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REVENUE FROM CONTRACTS WITH CUSTOMERS | 6 Months Ended
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Mar. 31, 2024
Revenue from Contract with Customer [Abstract] |
REVENUE FROM CONTRACTS WITH CUSTOMERS | REVENUE FROM CONTRACTS WITH CUSTOMERS Disaggregation of Revenue The following tables provide information about disaggregated revenue by revenue streams, reportable segments, geographical region, and timing of revenue recognition for the three and six months ended March 31, 2024 and 2023.
|  | Three months ended March 31, 2024
|  | Oil and natural gas |  | Contract drilling |  | Land investment |  | Other |  | Total
Revenue streams: |  |  |  |  |  |  |  |  |
| Oil | $ | 2,985,000 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 2,985,000 |
| Natural gas | 678,000 |  |  | — |  |  | — |  |  | — |  |  | 678,000 |
| Natural gas liquids | 481,000 |  |  | — |  |  | — |  |  | — |  |  | 481,000 |
| Drilling and pump | — |  |  | 1,070,000 |  |  | — |  |  | — |  |  | 1,070,000 |
| Contingent residual payments | — |  |  | — |  |  | 500,000 |  |  | — |  |  | 500,000 |
| Other | — |  |  | — |  |  | — |  |  | 42,000 |  |  | 42,000 |
| Total revenues before interest income | $ | 4,144,000 |  |  | $ | 1,070,000 |  |  | $ | 500,000 |  |  | $ | 42,000 |  |  | $ | 5,756,000 |
Geographical regions: |  |  |  |  |  |  |  |  |
| United States | $ | 674,000 |  |  | $ | 1,070,000 |  |  | $ | 500,000 |  |  | $ | 25,000 |  |  | $ | 2,269,000 |
| Canada | 3,470,000 |  |  | — |  |  | — |  |  | 17,000 |  |  | 3,487,000 |
| Total revenues before interest income | $ | 4,144,000 |  |  | $ | 1,070,000 |  |  | $ | 500,000 |  |  | $ | 42,000 |  |  | $ | 5,756,000 |
Timing of revenue recognition: |  |  |  |  |  |  |  |  |
| Goods transferred at a point in time | $ | 4,144,000 |  |  | $ | — |  |  | $ | 500,000 |  |  | $ | 42,000 |  |  | $ | 4,686,000 |
| Services transferred over time | — |  |  | 1,070,000 |  |  | — |  |  | — |  |  | 1,070,000 |
| Total revenues before interest income | $ | 4,144,000 |  |  | $ | 1,070,000 |  |  | $ | 500,000 |  |  | $ | 42,000 |  |  | $ | 5,756,000 |
|  | Three months ended March 31, 2023
|  | Oil and natural gas |  | Contract drilling |  | Land investment |  | Other |  | Total
Revenue streams: |  |  |  |  |  |  |  |  |
| Oil | $ | 2,789,000 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 2,789,000 |
| Natural gas | 616,000 |  |  | — |  |  | — |  |  | — |  |  | 616,000 |
| Natural gas liquids | 281,000 |  |  | — |  |  | — |  |  | — |  |  | 281,000 |
| Drilling and pump | — |  |  | 1,501,000 |  |  | — |  |  | — |  |  | 1,501,000 |
| Other | — |  |  | — |  |  | — |  |  | 29,000 |  |  | 29,000 |
| Total revenues before interest income | $ | 3,686,000 |  |  | $ | 1,501,000 |  |  | $ | — |  |  | $ | 29,000 |  |  | $ | 5,216,000 |
Geographical regions: |  |  |  |  |  |  |  |  |
| United States | $ | 309,000 |  |  | $ | 1,501,000 |  |  | $ | — |  |  | $ | 6,000 |  |  | $ | 1,816,000 |
| Canada | 3,377,000 |  |  | — |  |  | — |  |  | 23,000 |  |  | 3,400,000 |
| Total revenues before interest income | $ | 3,686,000 |  |  | $ | 1,501,000 |  |  | $ | — |  |  | $ | 29,000 |  |  | $ | 5,216,000 |
Timing of revenue recognition: |  |  |  |  |  |  |  |  |
| Goods transferred at a point in time | $ | 3,686,000 |  |  | $ | — |  |  | $ | — |  |  | $ | 29,000 |  |  | $ | 3,715,000 |
| Services transferred over time | — |  |  | 1,501,000 |  |  | — |  |  | — |  |  | 1,501,000 |
| Total revenues before interest income | $ | 3,686,000 |  |  | $ | 1,501,000 |  |  | $ | — |  |  | $ | 29,000 |  |  | $ | 5,216,000 |
|  | Six months ended March 31, 2024
|  | Oil and natural gas |  | Contract drilling |  | Land investment |  | Other |  | Total
Revenue streams: |  |  |  |  |  |  |  |  |
| Oil | $ | 6,877,000 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 6,877,000 |
| Natural gas | 1,390,000 |  |  | — |  |  | — |  |  | — |  |  | 1,390,000 |
| Natural gas liquids | 1,007,000 |  |  | — |  |  | — |  |  | — |  |  | 1,007,000 |
| Drilling and pump | — |  |  | 2,063,000 |  |  | — |  |  | — |  |  | 2,063,000 |
| Contingent residual payments | — |  |  | — |  |  | 500,000 |  |  | — |  |  | 500,000 |
| Other | — |  |  | — |  |  | — |  |  | 59,000 |  |  | 59,000 |
| Total revenues before interest income | $ | 9,274,000 |  |  | $ | 2,063,000 |  |  | $ | 500,000 |  |  | $ | 59,000 |  |  | $ | 11,896,000 |
Geographical regions: |  |  |  |  |  |  |  |  |
| United States | $ | 1,428,000 |  |  | $ | 2,063,000 |  |  | $ | 500,000 |  |  | $ | 26,000 |  |  | $ | 4,017,000 |
| Canada | 7,846,000 |  |  | — |  |  | — |  |  | 33,000 |  |  | 7,879,000 |
| Total revenues before interest income | $ | 9,274,000 |  |  | $ | 2,063,000 |  |  | $ | 500,000 |  |  | $ | 59,000 |  |  | $ | 11,896,000 |
Timing of revenue recognition: |  |  |  |  |  |  |  |  |
| Goods transferred at a point in time | $ | 9,274,000 |  |  | $ | — |  |  | $ | 500,000 |  |  | $ | 59,000 |  |  | $ | 9,833,000 |
| Services transferred over time | — |  |  | 2,063,000 |  |  | — |  |  | — |  |  | 2,063,000 |
| Total revenues before interest income | $ | 9,274,000 |  |  | $ | 2,063,000 |  |  | $ | 500,000 |  |  | $ | 59,000 |  |  | $ | 11,896,000 |
|  | Six months ended March 31, 2023
|  | Oil and natural gas |  | Contract drilling |  | Land investment |  | Other |  | Total
Revenue streams: |  |  |  |  |  |  |  |  |
| Oil | $ | 6,273,000 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 6,273,000 |
| Natural gas | 1,918,000 |  |  | — |  |  | — |  |  | — |  |  | 1,918,000 |
| Natural gas liquids | 721,000 |  |  | — |  |  | — |  |  | — |  |  | 721,000 |
| Drilling and pump | — |  |  | 3,449,000 |  |  | — |  |  | — |  |  | 3,449,000 |
| Contingent residual payments | — |  |  | — |  |  | 265,000 |  |  | — |  |  | 265,000 |
| Other | — |  |  | — |  |  | — |  |  | 72,000 |  |  | 72,000 |
| Total revenues before interest income | $ | 8,912,000 |  |  | $ | 3,449,000 |  |  | $ | 265,000 |  |  | $ | 72,000 |  |  | $ | 12,698,000 |
Geographical regions: |  |  |  |  |  |  |  |  |
| United States | $ | 826,000 |  |  | $ | 3,449,000 |  |  | $ | 265,000 |  |  | $ | 8,000 |  |  | $ | 4,548,000 |
| Canada | 8,086,000 |  |  | — |  |  | — |  |  | 64,000 |  |  | 8,150,000 |
| Total revenues before interest income | $ | 8,912,000 |  |  | $ | 3,449,000 |  |  | $ | 265,000 |  |  | $ | 72,000 |  |  | $ | 12,698,000 |
Timing of revenue recognition: |  |  |  |  |  |  |  |  |
| Goods transferred at a point in time | $ | 8,912,000 |  |  | $ | — |  |  | $ | 265,000 |  |  | $ | 72,000 |  |  | $ | 9,249,000 |
| Services transferred over time | — |  |  | 3,449,000 |  |  | — |  |  | — |  |  | 3,449,000 |
| Total revenues before interest income | $ | 8,912,000 |  |  | $ | 3,449,000 |  |  | $ | 265,000 |  |  | $ | 72,000 |  |  | $ | 12,698,000 |
Contract Balances The following table provides information about accounts receivables, contract assets and contract liabilities from contracts with customers:
| March 31, 2024 |  | September 30, 2023 |  | September 30, 2022
Accounts receivables from contracts with customers | $ | 3,046,000 |  |  | $ | 2,931,000 |  |  | $ | 4,038,000 |
Contract assets | 714,000 |  |  | 958,000 |  |  | 580,000 |
Contract liabilities | 320,000 |  |  | 377,000 |  |  | 1,087,000 |
Accounts receivables from contracts with customers are included in "Accounts and other receivables, net of allowance for credit losses," in the accompanying Condensed Consolidated Balance Sheets and contract assets, which includes costs and estimated earnings in excess of billings and retainage, are included in “Other current assets” in the accompanying Condensed Consolidated Balance Sheets. Contract liabilities, which includes billings in excess of costs and estimated earnings are included in “Other current liabilities” in the accompanying Condensed Consolidated Balance Sheets. Retainage, included in contract assets, represents amounts due from customers, but where payments are withheld contractually until certain construction milestones are met. Amounts retained typically range from 5% to 10% of the total invoice, up to contractually-specified maximums. The Company classifies as a current asset those retainages that are expected to be collected in the next twelve months. Contract assets represent the Company’s rights to consideration in exchange for services transferred to a customer that have not been billed as of the reporting date. The Company’s rights are generally unconditional at the time its performance obligations are satisfied. When the Company receives consideration or such consideration is unconditionally due from a customer prior to transferring goods or services to the customer under the terms of a sales contract, the Company records deferred revenue, which represents a contract liability. Such deferred revenue typically results from billings in excess of costs and estimated earnings on uncompleted contracts. As of March 31, 2024 and September 30, 2023, the Company had $320,000 and $377,000, respectively, included in “Other current liabilities” in the accompanying Condensed Consolidated Balance Sheets for those performance obligations expected to be completed in the next twelve months. During the six months ended March 31, 2024 and 2023, the amount of revenue recognized that was previously included in contract liabilities as of the beginning of the respective period was $347,000 and $969,000, respectively. Contracts are sometimes modified for a change in scope or other requirements. The Company considers contract modifications to exist when the modification either creates new or changes the existing enforceable rights and obligations. Most of the Company’s contract modifications are for goods and services that are not distinct from the existing performance obligations. The effect of a contract modification on the transaction price, and the measure of progress for the performance obligation to which it relates, is recognized as an adjustment to revenue (either as an increase or decrease) on a cumulative catchup basis. Performance Obligations The Company’s remaining performance obligations for drilling and pump installation contracts (hereafter referred to as “backlog”) represent the unrecognized revenue value of the Company’s contract commitments. The Company’s backlog may vary significantly each reporting period based on the timing of major new contract commitments. In addition, our customers have the right, under some infrequent circumstances, to terminate contracts or defer the timing of the Company’s services and their payments to us. Nearly all of the Company's contract drilling segment contracts have original expected durations of one year or less. At March 31, 2024, the Company had three contract drilling jobs with original expected durations of greater than one year. For these contracts, 100% of the remaining performance obligation of $56,000 is expected to be recognized as revenue in the next twelve months. Contract Fulfillment Costs Preconstruction costs, which include costs such as set-up and mobilization, are capitalized and allocated across all performance obligations and deferred and amortized over the contract term on a progress towards completion basis. As of March 31, 2024 and September 30, 2023, the Company had $324,000 and $504,000, respectively, in unamortized preconstruction costs related to contracts that were not completed. During the three months ended March 31, 2024 and 2023, the amortization of preconstruction costs related to contracts were not material. During the six months ended March 31, 2024 and 2023, the amortization of preconstruction costs related to contracts was $155,000 and $178,000, respectively. These amounts have been included in “Contract drilling operating” costs and expenses in the accompanying Condensed Consolidated Statements of Operations. Additionally, no impairment charges in connection with the Company’s preconstruction costs were recorded during the three and six months ended March 31, 2024 and 2023.

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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 9 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-9 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-10 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-15 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-12 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-12 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-12 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-12 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-12 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479806/606-10-50-13 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Topic 606 -Publisher FASB -URI https://asc.fasb.org//606/tableOfContent + Details
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