Spindletop Oil & Gas Co. Reports 17% Revenue Increase to $1.2M in Q1 2025

Spindletop Oil & Gas Co. reported a total revenue of $1,195,000 for the first quarter of 2025, marking an increase of approximately 17% from $1,021,000 in the same period of 2024. The rise in revenue was primarily driven by a significant increase in natural gas revenues, which surged by 74.2% to $519,000, compared to $298,000 in the prior year. Oil and gas revenues also saw a notable increase, reaching $1,052,000, up from $892,000, attributed to higher gas production and improved natural gas prices. However, oil sales experienced a decline, falling to $533,000 from $594,000, reflecting a decrease in sales volume and a slight drop in average prices.

The company's expenses for the first quarter of 2025 totaled $1,236,000, an increase from $1,167,000 in the previous year. This rise was driven by higher lease operating expenses, which increased by 38.8% to $290,000, and general and administrative expenses, which rose by 8.6% to $721,000. Despite the increase in expenses, Spindletop reported a net income of $150,000 for the quarter, compared to $78,000 in the same period last year, resulting in earnings per share of $0.02, up from $0.01.

In terms of operational developments, Spindletop participated in the drilling of a new horizontal well in Major County, Oklahoma, during the first quarter. The Fort 22.27-H well, which targets the Mississippian Lime, was spud on February 28, 2025, and is currently awaiting completion. The company holds a 2.34375% non-operated working interest in this well. Additionally, the company’s total liabilities increased slightly to $11,350,000 as of March 31, 2025, from $11,013,000 at the end of 2024, while total shareholders' equity rose to $16,711,000 from $16,561,000.

Looking ahead, Spindletop Oil & Gas Co. remains cautious about the impact of fluctuating commodity prices on its operations and financial condition. The company noted that its cash flows and financial results are heavily dependent on prevailing oil and natural gas prices, which can be influenced by various factors including market conditions and geopolitical events. Management is actively evaluating its capital needs and may seek additional financing to support its exploration and development programs if necessary. The company is also assessing the implications of upcoming changes in the OTC Markets structure, which could affect the liquidity of its common stock.