Annual Report for Fiscal Year Ending 07-31, 2025 (Form 10-K)

Management's Discussion and Analysis of our Financial Conditions and Results of Operations.

The following discussion should be read in conjunction with our consolidated financial statements and notes to our consolidated financial statements, included in "Item 8. Financial Statements and Supplementary Data." of this Report.

Results of Operations

		For the year ended July,
			2025 ($)				2024 ($)
Revenues			5,974				4,429
General and administrative expenses			64,922				287,168
Operating profit/ (loss)			(58,948	)			(282,739	)
Total other income (expense)			90,783				29,936
Net profit/ (loss)			31,835				(252,803	)

For the year ended July 31, 2025, we generated revenues of $5,974 from the royalty interest we acquired in the Eagle Acquisition consummated in January 2024. The royalty interest provides the Company with a monthly distribution of its share or revenues from the property, net of expenses and operational risks, from an oil production property managed by a non-affiliated third party.

The Company's general and administrative expenses for the year ended July 31, 2025, totaled $64,922, representing a decrease of $222,246 compared to $287,168 for the year ended July 31, 2024. The primary reason for the decrease was a significant reduction in consulting expenses. In the year ended 2024, consulting expenses were primarily related to the shareholder and business transfer process, which included services for advisory on oil and gas operations, initial business operations, and other professional services. As the transfer and name change was completed, these consulting fees were no longer incurred in the year ended 2025. In addition, legal fees associated with general corporate and securities matters, such as SEC investigation did not recur in the year ended 2025. Furthermore, the accounting and bookkeeping services from third party were no longer rendered in the year ended 2025.

For the year ended July 31, 2025, we had a net profit of $31,835 due to the revenues and the positive result in the extinguishment of account payables. All the expenses were paid by our controlling stockholder Zenith Energy, who renounced to its credit.

For the year ended July 31, 2024, we generated revenues of $4,429 from the royalty interest we acquired in the Eagle Acquisition.

During the fiscal year ended July 31, 2024, the Company incurred operating expenses of $287,168, The majority of the expenses consisted of general and administrative expenses, which includes professional services.

For the year ended July 31, 2024, we had a net loss of $252,803, primarily to professional services under general and administrative expenses. All the expenses were paid by our controlling stockholder Zenith Energy, who renounced to its credit.

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Liquidity and Capital Resources

		At July 31, 2025 ($)				At July 31, 2024 ($)
Cash			12,118				6,432
Total current assets			12,118				6,432
Non-current assets			39,280				39,280
Current liabilities (Accounts payable)			134,932				243,346

As of July 31, 2025, our current assets consisted of $12,118 in cash, as compared to $6,432 in cash at July 31, 2024 and deposits $12,115, as compared to $ 6,429 at July 31, 2024 As at the year ended July 31, 2025.

Cash Flows from Operating Activities

		For the year ended July 31,
			2025 ($)				2024 ($)
Net cash provided from (used in) operating activities			(76,579	)			(154,323	)

For the fiscal year ended July 31, 2025, net cash used in operating activities was $76,579, consisting of our net profit for the period of $31,835 and decreased by the accounts payable of $17,343, and increased by settlement of account payable of $91,071.

For the fiscal year ended July 31, 2024, net cash used in operating activities was $154,323, consisting of our net loss for the period of $252,803, increased by the accounts payable of $131,656 and decreased by an extinguishment of convertible notes of $8,423, an extinguishment of debt of $13,134, and a settlement of accounts payable of $11,619.

Cash Flows from Investing Activities

		For the year ended July 31,
		2025 ($)				2024 ($)
Net cash provided by (used in) investing activities			-				(39,280	)

For the fiscal year ended July 31, 2024, we invested $39,280, for the acquisition of the 5% royalty interest in a package of seven (7) producing oil wells located in the Eagle Ford Shale, Lavaca County, Texas.

Cash Flows from Financing Activities

		For the year ended July 31,
		2025 ($)				2024 ($)
Net cash provided by (used in) financing activities			82,265				200,032

For the fiscal year ended July 31, 2025, net cash from investing activities was $82,265, due to additional paid in capital provided by Zenith Energy, our controlling stockholder. For the fiscal year ended July 31, 2024, net cash from financing activities was $200,032.

Since the transfer of controlling interest in August 2023, Zenith Energy Ltd. ("Zenith Energy"), the Company's controlling stockholder, has provided approximately $388,008 capital in the form of payment made on behalf of the Company and $45,000 paid in capital in cash. Zenith Energy has indicated that it intends to continue to finance the Company and its expansion into the energy sector, to acquire additional royalties and/or ownership interest, pending the receipt of additional financing

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Our financial statements have been prepared in conformity with U.S. generally accepted accounting principles ("GAAP"), which contemplates our continuation as a going concern. As of July 31, 2025, we have incurred losses of $11,693,115. In addition, as of July 31, 2025 our current liabilities exceed our current assets by $122,814. These factors raise substantial doubt about our ability to continue operating as a going concern. Our ability to continue our operations as a going concern, realize the carrying value of our assets, and discharge our liabilities in the normal course of business is dependent upon our ability to raise capital sufficient to fund our commitments and ongoing losses, and ultimately generate profitable operations.

We expect we will require additional capital to meet our long-term operating requirements. We expect to raise additional capital through, among other methods, the sale of equity or debt securities. In addition, Zenith Energy, our controlling stockholder, has advised us that intends to provide the Company with working capital to fund operations and acquisitions, pending receipt of additional funding.

Critical Accounting Estimates

Our financial statements and the notes to the financial statements have been prepared in accordance with GAAP applied on a consistent basis. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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. A complete summary of these policies is included in the notes to 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 those estimates made by management.

Contractual Obligations

As a "smaller reporting company" we are not required to provide this information.

Off-Balance Sheet Arrangements

None.