The next issue to deal with is the addition of non-cash capitalized interest into the calculation of soft costs for the construction years.

There are two types of non-cash capitalized interest. The first one comes from the finance tab, and that is the rolled up interest during the construction phase for our syndicated loan. And the second one is related to the asset retirement obligation liability. And that has to do with the accrued interest during the construction phase for this liability. So we add the two together and we can copy this to the right. So we can take a look at the formula. And as you can see, what's flowing through right now is the accrued interest on that asset retirement obligation. At the moment, our rolled up interest is all set to zero, but remember this is an if statement, so this could potentially turn into a positive value.

Next, let's go to the income statement.

Go down to the interest section and let's link up the interest on the asset retirement obligation for the operational years. So we're gonna take this number from the depletion tab, and this is referring to the accrued interest. And we're gonna start during the first operational year. Now we have to be careful to make this number a negative value since this is gonna be an interest expense on the income statement. Let's now copy this to the right until the very last operational period.

So let's take a look at our balance sheet. And if we go down to our balance sheet check, you will see that our balance sheet is actually balanced during the construction phase. And the reason is that the changes in the asset retirement obligation liability are being offset by the changes in the soft costs. We're also balanced during the operational period since the changes in the asset retirement obligation liability is flowing through both the income statement as well as the cashflow statement.