Company: OKMN
Filing Date: 2025-02-20
Form Type: 10-Q
Source: 0001079973-25-000298
Chunk: 21

Company: OKMIN RESOURCES, INC.
Filing Date: 2025-02-20
Form: 10-Q
Item: Item 1
Chunk 21
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 new assets or interests have
been reached, and any future agreements would be subject to the Company being able to secure adequate additional financing.

12 

RESULTS OF OPERATIONS 

For the Three months ended
December 31, 2024, as compared to the Three months ended December 31, 2023

Revenue

We generated $5,312 in revenue from oil and gas sales
for the three months ended December 31, 2024, as compared to $22,789 in revenues generated in the three months ended December 31, 2023.
The decrease in revenue is predominantly attributable to lower natural gas prices. These lower prices not only reduced the sales price
we received for each MCF sold, but also led to the curtailment of operations on certain of our properties until prices improve which resulted
in a decrease of our production volumes. We also received $388 in interest income from our cash balances for three months ended December
31, 2024.

General and Administrative
Expense

General and administrative
expenses increased to $192,879 for the three months ended December 31, 2024 compared to $86,760 for the three months ended December 31,
2023. The primary reason for the increase is due to a non-recurring and non-cash expense of $119,000 in connection with stock issued to
consultants and a director of the Company for services in lieu of cash payments.

Net Loss

The net loss for the three months ended December 31,
2024 was $218,757 compared to a net loss of $91,852 for the three months ended December 31, 2023. The Expenses during the three month
period ended December 31, 2024, included $9,518 in lease operating expenses, including taxes and royalties; $40,500 in accrued compensation;
$3,678 in interest expense; $10,000 (non-cash) in compliance consulting fees; Audit fees of $24,182 which was higher than in prior periods
as the Company was required to audit the previous two fiscal years following its change of independent registered public accountants;
$100,000 in stock compensation to Samuel Naparstek who had joined the Board of Directors in July 2024; $9,000 in stock compensation in
lieu of cash for an ongoing services agreement with Sierra Land Resources, LLC, plus other professional fees; and other general and administrative
expenses necessary for our operations. An impairment charge of $15,