Company: OKMN
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001079973-25-001512
Chunk: 222

Company: OKMIN RESOURCES, INC.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1C
Chunk 222
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In December 2021,
the Company exercised its option and entered into a definitive joint venture and operating agreement with Blackrock to acquire a 50% joint
venture interest with Blackrock in the Pushmataha Gas Field, comprising 6 leases covering an area of 3,840 acres located in Pushmataha
County, Oklahoma. Blackrock had previously entered into a separate option to acquire working interests
ranging from 92 -100% in the existing wells and lease acreage from a third party. In connection with the initial acquisition, the Company
expended approximately $253,000 in cash. Under the terms of the Joint Venture agreement, after deducting operating costs including a flat
sum of $1,000 per month to Blackrock as operator, the Company shall receive all net income from revenues of the project until it has recouped
$125,000, thereafter, the parties shall equally split the income.

In August 2025, the Company
entered into an agreement with Blackrock to exchange its 50% working interest in another project with Blackrock for $25,000 cash and an
additional 45% interest in the Pushmataha Gas Field. As a result of this transaction, the Company currently has a 95% Joint Venture interest
in the Pushmataha property.

The
leases owned by the Joint Venture are subject to land owner royalties and other commitments resulting in net revenue interests to the
joint venture of between 71% - 76%, with the exception of the Stephenson well, which has a net revenue interest of approximately 68%. 

Pushmataha has 7 existing
gas wells ranging in depth from 10,000-12,300 feet. The wells were inactive since 2019 due to line leaks and lower gas prices, though
in April 2021 some wells were put back online and have at various intervals produced between 100-300 MCFD. Through the
fiscal year ended June 30, 2025, we recorded $1,532 in revenues from gas sales at the project. 

The existing seven wells
show additional behind-pipe zones and the joint venture partners assessed recompleting a new zone in one of the wells called the KDC.
The operator previously had a rig out on site at KDC and commenced some work on the well and was planning to conduct a recompletion, though
weather conditions made it too dangerous to proceed. Plans were also