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Note 3 - Going Concern
12 Months Ended
Jul. 31, 2026
Notes to Financial Statements  
Substantial Doubt about Going Concern [Text Block]

NOTE 3 — GOING CONCERN

 

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which contemplate the continuation of the Company as a going concern and the realization of assets and satisfaction of liabilities in the normal course of business.

 

For the year ended July 31, 2026, the Company incurred a net loss of $474,918 and used $283,432 in cash from operating activities. As of July 31, 2026, the Company had an accumulated deficit of $4,396,713, a working capital deficit of $251,303, and cash of $10,488. The Company has incurred recurring operating losses and has limited financial resources available to fund its ongoing operations and contractual obligations. These conditions raise substantial doubt about the Company's ability to continue as a going concern within one year after the date the financial statements are issued.

 

Management intends to address these conditions by seeking additional financing through the issuance of equity securities, debt financing arrangements, and other available sources of capital. The Company also intends to continue generating revenue from its existing oil and gas production activities while managing operating expenditures and pursuing opportunities to improve its financial position. However, there can be no assurance that the Company will be successful in obtaining sufficient additional financing or generating adequate cash flows from operations to meet its obligations as they become due.

 

Management's plans have not alleviated the substantial doubt regarding the Company's ability to continue as a going concern. The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern and do not include any adjustments to the carrying amounts or classification of assets and liabilities that might be necessary if the Company is unable to continue operations.