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Concentrations
12 Months Ended
Dec. 31, 2022
Risks and Uncertainties [Abstract]  
Concentrations

Note 17 – Concentrations

 

The Company’s producing properties and oil and natural gas reserves are all located in Louisiana, New Mexico, North Dakota, Montana, and Texas. Because of the concentration, the Company is exposed to the impact of regional supply and demand factors, processing or transportation capacity constraints, severe weather events, water shortages, and government regulations specific to the geographic area.

 

For the year ended December 31, 2022, the Company sold 68% of its oil, natural gas, and NGL to four customers. For the year ended December 31, 2021, the Company sold 63% of its oil and natural gas production to four customers. The loss of these purchasers could result in a temporary interruption in sales or a lower price for production.

 

The Company’s cash balances may at times exceed FDIC insurance limits. The Company maintains cash accounts at reputable financial institutions.