Long-term borrowings are summarized as follows (in thousands):

Kinergy Operating Line of Credit – As of September 30, 2016, Kinergy had an available borrowing base under its credit facility of $11,084,000.

Plant Term Debt — As of September 30, 2016, the term loan facility for the Pacific Ethanol Central Plants had an outstanding balance of approximately $155.1 million. Interest on the term loan facility accrues and may be paid in cash at a rate of 10.5% per annum or may be paid in-kind at a rate of 15.0% per annum by adding the interest to the outstanding principal balance. For the three months ended September 30, 2016, the Company elected to pay cash. For the nine months ended September 30, 2016, the Company elected to defer interest payments on the term debt in the aggregate amount of $9.5 million, which was added to the outstanding loan balance.

The term loan facility matures on September 24, 2017, and as such the Company has reclassified the outstanding balance to current liabilities. The Company is currently pursuing several viable alternatives to refinance the term debt.

On February 26, 2016, the Company retired the $17,003,000 outstanding balance of the Pacific Ethanol West Plants’ term debt by purchasing the lender’s position for cash at par without any prepayment penalty. The purchase increased the amount of the term debt held by Pacific Ethanol to a combined $58,766,000, which is eliminated upon consolidation. As a result, the Company has no continuing obligations to any third-party lender under the credit agreements associated with the Pacific Ethanol West Plants’ term debt.

At September 30, 2016, there were approximately $127.9 million of net assets of the Company’s subsidiaries that were not available to be transferred to the parent company in the form of dividends, loans or advances due to restrictions contained in the credit facilities of these subsidiaries.

Capitalized Interest — For the three and nine months ended September 30, 2016, the Company capitalized interest of $1.1 million related to its capital project activity. Of this amount, approximately $0.6 million related to project activity in the prior year, which the Company considered to be immaterial; therefore, this amount was corrected on a cumulative basis in the current period.