10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549 

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2021

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 1-31905

CKX Lands, Inc.

(Exact name of registrant as specified in its charter)

Louisiana		72-0144530
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)
2417 Shell Beach Drive
Lake Charles, LA		70601
(Address of principal executive offices)		(Zip Code)
	(337) 493-2399
	(Registrant’s telephone number)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock with no par value	CKX	NYSE American

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes  ☒     No  ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).     Yes  ☒     No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).     Yes ☐     No  ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:1,942,495 shares of common stock are issued and outstanding as of November 5, 2021.

TABLE OF CONTENTS

		Page
PART I.	FINANCIAL INFORMATION
ITEM 1.	FINANCIAL STATEMENTS
	BALANCE SHEETS AS OF SEPTEMBER 30, 2021 (UNAUDITED) AND DECEMBER 31, 2020
	STATEMENTS OF OPERATIONS FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020 (UNAUDITED)
	STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020 (UNAUDITED)
	STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020 (UNAUDITED)
	NOTES TO FINANCIAL STATEMENTS AS OF SEPTEMBER 30, 2021 (UNAUDITED)	1
ITEM 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	5
ITEM 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	10
ITEM 4.	CONTROLS AND PROCEDURES	10
PART II.	OTHER INFORMATION
ITEM 1	LEGAL PROCEEDINGS	11
ITEM 1A.	RISK FACTORS	11
ITEM 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	11
ITEM 3.	DEFAULTS UPON SENIOR SECURITIES	11
ITEM 4.	MINE SAFETY DISCLOSURES	11
ITEM 5.	OTHER INFORMATION	11
ITEM 6.	EXHIBITS	11
SIGNATURES		12

PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

CKX LANDS, INC.

BALANCE SHEETS

	September 30,		December 31,
	2021		2020
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	7,387,932	$	6,463,255
Equity investment in mutual funds		502,794		502,595
Accounts receivable		60,214		98,515
Prepaid expense and other assets		51,978		8,711
Total current assets		8,002,918		7,073,076
Property and equipment, net		9,085,213		9,243,621
Total assets	$	17,088,131	$	16,316,697
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Trade payables and accrued expenses	$	112,080	$	110,786
Unearned revenue		201,739		231,409
Income tax payable		10,146		-
Total current liabilities		323,965		342,195
Deferred income tax payable		187,664		187,664
Total liabilities		511,629		529,859
Stockholders' equity:
Common stock, 3,000,000 shares authorized, no par value, 1,942,495 shares issued and outstanding as of September 30, 2021 and December 31, 2020		59,335		59,335
Retained earnings		16,517,167		15,727,503
Total stockholders' equity		16,576,502		15,786,838
Total liabilities and stockholders' equity	$	17,088,131	$	16,316,697

The accompanying notes are an integral part of these unaudited financial statements.

CKX LANDS, INC.

STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Revenues:
Oil and gas	$	108,208		$	50,811		$	257,555		$	233,789
Timber sales		11,936			59,416			114,877			71,052
Surface revenue		43,819			41,032			138,548			196,340
Surface revenue - related party		9,583			9,583			28,749			28,749
Total revenue		173,546			160,842			539,729			529,930
Costs, expenses and (gains):
Oil and gas costs		12,264			5,226			29,930			28,034
Timber costs		3,255			666			8,468			3,870
Surface costs		-			198			-			456
General and administrative expense		141,136			121,426			392,538			457,637
Depreciation expense		507			1,326			1,517			1,793
Gain on sale of land		(261,316	)		(41,331	)		(851,582	)		(295,238	)
Total costs, expenses and (gains)		(104,154	)		87,511			(419,129	)		196,552
Income from operations		277,700			73,331			958,858			333,378
Interest income		3,622			6,914			13,075			55,170
Income before income taxes		281,322			80,245			971,933			388,548
Federal and state income tax expense:
Current		92,813			30,191			182,269			68,322
Total income taxes		92,813			30,191			182,269			68,322
Net income	$	188,509		$	50,054		$	789,664		$	320,226
Earnings per share, basic and diluted	$	0.10		$	0.03		$	0.41		$	0.16
Weighted average shares outstanding, basic and diluted		1,942,495			1,942,495			1,942,495			1,942,495

The accompanying notes are an integral part of these unaudited financial statements.

CKX LANDS, INC.

STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY

THREE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020

(Unaudited)

	Common Stock				Retained		Total
	Shares		Amount		Earnings		Equity
Balances, June 30, 2021		1,942,495	$	59,335	$	16,328,658	$	16,387,993
Net income		-		-		188,509		188,509
Balances, September 30, 2021		1,942,495	$	59,335	$	16,517,167	$	16,576,502
	Common Stock				Retained		Total
	Shares		Amount		Earnings		Equity
Balances, June 30, 2020		1,942,495	$	59,335	$	15,658,292	$	15,717,627
Net income		-		-		50,054		50,054
Balances, September 30, 2020	$	1,942,495	$	59,335	$	15,708,346	$	15,767,681

CKX LANDS, INC.

STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY

NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020

(Unaudited)

	Common Stock				Retained		Total
	Shares		Amount		Earnings		Equity
Balances, December 31, 2020		1,942,495	$	59,335	$	15,727,503	$	15,786,838
Net income		-		-		789,664		789,664
Balances, September 30, 2021		1,942,495	$	59,335	$	16,517,167	$	16,576,502
	Common Stock				Retained		Total
	Shares		Amount		Earnings		Equity
Balances, December 31, 2019		1,942,495	$	59,335	$	15,388,120	$	15,447,455
Net income		-		-		320,226		320,226
Balances, September 30, 2020	$	1,942,495	$	59,335	$	15,708,346	$	15,767,681

The accompanying notes are an integral part of these unaudited financial statements.

CKX LANDS, INC.

STATEMENTS OF CASH FLOWS

(Unaudited)

	Nine Months Ended
	September 30,
	2021			2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	789,664		$	320,226
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation expense		1,517			1,793
Depletion expense		534			683
Gain on sale of land		(851,582	)		(295,238	)
Unrealized loss on equity investment in mutual funds		-			1,503
Changes in operating assets and liabilities:
(Increase) decrease in current assets		14,204			8,455
Increase (decrease) in current liabilities		(18,230	)		139,117
Net cash provided by (used in) operating activities		(63,893	)		176,539
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of certificates of deposit		-			(1,985,767	)
Proceeds from maturity of certificates of deposit		-			3,489,163
Purchases of mutual funds		(199	)		(3,708	)
Costs of reforesting timber		(17,650	)		-
Purchases of land		(4,063	)		-
Proceeds from the sale of fixed assets		1,010,482			299,441
Net cash provided by investing activities		988,570			1,799,129
NET INCREASE IN CASH AND CASH EQUIVALENTS		924,677			1,975,668
Cash and cash equivalents, beginning of the period		6,463,255			3,280,289
Cash and cash equivalents, end of the period	$	7,387,932		$	5,255,957
SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid for interest	$	-		$	-
Cash paid for income taxes	$	171,423		$	30,000
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING ACTIVITIES
Sale of land accrued in accounts receivable	$	19,170		$	-

The accompanying notes are an integral part of these unaudited financial statements.

CKX LANDS, INC.

NOTES TO UNAUDITED FINANCIAL STATEMENTS

The “Company,” “we,” “us,” and “our,” refer to CKX Lands, Inc.

Note 1:      Significant Accounting Policies and Recent Accounting Pronouncements

Significant Accounting Policies

Basis of Presentation

The accompanying unaudited interim financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures have been omitted pursuant to such rules and regulations. In the opinion of management, the accompanying financial statements include normal recurring adjustments that are necessary for a fair presentation of the results for the interim periods presented. These financial statements should be read in conjunction with our audited financial statements and notes thereto for the fiscal year ended December 31, 2020 included in our Annual Report on Form 10-K. The results of operations for the nine months ended September 30, 2021 are not necessarily indicative of results to be expected for the full fiscal year or any other periods.

The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires management to make a number of estimates and judgments that affect the reported amounts of assets, liabilities, expenses, and related disclosures. Actual results may differ from these estimates.

Risks and Uncertainties

In December 2019, a novel coronavirus disease (“COVID-19”) was reported and in January 2020, the World Health Organization (“WHO”) declared it a Public Health Emergency of International Concern. On February 28, 2020, the WHO raised its assessment of the COVID-19 threat from high to very high at a global level due to the continued increase in the number of cases and affected countries, and on March 11, 2020, the WHO characterized COVID-19 as a pandemic. While the Company did not incur significant disruptions to its operations during 2020 and in 2021 to date from COVID-19, it is unable at this time to predict the impact that COVID-19 will have on its business, financial position and operating results in future periods due to numerous uncertainties and is closely monitoring the impact of the pandemic on all aspects of its business.

Concentration of Credit Risk

The Company maintains its cash balances in seven financial institutions. The amount on deposit in each financial institution is insured by the Federal Deposit Insurance Corporation up to $250,000. The Company has not experienced any losses in such accounts and management believes the Company is not exposed to any significant credit risk on its cash balances.

Impairment of Long-lived Assets

Long-lived assets, such as land, timber and property, buildings, and equipment, are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. If events or circumstances arise that require a long-lived asset to be tested for potential impairment, the Company first compares undiscounted cash flows expected to be generated by the asset to its carrying value. If the carrying amount of the long-lived asset is not recoverable on an undiscounted cash flow basis, an impairment charge is recognized to the extent that the carrying value exceeds the fair value. Fair value may be determined through various valuation techniques including quoted market prices, third-party independent appraisals and discounted cash flow models. No impairment charges were recorded during the nine months ended September 30, 2021 and 2020.

Basic and Diluted Earnings per share

Net earnings per share is provided in accordance with FASB ASC 260-10, "Earnings per Share". Basic earnings per share is computed by dividing earnings available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive income per share excludes all potential common shares if their effect is anti-dilutive. As of September 30, 2021, and 2020 there were no dilutive shares outstanding.

1

 

Dividends

The Company does not currently pay dividends on a regular basis.  In determining whether to declare a dividend, the Board of Directors takes into account the Company’s prior fiscal year’s cash flows from operations and the current economic conditions, among other information deemed relevant. Dividends paid per common stock are based on the weighted average number of common stock shares outstanding during the period. No dividends were declared during the nine months ended September 30, 2021 and 2020.

Pursuant to a dividend reversion clause in the Company’s Articles of Incorporation, dividends not claimed within one year after the dividend becomes payable will expire and revert in full ownership to the Company and the Company’s obligation to pay such dividend will cease. Any dividend reversions are recorded in equity upon receipt.

Recent Accounting Pronouncements

There are various updates recently issued and these are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

Note 2:      Fair Value of Financial Instruments

ASC 820 Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value and enhances disclosures about fair value measurements. It defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities that are not active; and model-driven valuations whose inputs are observable or whose significant value drivers are observable. Valuations may be obtained from, or corroborated by, third-party pricing services.

Level 3: Unobservable inputs to measure fair value of assets and liabilities for which there is little, if any market activity at the measurement date, using reasonable inputs and assumptions based upon the best information at the time, to the extent that inputs are available without undue cost and effort.

The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it was practical to estimate that value:

Class	Methods and/or Assumptions
Cash and cash equivalents:	Carrying value approximates fair value due to its readily convertible characteristic.
Equity Investment in mutual funds:	Carrying value adjusted to and presented at fair market value.

    The estimated fair values of the Company's financial instruments are as follows:

			September 30, 2021				December 31, 2020
Financial Assets:	Level		Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents		1	$	7,387,932	$	7,387,932	$	6,463,255	$	6,463,255
Equity investment in mutual funds		1		504,568		502,794		504,369		502,595
Total			$	7,892,500	$	7,890,726	$	6,967,624	$	6,965,850

2

 

Note 3:      Property and Equipment

Property and equipment consisted of the following:

	September 30,			December 31,
	2021			2020
Land	$	6,844,541		$	7,018,547
Timber		2,214,057			2,196,942
Equipment		108,602			108,602
		9,167,200			9,324,091
Accumulated depreciation		(81,987	)		(80,470	)
Total	$	9,085,213		$	9,243,621

During the nine months ended September 30, 2021 and 2020, the Company had a gain on sale of land of $851,582 and $295,238, respectively.

Depreciation expense was $1,517 and $1,793 for the nine months ended September 30, 2021 and 2020, respectively.

Depletion expense was $534 and $683 for the nine months ended September 30, 2021 and 2020, respectively.

Note 4:      Segment Reporting

The Company’s operations are classified into three principal operating segments that are all located in the United States: oil and gas, timber and surface. The Company’s reportable business segments are strategic business units that offer income from different products. They are managed separately due to the unique aspects of each area.

The tables below present financial information for the Company’s three operating business segments:

	Nine Months Ended		Year Ended
	September 30,		December 31,
	2021		2020
Identifiable Assets, net of accumulated depreciation
Timber	$	2,214,057	$	2,196,942
General corporate assets		14,874,074		14,119,755
Total		17,088,131		16,316,697
Capital expenditures:
Timber		17,650		9,321
Surface		4,063		-
General corporate assets		-		-
Total segment costs and expenses	$	21,713	$	9,321
Depreciation and depletion
Oil and gas		-		-
Timber		534		974
General corporate assets		1,517		2,303
Total	$	2,051	$	3,277

3

 

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020
Revenues:
Oil and gas	$	108,208	$	50,811		$	257,555	$	233,789
Timber sales		11,936		59,416			114,877		71,052
Surface revenue		53,402		50,615			167,297		225,089
Total segment revenues		173,546		160,842			539,729		529,930
Cost and expenses:
Oil and gas costs		12,264		5,226			29,930		28,034
Timber costs		3,255		666			8,468		3,870
Surface costs		-		198			-		456
Total segment costs and expenses		15,519		6,090			38,398		32,360
Net income from operations:
Oil and gas		95,944		45,585			227,625		205,755
Timber		8,681		58,750			106,409		67,182
Surface		53,402		50,417			167,297		224,633
Total segment net income from operations		158,027		154,752			501,331		497,570
Unallocated other income (expense) before income taxes		123,295		(74,507	)		470,602		(109,022	)
Income before income taxes	$	281,322	$	80,245		$	971,933	$	388,548

There are no intersegment sales reported in the accompanying statements of operations. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in the Company’s Form 10-K for the year ended December 31, 2020. The Company evaluates performance based on income or loss from operations before income taxes excluding any nonrecurring gains and losses. Income before income tax represents net revenues less costs and expenses less other income and expenses of a general corporate nature. Identifiable assets by segment are those assets used solely in the Company's operations within that segment.

Note 5:      Income Taxes

In accordance with generally accepted accounting principles, the Company has analyzed its filing positions in federal and state income tax returns that remain subject to examination, generally those filed in the last three years. The Company believes that all filing positions are highly certain and that all income tax filing positions and deductions would be sustained upon a taxing jurisdiction’s audit. Therefore, no reserve for uncertain tax positions is required. No interest or penalties have been levied against the Company and none are anticipated.

Note 6:      Related Party Transactions

The Company and Stream Wetlands Services, LLC (“Stream Wetlands”) are parties to an option to lease agreement dated April 17, 2017 (the “OTL”). The OTL provided Stream Wetlands an option to lease certain lands from the Company, subject to the negotiation and execution of a mutually acceptable lease form. On February 28, 2021, the Company renewed the OTL for a period of 12 months through February 28, 2022 in exchange for a payment by Stream Wetlands of $38,333, and Stream Wetlands may extend the option for one more year through February 28, 2023 upon payment of an additional $38,333. William Gray Stream, the President and Treasurer and a director of the Company, is the president of Stream Wetlands.

The Company’s President and Treasurer is also the President of Matilda Stream Management, Inc. Matilda Stream Management provides administrative and accounting services to the Company for no compensation.

The Company’s immediate past President and current Secretary and director is a partner in Stockwell, Sievert, Viccellio, Clements, LLP (“Stockwell”). Beginning in August 2018, the Company began renting office space from Stockwell. The Company paid Stockwell $750 per month as rent for office space and associated services, $2,000 per month to reimburse the firm for an administrative assistant and reimbursed Stockwell for miscellaneous office supplies and legal expenses. For the nine months ended September 30, 2020, the Company recorded $22,407 in total of such expense, of which $6,000 was rent expense. These expenses were paid through August 31, 2020 and Stockwell ceased providing these services to the Company on August 31, 2020.

Surface revenue-related party was $28,749 for each of the nine months ended September 30, 2021 and 2020. All of this amount was attributable to the OTL with Stream Wetlands described above.

4

 

Note 7:      Concentrations

Revenue from the Company's five largest customers for the nine months ended September 30, 2021 and 2020, respectively were:

	Nine Months Ended September 30,
Count	2021		2020
1	$	61,350	$	74,326
2		54,300		47,452
3		50,095		40,289
4		42,294		38,333
5		40,821		32,108

ITEM 2. MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our unaudited financial statements and related notes included in this Quarterly Report on Form 10-Q and the audited financial statements and notes thereto as of and for the year ended December 31, 2020 and the related Management’s Discussion and Analysis of Financial Condition and Results of Operations, both of which are contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2020, filed on March 25, 2021.

Cautionary Statement

This Management’s Discussion and Analysis includes a number of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) that reflect our current views with respect to future events and financial performance. Forward-looking statements are often identified by words like “believe,” “expect,” “plan,” “estimate,” “anticipate,” “intend,” “project,” “will,” “predicts,” “seeks,” “may,” “would,” “could,” “potential,” “continue,” “ongoing,” “should” and similar expressions, or words which, by their nature, refer to future events. You should not place undue certainty on these forward-looking statements, which apply only as of the date of this Form 10-Q. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from historical results or from our predictions, including those risks described in our Annual Report on Form 10-K, this Form 10-Q and in our other public filings. We undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events, or otherwise.

Overview

CKX Lands, Inc., a Louisiana corporation, began operations in 1930 under the name Calcasieu Real Estate & Oil Co., Inc. It was originally organized as a spin-off by a bank operating in southwest Louisiana. The purpose of the spin-off was to form an entity to hold non-producing mineral interests which regulatory authorities required the bank to charge off. Over the years, as some of the mineral interests began producing, the Company used part of the proceeds to acquire land. In 1990, the Company made its largest acquisition when it was one of four purchasers who bought a fifty percent undivided interest in approximately 35,575 acres in southwest Louisiana.

Today the Company’s income is derived from mineral royalties, timber sales and surface payments from its lands. CKX receives income from royalty interests and mineral leases related to oil and gas production, timber sales, land sales and surface rents. Although CKX is active in the management of its land and planting and harvesting its timber, CKX is passive in the production of income from oil and gas production in that CKX does not explore for oil and gas or operate wells. These oil and gas activities are performed by unrelated third parties.

CKX leases its property to oil and gas operators and collects income through its land ownership in the form of oil and gas royalties and lease rentals and geophysical revenues. The Company’s oil and gas income fluctuates as new oil and gas production is discovered on Company land and then ultimately depletes or becomes commercially uneconomical to produce. The volatility in the daily commodity pricing of a barrel of oil or a thousand cubic feet, or “MCF,” of gas will also cause fluctuations in the Company’s oil and gas income. These commodity prices are affected by numerous factors and uncertainties external to CKX’s business and over which it has no control, including the global supply and demand for oil and gas, the effect of the COVID-19 pandemic and government responses to the pandemic on supply and demand, and domestic and global economic conditions, among other factors.

CKX has small royalty interests in 20 different producing oil and gas fields. The size of each royalty interest is determined by the Company’s net ownership in the acreage unit for the well. CKX’s royalty interests range from 0.0045% for the smallest to 7.62% for the largest. As the Company does not own or operate the wells, it does not have access to any reserve information. Eventually, the oil and gas reserves under the Company’s current land holdings will be depleted.

5

Timber income is derived from sales of timber on Company lands. The timber income will fluctuate depending on our ability to secure stumpage agreements in the regional markets, timber stand age, and/or stumpage commodity prices. Timber is a renewable resource that the Company actively manages.

Surface income is earned from various recurring and non-recurring sources. Recurring surface income is earned from lease arrangements for farming, recreational and commercial uses. Non-recurring surface income can include such activities as pipeline right of ways, and temporary worksite rentals.

In managing its lands, the Company relies on and has established relationships with real estate, forestry, environmental and agriculture consultants as well as attorneys with legal expertise in general corporate matters, real estate, and minerals.

The Company actively searches for additional real estate for purchase in Louisiana with a focus on southwest Louisiana and on timberland and agricultural land. When evaluating unimproved real estate for purchase, the Company will consider numerous characteristics including but not limited to, timber fitness, agriculture fitness, future development opportunities and/or mineral potential. When evaluating improved real estate for purchase, the Company will consider characteristics including, but not limited to, geographic location, quality of existing revenue streams, and/or quality of the improvements.

The Company’s Board of Directors regularly evaluates a range of strategic opportunities that could increase shareholder value, and the Board and management conduct due diligence activities in connection with such opportunities. These include opportunities for growth though the acquisitions of land or other assets, business combinations, dispositions of assets and reinvestment of the proceeds, and other alternatives. The cost and terms of any financing to be raised in conjunction with any growth opportunity, including the Company’s ability to raise debt or equity capital on terms and at costs satisfactory to the Company, and the effect of such opportunities on the Company’s balance sheet, are critical considerations in any such evaluation. We cannot assure you that the Board’s evaluations or the Company’s due diligence activities will result in any transaction or other course of action.

Recent Developments

In the first quarter of 2019, the Company began developing several ranchette-style subdivisions on certain of its lands in Calcasieu and Beauregard Parishes using existing road rights of way.  The Company has identified demand in those areas for ranchette-style lots, which consist of more than three acres each, and the Board of Directors and management believe this project will allow the Company to realize a return on its investment in the applicable lands after payment of expenses.  The Company has completed and recorded plats for three subdivisions.  The three subdivisions are located on approximately 415 acres in Calcasieu Parish and approximately 160 acres in Beauregard Parish, and contain an aggregate of 39 lots.  As of September 30, 2021, the Company has closed on the sale of 19 of the 39 lots. As of the date of this report the Company sold one additional lot, and it is actively marketing the remaining lots.

The Company is working to identify additional undeveloped acres owned by the Company in Southwest Louisiana that would likewise be suitable for residential subdivisions.

Results of Operations

Summary of Results

The Company’s results of operations for the three months ended September 30, 2021, were driven primarily by a higher gain on the sale of land than in comparable period of 2020. The higher gain on the sale of land in the third fiscal quarter of 2021 is due to the variable nature of land sales. The Company’s results of operations for the nine months ended September 30, 2021 were driven primarily by a higher gain on the sale of land in the first nine months of 2021, offset by lower general and administrative expenses. The higher gain on sale of land in the first nine months of 2021 is due to the variable nature of land sales. The decrease in general and administrative expenses in the third quarter of 2021 was attributable to decreases in officer salaries, property management fees, and contract services partially offset by an increase in SEC filing fees and transfer agent fees.

6

Revenue – Three Months Ended September 30, 2021

Total revenues for the three months ended September 30, 2021 were $173,546, an increase of approximately 7.9% when compared with the same period in 2020. Total revenue consists of oil and gas, timber, and surface revenues. Components of revenues for the three months ended September 30, 2021 as compared to 2020, are as follows:

	Three Months Ended September 30,
	2021		2020		Change from Prior Year			Percent Change from Prior Year
Revenues:
Oil and gas	$	108,208	$	50,811	$	57,397			113.0	%
Timber		11,936		59,416		(47,480	)		(79.9	)%
Surface		53,402		50,615		2,787			5.5	%
Total revenues	$	173,546	$	160,842	$	12,704			7.9	%

Oil and Gas

Oil and gas revenues were 62% and 32% of total revenues for the three months ended September 30, 2021 and 2020, respectively. A breakdown of oil and gas revenues for the three months ended September 30, 2021 as compared to the three months ended September 30, 2020 is as follows:

	Three Months Ended September 30,
	2021		2020		Change from Prior Year		Percent Change from Prior Year
Oil	$	100,715	$	46,968	$	53,747		114.4	%
Gas		6,532		3,507		3,025		86.3	%
Lease and geophysical		961		336		625		186.0	%
Total revenues	$	108,208	$	50,811	$	57,397		113.0	%

CKX received oil and/or gas revenues from 64 and 89 wells during the three months ended September 30, 2021 and 2020, respectively.

The following schedule summarizes barrels and MCF produced and average price per barrel and per MCF for the three months ended September 30, 2021 and 2020:

	Three Months Ended
	September 30,
	2021		2020
Net oil produced (Bbl)(2)		1,653		1,260
Average oil sales price (per Bbl)(1,2)	$	60.94	$	37.28
Net gas produced (MCF)		1,991		2,227
Average gas sales price (per MCF)(1)	$	3.28	$	1.57

(1) Before deduction of production costs and severance taxes

(2) Excludes plant products

Oil revenues increased for the three months ended September 30, 2021, as compared to the three months ended September 30, 2020, by $53,747. Gas revenues increased for the three months ended September 30, 2021, as compared to the same period in 2020, by $3,025. As indicated from the schedule above, the increase in oil revenues was due to an increase in the net oil produced and an increase in the average oil sales price per barrel. The increase in gas revenues was due to an increase in average gas sales price per MCF partially offset by a decrease net gas produced.

Lease and geophysical revenues increased for the three months ended September 30, 2021, as compared to the three months ended September 30, 2020, by $625. These revenues are dependent on oil and gas producers’ activities, are not predictable and can vary significantly from year to year.

Timber

Timber revenue was $11,936 and $59,416 for the three months ended September 30, 2021 and 2020, respectively. The decrease in timber revenues was due to normal business variations in timber customers’ harvesting.

7

Surface

Surface revenues increased for the three months ended September 30, 2021, as compared to the three months ended September 30, 2020, by $2,787. This increase is due to a new one-time lease.

Revenue – Nine months Ended September 30, 2021

Total revenues for the nine months ended September 30, 2021 were $539,729, an increase of approximately $9,799 when compared with the same period in 2020. Total revenue consists of oil and gas, timber, and surface revenues. Components of revenues for the nine months ended September 30, 2021 as compared to 2020, are as follows:

	Nine Months Ended September 30,
	2021		2020		Change from Prior Year			Percent Change from Prior Year
Revenues:
Oil and gas	$	257,555	$	233,789	$	23,766			10.2	%
Timber sales		114,877		71,052		43,825			61.7	%
Surface revenue		167,297		225,089		(57,792	)		(25.7	)%
Total revenues	$	539,729	$	529,930	$	9,799			1.8	%

Oil and Gas

Oil and gas revenues were 48% and 44% of total revenues for the nine months ended September 30, 2021 and 2020, respectively. A breakdown of oil and gas revenues for the nine months ended September 30, 2021 as compared to the nine months ended September 30, 2020 is as follows:

	Nine Months Ended September 30,
	2021		2020		Change from Prior Year		Percent Change from Prior Year
Oil	$	226,161	$	204,426	$	21,735		10.6	%
Gas		28,193		27,569		624		2.3	%
Lease and geophysical		3,201		1,794		1,407		78.4	%
Total revenues	$	257,555	$	233,789	$	23,766		10.2	%

CKX received oil and/or gas revenues from 70 and 89 wells during the nine months ended September 30, 2021 and 2020, respectively.

The following schedule summarizes barrels and MCF produced and average price per barrel and per MCF for the nine months ended September 30, 2021 and 2020:

	Nine Months Ended
	September 30,
	2021		2020
Net oil produced (Bbl)(2)		3,975		4,380
Average oil sales price (per Bbl)(1,2)	$	56.90	$	46.67
Net gas produced (MCF)		9,275		13,066
Average gas sales price (per MCF)(1)	$	3.04	$	2.11

(1) Before deduction of production costs and severance taxes

(2) Excludes plant products

Oil revenues increased for the nine months ended September 30, 2021, as compared to the nine months ended September 30, 2020, by $21,735. Gas revenues increased for the nine months ended September 30, 2021, as compared to the same period in 2020, by $624. As indicated from the schedule above, the increase in oil revenues was due to an increase in the average oil sales price per barrel partially offset by a decrease in the net oil produced. The increase in gas revenues was due to an increase in the average price per MCF partially offset by a decrease in net gas produced.

Lease and geophysical revenues increased for the nine months ended September 30, 2021, as compared to the nine months ended September 30, 2020, by $1,407. These revenues are dependent on oil and gas producers’ activities, are not predictable and can vary significantly from year to year.

8

Timber

Timber revenue was $114,877 and $71,052 for the nine months ended September 30, 2021 and 2020, respectively. The increase in timber revenues was due to wet weather during the nine months of fiscal 2020 that limited customers’ ability to harvest timber and recognition of an expired stumpage agreement.

Surface

Surface revenues decreased for the nine months ended September 30, 2021, as compared to the nine months ended September 30, 2020, by $57,792. This decrease is due to a reduction in one-time right of way income.

Costs and Expenses – Three and Nine months Ended September 30, 2021

Oil and gas costs increased for the three and nine months ended September 30, 2021 as compared to the three and nine months ended September 30, 2020 by $7,038, and $1,896, respectively. These variances are due to the normal variations in year to year costs.

Timber costs increased for the three months ended September 30, 2021, as compared to the three months ended September 30, 2020, by $2,589. Timber costs increased for the nine months ended September 30, 2021, as compared to the nine months ended September 30, 2020, by $4,598. Timber costs are related to timber revenue.

General and administrative expenses increased for the three months ended September 30, 2021, as compared to the three months ended September 30, 2020, by $19,710. This is primarily due to an increase in legal fees, SEC filing fees and property taxes partially offset by a decrease in officer salaries. General and administrative expenses decreased for the nine months ended September 30, 2021, as compared to the nine months ended September 30, 2020, by $65,099. This is primarily due to a decrease in officer salaries, property management fees, and contract services partially offset by an increase in SEC filing fees and transfer agent fees.

Gain on Sale of Land – Three and Nine months Ended September 30, 2021

Gain on sale of land was $261,316 and $41,331 for the three months ended September 30, 2021 and 2020, respectively. Gain on sale of land was $851,582 and $295,238 for the nine months ended September 30, 2021 and 2020, respectively. For the nine months ended September 30, 2021, this consisted of a gain on sale of seventeen pieces of land including fourteen lots in subdivisions and unimproved land. For the nine months ended September 30, 2020, this consisted of a gain on sale of six pieces of land including five lots in subdivisions and one sale to local government for roadway construction.

Liquidity and Capital Resources

Sources of Liquidity

Current assets totaled $8,002,918 and current liabilities equaled $323,965 at September 30, 2021.

As of September 30, 2021 and December 31, 2020, the Company had no outstanding debt.

In the opinion of management, cash and cash equivalents are adequate for projected operations and possible land acquisitions.

Analysis of Cash Flows

Net cash provided by (used in) operating activities was ($63,893) and $176,539 for the nine months ended September 30, 2021 and September 30, 2020, respectively. The change was attributable primarily to the increase in net income offset by the increase on the gain on the sale of land.

Net cash provided by investing activities was $988,570 and $1,799,129 for the nine months ended September 30, 2021 and 2020, respectively.  For the nine months ended September 30, 2021, this primarily resulted from proceeds from the sale of fixed assets of $1,010,482 offset by purchases of mutual funds of $199, purchases of land of $4,063 and costs of reforesting timber of $17,650. For the nine months ended September 30, 2020, this primarily resulted from proceeds from maturity of certificates of deposit of $3,489,163 and the proceeds from the sale of fixed assets of $299,441 offset by purchases of certificates of deposit of $1,985,767 and purchases of mutual funds of $3,708.

Significant Accounting Polices and Estimates

There were no changes in our significant accounting policies and estimates during the nine months ended September 30, 2021 from those set forth in “Significant Accounting Policies and Estimates” in our Annual Report on Form 10-K for the year ended December 31, 2020.

9

Recent Accounting Pronouncements

See Note 1, Basis of Presentation and Recent Accounting Pronouncements, to our condensed financial statements included in this report for information regarding recently issued accounting pronouncements that may impact our financial statements.

Off-Balance Sheet Arrangements

During the nine months ended September 30, 2021, we did not have any relationships with unconsolidated organizations or financial partnerships, such as structured finance or special purpose entities that would have been established for the purpose of facilitating off-balance sheet arrangements.

ITEM 3. NOT APPLICABLE

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Pursuant to Rule 13a-15(b) and Rule 15d-15(b) under the Exchange Act, the Company’s principal executive and financial officer carried out an evaluation of the effectiveness of the Company’s disclosure controls and procedures (as defined under Rule 13a-15(e) or Rule 15d-15(e) under the Exchange Act) as of the end of the period covered by this Report. Disclosure controls and procedures mean controls and other procedures of an issuer that are designed to ensure that information required to be disclosed by the issuer in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer’s management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure. Based on its evaluation, management concluded that as of September 30, 2021, the Company’s disclosure controls and procedures were effective.

Changes in Internal Control Over Financial Reporting

There were no changes in the Company’s internal control over financial reporting during the fiscal quarter ended September 30, 2021 that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

10

PART II - OTHER INFORMATION

ITEMS 1 – 5.  NOT APPLICABLE

ITEM 6.  EXHIBITS

3.1	Restated Articles of Incorporation of the Registrant (incorporated by reference to Exhibit 3.1 to Form 10-K (File No. 001-31905) for the year ended December 31, 2018 filed on March 21, 2019).
3.2	Amendment to Articles of Incorporation of the Registrant (incorporated by reference to Exhibit 3.2 to Form 10-K (File No. 001-31905) for the year ended December 31, 2003 filed on March 19, 2004).
3.3	Articles of Amendment to the Restated Articles of Incorporation of the Registrant (incorporated by reference to Exhibit 3.3 to Form 10-K (File No. 001-31905) for the year ended December 31, 2018 filed on March 21, 2019).
3.4	Amended and Restated By-Laws of the Registrant (incorporated by reference to Exhibit 3.1 to Form 8-K (File No. 001-31905) filed on August 9, 2019).
31*	Certification of W. Gray Stream, President and Treasurer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32**	Certification of W. Gray Stream, President and Treasurer, pursuant to 18 U.S.C. Section 1350 and Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	Inline XBRL Instance
101.SCH	Inline XBRL Taxonomy Extension Schema
101.CAL	Inline XBRL Taxonomy Extension Calculation
101.DEF	Inline XBRL Taxonomy Extension Definition
101.LAB	Inline XBRL Taxonomy Extension Labels
101.PRE	Inline XBRL Taxonomy Extension Presentation
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).
*	Filed herewith
**	Furnished herewith

11

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: November 5, 2021

CKX LANDS, INC.

By:

/s/ W. Gray Stream

W. Gray Stream

President and Treasurer

(Principal executive and financial officer)

12

EX-31

Exhibit 31

CERTIFICATION

   I, W. Gray Stream, certify that:

1.	I have reviewed this Form 10-Q for the quarter ended September 30, 2021 (this “report”) of CKX Lands, Inc. (the “registrant”);
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a.	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under my supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to me by others within those entities, particularly during the period in which this report is being prepared;
b.	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under my supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.	Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report my conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d.	Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a.	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
b.	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

   Date: November 5, 2021

/s/ W. Gray Stream

W. Gray Stream

President and Treasurer

(Principal executive and financial officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350 AND

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the filing by CKX Lands, Inc. (the “Company”) of this Form 10-Q for the quarter ended September 30, 2021 (the “Report”), the undersigned hereby certifies, to the best of my knowledge, that:

(1)     The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)     The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: November 5, 2021

/s/ W. Gray Stream

W. Gray Stream

President and Treasurer

(Principal executive and financial officer)

XML

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Nov. 05, 2021
Document Information [Line Items]
Entity Central Index Key	0000352955
Entity Registrant Name	CKX LANDS, INC.
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2021
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	1-31905
Entity Incorporation, State or Country Code	LA
Entity Tax Identification Number	72-0144530
Entity Address, Address Line One	2417 Shell Beach Drive
Entity Address, City or Town	Lake Charles
Entity Address, State or Province	LA
Entity Address, Postal Zip Code	70601
City Area Code	337
Local Phone Number	493-2399
Title of 12(b) Security	Common Stock with no par value
Trading Symbol	CKX
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		1,942,495

XML

Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 7,387,932	$ 6,463,255
Equity investment in mutual funds	502,794	502,595
Accounts receivable	60,214	98,515
Prepaid expense and other assets	51,978	8,711
Total current assets	8,002,918	7,073,076
Property and equipment, net	9,085,213	9,243,621
Total assets	17,088,131	16,316,697
Current liabilities:
Trade payables and accrued expenses	112,080	110,786
Unearned revenue	201,739	231,409
Income tax payable	10,146
Total current liabilities	323,965	342,195
Deferred income tax payable	187,664	187,664
Total liabilities	511,629	529,859
Stockholders' equity:
Common stock, 3,000,000 shares authorized, no par value, 1,942,495 shares issued and outstanding as of September 30, 2021 and December 31, 2020	59,335	59,335
Retained earnings	16,517,167	15,727,503
Total stockholders' equity	16,576,502	15,786,838
Total liabilities and stockholders' equity	$ 17,088,131	$ 16,316,697

XML

Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares $ / shares in Thousands	Sep. 30, 2021	Dec. 31, 2020
Common Stock, no par value (in dollars per share)	$ 0	$ 0
Common Stock, shares authorized (in shares)	3,000,000	3,000,000
Common stock, shares issued (in shares)	1,942,495	1,942,495
Common Stock, shares outstanding (in shares)	1,942,495	1,942,495

XML

Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenues:
Total revenue	$ 173,546	$ 160,842	$ 539,729	$ 529,930
Costs, expenses and (gains):
General and administrative expense	141,136	121,426	392,538	457,637
Depreciation expense	507	1,326	1,517	1,793
Gain on sale of land	(261,316)	(41,331)	(851,582)	(295,238)
Total costs, expenses and (gains)	(104,154)	87,511	(419,129)	196,552
Income from operations	277,700	73,331	958,858	333,378
Interest income	3,622	6,914	13,075	55,170
Income before income taxes	281,322	80,245	971,933	388,548
Federal and state income tax expense:
Current	92,813	30,191	182,269	68,322
Total income taxes	92,813	30,191	182,269	68,322
Net income	$ 188,509	$ 50,054	$ 789,664	$ 320,226
Earnings per share, basic and diluted (in dollars per share)	$ 0.10	$ 0.03	$ 0.41	$ 0.16
Weighted average shares outstanding, basic and diluted (in shares)	1,942,495	1,942,495	1,942,495	1,942,495
Oil and Gas [Member]
Revenues:
Oil and gas	$ 108,208	$ 50,811	$ 257,555	$ 233,789
Costs, expenses and (gains):
Cost of goods and services sold	12,264	5,226	29,930	28,034
Timber [Member]
Revenues:
Oil and gas	11,936	59,416	114,877	71,052
Costs, expenses and (gains):
Cost of goods and services sold	3,255	666	8,468	3,870
Surface Leases, Unrelated Parties [Member]
Revenues:
Revenues, leases	43,819	41,032	138,548	196,340
Surface Leases, Related Parties [Member]
Revenues:
Revenues, leases	$ 9,583	9,583	$ 28,749	28,749
Surface Leases [Member]
Costs, expenses and (gains):
Cost of goods and services sold		$ 198		$ 456

XML

Statements of Changes in Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Retained Earnings [Member]	Total
Balances (in shares) at Dec. 31, 2019	1,942,495
Balances at Dec. 31, 2019	$ 59,335	$ 15,388,120	$ 15,447,455
Net income	$ 0	320,226	320,226
Balances (in shares) at Sep. 30, 2020	1,942,495
Balances at Sep. 30, 2020	$ 59,335	15,708,346	15,767,681
Balances (in shares) at Jun. 30, 2020	1,942,495
Balances at Jun. 30, 2020	$ 59,335	15,658,292	15,717,627
Net income	$ 0	50,054	50,054
Balances (in shares) at Sep. 30, 2020	1,942,495
Balances at Sep. 30, 2020	$ 59,335	15,708,346	15,767,681
Balances (in shares) at Dec. 31, 2020	1,942,495
Balances at Dec. 31, 2020	$ 59,335	15,727,503	15,786,838
Net income	$ 0	789,664	789,664
Balances (in shares) at Sep. 30, 2021	1,942,495
Balances at Sep. 30, 2021	$ 59,335	16,517,167	16,576,502
Balances (in shares) at Jun. 30, 2021	1,942,495
Balances at Jun. 30, 2021	$ 59,335	16,328,658	16,387,993
Net income	$ 0	188,509	188,509
Balances (in shares) at Sep. 30, 2021	1,942,495
Balances at Sep. 30, 2021	$ 59,335	$ 16,517,167	$ 16,576,502

XML

Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 789,664	$ 320,226
Depreciation expense	1,517	1,793
Depletion expense	534	683
Gain on sale of land	(851,582)	(295,238)
Unrealized loss on equity investment in mutual funds		1,503
Changes in operating assets and liabilities:
(Increase) decrease in current assets	14,204	8,455
Increase (decrease) in current liabilities	(18,230)	139,117
Net cash provided by (used in) operating activities	(63,893)	176,539
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of certificates of deposit		(1,985,767)
Proceeds from maturity of certificates of deposit		3,489,163
Purchases of mutual funds	(199)	(3,708)
Costs of reforesting timber	(17,650)
Purchases of land	(4,063)
Proceeds from the sale of fixed assets	1,010,482	299,441
Net cash provided by investing activities	988,570	1,799,129
NET INCREASE IN CASH AND CASH EQUIVALENTS	924,677	1,975,668
Cash and cash equivalents, beginning of the period	6,463,255	3,280,289
Cash and cash equivalents, end of the period	7,387,932	5,255,957
SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid for income taxes	171,423	30,000
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING ACTIVITIES
Sale of land accrued in accounts receivable	$ 19,170	$ 0

XML

Note 1 - Significant Accounting Policies and Recent Accounting Pronouncements

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

Note 1:      Significant Accounting Policies and Recent Accounting Pronouncements

Significant Accounting Policies

Basis of Presentation

The accompanying unaudited interim financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures have been omitted pursuant to such rules and regulations. In the opinion of management, the accompanying financial statements include normal recurring adjustments that are necessary for a fair presentation of the results for the interim periods presented. These financial statements should be read in conjunction with our audited financial statements and notes thereto for the fiscal year ended December 31, 2020 included in our Annual Report on Form 10-K. The results of operations for the nine months ended September 30, 2021 are not necessarily indicative of results to be expected for the full fiscal year or any other periods.

The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires management to make a number of estimates and judgments that affect the reported amounts of assets, liabilities, expenses, and related disclosures. Actual results may differ from these estimates.

Risks and Uncertainties

In December 2019, a novel coronavirus disease (“COVID-19”) was reported and in January 2020, the World Health Organization (“WHO”) declared it a Public Health Emergency of International Concern. On February 28, 2020, the WHO raised its assessment of the COVID-19 threat from high to very high at a global level due to the continued increase in the number of cases and affected countries, and on March 11, 2020, the WHO characterized COVID-19 as a pandemic. While the Company did not incur significant disruptions to its operations during 2020 and in 2021 to date from COVID-19, it is unable at this time to predict the impact that COVID-19 will have on its business, financial position and operating results in future periods due to numerous uncertainties and is closely monitoring the impact of the pandemic on all aspects of its business.

Concentration of Credit Risk

The Company maintains its cash balances in seven financial institutions. The amount on deposit in each financial institution is insured by the Federal Deposit Insurance Corporation up to $250,000. The Company has not experienced any losses in such accounts and management believes the Company is not exposed to any significant credit risk on its cash balances.

Impairment of Long-lived Assets

Long-lived assets, such as land, timber and property, buildings, and equipment, are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. If events or circumstances arise that require a long-lived asset to be tested for potential impairment, the Company first compares undiscounted cash flows expected to be generated by the asset to its carrying value. If the carrying amount of the long-lived asset is not recoverable on an undiscounted cash flow basis, an impairment charge is recognized to the extent that the carrying value exceeds the fair value. Fair value may be determined through various valuation techniques including quoted market prices, third-party independent appraisals and discounted cash flow models. No impairment charges were recorded during the nine months ended September 30, 2021 and 2020.

Basic and Diluted Earnings per share

Net earnings per share is provided in accordance with FASB ASC 260-10, "Earnings per Share". Basic earnings per share is computed by dividing earnings available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive income per share excludes all potential common shares if their effect is anti-dilutive. As of September 30, 2021, and 2020 there were no dilutive shares outstanding.

Dividends

The Company does not currently pay dividends on a regular basis.  In determining whether to declare a dividend, the Board of Directors takes into account the Company’s prior fiscal year’s cash flows from operations and the current economic conditions, among other information deemed relevant. Dividends paid per common stock are based on the weighted average number of common stock shares outstanding during the period. No dividends were declared during the nine months ended September 30, 2021 and 2020.

Pursuant to a dividend reversion clause in the Company’s Articles of Incorporation, dividends not claimed within one year after the dividend becomes payable will expire and revert in full ownership to the Company and the Company’s obligation to pay such dividend will cease. Any dividend reversions are recorded in equity upon receipt.

Recent Accounting Pronouncements

There are various updates recently issued and these are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

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Note 2 - Fair Value of Financial Instruments

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Fair Value Disclosures [Text Block]

Note 2:      Fair Value of Financial Instruments

ASC 820 Fair Value Measurements and Disclosures (“ASC 820”), defines fair value, establishes a framework for measuring fair value and enhances disclosures about fair value measurements. It defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value:

Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities that are not active; and model-driven valuations whose inputs are observable or whose significant value drivers are observable. Valuations may be obtained from, or corroborated by, third-party pricing services.

Level 3: Unobservable inputs to measure fair value of assets and liabilities for which there is little, if any market activity at the measurement date, using reasonable inputs and assumptions based upon the best information at the time, to the extent that inputs are available without undue cost and effort.

The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it was practical to estimate that value:

Class	Methods and/or Assumptions
Cash and cash equivalents:	Carrying value approximates fair value due to its readily convertible characteristic.
Equity Investment in mutual funds:	Carrying value adjusted to and presented at fair market value.

    The estimated fair values of the Company's financial instruments are as follows:

			September 30, 2021				December 31, 2020
Financial Assets:	Level		Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents		1	$	7,387,932	$	7,387,932	$	6,463,255	$	6,463,255
Equity investment in mutual funds		1		504,568		502,794		504,369		502,595
Total			$	7,892,500	$	7,890,726	$	6,967,624	$	6,965,850

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Note 3 - Property and Equipment

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Property, Plant and Equipment Disclosure [Text Block]

Note 3:      Property and Equipment

Property and equipment consisted of the following:

	September 30,			December 31,
	2021			2020
Land	$	6,844,541		$	7,018,547
Timber		2,214,057			2,196,942
Equipment		108,602			108,602
		9,167,200			9,324,091
Accumulated depreciation		(81,987	)		(80,470	)
Total	$	9,085,213		$	9,243,621

During the nine months ended September 30, 2021 and 2020, the Company had a gain on sale of land of $851,582 and $295,238, respectively.

Depreciation expense was $1,517 and $1,793 for the nine months ended September 30, 2021 and 2020, respectively.

Depletion expense was $534 and $683 for the nine months ended September 30, 2021 and 2020, respectively.

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Note 4 - Segment Reporting

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note 4:      Segment Reporting

The Company’s operations are classified into three principal operating segments that are all located in the United States: oil and gas, timber and surface. The Company’s reportable business segments are strategic business units that offer income from different products. They are managed separately due to the unique aspects of each area.

The tables below present financial information for the Company’s three operating business segments:

	Nine Months Ended		Year Ended
	September 30,		December 31,
	2021		2020
Identifiable Assets, net of accumulated depreciation
Timber	$	2,214,057	$	2,196,942
General corporate assets		14,874,074		14,119,755
Total		17,088,131		16,316,697
Capital expenditures:
Timber		17,650		9,321
Surface		4,063		-
General corporate assets		-		-
Total segment costs and expenses	$	21,713	$	9,321
Depreciation and depletion
Oil and gas		-		-
Timber		534		974
General corporate assets		1,517		2,303
Total	$	2,051	$	3,277

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020
Revenues:
Oil and gas	$	108,208	$	50,811		$	257,555	$	233,789
Timber sales		11,936		59,416			114,877		71,052
Surface revenue		53,402		50,615			167,297		225,089
Total segment revenues		173,546		160,842			539,729		529,930
Cost and expenses:
Oil and gas costs		12,264		5,226			29,930		28,034
Timber costs		3,255		666			8,468		3,870
Surface costs		-		198			-		456
Total segment costs and expenses		15,519		6,090			38,398		32,360
Net income from operations:
Oil and gas		95,944		45,585			227,625		205,755
Timber		8,681		58,750			106,409		67,182
Surface		53,402		50,417			167,297		224,633
Total segment net income from operations		158,027		154,752			501,331		497,570
Unallocated other income (expense) before income taxes		123,295		(74,507	)		470,602		(109,022	)
Income before income taxes	$	281,322	$	80,245		$	971,933	$	388,548

There are no intersegment sales reported in the accompanying statements of operations. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in the Company’s Form 10-K for the year ended December 31, 2020. The Company evaluates performance based on income or loss from operations before income taxes excluding any nonrecurring gains and losses. Income before income tax represents net revenues less costs and expenses less other income and expenses of a general corporate nature. Identifiable assets by segment are those assets used solely in the Company's operations within that segment.

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Note 5 - Income Taxes

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Income Tax Disclosure [Text Block]

Note 5:      Income Taxes

In accordance with generally accepted accounting principles, the Company has analyzed its filing positions in federal and state income tax returns that remain subject to examination, generally those filed in the last three years. The Company believes that all filing positions are highly certain and that all income tax filing positions and deductions would be sustained upon a taxing jurisdiction’s audit. Therefore, no reserve for uncertain tax positions is required. No interest or penalties have been levied against the Company and none are anticipated.

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Note 6 - Related Party Transactions

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Related Party Transactions Disclosure [Text Block]

Note 6:      Related Party Transactions

The Company and Stream Wetlands Services, LLC (“Stream Wetlands”) are parties to an option to lease agreement dated April 17, 2017 (the “OTL”). The OTL provided Stream Wetlands an option to lease certain lands from the Company, subject to the negotiation and execution of a mutually acceptable lease form. On February 28, 2021, the Company renewed the OTL for a period of 12 months through February 28, 2022 in exchange for a payment by Stream Wetlands of $38,333, and Stream Wetlands may extend the option for one more year through February 28, 2023 upon payment of an additional $38,333. William Gray Stream, the President and Treasurer and a director of the Company, is the president of Stream Wetlands.

The Company’s President and Treasurer is also the President of Matilda Stream Management, Inc. Matilda Stream Management provides administrative and accounting services to the Company for no compensation.

The Company’s immediate past President and current Secretary and director is a partner in Stockwell, Sievert, Viccellio, Clements, LLP (“Stockwell”). Beginning in August 2018, the Company began renting office space from Stockwell. The Company paid Stockwell $750 per month as rent for office space and associated services, $2,000 per month to reimburse the firm for an administrative assistant and reimbursed Stockwell for miscellaneous office supplies and legal expenses. For the nine months ended September 30, 2020, the Company recorded $22,407 in total of such expense, of which $6,000 was rent expense. These expenses were paid through August 31, 2020 and Stockwell ceased providing these services to the Company on August 31, 2020.

Surface revenue-related party was $28,749 for each of the nine months ended September 30, 2021 and 2020. All of this amount was attributable to the OTL with Stream Wetlands described above.

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Note 7 - Concentrations

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Concentration Risk Disclosure [Text Block]

Note 7:      Concentrations

Revenue from the Company's five largest customers for the nine months ended September 30, 2021 and 2020, respectively were:

	Nine Months Ended September 30,
Count	2021		2020
1	$	61,350	$	74,326
2		54,300		47,452
3		50,095		40,289
4		42,294		38,333
5		40,821		32,108

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Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

Basis of Accounting, Policy [Policy Text Block]

Basis of Presentation

The accompanying unaudited interim financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures have been omitted pursuant to such rules and regulations. In the opinion of management, the accompanying financial statements include normal recurring adjustments that are necessary for a fair presentation of the results for the interim periods presented. These financial statements should be read in conjunction with our audited financial statements and notes thereto for the fiscal year ended December 31, 2020 included in our Annual Report on Form 10-K. The results of operations for the nine months ended September 30, 2021 are not necessarily indicative of results to be expected for the full fiscal year or any other periods.

The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires management to make a number of estimates and judgments that affect the reported amounts of assets, liabilities, expenses, and related disclosures. Actual results may differ from these estimates.

Risks and Uncertainties [Policy Text Block]

Risks and Uncertainties

In December 2019, a novel coronavirus disease (“COVID-19”) was reported and in January 2020, the World Health Organization (“WHO”) declared it a Public Health Emergency of International Concern. On February 28, 2020, the WHO raised its assessment of the COVID-19 threat from high to very high at a global level due to the continued increase in the number of cases and affected countries, and on March 11, 2020, the WHO characterized COVID-19 as a pandemic. While the Company did not incur significant disruptions to its operations during 2020 and in 2021 to date from COVID-19, it is unable at this time to predict the impact that COVID-19 will have on its business, financial position and operating results in future periods due to numerous uncertainties and is closely monitoring the impact of the pandemic on all aspects of its business.

Concentration Risk, Credit Risk, Policy [Policy Text Block]

Concentration of Credit Risk

The Company maintains its cash balances in seven financial institutions. The amount on deposit in each financial institution is insured by the Federal Deposit Insurance Corporation up to $250,000. The Company has not experienced any losses in such accounts and management believes the Company is not exposed to any significant credit risk on its cash balances.

Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]

Impairment of Long-lived Assets

Long-lived assets, such as land, timber and property, buildings, and equipment, are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. If events or circumstances arise that require a long-lived asset to be tested for potential impairment, the Company first compares undiscounted cash flows expected to be generated by the asset to its carrying value. If the carrying amount of the long-lived asset is not recoverable on an undiscounted cash flow basis, an impairment charge is recognized to the extent that the carrying value exceeds the fair value. Fair value may be determined through various valuation techniques including quoted market prices, third-party independent appraisals and discounted cash flow models. No impairment charges were recorded during the nine months ended September 30, 2021 and 2020.

Earnings Per Share, Policy [Policy Text Block]

Basic and Diluted Earnings per share

Net earnings per share is provided in accordance with FASB ASC 260-10, "Earnings per Share". Basic earnings per share is computed by dividing earnings available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive income per share excludes all potential common shares if their effect is anti-dilutive. As of September 30, 2021, and 2020 there were no dilutive shares outstanding.

Stockholders' Equity, Policy [Policy Text Block]

Dividends

The Company does not currently pay dividends on a regular basis.  In determining whether to declare a dividend, the Board of Directors takes into account the Company’s prior fiscal year’s cash flows from operations and the current economic conditions, among other information deemed relevant. Dividends paid per common stock are based on the weighted average number of common stock shares outstanding during the period. No dividends were declared during the nine months ended September 30, 2021 and 2020.

Pursuant to a dividend reversion clause in the Company’s Articles of Incorporation, dividends not claimed within one year after the dividend becomes payable will expire and revert in full ownership to the Company and the Company’s obligation to pay such dividend will cease. Any dividend reversions are recorded in equity upon receipt.

New Accounting Pronouncements, Policy [Policy Text Block]

Recent Accounting Pronouncements

There are various updates recently issued and these are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

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Note 2 - Fair Value of Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2021

Notes Tables

Fair Value, by Balance Sheet Grouping [Table Text Block]

			September 30, 2021				December 31, 2020
Financial Assets:	Level		Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents		1	$	7,387,932	$	7,387,932	$	6,463,255	$	6,463,255
Equity investment in mutual funds		1		504,568		502,794		504,369		502,595
Total			$	7,892,500	$	7,890,726	$	6,967,624	$	6,965,850

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Note 3 - Property and Equipment (Tables)

9 Months Ended

Sep. 30, 2021

Notes Tables

Property, Plant and Equipment [Table Text Block]

	September 30,			December 31,
	2021			2020
Land	$	6,844,541		$	7,018,547
Timber		2,214,057			2,196,942
Equipment		108,602			108,602
		9,167,200			9,324,091
Accumulated depreciation		(81,987	)		(80,470	)
Total	$	9,085,213		$	9,243,621

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Note 4 - Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2021

Notes Tables

Schedule of Segment Reporting Information, by Segment [Table Text Block]

	Nine Months Ended		Year Ended
	September 30,		December 31,
	2021		2020
Identifiable Assets, net of accumulated depreciation
Timber	$	2,214,057	$	2,196,942
General corporate assets		14,874,074		14,119,755
Total		17,088,131		16,316,697
Capital expenditures:
Timber		17,650		9,321
Surface		4,063		-
General corporate assets		-		-
Total segment costs and expenses	$	21,713	$	9,321
Depreciation and depletion
Oil and gas		-		-
Timber		534		974
General corporate assets		1,517		2,303
Total	$	2,051	$	3,277

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020
Revenues:
Oil and gas	$	108,208	$	50,811		$	257,555	$	233,789
Timber sales		11,936		59,416			114,877		71,052
Surface revenue		53,402		50,615			167,297		225,089
Total segment revenues		173,546		160,842			539,729		529,930
Cost and expenses:
Oil and gas costs		12,264		5,226			29,930		28,034
Timber costs		3,255		666			8,468		3,870
Surface costs		-		198			-		456
Total segment costs and expenses		15,519		6,090			38,398		32,360
Net income from operations:
Oil and gas		95,944		45,585			227,625		205,755
Timber		8,681		58,750			106,409		67,182
Surface		53,402		50,417			167,297		224,633
Total segment net income from operations		158,027		154,752			501,331		497,570
Unallocated other income (expense) before income taxes		123,295		(74,507	)		470,602		(109,022	)
Income before income taxes	$	281,322	$	80,245		$	971,933	$	388,548

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Note 7 - Concentrations (Tables)

9 Months Ended

Sep. 30, 2021

Notes Tables

Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]

	Nine Months Ended September 30,
Count	2021		2020
1	$	61,350	$	74,326
2		54,300		47,452
3		50,095		40,289
4		42,294		38,333
5		40,821		32,108

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Note 1 - Significant Accounting Policies and Recent Accounting Pronouncements (Details Textual) - USD ($) $ / shares in Thousands, $ in Thousands	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Impairment, Long-Lived Asset, Held-for-Use, Total	$ 0	$ 0
Earnings Per Share, Diluted, Total (in dollars per share)	$ 0	$ 0
Common Stock, Dividends, Per Share, Declared (in dollars per share)	$ 0	$ 0

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Note 2 - Fair Value of Financial Instruments - Financial Instruments (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Reported Value Measurement [Member]
Total	$ 7,892,500	$ 6,967,624
Reported Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member]
Cash and cash equivalents	7,387,932	6,463,255
Reported Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Mutual Fund [Member]
Investment	504,568	504,369
Estimate of Fair Value Measurement [Member]
Total	7,890,726	6,965,850
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member]
Cash and cash equivalents	7,387,932	6,463,255
Estimate of Fair Value Measurement [Member] | Fair Value, Inputs, Level 1 [Member] | Mutual Fund [Member]
Investment	$ 502,794	$ 502,595

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Note 3 - Property and Equipment (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Gain (Loss) on Disposition of Oil and Gas and Timber Property, Total	$ 261,316	$ 41,331	$ 851,582	$ 295,238
Depreciation, Total	$ 507	$ 1,326	1,517	1,793
Depletion, Total			534	683
Land [Member]
Gain (Loss) on Disposition of Oil and Gas and Timber Property, Total			$ 851,582	$ 295,238

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Note 3 - Property and Equipment - Property and Equipment (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Property and equipment, gross	$ 9,167,200	$ 9,324,091
Accumulated depreciation	(81,987)	(80,470)
Total	9,085,213	9,243,621
Land [Member]
Property and equipment, gross	6,844,541	7,018,547
Timber Properties [Member]
Property and equipment, gross	2,214,057	2,196,942
Equipment [Member]
Property and equipment, gross	$ 108,602	$ 108,602

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Note 4 - Segment Reporting (Details Textual)	3 Months Ended		9 Months Ended
	Sep. 30, 2021 USD ($)	Sep. 30, 2020 USD ($)	Sep. 30, 2021 USD ($)	Sep. 30, 2020 USD ($)
Number of Operating Segments			3
Revenues, Total	$ 173,546	$ 160,842	$ 539,729	$ 529,930
Intersegment Eliminations [Member]
Revenues, Total			$ 0	$ 0

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Note 4 - Segment Reporting - Segmented Operations Information (Details) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Total assets	$ 17,088,131		$ 17,088,131		$ 16,316,697
Capital Expenditures			21,713		9,321
Revenues, Total	173,546	$ 160,842	539,729	$ 529,930
Cost and expenses	(104,154)	87,511	(419,129)	196,552
Income from operations	277,700	73,331	958,858	333,378
Oil and Gas [Member]
Oil and gas	108,208	50,811	257,555	233,789
Timber [Member]
Oil and gas	11,936	59,416	114,877	71,052
Operating Segments [Member]
Total assets	17,088,131		17,088,131		16,316,697
Depreciation and Depletion			2,051		3,277
Revenues, Total	173,546	160,842	539,729	529,930
Cost and expenses	15,519	6,090	38,398	32,360
Income from operations	158,027	154,752	501,331	497,570
Unallocated other income (expense) before income taxes	123,295	(74,507)	470,602	(109,022)
Income before income taxes	281,322	80,245	971,933	388,548
Timber Segment [Member] | Operating Segments [Member]
Total assets	2,214,057		2,214,057		2,196,942
Capital Expenditures			17,650		9,321
Depreciation and Depletion			534		974
Cost and expenses	3,255	666	8,468	3,870
Income from operations	8,681	58,750	106,409	67,182
Timber Segment [Member] | Operating Segments [Member] | Timber [Member]
Oil and gas	11,936	59,416	114,877	71,052
Oil And Gas Segment [Member] | Operating Segments [Member]
Depreciation and Depletion			0		0
Cost and expenses	12,264	5,226	29,930	28,034
Income from operations	95,944	45,585	227,625	205,755
Oil And Gas Segment [Member] | Operating Segments [Member] | Oil and Gas [Member]
Oil and gas	108,208	50,811	257,555	233,789
Corporate Segment [Member] | Operating Segments [Member]
Total assets	14,874,074		14,874,074		14,119,755
Capital Expenditures			0		0
Depreciation and Depletion			1,517		2,303
Surface Segment [Member] | Operating Segments [Member]
Capital Expenditures			4,063		$ 0
Cost and expenses		198		456
Income from operations	53,402	50,417	167,297	224,633
Surface Segment [Member] | Operating Segments [Member] | Surface Leases [Member]
Operating Lease, Lease Income, Total	$ 53,402	$ 50,615	$ 167,297	$ 225,089

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Note 6 - Related Party Transactions (Details Textual) - USD ($)		1 Months Ended	3 Months Ended		9 Months Ended
	Feb. 28, 2021	Aug. 31, 2018	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Surface Leases, Related Parties [Member]
Operating Lease, Lease Income, Total			$ 9,583	$ 9,583	$ 28,749	$ 28,749
Stream Wetlands Services [Member] | Exclusive Right to Evaluate and Market Lands For Beneficial Purposes to Compensate for Impact [Member]
Related Party Transaction, Amounts of Transaction	$ 38,333
Stockwell [Member] | Rent Expenses for Office Space and Associated Services [Member]
Operating Lease Monthly Rent		$ 750
Stockwell [Member] | Administrative Assistant and Miscellaneous Offices Supplies, Monthly Expense [Member]
Operating Lease Monthly Rent		$ 2,000
Related Party Transaction, Expenses from Transactions with Related Party						22,407
Related Party Rent Expense						$ 6,000

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Note 7 - Concentrations - Customers Representing 5% or More of Total Revenue (Details) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Major Customers 1 [Member]
Revenue by customer	$ 61,350	$ 74,326
Major Customers 2 [Member]
Revenue by customer	54,300	47,452
Major Customers 3 [Member]
Revenue by customer	50,095	40,289
Major Customers 4 [Member]
Revenue by customer	42,294	38,333
Major Customers 5 [Member]
Revenue by customer	$ 40,821	$ 32,108