Norris Industries, Inc.

What they do

Norris Industries, Inc. was incorporated in Nevada on February 19, 2014 and is headquartered in Weatherford, Texas. It develops, produces, and maintains crude oil and natural gas properties in Texas, including the Bend Arch Lion 1A and 1B leaseholds in Coleman County and the Marshall Walden joint venture in Kilgore City. The company holds approximately 3,612 total gross acres in leaseholds across North Central and North East Texas.

Revenue drivers

• Oil and gas production sales — All revenue comes from oil and gas production sales, which totaled $286,086 in fiscal 2026, compared to $329,334 in fiscal 2025.
• Bend Arch Lion 1A and 1B leaseholds — Acquired in May 2015 in Coleman County, Texas, encompassing 7 producing oil and gas wells on 380 acres of the 777-acre leaseholds.
• Marshall Walden joint venture — A 45-acre joint venture with 8 Woodbine Sand oil wells in Kilgore City, Texas; the company acquired the remaining 90% working interest in fiscal 2020 and now owns 100% WI with a 75% net revenue interest.
• Jack and Palo Pinto County leases — Acquired December 28, 2017, consisting of 20 gross oil and gas wells on 2,790 gross acres in North Central Western Texas.

Recent performance

Annual revenue declined to $286,086 in fiscal 2026 from $329,334 in fiscal 2025. The net loss increased to $661,431 in fiscal 2026 from $601,076 in fiscal 2025. Lease operating expenses rose to $553,023 from $511,246. General and administrative expenses increased to $228,783 from $189,611, primarily due to costs from plugging and abandoning four wells. The company had cash of $45,376 on February 28, 2026, and no cash used in investing activities in fiscal 2026 or 2025.

Strategy

For near- to medium-term cash flow enhancement, the company plans to focus on existing fields and selectively consider larger-reserve oil and gas properties with low production to acquire at reasonable cost, then apply Enhanced Oil Recovery methods. For long-term cash flow enhancement, it is identifying oilfield-related and non-oilfield niche enterprises for bolt-on or diversified acquisitions. The company may use strategic joint venture partnerships to fund future acquisitions. Its long-term objective is to increase shareholder value by growing reserves, production, and cash flow.

Risks

• Limited operating history — The company was formed in 2014 and has had limited business operations, making evaluation of its prospects difficult.
• Need for additional financing — The company requires additional financing to support operations and its acquisition program; as of February 28, 2026, it had $1,000,000 available on its credit line with JBB and no other committed sources of financing.
• Dependence on largest shareholder — Funding for the past three fiscal years has been provided by the largest shareholder, who has no legal obligation to continue providing funding.
• Well maintenance and production issues — Well workover issues reduced expected production, led to plugging and abandoning four wells, and contributed to lower revenues in fiscal 2026.

Outlook

Management plans to conserve capital and focus on smaller oil and natural gas properties in West, Central West, East, and South Texas to increase revenues via acquisition. It also intends to improve existing production from the Bend Arch Lion 1A and 1B, Marshall Walden, Jack County, and Palo Pinto County properties through re-entries and EOR methods. The company anticipates that it may not be able to cover operating costs given low production and current oil and gas price ranges. It continues to seek strategic investors and other funding for exploration and acquisition projects.