STOCK TITAN

Range Impact (OTCQB: RNGE) logs Q1 loss and warns of going-concern pressure

Filing Impact
(Moderate)
Filing Sentiment
(Neutral)
Form Type
10-Q

Rhea-AI Filing Summary

Range Impact, Inc. reported Q1 2026 revenue of $915,380 from coal royalties and a net loss of $1,833,690, or $0.02 per share. Higher non-cash amortization and accretion expenses tied to 2025 mine acquisitions drove the loss. Cash was $1,283,121 against negative working capital of $1,712,799 and asset retirement obligations of $79,555,116.

Management disclosed substantial doubt about the company’s ability to continue as a going concern within one year, citing operating cash use of $982,050 in the quarter and limited liquidity. Range is seeking additional financing while pursuing its strategy of reclaiming and repurposing Appalachian mine lands through its Range Land and Range Services segments.

Positive

  • None.

Negative

  • None.

Insights

New mine assets create scale, but liquidity is tight and going-concern risk is explicit.

Range Impact, Inc. generated Q1 2026 revenue of $915,380 from coal royalties after pivoting to a land-ownership model, but recorded a net loss of $1,833,690. Operating cash outflow was $982,050, reflecting heavy non-cash amortization and accretion from large 2025 mine-site acquisitions.

The balance sheet shows total assets of $121.97M, largely land and intangibles, versus asset retirement obligations of $79.56M and total liabilities of $85.86M. Current liabilities of $4.01M exceed current assets, leaving negative working capital of $1.71M. Management states these factors raise substantial doubt about continuing as a going concern within one year.

One customer contributed 59% of Q1 2026 revenue and 80% of accounts receivable, adding concentration risk. The company is actively seeking additional capital; future filings covering the period through March 31, 2027 will clarify whether new financing, stronger royalty streams, or further restructuring improve its liquidity profile.

Q1 2026 revenue $915,380 Coal royalty revenue from continuing operations for the three months ended March 31, 2026
Q1 2026 net income (loss) $(1,833,690) Net loss for the three months ended March 31, 2026, versus $5,099,627 income in 2025
Earnings per share $(0.02) per share Basic and diluted net loss per share for Q1 2026; $0.05 per share in Q1 2025
Cash balance $1,283,121 Cash and cash equivalents as of March 31, 2026
Working capital $(1,712,799) Current assets minus current liabilities as of March 31, 2026
Asset retirement obligations $79,555,116 Discounted asset retirement obligation balance at March 31, 2026
Total assets $121,974,746 Consolidated assets as of March 31, 2026
Shares outstanding 113,316,078 shares Common shares issued and outstanding as of May 15, 2026
going concern financial
"These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial statements are issued."
A going concern is a business that is expected to continue its operations and meet its obligations for the foreseeable future, rather than shutting down or selling off assets. This assumption matters to investors because it indicates stability and ongoing profitability, making the business a more reliable investment. Think of it as believing a restaurant will stay open and serve customers, rather than closing down suddenly.
asset retirement obligations financial
"Asset retirement obligations were $79,555,116 at March 31, 2026, reflecting reclamation liabilities for former mine sites."
Asset retirement obligations are a company’s recorded promise to pay for dismantling, cleaning up, or restoring property when a long-lived asset is retired — for example decommissioning a plant or removing equipment. Companies estimate the future cleanup cost today and book it as a liability (and add the cost to the asset), so it affects the balance sheet, reported profits over time, and future cash needs; investors watch it like a planned bill that can reduce cash available for returns.
bargain purchase gain financial
"Because the fair value of the land acquired exceeded the amount of the credited accounts receivable, the Company recognized a bargain purchase gain of $5,602,484."
A bargain purchase gain happens when a buyer acquires another company's assets for less than those assets' estimated fair value, producing an immediate accounting profit for the buyer. For investors, it matters because that one-time gain boosts the acquirer's reported earnings and can signal a very favorable deal — like finding a valuable item at a steep discount — but it may also prompt scrutiny about whether asset values or the deal terms were estimated correctly.
impact investing financial
"We take an opportunistic approach to impact investing by thoughtfully allocating our capital to strategic opportunities that are expected to make a positive impact."
Impact investing is putting money into businesses, projects or funds that aim to generate measurable social or environmental benefits alongside financial returns. Investors choose these opportunities because they want their capital to act like a tool—similar to planting a tree that both grows value and improves the neighborhood—so they can pursue profit while also supporting causes such as clean energy, affordable housing, or improved healthcare. Performance matters because better outcomes can attract customers, reduce operating risks, or open new markets, affecting investment returns.
noncontrolling equity interest financial
"The remaining balance of the gain is recorded on the balance sheet as Noncontrolling Equity Interest."
ASC 606 financial
"The Company recognizes revenue under ASC 606, Revenue from Contracts with Customers."
A U.S. accounting standard that sets consistent rules for when and how companies record revenue from contracts with customers, focusing on the transfer of promised goods or services. It matters to investors because it affects the timing and amount of reported sales and profit—like deciding whether a contractor can count payment when a job starts, progresses, or finishes—so it improves comparability and helps assess a company's true economic performance.
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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 March 31, 2026

 

TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from _____ to _____

 

Commission File Number: 000-53832

 

RANGE IMPACT, INC.

(Exact name of registrant as specified in its charter)

 

Nevada   75-3268988

(State or other jurisdiction of

incorporation or organization)

 

(I.R.S. Employer

Identification No.)

 

200 Park Avenue, Suite 400    
Cleveland, OH   44122
(Address of principal executive offices)   (Zip Code)

 

(216) 304-6556

Registrant’s telephone number, including area code

 

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

 

Title of each class:   Trading Symbol   Name of each exchange on which registered:
Common Stock   RNGE   OTCQB

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the 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 and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted 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 and post such files). Yes ☒ No ☐

 

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

 

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

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No

 

As of May 15, 2026, there were 113,316,078 shares of the registrant’s common stock, $0.001 par value per share, outstanding.

 

 

 

 

 

 

RANGE IMPACT, INC.

Quarterly Report on Form 10-Q

For the Quarterly Period Ended

March 31, 2026

 

INDEX

 

PART I - FINANCIAL INFORMATION 3
   
Item 1. Financial Statements (Unaudited) 3
Consolidated Balance Sheets as of March 31, 2026 (Unaudited) and December 31, 2025 4
Consolidated Unaudited Statements of Operations for the Three Months Ended March 31, 2026 and March 31, 2025 5
Consolidated Unaudited Statements of Changes in Stockholders’ Equity for the Three Months Ended March 31, 2026 and March 31, 2025 6
Consolidated Unaudited Statements of Cash Flows for the Three Months Ended March 31, 2026 and March 31, 2025 7
Notes to the Consolidated Unaudited Financial Statements 8
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations 19
Item 3. Quantitative and Qualitative Disclosures About Market Risk 25
Item 4. Controls and Procedures 25
   
PART II - OTHER INFORMATION 26
   
Item 1. Legal Proceedings 26
Item 1A. Risk Factors 26
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 26
Item 6. Exhibits 27
   
SIGNATURES 29

 

2
 

 

PART I - FINANCIAL INFORMATION

 

Item 1. Financial Statements (Unaudited)

 

RANGE IMPACT, INC.

CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

 

CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2026 (UNAUDITED) AND DECEMBER 31, 2025 4
   
CONSOLIDATED UNAUDITED STATEMENTS OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2026 AND MARCH 31, 2025 5
   
CONSOLIDATED UNAUDITED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY FOR THE THREE MONTHS ENDED MARCH 31, 2026 AND MARCH 31, 2025 6
   
CONSOLIDATED UNAUDITED STATEMENTS OF CASH FLOWS FOR THE THREE MONTHS ENDED MARCH 31, 2026 AND MARCH 31, 2025 7
   
NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS 8

 

3
 

 

RANGE IMPACT, INC.

CONSOLIDATED BALANCE SHEETS

 

   March 31, 2026
(unaudited)
   December 31, 2025 
Assets        
           
Current Assets          
Cash and cash equivalents  $1,283,121   $2,110,171 
Accounts receivable   950,114    617,929 
Prepaid expenses   47,419    14,810 
Deposits   15,288    15,395 
Total current assets   2,295,942    2,758,305 
Long-term Assets          
Land   42,548,402    42,548,402 
Property and equipment, net of accumulated depreciation   97,528    115,375 
Long-term intangible assets   77,032,874    77,814,610 
Total long-term assets   119,678,804    120,478,387 
Total Assets  $121,974,746   $123,236,692 
           
Liabilities and Stockholders’ Equity          
           
Current Liabilities          
Current portion of bank debt  $500,000   $400,000 
Accounts payable   1,342,832    1,136,907 
Accrued expenses   2,165,909    2,165,909 
Total current liabilities   4,008,741    3,702,816 
Long-term Liabilities          
Bank debt, net of current portion   1,300,000    1,400,000 
Deposits held   1,000,000    1,000,000 
Asset retirement obligations   79,555,116    79,344,297 
Total long-term debt   81,855,116    81,744,297 
Total liabilities   85,863,857    85,447,113 
           
Stockholders’ Equity          
Controlling Interest:          
Common stock, par value $0.001 per share; 1,000,000,000 shares authorized; 113,316,078 and 112,282,745 shares issued and outstanding, respectively   113,316    112,283 
Additional paid-in-capital   59,217,451    59,063,484 
Accumulated deficit   (38,951,344)   (37,712,204)
Total controlling equity interest   20,379,423    21,463,563 
Noncontrolling equity interest   15,731,466    16,326,016 
Total stockholders’ equity   36,110,889    37,789,579 
Total Liabilities and Stockholders’ Equity  $121,974,746   $123,236,692 

 

See accompanying notes to the consolidated financial statements.

 

4
 

 

RANGE IMPACT, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

 

   2026   2025 
   Three Months Ended March 31, 
   2026   2025 
         
Revenues  $915,380   $- 
Costs and expenses:          
Costs of services   45,857    97,348 
Depreciation of property and equipment   17,847    54,147 
Amortization of long-term intangible assets   781,736    - 
Accretion of asset retirement obligations   1,404,341    - 
General and administrative   464,804    439,912 
Total operating expenses   2,714,585    591,407 
           
(Loss) from continuing operations before other income (expense)   (1,799,205)   (591,407)
           
Other income (expense):          
Other income   -    83,627 
Gain on bargain purchase   -    5,602,484 
Gain on sale of fixed assets   -    59,680 
Interest expense   (34,485)   (90,868)
Total other income (expense)   (34,485)   5,654,923 
           
Income (loss) from continuing operations   (1,833,690)   5,063,516 
Income from discontinued operations   -    36,111 
Net income (loss)  $(1,833,690)  $5,099,627 
           
Net income (loss) per share – basic and diluted  $(0.02)  $0.05 
Weighted average number of common shares outstanding – basic and diluted   112,500,736    104,732,848 

 

 

See accompanying notes to the consolidated financial statements.

 

5
 

 

RANGE IMPACT, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(Unaudited)

 

   Number of
Shares
   Amount   Paid-in
Capital
   Accumulated Deficit  

Noncontrolling

Interest

   Total 
   Three Months Ended March 31, 2026 
   Common Stock   Additional             
   Number of
Shares
   Amount   Paid-in
Capital
   Accumulated Deficit  

Noncontrolling

Interest

   Total 
Balance as of December 31, 2025   112,282,745   $112,283   $59,063,484   $(37,712,204)  $16,326,016   $37,789,579 
Shares issued   1,033,333    1,033    153,967    -    -    155,000 
Stock based compensation   -    -    -    -    -    - 
Net loss   -    -    -    (1,239,140)   

(594,550

)   (1,833,690)
Balance as of March 31, 2026 (Unaudited)   113,316,078   $113,316   $59,217,451   $(38,951,344)  $15,731,466   $36,110,889 

 

   Number of
Shares
   Amount   Paid-in
Capital
  

Accumulated

Deficit

   Total 
   Three Months Ended March 31, 2025 
   Common Stock   Additional         
   Number of
Shares
   Amount   Paid-in
Capital
  

Accumulated

Deficit

   Total 
Balance as of December 31, 2024   104,727,189   $104,727   $57,609,560   $(56,879,882)  $834,405 
Shares issued   3,888,889    3,889    596,111    -    600,000 
Stock based compensation   -    -    4,490    -    4,490 
Net income   -    -    -    5,099,627    5,099,627 
Balance as of March 31, 2025 (Unaudited)   108,616,078   $108,616   $58,210,161   $(51,780,255)  $6,538,522 

 

See accompanying notes to the consolidated financial statements.

 

6
 

 

RANGE IMPACT, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

   2026   2025 
   Three Months Ended March 31, 
   2026   2025 
Cash flows from operating activities:          
Net income (loss)  $(1,833,690)  $5,099,627 
           
Adjustments to reconcile net income (loss) to net cash (used in) operating activities:          
Gain on bargain purchase   -    (5,602,484)
Net gain on asset disposals   -    (59,680)
Fair value of vested stock options   -    4,490 
Depreciation from continuing operations   17,847    54,147 
Depreciation from discontinued operations   -    30,636 
Amortization of long-term intangible assets   781,736    - 
Accretion of asset retirement obligations   1,404,341    - 
Changes in operating assets and liabilities:          
Accounts receivable   (332,185)   - 
Accounts receivable from discontinued operations   -    96,615 
Contract assets   -    154,354 
Prepaid expenses and other current assets   (32,609)   (39,099)
Deposits   107    (5,614)
Accounts payable   205,925    (112,142)
Accrued expenses   -    (48,951)
Cash paid for asset retirement obligations   (1,193,522)   - 
Net cash (used in) operating activities   (982,050)   (428,101)
           
Cash flows from investing activities:          
Equipment purchases   -    (100,000)
Proceeds from asset sales   -    380,000 
Net cash provided by investing activities   -    280,000 
           
Cash flows from financing activities:          
Proceeds from stock issuance   155,000    600,000 
Repayment of long-term debt   -    (366,490)
Net cash provided by financing activities   155,000    233,510 
           
Net increase (decrease) in cash and cash equivalents   (827,050)   85,409 
           
Cash and cash equivalents - beginning of period   2,110,171    167,286 
Cash and cash equivalents - end of period  $1,283,121   $252,695 
           
Supplemental disclosure of cash flow information:          
Cash paid during the period for:          
Interest  $35,111   $23,851 

 

See accompanying notes to the consolidated financial statements.

 

7
 

 

RANGE IMPACT, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

THREE MONTHS ENDED MARCH 31, 2026 AND 2025

(Unaudited)

 

1. BUSINESS OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Range Impact, Inc. (the “Company”, “we”, “us” or “our”), was incorporated in the State of Nevada on June 29, 2007.

 

We are focused on developing long-term solutions to environmental, social, and health challenges by acquiring, reclaiming and repurposing mine sites and other undervalued land in economically disadvantaged communities throughout Appalachia. We take an opportunistic approach to impact investing by thoughtfully allocating our capital to strategic opportunities that are expected to make a positive impact on the people-planet ecosystem and generate strong investment returns for our shareholders. By actively directing investment capital in a manner intended to create positive environmental, social and economic outcomes, we believe that our impact investing strategy can contribute to an improved people-planet ecosystem and a healthier and happier way of life.

 

We have a particular interest in providing environmental and social solutions in economically-disadvantaged regions of the United States. Initially, the Company is targeting the Appalachian region, which is home to communities with some of the most disadvantaged income, education and employment demographics in the United States. Our strategy is to acquire large mine sites burdened by substantial legacy reclamation obligations and use our team and resources to perform the requisite reclamation activities and obtain full bond release, thereby unlocking the underlying value of the land and creating a critical catalyst for sustainable, long-term economic development in the disadvantaged coal communities of Appalachia.

 

We had previously focused primarily on generating revenue by providing reclamation and incidental mining and security services to third party mining companies, permit holders and private owners with abandoned mine land property. However, beginning in early 2025, our strategy evolved from a service-based business model to a land ownership business model designed to unlock the underlying value of land we own through our own reclamation activities, and then creating multiple streams of long-term recurring revenue with a diverse group of third-party lessees focused on next-generation uses.

 

Since inception, the Company has undergone several strategic transformations conducting prior operations under the names Legend Mining Inc., Stevia First Corp., Vitality Biopharma, Inc., and Malachite Innovations, Inc. In December 2023, the Company adopted its current name. Since March 2025, the Company has conducted its business through its two operating segments, Range Land and Range Services, as described in more detail in Note 13 below.

 

In March 2025, the Company, through its wholly-owned subsidiary Range Sky View Land, LLC, acquired 120,154 acres of fee, surface and mineral interests at the Fola mine complex (“Fola Mine”) located in Clay and Nicholas Counties, West Virginia (“Fola Acquisition”). As part of the Fola Acquisition, the Company acquired 15 mining permits at the Fola Mine with an estimated reclamation obligation of $29.3 million and assumed an obligation to manage an additional 16 mining permits at the Fola Mine with an estimated reclamation obligation of $13.8 million. The Company also assumed two coal royalty contracts and one 25-year solar lease with a multi-national corporation for the development of a large-scale solar project located on more than 1,000 acres at the Fola Mine. The Fola Acquisition is described in more detail in Note 3.

 

In December 2025, the Company acquired 15,704 acres of surface land and 42,500 acres of mineral interests associated with the Premier Elkhorn Mine Complex and Cambrian Coal Mine Complex in Pike, Letcher and Floyd Counties, Kentucky (the “Premier-Cambrian Acquisition”) from Continental Land, LLC, an entity indirectly owned by the Company’s largest shareholder and its CEO. The acquisition included the assumption of management and reclamation responsibilities for 43 mining permits that remained with the current permittee, Reckoning Reclamation LLC, with an estimated total asset retirement obligation of $43.1 million. The Premier-Cambrian Acquisition is described in more detail in Note 4.

 

Going Concern

 

The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. As reflected in the accompanying financial statements, during the three months ended March 31, 2026, the Company incurred a net loss of $1,833,690 and used $982,050 of cash in the Company’s operating activities. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial statements are issued. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.

 

The ability to continue as a going concern is dependent on the Company attaining and maintaining profitable operations in the future and/or raising additional capital to meet its obligations when they come due. The Company estimates, as of March 31, 2026, that it may not have sufficient funds to operate the business for 12 months given its cash balance of $1,283,121 and expected revenues to be generated by the Company’s operating business segments. The Company is actively seeking additional financing and other sources of capital to fund its currently estimated level of operations. However, these estimates could differ from actual capital needs if the Company’s business encounters unanticipated difficulties, or if its estimates of the amount of cash necessary to operate its business prove to be wrong, and the Company uses its available financial resources faster than it currently expects. No assurance can be given that any future financing or capital, if needed, will be available or, if available, that it will be on terms that are satisfactory to the Company.

 

Basis of Presentation

 

The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) and with the instructions to Form 10-Q and the applicable requirements of Regulation S-X. The consolidated financial statements include the accounts of the Company and all of its wholly-owned subsidiaries, and have been prepared in accordance with accounting principles generally accepted in the United States of America. Intercompany balances and transactions have been eliminated in consolidation.

 

Reclassifications

 

Certain prior period amounts have been reclassified to conform with the current period’s presentation.

 

Use of Estimates

 

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.

 

Discontinued Operations

 

The Company disposed of all of the assets of its wholly-owned subsidiary, Collins Building & Contracting, Inc. (“Collins Building”) and ceased providing third-party reclamation services during the year ended December 31, 2025. In accordance with GAAP, assets and liabilities of discontinued operations are presented separately in the Consolidated Balance Sheets, and results of discontinued operations are reported as a separate component of consolidated net loss or net income in the Consolidated Statements of Operations, for all periods presented, resulting in changes to the presentation of certain prior period amounts.

 

Refer to Note 2 for additional discussion of discontinued operations and disposition of assets. All other notes to these consolidated financial statements present the results of continuing operations and exclude amounts related to discontinued operations for all periods presented.

 

Business Combinations

 

Business combinations are accounted for using the purchase method of accounting under ASC 805, “Business Combinations”. This method requires the Company to record assets and liabilities of the businesses acquired at their estimated fair values as of the acquisition date. Any excess of the cost of the acquisition over the fair value of the net assets acquired is recorded as goodwill. Any excess of the fair value of the net assets acquired over the cost of the acquisition is accounted for as a bargain purchase gain. Determining the fair value requires management to make estimates and assumptions including discount rates, rates of return on assets, and long-term sales growth rates.

 

8
 

 

Revenue Recognition

 

The Company recognizes revenue under ASC 606, “Revenue from Contracts with Customers”. Under this standard, revenue is recognized by applying a five-steps model (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when (or as) each performance obligation is satisfied.

 

The Company primarily invoices customers for coal royalties and recognizes revenue on a periodic basis as coal is shipped. Costs for equipment, labor and chemicals are generally expensed as incurred. All revenue is recognized at a point in time.

 

The Company recognizes consulting revenue on a periodic basis as services are provided to non-affiliated third parties related to the reclamation and repurposing of land at the Premier-Cambrian Mine. All revenue is recognized at a point in time.

 

The Company recognized revenue on reclamation contracts for operations included in discontinued operations over time. These contracts were generally treated as a single performance obligation, as the Company provided a significant service of integrating multiple components into a single project. Revenue was recognized using a cost-based input method whereby progress toward completion was measured based on actual costs incurred relative to total estimated contract costs. Then, this percentage of completion was applied to the transaction price to determine the amount of revenue recognized. The Company believes this method provides a faithful depiction of performance as it directly reflects the value of the services transferred to the customer.

 

Contract Estimates (Discontinued Operations)

 

Estimating total revenue and cost at completion for the Company’s former performance obligations requires significant judgment and is subject to uncertainty. The Company regularly reviews and updates these estimates based on contract progress, execution status, and the expected costs to complete. All activity related to these contracts are included in discontinued operations for the three-month period ended March 31, 2025.

 

Changes in estimated profitability are recognized using the cumulative catch-up method, with the impact recorded in the period identified and future results based on revised estimates. Expected losses on contracts are recognized in full in the period they become evident.

 

Contract Modifications

 

Contract modifications can occur during the performance of the Company’s contracts. Contracts may be modified to account for changes in contract specifications or requirements. In most instances, contract modifications are for goods or services that are not distinct, and, therefore, are accounted for as part of the existing contract.

 

Cost and Expense Recognition

 

Contract costs include all direct labor, materials, equipment mobilization, subcontractor, and equipment costs, and those indirect costs related to contract performance, such as indirect labor, tools and supplies. Costs are recognized as incurred.

 

Cash and Cash Equivalents

 

The Company considers all highly liquid investments with an original maturity of three months or less at the date of acquisition to be cash equivalents. From time to time, the Company’s cash balances may exceed amounts insured by the Federal Deposit Insurance Corporation. The Company has never suffered a loss due to such uninsured balances.

 

Accounts Receivable

 

Trade accounts receivable are reported at the amounts management expects to collect from the balances outstanding as of March 31, 2026 or December 31, 2025, as presented in the consolidated balance sheets. Based on its assessment, management concluded that any potential losses on these balances are immaterial and therefore, no allowances for expected credit losses were recorded for the three months ended March 31, 2026 or the three months ended March 31, 2025. Accounts receivable were $950,114 and $617,929 at March 31, 2026 and December 31, 2025, respectively. No credit loss expense was accrued in either the three months ended March 31, 2026 or the three months ended March 31, 2025 and there is no allowance for expected credit losses as of March 31, 2026 or December 31, 2025.

 

9
 

 

Property & Equipment

 

Property and equipment is carried at cost. Expenditures for maintenance and repairs are charged to cost of services. Additions and betterments are capitalized. The cost and related accumulated depreciation of equipment sold or otherwise disposed are removed from the accounts and any gain or loss is reflected in the current year’s earnings.

 

   March 31, 2026   December 31, 2025 
         
Equipment  $637,173   $637,173 
Accumulated depreciation   (539,645)   (521,798)
Net book value   97,528    115,375 
Depreciation expense (continuing operations)  $17,847   $78,383 
Depreciation expense (discontinued operations)   -   $91,908 

 

Property and equipment are depreciated using the straight-line method over an estimated six-year useful life for both financial reporting and federal income tax purposes.

 

The Company assesses the recoverability of its property and equipment by determining whether their carrying amounts are recoverable through projected future cash flows over the assets’ remaining useful lives. No assets were identified for impairment. These assets are reported within the Range Services operating business segment.

 

Land

 

Land is carried at cost. The Company assesses the recoverability of its land by determining whether the cost of the land can be recovered through projected future cash flows generated by the land. No land was identified for impairment.

 

   March 31, 2026   December 31, 2025 
         
Land, beginning of year  $42,548,402   $1,008,897 
Acquisitions during the period   -    41,539,505 
Impairments   -    - 
Land, end of year  $42,548,402   $42,548,402 

 

Income Taxes

 

The Company accounts for income taxes using the asset and liability method. Under this approach, deferred income tax assets and liabilities are recognized for the estimated tax consequences attributable to differences between the financial statement carrying values and their respective income tax basis (temporary differences). The effect on deferred income tax assets and liabilities of a change in tax rates is recognized as income (loss) in the period that includes the enactment date.

 

The provisions of ASC Topic 740, Accounting for Income Taxes, require an assessment of both positive and negative evidence when determining whether it is more likely than not that deferred tax assets are recoverable. For the year ended December 31, 2025 based on all available objective evidence, including the existence of cumulative losses, the Company determined that it was more likely than not that the net deferred tax assets were not fully realizable. Accordingly, the Company established a full valuation allowance against its net deferred tax assets. The Company intends to maintain a full valuation allowance on net deferred tax assets until sufficient positive evidence exists to support reversal of the valuation allowance.

 

Leases

 

The Company determines whether a contract is, or contains, a lease at inception. Right-of-use assets represent the Company’s right to use an underlying asset during the lease term, while lease liabilities represent the Company’s obligation to make lease payments. Right-of-use assets and lease liabilities are recognized at lease commencement based upon the estimated present value of unpaid lease payments over the lease term. The Company uses its incremental borrowing rate based on the information available at lease commencement in determining the present value of unpaid lease payments. As of March 31, 2026, the Company had no lease commitments with terms exceeding one year.

 

Stock-Based Compensation

 

The Company periodically grants stock options and restricted stock awards to employees and non-employees in non-capital raising transactions. These awards are accounted for in accordance with ASC 718, “Compensation-Stock Compensation”. The fair value of each award is measured on the date of grant. For employee awards, compensation expense is recognized on the straight-line basis over the vesting period. For non-employee awards, expense is recognized in the same period and manner as if the Company had paid cash for the services. The Company recognizes the fair value of stock-based compensation within its Consolidated Statements of Operations with classification depending on the nature of the services rendered.

 

10
 

 

The fair value of the Company’s stock options is estimated using the Black-Scholes-Merton Option Pricing model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the stock options or restricted stock, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes-Merton Option Pricing model and based on actual experience. The assumptions used in the Black-Scholes-Merton Option Pricing model could materially affect compensation expense recorded in future periods.

 

Basic and Diluted Income (Loss) Per Share

 

Basic income (loss) per share is computed by dividing the net income (loss) attributable to common stockholders by the weighted average number of outstanding common shares during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Diluted income (loss) per share is computed by dividing net income (loss) applicable to common stockholders by the weighted average number of common shares outstanding plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued. Diluted income (loss) per share excludes all potential common shares if their effect is anti-dilutive. The following potentially dilutive shares were excluded from the shares used to calculate diluted earnings per share as their inclusion would be anti-dilutive:

 

   March 31, 2026   December 31, 2025 
Options   13,185,876    13,193,376 
Warrants   3,166,667    3,166,667 
Total   16,352,543    16,360,043 

 

Fair Value of Financial Instruments

 

FASB ASC 825, “Financial Instruments” requires that the Company disclose estimated fair values of financial instruments. Financial instruments held by the Company include, among others, accounts receivable, accounts payable and long-term debt. The carrying amounts reported in the balance sheets for assets and liabilities qualifying as financial instruments are a reasonable estimate of fair value.

 

As defined in FASB ASC 280 “Fair Value Measurements”, fair value is the price that would be received to sell an asset or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. In determining fair value, the Company utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable firm inputs. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Based on the examination of inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories.

 

  Level 1: Quoted market prices in active markets for identical assets or liabilities
  Level 2: Inputs to the valuation methodology include:
    Quoted prices for similar assets or liabilities in active markets;
    Quoted prices for identical assets or similar assets or liabilities in inactive markets;
    Inputs other than quoted prices that are observable for the asset or liability;
    Inputs that are derived principally from or corroborated by observable market data by correlation or other means.
  Level 3: Unobservable inputs that are not corroborated by market data

 

A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

 

Segments

 

As of March 31, 2026, the Company has two operating business segments: (i) Range Land and (ii) Range Services. Range Land is focused on acquiring former mine lands with the goal of reclaiming and repurposing the sites into long-term revenue generating projects. Range Services provides environmental and operational support services to help reclaim and repurpose the acquired former mine lands.

 

11
 

 

In accordance with the “Segment Reporting” Topic of the ASC 280, the Company’s chief operating decision-maker has been identified as the Chief Executive Officer, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under “Segment Reporting” due to their similar customer base and similarities in economic characteristics, nature of products and services, and procurement, manufacturing, and distribution processes.

 

Recent Accounting Pronouncements

 

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. This ASU enhances income tax disclosures by providing information to better assess how an entity’s operations, related tax risks, tax planning and operational opportunities affect its tax rate and prospects for future cash flows. This ASU requires additional disclosures to the annual effective tax rate reconciliation including specific categories and further disaggregated reconciling items that meet the quantitative threshold. Additionally, this ASU requires disclosures relating to income tax expense and payments made to federal, state, local and foreign jurisdictions. This ASU is effective for fiscal years and interim periods beginning after December 15, 2024. The Company will make the requisite updates in the notes to the annual financial statements for the period ending December 31, 2025.

 

In November 2024, the FASB issued ASU 2024-03, “Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” This update requires public entities to disaggregate income statement expense line items and to disclose in tabular format within the notes to the financial statements certain categories of costs (e.g., purchases of inventory, employee compensation, depreciation, intangible asset amortization, depletion) to the extent line items contain such costs. In addition, entities will be required to define and disclose selling expenses. The additional disclosures may be provided prospectively or retrospectively. The amendments are effective for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. The Company has adopted this ASU effective January 1, 2025, with no material impact.

 

2. DISPOSALS AND DISCONTINUED OPERATIONS

 

During the year ended December 31, 2025, the Company sold all of its common stock in Collins Building to its former owner for $1.00. As part of this transaction, all outstanding projects were transferred to the former owner, who assumed responsibility for their completion. This transaction represents a strategic shift away from providing reclamation services to third parties. Going forward, the Company will provide such services only for its own internal needs. Accordingly, revenues and related expenses associated with reclamation services provided to third parties have been classified as discontinued operations in the Consolidated Statement of Operations.

 

Loss from Discontinued Operations

 

Discontinued operations for the three months ended March 31, 2025 consist of results from Collins Building and third-party reclamation services provided by wholly-owned subsidiaries of the Company.

 

The following table provides details about the major classes of line items constituting “Loss from discontinued operations” presented in the Company’s Consolidated Statements of Operations:

 

   March 31, 2025 
     
Revenue   695,701 
Cost of revenues   659,590 
General and administrative   - 
Income from discontinued operations   36,111 
      
Other income   - 
Interest expense   - 
Income from discontinued operations  $36,111 

 

12
 

 

3. ACQUISITION OF FOLA MINE SITE

 

On March 31, 2025, the Company, through its wholly-owned subsidiary, Range Sky View Land, LLC, entered into an agreement with WV Reclaim Co. LLC (“WV Reclaim”) pursuant to which it acquired 120,154 acres of fee, surface and mineral interests at the Fola mine complex (“Fola Mine”) located in Clay and Nicholas Counties, West Virginia. As part of this transaction, the Company acquired 15 mining permits and assumed management and reclamation responsibilities for 21 additional mining permits held by WV Reclaim. In connection with this transaction, the Company recorded asset retirement obligations of $36,562,110 on March 31, 2025 (and capitalized an equal amount as a long-term intangible asset) and assumed two coal royalty contracts and one 25-year lease for the development of a large-scale solar project. The Company acquired an additional two mining permits in June 2025 for which the Company had previously assumed management and reclamation responsibilities and assumed an associated coal lease at the Fola Mine.See the table below for more information regarding the reporting of these transactions:

 

Asset retirement obligation, December 31, 2024  $- 
Accretion during the period   1,912,968 
Sites added during the period   36,562,110 
Sites removed during the period   (134,596)
Revisions in estimated cash flows during the period   (655,605)
Expenditures during the period   (1,479,574)
Asset retirement obligation, December 31, 2025  $36,205,303 

 

The Company accounted for the above-described transactions as a business combination in accordance ASC 805 “Business Combinations”. The Company has made an allocation of the purchase price paid for the assets acquired and the liabilities assumed. The fair value of the acquired land was $8,561,000, and the Company agreed to credit an outstanding receivable of $2,958,516 due to the Company from one of the sellers in lieu of cash. Because the fair value of the land acquired exceeded the amount of the credited accounts receivable, the Company recognized a bargain purchase gain of $5,602,484 in the fiscal quarter ended March 31, 2025.

 

 

Fair value of Fola Mine land acquired  $8,561,000 
Accounts receivable credited in lieu of cash   (2,958,516)
Bargain purchase gain recognized  $5,602,484 
Cash consideration   - 
Assumed liabilities   - 
Purchase price  $- 
Acquisition transaction costs incurred  $19,938 

 

4. ACQUISITION OF PREMIER-CAMBRIAN MINE SITE

 

On December 31, 2025, the Company, through its wholly-owned subsidiary, Range Bluegrass Land, LLC, (“Range Bluegrass”), entered into an agreement with Reckoning Reclamation LLC (“Reckoning Reclamation”) pursuant to which it acquired 15,704 acres of surface land and 42,500 acres of mineral interests associated with the Premier Elkhorn Mine Complex and Cambrian Coal Mine Complex in Pike, Letcher and Floyd Counties, Kentucky (the “Premier-Cambrian Mine”) and assumed management and reclamation responsibilities for 43 mining permits that remained with Reckoning Reclamation, with an estimated total asset retirement obligation of $43.1 million.

 

SCHEDULE OF ASSET RETIREMENT OBLIGATION

Asset retirement obligation, December 31, 2024  $- 
Accretion during the period   - 
Sites added during the period   43,138,994 
Sites removed during the period   - 
Revisions in estimated cash flows during the period   - 
Expenditures during the period   - 
Asset retirement obligation, December 31, 2025  $43,138,994 

 

In connection with this transaction, the Company entered into two consulting agreements (“Consulting Agreements”) with an unaffiliated third parties related to the reclamation and repurposing of approximately 1,500 acres of land at the Premier-Cambrian Mine. The Consulting Agreements provide for an initial engagement fee payment of $1,000,000 on December 31, 2025, and quarterly engagement fee payments of $500,000 payable thereafter until December 31, 2027 (for total payments of $5,000,000). The Consulting Agreements may be terminated at any time. Refer to Revenue Recognition in Note 1.

 

In addition, Range Bluegrass entered into an equity option agreement (“Equity Option”) pursuant to which a non-affiliated third party was granted the right to receive the same amount of cash distributions made by Range Bluegrass to the Company, such right convertible into the right to receive 50% of the membership interests of Range Bluegrass. Range Bluegrass was paid $500,000 for the Equity Option on December 31, 2025. Range Bluegrass also entered into a real estate option agreement (“Real Estate Option”) with another unaffiliated third party for the option to purchase approximately 1,500 acres of the Premier-Cambrian Mine until December 31, 2031. Range Bluegrass was paid $500,000 for the Real Estate Option on December 31, 2025. The Company recorded an amount equal to $1,000,000 as a long-term liability entitled “Deposits Held” in connection with the Equity Option and Real Estate Option.

 

The Company accounted for these transactions as a business combination in accordance with ASC 805 “Business Combinations”. The Company has performed an allocation of the purchase price paid for the assets acquired and the liabilities assumed. The fair value of the surface land of the Premier-Cambrian Mine was $32,978,505. The Company also assumed reclamation obligations in the amount of $326,473, and because no cash consideration was paid in connection with the acquisition of the Premier-Cambrian Mine, a total bargain purchase gain of $32,652,032 should be recognized. However, because the terms of the Equity Option create a “de facto noncontrolling interest” under ASC 810 in an amount equal to 50% of the equity value of Range Bluegrass, only 50% of the bargain purchase gain of $32,652,032 (an amount equal to $16,326,016) is recognized in the Consolidated Statement of Income as a bargain purchase gain related to the acquisition of the Premier-Cambrian Mine. The remaining balance of the gain (an amount also equal to $16,326,016) is recorded on the balance sheet as “Noncontrolling Equity Interest”.

 

Fair value of Premier-Cambrian Mine land acquired  $32,978,505 
Assumed liabilities   (326,473)
Bargain purchase gain before noncontrolling interest adjustment  $32,652,032 
Noncontrolling interest adjustment of 50%   (16,326,016)
Bargain purchase gain  $16,326,016 
Purchase price  $- 
Acquisition transaction costs incurred  $24,710 

 

13
 

 

5. ASSET RETIREMENT OBLIGATIONS

 

Reclamation. The Company’s asset retirement obligations arise from the Federal Surface Mining Control and Reclamation Act of 1977 and similar state statutes, which require mine properties to be restored in accordance with regulatory standards and approved reclamation plans.

 

Reclamation activities primarily include restoring refuse and slurry ponds, reclaiming pits and related surface areas, sealing portals at underground mines, and treating water. The Company estimates the future cash flows needed to satisfy these obligations on a permit-by-permit basis using current permit requirements and various assumptions, including assumptions of estimated disturbed acreage, cost estimates, and expected productivity. Estimates of disturbed acreage are based on approved mining plans and related engineering data. Cost estimates reflect expected third-party costs. Productivity assumptions are based on historical performance of the equipment expected to be utilized in the reclamation activities.

 

The Company is subject to evolving environmental regulations, which may be stringent and are often beyond its control. Such changes could increase its costs and materially increase its asset retirement obligations.

 

The Company’s asset retirement obligations are initially recorded at fair value, determined using assumptions such including a discount rate and third-party margin, each of which is discussed further below:

 

Discount Rate. The Company’s asset retirement obligations are initially recorded at fair value. The Company utilizes discounted cash flow techniques to estimate the fair value of its obligations. The Company bases its discount rate on the rates of treasury bonds with maturities similar to expected mine lives and adjust for its credit standing as necessary after considering funding and assurance provisions. Changes in the Company’s credit standing could have a material impact on the valuation of its asset retirement obligations. The discount rate used to calculate the Fola Mine and Premier Cambrian Mine asset retirement obligations are 7.18% and 7.75%, respectively. The annual inflation rate used to calculate the Fola Mine and Premier Cambrian Mine asset retirement obligations are 2.72% and 2.77%, respectively.

 

Third-Party Margin. The measurement of an obligation at fair value is based upon the amount a third party would demand to perform the obligation. Because the Company plans to perform a significant amount of the reclamation activities with internal resources, a third-party margin was added to the estimated costs of these activities. This margin was estimated based upon the Company’s historical experience with contractors performing similar types of reclamation activities. The inclusion of this margin will result in a recorded obligation that is greater than its estimates of its cost to perform the reclamation activities. If the Company’s cost estimates are accurate, the excess of the recorded obligation over the cost incurred to perform the work will be recorded as a reduction to amortization within its Consolidated Statements of Operations at the time that reclamation work is completed.

 

On at least an annual basis, the Company reviews its reclamation liabilities and make necessary adjustments for permit changes, if any, as granted by state authorities, additional costs resulting from accelerated mine closures, and revisions to cost estimates and productivity assumptions to reflect current experience and updated plans. At December 31, 2025, the Company recorded asset retirement obligation liabilities of $79,344,297, including liabilities reported as current. While the precise amount of these future costs cannot be determined with certainty, as of December 31, 2025, the Company estimates that the aggregate undiscounted cost of final mine closures is approximately $129,445,432. The Company estimates annual aggregated amortization expense related to the long-term intangible assets of $3,170,377 for each of the next five years.

 

Minimum reclamation standards established by federal and state regulatory agencies govern the Company’s reclamation requirements at its mining operations. The Company’s asset retirement obligations consist principally of costs to restore acreage disturbed by surface mining operations as well as costs associated with reclaiming support acreage, treating mine water discharge, and performing other related functions at underground mines. The Company records asset retirement obligations at fair value in the period in which the legal obligation associated with the retirement of the long-lived asset is incurred. Changes to asset retirement obligations resulting from permitted sites being added or removed or changes in future cash flow estimates are made in the period in which the change occurs and are offset by increasing or decreasing the carrying value of the related long-lived asset by an equal amount. Changes to the asset retirement obligation are also recognized as accretive expense in future periods. Changes to long-lived assets are also recognized as amortization expense in future periods. The Company reviews its estimated future cash flows for asset retirement obligations on at least an annual basis. The Company’s asset retirement obligations are based on management’s best estimate and may change from period to period as estimated future cash flows change.

 

         
Total asset retirement obligations on December 31, 2025   $ 79,344,297  
Accretion during the period     1,404,341  
Sites added during the period     -  
Sites removed during the period     -  
Revisions in estimated cash flows during the period     -  
Expenditures during the period     (1,193,522 )
Total asset retirement obligations on March 31, 2026   $ 79,555,116  

 

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6. EQUITY

 

Issuance of Common Stock

 

On January 21, 2025, the Company entered into a securities purchase agreement for the issuance and sale of 3,333,333 shares of the Company’s common stock at a price of $0.15 per share. The aggregate proceeds to the Company were approximately $500,000.

 

On February 6, 2025, the Company entered into a securities purchase agreement for the issuance and sale of 555,556 shares of the Company’s common stock at a price of $0.18 per share. The aggregate proceeds to the Company were approximately $100,000.

 

On January 13, 2026, the Company entered into a securities purchase agreement for the issuance and sale of 1,033,333 shares of the Company’s common stock at a price of $0.15 per share. The aggregate proceeds to the Company were approximately $155,000.

 

7. STOCK OPTIONS

 

Stock options issued during the three months ended March 31, 2026 and the three months ended March 31, 2025

 

No stock options were granted to directors, advisors, or employees during the three months ended March 31, 2026 or the three months ended March 31, 2025.

 

For the three months ended March 31, 2025, the Company recorded $4,490 in stock-based compensation expense related to vested stock options. At March 31, 2026, there was no unamortized cost of stock-based awards.

 

A summary of the Company’s stock option activity during the three months ended March 31, 2026 is as follows:

 

   Shares  

Weighted

Average

Exercise Price

 
Balance Outstanding at December 31, 2025   13,193,376   $0.40 
Granted   -    - 
Exchanged   -    - 
Exercised   -    - 
Expired   (7,500)   1.50 
Forfeited   -    - 
Balance Outstanding at March 31, 2026   13,185,876   $0.40 
Balance Exercisable at March 31, 2026   13,185,876   $0.40 

 

At March 31, 2026, the 13,185,876 outstanding stock options had $630 of intrinsic value.

 

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A summary of the Company’s stock options outstanding and exercisable as of March 31, 2026 is as follows:

  

   Number of Options  

Weighted

Average

Exercise

Price

  

Weighted

Average

Grant- Date

Stock Price

 
Options Outstanding and Exercisable, March 31, 2026   100,000   $0.1337   $0.1337 
    750,000   $0.148   $0.148 
    950,000   $0.15   $0.15 
    3,050,000   $0.18   $0.18 
    1,550,000   $0.212   $0.212 
    1,150,000   $0.277   $0.277 
    750,000   $0.30   $0.30 
    2,000,000   $0.35   $0.35 
    250,000   $0.38   $0.38 
    1,664,542   $0.50   $0.50 
    128,000   $0.96   $0.96 
    343,334   $ 1.50 - 1.95   $1.50 - 1.95 
    500,000   $2.00 - 2.79   $2.00 - 2.79 
    13,185,876           

 

8. WARRANTS

 

A summary of warrants to purchase common stock issued during the three months ended March 31, 2026 is as follows:

 

   Shares  

Weighted

Average

Exercise Price

 
Balance Outstanding and Exercisable at December 31, 2025   3,166,667   $0.56 
Granted   -    - 
Exercised   -    - 
Expired   -    - 
Balance Outstanding and Exercisable at March 31, 2026   3,166,667   $0.56 

 

At March 31, 2026, the 3,166,667 outstanding stock warrants had no intrinsic value.

 

9. LINE OF CREDIT

 

In November 2022, the Company secured a bank line of credit with a limit of $1,000,000. In November 2023, the Company amended and restated this line of credit. The line of credit, as amended, had a maturity date of December 31, 2025, and bore interest at the fixed rate of 8.75%. As of March 31, 2026 and December 31, 2025, the balance due under the line of credit was $0.

 

In June 2023, Range Environmental secured a bank loan with a limit of $1,000,000. In November 2023, the loan amount was increased to $1,400,000 pursuant to which principal and accrued interest payments were required in March, June, September and December. The loan had a maturity date of December 31, 2025, and bore interest at the fixed rate of 7.75%. As of March 31, 2026 and December 31, 2025, the balance due under the loan was $0.

 

In September 2025, the Company consolidated both of the above-referenced credit facilities into one bank term loan in the principal amount of $1,800,000 with a maturity date of June 30, 2030 (refer to Note 10). The bank term loan bears interest at the fixed rate of 7.75%. Quarterly interest-only payments were required through December 2025 and beginning in 2026, quarterly principal and interest payments are required in March, June, September and December.

 

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10. LONG-TERM DEBT OBLIGATIONS

 

Long-term debt consists of the bank term debt which was consolidated from existing lines of credit in September 2025. The bank term loan, referenced above in Note 9, has a principal balance of $1,800,000 with a maturity date of June 30, 2030. The bank term loan bears interest at the fixed rate of seven and three-quarters per cent (7.75%). Quarterly interest only payments were required through December 2025. Beginning in 2026, quarterly principal and interest payments are required in March, June, September and December. The Company did not make a scheduled payment of $100,000 due on March 31, 2026; the payment was subsequently made on April 30, 2026. This matter did not result in any acceleration of the underlying obligation or other significant consequences.

 

A summary of payments due under the Company’s long-term debt as of March 31, 2026 is as follows:

 

     
April 2026 through March 2027  $500,000 
April 2027 through March 2028   400,000 
April 2028 through March 2029   400,000 
April 2029 through March 2030   400,000 
April 2030 through June 2030   100,000 
Total long-term debt  $1,800,000 

 

11. MAJOR CUSTOMER AND CONCENTRATION OF CREDIT RISK

 

Sales to the Company’s largest customer accounted for 59% of total revenues sales for the three months ended March 31, 2026, and 44% for the year ended December 31, 2025.

 

Accounts receivable from this customer represented 80% and 75% of total accounts receivable as of March 31, 2026 and December 31, 2025, respectively.

 

12. COMMITMENTS AND CONTINGENCIES

 

From time to time, the Company is involved in legal matters arising in the ordinary course of business. While management believes that such matters are not currently material, there can be no assurance these or other matters will not have an adverse effect on its business, financial condition or results of operations.

 

13. SEGMENT INFORMATION

 

ASC 280, “Segment Reporting” establishes standards for reporting operating segment information consistent with the Company’s internal organizational structure, as well as disclosures related to services, categories, business segments and major customers. The Company has two reportable segments that are based on the following business units: (i) Range Land and (ii) Range Services. The Range Reclaim, Range Security and Range Water operating business segments, which had been previously reported separately, are now included within the Range Services operating business segment. The Company’s previous Graphium Biosciences segment was classified as discontinued operations during the third quarter of 2024. Accordingly, its results are excluded from the table below, which only reflects continuing operations for all periods presented. In accordance with ASC 280, the Company’s Chief Executive Officer has been identified as the chief operating decision-maker, who reviews consolidated operating results to allocate resources and assess performance. Under the management approach to segment reporting, the Company reports selected segment information on a quarterly basis and provides annual entity-wide disclosures about products and services, major customers and geographic information. All material operating units meet the criteria under ASC 280 due to their similar customer base and similarities in economic characteristics, nature of products and services, and procurement, manufacturing and distribution processes.

 

The two reportable segments that result from applying the aggregation criteria are as follows:

 

Range Land – mine land acquired, reclaimed and repurposed for next generation uses
   
Range Services – services in support of reclamation and repurposing of acquired mine land

 

The Company had no inter-segment sales for the periods presented.

 

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Summarized financial information concerning the Company’s reportable segments is shown as below:

 

By Categories

 

   Range Land   Range Services   Corporate   Total 
   For the three months ended March 31, 2026 
   Range Land   Range Services   Corporate   Total 
                 
Revenue  $915,380   $-   $-   $915,380 
Operating income (loss)   (1,277,094)   (114,247)   (407,864)   (1,799,205)
Net income (loss)   (1,277,094)   (114,247)   (442,349)   (1,833,690)
                     
Total assets   121,804,269    141,172    29,305    121,974,746 
Depreciation   -    17,847    -    17,847 
Amortization   781,736    -    -    781,736 
Accretion   1,404,341    -    -    1,404,341 
Interest expense   -    -    34,485    34,485 
Capital expenditures for long-lived assets  $-   $-   $-   $- 

 

   Range Land   Range Services   Corporate   Total 
   For the three months ended March 31, 2025 
   Range Land   Range Services   Corporate   Total 
                 
Revenue  $-   $-   $-   $- 
Operating income (loss) from continuing operations   (258,292)   -    (333,115)   (591,407)
Operating income (loss) from discontinued operations   -    36,111    -    36,111 
Net income (loss)   5,579,419    (221,970)   (257,822)   5,099,627 
                     
Total assets   46,132,343    1,754,282    44,734    47,931,359 
Depreciation from continuing operations   -    54,147    -    54,147 
Deprecation from discontinued operations   -    30,636    -    30,636 
Interest expense   -    82,534    8,334    90,868 
Capital expenditures for long-lived assets  $-   $100,000   $-   $100,000 

 

14. SUBSEQUENT EVENTS

 

None.

 

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

Cautionary Statement

 

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our Unaudited Condensed Financial Statements and the related notes thereto contained in Part I, Item 1 of this Quarterly Report. The information contained in this Quarterly Report is not a complete description of our business or the risks associated with an investment in our common stock. We urge you to carefully review and consider the various disclosures made by us in this Quarterly Report and in our other reports filed with the Securities and Exchange Commission (the “SEC”), including our Annual Report on Form 10-K for the year ended December 31, 2025 filed on March 31, 2026, and the accompanying audited financial statements and notes included therein.

 

Certain statements made in this Quarterly Report constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 (the “Exchange Act”). Forward-looking statements are projections in respect of future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “intend,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, which may cause our or our industry’s actual results, levels of activity or performance to be materially different from any future results, levels of activity or performance expressed or implied by these forward-looking statements. These risks and uncertainties include: general economic and financial market conditions; our ability to obtain additional financing as necessary; our ability to continue operating as a going concern; any adverse occurrence with respect to our business: other factors beyond our control; and the other risks described under the heading “Risk Factors” in our Annual Report on Form 10-K filed with the SEC on March 31, 2026.

 

Although we believe that the expectations and assumptions reflected in the forward-looking statements we make are reasonable, we cannot guarantee future results, levels of activity or performance. In addition, we cannot assess the impact of each factor on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those expressed by any forward-looking statements. As a result, readers should not place undue reliance on any of the forward-looking statements we make in this report. Forward-looking statements speak only as of the date on which they are made. Except as required by law, we undertake no obligation to revise or update publicly any forward-looking statements for any reason.

 

Company Overview

 

Range is a public company dedicated to advancing the health and wellness of people and the planet through an innovative approach to impact investing. We focus on developing long-term solutions to environmental, social, and health challenges, particularly through the acquisition, reclamation, and repurposing of mine sites and other undervalued land in economically disadvantaged Appalachian communities. Leveraging our competitive advantages, we take an opportunistic approach to solving legacy problems in new ways and deploying capital into strategic opportunities designed to generate a measurable impact on the people-planet ecosystem and generate strong investment returns for our shareholders.

 

Our corporate headquarters is located in Cleveland, Ohio, with additional office locations in Fola, West Virginia and Myra, Kentucky. As of May 15, 2026, we have 10 full-time employees. We also engage consultants and professional service firms as needed to provide us with flexible and experienced resources while maintaining a cost-effective overhead structure. We strive to instill a corporate culture of honesty, integrity and respect in furtherance of our mission of doing well by doing good.

 

Impact Investing Strategy

 

Our impact investing strategy is focused on advancing the health and well-being of people and the planet while also generating long-term, sustainable financial returns for our shareholders. We believe that doing well and doing good are not mutually exclusive, and that a disciplined approach to impact investing strategy can align environmental, social and economic objectives with attractive risk-adjusted financial returns.

 

Our strategy enables our team to address pressing environmental, social and economic challenges, such as air and water pollution, educational inequality and economic disparity, and climate change, through the development and implementation of innovative solutions. By directing capital to businesses that drive positive environmental, social and economic outcomes, we seek to strengthen the people-planet ecosystem while enhancing quality of life and delivering attractive investment performance.

 

We are focused on delivering environmental and social solutions in economically-disadvantaged regions of the United States, with an initial emphasis on Appalachia - home to communities facing some of the nation’s most challenged income, education and employment outcomes. Our strategy is to acquire large mine sites burdened by substantial legacy reclamation obligations, and through disciplined execution, complete reclamation activities and obtain full bond release. By unlocking the underlying land value, we aim to catalyze sustainable, long-term economic development across disadvantaged coal communities in Appalachia.

 

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Operating Business Segments

 

Our two operating business segments are Range Land and Range Services.

 

Range Land

 

Range Land is focused on acquiring former mine lands with the goal of reclaiming and repurposing the sites for non-fossil fuel uses, including commercial, industrial, residential and recreational developments, with a particular focus on power generation facilities, data centers, innovative agricultural installations, and projects focused on improving the quality and condition of the air, land and waterways.

 

Industry estimates indicate that Appalachia contains approximately one million acres of abandoned, idled and non-performing mine sites that are burdened with significant land reclamation and water restoration obligations. Many of these mine sites remain encumbered by mining permits and associated reclamation bonds, restricting repurposing for non-mining uses until reclamation is complete and the permits and bonds have been released. Water quality presents a key restraint, as permit release typically requires at least 12 consecutive months of compliant water sampling without active chemical treatment, underscoring the need for effective water restoration solutions to transition former mine lands to economically viable non-mining uses.

 

By leveraging internal and external resources, the Company has the capabilities to reclaim land, restore waterways, implement innovative water treatment solutions, and secure mine sites preserving significant legacy infrastructure. The Company also brings expertise in navigating the permit and bond release process, which is critical to unlocking the underlying value of former mine land for next-generation redevelopment.

 

Range Services

 

Range Services is our operating segment providing environmental and operational support services to reclaim and repurpose Company-owned former mine land into next-generation uses. All reclamation, water treatment and site security employees, equipment and trucks, and technological innovations are housed within this segment. Range Services currently serves only Company-owned land and does not provide services to third parties.

 

Reclamation activities include grading, recontouring, revegetation, erosion control, and other activities necessary to satisfy federal and state post-mining land use standards. Water treatment services include the operation and maintenance of passive and active treatment systems designed to manage and treat mine-impacted water, including acid mine drainage, in compliance with applicable permits. This includes sampling, laboratory coordination, and treatment using both conventional methods and innovative solutions, such as the Company’s proprietary biochar water filtration technologies under development.  Range Services also provides physical site security, access control, and risk mitigation activities to ensure the safety, compliance, and regulatory protection of the Company’s land assets.

 

Competition

 

The Company is focused on a large and growing marketplace for impact investing initiatives, and therefore, faces competition from a variety of operating businesses and investment funds who are developing similar business plans and operating strategies to satisfy the increasing demands of these types of investments in the marketplace. In many cases, these competitors are larger and better capitalized operating businesses and investment funds.

 

Our Company competes on the basis of a number of factors, including our geographic focus on Appalachia, strategic relationships with reclamation bond insurance companies, access to impact investing opportunities, access to mission-driven energy-transition capital, recruitment and retention of key personnel, market share with key customers, and supply relationships with critical vendors. Our ability to continue to compete effectively in our businesses will depend upon our ability to attract capital and qualified employees.

 

20
 

 

Results of Operations

 

Three Months Ended March 31, 2026 and March 31, 2025

 

The Company’s revenue from continuing operations for the three months ended March 31, 2026 was $915,380 related to coal royalties and its operating loss was $(1,799,205). The operating loss is primarily the result of non-cash depreciation, amortization, and accretion expenses of $2,203,924 incurred in connection with continuing operations. The Company’s revenue from continuing operations for the three months ended March 31, 2025 was $0 and its operating loss from continuing operations was $(591,407). The Company’s shift away from AML reclamation projects in 2025 resulted in all revenues for the period ended March 31, 2025 being classified as discontinued operations.

 

For the three months ended March 31, 2026, general and administrative expenses were $464,804, compared to $439,912 from continuing operations incurred for the three months ended March 31, 2025, an increase of $24,892. General and administrative expenses generally include corporate overhead, salaries and other compensation costs, financial and administrative contracted services, legal and audit fees, other professional and consulting fees, insurance, marketing, and travel expenses. The largest increase in general and administrative expenses for the three months ended March 31, 2026 compared to the three months ended March 31, 2025, was attributable to additional audit, professional and legal fees of $80,487, offset by a decrease in labor and benefit costs of $55,595.

 

For the three months ended March 31, 2026, the Company incurred net other expense in the amount of $34,485, compared to total net other income of $5,654,923 recorded for the three months ended March 31, 2025, a decrease of $5,689,408. This decrease in net other income is primarily attributable to the gain on bargain purchase of $5,602,484, other income of $83,627, and a gain on sale of fixed assets of $59,680 in the quarter ended March 31, 2025,  which did not occur in the period ended March 31, 2026.

 

Net loss for the three months ended March 31, 2026 was $(1,833,690) compared to a net income of $5,099,627 for the three months ended March 31, 2025 (a decrease of $6,933,317). This decrease is primarily due to the $5,602,484 gain on bargain purchase that was recognized in the period ended March 31, 2025, as well as $1,404,341 of accretion expense and $781,736 of amortization expense recognized in the period ended March 31, 2026, which arose as a result of the acquisitions completed in 2025.

 

Liquidity and Capital Resources

 

As of March 31, 2026, the Company had total current assets of $2,295,942, comprised of: (i) cash of $1,283,121; (ii) accounts receivable of $950,114; (iii) deposits of $15,288; and (iv) prepaid expenses of $47,419. As of March 31, 2026, the Company had total current liabilities of $4,008,741, consisting of: (i) accounts payable of $1,342,832; (ii) accrued expenses of $2,165,909, and (iii) the current portion of long-term debt of $500,000. As a result, as of March 31, 2026, the Company had negative working capital of $(1,712,799). As of December 31, 2025, the Company had negative working capital of $(944,511).

 

As of March 31, 2026, the Company had long-term assets of $119,678,804, comprised of: (i) land of $42,548,402, (ii) long-term intangible assets of $77,032,874, and (iii) net property and equipment of $97,528. As of March 31, 2026, the Company had long-term liabilities of $81,855,116, comprised of (i) asset retirement obligations of $79,555,116, (ii) long-term debt, net of current portion of $1,300,000, and long-term deposit held of $1,000,000. As of December 31, 2025, the Company had long-term assets of $120,478,387, comprised of (i) land of $42,548,402, (ii) long-term intangible assets of $77,814,610 and (iii) net property and equipment of $115,375. As of December 31, 2025, the Company had long-term liabilities of $81,744,297, comprised of (i) asset retirement obligations of $79,344,297, (ii) long-term debt, net of current portion of $1,400,000, and (iii) long-term deposit held of $1,000,000.

 

Sources of Capital

 

Based on the Company’s current strategy, we expect royalty income from Range Land to substantially offset our general operating expenses. However, with a current cash balance of $1,283,121, we may not have sufficient liquidity to operate our business over the next 12 months. If additional capital is required beyond our existing resources, we intend to pursue financing options to support the funding and execution of our growth strategy and shareholder value creation plan.

 

21
 

 

Our estimated total net cash flow for the 12-month period ending March 31, 2027 could decrease if we encounter unanticipated lower revenues and higher expenses in connection with operating our business as presently planned. In addition, our estimates of the amount of cash necessary to fund our business may prove to be too low, and we could spend our available financial resources much faster than we currently expect. If we cannot raise the capital necessary to continue to develop our business, we will be forced to delay, scale back or eliminate some or all of our proposed operations. If any of these were to occur, there is a substantial risk that our business would fail.

 

Until the Company achieves positive cash flow, we expect to fund our operations, in part, through equity and debt financings. However, such financing may not be available when needed, on acceptable terms, or at all. Any issuance of equity or convertible debt securities – whether to raise capital or to fund acquisitions - may result in substantial dilution to existing stockholders and involve securities with rights, preferences and privileges senior to those of our existing stockholders. Incurring additional debt would increase interest expense, liabilities and future cash commitments. In addition, capital-raising activities may result in substantial costs, including investment banking fees, legal fees and other related costs.

 

Net Cash Provided By (Used In) Operating Activities

 

For the three months ended March 31, 2026, net cash used in operating activities was $(982,050), comprised of: (i) a net loss of $1,833,690; (ii) non-cash depreciation of $17,847; (iii) non-cash amortization of long-term assets of $781,736; (iv) non-cash accretion expense of $1,404,341; (v) an increase in current assets of $364,687; (v) an increase in current liabilities of $205,925; and (vi) cash paid for asset retirement obligations of $1,193,522. For the three months ended March 31, 2025, net cash used in operating activities was $(428,101), comprised of: (i) net income of $5,099,627; (ii) non-cash depreciation of $84,783 (comprised of $54,147 from continuing operations and $30,636 from discontinued operations); (iii) add-back of the non-cash bargain purchase gain of $5,602,484; (iv) a gain on asset disposals of $59,680; (v) non-cash vested stock option expense of $4,490; (vi) an increase in current assets of $206,256; and (vii) a decrease in current liabilities of $161,093.

 

Net Cash Provided By (Used In) Investing Activities

 

For the three months ended March 31, 2026, there was no net cash provided by or used in investing activities. For the three months ended March 31, 2025, net cash provided by investing activities was $280,000, comprised of $380,000 of proceeds from the sale of equipment, partially offset by $100,000 for equipment purchases.

 

Net Cash Provided By (Used In) Financing Activities

 

For the three months ended March 31, 2026, net cash provided by financing activities was $155,000, comprised entirely of the sale of our common stock. For the three months ended March 31, 2025, net cash provided by financing activities was $233,510, comprised of $600,000 from the sale of our common stock, partially offset by the repayment of long-term debt of $366,490.

 

Off-Balance Sheet Arrangements

 

We have no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that would be material to stockholders.

 

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Critical Accounting Policies

 

Our financial statements and accompanying notes included in this report have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) applied on a consistent basis. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.

 

We regularly evaluate the accounting policies and estimates that we use to prepare our financial statements. In general, management’s estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from the estimates made by management.

 

We believe the following critical accounting policies require us to make significant judgments and estimates in the preparation of our consolidated financial statements included in this report:

 

Asset Retirement Cost and Obligations

 

Reclamation. Our asset retirement obligations arise from the Federal Surface Mining Control and Reclamation Act of 1977 and similar state statutes, which require that mine property be restored in accordance with specified standards and an approved reclamation plan. Significant reclamation activities include reclaiming refuse and slurry ponds, reclaiming the pit and support acreage at surface mines, sealing portals at deep mines, and the treatment of water. We determine the future cash flows necessary to satisfy our reclamation obligations on a permit-by-permit basis based upon current permit requirements and various estimates and assumptions, including estimates of disturbed acreage, cost estimates, and assumptions regarding productivity. We are also faced with increasingly stringent environmental regulations, much of which are beyond our control, which could increase our costs and materially increase our asset retirement obligations. Estimates of disturbed acreage are determined based on approved mining plans and related engineering data. Cost estimates are based upon third-party costs. Productivity assumptions are based on historical experience with the equipment that is expected to be utilized in the reclamation activities. Our asset retirement obligations are initially recorded at fair value. In order to determine fair value, we use assumptions including a discount rate and third-party margin. Each is discussed further below:

 

Discount Rate. Our asset retirement obligations are initially recorded at fair value. We utilize discounted cash flow techniques to estimate the fair value of our obligations. We base our discount rate on the rates of treasury bonds with maturities similar to expected mine lives and adjust for our credit standing as necessary after considering funding and assurance provisions. Changes in our credit standing could have a material impact on the valuation of our asset retirement obligations.

 

23
 

 

Third-Party Margin. The measurement of an obligation at fair value is based upon the amount a third party would demand to perform the obligation. Because we plan to perform a significant amount of the reclamation activities with internal resources, a third-party margin was added to the estimated costs of these activities. This margin was estimated based upon our historical experience with contractors performing similar types of reclamation activities. The inclusion of this margin will result in a recorded obligation that is greater than our estimates of our cost to perform the reclamation activities. If our cost estimates are accurate, the excess of the recorded obligation over the cost incurred to perform the work will be recorded as a reduction to amortization within our Consolidated Statements of Operations at the time that reclamation work is completed.

 

On at least an annual basis, we review our reclamation liabilities and make necessary adjustments for permit changes, if any, as granted by state authorities, additional costs resulting from accelerated mine closures, and revisions to cost estimates and productivity assumptions to reflect current experience and updated plans. Refer to Note 5 to the Consolidated Financial Statements included elsewhere in this Quarterly Report on Form 10-Q for reclamation disclosures including a table summarizing the changes in asset retirement obligations for the three months ended March 31, 2026.

 

Use of Estimates and Assumptions

 

The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. The more significant estimates and assumption by management include, among others, assumptions used in valuing assets acquired in business acquisitions, reserves for accounts receivable, assumptions used in valuing equity instruments issued for services, the valuation allowance for deferred tax assets, accruals for potential liabilities, and assumptions used in the determination of the Company’s liquidity. Actual results could differ from those estimates.

 

Business Combinations

 

Business combinations are accounted for using the purchase method of accounting under ASC 805, “Business Combinations.” This method requires the Company to record assets and liabilities of the businesses acquired at their estimated fair values as of the acquisition date. Any excess of the cost of the acquisition over the fair value of the net assets acquired is recorded as goodwill. Determining the fair value requires management to make estimates and assumptions including discount rates, rates of return on assets, and long-term sales growth rates.

 

Revenue Recognition

 

The Company recognizes revenue under ASC 606, “Revenue from Contracts with Customers”. The core principle of the ASC 606 revenue recognition standard is that a company should recognize revenue by analyzing the following five steps: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations; and (5) recognize revenue when (or as) each performance obligation is satisfied.

 

The Company primarily invoices customers for coal royalties and recognizes revenue on a periodic basis as coal is shipped. Costs for equipment, labor and chemicals are generally expensed as incurred. All revenue is recognized at a point in time.

 

The Company recognized revenue on reclamation contracts over time for operations included in discontinued operations. The Company’s contracts were generally accounted for as a single performance obligation since the Company was providing a significant service of integrating components into a single project. The Company recognized revenue using a cost-based input method, by which actual costs incurred relative to total estimated contract costs determine, as a percentage, progress toward contract completion. This percentage was applied to the transaction price to determine the amount of revenue to recognize. The Company believes the cost-based input method is the most faithful depiction of performance because it directly measures the value of the services transferred to the customer.

 

24
 

 

Stock-Based Compensation

 

The Company periodically issues stock options and restricted stock awards to employees and non-employees in non-capital raising transactions for services and for financing costs. The Company accounts for such grants issued and vesting based on ASC 718, “Compensation - Stock Compensation” whereby the value of the award is measured on the date of grant and recognized for employees as compensation expense on the straight-line basis over the vesting period. Recognition of compensation expense for non-employees is in the same period and manner as if the Company had paid cash for the services.

 

Recent Accounting Pronouncements

 

Please refer to Footnote 1 of the accompanying financial statements for management’s discussion of recent accounting pronouncements.

 

Item 3. Quantitative and Qualitative Disclosures About Market Risk

 

Not Applicable.

 

Item 4. Controls and Procedures

 

Disclosure Controls and Procedures

 

We have established disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC, and that information relating to the Company is accumulated and communicated to management, including our principal officers, as appropriate to allow timely decisions regarding required disclosure. Our Chief Executive Officer and Chief Financial Officer have evaluated the effectiveness of our disclosure controls and procedures as of March 31, 2026, and have concluded that our disclosure controls and procedures were effective as of March 31, 2026.

 

Changes in Internal Control over Financial Reporting

 

There were no changes in our internal control over financial reporting during the quarter ended March 31, 2026 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

 

25
 

 

PART II - OTHER INFORMATION

 

Item 1. Legal Proceedings

 

From time to time, we may become involved in various lawsuits and legal proceedings which arise in the ordinary course of business. The impact and outcome of litigation, if any, is subject to inherent uncertainties, and an adverse result in these or other matters may arise from time to time that may harm our business. We are not currently a party to and our properties are not currently the subject of any material pending legal proceedings the adverse outcome of which, individually or in the aggregate, would be expected to have a material adverse effect on our financial position or results of operations.

 

Item 1A. Risk Factors

 

Please refer to the risks described under the heading “Risk Factors” in our Annual Report on Form 10-K filed with the SEC on March 30, 2026.

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds:

 

On January 13, 2026, the Company entered into securities purchase agreements with Carlos Graf Fernandez and John M. Potter providing for the issuance and sale of 700,000 and 333,333 shares of the Company’s common stock, respectively. The aggregate gross proceeds from the sale of these shares was approximately $155,000. The sale proceeds were used for general operating purposes.

 

Item 3. Defaults Upon Senior Securities: None

 

Item 4. Mine Safety Disclosures:

 

The information concerning mine safety violations and other regulatory matters is filed as Exhibit 95 to this Form 10-Q pursuant to the requirements of Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K (17 CFR 229.104).

 

Item 5. Other Information: None

 

26
 

 

Item 6. Exhibits

 

Exhibit
Number
  Description of Exhibit
     
2.1   Agreement and Plan of Merger, dated September 14, 2011, by and between Stevia First Corp. and Legend Mining Inc. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.1.1   Articles of Incorporation of Stevia First Corp. (Incorporated by reference to Exhibit 3.1 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 6, 2008 (File No. 333-152830).)
     
3.1.2   Certificate of Amendment of Articles of Incorporation of Vitality Biopharma, Inc. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on July 19, 2016.)
     
3.1.3   Articles of Merger, effective October 10, 2011 (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.1.4   Certificate of Change, effective October 10, 2011 (Incorporated by reference to Exhibit 3.2 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.1.5.   Articles of Merger, dated as of September 30, 2021 (Incorporated by reference to Exhibit 3.1.5 to the registrant’s Current Report on Form 8-K filed with the SEC on October 12, 2021.)
     
3.2.1   Bylaws of Stevia First Corp. (Incorporated by reference to Exhibit 3.2 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 6, 2008 (File No. 333-152830).)
     
3.2.2   Certificate of Amendment of Bylaws of Stevia First Corp. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on February 7, 2012.)
     
3.2.3   Bylaws of Malachite Innovations, Inc., effective as of November 10, 2021 (Incorporated by reference to Exhibit 3.2.3 to the registrant’s Quarterly Report on Form 10-Q filed with the SEC on November 15, 2021.)
     
10.1  

Form of Common Stock Purchase Warrant (Incorporated by reference to Exhibit 10.10 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 31, 2021 (File No. 333-259010).

     
10.2#   Vitality Biopharma, Inc. 2021 Stock Incentive Plan (Incorporated by reference to Exhibit 99.1 to the registrant’s Registration Statement on Form S-8 filed with the SEC on September 3, 2021.)
     
10.3  

Second Amended and Restated Revolving Promissory Note, dated as of December 20, 2024, made by the Company, in favor of Independence Bank in the amount of $1,000,000. (Incorporated by reference to Exhibit 10.12 to the registrant’s Form 10-K filed with the SEC on March 31, 2025).

     
10.4  

Second Amended and Restated Revolving Promissory Note, dated as December 20, 2024, made by Range Environmental Resources, Inc. and Range Natural Resources, Inc., in favor of Independence Bank in the amount of $1,000,000. (Incorporated by reference to Exhibit 10.13 to the registrant’s Form 10-K filed with the SEC on March 31, 2025).

     
10.5  

Securities Purchase Agreement, dated as of January 21, 2025, between the Company and Tower IV, LLC (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on January 23, 2025.

 

27
 

 

10.6  

Purchase and Sale Agreement by and among AppleAtcha Land, LLC, WV Reclaim Co, LLC and Range Sky View Land LLC, dated as of March 31, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on April 2, 2025).

     
10.7  

Transaction Advisory Agreement by and among AppleAtcha Land, LLC, WV Reclaim Co, LLC and Range Sky View Land LLC, dated as of May 30, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on June 4, 2025).

     
10.8  

Purchase and Sale Agreement between WV Reclaim Co, LLC and Range Sky View Land LLC, dated June 30, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on July 3, 2025).

     
10.9  

Assignment and Assumption Agreement between AppleAtcha Land LLC and Range Sky View Land LLC (Incorporated by reference to Exhibit 10.2 to the registrant’s Form 8-K filed with the SEC on July 3, 2025).

     
10.10  

Stock Purchase Agreement between Range Reclaim, LLC and Collins Reclamation, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.11  

Purchase and Sale Agreement between Continental Land Co., LLC and Range Bluegrass Land, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.2 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.12  

Option Agreement between Range Bluegrass Land, LLC and MRR CNG, LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.3 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.13  

Consulting Agreement between the registrant and MRR CNG, LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.4 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.14  

Consulting Agreement between the registrant and F&G LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.5 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.15  

Membership Interest Option and Cash Distribution Right Agreement between Range Bluegrass Land, LLC and Wicks Building LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.6 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.16  

Joinder to General Indemnity Agreement between Continental Heritage Insurance Company, Range Bluegrass Land, LLC and Reckoning Reclamation, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.7 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.17   Amended and Restated Revolving Promissory Note, dated as December 4, 2023, made by the Company, in favor of Independence Bank in the amount of $1,000,000 (Incorporated by reference to Exhibit 10.12 to the registrant’s Form 10-Q/A for the period ending March 31, 2024 filed on August 8, 2024).
     

10.18

 

Revolving Collateral Note, dated as June 16, 2023, made by Range Environmental Resources, Inc. and Range Natural Resources, Inc., in favor of Independence Bank in the amount of $1,000,000 (Incorporated by reference to Exhibit 10.13 to the registrant’s Form 10-Q/A for the period ending March 31, 2024 filed on August 8, 2024).

     
10.19  

Purchase and Sale Agreement, dated as of March 31, 2025, by and among Appleatcha Land, LLC, WV Reclaim Co, LLC and Range Sky View LLC (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on April 2, 2025.

     
31.1   Certification of Chief Executive Officer (Principal Executive Officer) Pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934*
     
31.2   Certification of Chief Financial Officer (Principal Financial and Accounting Officer) Pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934*
     
32.1   Certification of Chief Executive Officer (Principal Executive Officer) Pursuant to Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002†
     
32.2   Certification of Chief Financial Officer (Principal Financial and Accounting Officer) Pursuant to Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002†
     
95   Mine Safety Disclosures
     
101.INS   Inline XBRL Instance Document *
     
101.SCH   Inline XBRL Taxonomy Extension Schema Document *
     
101.CAL   Inline XBRL Taxonomy Extension Calculation Linkbase *
     
101.DEF   Inline XBRL Taxonomy Extension Definition Linkbase Document *
     
101.LAB   Inline XBRL Taxonomy Extension Label Linkbase Document *
     
101.PRE   Inline XBRL Taxonomy Extension Presentation Linkbase Document *
     
104   Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

† Furnished herewith.

* Filed herewith.

# Indicates a management contract or any compensatory plan, contract or arrangement.

 

28
 

 

SIGNATURES

 

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.

 

RANGE IMPACT, INC.  
   
By: /s/ Michael Cavanaugh  
  Michael Cavanaugh  
  Chief Executive Officer  
  (Principal Executive Officer)  
     
Date: May 15, 2026  

 

29
 

 

EXHIBIT INDEX

 

Exhibit
Number
  Description of Exhibit
     
2.1   Agreement and Plan of Merger, dated September 14, 2011, by and between Stevia First Corp. and Legend Mining Inc. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.1.1   Articles of Incorporation of Stevia First Corp. (Incorporated by reference to Exhibit 3.1 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 6, 2008 (File No. 333-152830).)
     
3.1.2   Certificate of Amendment of Articles of Incorporation of Vitality Biopharma, Inc. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on July 19, 2016.)
     
3.1.3   Articles of Merger, effective October 10, 2011 (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.1.4   Certificate of Change, effective October 10, 2011 (Incorporated by reference to Exhibit 3.2 to the registrant’s Current Report on Form 8-K filed with the SEC on October 14, 2011.)
     
3.2.1   Bylaws of Stevia First Corp. (Incorporated by reference to Exhibit 3.2 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 6, 2008 (File No. 333-152830).)
     
3.2.2   Certificate of Amendment of Bylaws of Stevia First Corp. (Incorporated by reference to Exhibit 3.1 to the registrant’s Current Report on Form 8-K filed with the SEC on February 7, 2012.)
     
3.2.3   Bylaws of Malachite Innovations, Inc., effective as of November 10, 2021 (Incorporated by reference to Exhibit 3.2.3 to the registrant’s Quarterly Report on Form 10-Q filed with the SEC on November 15, 2021.)
     
10.1  

Form of Common Stock Purchase Warrant (Incorporated by reference to Exhibit 10.10 to the registrant’s Registration Statement on Form S-1 filed with the SEC on August 31, 2021 (File No. 333-259010).

     
10.2#   Vitality Biopharma, Inc. 2021 Stock Incentive Plan (Incorporated by reference to Exhibit 99.1 to the registrant’s Registration Statement on Form S-8 filed with the SEC on September 3, 2021.)

 

30
 

 

10.3  

Second Amended and Restated Revolving Promissory Note, dated as of December 20, 2024, made by the Company, in favor of Independence Bank in the amount of $1,000,000. (Incorporated by reference to Exhibit 10.12 to the registrant’s Form 10-K filed with the SEC on March 31, 2025).

     
10.4  

Second Amended and Restated Revolving Promissory Note, dated as December 20, 2024, made by Range Environmental Resources, Inc. and Range Natural Resources, Inc., in favor of Independence Bank in the amount of $1,000,000. (Incorporated by reference to Exhibit 10.13 to the registrant’s Form 10-K filed with the SEC on March 31, 2025).

     
10.5  

Securities Purchase Agreement, dated as of January 21, 2025, between the Company and Tower IV, LLC (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on January 23, 2025.

     
10.6  

Purchase and Sale Agreement by and among AppleAtcha Land, LLC, WV Reclaim Co, LLC and Range Sky View Land LLC, dated as of March 31, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on April 2, 2025).

     
10.7  

Transaction Advisory Agreement by and among AppleAtcha Land, LLC, WV Reclaim Co, LLC and Range Sky View Land LLC, dated as of May 30, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on June 4, 2025).

     
10.8  

Purchase and Sale Agreement between WV Reclaim Co, LLC and Range Sky View Land LLC, dated June 30, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on July 3, 2025).

     
10.9  

Assignment and Assumption Agreement between AppleAtcha Land LLC and Range Sky View Land LLC (Incorporated by reference to Exhibit 10.2 to the registrant’s Form 8-K filed with the SEC on July 3, 2025).

     
10.10  

Stock Purchase Agreement between Range Reclaim, LLC and Collins Reclamation, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.11  

Purchase and Sale Agreement between Continental Land Co., LLC and Range Bluegrass Land, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.2 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.12  

Option Agreement between Range Bluegrass Land, LLC and MRR CNG, LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.3 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.13  

Consulting Agreement between the registrant and MRR CNG, LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.4 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.14  

Consulting Agreement between the registrant and F&G LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.5 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.15  

Membership Interest Option and Cash Distribution Right Agreement between Range Bluegrass Land, LLC and Wicks Building LLC, dated December 31, 2025 (Incorporated by reference to Exhibit 10.6 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

     
10.16  

Joinder to General Indemnity Agreement between Continental Heritage Insurance Company, Range Bluegrass Land, LLC and Reckoning Reclamation, LLC, dated as of December 31, 2025 (Incorporated by reference to Exhibit 10.7 to the registrant’s Form 8-K filed with the SEC on January 7, 2026).

 

31
 

 

10.17   Amended and Restated Revolving Promissory Note, dated as December 4, 2023, made by the Company, in favor of Independence Bank in the amount of $1,000,000 (Incorporated by reference to Exhibit 10.12 to the registrant’s Form 10-Q/A for the period ending March 31, 2024 filed on August 8, 2024).
     

10.18

 

Revolving Collateral Note, dated as June 16, 2023, made by Range Environmental Resources, Inc. and Range Natural Resources, Inc., in favor of Independence Bank in the amount of $1,000,000 (Incorporated by reference to Exhibit 10.13 to the registrant’s Form 10-Q/A for the period ending March 31, 2024 filed on August 8, 2024).

     
10.19  

Purchase and Sale Agreement, dated as of March 31, 2025, by and among Appleatcha Land, LLC, WV Reclaim Co, LLC and Range Sky View LLC (Incorporated by reference to Exhibit 10.1 to the registrant’s Form 8-K filed with the SEC on April 2, 2025.

     
31.1   Certification of Chief Executive Officer (Principal Executive Officer) Pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934*
     
31.2   Certification of Chief Financial Officer (Principal Accounting Officer) Pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934*
     
32.1   Certification of Chief Executive Officer (Principal Executive Officer) Pursuant to Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002†
     
32.2   Certification of Chief Financial Officer (Principal Accounting Officer) Pursuant to Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002†
     
95   Mine Safety Disclosures
     
101.INS   Inline XBRL Instance Document *
     
101.SCH   Inline XBRL Taxonomy Extension Schema Document *
     
101.CAL   Inline XBRL Taxonomy Extension Calculation Linkbase *
     
101.DEF   Inline XBRL Taxonomy Extension Definition Linkbase Document *
     
101.LAB   Inline XBRL Taxonomy Extension Label Linkbase Document *
     
101.PRE   Inline XBRL Taxonomy Extension Presentation Linkbase Document *
     
104   Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

† Furnished herewith.

* Filed herewith.

# Indicates a management contract or any compensatory plan, contract or arrangement.

 

32

 

FAQ

What were Range Impact (RNGE) Q1 2026 revenues and earnings?

Range Impact reported Q1 2026 revenue of $915,380, all from coal royalties, and a net loss of $1,833,690, or $0.02 per basic and diluted share. The prior-year quarter showed no continuing-operations revenue and benefited from a large bargain purchase gain.

Why did Range Impact (RNGE) issue a going-concern warning?

Management cited a Q1 2026 net loss of $1,833,690, operating cash use of $982,050, cash of only $1,283,121, and negative working capital of $1,712,799. These factors raise substantial doubt about RNGE’s ability to continue as a going concern within one year.

How large are Range Impact (RNGE) asset retirement obligations?

Asset retirement obligations were $79,555,116 at March 31, 2026, up slightly from $79,344,297 at December 31, 2025. The company estimates undiscounted final mine-closure costs of about $129,445,432, reflecting extensive reclamation commitments at acquired Appalachian mine sites.

What is Range Impact (RNGE) current liquidity position?

At March 31, 2026, RNGE held $1,283,121 in cash and total current assets of $2,295,942, versus current liabilities of $4,008,741. This created negative working capital of $1,712,799, indicating tight near-term liquidity and reliance on additional financing or improved cash generation.

How concentrated are Range Impact (RNGE) revenues and receivables?

For Q1 2026, RNGE’s largest customer accounted for 59% of total revenue. That same customer represented 80% of accounts receivable at March 31, 2026. This concentration ties cash flow and credit exposure heavily to a single counterparty relationship.

What are Range Impact (RNGE) key segments and where did Q1 2026 revenue come from?

RNGE operates through Range Land and Range Services. In Q1 2026, all $915,380 of revenue came from the Range Land segment via coal royalties. Range Services, which handles reclamation and support on company-owned land, generated no external revenue in the quarter.