v3.25.4
SEGMENT REPORTING (AS RESTATED)
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING (AS RESTATED)

NOTE 7 – SEGMENT REPORTING (AS RESTATED)

 

Upon completion of the Share Exchange, the Company re-evaluated its reporting segments. Our determination of reporting segments was made on the basis of our operations, products, and the economic characteristics of each of our operating segments and corresponds to the manner in which our the CODM reviews and evaluates performance to make decisions about resources to be allocated to the segment. As a result, the Company’s segment structure has been reassessed and now reflects the Company’s legacy oil and gas (“O&G”) operations as well as its newly added emerging renewables initiatives (“Renewables”).

 

The O&G segment generates revenue from oil and gas operations whereas Renewables is in the pre-revenue stage, primarily incurring research and development and start-up costs associated with its development of scalable technologies for converting plastic and biomass waste into renewable fuels and chemicals. The CODM is a committee including the Company’s Chief Executive Officer, Chief Operating Officer and Chief Financial Officer.

 

The Company measures and evaluates its reportable segments based on their respective adjusted net income (loss), general and administrative expenses, research and development costs and professional fees. The Company excludes certain corporate-related expenses and certain transactions or adjustments that the CODM considers to be non-operational, such as changes in fair value of warrant liabilities, restructuring charges, interest expense and income and amounts related to depreciation, depletion and amortization expense. Although these amounts are excluded, they are included in reported Loss before income taxes within the accompanying unaudited condensed consolidated statements of operations and are included in the reconciliation below. The CODM uses segment adjusted net income (loss) in the budget and forecasting process and to monitor budgets versus actual results, which are used in assessing the performance of the reportable segments and to allocate resources across the reportable segments. The balance sheet is presented on a consolidated basis, as the CODM does not use segment specific asset or liability information, including fixed assets, to assess performance. As a result, segment asset and liability details are disclosed at the aggregate level.

 

A reconciliation of net loss for the reportable segments to the applicable line items within the accompanying unaudited consolidated statements of operations is as follows. 

 

             
  

Three Months Ended
September 30, 2025

(As restated)

 
   O&G   Renewables   Total 
Revenue  $225,678   $-   $225,678 
                
Segment expense:               
General and administrative expenses   

-

    16,642,135    

16,642,135

 
Research and development costs   -       
Operating lease expense and severance tax   

112,644

    -    

112,644

 
Adjusted segment operating loss/(income)   

(113,034

)    16,642,135    

16,529,101

 
                
Reconciliation of “Adjusted segment operating loss” to “Loss before income taxes”               
Depreciation and amortization   40,027    -    40,027 
Grant income   -    -    - 
Interest income   -   (10,907)   (10,907)
Changes in fair value of warrant liability   -    -    - 
Other expense   198,950    10,508    209,458 
Foreign currency adjustment   -    

(1,041

)   

(1,041

)
Interest expense   -     194,739    194,739 
Loss on extinguishment of debt   -    105,644    105,644 
Issuance of Commitment Shares for Convertible Note   -     

3,342,000

    

3,342,000

 
Loss before income taxes  $

125,943

   $

20,283,078

   $

20,409,021

 

 

 

          

 

 

 
  

Nine Months Ended
September 30, 2025

(As restated)

 
   O&G   Renewables   Total 
Revenue  $225,678   $-   $225,678 
                
Segment expense:               
General and administrative expenses   -    18,604,904    18,604,904 
Research and development costs   -    724,406    724,406 
Operating lease expense and Severance Tax   

112,644

         112,644 
Adjusted segment operating loss/(income)   (113,034)   19,329,310    19,216,276 
                
Reconciliation of “Adjusted segment operating loss” to “Loss before income taxes”               
Depreciation and amortization   40,027    -    40,027 
Grant income   -    (737,811)   (737,811)
Interest income   -   

(10,907

)

   (10,907)
Changes in fair value of warrant liability   -    (45,965)   (45,965)
Other expense   198,950    10,508    209,458 
Foreign currency adjustment   -    15,768    15,768 
Interest expense   -    393,095    393,095 
Loss on extinguishment of debt   -    105,644    105,644 
Issuance of Commitment Shares for Convertible Note   

    

3,342,000

    

3,342,000

 
Loss before income taxes  $125,943   $22,401,642   $22,527,585 

 

             
   Three Months Ended
September 30, 2024		 
   O&G   Renewables   Total 
Revenue  $-   $-   $- 
                
Segment expense:               
General and administrative expenses   -    

436,817

    436,817 
Research and development costs   -    

111,311

    111,311 
Adjusted segment operating loss   -    

548,128

    548,128 
                
Reconciliation of “Adjusted segment operating loss” to “Profit before income taxes”               
Operating lease expense and Severance Tax   -    -    - 
Depreciation and amortization   -    -    - 
Grant income   -    (340,546)   (340,546)
Interest income   -    (50,000)   (50,000)
Changes in fair value of warrant liability   -    

6,204

   6,204
Other expense   -    -    - 
Foreign currency adjustment   -    

(107,624

)   (107,624)
Interest expense   -    100,822    100,822 
Loss/(Profit) before income taxes  $-   $156,984  $156,984

 

             
   Nine Months Ended
September 30, 2024		 
   O&G   Renewables   Total 
Revenue  $-   $-   $- 
Segment expense:               
General and administrative expenses   -    1,703,752    1,703,752 
Research and development costs   -    1,600,956    1,600,956 
Adjusted segment operating loss   -    

3,304,708

    3,304,708 
                
Reconciliation of “Adjusted segment operating loss” to “Loss before income taxes”               
Operating lease expense and Severance Tax   -    -    - 
Depreciation and amortization   -    -    - 
Grant income   -    (2,340,359)   (2,340,359)
 Interest income   -    (150,000)   (150,000)
Changes in fair value of warrant liability   -    

809,602

    809,602 
Other expense   -    -    - 
Foreign currency adjustment   -    

(51,146

)   (51,146)
Interest expense   -    300,274    300,274 
Loss before income taxes  $-   $1,873,079   $1,873,079 

 

 

                 
   Three Months Ended
September 30,		   Nine Months Ended
September 30,		 
   2025   2024   2025   2024 
Depreciation and amortization:                    
O&G  $40,027   $-   $40,027   $- 
Renewables   -    -    -    - 
Consolidated depreciation expense  $40,027   $-   $40,027   $- 

 

  

As of

September 30, 2025

  

As of

December 31, 2024

 
Assets:          
O&G  $1,123,270   $- 
Renewables   27,708,284    4,114,688 
Total assets of reportable segments  $28,831,554   $4,114,688