Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 12, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2021 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-08187 | |
Entity Registrant Name | NEW CONCEPT ENERGY, INC. | |
Entity Central Index Key | 0000105744 | |
Entity Tax Identification Number | 75-2399477 | |
Entity Incorporation, State or Country Code | NV | |
Entity Address, Address Line One | 1603 LBJ Freeway | |
Entity Address, Address Line Two | Suite 800 | |
Entity Address, City or Town | Dallas | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75234 | |
City Area Code | (972) | |
Local Phone Number | 407-8400 | |
Title of 12(b) Security | Common Stock, par value $0.01 | |
Trading Symbol | GBR | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 5,131,934 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets | ||
Cash and cash equivalents | $ 261 | $ 27 |
Current portion note receivable (including $3,637 and $3,631 in 2021 and 2020 from related parties | 3,689 | 3,683 |
Other current assets | 25 | 92 |
Total current assets | 3,975 | 3,802 |
Property and equipment, net of depreciation | ||
Land, buildings and equipment | 650 | 656 |
Note receivable | 133 | 153 |
Total assets | 4,758 | 4,611 |
Current liabilities | ||
Accounts payable - (including $104 and $55 due to related parties in 2021 and 2020) | 124 | 80 |
Accrued expenses | 26 | 32 |
Current portion of long term debt | 52 | 52 |
Total current liabilities | 202 | 164 |
Long-term debt | ||
Notes payable less current portion | 103 | 122 |
Total liabilities | 305 | 286 |
Stockholders' equity | ||
Preferred stock, Series B | 1 | 1 |
Common stock, $.01 par value; authorized, 100,000,000 shares; issued and outstanding, 5,131,934 shares at June 30, 2021 and December 31, 2020 | 51 | 51 |
Additional paid-in capital | 63,579 | 63,579 |
Accumulated deficit | (59,178) | (59,306) |
Total shareholder equity | 4,453 | 4,325 |
Total liabilities & equity | $ 4,758 | $ 4,611 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Current Portion Notes Receivable Related Parties | $ 3,637 | $ 3,631 |
Accounts Payable, Related Parties, Current | $ 104 | $ 55 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 5,131,934 | 5,131,934 |
Common Stock, Shares, Outstanding | 5,131,934 | 5,131,934 |
CONSOLIDATED STATEMENT OF OPERA
CONSOLIDATED STATEMENT OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue | ||||
Rent | $ 26 | $ 26 | $ 52 | $ 52 |
Total Revenues | 26 | 26 | 52 | 52 |
Operating expenses | ||||
Operating Expenses | 20 | 16 | 38 | 31 |
Corporate general and administrative | 111 | 127 | 185 | 231 |
Total Operating Expenses | 131 | 143 | 223 | 262 |
Operating earnings (loss) | (105) | (117) | (171) | (210) |
Other income (expense) | ||||
Interest income | 56 | 63 | 112 | 127 |
Interest expense | (2) | (3) | (4) | (7) |
Other income (expense), net | 100 | 0 | 191 | 0 |
Earnings (loss) from continuing operations | 49 | (57) | 128 | (90) |
Discontinued Operations | ||||
Earnings (loss) from discontinued operations | 0 | (80) | 0 | (144) |
Earnings (loss) applicable to common shares | $ 49 | $ (137) | $ 128 | $ (234) |
Net income (loss) per common share-basic and diluted | $ 0.01 | $ (0.03) | $ 0.02 | $ (0.05) |
Weighted average common and equivalent shares outstanding - basic | 5,132 | 5,132 | 5,132 | 5,132 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities | ||
Net Income (loss) from Continuing Operations | $ 128 | $ (90) |
Net Income (loss) from Discontinued Operations | 0 | (144) |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||
Depreciation, depletion and amortization | 6 | 6 |
Other current and non-current assets | 81 | 446 |
Accounts payable and other liabilities | 38 | (178) |
Net cash provided by (used) in operating activities | 253 | 40 |
Cash flows from financing activities | ||
Payment on notes payable | (19) | (23) |
Net cash provided by (used in) financing activities | (19) | (23) |
Net increase (decrease) in cash and cash equivalents | 234 | 17 |
Cash and cash equivalents at beginning of year | 27 | 22 |
Cash and cash equivalents at end of period | 261 | 39 |
Supplemental disclosures of cash flow information | ||
Cash paid for interest on notes payable | $ 19 | $ 15 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Series B Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2019 | $ 1 | $ 51 | $ 63,579 | $ (61,222) | $ 2,409 |
Common Stock, Shares, Outstanding, Beginning Balance at Dec. 31, 2019 | 1,000 | 5,132,000 | |||
Net Loss | $ 0 | $ 0 | 0 | (234) | (234) |
Ending balance, value at Jun. 30, 2020 | $ 1 | $ 51 | 63,579 | (61,456) | 2,175 |
Common Stock, Shares, Outstanding, Ending Balance at Jun. 30, 2020 | 1,000 | 5,132,000 | |||
Beginning balance, value at Mar. 31, 2020 | $ 1 | $ 51 | 63,579 | (61,319) | 2,312 |
Common Stock, Shares, Outstanding, Beginning Balance at Mar. 31, 2020 | 1,000 | 5,132,000 | |||
Net Loss | $ 0 | $ 0 | 0 | (137) | (137) |
Ending balance, value at Jun. 30, 2020 | $ 1 | $ 51 | 63,579 | (61,456) | 2,175 |
Common Stock, Shares, Outstanding, Ending Balance at Jun. 30, 2020 | 1,000 | 5,132,000 | |||
Beginning balance, value at Dec. 31, 2020 | $ 1 | $ 51 | 63,579 | (59,306) | $ 4,325 |
Common Stock, Shares, Outstanding, Beginning Balance at Dec. 31, 2020 | 1,000 | 5,132,000 | 5,131,934 | ||
Net Loss | $ 0 | $ 0 | 0 | 128 | $ 128 |
Ending balance, value at Jun. 30, 2021 | $ 1 | $ 51 | 63,579 | (59,178) | $ 4,453 |
Common Stock, Shares, Outstanding, Ending Balance at Jun. 30, 2021 | 1,000 | 5,132,000 | 5,131,934 | ||
Beginning balance, value at Mar. 31, 2021 | $ 1 | $ 51 | 63,579 | (59,227) | $ 4,404 |
Common Stock, Shares, Outstanding, Beginning Balance at Mar. 31, 2021 | 1,000 | 5,132,000 | |||
Net Loss | $ 0 | $ 0 | 0 | 49 | 49 |
Ending balance, value at Jun. 30, 2021 | $ 1 | $ 51 | $ 63,579 | $ (59,178) | $ 4,453 |
Common Stock, Shares, Outstanding, Ending Balance at Jun. 30, 2021 | 1,000 | 5,132,000 | 5,131,934 |
NOTE A_ BASIS OF PRESENTATION
NOTE A: BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
NOTE A: BASIS OF PRESENTATION | NOTE A: BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include the accounts of New Concept Energy, Inc. and its majority-owned subsidiaries (collectively, “NCE” or the “Company”). All significant intercompany transactions and accounts have been eliminated. Certain reclassifications have been made to the prior year revenue and operating expense amounts in the statement of operations to conform to the current year presentation. The unaudited financial statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements reflect all adjustments that are, in the opinion of management, necessary to fairly present such information. All such adjustments are of a normal recurring nature. Although the Company believes that the disclosures are adequate to make the information presented not misleading, certain information and footnote disclosures, including a description of significant accounting policies normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted pursuant to such rules and regulations. The Company’s ability to meet current cash obligations relies on cash received from current operations and the collection of notes receivable. The Company is evaluating business opportunities to provide both additional income and cash flow. These financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2020. Operating results for the three and six month periods ended June 30, 2021 are not necessarily indicative of the results that may be expected for any subsequent quarter or for the fiscal year ending December 31, 2021. |
NOTE B_ NATURE OF OPERATIONS
NOTE B: NATURE OF OPERATIONS | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NOTE B: NATURE OF OPERATIONS | NOTE B: NATURE OF OPERATIONS The Company owns approximately 190 acres of land located in Sandyville West Virginia. Located on the land are four structures totaling approximately 53,000 square feet. Of this total area the main industrial/office building contains approximately 24,800 square feet of which approximately 16,000 square feet is leased at a rate of $101,000 per annum |
NOTE C_ SUMMARY OF SIGNIFICANT
NOTE C: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
NOTE C: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE C: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES We consider accounting policies related to our estimates of depreciation amortization and depletion, segments, oil and gas properties, oil and gas reserves, gas gathering assets, office and field equipment, revenue recognition and gas imbalances, leases, revenue recognition for real estate operations, impairment, and sales of real estate as significant accounting policies. The policies include significant estimates made by management using information available at the time the estimates are made. However, these estimates could change materially if different information or assumptions were used. These policies are summarized in our Annual Report on Form 10-K for the year ended December 31, 2020. We have considered all newly issued accounting guidance that is applicable to our operations and the preparation of our statements, including that which we have not yet adopted. We do not believe that any such guidance will have a material effect on our financial position or results of operation. |
NOTE D_ DISCONTINUED OPERATIONS
NOTE D: DISCONTINUED OPERATIONS | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
NOTE D: DISCONTINUED OPERATIONS | NOTE D: DISCONTINUED OPERATIONS On August 31, 2020 the Company sold its entire oil and gas operation for $ 85,000 2,745,000 2,138,000 Included in discontinued operations are the net operating expenses the Company incurred during the periods presented. For the three and six months ended June 30, 2021 the Company recorded operating losses of $ 80,000 144,000 |
NOTE E_ CONTINGENCIES
NOTE E: CONTINGENCIES | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
NOTE E: CONTINGENCIES | NOTE E: CONTINGENCIES |
NOTE F_ SUBSEQUENT EVENTS
NOTE F: SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
NOTE F: SUBSEQUENT EVENTS | NOTE F: SUBSEQUENT EVENTS The Company has evaluated subsequent events through August 12, 2021, the date the financial statements were available to be issued, and determined that there are none to be reported. |
NOTE B_ NATURE OF OPERATIONS (D
NOTE B: NATURE OF OPERATIONS (Details Narrative) | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Lease Revenue per Annum | $101,000 per annum |
NOTE D_ DISCONTINUED OPERATIO_2
NOTE D: DISCONTINUED OPERATIONS (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Aug. 31, 2020 | |
Value Oil and Gas Operation Sold For | $ 85,000 | ||||
Results of Operations, Accretion of Asset Retirement Obligations | $ 2,745,000 | ||||
Gain (Loss) on Disposition of Property Plant Equipment | 2,138,000 | ||||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | $ 0 | $ (80,000) | 0 | $ (144,000) | |
Oil and Gas [Member] | |||||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | $ 80,000 | $ 144,000 |