
On July 26, 2019 (the “Effective Date”), we
completed the business combination transaction (the “Share
Exchange”) by which American Electric Technologies, Inc., a
Florida corporation (“American Electric”) acquired 100%
of the outstanding limited liability company interests of Stabilis
Energy, LLC from LNG Investment Company, LLC, a Texas limited
liability company (“Holdings”) and 20% of the
outstanding limited liability company interests of PEG Partners,
LLC, a Delaware limited liability company (“PEG”) from
AEGIS NG LLC, a Texas limited liability company
(“AEGIS”). The remaining 80% of the outstanding limited
liability company interests of PEG were owned directly by Stabilis
Energy, LLC. As a result, Stabilis Energy, LLC became the 100%
directly-owned subsidiary and Prometheus became the 100%
indirectly-owned subsidiary of American Electric. Under the Share
Exchange Agreement entered into on December 17, 2018 and
amended on May 8, 2019, (as amended, the “Share Exchange
Agreement”), American Electric issued 105,558,606 shares of
common stock to acquire Stabilis Energy, LLC, which represented 90%
of the total amount of the common stock of American Electric which
was issued and outstanding as of the Effective Date. The proposed
transaction was approved by the shareholders of American Electric
at a Special Meeting of Stockholders. The transaction closed on
July 26, 2019. The Share Exchange resulted in a change of
control of American Electric to control by Casey Crenshaw by virtue
of his beneficial ownership of 88.4% of the common stock of
American Electric to be outstanding as of the Effective Date.
(11) Members Equity
On February 11, 2013, JCH and TMG. (the “Initial
Members”) of Stabilis Energy, LLC entered into a Company
Agreement of Stabilis Energy, LLC (“the Agreement”) in
order to regulate the Company’s affairs, conduct its business
and establish the relations of its members. Under the Agreement,
the Company was authorized to issue up to 1,000 membership
interests.
On February 11, 2013, the Company issued 1,000 membership
units ($1 par value) to the Initial Members in proportion to their
respective equal ownership interests, receiving $1,000 of capital
contributions. The net income, net loss or capital gains of the
Company for each fiscal year is allocated to the Initial Members,
pro rata in accordance with their percentage interest.
The Initial Members may authorize the creation of one or more
series of members and membership interests and, additionally, may
authorize the division of existing members and membership interests
into series and the division of any existing or new series into two
or more classes. On September 1, 2015, CFH purchased all of
TMG’s membership interest in Stabilis Energy, LLC.
On February 28, 2017, JCH acquired an 80% controlling
membership interest in PEG as further described in Note
(4) Acquisition of PEG Partners, LLC non-controlling
On November 28, 2018, JCH, CFH, TMG and the Crenshaw’s
entered into a two-step
On November 29, 2018, the Company contributed its two
notes receivable due from its chief operating officer, totaling
$500 thousand as partial settlement of its outstanding
indebtedness to JCH. The aggregate net carrying amount settled was
$500 thousand.
On November 30, 2018, JCH and CFH, the sole members of the
Company, each contributed 500 membership units in the Company
having a carrying amount of $10.0 million to LNG Investment in
exchange for 1,000 Class B units having a carrying amount of
$10.0 million in LNG Investment. An aggregate of 2,000
Class B units were issued by LNG Investment to the Company
having a carrying amount of $20.0 million. The contribution
and exchange of units resulted in the Company becoming a wholly
owned subsidiary of LNG Investment. Subsequently, JCH, CFH, TMG and
the Crenshaw’s, the related party creditors of the Company
and holders of an aggregate net carrying amount of
$48.7 million of indebtedness, each contributed their
individual indebtedness to LNG Investment in exchange for
Class A units in proportion to their percentage of
indebtedness in total. An aggregate of 4,874.28 Class A units
were issued by LNG Investment to the related party creditors of the
Company having a carrying amount of $48.7 million.
On December 17, 2018, the Company entered into a definitive
share exchange agreement with American Electric Technologies, Inc.
(“AETI”) to enter into a business combination
transaction. At the closing, the Company’s owners will
contribute 100% of their outstanding membership units to AETI in
exchange for AETI common stock resulting in the Company and its
subsidiaries becoming a wholly-owned subsidiary of AETI. The
proposed transaction has been approved by the board of directors of
AETI and the Company’s owners, and will be submitted to the
shareholders of AETI for approval of the issuance of AETI common
stock in connection with the transaction and other
transaction-related matters at a Special Meeting of Shareholders.
The transaction is expected to close during the second quarter of
2019, subject to customary closing conditions. The Share Exchange
Agreement contains certain termination rights for each owner,
including in the event that (i) the Share Exchange is not
consummated on or before June 30, 2019, and (ii) the
requisite approval of the stockholders of AETI to the issuance of
shares in the Share Exchange or the related amendments to
AETI’s articles of incorporation is not obtained.

Employee Benefits

Employee Benefits6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Postemployment Benefits [Abstract]
Employee Benefits(10) Employee Benefits
The Company has established a savings plan (“Savings
Plan”) which is qualified under Section 401(k) of the
Internal Revenue Code. Eligible employees may elect to make
contributions to the Savings Plan through salary deferrals of up to
90% of their base pay, subject to Internal Revenue Code
limitations. The Company may also makes discretionary contributions
to the Savings Plans, subject to limitations. For the six months
ended June 30, 2019 and 2018 the Company contributed $55 and
$25 thousand in matching contributions to the Savings Plan.
For the three months ended June 30, 2019 and 2018 the Company
contributed $28 and $13 thousand in matching contributions to
the Savings Plan.
(12) Employee Benefits
The Company has established a savings plan (“Savings
Plan”) which is qualified under Section 401(k) of the
Internal Revenue Code. Eligible employees may elect to make
contributions to the Savings Plan through salary deferrals of up to
90% of their base pay, subject to Internal Revenue Code
limitations. The Company may also make discretionary contributions
to the Savings Plans, subject to limitations. For the year ended
December 31, 2018 and 2017 the Company contributed
$57 thousand and $62 thousand of matching contributions
to the Savings Plan, respectively.

Income Taxes

Income Taxes12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes(13) Income Taxes
A reconciliation of income taxes computed using the 21% U.S.
federal statutory rate to the amount reflected in the accompanying
consolidated statements of operations for the years ended
December 31, 2018 and 2017 is as follows (in thousands):
2018 2017
Income tax benefit (expense) at federal statutory rate $ 2,328 $ (2,535 )
Non-deductible 17 5
Impact of change in statutory rate
— (345 )
Change in valuation allowance (2,311 ) 28,384
Section 382 limitation
— (25,509 )
Other (35 )

Provision for income taxes $
— $

The Company accounts for income taxes whereby deferred taxes are
provided on temporary differences arising from assets and
liabilities whose basis are different for financial reporting and
income tax purposes. The tax effects of temporary differences that
give rise to significant portions of the deferred tax assets and
liabilities at December 31, 2018 and 2017 are as follows (in
thousands):
2018 2017
Federal net operating loss carryforward $ 10,876 $ 9,075
Accrued interest to related parties, not deductible until paid 335 60
Accrued expenses
— 19
Basis of intangible assets 221 266
Valuation allowance (3,950 ) (1,639 )
Total deferred tax assets 7,481 7,781
Basis of property, plant and equipment 7,447 7,741
Prepaid expenses 34 40
Total deferred tax liabilities 7,481 7,781
Net deferred taxes $
— $

In December 2017, the U.S. congress passed the Tax Cuts and Jobs
Act of 2017 (the “TCJA”). This legislation makes
significant changes in U.S. tax law including a reduction in the
corporate rates, changes to net operating loss carryforwards and
carrybacks, and a repeal of the corporate alternative minimum tax.
The legislation reduced the U.S. corporate tax rate from 35% to
21%.
At December 31, 2018, the Company has net operating loss
carryforwards of approximately $51.8 million which may be used to
offset future taxable income. The net operating loss carryforwards
include $42.3 million of losses arising prior to December 31,
2017 that expire in 2028 through 2033. Those arising in tax years
after 2017 can be carried forward indefinitely. Since the Company
has not yet generated significant taxable income, a valuation
allowance has been established to fully reserve the Company’s
net deferred tax assets at December 31, 2018. A change in
ownership eliminated substantially all net operating loss
carryforwards of an acquired subsidiary at February 28, 2017.
The elimination of those loss carryforwards is shown above as a
section 382 limitation.
The Company recognizes the tax benefit or obligation from an
uncertain tax position only if it is more likely than not that the
tax position will be sustained on examination by the taxing
authorities, based not only on the technical merits of the tax
position based on tax law, but also past administrative practices
and precedents of the taxing authority. The tax benefits or
obligations are recognized in our financial statements if there is
a greater than 50% likelihood of the tax benefit or obligation
being realized upon ultimate resolution. As of December 31,
2018 and 2017, the Company had no uncertain tax positions that
required recognition.
As of December 31, 2018, the Company’s tax returns for
years 2014 to 2018 remain subject to examination for both federal
and state filings.

Commitments and Contingencies

Commitments and Contingencies6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies(11) Commitments and Contingencies
Environmental Matters
The Company is subject to federal, state and local environmental
laws and regulations. The Company does not anticipate any
expenditures to comply with such laws and regulations that would
have a material impact on the Company’s consolidated
financial position, results of operations or liquidity. The Company
believes that its operations comply, in all material respects, with
applicable federal, state and local environmental laws and
regulations.
Litigation, Claims and Contingencies
The Company may become party to various legal actions that arise in
the ordinary course of its business. The Company is also subject to
audit by tax and other authorities for varying periods in various
federal, state and local jurisdictions, and disputes may arise
during the course of these audits. It is impossible to determine
the ultimate liabilities that the Company may incur resulting from
any of these lawsuits, claims, proceedings, audits, commitments,
contingencies and related matters or the timing of these
liabilities, if any. If these matters were to ultimately be
resolved unfavorably, it is possible that such an outcome could
have a material adverse effect upon the Company’s
consolidated financial position, results of operations, or
liquidity. The Company, does not, however, anticipate such an
outcome and it believes the ultimate resolution of these matters
will not have a material adverse effect on the Company’s
consolidated financial position, results of operations, or
liquidity. Additionally, the Company currently expenses all legal
costs as they are incurred.
(14) Commitments and Contingencies
Environmental Matters
The Company is subject to federal, state and local environmental
laws and regulations. The Company does not anticipate any
expenditures to comply with such laws and regulations that would
have a material impact on the Company’s consolidated
financial position, results of operations or liquidity. The Company
believes that its operations comply, in all material respects, with
applicable federal, state and local environmental laws and
regulations.
Litigation, Claims and Contingencies
The Company may become party to various legal actions that arise in
the ordinary course of its business. The Company is also subject to
audit by tax and other authorities for varying periods in various
federal, state and local jurisdictions, and disputes may arise
during the course of these audits. It is impossible to determine
the ultimate liabilities that the Company may incur resulting from
any of these lawsuits, claims, proceedings, audits, commitments,
contingencies and related matters or the timing of these
liabilities, if any. If these matters were to ultimately be
resolved unfavorably, it is possible that such an outcome could
have a material adverse effect upon the Company’s
consolidated financial position, results of operations, or
liquidity. The Company, does not, however, anticipate such an
outcome and it believes the ultimate resolution of these matters
will not have a material adverse effect on the Company’s
consolidated financial position, results of operations, or
liquidity. Additionally, the Company currently expenses all legal
costs as they are incurred.
Operating Leases
In 2014, the Company entered into a five year noncancelable
operating lease for an office in Denver, Colorado. The total rent
expense incurred under the lease for the years ended
December 31, 2018 and 2017 totaled $231 thousand and
$209 thousand, respectively. In February of 2018, the Company
began to sublease a portion of the office space to a subsidiary of
TMG for $5 thousand a month (see Note
(10) Related Party Transactions
In 2016, the Company entered into a two-year Note (10) Related Party
Transactions
The Company leases certain buildings and facilities, including
office space in Bellevue, Washington; Houston, Texas; and land for
its LNG liquefaction plants in Lisbon, Utah; and certain equipment
under non-cancellable
The following schedule presents the future minimum lease
obligations for all non-cancelable
Year ending December 31,
2019 $ 320
2020 143
2021 97
2022 34
2023 & thereafter

$ 594
Rent expense totaled approximately $872 thousand and
$1.3 million for the years ended December 31, 2018 and
2017, respectively.

Concentration of Risks

Concentration of Risks12 Months Ended
Dec. 31, 2018
Risks and Uncertainties [Abstract]
Concentration of Risks(15) Concentration of Risks
Significant Customers
A material part of the Company’s business is dependent on a
few customers, the loss of which could have a material adverse
effect on the Company. The following table presents customers
representing greater than 10% of total revenues and/or outstanding
receivable as of and for the years ended December 31, 2018 and
2017 (in thousands):
Revenue % Accounts %
2018:
Customer 1 $ 9,710 26 % $ 998 23 %
Customer 2 4,451 12 % 113 3 %
$ 14,161 38 % $ 1,111 26 %
2017:
Customer 1 $ 8,561 42 % $ 1,126 30 %
Customer 2 2,249 11 % 290 8 %
$ 10,810 53 % $ 1,416 38 %

Subsequent Events

Subsequent Events6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Subsequent Events [Abstract]
Subsequent Events(13) Subsequent Events
On August 5, 2019, we announced that Chart Industries, Inc.
(“Chart”) invested $7.0 million for
1.5 million shares of common stock in Stabilis through
extinguishment of existing debt. This transaction closed on
August 30, 2019. The investment by Chart will reduce our
financial leverage and enable us to be in a better position to
pursue North American small-scale LNG growth.
On August 16, 2019, the Company secured a $5.0 million
loan from a subsidiary of TMG. The Company paid a
$125 thousand loan origination fee and will incur a 6% per
annum interest rate through December 10, 2020 and 12% per
annum thereafter. The debt payments are interest only through
December 2020 followed by monthly principal and interest payments
through December of 2022. The debt is secured by certain pieces of
the Company’s equipment valued at $5 million.
On August 21, 2019, we announced that the Company has
completed the acquisition of privately held Diversenergy, LLC and
the formation of a joint venture with CryoMex Investment Group LLC
(“CryoMex”) to pursue investments in LNG and compressed
natural gas (CNG) assets in Mexico. CryoMex is led by Grupo CLISA,
a Monterrey, Mexico-based developer and operator of businesses in
multiple end markets including energy. The transaction was
structured as an equity purchase with Diversenergy’s owners
receiving cash and Stabilis common stock consideration.
(16) Subsequent Events
Company management has evaluated the effects of subsequent events
on the Company’s financial statements through March 29,
2019, the date the financial statements were issued, and has
determined that there were no other significant events to be
reported.

General and Basis of Presentati

General and Basis of Presentation6 Months Ended
Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
General and Basis of Presentation(1) General and Basis of Presentation
(a) General
Stabilis Energy, LLC is a Texas Limited liability company
(“the Company”) formed in 2013 to produce, market, and
sell liquefied natural gas (“LNG”). The Company also
resells liquefied natural gas from third parties and provides
services, transportation, and equipment to customers.
The Company is a supplier of LNG to the industrial, midstream, and
oilfield sectors in North America and provides turnkey fuel
solutions to help industrial users of diesel and other crude-based
fuel products convert to LNG, resulting in reduced fuel costs
and improved environmental footprint. The Company opened
a 120,000 gallons per day (“gpd”) LNG production
facility in George West, Texas in January 2015 to service
industrial and oilfield customers in Texas and the greater Gulf
Coast region. The Company owns a second liquefaction plant capable
of producing 25,000 gpd that is being relocated. The Company is
vertically integrated from LNG production through distribution and
cryogenic equipment rental.
On February 28, 2017, the Company acquired Prometheus Energy
Group Incorporated (“Prometheus”) in a transaction
between entities under common control and Prometheus became an 80%
owned subsidiary of the Company. Because the entities are under
common control, the assets and liabilities of Prometheus were
transferred to the Company at their historic cost.
Prometheus markets and distributes LNG for off road, high
horsepower applications. Prometheus provides LNG and service
solutions to users in the oil and gas, mining, remote and temporary
power, mobile on-site low-cost on-site off-pipeline
On November 28, 2018, the Company’s members and related
party creditors entered into a two-step
On December 17, 2018, the Company entered into a definitive
share exchange agreement with American Electric Technologies, Inc.
(“AETI”) to enter into a business combination
transaction. At the closing, the Company’s owners contributed
100% of their outstanding membership units to AETI in exchange for
AETI common stock resulting in the Company and its subsidiaries
becoming a wholly-owned subsidiary of AETI.
On July 26, 2019 (the “Effective Date”), we
completed the business combination transaction (the “Share
Exchange”) by which American Electric Technologies, Inc., a
Florida corporation (“American Electric”) acquired 100%
of the outstanding limited liability company interests of Stabilis
Energy, LLC from LNG Investment Company, LLC, a Texas limited
liability company (“Holdings”) and 20% of the
outstanding limited liability company interests of PEG Partners,
LLC, a Delaware limited liability company (“PEG”) from
AEGIS NG LLC, a Texas limited liability company
(“AEGIS”). The remaining 80% of the outstanding limited
liability company interests of PEG were owned directly by Stabilis
Energy, LLC. As a result, Stabilis Energy, LLC became the 100%
directly-owned subsidiary and Prometheus became the 100%
indirectly-owned subsidiary of American Electric. Under the Share
Exchange Agreement entered into on December 17, 2018 and
amended on May 8, 2019, (as amended, the “Share Exchange
Agreement”), American Electric issued 105,558,606 shares of
common stock to acquire Stabilis Energy, LLC, which represented 90%
of the total amount of the common stock of American Electric which
was issued and outstanding as of the Effective Date. The proposed
transaction was approved by the shareholders of American Electric
at a Special Meeting of Stockholders. The transaction closed on
July 26, 2019. The Share Exchange resulted in a change of
control of American Electric to control by Casey Crenshaw by virtue
of his beneficial ownership of 88.4% of the common stock of
American Electric outstanding as of the Effective Date.
(b) Basis of Presentation
The accompanying interim unaudited condensed consolidated financial
statements include the accounts of the Company and its wholly owned
and majority-owned subsidiaries Stabilis Energy Services, LLC, and
Stabilis Oilfield Investment Company, LLC and, in the opinion of
management, reflect all adjustments, which include only normal
recurring adjustments, necessary to state fairly the
Company’s consolidated financial position as of June 30,
2019, and results of operations for the six months ended
June 30, 2019 and 2018, and cash flows for the six months
ended June 30 , 2019 and 2018. All intercompany accounts and
transactions have been eliminated in consolidation. The results of
operations for the six month periods ended June 30, 2019 and
2018 are not necessarily indicative of the results to be expected
for the year ending December 31, 2019 or for any other interim
period or for any future year.
Certain information and disclosures normally included in the notes
to consolidated financial statements have been condensed or
omitted, but the resultant disclosures contained herein are in
accordance with accounting principles generally accepted in the
United States of America (“US GAAP”) as they apply to
interim reporting. The accompanying condensed consolidated
financial statements should be read in conjunction with the
consolidated financial statements as of and for the year ended
December 31, 2018.
The accompanying unaudited condensed consolidated financial
statements have been prepared assuming that the Company will
continue as a going concern, which contemplates the realization of
assets and the satisfaction of liabilities in the normal course of
business. The Company adopted Financial Accounting Standards Board
(“FASB”) Accounting Standards Update
(“ASU”) No. 2014-15, 205-40),
These factors were reviewed by management to determine if there was
substantial doubt as to the Company’s ability to continue as
a going concern. Management concluded that its plan to address the
Company’s liquidity issues would allow it to continue as a
going concern. Those plans include projected positive cash flows
from operations and the majority member’s intent and ability
to support operations if required.
Cash flows from operations have continued to improve due to sales
volumes and reduced operating costs. Management believes that its
business will continue to grow and will generate sufficient cash
flows to fund future operations.
On November 30, 2018, related party debt holders converted
$48.7 million of debt to equity to improve the Company’s
financial position and reduce its future debt service requirements.
Additionally, in August 2017 the Company negotiated and amended to
its promissory note to Chart Industries. This amendment reduced and
extended its mandatory debt service payments to provide future
payments that management believes are sustainable based on current
and projected operating performance.
The preparation of the condensed consolidated financial statements
in conformity with accounting principles generally accepted in the
United States (“U.S. GAAP”) requires management to make
estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the
reported amounts of revenues and expenses during the reporting
period. Significant items subject to such estimates include the
carrying amount of contingencies, and valuation allowances for
receivables, inventories, and deferred income tax assets. Actual
results could differ from those estimates, and these differences
could be material to the consolidated financial statements.

Recent Accounting Pronouncement

Recent Accounting Pronouncements6 Months Ended
Jun. 30, 2019
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements(2) Recent Accounting Pronouncements
In October 2018, the FASB issued ASU No. 2018-17, Consolidation
(Topic 810): Targeted Improvements to Related Party Guidance for
Variable Interest Entities No. 2018-17
In July 2018, the FASB issued ASU No. 2018-11, Leases (Topic
842): Targeted Improvements No. 2018-11 No. 2018-11 non-lease non-lease non-lease No. 2018-11 No. 2016-02
In January 2017, the FASB issued ASU No. 2017-01, Business
Combinations (Topic 805): Clarifying the Definition of a
Business No. 2017-01 No. 2017-01 No. 2017-01
In February 2016, the FASB issued ASU No. 2016-02, Leases right-of-
In May 2014, the FASB ASU No. 2014-09, Revenue from
Contracts with Customers No. 2014-09 No. 2014-09

Debt

Debt6 Months Ended
Jun. 30, 2019
Debt Disclosure [Abstract]
Debt(7) Debt
The Company’s carrying value of debt consisted of the
following (in thousands):
June 30, December 31,
Secured Term Note Payable $ 9,077 $ 9,077
Insurance and Other Notes Payable 161 121
Less: Amounts due within one year (2,661 ) (2,621 )
Total Debt $ 6,577 $ 6,577
Secured Term Note Payable
On September 30, 2013 Stabilis LNG Eagle Ford LLC entered into
a Secured Term Note Payable with Chart Energy &
Chemicals, Inc. (the “Lender”) in connection with a
Master Sales Agreement whereby the Lender agreed to sell Stabilis
LNG Eagle Ford LLC certain equipment for its liquefaction plant.
The total value of the agreement was not to exceed
$20.5 million and was billed in advances based on a
“Milestone Payment Schedule”. The note contained
various covenants that limit the Stabilis LNG Eagle Ford
LLC’s ability to grant certain lines, incur additional
indebtedness, guarantee or become contingently liable for
obligations of any person except for those allowed by the lender,
merge or consolidate into or with a third party or engage in
certain asset dispositions and acquisitions, pay dividends or make
distributions, transact with affiliates, prepayment of
indebtedness, and issue additional equity interests. Further, the
Master Sales Agreement is secured by $20.0 million equity
interest and first lien on all plant assets including land.
Borrowings bear interest on the outstanding principal at the rate
of 3.0% plus the London interbank offered rate.
On May 19, 2017, the Company, purchased the remaining 49%
ownership of Stabilis LNG Eagle Ford LLC and 50% ownership of FHR
resulting in the ownership of 100% controlling interest therefore
requiring consolidation and assumption of the related debt.
Accordingly, the Secured Term Note Payable was amended on
August 21, 2017 whereby only the payment terms of principal
and interest were modified to be payable in eight installments as
follows: (i) $2.5 million plus accrued interest due on August,
24, 2017, (ii) $2.5 million plus accrued interest due on
August 24, 2018, (iii) $2.5 million plus accrued interest
due on August 24, 2019, (iv) four equal payments of
$1.5 million plus accrued interest on each anniversary date of
August 24, 2019 thereafter, (v) and $0.6 million
plus accrued interest on the remaining unpaid balance of the
Amended Secured Term Note Payable on August 24, 2024. In the
event all principal and interest is paid in full by August 24,
2023, an additional payment of $2.2 million is to be
forgiven.
Insurance Notes Payable
The Company finances its annual commercial insurance premiums for
its business and operations with a finance company. The dollar
amount financed was $0.4 million for the 2018 to 2019 policy.
The outstanding principal balance on the premium finance note was
$0.1 million at December 31, 2018 and $0.1 million
at June 30, 2019. The renewal will occur in August 2019. The
Company makes equal monthly payments of principal and interest over
the term of the notes which are generally 10 months in term. The
interest rate for the 2018 to 2019 insurance policy was 5.4%. The
note was unsecured.

Lease Obligations

Lease Obligations6 Months Ended
Jun. 30, 2019
Leases [Abstract]
Lease Obligations(12) Lease Obligations
We determine if an arrangement is a lease at inception. Leases with
an initial term of 12 months or less are not recorded in our
condensed consolidated balance sheet unless it is reasonably
certain we will renew the lease. All leases with an initial term
greater than 12 months, whether classified as operating or finance,
are recorded to our condensed consolidated balance sheet based on
present value of lease payments over the lease term, determined at
lease commencement. Determination of the present value of lease
payments requires discount rate. We use the implicit rate in the
lease agreement when available. Most of our leases do not provide
an implicit interest rate: therefore, we use a weighted average
borrowing rate based on the information available at the
commencement date.
Our lease portfolio primarily consists of operating leases for
certain, facilities, office spaces and equipment. Our leases have
remaining terms of 1 year to 5 years and may include options to
extend or terminate the lease when it is reasonably certain that we
will exercise that option. The operating lease asset also includes
any upfront lease payments made and excludes lease incentives and
initial direct cost incurred. Lease expense for operating leases is
recognized on a straight-line basis over the lease term.
The following table summarized the supplemental balance sheet
information related to lease assets and lease liability obligations
as of June 30, 2019 (in thousands, unaudited):
Classification
Assets
Operating lease assets Operating lease right-of-use assets $ 497
Finance lease assets Property and equipment, net of accum
depreciation 9,550
Total lease assets 10,047
Liabilities
Current
Operating Current portion of operating lease
obligations 276
Finance Current portion of finance lease
obligation 5,089
Noncurrent
Operating Operating lease liabilities 226
Finance Finance lease obligations,—related
parties, net of current portion 485
Total lease liabilities $ 6,076
The following table summarizes the components of lease expenses for
the three and six months ended June 30, 2019 (in thousands,
unaudited):
Classification Three Months Six Months
Lease Cost 2019 2018 2019 2018
Operating lease cost Cost of sales and Selling, general and
administrative expenses $ 95
— $ 95

Finance lease cost
Amortization of leased assets Cost of operations 292 249 584 498
Interest on lease liabilities Interest expense 166 179 340 366
Net lease cost $ 553 428 $ 1,019 864
In 2014, the Company entered into a five year non-cancelable Note 8) Related Party Transactions
In December 2018, the Company entered into a one year lease for
equipment used at our liquefaction plant in George West, Texas. The
lease called for monthly payments of $13 thousand through
December 31, 2019.
In January 2019, the Company extended its lease for one year for
yard space from an unrelated party in Fort Lupton, Colorado. The
lease called for monthly payments of $2,000 through
December 31, 2019. The Company subleased the yard space to a
subsidiary of TMG during 2018 (see Note 8) Related Party
Transactions
The Company leases certain buildings and facilities, including
office space in Bellevue, Washington; Houston, Texas; and certain
equipment under non-cancellable
The following schedule presents the future minimum lease payments
for our operating and finance obligations at June 30, 2019 (in
thousands):
Operating Finance Total
Remainder 2019 $ 158 $ 2,282 $ 2,440
2020 189 3,950 4,139
2021 138 — 138
2022 17 — 17
Total lease payments 502 6,232 6,734
Less: Interest
— (658 ) (658 )
Present value of lease liabilities $ 502 $ 5,574 $ 6,076
Lease term and discount rates for our operating and finance lease
obligations are as follows:
Lease Term and Discount Rate June 30, 2019
Weighted-average remaining lease term (years)
Operating leases 1.5
Finance leases 1
Weighted-average discount rate
Operating leases 7.3 %
Finance leases 9.9 %
The following table summarizes the supplemental cash flow
information related to leases as of June 30, 2019:
Other information June 30, 2019
(In thousands)
Cash paid for amounts included in the measurement of lease
liabilities
Operating cash flows from operating leases $ 95
Financing cash flows from finance leases 1,672
Interest paid 340
Noncash activities from right-of-use assets obtained in exchange
for lease obligations:
Operating leases $ 497

Basis of Presentation and Sum_2

Basis of Presentation and Summary of Significant Accounting Policies (Policies)12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]
Description of Business(a) Description of Business
Stabilis Energy, LLC is a Texas Limited liability company
(“the Company”) formed in 2013 to produce, market, and
sell liquefied natural gas (“LNG”). The Company also
resells liquefied natural gas from third parties and provides
services, transportation, and equipment to customers.
The Company is a supplier of LNG to the industrial, midstream, and
oilfield sectors in North America and provides turnkey fuel
solutions to help industrial users of diesel and other crude-based
fuel products convert to LNG, resulting in reduced fuel costs and
improved environmental footprint. The Company opened a 120,000
gallons per day (“gpd”) LNG production facility in
George West, Texas in January 2015 to service industrial and
oilfield customers in Texas and the greater Gulf Coast region. The
Company owns a second liquefaction plant capable of producing
25,000 gpd that is being relocated to the Permian Basin to support
LNG demand in this region. The Company is vertically integrated
from LNG production through distribution and cryogenic equipment
rental.
On February 28, 2017, the Company acquired Prometheus Energy
Group Incorporated (“Prometheus”) in a transaction
between entities under common control and Prometheus became an 80%
owned subsidiary of the Company. Because the entities are under
common control, the assets and liabilities of Prometheus were
transferred to the Company at their historic cost (see Note
(4) Acquisition of PEG Partners, LLC
Prometheus markets and distributes LNG for off road, high
horsepower applications. Prometheus provides LNG and service
solutions to users in the oil and gas, mining, remote and temporary
power, utility, mobile on-site low-cost on-site off-pipeline
On November 28, 2018, the Company’s members and related
party creditors entered into a two-step Note (11) Members Equity
On December 17, 2018, the Company entered into a definitive
share exchange agreement with American Electric Technologies, Inc.
(“AETI”) to enter into a business combination
transaction. At the closing, the Company’s owners will
contribute 100% of their outstanding membership units to AETI in
exchange for AETI common stock resulting in the Company and its
subsidiaries becoming a wholly-owned subsidiary of AETI. The
proposed transaction has been approved by the board of directors of
AETI and the Company’s owners, and will be submitted to the
shareholders of AETI for approval of the issuance of AETI common
stock in connection with the transaction and other
transaction-related matters at a Special Meeting of Shareholders.
The transaction is expected to close during the second quarter of
2019, subject to customary closing conditions.
Basis of Presentation and Consolidation(b) Basis of Presentation and Consolidation
The consolidated financial statements of the Company are prepared
on the accrual basis of accounting, in accordance with accounting
principles generally accepted in the United States of America
(“U.S. GAAP”) and include the accounts of the Company
and its wholly-owned subsidiaries Stabilis Energy Services, LLC,
and Stabilis Oilfield Investment Company, LLC as of and for the
years ended December 31, 2018 and 2017.
In 2014, the Company acquired a 50% beneficial interest in Stabilis
LNG Eagle Ford, LLC (“LNG EF”) and Stabilis FHR
Oilfield LNG, LLC (“FHR”). Management determined that
the 50% beneficial interest provided the Company significant
influence but not a controlling financial interest. Through
May 19, 2017, the Company reported its share of income or loss
from its 50% interest in LNG EF and FHR using the equity method of
accounting. On May 19, 2017, the Company acquired the
remaining 50% interests in LNG EF and FHR. Accordingly, after the
purchase date all income and expense items from the date of
purchase forward have been consolidated (see Note
(3) Step Acquisition of Equity Interests
On March 1, 2018, JCH Crenshaw Holdings, LLC
(“JCH”) assigned its membership interest in PEG
Partners, LLC, (“PEG”) to the Company. PEG, a Delaware
Limited Liability Company, owns Prometheus. Management determined
that JCH (which, along with its affiliates, controls Stabilis)
gained control of PEG on February 28, 2017, when it obtained a
non-voting non-voting
All significant intercompany transactions and balances have been
eliminated in consolidation.
The accompanying consolidated financial statements have been
prepared assuming that the Company will continue as a going
concern, which contemplates the realization of assets and the
satisfaction of liabilities in the normal course of business. The
Company adopted Financial Accounting Standards Board
(“FASB”) Accounting Standards Update
(“ASU”) No. 2014-15, 205-40),
These factors were reviewed by management to determine if there was
substantial doubt as to the Company’s ability to continue as
a going concern. Management concluded that its plan to address the
Company’s liquidity issues would allow it to continue as a
going concern. Those plans include projected positive cash flows
from operations, the conversion of the majority of its existing
debt to equity, and the majority member’s intent and ability
to support operations if required.
Cash flows from operations have continued to improve due to sales
volumes and reduced operating costs. Management believes that its
business will continue to grow and will generate sufficient cash
flows to fund future operations.
On November 30, 2018, related party debt holders converted
$48.7 million of debt to equity to improve the Company’s
financial position and reduce its future debt service requirements.
Additionally, in August 2017 the Company negotiated an amendment to
its promissory note to Chart Industries. This amendment reduced and
extended its mandatory debt service payments to provide future
payments that management believes are sustainable based on current
and projected operating performance.
Use of Estimates in the Preparation of the Consolidated Financial Statements(c) Use of Estimates in the Preparation of the Consolidated
Financial Statements
The preparation of the consolidated financial statements in
conformity with accounting principles generally accepted in the
United States (“U.S. GAAP”) requires management to make
estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the
reported amounts of revenues and expenses during the reporting
period. Significant items subject to such estimates include the
carrying amount of contingencies, and valuation allowances for
receivables, inventories, and deferred income tax assets. Actual
results could differ from those estimates, and these differences
could be material to the consolidated financial statements.
Cash and Cash Equivalents(d) Cash and Cash Equivalents
The Company considers all highly liquid investments with maturities
of three months or less, when purchased, to be cash and cash
equivalents. Cash equivalents consist principally of money market
accounts held with major financial institutions. The Company is
exposed to credit risk from its deposits of cash and cash
equivalents in excess of amounts insured by the Federal Deposit
Insurance Corporation. The company has not experienced any losses
on its deposits of cash and cash equivalents.
Accounts Receivable(e) Accounts Receivable
Accounts receivable are recognized when products are sold. The
Company extends credit to many of its customers in the ordinary
course of business. Generally, these sales are unsecured.
Accounts receivable are stated at cost, net of any allowance for
doubtful accounts. The Company maintains allowances for doubtful
accounts for estimated losses resulting from the failure of
customers to make required payments. The Company reviews the
accounts receivables on a periodic basis and makes allowances where
there is doubt as to the collectability of individual balances. In
evaluating the collectability of individual receivable balances,
the Company considers many factors, including the age of the
balance, the customer’s payment history, its current
credit-worthiness and current economic trends. At December 31,
2018 and 2017, management believed all balances were fully
collectible such that no allowance for doubtful accounts was deemed
necessary.
Inventories(f) Inventories
Inventory consists of LNG produced that is either (1) in a
storage container at our plant or (2) in a storage trailer
that is in transit to a customer. Inventory quantities are measured
at each reporting period and are valued at the lower of cost or
market, determined on a first-in, first-out
Property, Plant and Equipment(g) Property, Plant and Equipment
Property, plant and equipment are stated at cost, net of
accumulated depreciation and amortization. Significant additions,
renewals, and capital improvements are capitalized, whereas
expenditures for maintenance and repairs are charged to expense as
incurred. Leasehold improvements are amortized over the shorter of
the applicable remaining lease term or the estimated useful life of
the related assets. The cost and related accumulated depreciation
of assets retired or sold are removed from the appropriate asset
and depreciation accounts, and the resulting gain or loss is
reflected in income. Depreciation and amortization are computed
using the straight-line method over the estimated useful lives of
the assets as follows:
Liquefaction plants and systems
10 – 20 years
Real property and buildings
10 – 15 years
Vehicles and tanker trailers and equipment
5 – 15 years
Computer and office equipment
3 – 10 years
Leasehold improvements
3 – 5 years
Long-Lived Assets(h) Long-Lived Assets
Long lived assets, such as property, plant, and equipment, are
reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be
recoverable. If circumstances require a long-lived asset or asset
group be tested for possible impairment, the Company first compares
undiscounted cash flows expected to be generated by that asset or
asset group to its carrying amount. If the carrying amount of the
long-lived asset or asset group is not recoverable on an
undiscounted cash flows basis, an impairment is recognized to the
extent that the carrying amount exceeds its fair value. Fair value
is determined through various valuation techniques including
discounted cash flows models, quoted market values and third-party
independent appraisals, as considered necessary.
Asset Retirement Obligations(i) Asset Retirement Obligations
The Company recognizes the fair value of the liability associated
with an asset retirement obligation in the period in which the
liability is incurred or becomes reasonably estimable and if there
is a legal obligation to restore or remediate the property at the
end of a lease term. Asset retirement obligations are based upon
future retirement cost estimates and incorporate certain
assumptions, such as costs to restore the property and any salvage
value. Management does not believe the Company had any material
asset retirement obligations at December 31, 2018 or 2017.
Revenue Recognition(j) Revenue Recognition
The Company recognizes revenue associated with the sale of LNG at
the point in time when the customer obtains control of the asset.
In evaluating when a customer has control of the asset, the Company
primarily considers whether the transfer of legal title and
physical delivery has occurred, whether the customer has
significant risks and rewards of ownership, and whether the
customer accepted delivery and a right of payment exists. Revenues
from the providing of services, transportation and equipment to
customers is recognized as the service is performed (see Note
(2) Revenue Recognition
Income Taxes(k) Income Taxes
The Company, with the consent of all of its members, elected to be
treated as a corporation for federal income tax reporting purposes.
Deferred income taxes are accounted for under the asset-and-liability
The Company recognizes the tax benefit or obligation from an
uncertain tax position only if it is more likely than not that the
tax position will be sustained on examination by the taxing
authorities, based not only on the technical merits of the tax
position based on tax law, but also past administrative practices
and precedents of the taxing authority. The tax benefits or
obligations are recognized in the financial statements if there is
a greater than 50% likelihood of the tax benefit or obligation
being realized upon ultimate resolution. As of December 31,
2018 and 2017, the Company had no uncertain tax positions that
required recognition.
The Company files income tax returns in the United States of
America and in the state of Texas. With few exceptions, the Company
is subject to examination by the applicable taxing authorities for
years after 2014.
Commitments and Contingencies(l) Commitments and Contingencies
Liabilities for loss contingencies arising from claims,
assessments, litigation, fines, and penalties and other sources are
recorded when it is probable that a liability has been incurred and
the amount can be reasonably estimated. Legal costs incurred in
connection with loss contingencies are expensed as incurred.
Fair Value Measurements(m) Fair Value Measurements
The Company utilizes valuation techniques that maximize the use of
observable inputs and minimize the use of unobservable inputs to
the extent possible. The Company determines fair value based on
assumptions that market participants would use in pricing an asset
or liability in the principal or most advantageous market. When
considering market participant assumptions in the fair value
measurements, the following fair value hierarchy distinguishes
between observable and unobservable inputs, which are categorized
in one of the following levels in accordance with U.S. GAAP:
Level 1 Inputs—Unadjusted quoted prices in active
markets for identical assets or liabilities accessible to the
reporting entity at the measurement date.
Level 2 Inputs—Other than quoted prices included in
Level 1 inputs that are observable for the asset or liability,
either directly or indirectly, for substantially the full term of
the asset or liability.
Level 3 Inputs—Unobservable inputs for the asset or
liability used to measure fair value to the extent that observable
inputs are not available, thereby, allowing for situations in which
there is little, if any, market activity for the asset or liability
at the measurement date.
The carrying value of cash and cash equivalents, accounts
receivable, inventory, accounts payable and accrued liabilities
approximate their respective fair values due to their relative
short maturities. The carrying value of the Company’s notes
payable and capital lease obligations approximates fair value
because the related interest rates approximate rates currently
available to the Company.
Nonfinancial assets and liabilities measured at fair value on a
nonrecurring basis include certain nonfinancial assets and
liabilities acquired in a business combination. In determining fair
value, the Company uses quoted market prices or, to the extent that
there are no available quoted market prices, market prices for
similar assets or liabilities.
Recent Accounting Pronouncements(o) Recent Accounting Pronouncements
In July 2018, the FASB issued ASU No. 2018-11, Leases (Topic
842): Targeted Improvements No. 2018-11 No. 2018-11 non-lease non-lease non-lease No. 2018-11 No. 2016-02
In January 2017, the FASB issued ASU No. 2017-01, Business
Combinations (Topic 805): Clarifying the Definition of a
Business No. 2017-01 2017-01 No. 2017-01
In February 2016, the FASB issued ASU No. 2016-02, Leases right-of- No. 2016-02, No. 2016-02 No. 2016-02.
In May 2014, the FASB ASU No. 2014-09, Revenue from
Contracts with Customers No. 2014-09 No. 2014-09

Basis of Presentation and Sum_3

Basis of Presentation and Summary of Significant Accounting Policies (Tables)12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]
Schedule of Depreciation and Amortization Computed Using Straight Line Method Over Estimated Useful Lives of AssetsDepreciation and amortization are computed using the straight-line
method over the estimated useful lives of the assets as
follows:
Liquefaction plants and systems
10 – 20 years
Real property and buildings
10 – 15 years
Vehicles and tanker trailers and equipment
5 – 15 years
Computer and office equipment
3 – 10 years
Leasehold improvements
3 – 5 years

Revenue Recognition (Tables)

Revenue Recognition (Tables)6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Revenue from Contract with Customer [Abstract]
Schedule of Revenue Disaggregated by SourceThe table below presents the Company’s revenue disaggregated
by sources for the six months ended June 30, 2019 and 2018 (in
thousands):
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
LNG Product $ 8,699 $ 7,047 $ 18,953 $ 14,898
Rental, services and other 2,396 1,644 5,117 3,667
$ 11,095 $ 8,691 $ 24,070 $ 18,565
The table below presents the Company’s revenue disaggregated
by sources for the years ended December 31, 2018 and 2017 (in
thousands):
2018 2017
LNG Product $ 30,200 $ 15,534
Rental, services and other 7,142 4,913
$ 37,342 $ 20,447

Step Acquisition of Equity In_2

Step Acquisition of Equity Interests (Tables)12 Months Ended
Dec. 31, 2018
Text Block [Abstract]
Schedule of Fair Value of Assets Acquired and Liabilities Assumed from Step AcquisitionThe following presents the fair value of LNG EF as of the
acquisition date (in thousands):
Current assets $ 3,064
Property, plant and equipment 48,083
Total assets 51,147
Current liabilities 5,409
Long-term debt 9,858
Total liabilities 15,267
Members equity at fair value 35,880
Total liabilities and members’ equity $ 51,147
50% equity interest at fair value $ 17,940
Consideration transferred 4,000
Bargain purchase gain $ 13,940

Acquisition of PEG Partners, _2

Acquisition of PEG Partners, LLC (Tables)12 Months Ended
Dec. 31, 2018
PEG Partners LLC [Member]
Schedule of Consolidated Statements of Operations includes Revenues and Net Income from PEGDuring the years ended December 31, 2018 and 2017, the
accompanying consolidated statements of operations includes
revenues and net income from PEG as follows (in thousands):
2018 2017
Revenue $ 24,028 $ 12,411
Net loss (209 ) (3,582 )
Net loss attributable to non-controlling (42 ) (716 )
Net loss attributable to Stabilis Energy, LLC $ (168 ) $ (2,866 )
PEG Partners LLC [Member]
Schedule of Fair Value of Assets Acquired, Liabilities Assumed and Non Controlling InterestsThe following table summarizes the estimated fair values of the
assets acquired, liabilities assumed and non-controlling
Cash $ 969
Accounts receivable 1,584
Other current assets 500
Property, plant and equipment 24,122
Liabilities assumed (12,454 )
Non-controlling (1,595 )
Net assets acquired 13,126
Consideration transferred

Bargain purchase gain $ 13,126

Equity Method Investments (Tabl

Equity Method Investments (Tables)12 Months Ended
Dec. 31, 2018
Equity Method Investments and Joint Ventures [Abstract]
Schedule of equity method investmentsThe following table summarizes the changes in the Company’s
recorded amount of equity method investments for the year ended
December 31, 2017 (in thousands):
LNG EF FHR Total
Carrying value at January 1, 2017 $ 18,554 $ 484 $ 19,038
Equity loss (1,095 ) (3 ) (1,098 )
Change to consolidation (17,459 ) (481 ) (17,940 )
Carrying value at December 31, 2017 $
— $
— $

Prepaid Expenses and Other Cu_2

Prepaid Expenses and Other Current Assets (Tables)6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Text Block [Abstract]
Prepaid Expenses and Other Current AssetsThe Company’s prepaid expenses and other current assets
consisted of the following (in thousands):
June 30, December 31,
Prepaid LNG $ 227 $ 367
Prepaid insurance 199 174
Other Receivables 79 672
Deposits 573 578
Other 328 324
$ 1,406 $ 2,115
The Company’s prepaid expenses and other current assets
consisted of the following (in thousands):
December 31,
2018 2017
Prepaid LNG $ 367 $ 155
Prepaid insurance 174 310
Other receivables 672 148
Deposits 578 269
Other 324 72
$ 2,115 $ 954

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Property, Plant and Equipment [Abstract]
Schedule of Property, Plant and EquipmentThe Company’s property, plant and equipment consisted of the
following (in thousands):
June 30, December 31,
Liquefaction plants and systems $ 40,573 $ 39,679
Real property and buildings 1,396 1,396
Vehicles and tanker trailers and equipment 45,274 44,878
Computer and office equipment 250 238
Construction in progress 1,353 1,071
Leasehold improvements 1 1
88,847 87,263
Less: accumulated depreciation (25,242 ) (20,657 )
$ 63,605 $ 66,606
The Company’s property, plant and equipment consisted of the
following (in thousands):
December 31,
2018 2017
Liquefaction plants and systems $ 39,679 $ 39,679
Real property and buildings 1,396 1,396
Vehicles and tanker trailers and equipment 44,878 43,407
Computer and office equipment 238 216
Construction in progress 1,071 880
Leasehold improvements 1 101
87,263 85,680
Less: accumulated depreciation (20,657 ) (11,969 )
$ 66,606 $ 73,711

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)6 Months Ended12 Months Ended
Jun. 30, 2019Dec. 31, 2018
Payables and Accruals [Abstract]
Schedule of Accrued LiabilitiesThe Company’s accrued liabilities consisted of the following
(in thousands):
June 30, December 31,
Compensation and benefits $ 965 $ 907
Professional fees 1,049 827
LNG fuel and transportation 730 612
Accrued interest 478 220
Other taxes payable 107 100
Other operating expenses 781 247
$ 4,110 $ 2,913
The Company’s accrued liabilities consisted of the following
(in thousands):
December 31,
2018 2017
Compensation and benefits $ 907 $ 712
Professional fees 827 20
LNG fuel and transportation 612 450
Accrued interest 220 220
Other taxes payable 100 34
Other operating expenses 247 294
$ 2,913 $ 1,730

Notes Payable (Tables)

Notes Payable (Tables)12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]
Notes Payable Related PartiesNotes payable to related party consisted of the following at
December 31, 2018 and 2017 (in thousands):
2018 2017
Note payable to JCH Crenshaw Holdings, LLC (related party see Note
10), dated December 31, 2017, in the amount of
$9.3 million with payment of principal and interest at 8% due
March 2021 $
— $ 9,303
Note payable to Casey and Stacey Crenshaw (related party see Note
10), dated December 31, 2017, in the amount of
$5.8 million with payment of principal and interest at 8% due
March 2021
— 5,814
Note payable to Crenshaw Family Holdings, LP (related party see
Note 10), dated December 31, 2017, in the amount of
$12.0 million with payment of principal and interest at 8% due
March 2021
— 11,983
Note payable to The Modern Group, Ltd (related party see Note 10),
dated December 31, 2017, in the amount of $14.4 million
with payment of principal and interest at 8% due March 2021
— 14,419
$
— $ 41,519
Schedule Notes PayableNotes payable consisted of the following at December 31, 2018
and 2017 (in thousands):
2018 2017
Notes payable to finance company, dated September 30, 2013, in
the amount of $19.0 million, with payments of principal and
accrued interest due in incremental amounts annually. Interest is
adjusted monthly and is calculated at LIBOR plus 3% at the end of
each month. Note is secured by $20 million equity interest and
first lien on plant assets and matures August 2024. $ 9,077 $ 11,497
Less current maturities (2,500 ) (2,500 )
$ 6,577 $ 8,997
Schedule of Future Maturities of Notes PayableThe following schedule presents the future maturities of notes
payable for each of the next five years as of December 31,
2018 (in thousands):
December 31,
2019 2,500
2020 1,500
2021 1,500
2022 1,500
2023 1,500
Thereafter, 577
$ 9,077

Income Taxes (Tables)

Income Taxes (Tables)12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]
Reconciliation of Income Taxes Computed Using U.S. Federal Statutory Rate to Amount Reflected in the Accompanying Consolidated Statement of OperationsA reconciliation of income taxes computed using the 21% U.S.
federal statutory rate to the amount reflected in the accompanying
consolidated statements of operations for the years ended
December 31, 2018 and 2017 is as follows (in thousands):
2018 2017
Income tax benefit (expense) at federal statutory rate $ 2,328 $ (2,535 )
Non-deductible 17 5
Impact of change in statutory rate
— (345 )
Change in valuation allowance (2,311 ) 28,384
Section 382 limitation
— (25,509 )
Other (35 )

Provision for income taxes $
— $
Effects of Temporary Differences and Carryforwards that Give Rise to Deferred Tax Assets (Liabilities)The Company accounts for income taxes whereby deferred taxes are
provided on temporary differences arising from assets and
liabilities whose basis are different for financial reporting and
income tax purposes. The tax effects of temporary differences that
give rise to significant portions of the deferred tax assets and
liabilities at December 31, 2018 and 2017 are as follows (in
thousands):
2018 2017
Federal net operating loss carryforward $ 10,876 $ 9,075
Accrued interest to related parties, not deductible until paid 335 60
Accrued expenses
— 19
Basis of intangible assets 221 266
Valuation allowance (3,950 ) (1,639 )
Total deferred tax assets 7,481 7,781
Basis of property, plant and equipment 7,447 7,741
Prepaid expenses 34 40
Total deferred tax liabilities 7,481 7,781
Net deferred taxes $
— $

Commitments and Contingencies (

Commitments and Contingencies (Tables)12 Months Ended
Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Summary of Commitments and ContingenciesThe following schedule presents the future minimum lease
obligations for all non-cancelable
Year ending December 31,
2019 $ 320
2020 143
2021 97
2022 34
2023 & thereafter

$ 594

Concentration of Risks (Tables)

Concentration of Risks (Tables)12 Months Ended
Dec. 31, 2018
Risks and Uncertainties [Abstract]
Summary of Concentration of RiskThe following table presents customers representing greater than
10% of total revenues and/or outstanding receivable as of and for
the years ended December 31, 2018 and 2017 (in thousands):
Revenue % Accounts %
2018:
Customer 1 $ 9,710 26 % $ 998 23 %
Customer 2 4,451 12 % 113 3 %
$ 14,161 38 % $ 1,111 26 %
2017:
Customer 1 $ 8,561 42 % $ 1,126 30 %
Customer 2 2,249 11 % 290 8 %
$ 10,810 53 % $ 1,416 38 %

Debt (Tables)

Debt (Tables)6 Months Ended
Jun. 30, 2019
Debt Disclosure [Abstract]
Schedule of Carrying Value of DebtThe Company’s carrying value of debt consisted of the
following (in thousands):
June 30, December 31,
Secured Term Note Payable $ 9,077 $ 9,077
Insurance and Other Notes Payable 161 121
Less: Amounts due within one year (2,661 ) (2,621 )
Total Debt $ 6,577 $ 6,577

Related Party Transactions (Tab

Related Party Transactions (Tables)6 Months Ended
Jun. 30, 2019
Related Party Transactions [Abstract]
Schedule of Carrying Value of Capital Lease Obligations to Related PartiesThe Company’s carrying value of finance lease
obligations to related parties consisted of the following
(in thousands):
June 30, December 31,
Finance Lease Obligations with subsidiary of The Modern Group,
Ltd $ 5,574 $ 7,246
Less: Amounts due within one year (5,089 ) (3,879 )
Total Finance lease Obligations to Related Parties $ 485 $ 3,367

Lease Obligations (Tables)

Lease Obligations (Tables)6 Months Ended
Jun. 30, 2019
Leases [Abstract]
Schedule of Lease Assets and Liabilities ObligationsThe following table summarized the supplemental balance sheet
information related to lease assets and lease liability obligations
as of June 30, 2019 (in thousands, unaudited):
Classification
Assets
Operating lease assets Operating lease right-of-use assets $ 497
Finance lease assets Property and equipment, net of accum
depreciation 9,550
Total lease assets 10,047
Liabilities
Current
Operating Current portion of operating lease
obligations 276
Finance Current portion of finance lease
obligation 5,089
Noncurrent
Operating Operating lease liabilities 226
Finance Finance lease obligations,—related
parties, net of current portion 485
Total lease liabilities $ 6,076
Schedule of Lease ExpensesThe following table summarizes the components of lease expenses for
the three and six months ended June 30, 2019 (in thousands,
unaudited):
Classification Three Months Six Months
Lease Cost 2019 2018 2019 2018
Operating lease cost Cost of sales and Selling, general and
administrative expenses $ 95
— $ 95

Finance lease cost
Amortization of leased assets Cost of operations 292 249 584 498
Interest on lease liabilities Interest expense 166 179 340 366
Net lease cost $ 553 428 $ 1,019 864
Schedule of Future Minimum Lease Payments for Operating and Finance ObligationThe following schedule presents the future minimum lease payments
for our operating and finance obligations at June 30, 2019 (in
thousands):
Operating Finance Total
Remainder 2019 $ 158 $ 2,282 $ 2,440
2020 189 3,950 4,139
2021 138 — 138
2022 17 — 17
Total lease payments 502 6,232 6,734
Less: Interest
— (658 ) (658 )
Present value of lease liabilities $ 502 $ 5,574 $ 6,076
Schedule of Lease Costs and Terms for Operating and Finance Lease ObligationsLease term and discount rates for our operating and finance lease
obligations are as follows:
Lease Term and Discount Rate June 30, 2019
Weighted-average remaining lease term (years)
Operating leases 1.5
Finance leases 1
Weighted-average discount rate
Operating leases 7.3 %
Finance leases 9.9 %
Schedule of Supplemental Cash Flow Information Related To LeasesThe following table summarizes the supplemental cash flow
information related to leases as of June 30, 2019:
Other information June 30, 2019
(In thousands)
Cash paid for amounts included in the measurement of lease
liabilities
Operating cash flows from operating leases $ 95
Financing cash flows from finance leases 1,672
Interest paid 340
Noncash activities from right-of-use assets obtained in exchange
for lease obligations:
Operating leases $ 497

Basis of Presentation and Sum_4

Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail) $ in MillionsNov. 30, 2018USD ($)sharesMay 19, 2017Dec. 31, 2018GPDDec. 17, 2018Feb. 28, 2017
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Members contribution1,000
Convertible debt | $ $ 48.7
Stabilis LNG Eagle Ford LLC [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Percentage of beneficial interest acquired during period50.00%
Stabilis FHR Oilfield LNG LLC [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Percentage of beneficial interest acquired during period50.00%
Capital Unit, Class B [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Exchange of units2,000
Capital Unit, Class A [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Exchange of units4,874.28
Prometheus Energy Group Inc. [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Business acquisition, percentage of voting interests acquired80.00%
American Electric Technologies Inc [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Percentage of outstanding units exchanged100.00%
TEXAS
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Daily capacity of production facility in gallons | GPD120,000
Permian Basin [Member]
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Daily capacity of production facility in gallons | GPD25,000

Basis of Presentation and Sum_5

Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Depreciation and Amortization Computed Using Straight Line Method Over Estimated Useful Lives of Assets (Detail)12 Months Ended
Dec. 31, 2018
Minimum [Member] | Liquefaction Plants And Systems [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life10 years
Minimum [Member] | Real property and buildings [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life10 years
Minimum [Member] | Vehicles and tanker trailers and equipment [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life5 years
Minimum [Member] | Computer and office equipment [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life3 years
Minimum [Member] | Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life3 years
Maximum [Member] | Liquefaction Plants And Systems [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life20 years
Maximum [Member] | Real property and buildings [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life15 years
Maximum [Member] | Vehicles and tanker trailers and equipment [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life15 years
Maximum [Member] | Computer and office equipment [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life10 years
Maximum [Member] | Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property plant and equipment useful life5 years

Revenue Recognition - Schedule

Revenue Recognition - Schedule of Revenue Disaggregated by Source (Detail) - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Disaggregation of Revenue [Line Items]
Total revenues $ 11,095 $ 8,691 $ 24,070 $ 18,565 $ 37,342 $ 20,447
LNG Product [Member]
Disaggregation of Revenue [Line Items]
Total revenues8,699 7,047 18,953 14,898 30,200 15,534
Rental Service And Other [Member]
Disaggregation of Revenue [Line Items]
Total revenues $ 2,396 $ 1,644 $ 5,117 $ 3,667 $ 7,142 $ 4,913

Step Acquisition of Equity In_3

Step Acquisition of Equity Interests - Additional Information (Detail) - USD ($)May 19, 2017Dec. 31, 2017May 18, 2017
Business Acquisition [Line Items]
Bargain purchase gain $ 27,067,000
Revaluation gain/loss on equity Interest Acquired $ 0
Stabilis LNG Eagle Ford LLC [Member]
Business Acquisition [Line Items]
Bargain purchase gain $ 13,940,000
Stabilis Oilfield Investment Co LLC [Member]
Business Acquisition [Line Items]
Ownership interest in subsidiary, percent100.00%
Amount paid on acquisition $ 4,000,000
Stabilis Oilfield Investment Co LLC [Member] | Stabilis LNG Eagle Ford LLC [Member]
Business Acquisition [Line Items]
Ownership interest in subsidiary, percent49.00%
Ownership interest in subsidiary, percent49.00%
Stabilis Oilfield Investment Co LLC [Member] | Stabilis FHR Oilfield LNG LLC [Member]
Business Acquisition [Line Items]
Ownership interest in subsidiary, percent50.00%
Ownership interest in subsidiary, percent50.00%
Stabilis Oilfield Investment Co LLC [Member] | Related Entity [Member]
Business Acquisition [Line Items]
Ownership interest in subsidiary, percent2.00%

Step Acquisition of Equity In_4

Step Acquisition of Equity Interests - Schedule of Fair Value of Assets Acquired and Liabilities Assumed (Detail) - USD ($) $ in ThousandsMay 19, 2017Dec. 31, 2017
Business Acquisition [Line Items]
Bargain purchase gain $ 27,067
Stabilis LNG Eagle Ford LLC [Member]
Business Acquisition [Line Items]
Current assets $ 3,064
Property, plant and equipment48,083
Total assets51,147
Current liabilities5,409
Long-term debt9,858
Total liabilities15,267
Members equity at fair value35,880
Total liabilities and members' equity51,147
50% equity interest at fair value17,940
Consideration transferred4,000
Bargain purchase gain $ 13,940

Acquisition of PEG Partners, _3

Acquisition of PEG Partners, LLC -Additional Information (Detail) - USD ($) $ in ThousandsFeb. 28, 2017Dec. 31, 2018Dec. 31, 2017
Gain related to the acquisition $ 27,067
Fair value of the non-controlling interestFair value of the assets acquired and liabilities of non-controlling interest of appraised value20.00%
Fair value of the assets acquired and liabilities of non-controlling interest of lack of marketability20.00%
Fair value of the assets acquired and liabilities of non-controlling interest for lack of control20.00%
Fair value of the assets acquired and liabilities of non-controlling interest in combined effective discount36.00%
PEG Partners LLC [Member]
Percentage of Voting Interests Acquired80.00%
Liabilities assumed $ 12,454
Gain related to the acquisition13,126
Gross amount of accounts receivable $ 1,584
Ownership Percentage by Noncontrolling Owners20.00%

Acquisition of PEG Partners, _4

Acquisition of PEG Partners, LLC - Schedule of Fair Value of Assets Acquired, Liabilities Assumed and Non Controlling Interests (Detail) - USD ($) $ in ThousandsFeb. 28, 2017Dec. 31, 2017
Acquisition Date [Line Items]
Bargain purchase gain $ 27,067
PEG Partners LLC [Member]
Acquisition Date [Line Items]
Cash $ 969
Accounts receivable1,584
Other current assets500
Property, plant and equipment24,122
Liabilities assumed(12,454)
Non-controllinginterest(1,595)
Net assets acquired13,126
Consideration transferred0
Bargain purchase gain $ 13,126

Acquisition of PEG Partners, _5

Acquisition of PEG Partners, LLC - Schedule of consolidated statements of operations includes revenues and net income from PEG (Detail) - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Mar. 31, 2019Jun. 30, 2018Mar. 31, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]
Net income (loss) $ (1,037) $ (560) $ (3,444) $ (1,502) $ (1,597) $ (4,946) $ (11,086) $ 12,068
Net loss attributable to non-controlling interests28 (157)207 46 (42)(716)
Net loss attributable to parent $ (1,066) $ (3,287) $ (1,804) $ (4,991)(11,044)12,784
PEG Partners LLC [Member]
Business Acquisition Actual Revenue And Pre Tax Income Loss [Line Items]
Revenue24,028 12,411
Net income (loss)(209)(3,582)
Net loss attributable to non-controlling interests(42)(716)
Net loss attributable to parent $ (168) $ (2,866)

Equity Method Investments - Add

Equity Method Investments - Additional Information (Detail) - USD ($) $ in Thousands5 Months Ended12 Months Ended
May 19, 2017Dec. 31, 2017Dec. 31, 2018
Income Statement Equity Method Investments [Line Items]
Loss from equity methods investments $ 1,100 $ 1,098
Stabilis LNG Eagle Ford LLC [Member]
Income Statement Equity Method Investments [Line Items]
Investments in subsidiaries $ 8,000
Subsidiary ownership percentage49.00%
Loss from equity methods investments1,095
Stabilis FHR Oilfield LNG LLC [Member]
Income Statement Equity Method Investments [Line Items]
Investments in subsidiaries $ 250
Subsidiary ownership percentage50.00%
Loss from equity methods investments $ 3
Related Entity [Member]
Income Statement Equity Method Investments [Line Items]
Subsidiary ownership percentage2.00%
Stabilis Oilfield Investment Co LLC [Member]
Income Statement Equity Method Investments [Line Items]
Subsidiary ownership percentage50.00%

Equity Method Investments - Sch

Equity Method Investments - Schedule of equity method investments (Detail) - USD ($) $ in Thousands5 Months Ended12 Months Ended
May 19, 2017Dec. 31, 2017
Income Statement Equity Method Investments [Line Items]
Carrying value at January 1, 2017 $ 19,038 $ 19,038
Equity loss(1,100)(1,098)
Change to consolidation(17,940)
Stabilis LNG Eagle Ford LLC [Member]
Income Statement Equity Method Investments [Line Items]
Carrying value at January 1, 201718,554 18,554
Equity loss(1,095)
Change to consolidation(17,459)
Stabilis FHR Oilfield LNG LLC [Member]
Income Statement Equity Method Investments [Line Items]
Carrying value at January 1, 2017 $ 484 484
Equity loss(3)
Change to consolidation $ (481)

Prepaid Expenses and Other Cu_3

Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Prepaid expenses and other current assets
Prepaid LNG $ 227 $ 367 $ 155
Prepaid insurance199 174 310
Other receivables79 672 148
Deposits573 578 269
Other328 324 72
Prepaid expenses and other current expenses $ 1,406 $ 2,115 $ 954

Property, Plant and Equipment -

Property, Plant and Equipment - Schedule of Property Plant and Equipment (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross $ 88,847 $ 87,263 $ 85,680
Less: accumulated depreciation(25,242)(20,657)(11,969)
Property, plant and equipment, net63,605 66,606 73,711
Liquefaction Plants And Systems [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross40,573 39,679 39,679
Real Property And Buildings [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross1,396 1,396 1,396
Vehicles and tanker trailers and equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross45,274 44,878 43,407
Computer And Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross250 238 216
Construction in Progress [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross1,353 1,071 880
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross $ 1 $ 1 $ 101

Property, Plant and Equipment_2

Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Property Plant And Equipment Capitalized Interest Costs [Abstract]
Depreciation expense $ 2,294 $ 2,215 $ 4,585 $ 4,383 $ 8,822 $ 6,992

Accrued Liabilities - Schedule

Accrued Liabilities - Schedule of Accrued Liabilities (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Accrued liabilities
Compensation and benefits $ 965 $ 907 $ 712
Professional fees1,049 827 20
LNG fuel and transportation730 612 450
Accrued interest478 220 220
Other taxes payable107 100 34
Other operating expenses781 247 294
Accrued liabilities $ 4,110 $ 2,913 $ 1,730

Notes Payable - Additional Info

Notes Payable - Additional Information (Detail) - USD ($)12 Months Ended
Dec. 31, 2018Dec. 31, 2017Nov. 30, 2018
Debt Securities [Abstract]
Unpaid principal balance on the premium finance notes $ 121,000 $ 257,000
Interest rate for policy renewal5.40%
Notes payable converted to equity $ 48,700,000

Notes Payable - Notes Payable R

Notes Payable - Notes Payable Related Parties (Detail) $ in ThousandsDec. 31, 2017USD ($)
Debt Instrument [Line Items]
Note payable $ 41,519
JCH Crenshaw Holdings LLC [Member]
Debt Instrument [Line Items]
Note payable9,303
Casey and Stacey Crenshaw [member]
Debt Instrument [Line Items]
Note payable5,814
Crenshaw Family Holdings LP [member]
Debt Instrument [Line Items]
Note payable11,983
The Modern Group Ltd [member]
Debt Instrument [Line Items]
Note payable $ 14,419

Notes Payable - Notes Payable_2

Notes Payable - Notes Payable Related Parties (Parenthetical) (Detail) $ in Millions12 Months Ended
Dec. 31, 2018USD ($)
JCH Crenshaw Holdings LLC [Member]
Debt Instrument [Line Items]
Note payable amount $ 9.3
Stated interest rate8.00%
Maturity date2021-03
Casey and Stacey Crenshaw [member]
Debt Instrument [Line Items]
Note payable amount $ 5.8
Stated interest rate8.00%
Maturity date2021-03
Crenshaw Family Holdings LP [member]
Debt Instrument [Line Items]
Note payable amount $ 12
Stated interest rate8.00%
Maturity date2021-03
The Modern Group Ltd [member]
Debt Instrument [Line Items]
Note payable amount $ 14.4
Stated interest rate8.00%
Maturity date2021-03

Notes Payable - Schedule Notes

Notes Payable - Schedule Notes Payable (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Debt Securities [Abstract]
Notes payable to finance company $ 9,077 $ 9,077 $ 11,497
Less current maturities $ (2,500)(2,500)(2,500)
long term debt excluding current maturities $ 6,577 $ 8,997

Notes Payable - Schedule Note_2

Notes Payable - Schedule Notes Payable (Parenthetical) (Detail) $ in Millions12 Months Ended
Dec. 31, 2018USD ($)
Debt Instrument [Line Items]
Debt instrument maturity DateAug. 31,
2024
Secured Variable Rate One Month Libor Plus Three Percent At The End Of Each Month [member]
Debt Instrument [Line Items]
Long term debt, basis spread on variable rate3.00%
Senior Notes [Member]
Debt Instrument [Line Items]
Debt instrument principal payment $ 19
Equity interest on secure debt $ 20

Notes Payable - Schedule of Fut

Notes Payable - Schedule of Future Maturities of Notes Payable (Detail) $ in ThousandsDec. 31, 2018USD ($)
Debt Securities [Abstract]
2019 $ 2,500
20201,500
20211,500
20221,500
20231,500
Thereafter,577
Total $ 9,077

Related Party Transaction - Add

Related Party Transaction - Additional Information (Detail) - USD ($) $ in Thousands3 Months Ended5 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Mar. 31, 2019Jun. 30, 2018May 18, 2017Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017Dec. 31, 2016
Schedule of Other Related Party Transactions [Line Items]
Long-term employee advances $ 500
Refundable deposit $ 48
Capital lease obligation $ 1,500
Capital lease obligation, lease term24 months
Capital lease obligation, interest rate10.00%
Real Property And Buildings [Member]
Schedule of Other Related Party Transactions [Line Items]
Sub lease income $ 6 $ 15 $ 12 $ 25
Chief Operating Officer [Member]
Schedule of Other Related Party Transactions [Line Items]
Related party transaction, amount300 $ 200
Long-term employee advances500
TMG [Member]
Schedule of Other Related Party Transactions [Line Items]
Payroll related expenses1 3 4 6 $ 13 13
Costs incurred for participating in medical plan563 503
Payment made for providing sales support29 50
Sale of automobile and trailers to subsidiaries149
Gain (loss) on sale of vehicles34
Purchase of equipment and services47 15
Purchase of supplies and services44 15 44 35
TMG [Member] | Operating Leases Related Party [Member] | Subleased Office Space [Member]
Schedule of Other Related Party Transactions [Line Items]
Sub lease income55
TMG [Member] | Operating Leases Related Party [Member] | Land [Member]
Schedule of Other Related Party Transactions [Line Items]
Sub lease income $ 3 $ 3 $ 6 $ 6 12 22
Applied Cryo Technologies [Member]
Schedule of Other Related Party Transactions [Line Items]
Purchase of equipment and services $ 302
Purchase of equipment repairs and inspection services $ 63 $ 56
Ownership percentage51.00%51.00%51.00%
Payment for equipment repairs and services $ 65
TMG [Member]
Schedule of Other Related Party Transactions [Line Items]
Capital lease obligation $ 10,100
Capital lease obligation, descriptionUnder the terms of the lease agreement, the Company’s monthly payments are interest-only for the first 12 months at an annual rate of 6%. The Company will then repay 80% of the outstanding lease obligation over the remaining term of 36 months at an annual interest rate of 10%. The Company has accounted for the lease as a finance lease.
Cost Sharing Agreement [Member] | LNG EF [Member]
Schedule of Other Related Party Transactions [Line Items]
Amount owed by related party $ 6,400 $ 1,600
Related party transaction, amount $ 856

Members Equity - Additional Inf

Members Equity - Additional Information (Detail) - USD ($)Jul. 26, 2019Nov. 30, 2018Nov. 29, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017Dec. 17, 2018Feb. 28, 2017Feb. 11, 2013
Members Equity [Line Items]
Membership units issued1,000
Membership units issued, par value $ 1
Membership units issued, capital contribution value $ 1,000
Minority interest $ 1,530,000 $ 1,323,000 $ 1,365,000
Notes receivable due from chief operating officer, settled $ 708,000 $ (1,483,000)1,145,000 $ (1,054,000)
Members contribution, units1,000
Members contribution, value $ 48,743,000
Convertible debt, exchanged $ 48,700,000
American Electric Technologies Inc [Member]
Members Equity [Line Items]
Percentage of outstanding units exchanged100.00%
Capital Unit, Class B [Member] | LNG Investments [Member]
Members Equity [Line Items]
Members contribution, units2,000
Members contribution, value $ 20,000,000
Capital Unit, Class A [Member] | LNG Investments [Member]
Members Equity [Line Items]
Aggregate number of common units issued in exchange for indebtedness $ 4,874.28
JCH Crenshaw Holdings LLC [Member]
Members Equity [Line Items]
Members contribution, units500
Members contribution, value $ 10,000,000
JCH Crenshaw Holdings LLC [Member] | Capital Unit, Class B [Member] | LNG Investments [Member]
Members Equity [Line Items]
Members contribution, units1,000
Members contribution, value $ 10,000,000
Crenshaw Family Holdings LP [member]
Members Equity [Line Items]
Members contribution, units500
Members contribution, value $ 10,000,000
Crenshaw Family Holdings LP [member] | Capital Unit, Class B [Member] | LNG Investments [Member]
Members Equity [Line Items]
Members contribution, units1,000
Members contribution, value $ 10,000,000
Chief Executive Officer [Member]
Members Equity [Line Items]
Notes receivable due from chief operating officer, settled $ (500,000)
Maximum [Member]
Members Equity [Line Items]
Units authorized1,000
Subsequent Event [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Business combination share exchange resultant description $ 0
Number of common stock issued under share exchange agreement105,558,606
Percentage of number of common stock issued and outstanding under share exchange agreement90.00%
Subsequent Event [Member] | Parent Company [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Ownership interest acquired100.00%
Subsequent Event [Member] | Board of Directors Chairman [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Percentage of beneficial ownership88.40%
PEG Partners LLC [Member]
Members Equity [Line Items]
Ownership interest acquired80.00%
Minority interest $ 1,600,000
Minority interest percentage20.00%
PEG Partners LLC [Member] | Subsequent Event [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Percentage of outstanding limited liability owned80.00%
PEG Partners LLC [Member] | Subsequent Event [Member] | Parent Company [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Ownership interest acquired20.00%
Percentage of outstanding limited liability owned100.00%
American Electric Technologies Inc [Member] | Subsequent Event [Member] | Parent Company [Member] | Share Exchange Agreement [Member]
Members Equity [Line Items]
Percentage of outstanding limited liability owned100.00%

Employee Benefits - Additional

Employee Benefits - Additional Information (Detail) - USD ($) $ in Thousands3 Months Ended6 Months Ended12 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017
Retirement Benefits [Abstract]
Maximum contribution percentage by employee90.00%90.00%
Discretionary contribution by employer $ 28 $ 13 $ 55 $ 25 $ 57 $ 62

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)12 Months Ended
Dec. 31, 2018Dec. 31, 2017
Income Tax Disclosure [Abstract]
U.S. federal statutory rate21.00%35.00%
Net operating loss carryforwards $ 51,800,000 $ 42,313,000

Income Taxes - Schedule of Reco

Income Taxes - Schedule of Reconciliation of Effective Income Tax Amount (Detail) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2018Dec. 31, 2017
Effective Income Tax Rate Reconciliation, Amount [Abstract]
Income tax benefit (expense) at federal statutory rate $ 2,328 $ (2,535)
Non-deductible expenses17 5
Impact of change in statutory rate(345)
Change in valuation allowance(2,311)28,384
Section 382 limitation(25,509)
Other(35)
Provision for income taxes $ 0 $ 0

Income Taxes - Schedule of Defe

Income Taxes - Schedule of Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in ThousandsDec. 31, 2018Dec. 31, 2017
Income Tax Disclosure [Abstract]
Federal net operating loss carryforward $ 10,876 $ 9,075
Accrued interest to related parties, not deductible until paid335 60
Accrued expenses19
Basis of intangible assets221 266
Valuation allowance(3,950)(1,639)
Total deferred tax assets7,481 7,781
Basis of property, plant and equipment7,447 7,741
Prepaid expenses34 40
Total deferred tax liabilities7,481 7,781
Net deferred taxes $ 0 $ 0

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - USD ($)1 Months Ended6 Months Ended12 Months Ended
Jan. 31, 2019Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017Dec. 31, 2016Dec. 31, 2014
Commitments And Contingencies [Line Items]
Operating lease, rent expense $ 872,000 $ 1,300,000
Denver, Colorado [Member]
Commitments And Contingencies [Line Items]
Lease term5 years
Operating lease, rent expense $ 60,000 $ 120,000 $ 231,000 $ 209,000
Denver, Colorado [Member] | TMG [Member]
Commitments And Contingencies [Line Items]
Sublease arrangement, descriptionIn February of 2018, the Company began to sublease a portion of the office space to a subsidiary of TMG for $5 thousand a month through December 2018 and $2 thousand a month beginning January 2019In February of 2018, the Company began to sublease a portion of the office space to a subsidiary of TMG for $5 thousand a month
Fort Lupton, Colorado [Member]
Commitments And Contingencies [Line Items]
Lease term1 year2 years
Lease, descriptionIn January 2019, the Company extended its lease for one year for yard space from an unrelated party in Fort Lupton, Colorado. The lease called for monthly payments of $2,000 through December 31, 2019.In 2016, the Company entered into a two-year operating lease for yard space from an unrelated party in Fort Lupton, Colorado. The lease called for monthly payments of $2,000 through May 2018.

Commitments and Contingencies_2

Commitments and Contingencies - Schedule of Future Minimum Rental Payments Required under Operating Leases (Detail)Dec. 31, 2018USD ($)
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2019 $ 320
2020143
202197
202234
2023 & thereafter0
Total $ 594

Concentration of Risks - Summar

Concentration of Risks - Summary of Concentration of Risk (Detail) - USD ($) $ in Thousands12 Months Ended
Dec. 31, 2018Dec. 31, 2017
Revenue [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 14,161 $ 10,810
Concentration risk percentage38.00%53.00%
Revenue [Member] | Customer 1 [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 9,710 $ 8,561
Concentration risk percentage26.00%42.00%
Revenue [Member] | Customer 2 [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 4,451 $ 2,249
Concentration risk percentage12.00%11.00%
Accounts Receivable [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 1,111 $ 1,416
Concentration risk percentage26.00%38.00%
Accounts Receivable [Member] | Customer 1 [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 998 $ 1,126
Concentration risk percentage23.00%30.00%
Accounts Receivable [Member] | Customer 2 [Member]
Market Risk, Credit Risk And Liquidity Risk [Line Items]
Concentration risk amount $ 113 $ 290
Concentration risk percentage3.00%8.00%

General and Basis of Presenta_2

General and Basis of Presentation - Additional Information (Detail) - USD ($)Jul. 26, 2019Nov. 30, 2018Dec. 17, 2018Feb. 28, 2017
Organization And Basis Of Presentation [Line Items]
Members contribution1,000
Convertible debt $ 48,700,000
Share Exchange Agreement [Member] | Subsequent Event [Member]
Organization And Basis Of Presentation [Line Items]
Business combination share exchange resultant description $ 0
American Electric Technologies Inc [Member] | Share Exchange Agreement [Member] | Subsequent Event [Member]
Organization And Basis Of Presentation [Line Items]
Percentage of outstanding limited liability interest acquired100.00%
Number of common stock issued under share exchange agreement $ 105,558,606
Percentage of number of common stock issued under share exchange agreement90.00%
Percentage of beneficial ownership88.40%
PEG Partners LLC [Member]
Organization And Basis Of Presentation [Line Items]
Business acquisition, percentage of voting interests acquired80.00%
PEG Partners LLC [Member] | Share Exchange Agreement [Member] | Subsequent Event [Member]
Organization And Basis Of Presentation [Line Items]
Percentage of outstanding limited liability interest acquired20.00%
PEG Partners LLC [Member] | Parent Company [Member] | Share Exchange Agreement [Member] | Subsequent Event [Member]
Organization And Basis Of Presentation [Line Items]
Percentage of outstanding limited liability interest acquired80.00%
Capital Unit, Class B [Member]
Organization And Basis Of Presentation [Line Items]
Exchange of units2,000
Capital Unit, Class A [Member]
Organization And Basis Of Presentation [Line Items]
Exchange of units4,874.28
Prometheus Energy Group Inc. [Member]
Organization And Basis Of Presentation [Line Items]
Business acquisition, percentage of voting interests acquired80.00%
American Electric Technologies Inc [Member]
Organization And Basis Of Presentation [Line Items]
Percentage of outstanding units exchanged100.00%

Prepaid Expenses and Other Cu_4

Prepaid Expenses and Other Current Assets - Schedule of Prepaid Expenses and Other Current Assets (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Prepaid expenses and other current assets
Prepaid LNG $ 227 $ 367 $ 155
Prepaid insurance199 174 310
Other receivables79 672 148
Deposits573 578 269
Other328 324 72
Prepaid expenses and other current assets $ 1,406 $ 2,115 $ 954

Debt - Schedule of Debt (Detail

Debt - Schedule of Debt (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Debt Disclosure [Abstract]
Secured Term Note Payable $ 9,077 $ 9,077 $ 11,497
Insurance and Other Notes Payable161 121
Less: Amounts due within one year(2,661)(2,621)
Total Debt $ 6,577 $ 6,577 $ 4,705

Debt - Additional Information (

Debt - Additional Information (Detail) $ in MillionsAug. 21, 2017USD ($)InstallmentMay 19, 2017Sep. 30, 2013USD ($)Jun. 30, 2019USD ($)Dec. 31, 2018USD ($)
Debt Instrument [Line Items]
Annual commercial insurance premiums $ 0.4
Outstanding principal amount of premium financed $ 0.1 $ 0.1
Insurance terms10 months
Insurance notes interest rate5.40%5.40%
Plus accrued interest due on August, 24, 2017 [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest $ 2.5
Plus accrued interest due on August 24, 2018 [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest2.5
Plus accrued interest due on August 24, 2019 [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest2.5
Plus accrued interest on each anniversary date of August 24, 2019 thereafter [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest $ 1.5
Debt instrument number of installment | Installment4
Plus accrued interest on the remaining unpaid balance of the Amended Secured Term Note Payable on August 24, 2024 [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest $ 0.6
Event all principal and interest is paid in full by August 24, 2023 to be forgiven [Member]
Debt Instrument [Line Items]
Payment terms of principal and interest $ 2.2
Stabilis LNG Eagle Ford LLC [Member]
Debt Instrument [Line Items]
Percentage of purchased remaining ownership49.00%
Stabilis FHR Oilfield LNG LLC [Member]
Debt Instrument [Line Items]
Percentage of purchased remaining ownership50.00%
Stabilis Oilfield Investment Co LLC [Member]
Debt Instrument [Line Items]
Ownership interest100.00%
Senior Secured Term Note [Member]
Debt Instrument [Line Items]
Debt instrument, face amount $ 20.5
Debt instrument, collateral amount $ 20
Senior Secured Term Note [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate basis3.00%

Related Party Transaction - Sch

Related Party Transaction - Schedule of Carrying Value of Finance Lease Obligations to Related Parties (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Schedule Of Related Party [Line Items]
Finance Lease Obligations with subsidiary of The Modern Group, Ltd $ 5,574
Less: Amounts due within one year(5,089) $ (3,879) $ (3,007)
Total Finance lease Obligations to Related Parties485 3,367 $ 8,997
The Modern Group Ltd [member]
Schedule Of Related Party [Line Items]
Finance Lease Obligations with subsidiary of The Modern Group, Ltd $ 5,574 $ 7,246

Lease Obligations - Additional

Lease Obligations - Additional Information (Detail) - USD ($)Dec. 31, 2019Jan. 31, 2019Jun. 30, 2019Jun. 30, 2018Dec. 31, 2018Dec. 31, 2017Dec. 31, 2016Dec. 31, 2014
Lessee, Lease, Description [Line Items]
Total rent expense $ 872,000 $ 1,300,000
Liquefaction Plants And Systems [Member]
Lessee, Lease, Description [Line Items]
Equipment lease, descriptionIn December 2018, the Company entered into a one year lease for equipment used at our liquefaction plant in George West, Texas. The lease called for monthly payments of $13 thousand through December 31, 2019.
Equipment lease, term of contract1 year
Fort Lupton, Colorado [Member]
Lessee, Lease, Description [Line Items]
Equipment lease, descriptionIn January 2019, the Company extended its lease for one year for yard space from an unrelated party in Fort Lupton, Colorado. The lease called for monthly payments of $2,000 through December 31, 2019.In 2016, the Company entered into a two-year operating lease for yard space from an unrelated party in Fort Lupton, Colorado. The lease called for monthly payments of $2,000 through May 2018.
Equipment lease, term of contract1 year2 years
Denver, Colorado [Member]
Lessee, Lease, Description [Line Items]
Non-cancelable operating leases term5 years
Total rent expense $ 60,000 $ 120,000 $ 231,000 $ 209,000
Equipment lease, term of contract5 years
Denver, Colorado [Member] | TMG [Member]
Lessee, Lease, Description [Line Items]
Sublease arrangement, descriptionIn February of 2018, the Company began to sublease a portion of the office space to a subsidiary of TMG for $5 thousand a month through December 2018 and $2 thousand a month beginning January 2019In February of 2018, the Company began to sublease a portion of the office space to a subsidiary of TMG for $5 thousand a month
Minimum [Member]
Lessee, Lease, Description [Line Items]
Remaining operating lease term1 year
Maximum [Member]
Lessee, Lease, Description [Line Items]
Remaining operating lease term5 years

Lease Obligations - Schedule of

Lease Obligations - Schedule of Lease Assets and LIabilities (Detail) - USD ($) $ in ThousandsJun. 30, 2019Dec. 31, 2018Dec. 31, 2017
Assets and Liabilities, Lessee [Abstract]
Operating lease assets $ 497
Finance lease assets9,550
Total lease assets10,047
Operating lease liabilities current276
Finance lease liabilities current5,089 $ 3,879 $ 3,007
Operating lease liabilities non-current226
Finance lease liabilities non-current485 $ 3,367 $ 8,997
Total lease liabilities $ 6,076

Lease Obligations - Schedule _2

Lease Obligations - Schedule of lease costs (Detail) - USD ($) $ in Thousands3 Months Ended6 Months Ended
Jun. 30, 2019Jun. 30, 2018Jun. 30, 2019Jun. 30, 2018
Leases [Abstract]
Operating lease cost $ 95 $ 95
Amortization of leased assets292 $ 249 584 $ 498
Interest on lease liabilities166 179 340 366
Net lease cost $ 553 $ 428 $ 1,019 $ 864

Lease Obligations - Schedule _3

Lease Obligations - Schedule of Future Minimum Lease Payments for Operating and Finance Obligation (Detail) $ in ThousandsJun. 30, 2019USD ($)
Operating Lease Liabilities, Payments Due [Abstract]
Remainder 2019 $ 158
2020189
2021138
202217
Total lease payments502
Less: Interest0
Present value of lease liabilities502
Total lease payments502
Finance Lease Liabilities, Payments, Due [Abstract]
Remainder 20192,282
20203,950
20210
20220
Total lease payments6,232
Less: Interest(658)
Present value of lease liabilities5,574
Total lease payments6,232
Lease liabilities [Abstract
Remainder 20192,440
20204,139
2021138
202217
Total lease payments6,734
Less: Interest(658)
Present value of lease liabilities6,076
Total lease payments $ 6,734

Lease Obligations - Schedule _4

Lease Obligations - Schedule of Lease Costs and Terms for Operating and Finance Lease Obligations (Detail)Jun. 30, 2019
Leases [Abstract]
Operating leases, weighted-average remaining lease term (years)1 year 6 months
Finance leases, weighted-average remaining lease term (years)1 year
Operating leases, weighted-average discount rate7.30%
Finance leases, weighted-average discount rate Weighted-average discount rate9.90%

Lease Obligations - Schedule _5

Lease Obligations - Schedule of Supplemental Cash Flow Information Related To Leases (Detail) $ in Thousands6 Months Ended
Jun. 30, 2019USD ($)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases $ 95
Financing cash flows from finance leases1,672
Interest paid340
Noncash activities from right-of-use assets obtained in exchange for lease obligations:
Operating leases $ 497

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - Subsequent Event [Member] - USD ($) $ in Thousands, shares in MillionsAug. 16, 2019Aug. 05, 2019
Subsequent Event [Line Items]
Loan secured from subsidiary $ 5,000
Payment of loan origination fee $ 125
Percentage of interest rate on loanThe Company paid a $125 thousand loan origination fee and will incur a 6% per annum interest rate through December 10, 2020 and 12% per annum thereafter.
Debt instrument, stated percentage6.00%
Description of debt instrument paymentThe debt payments are interest only through December 2020 followed by monthly principal and interest payments through December of 2022.
Debt instrument collateral amount $ 5,000
Chart Energy And Chemicals Inc Member [Member]
Subsequent Event [Line Items]
Exchange of indebtedness $ 7,000
Common stock, shares issued1.5