Company: MNTR
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001493152-25-011889
Chunk: 31

Company: Mentor Capital, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 1
Chunk 31
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and six months ended June 30, 2025.

    -22-

The
following table summarizes activity related to the royalty interests at June 30, 2025 and December 31, 2024:

 Schedule of activity related to royalty interests  

    June 30,  2025  
    December 31,  2024 
  
    Beginning balance(1) 
    $1,369,899  
    $- 
  
    Additions 
     -  
     - 
  
    Amortization 
     (34,756) 
     - 
  
    Impairment 
     -  
     - 
  
    Ending balance 
    $1,335,143  
    $           - 

(1)The beginning balance
reflects the Company’s total royalty interest acquisitions as of June 30, 2025. A total of $1,369,899 royalty interests had been
acquired as of March 31, 2025.

Accrued
royalty income is estimated and recognized in the month oil is produced and royalty income is earned. The difference between accrued
royalty income and the amount received is adjusted when royalty payments are received. Initial payments may not be received until one
hundred and twenty days following the transfer of title, or until the third or fourth quarter of 2025. Thereafter, it is estimated that
payments will be received thirty to ninety days from the date of production. The performance and accuracy of third-party producers who
send royalty to payments to the Company, production volumes, and prices of oil and natural gas, may materially impact our royalty income
receivable amounts.

Accrual
of estimated royalty income were $75,000 and $0 for the three months ended June 30, 2025 and 2024, and $77,000 and $0 for the six months
ended June 30, 2025 and 2024, respectively. Royalty payments actually received were $0 and $0 for the three months ended June 30, 2025
and 2024 and $0 and $0, the six months ended June 30, 2025 and 2024, respectively.

The
Company monitors changes in market conditions, commodity prices, available production volumes, and other factors, which may materially
impact the recoverability of our royalty interests.

Subsequent to quarter end, the Company received a total