The Reserve Petroleum Company is an independent oil and gas exploration and production firm managing extensive mineral properties across multiple states, with significant revenues from oil, gas, and mineral interests, and a focus on exploration, development, and investment activities.

# Company Overview: The Reserve Petroleum Company

## Business Focus
- The Reserve Petroleum Company is an independent oil and gas exploration and production company organized under Delaware law since 1931.
- Its primary activities involve managing mineral properties, exploring for, developing, and producing oil and natural gas reserves.

## Operations and Assets
- The company manages approximately **913** oil and natural gas properties.
- About **81%** of these properties are located in Oklahoma and Texas, accounting for roughly **75%** of annual oil and gas sales.
- The remaining properties are scattered across Arkansas, Kansas, South Dakota, Colorado, Montana, Nebraska, New Mexico, Utah, West Virginia, Ohio, and Wyoming.
- No individual property accounts for more than 10% of annual oil and gas sales.

## Mineral Interests and Revenue
- Holds **88,333 net acres** of non-producing mineral interests across 12 states.
- In 2024, generated **$3,460,997** (23% of oil & gas revenue) from royalty interests.
- Royalty interests are in **3 gross wells** with an **average royalty interest of 1.10%**.

## Production
- As of December 31, 2024, had **164 gross wells** (26.2 net) mainly producing gas, and **374 gross wells** (44.8 net) mainly producing oil.
- Owns **12,245 net acres** of producing land.
- Average sales prices for 2024: **$72.98 per barrel of oil** and **$2.25 per MCF of gas**.
- Production costs: **$3.09 per MCF** (gas) and **$70.78 per barrel** (oil).

## Exploration & Development
- Participated in drilling **19 development wells** in 2024, with **15** completing as producers.
- Participated in **11 exploratory wells** in 2024, with **4** successful as producers, **4** dry holes, and **3 in progress**.

## Investment & Ownership
- Diversifies investments in securities, real estate, energy startups, and other assets.
- Major investments include interests in real estate entities, startup funds, and energy-related projects.
- Owns or has interests in multiple LLCs and partnerships, including companies involved in land development, office building ownership, and water services.

## Financial Summary (2024)
- **Net income attributable to common stockholders:** **$2,029,278** (compared to a net loss of $55,648 in 2023)
- **Revenue:** **$15,995,663** (up 20% from $13,376,102 in 2023)
- **Net income per share:** **$13.18** (significantly improved from a loss of $0.36 in 2023)
- **Dividends paid:** **$10.00 per share** on its common stock (in 2024 and 2023)
- **Number of shares outstanding:** **151,779** as of March 10, 2025
- **Employees:** 8 (all working at corporate headquarters)

## Customers
- Two major customers accounted for over 10% of revenue:
  - Crawley Petroleum Corporation: **$3,109,026** (22% of total sales)
  - Mewbourne Oil Company: **$1,692,362** (12% of total sales)

## Market & Stock Trading
- Shares are publicly traded on the Pink Sheet and OTC Bulletin Board under the symbol **RSRV**.
- As of March 10, 2025, approximately **1,442** stockholders of record.

This summary captures the company's core business activities, assets, operational statistics, and financial performance based solely on the provided document.

The Reserve Petroleum Company is focused on the management and exploration of oil and natural gas properties across the central United States.

# Company Overview: The Reserve Petroleum Company

## Business Operations
The Reserve Petroleum Company is primarily engaged in the management of its owned mineral properties, as well as the exploration and development of oil and natural gas properties. The Company focuses its operations primarily in the north and south-central United States, specifically in Arkansas, Kansas, Oklahoma, South Dakota, Texas, and Wyoming. 

### Key Business Segments
1. **Oil and Natural Gas Properties**: 
   - The Company owns non-producing mineral interests totaling **88,214 net acres** out of **256,534 gross acres** across various states. 
   - In 2023, they had royalties in **17 gross wells** producing wells, contributing approximately **$3.26 million** in revenue from royalty interests, which constitutes **26%** of total oil and gas sales.
   - The Company also participated in drilling **17 development wells** and **19 exploratory wells** in 2023.

2. **Owned Mineral Property Management**:
   - The Company manages a substantial amount of its own mineral properties, focusing on acquiring leases and participating in drilling as a working interest owner.

3. **Investment Program**:
   - The investment strategy aims to achieve moderate growth and earnings through diversified investments in marketable securities, real estate, and energy sector ventures.

4. **Water Well Drilling**:
   - Through its subsidiary, Trinity Water Services, LLC, the company engages in water well drilling services.

### Revenue and Financial Performance
- **Revenue**: In 2023, The Reserve Petroleum Company generated **$13.38 million** in total operating revenues, a decrease from **$16.17 million** in 2022.
- **Oil and Gas Sales**: Revenue from oil and gas sales was **$12.49 million** in 2023, down from **$14.87 million** in 2022, largely due to lower natural gas prices.
- **Net Income**: The Company reported a net loss of **$55,648** for 2023, compared to a net income of **$4 million** in 2022.

### Employee Base
- As of December 31, 2023, The Reserve Petroleum Company employed a total of **seven employees**, including executive officers. All employees are based in the corporate office.

### Customer Base
- The Company primarily relies on a limited number of customers, reporting that **one customer** accounted for **11%** of total oil and gas sales in 2023. Most sales were conducted under short-term contracts based on spot market prices.

## Conclusion
The Reserve Petroleum Company's core business revolves around managing its mineral interests and engaging in oil and gas exploration and development, alongside its investment initiatives. Despite a decline in revenue and a reported loss in 2023, the Company's diversified approach and reduced operating costs indicate a commitment to sustaining profitability in a fluctuating market. The organization's size reflects a focused operation with a small but committed workforce to manage its business needs effectively.

RESERVE PETROLEUM CO

10-K / March 31, 2025

10-K / March 28, 2024

10-K / March 31, 2025

Company Overview: The Reserve Petroleum Company

Business Focus

Operations and Assets

Mineral Interests and Revenue

Production

Exploration & Development

Investment & Ownership

Financial Summary (2024)

Customers

Market & Stock Trading