XML 19 R9.htm IDEA: XBRL DOCUMENT
v3.23.2

Property | 6 Months Ended
--- | ---
Jun. 30, 2023
Property, Plant and Equipment [Abstract] |
Property | Note 3 – Property The Company follows the successful efforts method of accounting for its oil and natural gas properties. Under this method, costs to acquire oil and natural gas properties and costs incurred to drill and equip development and exploratory wells are capitalized. Exploration costs are charged to operations as incurred. Upon sale or retirement of oil and natural gas properties, the costs and related accumulated depreciation, depletion and amortization are eliminated from the accounts and the resulting gain or loss is recognized. Costs incurred to maintain wells and related equipment and lease and well operating costs are charged to expense as incurred. Depletion is calculated on a units-of-production basis at the field level based on total proved developed reserves. In May 2023, the Company signed an agreement for the purchase of additional working interests in its New Mexico properties and remitted a deposit of $670,000. The acquisition closed on August 9, 2023 (See Note 16). Proved Properties and Impairments Proved oil and natural gas properties are reviewed for impairment at least annually, or as indicators of impairment arise. There have been no indicators of impairment during the six months ended June 30, 2023. Aggregate capitalized costs of oil and natural gas properties are as follows:
Schedule of aggregate capitalized costs oil and natural gas properties |  |  |  |  |  |  |  |
|  | June 30, 2023 |  |  | December 31, 2022 |
Proved properties |  | $ | 67,020,351 |  |  | $ | 52,831,131 |
Unproved properties |  |  | 2,965,421 |  |  |  | 2,865,556 |
Work in process |  |  | — |  |  |  | 8,289,652 |
Gross capitalized costs |  |  | 69,985,772 |  |  |  | 63,986,339 |
Depreciation, depletion, amortization and impairment |  |  | (21,336,969 | ) |  |  | (20,116,696 | )
Total oil and gas properties, net |  | $ | 48,648,803 |  |  | $ | 43,869,643 |
Depletion and amortization expense for the three months ended June 30, 2023 and 2022 was approximately $657,000 and $430,000, respectively. Depletion and amortization expense for the six months ended June 30, 2023 and 2022 was approximately $1,221,000 and $830,000, respectively. Other property and equipment consists of operating lease assets, vehicles, office furniture, and equipment with lives ranging from three to five years.
Schedule of other property plant and equipment |  |  |  |  |  |  |  |
|  | June 30, 2023 |  |  | December 31, 2022 |
Other property and equipment, at cost |  | $ | 2,312,404 |  |  | $ | 1,878,325 |
Less: accumulated depreciation |  |  | (785,846 | ) |  |  | (436,796 | )
Other property and equipment, net |  | $ | 1,526,558 |  |  | $ | 1,441,529 |
Depreciation expense for the three months ended June 30, 2023 and 2022 was approximately $54,000 and $26,000, respectively. Depreciation expense for the six months ended June 30, 2023 and 2022 was approximately $113,000 and $59,000, respectively.

X
- References No definition available. + Details
Name: | us-gaap_PropertyPlantAndEquipmentAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for long-lived, physical asset used in normal conduct of business and not intended for resale. Includes, but is not limited to, work of art, historical treasure, and similar asset classified as collections. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//360/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Section 50 -Paragraph 6 -SubTopic 360 -Topic 958 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480321/958-360-50-6 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (d) -SubTopic 360 -Topic 958 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480321/958-360-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Section 50 -Paragraph 7 -SubTopic 360 -Topic 958 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480321/958-360-50-7 + Details
Name: | us-gaap_PropertyPlantAndEquipmentDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration