Kelly Rosser : Rob, this is Kelly. Thank you for the question. Yes, of the $6.9 million you’re referring to, the majority of this is related to capitalized costs related to the Rio Tinto project.
Christie Obiaya : Yes. Thanks, Kelly, and I’ll add some more color to that. Dialogue with Rio does remain open. And in fact, they’ve been proactive about reaching out subsequent to our leadership change, including having new team members on their side visit our site in Lancaster. But at this point, without a finalized contract, our Chief Commercial Officer, Tom Doyle, is directing his team to focus on — their efforts on other prospects where we see a fresh path to forward to lock in contracts. And so we made the decision to take that write-off at the end of 2022 on the Rio CapEx. And we remain very supportive of Rio and their decarbonization plans and remain open to slotting them into our project deployments in the future.
Rob Wertheimer : Perfect. And then my last one. Christie, you’ve obviously outlined some of the potential to extend your runway. I assume the R&D you’ve done and the demonstration facilities you’ve put up, allow you to kind of move to commercial sales without trying to invest in future technologies at the same rate. Is that runway extension largely the announcements you’ve made on 15% employment cut in R&D? Is there anything else that plays into that? And how do we think about your quarterly expense rate, I guess, not so much 4Q being representative, or even 1Q, but being 2Q and 3Q?
Christie Obiaya : Yes, absolutely, Rob. You’re exactly right. The 4Q results on cash burn do not reflect our pace of spending going forward. We’ve already identified significant savings. And the source of those savings are from actually a combination of things. It’s from operating expenses, including some of the R&D work, that we’re limiting our focus on R&D activity. And it also comes from deferring capital expenditures, where we had, in our previous plans, to expand our manufacturing facility, and we’re going to wait until we have additional sales contracts locked in. And so we will not be accelerating any manufacturing CapEx until we get those orders online. We also have, as I mentioned, taken a difficult decision to release about 15% of our employees.
And so it’s a combination of all those things. And we want to make sure we’re positioned to deliver. And I think that going forward, we’re going to be in a stronger position to be able to reduce our spend, given our narrower strategic focus.
Operator: Our next question comes from the line of Jeff Grampp with Alliance Global Partners.
Jeff Grampp : Was curious to maybe start on Proxima project in Lancaster, you guys mentioned preliminary designs completed and working towards permitting there. Any kind of early projections on what the go-forward timeline looks there in terms of what that permitting process looks like, timing for a potential offtake partner? Is that a 2023 event realistically? Or how do you guys kind of see that playing out?
Christie Obiaya: Yes, Jeff, great question. Thanks for the question. Good to speak with you this morning. So on the Proxima project, yes, we’re very excited about that prospect and the fact that we’ll get both the steam and the hydrogen covered on that prospect. In terms of timing, yes, it will depend on both permitting and also lead time for equipment. But absent constraints on those, if there weren’t limiting factors on either of those two areas, but just to give you a sense of the time line, our single module steam unit that would go into that pairing with the electrolyzer can be installed within a few months. And so the time line is quick, absent permitting and lead time for equipment. And we look forward to updating on those milestones as we go forward.
