Company: CRCE
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001096906-25-000799
Chunk: 3

Company: Circle Energy, Inc./NV
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 3
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 developing our initial acreage, beginning with the drilling of the two vertical wells as required by the current oil and gas lease.  Each of these wells would cost approximately $750,000 to drill and complete.  To fund this drilling, the Company would likely enter into agreements with industry partners who would provide funding in return for a portion of the working interest in the wells.  Management has not yet entered into any agreements but has had extended conversations with those industry partners regarding potential participation in the drilling.  These discussions have concluded with positive indications that they would wish to participate and so the required funding would be available.  In the alternative, management may seek funding through the sale of equity in the Company after the Common Stock commences trading, if ever.  

Cash Flows.  There were no cash inflows during the either three months ended March 31, 2025 or March 31, 2024.  During the three months ended March 31, 2025 we had cash outflow of $7,653 from operating activities as compared to cash outflow from operations of $9,362 for the same period of 2024.  As of March 31, 2025, we had cash on hand of $184,371 and working capital of $179,653, as compared to cash on hand of $192,024 and working capital of $203,926 as of December 31, 2024.

BUSINESS

We are a corporation incorporated in Nevada formed for the purpose of acquiring and developing oil and gas prospects, primarily in the state of Texas and surrounding states.  We anticipate acquiring these properties either directly from the owners or through one or more acquisitions of smaller oil and gas companies with existing oil and gas assets and established management teams. We have acquired an interest in our first oil and gas lease and have entered into an arrangement to develop an area of mutual interest in the same area.  Management has also had ongoing preliminary discussions with multiple potential sellers and management teams as well as with contacts within the banking community to further develop the company’s ongoing business.  Through management’s prior relationships, we acquired our first prospect and have identified a selection of additional potential acquisition targets.  Further, the Company has filed with the Texas Railroad Commission to be established as an operator of oil and gas properties in Texas.  In addition, Mr. Rochford, one of our founders, paid $240,000 for his founder’s shares in the Company