Item 2. Properties
Item 2. Properties
The Company’s head office is located at 12 Greenway Plaza, Suite 1100, Houston, Texas 77046.
Through Simson-Maxwell, the Company has eight (8) locations in Canada, consisting of (i) Port Coquitlam, British Columbia; (ii) Edmonton, Alberta; (iii) Calgary, Alberta; (iv) Nanaimo, British Columbia; (v) Prince George, British Columbia; (vi) Fort St. John, British Columbia; (vii) Terrace, British Columbia and: (viii) Brampton, Ontario.
Oil and Natural Gas Properties
Oil and Natural Gas Reserves at December 31, 2024 and 2023
At December 31, 2024, the Company had no oil and natural gas reserves. All of our proved oil and natural gas reserves at December 31, 2023 were located in the United States, in the State of Texas.
The following tables set forth summary information with respect to our proved reserves as of December 31, 2024 and 2023. For additional information see Supplemental Information “Oil and Natural Gas Producing Activities (Unaudited)” to our consolidated financial statements in “Item 8-Financial Statements and Supplementary Data” of this Annual Report on Form 10-K. Under SEC reporting requirements, proved undeveloped reserves include only those reserves in which the Company has current plans to develop, generally within five years.
Proved Reserves at December 31, 2024
Reserves Category
Crude Oil
(BBLs)
Natural Gas (MCF)
Total Proved
(BOE) (1)
Proved Reserves
Developed
-
-
-
Developed Non-Producing
-
-
Total Proved Reserves
-
-
-
Estimated Future Net Cash Flows
$
-
10% annual discount for estimated timing of cash flows
-
Discounted Future Net Cash Flows - (PV10) (2)
$
-
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Proved Reserves at December 31, 2023
Reserves Category
Crude Oil
(BBLs)
Natural Gas (MCF)
Total Proved
(BOE) (1)
Proved Reserves
Developed
34,250
160,770
61,045
Developed Non-Producing
-
-
-
Total Proved Reserves
34,250
160,770
61,045
Estimated Future Net Cash Flows
$
1,608,240
10% annual discount for estimated timing of cash flows
(669,870
)
Discounted Future Net Cash Flows - (PV10) (2)
$
938,370
(1) BOE (barrels of oil equivalent) is calculated by a ratio of 6 MCF to 1 BBL of Oil
(2) PV-10 represents the discounted future net cash flows attributable to our proved oil and natural gas reserves discounted at 10%. PV-10 of our total year-end proved reserves is considered a non-US GAAP financial measure as defined by the SEC. We believe that the presentation of the PV-10 is relevant and useful to our investors because it presents the discounted future net cash flows attributable to our proved reserves without consideration of income tax affects. We further believe investors and creditors use our PV-10 as a basis for comparison of the relative size and value of our reserves to other companies.
Net Production, Unit Prices and Costs
The following table presents certain information with respect to oil and natural gas production attributable to our interests in all of our properties in the United States, the revenue derived from the sale of such production, average sales prices received and average production costs during the years ended December 31, 2024 and 2023. All production and expense data includes the results of Mid-Con Petroleum and Mid-Con Drilling through November 5, 2023 and Petrodome through December 1, 2023, the respective dates of disposition.
Unit of
December 31,
Measure
2024
2023
Production
Oil
Barrels
-
12,348
Natural Gas
Mcf
-
5,589
BOE
-
13,280
Sales
Oil
Barrels
-
12,348
Natural Gas
Mcf
-
5,589
Average Sales Prices
Oil
Barrels
-
73.83
Natural Gas
Mcf
-
6.61
Production - Lease operating expenses
-
658,505
Average Cost of Production per BOE
-
49.59
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Drilling and Other Exploratory and Development Activities
During the years ended December 31, 2024 and 2023, the Company did not undertake any drilling, exploratory or development activities.
Present Activities
The Company is not presently drilling any new wells.
Delivery Commitments
The Company is not currently committed to provide a fixed and determinable quantity of oil or gas in the near future under existing contracts or agreements.