PEDEVCO (PED) 10-Q/A 16 Nov 21 2021 Q3 Quarterly report (amended) Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2021	Nov. 12, 2021
Cover [Abstract]
Entity Registrant Name	PEDEVCO Corp.
Entity Central Index Key	0001141197
Document Type	10-Q/A
Amendment Flag	true
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Sep. 30, 2021
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2021
Entity Common Stock Shares Outstanding		84,210,203
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-35922
Entity Incorporation State Country Code	TX
Entity Tax Identification Number	22-3755993
Entity Address Address Line 1	575 N. Dairy Ashford
Entity Address Address Line 2	Suite 210
Entity Address City Or Town	Houston
Entity Address State Or Province	TX
Entity Address Postal Zip Code	77079
City Area Code	713
Local Phone Number	221-1768
Security 12b Title	Common Stock, $0.001 par value per share
Trading Symbol	PED
Security Exchange Name	NYSEAMER
Entity Interactive Data Current	Yes
Amendment Description	PEDEVCO Corp. (the “Company”, “we” and “us”) is filing this Amendment No. 1 (“Amendment No. 1”) to our Quarterly Report on Form 10-Q for the quarter ended September 30, 2021 (the “Original Report”), as filed with the Securities and Exchange Commission on November 15, 2021 (the “Original Filing Date”), for the sole purpose of correcting a technical error with the software of the Company’s Edgar service provider, which caused Exhibits 31.1, 31.2, 32.1 and 32.2, which were executed by the Registrant, to be inadvertently omitted from the Original Report. Such exhibits have been included in this amended filing.  Except as described above, no changes have been made to the Original Report and this Amendment No. 1 does not modify, amend or update in any way any of the financial or other information contained in the Original Report. This Amendment No. 1 does not reflect events that may have occurred subsequent to the Original Filing Date.

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash	$ 19,926,000	$ 8,027,000
Accounts receivable - oil and gas	1,520,000	660,000
Prepaid expenses and other current assets	361,000	66,000
Total current assets	21,807,000	8,753,000
Oil and gas properties:
Oil and gas properties, subject to amortization, net	64,789,000	66,994,000
Oil and gas properties, not subject to amortization, net	4,000	4,000
Total oil and gas properties, net	64,793,000	66,998,000
Operating lease - right-of-use asset	198,000	270,000
Other assets	3,553,000	3,543,000
Total assets	90,351,000	79,564,000
Current liabilities:
Accounts payable	752,000	212,000
Accrued expenses	483,000	303,000
Revenue payable	960,000	836,000
PPP loan, current	0	288,000
Operating lease liabilities - current	111,000	105,000
Asset retirement obligations - current	173,000	234,000
Total current liabilities	2,479,000	1,978,000
Long-term liabilities:
PPP loan, net of current portion	0	82,000
Operating lease liabilities, net of current portion	110,000	195,000
Asset retirement obligations, net of current portion	1,844,000	1,673,000
Total liabilities	4,433,000	3,928,000
Shareholders' equity:
Common stock, $0.001 par value, 200,000,000 shares authorized; 79,751,603 and 72,463,340 shares issued and outstanding, respectively	80,000	72,000
Additional paid-in capital	213,946,000	203,850,000
Accumulated deficit	(128,108,000)	(128,286,000)
Total shareholders' equity	85,918,000	75,636,000
Total liabilities and shareholders' equity	$ 90,351,000	$ 79,564,000

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2021	Dec. 31, 2020
Stockholders' Equity:
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000,000	200,000,000,000
Common stock, shares issued	79,751,603,000	72,463,340,000
Common stock, shares outstanding	79,751,603,000	72,463,340,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenue:
Oil and gas sales	$ 4,069,000	$ 2,417,000	$ 11,340,000	$ 5,905,000
Operating expenses:
Lease operating costs	1,423,000	1,054,000	4,164,000	3,326,000
Exploration expense		1,000	0	31,000
Selling, general and administrative expense	1,337,000	1,281,000	4,434,000	4,826,000
Depreciation, depletion, amortization and accretion	1,666,000	2,974,000	4,829,000	8,323,000
Total operating expenses	4,426,000	5,310,000	13,427,000	16,506,000
Gain on sale of oil and gas properties	0	0	1,805,000	0
Operating loss	(357,000)	(2,893,000)	(282,000)	(10,601,000)
Other income (expense):
Interest expense	0	(1,000)	(1,000)	(1,000)
Interest income	4,000	4,000	11,000	36,000
Other income	28,000	597,000	76,000	1,275,000
Gain on forgiveness of PPP loan		0	374,000	0
Total other income	32,000	600,000	460,000	1,310,000
Net income (loss)	$ (325,000)	$ (2,293,000)	$ 178,000	$ (9,291,000)
Income (loss) per common share:
Basic	$ 0	$ (0.03)	$ 0	$ (0.13)
Diluted	$ 0	$ (0.03)	$ 0	$ (0.13)
Weighted average number of common shares outstanding:
Basic	79,533,016	72,250,014	78,628,077	72,124,339
Diluted	79,533,016	72,250,014	78,700,140	72,124,339

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cash Flows From Operating Activities:
Net income (loss)	$ 178,000	$ (9,291,000)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation, depletion, amortization and accretion	4,829,000	8,323,000
Gain on sale of oil and gas properties	(1,805,000)	0
Loss on disposal of fixed asset	0	24,000
Amortization of right-of-use asset	72,000	67,000
Share-based compensation expense	1,867,000	2,073,000
Gain on forgiveness of PPP loan	(374,000)	0
Changes in operating assets and liabilities:
Accounts receivable - oil and gas	(860,000)	3,658,000
Prepaid expenses and other current assets	(295,000)	(146,000)
Accounts payable	51,000	(3,087,000)
Accrued expenses	184,000	(1,647,000)
Revenue payable	124,000	2,000
Net cash provided by (used in) operating activities	3,971,000	(24,000)
Cash Flows From Investing Activities:
Cash paid for property and equipment	(35,000)	0
Cash paid for drilling and completion costs	(2,145,000)	(14,379,000)
Proceeds from the sale of oil and gas property	1,871,000	0
Net cash used in investing activities	(309,000)	(14,379,000)
Cash Flows From Financing Activities:
Proceeds from PPP loans	0	740,000
Repayment of PPP loan	0	(370,000)
Proceeds from issuance of shares, net of offering costs	8,237,000	0
Net cash provided by financing activities	8,237,000	370,000
Net increase (decrease) in cash and restricted cash	11,899,000	(14,033,000)
Cash and restricted cash at beginning of period	11,324,000	25,712,000
Cash and restricted cash at end of period	23,223,000	11,679,000
Supplemental Disclosure of Cash Flow Information
Interest	0	0
Income taxes	0	0
Noncash investing and financing activities:
Change in accrued oil and gas development costs	287,000	8,581,000
Changes in estimates of asset retirement costs, net	51,000	247,000
Issuance of restricted common stock	$ 2,000	$ 1,000

CONSOLIDATED STATEMENTS OF SHAR

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (DEFICIT) (Unaudited) - USD ($) shares in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)
Balance, shares at Dec. 31, 2019		71,061,328
Balance, amount at Dec. 31, 2019	$ 105,502,000	$ 71,000	$ 201,027,000	$ (95,596,000)
Issuance of restricted common stock, shares		1,119,000
Issuance of restricted common stock, amount	0	$ 1,000	(1,000)	0
Rescinded restricted common stock, shares		(55,000)
Rescinded restricted common stock, amount	0	$ 0	0	0
Stock-based compensation	853,000	0	853,000	0
Net loss	(4,257,000)	$ 0	0	(4,257,000)
Balance, shares at Mar. 31, 2020		72,125,328
Balance, amount at Mar. 31, 2020	102,098,000	$ 72,000	201,879,000	(99,853,000)
Balance, shares at Dec. 31, 2019		71,061,328
Balance, amount at Dec. 31, 2019	105,502,000	$ 71,000	201,027,000	(95,596,000)
Net loss	(9,291,000)
Issuance of restricted common stock to affiliate, amount	1,000
Balance, shares at Sep. 30, 2020		72,463,340
Balance, amount at Sep. 30, 2020	98,284,000	$ 72,000	203,099,000	(104,887,000)
Balance, shares at Mar. 31, 2020		72,125,328
Balance, amount at Mar. 31, 2020	102,098,000	$ 72,000	201,879,000	(99,853,000)
Stock-based compensation	719,000	0	719,000	0
Net loss	(2,741,000)	$ 0	0	(2,741,000)
Balance, shares at Jun. 30, 2020		72,125,328
Balance, amount at Jun. 30, 2020	100,076,000	$ 72,000	202,598,000	(102,594,000)
Issuance of restricted common stock, shares		240,000
Issuance of restricted common stock, amount	0	$ 0	0	0
Rescinded restricted common stock, shares		(74,000)
Rescinded restricted common stock, amount	0	$ 0	0	0
Stock-based compensation	501,000	0	501,000	0
Net loss	(2,293,000)	$ 0	0	(2,293,000)
Issuance of restricted common stock to non-affiliate, shares		70,000
Issuance of restricted common stock to non-affiliate, amount	0	$ 0	0	0
Issuance of restricted common stock to affiliate, shares		70,000
Issuance of restricted common stock to affiliate, amount	0	$ 0	0	0
Cashless exercise of stock options, shares		32,012
Cashless exercise of stock options, amount	0	$ 0	0	0
Balance, shares at Sep. 30, 2020		72,463,340
Balance, amount at Sep. 30, 2020	98,284,000	$ 72,000	203,099,000	(104,887,000)
Balance, shares at Dec. 31, 2020		72,463,340
Balance, amount at Dec. 31, 2020	75,636,000	$ 72,000	203,850,000	(128,286,000)
Issuance of restricted common stock, shares		960,000
Issuance of restricted common stock, amount	0	$ 1,000	(1,000)	0
Rescinded restricted common stock, shares		(16,667)
Rescinded restricted common stock, amount	0	$ 0	0	0
Stock-based compensation	684,000	0	684,000	0
Net loss	728,000	$ 0	0	728,000
Issuance of restricted common stock to non-affiliate, shares		5,968,500
Issuance of restricted common stock to non-affiliate, amount	8,303,000	$ 6,000	8,297,000	0
Cashless exercise of stock options, shares		86,430
Cashless exercise of stock options, amount	0	$ 0	0	0
Balance, shares at Mar. 31, 2021		79,461,603
Balance, amount at Mar. 31, 2021	85,351,000	$ 79,000	212,830,000	(127,558,000)
Balance, shares at Dec. 31, 2020		72,463,340
Balance, amount at Dec. 31, 2020	75,636,000	$ 72,000	203,850,000	(128,286,000)
Net loss	178,000
Issuance of restricted common stock to affiliate, amount	2,000
Balance, shares at Sep. 30, 2021		79,751,603
Balance, amount at Sep. 30, 2021	85,918,000	$ 80,000	213,946,000	(128,108,000)
Balance, shares at Mar. 31, 2021		79,461,603
Balance, amount at Mar. 31, 2021	85,351,000	$ 79,000	212,830,000	(127,558,000)
Stock-based compensation	591,000	0	591,000	0
Net loss	(225,000)	0	0	(225,000)
Offering costs incurred for issuance of common stock to non-affiliate	(66,000)	$ 0	(66,000)	0
Balance, shares at Jun. 30, 2021		79,461,603
Balance, amount at Jun. 30, 2021	85,651,000	$ 79,000	213,355,000	(127,783,000)
Issuance of restricted common stock, shares		240,000
Issuance of restricted common stock, amount	0	$ 1,000	(1,000)	0
Stock-based compensation	592,000	0	592,000	0
Net loss	(325,000)	$ 0	0	(325,000)
Issuance of restricted common stock to non-affiliate, shares		50,000
Issuance of restricted common stock to non-affiliate, amount	0	$ 0	0	0
Balance, shares at Sep. 30, 2021		79,751,603
Balance, amount at Sep. 30, 2021	$ 85,918,000	$ 80,000	$ 213,946,000	$ (128,108,000)

BASIS OF PRESENTATION

BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2021
BASIS OF PRESENTATION
NOTE 1- BASIS OF PRESENTATION	NOTE 1 – BASIS OF PRESENTATION The accompanying interim unaudited consolidated financial statements of PEDEVCO Corp. (“PEDEVCO” or the “Company”), have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited financial statements and notes thereto contained in PEDEVCO’s latest Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate disclosures contained in the audited financial statements for the most recent fiscal year, as reported in the Annual Report on Form 10-K for the year ended December 31, 2020, filed with the SEC on March 23, 2021 (the “2020 Annual Report”), have been omitted. The Company’s consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and subsidiaries in which the Company has a controlling financial interest. All significant inter-company accounts and transactions have been eliminated in consolidation. The Company’s future financial condition and liquidity will be impacted by, among other factors, the success of our drilling program, the number of commercially viable oil and natural gas discoveries made and the quantities of oil and natural gas discovered, the speed with which we can bring such discoveries to production, the actual cost of exploration, appraisal and development of our prospects, the prevailing prices for, and demand for, oil and natural gas.

DESCRIPTION OF BUSINESS

DESCRIPTION OF BUSINESS	9 Months Ended
	Sep. 30, 2021
DESCRIPTION OF BUSINESS
NOTE 2- DESCRIPTION OF BUSINESS	NOTE 2 – DESCRIPTION OF BUSINESS PEDEVCO is an oil and gas company focused on the development, acquisition and production of oil and natural gas assets where the latest in modern drilling and completion techniques and technologies have yet to be applied. In particular, the Company focuses on legacy proven properties where there is a long production history, well defined geology and existing infrastructure that can be leveraged when applying modern field management technologies. The Company’s current properties are located in the San Andres formation of the Permian Basin situated in West Texas and eastern New Mexico (the “Permian Basin”) and in the Denver-Julesburg Basin (“D-J Basin”) in Colorado. The Company holds its Permian Basin acres located in Chaves and Roosevelt Counties, New Mexico, through its wholly-owned operating subsidiary, Pacific Energy Development Corp. (“PEDCO”), which asset the Company refers to as its “Permian Basin Asset,” and it holds its D-J Basin acres located in Weld and Morgan Counties, Colorado, through its wholly-owned operating subsidiary, Red Hawk Petroleum, LLC (“Red Hawk”), which asset the Company refers to as its “D-J Basin Asset.” The Company believes that horizontal development and exploitation of conventional assets in the Permian Basin and development of the Wattenberg and Wattenberg Extension in the D-J Basin represent among the most economic oil and natural gas plays in the United States (“U.S.”). Moving forward, the Company plans to optimize its existing assets and opportunistically seek additional acreage proximate to its currently held core acreage, as well as other attractive onshore U.S. oil and gas assets that fit the Company’s acquisition criteria, that Company management believes can be developed using its technical and operating expertise and be accretive to shareholder value.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NOTE 3- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company has provided a discussion of significant accounting policies, estimates and judgments in its 2020 Annual Report. There have been no changes to the Company’s significant accounting policies since December 31, 2020. Recently Issued Accounting Pronouncements The Company does not expect the adoption of any other recently issued accounting pronouncements to have a significant impact on its financial position, results of operations, or cash flows. Subsequent Events The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure consideration.

REVENUE FROM CONTRACTS WITH CUS

REVENUE FROM CONTRACTS WITH CUSTOMERS	9 Months Ended
	Sep. 30, 2021
REVENUE FROM CONTRACTS WITH CUSTOMERS
NOTE 4- REVENUE FROM CONTRACTS WITH CUSTOMERS	NOTE 4 – REVENUE FROM CONTRACTS WITH CUSTOMERS Disaggregation of Revenue from Contracts with Customers. Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Oil sales $ 3,697 $ 2,262 $ 10,635 $ 5,569 Natural gas sales 319 91 604 221 Natural gas liquids sales 53 64 101 115 Total revenue from customers $ 4,069 $ 2,417 $ 11,340 $ 5,905 There were no significant contract liabilities or transaction price allocations to any remaining performance obligations as of September 30, 2021.

CASH

CASH	9 Months Ended
	Sep. 30, 2021
CASH
NOTE 5- CASH	NOTE 5 – CASH The following table provides a reconciliation of cash and restricted cash reported within the balance sheets, which sum to the total of such amounts in the periods indicated (in thousands): September 30, 2021 December 31, 2020 Cash $ 19,926 $ 8,027 Restricted cash included in other assets 3,297 3,297 Total cash and restricted cash $ 23,223 $ 11,324

OIL AND GAS PROPERTIES

OIL AND GAS PROPERTIES	9 Months Ended
	Sep. 30, 2021
OIL AND GAS PROPERTIES
NOTE 6- OIL AND GAS PROPERTIES	NOTE 6 – OIL AND GAS PROPERTIES The following table summarizes the Company’s oil and gas activities by classification for the nine months ended September 30, 2021 (in thousands): Balance at December 31, 2020 Additions Disposals Transfers Balance at September 30, 2021 Oil and gas properties, subject to amortization $ 146,950 $ 2,432 $ (66 ) $ - $ 149,316 Oil and gas properties, not subject to amortization 4 - - - 4 Asset retirement costs 1,108 (46 ) (5 ) - 1,057 Accumulated depreciation, depletion and impairment (81,064 ) (4,520 ) - - (85,584 ) Total oil and gas assets $ 66,998 $ (2,134 ) $ (71 ) $ - $ 64,793 For the nine-month period ended September 30, 2021, the Company incurred $2,432,000 in capital costs related to capital workovers for our Permian Basin Asset, which included four clean outs, converting two wells from electric submersible pump s On March 18, 2021, the Company, through its wholly-owned subsidiary Red Hawk, consummated the sale of certain assets and associated liabilities located in its D-J Basin Asset to third parties pursuant to a Purchase and Sale Agreement. The Company received net cash at closing of $1.9 million. The final purchase price was further subject to customary post-closing adjustments, resulting in an additional $52,000 paid by Red Hawk in July 2021. As a result of the transaction, the Company recognized a $1.8 million gain on sale of oil and gas properties on the Statement of Operations for the nine months ended September 30, 2021. The depletion recorded for production on proved properties for the three and nine months ended September 30, 2021 and 2020, amounted to $1,576,000 compared to $2,890,000, and $4,520,000, compared to $8,076,000, respectively.

PPP LOANS

PPP LOANS	9 Months Ended
	Sep. 30, 2021
PPP LOANS
NOTE 7- PPP LOANS	NOTE 7 – PPP LOANS On April 22, 2020, the Company received loan proceeds of $370,000 (the “Original PPP Loan”) under the U.S. Small Business Administration’s (“SBA”) Paycheck Protection Program (“PPP”) established as part of the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”), and on April 23, 2020, the SBA issued guidance that cast doubt on the ability of public companies to qualify for a PPP loan. As a result, out of an abundance of caution, on May 1, 2020, the Company repaid the full amount of the Original PPP Loan to Texas Capital Bank, N.A. On June 2, 2020, the Company again received loan proceeds of $370,000 (the “New PPP Loan”) under the SBA PPP. The New PPP Loan is evidenced by a promissory note, dated as of May 28, 2020 (the “Note”), between the Company and Texas Capital Bank, N.A. The Note has a two-year term, bears interest at the rate of 1.00% per annum, and may be prepaid at any time without payment of any premium. Effective May 20, 2021, the Company received notification from Texas Capital Bank, N.A. that the SBA had fully forgiven the Company’s New PPP Loan principal and accrued interest of $370,000 and $4,000, respectively. Therefore, as of September 30, 2021, the Company recognized no debt or accrued interest related to the New PPP Loan on the balance sheet, and a gain on forgiveness of PPP Loan of $374,000 for the nine months ended September 30, 2021 in connection with such forgiveness.

ASSET RETIREMENT OBLIGATIONS

ASSET RETIREMENT OBLIGATIONS	9 Months Ended
	Sep. 30, 2021
ASSET RETIREMENT OBLIGATIONS
NOTE 8- ASSET RETIREMENT OBLIGATIONS	NOTE 8 – ASSET RETIREMENT OBLIGATIONS Activity related to the Company’s asset retirement obligations is as follows (in thousands): Nine Months Ended September 30, 2021 Balance at the beginning of the period (1) $ 1,907 Accretion expense 284 Liabilities settled (123 ) Changes in estimates, net (51 ) Balance at end of period (2) $ 2,017 (1) Includes $234,000 of current asset retirement obligations at December 31, 2020. (2) Includes $173,000 of current asset retirement obligations at September 30, 2021.

COMMITMENT AND CONTINGENCIES

COMMITMENT AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2021
Commitments and contingencies
NOTE 9- COMMITMENT AND CONTINGENCIES	NOTE 9 – COMMITMENTS AND CONTINGENCIES Lease Agreements Currently, the Company has one operating lease for office space that requires Accounting Standards Codification (“ASC”) Topic 842 treatment, discussed below. The Company’s leases typically do not provide an implicit rate. Accordingly, the Company is required to use its incremental borrowing rate in determining the present value of lease payments based on the information available at the commencement date. The Company’s incremental borrowing rate would reflect the estimated rate of interest that it would pay to borrow on a collateralized basis over a similar term, an amount equal to the lease payments in a similar economic environment. However, the Company currently maintains no debt, and in order to apply an appropriate discount rate, the Company used an average discount rate of eight publicly traded peer group companies similar to it based on size, geographic location, asset types, and/or operating characteristics. The Company has a sublease for its corporate offices in Houston, Texas on approximately 5,200 square feet of office space that expires on August 31, 2023 and has a base monthly rent of approximately $10,000. Supplemental cash flow information related to the Company’s operating lease is included in the table below (in thousands): Nine Months Ended September 30, 2021 Cash paid for amounts included in the measurement of lease liabilities $ 89 Supplemental balance sheet information related to operating leases is included in the table below (in thousands): September 30, 2021 Operating lease – right-of-use asset $ 198 Operating lease liabilities - current $ 111 Operating lease liabilities - long-term 110 Total lease liability $ 221 The weighted-average remaining lease term for the Company’s operating lease is 1.9 years as of September 30, 2021, with a weighted-average discount rate of 5.35%. Lease liability with enforceable contract terms that have greater than one-year terms are as follows (in thousands): Remainder of 2021 $ 29 2022 121 2023 82 Thereafter - Total lease payments 232 Less imputed interest (11 ) Total lease liability $ 221 Leasehold Drilling Commitments The Company’s oil and gas leasehold acreage is subject to expiration of leases if the Company does not drill and hold such acreage by production or otherwise exercises options to extend such leases, if available, in exchange for payment of additional cash consideration. In the D-J Basin Asset, no net acres expire during the remainder of 2021, and no significant net acres expire thereafter (net to our direct ownership interest only). In the Permian Basin Asset, 522 net acres are due to expire during the remainder of 2021 and 1,331 net acres expire thereafter (net to our direct ownership interest only). The Company plans to hold significantly all of this acreage through a program of drilling and completing producing wells. If the Company is not able to drill and complete a well before lease expiration, the Company may seek to extend leases where able. Other Commitments Although the Company may, from time to time, be involved in litigation and claims arising out of its operations in the normal course of business, the Company is not currently a party to any material legal proceeding. In addition, the Company is not aware of any material legal or governmental proceedings against it or contemplated to be brought against it. As part of its regular operations, the Company may become party to various pending or threatened claims, lawsuits and administrative proceedings seeking damages or other remedies concerning its commercial operations, products, employees and other matters.

SHAREHOLDERS EQUITY

SHAREHOLDERS EQUITY	9 Months Ended
	Sep. 30, 2021
Shareholders' equity:
NOTE 10- SHAREHOLDERS' EQUITY	NOTE 10 – SHAREHOLDERS’ EQUITY Common Stock During the nine months ended September 30, 2021, the Company granted an aggregate of 1,250,000 restricted stock awards to various employees, board members and a non-affiliated advisor of the Company. Additionally, 16,667 shares of restricted common stock were forfeited to the Company and canceled due to an employee termination (see Note 11 below). On February 5, 2021, the Company closed an underwritten public offering of 5,968,500 shares of common stock at a public offering price of $1.50 per share, which included the full exercise of the underwriter’s over-allotment option, for net proceeds (after deducting the underwriters’ discount equal to 6% of the public offering price and expenses associated with the offering) of approximately $8.2 million. Warrants During the nine months ended September 30, 2021, warrants to purchase 150,329 shares of common stock outstanding, with an exercise price of $0.32 per share expired unexercised on June 25, 2021. As of September 30, 2021, the Company has no warrants outstanding.

SHAREBASED COMPENSATION

SHAREBASED COMPENSATION	9 Months Ended
	Sep. 30, 2021
SHAREBASED COMPENSATION
NOTE 11- SHARE-BASED COMPENSATION	NOTE 11 – SHARE-BASED COMPENSATION The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award over the vesting period. Common Stock On January 19, 2021, restricted stock awards were granted to officers of the Company for an aggregate of 940,000 of the Company’s common stock, under the Company’s Amended and Restated 2012 Equity Incentive Plan. The grant for the 940,000 shares of restricted stock vest as follows: 33.3% vest each subsequent year from the date of grant contingent upon the recipient’s continued service with the Company. These shares have a total fair value of $1,307,000 based on the market price on the issuance date. On February 5, 2021, the Company closed an underwritten public offering of 5,968,500 shares of common stock at a public offering price of $1.50 per share, which included the full exercise of the underwriter’s over-allotment option, for net proceeds (after deducting the underwriters’ discount equal to 6% of the public offering price and expenses associated with the offering) of approximately $8.2 million. On February 28, 2021, 16,667 shares of restricted common stock were rescinded due to an employee termination. As a result, these shares were canceled and the shares once again became eligible for future awards under the Company’s Amended and Restated 2012 Equity Incentive Plan. On March 31, 2021, 20,000 restricted stock awards were granted to a new employee of the Company, under the Company’s Amended and Restated 2012 Equity Incentive Plan. The grant for the 20,000 shares of restricted stock vest as follows: 100% vest on March 22, 2022, contingent upon the recipient’s continued service with the Company. These shares have a total fair value of $29,000 based on the market price on the issuance date. On September 1, 2021, restricted stock awards were granted to three board members and an advisor for an aggregate of 240,000, and 50,000 shares, respectively, of the Company’s restricted common stock, under the Company’s Amended and Restated 2012 Equity Incentive Plan. The grant of the 240,000 shares of restricted common stock vest as follows: 100% of 170,000 shares and 100% of 70,000 shares vesting on July 12, 2022 and September 27, 2022, respectively, contingent upon each recipient’s continued service with the Company. These shares have a total fair value of $276,000, based on the market price on the grant date. The grant of the remaining aggregate of 50,000 shares of restricted common stock vest as follows: 100% on the six-month anniversary of the grant date, subject to recipient’s continued service with the Company. These advisor shares have a total fair value of $58,000, based on the market price on the grant date. Stock-based compensation expense recorded related to the vesting of restricted stock for the nine months ended September 30, 2021 was $1,486,000. The remaining unamortized stock-based compensation expense at September 30, 2021 related to restricted stock was $1,297,000. Options On January 19, 2021, the Company granted options to purchase an aggregate of 550,000 shares of common stock to various Company employees at an exercise price of $1.39 per share. The options have a term of five years and fully vest in January 2024, with 33.3% vesting each subsequent year from the date of grant, contingent upon each recipient’s continued service with the Company. The aggregate fair value of the options on the date of grant, using the Black-Scholes model, was $654,000. Variables used in the Black-Scholes option-pricing model for the options issued include: (1) a discount rate of 0.45% based on the applicable US Treasury bill rate, (2) expected term of 3.5 years, (3) expected volatility of 156% based on the trading history of the Company, and (4) zero expected dividends. On January 28, 2021, the Company issued 86,430 total shares of common stock upon the cashless exercise of stock options to purchase an aggregate of 191,999 shares of common stock with exercise prices ranging between $1.10 and $1.68 per share, based on a then-current market value of $2.89 per share, under the terms of the options. The options had an intrinsic value of $250,000 on the exercise date. During the nine months ended September 30, 2021, the Company recognized stock option expense of $381,000. The remaining amount of unamortized stock options expense at September 30, 2021, was $443,000. The intrinsic value of outstanding and exercisable options at September 30, 2021 was $156,000. Option activity during the nine months ended September 30, 2021 was: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contract Term (Years) Outstanding at December 31, 2020 1,234,849 $ 2.43 2.7 Granted 550,000 $ 1.39 Exercised (191,999 ) $ 1.59 Expired/Canceled (314,414 ) $ 4.11 Outstanding at September 30, 2021 1,278,436 $ 1.70 3.0 Exercisable at September 30, 2021 456,435 $ 2.04 1.5

EARNINGS (LOSS) PER COMMON SHAR

EARNINGS (LOSS) PER COMMON SHARE	9 Months Ended
	Sep. 30, 2021
EARNINGS (LOSS) PER COMMON SHARE
NOTE 12- EARNINGS (LOSS) PER COMMON SHARE	NOTE 12 – EARNINGS (LOSS) PER COMMON SHARE Earnings (loss) per common share-basic is calculated by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. Net income (loss) per common share-diluted assumes the conversion of all potentially dilutive securities and is calculated by dividing net (loss) income by the sum of the weighted average number of shares of common stock, as defined above, outstanding plus potentially dilutive securities. Net (loss) income per common share-diluted considers the impact of potentially dilutive securities except in periods in which there is a loss because the inclusion of the potential common shares, as defined above, would have an anti-dilutive effect (amounts in thousands, except share and per share data). Three Months Ended September 30, Nine Months Ended September 30, Numerator: 2021 2020 2021 2020 Net income (loss) $ (325 ) $ (2,293 ) $ 178 $ (9,291 ) Denominator: Weighted average common shares – basic 79,533,016 72,250,014 78,628,077 72,124,339 Dilutive effect of common stock equivalents: Options and Warrants - - 72,063 - Denominator: Weighted average common shares – diluted 79,533,016 72,250,014 78,700,140 72,124,339 Earnings (loss) per share – basic $ (0.00 ) $ (0.03 ) $ 0.00 $ (0.13 ) Earnings (loss) per share – diluted $ (0.00 ) $ (0.03 ) $ 0.00 $ (0.13 ) For the three and nine-month periods ended September 30, 2021 and 2020, share equivalents related to options and warrants to purchase 1,143,436, compared to 1,234,849, and 1,126,769, compared to 1,234,849, shares of common stock, respectively, were excluded from the computation of diluted net income (loss) per share as the inclusion of such shares would be anti-dilutive.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2021
INCOME TAXES
NOTE 13- INCOME TAXES	NOTE 13 – INCOME TAXES The Company has estimated that its effective tax rate for U.S. purposes will be zero for the 2021 and 2020 fiscal years as a result of net losses and a full valuation allowance against the net deferred tax assets. Consequently, the Company has recorded no provision or benefit for income taxes for the three and nine months ended September 30, 2021 and 2020, respectively.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2021
SUBSEQUENT EVENTS
NOTE 14 - SUBSEQUENT EVENTS	NOTE 14 – SUBSEQUENT EVENTS On October 6, 2021, the Company closed a registered direct offering of 4,458,600 shares of common stock at a price of $1.57 per share for net proceeds (after deducting the placement agent’s fees and other estimated offering expenses associated with the offering) of approximately $6.5 million.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Recently Issued Accounting Pronouncements	The Company does not expect the adoption of any other recently issued accounting pronouncements to have a significant impact on its financial position, results of operations, or cash flows.
Subsequent Events	The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure consideration.

REVENUE FROM CONTRACTS WITH C_2

REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)	9 Months Ended
	Sep. 30, 2021
REVENUE FROM CONTRACTS WITH CUSTOMERS
Revenue by significant product type	Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Oil sales $ 3,697 $ 2,262 $ 10,635 $ 5,569 Natural gas sales 319 91 604 221 Natural gas liquids sales 53 64 101 115 Total revenue from customers $ 4,069 $ 2,417 $ 11,340 $ 5,905

CASH (Tables)

CASH (Tables)	9 Months Ended
	Sep. 30, 2021
CASH
Cash and restricted cash	September 30, 2021 December 31, 2020 Cash $ 19,926 $ 8,027 Restricted cash included in other assets 3,297 3,297 Total cash and restricted cash $ 23,223 $ 11,324

OIL AND GAS PROPERTIES (Tables)

OIL AND GAS PROPERTIES (Tables)	9 Months Ended
	Sep. 30, 2021
OIL AND GAS PROPERTIES
Oil and gas properties	Balance at December 31, 2020 Additions Disposals Transfers Balance at September 30, 2021 Oil and gas properties, subject to amortization $ 146,950 $ 2,432 $ (66 ) $ - $ 149,316 Oil and gas properties, not subject to amortization 4 - - - 4 Asset retirement costs 1,108 (46 ) (5 ) - 1,057 Accumulated depreciation, depletion and impairment (81,064 ) (4,520 ) - - (85,584 ) Total oil and gas assets $ 66,998 $ (2,134 ) $ (71 ) $ - $ 64,793

ASSET RETIREMENT OBLIGATIONS (T

ASSET RETIREMENT OBLIGATIONS (Tables)	9 Months Ended
	Sep. 30, 2021
ASSET RETIREMENT OBLIGATIONS
Asset retirement obligation	Nine Months Ended September 30, 2021 Balance at the beginning of the period (1) $ 1,907 Accretion expense 284 Liabilities settled (123 ) Changes in estimates, net (51 ) Balance at end of period (2) $ 2,017

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Sep. 30, 2021
Commitments and contingencies
Supplemental information related to operating lease	Nine Months Ended September 30, 2021 Cash paid for amounts included in the measurement of lease liabilities $ 89
Schedule of operating lease	September 30, 2021 Operating lease – right-of-use asset $ 198 Operating lease liabilities - current $ 111 Operating lease liabilities - long-term 110 Total lease liability $ 221
Lease liability maturity	Remainder of 2021 $ 29 2022 121 2023 82 Thereafter - Total lease payments 232 Less imputed interest (11 ) Total lease liability $ 221

SHAREBASED COMPENSATION (Tables

SHAREBASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2021
SHAREBASED COMPENSATION
Stock option activity	Number of Options Weighted Average Exercise Price Weighted Average Remaining Contract Term (Years) Outstanding at December 31, 2020 1,234,849 $ 2.43 2.7 Granted 550,000 $ 1.39 Exercised (191,999 ) $ 1.59 Expired/Canceled (314,414 ) $ 4.11 Outstanding at September 30, 2021 1,278,436 $ 1.70 3.0 Exercisable at September 30, 2021 456,435 $ 2.04 1.5

EARNINGS (LOSS) PER COMMON SH_2

EARNINGS (LOSS) PER COMMON SHARE (Tables)	9 Months Ended
	Sep. 30, 2021
EARNINGS (LOSS) PER COMMON SHARE
Earnings (loss) per share	Three Months Ended September 30, Nine Months Ended September 30, Numerator: 2021 2020 2021 2020 Net income (loss) $ (325 ) $ (2,293 ) $ 178 $ (9,291 ) Denominator: Weighted average common shares – basic 79,533,016 72,250,014 78,628,077 72,124,339 Dilutive effect of common stock equivalents: Options and Warrants - - 72,063 - Denominator: Weighted average common shares – diluted 79,533,016 72,250,014 78,700,140 72,124,339 Earnings (loss) per share – basic $ (0.00 ) $ (0.03 ) $ 0.00 $ (0.13 ) Earnings (loss) per share – diluted $ (0.00 ) $ (0.03 ) $ 0.00 $ (0.13 )

REVENUE FROM CONTRACTS WITH C_3

REVENUE FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Total revenue from customers	$ 4,069	$ 2,417	$ 11,340	$ 5,905
Oil Sales
Total revenue from customers	3,697	2,262	10,635	5,569
Natural Gas Sales
Total revenue from customers	319	91	604	221
Natural Gas Liquids Sales
Total revenue from customers	$ 53	$ 64	$ 101	$ 115

CASH (Details)

CASH (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020	Dec. 31, 2019
CASH
Cash	$ 19,926	$ 8,027
Restricted cash included in other assets	3,297	3,297
Total cash and restricted cash	$ 23,223	$ 11,324	$ 11,679	$ 25,712

OIL AND GAS PROPERTIES (Details

OIL AND GAS PROPERTIES (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Oil and gas properties, subject to amortization	$ 149,316,000	$ 146,950,000
Oil and gas properties, not subject to amortization	4,000	4,000
Asset retirement costs	1,057,000	1,108,000
Accumulated depreciation, depletion and impairment	(85,584,000)	(81,064,000)
Total oil and gas properties, net	64,793,000	$ 66,998,000
Additions
Oil and gas properties, subject to amortization	2,432,000
Oil and gas properties, not subject to amortization	0
Asset retirement costs	(46,000)
Accumulated depreciation, depletion and impairment	(4,520,000)
Total oil and gas properties, net	2,134,000
Disposals
Oil and gas properties, subject to amortization	66,000
Oil and gas properties, not subject to amortization	0
Asset retirement costs	(5,000)
Accumulated depreciation, depletion and impairment	0
Total oil and gas properties, net	71,000
Transfers
Oil and gas properties, subject to amortization	0
Oil and gas properties, not subject to amortization	0
Asset retirement costs	0
Accumulated depreciation, depletion and impairment	0
Total oil and gas properties, net	$ 0

OIL AND GAS PROPERTIES (Detai_2

OIL AND GAS PROPERTIES (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
OIL AND GAS PROPERTIES
Capital costs for recently completed wells			$ 2,432,000
Depletion	$ 1,576,000	$ 4,520,000	2,890,000	$ 8,076,000
Net cash received	$ 1,900		1,900
Gains on sales			$ 1,800
Description of additional paid			an additional $52,000 paid by Red Hawk in July 2021.

PPP LOANS (Details Narrative)

PPP LOANS (Details Narrative) - USD ($)	1 Months Ended	9 Months Ended
	May 20, 2021	Sep. 30, 2021	Sep. 30, 2020
Gains on forgiveness of ppp loan		$ 374,000
Loan	$ 370,000
Accrued interest	$ 4,000
Proceed from loan		0	$ 740,000
April 22,2020 [Member] | U.S. Small Business Administration's [Member]
Proceed from loan		370,000
June 02, 2020 [Member]
Proceed from loan		$ 370,000
Interest rate		1.00%

ASSET RETIREMENT OBLIGATIONS (D

ASSET RETIREMENT OBLIGATIONS (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2021USD ($)
ASSET RETIREMENT OBLIGATIONS
Balance at the beginning of the period	$ 1,907
Accretion expense	284
Liabilities settled	(123)
Changes in estimates	51
Balance at end of period	$ 2,017

ASSET RETIREMENT OBLIGATIONS _2

ASSET RETIREMENT OBLIGATIONS (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
ASSET RETIREMENT OBLIGATIONS
Cureent asset retirement	$ 173,000	$ 234,000

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Commitments and contingencies
Cash paid for amounts included in the measurement of lease liabilities	$ 89
Operating lease - right-of-use asset	198	$ 270
Operating lease liabilities	111
Operating lease liabilities - long-term	110
Total lease liability	$ 221

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES (Details 1)	Sep. 30, 2021USD ($)
Commitments and contingencies
Remainder of 2021	$ 29,000
2022	121,000
2023	82,000
Thereafter	0
Total lease payments	232,000
Less imputed interest	(11,000)
Total lease liability	$ 221,000

COMMITMENTS AND CONTINGENCIES_4

COMMITMENTS AND CONTINGENCIES (Details Narrative)	9 Months Ended
	Sep. 30, 2021USD ($)
Commitments and contingencies
Rent expenses	$ 10,000
Weighted-average remaining lease term	1 year 10 months 24 days
Description of lease hold commitments	In the Permian Basin Asset, 522 net acres are due to expire during the remainder of 2021 and 1,331 net acres expire
Weighted-average discount rate	5.35%

SHAREHOLDERS EQUITY (Details Na

SHAREHOLDERS EQUITY (Details Narrative) - USD ($)	Feb. 05, 2021	Sep. 30, 2021	Dec. 31, 2020
Shareholders' equity:
Restricted stock awards granted		1,250,000
Warrants to purchase common stock		150,329
Warrants to purchase common stock,expired		Jun. 25, 2021
Common stock underwriting to public offering	5,968,500
Intrinsic value of warrants exercisable		$ 320
Common stock,price per share	$ 1.50	$ 0.001	$ 0.001
Description of net proceeds	net proceeds (after deducting the underwriters’ discount equal to 6% of the public offering price and expenses associated with the offering) of approximately $8.2 million.

SHAREBASED COMPENSATION (Detail

SHAREBASED COMPENSATION (Details) - $ / shares	1 Months Ended	9 Months Ended
	Jan. 28, 2021	Sep. 30, 2021
SHAREBASED COMPENSATION
Number of options outstanding, beginning	1,234,849,000	1,234,849,000
Granted	191,999	550,000,000
Number of options outstanding, ending		1,278,436,000
Number of options exercisable		456,435,000
Weighted average exercise price outstanding, beginning	$ 2.43	$ 2.43
Granted		1.39
Exercised		1.59
Expired/canceled		4.11
Weighted average exercise price outstanding, ending		1.70
Weighted average exercise price exercisable		$ 2.04
Weighted average remaining contractual life (in years) outstanding, beginning		2.7
Weighted average remaining contractual life (in years) outstanding, ending		3.0
Weighted average remaining contractual life (in years) exercisable		1.5

SHAREBASED COMPENSATION (Deta_2

SHAREBASED COMPENSATION (Details Narrative) - USD ($)	Sep. 01, 2021	Feb. 05, 2021	Mar. 31, 2021	Jan. 28, 2021	Jan. 19, 2021	Feb. 28, 2020	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Common stock,price per share		$ 1.50						$ 0.001		$ 0.001
Description of net proceeds		net proceeds (after deducting the underwriters’ discount equal to 6% of the public offering price and expenses associated with the offering) of approximately $8.2 million.
Common stock underwriting to public offering		5,968,500
Shares of restricted common stock						16,667
Unamortized stock-based compensation expense, restricted stock								$ 1,486,000
Unamortized stock-based compensation expense, restricted stock option								1,297,000
Stock-based compensation expense, stock option								381,000,000
Intrinsic value of options exercisable								156,000,000
Unamortized stock-based compensation expense								$ 443,000
Common stock shares					550,000
Common stock shares,exercise price					$ 1.39
Aggregate fair value of the options					$ 654,000
Fair value of the options discount rate					0.45%
Fair value of the options, expexted term					3 years 6 months
Fair value of the options, expected volatility					156.00%
Description of option term					The options have a term of five years and fully vest in January 2024, with 33.3% vesting each subsequent year from the date of grant
Aggregate intrinsic value of options				$ 250,000
Common stock shares issued				86,430
Coomo stock ,aggregate shares				191,999				550,000,000
Coomon stock,market value				$ 2.89
Restricted stock awards granted								1,250,000
Total fair value of stock							$ 0	$ 2,000	$ 1,000
Maximum [Member]
Coomon stock shares,exercise price				1.68
Minimum [Member]
Coomon stock shares,exercise price				$ 1.10
Amended and Restated 2012 Equity Incentive Plan [Member]
Common stock shares issued			20,000		940,000
Description of restricted stock			The grant for the 20,000 shares of restricted stock vest as follows: 100% vest		The grant for the 940,000 shares of restricted stock vest as follows: 33.3% vest
Common stock,total fair value			$ 29,000		$ 1,307,000
Amended and Restated 2012 Equity Incentive Plan [Member] | Transaction One [Member]
Restricted common stock vested	170,000
Restricted stock awards granted	240,000
Restricted common stock vesting percentage	100.00%
Restricted common stock vesting date	Jul. 12, 2022
Total fair value of stock	$ 276,000
Amended and Restated 2012 Equity Incentive Plan [Member] | Transaction Two [Member]
Restricted common stock vested	70,000
Restricted stock awards granted	50,000
Restricted common stock vesting percentage	100.00%
Restricted common stock vesting date	Sep. 27, 2022
Amended and Restated 2012 Equity Incentive Plan [Member] | Transaction Three [Member]
Restricted common stock vested	50,000
Restricted common stock vesting percentage	100.00%
Total fair value of stock	$ 58,000

EARNINGS (LOSS) PER COMMON SH_3

EARNINGS (LOSS) PER COMMON SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2021	Sep. 30, 2020
Numerator
Net loss	$ (325,000)	$ (225,000)	$ 728,000	$ (2,293,000)	$ (2,741,000)	$ (4,257,000)	$ 178,000	$ (9,291,000)
Denominator:
Weighted average number of common shares outstanding: basic	79,533,016			72,250,014			78,628,077	72,124,339
Dilutive effect of common stock equivalents:
Options and warrants	$ 0			$ 0			$ 72,063,000	$ 0
Denominator:
Weighted average common shares - diluted	79,533,016			72,250,014			78,700,140	72,124,339
Earnings (loss) per share - basic	$ 0			$ (0.03)			$ 0	$ (0.13)
Earnings (loss) per share - diluted	$ 0			$ (0.03)			$ 0	$ (0.13)

EARNINGS (LOSS) PER COMMON SH_4

EARNINGS (LOSS) PER COMMON SHARE (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
EARNINGS (LOSS) PER COMMON SHARE
Purchase of options and warrants	$ 1,143,436	$ 1,126,769	$ 1,234,849	$ 1,234,849

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member] $ / shares in Units, $ in Millions	Oct. 06, 2021USD ($)$ / sharesshares
Direct offering of common stock shares | shares	4,458,600
Common stock at price per share | $ / shares	$ 1.57
Net proceeds after deducting the placement agent's fees and other estimated offering expenses | $	$ 6.5