Norris Industries, Inc.

Norris Industries, Inc.

Overview

• Type: Small independent oil and gas exploration and production (E&P) company.
• Legal and location: Nevada corporation, headquartered in Weatherford, Texas.
• Primary business: Development, production and maintenance of existing crude oil and natural gas properties in Texas. The company focuses on optimizing and expanding production from Texas leaseholds through drilling, re-entry, workovers and selective enhanced oil recovery (EOR) methods.
• Public status: Quoted on the OTCQB market as an E&P oil and gas company.

Key assets and acreage

• Bend Arch Lion 1A Joint Venture (Coleman County, TX)
  • Lease: 160 acres
  • Wells: 4 gross wells (as of Feb 28, 2026); 1.58 net wells
  • Ownership: NRIS acquired a 39.5% working interest on May 4, 2015
• Bend Arch Lion 1B Joint Venture (Coleman County, TX)
  • Lease: 220 acres
  • Wells: 6 gross wells (as of Feb 28, 2026); 3 net wells
  • Ownership: NRIS acquired a 46% working interest on May 4, 2015
• Marshall Walden Joint Venture (Kilgore, TX — Woodbine formation)
  • Lease: 45 acres
  • Wells: 6 gross wells (6.0 net) as of Feb 28, 2026; includes 2 injection wells; 4 wells historically in production, 4 inactive
  • NRIS initially served as managing venturer (since 2016)
• Stuart Leases (Jack County & Palo Pinto County, TX)
  • Leases: 20 gross wells (15 net wells) purchased Dec 28, 2017
  • Status: NRIS operating production on these properties
• Total footprint: Approximately 3,612 total gross acres across North Central and Northeast Texas

Operations and production model

• Core strategy: Develop and monetize small to mid-size producing fields and existing leaseholds; emphasize shallow to moderate-depth wells to control costs and apply targeted EOR where economically feasible.
• Operational approach: NRIS operates most acreage to control capital expenditure and timing. The in-house team is supported by geologists, engineers and outside consultants and development specialists to apply EOR and other technologies.
• Growth approach: Pursue opportunistic acquisitions of mature fields with EOR potential, form partnerships to share production gains, and selectively consider bolt-on acquisitions in oilfield services or related niches.

Customers and sales

• Major crude buyers: BML; Transport Oil; Lion Oil Trading & Transportation
• Major gas buyer: WTG Jameson
• Sales arrangement: Production is delivered from leases with monthly settlements; proceeds are typically issued after a 30-day average closing price calculation and payment in the following month

Financial highlights and capital structure

• Net loss: Approximately $661,000 for the fiscal year ended February 28, 2026
• Cash loss from operating activities: Approximately $440,000 for the same period
• Funding accessed in fiscal year 2026: Approximately $400,000
• Available credit line: $1,000,000 as of February 28, 2026 (with JBB Partners, Inc., controlled by Patrick Norris)
• Financing needs: The company may require additional financing for operations and growth and may rely on equity or debt offerings or banking facilities

Reserves and valuation (as of March 1, 2026)

• Reserve basis: SEC non-escalated analysis prepared by Kurt Mire, PE
• Oil reserves (net to NRIS)
  • Proved oil: 27,300 barrels
  • Proved developed producing: 6,500 barrels
  • Total proved oil: 33,800 barrels
• Gas reserves (net to NRIS)
  • Proved gas: 86,800 Mcf
  • Proved developed producing: 45,200 Mcf
  • Total proved gas: 132,000 Mcf
• Reserve study financials (oil and gas combined)
  • Future revenue: $2,657,500
  • Expenses and taxes: $1,570,700
  • Investment costs: $357,800
  • Undiscounted cash flows: $729,000
  • Discounted cash flows (10%): $386,800
• Unit price assumptions used in the reserve report: $63.54 per barrel (oil) and $3.80 per MMBtu (gas, Henry Hub)
• Price context: Report used monthly oil values from March 2025 through February 2026 ranging $55.44–$75.89 per barrel; prices later rose toward $100 per barrel during the period covered due to geopolitical events

Employment and personnel

• Key personnel
  • Patrick Norris — Chief Executive Officer, President, Chief Accounting Officer and Chief Financial Officer
  • Ross Henry Ramsey — President of the oil division; board member; ~40 hours/week
  • Lisa Boudoin — Administrative functions; ~20 hours/week
• The company maintains a small payroll and relies on a limited number of employees and contractors

Public company costs and governance

• NRIS is a reporting public company and incurs costs associated with compliance (e.g., Sarbanes-Oxley) and may face challenges in securing director/officer liability insurance typical for smaller public companies

Property and general notes

• Headquarters: 102 Palo Pinto St. Suite B, Weatherford, Texas 76086
• Lease: Month-to-month headquarters lease since August 28, 2018 at $950 per month
• Risk factors mentioned in the filing include energy market volatility, regulatory changes (including hydraulic fracturing regulations), pandemics, geopolitical events and access to capital

Summary

Norris Industries is a small, Texas-focused E&P company operating a portfolio of shallow to moderate-depth oil and gas leases in Coleman, Kilgore (Woodbine), Jack and Palo Pinto counties and related areas. The company focuses on production optimization, selective acquisitions and targeted EOR work, maintains a lean headcount, reported a net loss for the fiscal year ended February 28, 2026, holds a $1 million available credit line, and sells crude and gas to a small group of named buyers. Reserve data as of March 1, 2026 indicate modest proved volumes and a discounted cash flow value of approximately $386,800 at a 10% discount.