MMEX Resources Reports No Revenue, Net Loss in Latest Quarter Amid Ongoing Financial Challenges

MMEX Resources Corporation reported no revenue for the three months ended July 31, 2024, consistent with the same period in 2023. The company continues to face financial challenges, reflected in its net loss of $455,222 for the current period, a significant improvement from the net loss of $1,185,572 reported in the prior year. This reduction in loss is attributed to a decrease in general and administrative expenses, which rose to $350,531 from $324,039, primarily due to increased consultant fees.

Total operating expenses for the three months ended July 31, 2024, were $365,058, compared to $333,136 in the same period of 2023. The company recorded project costs of $5,430 for the current period, a new expense category reflecting costs associated with the Trans Permian H2Hub project, which had no corresponding costs in the previous year.

As of July 31, 2024, MMEX reported total current assets of $3,760, down from $3,898 as of April 30, 2024. Total liabilities increased to $5,265,722 from $4,859,061, resulting in a total stockholders’ deficit of $(4,229,650), compared to $(3,813,754) in the prior period. The company’s working capital deficit stood at $5,261,962, raising concerns about its ability to meet operational commitments in the coming year.

Cash on hand decreased to $260 from $898 at the end of April 2024. The net cash used in operating activities for the three months ended July 31, 2024, was $(107,514), compared to $(75,513) in the same period of 2023. The company reported net cash provided by financing activities of $106,876, an increase from $65,400 in the previous year, primarily due to proceeds from notes payable to related parties.

MMEX has been actively seeking additional funding to support its operations, which have been primarily financed through private debt and equity. The company has incurred continuous losses and has reported negative cash flows from operations since inception, leading to substantial doubt regarding its ability to continue as a going concern.

In terms of strategic developments, the company has been involved in various projects aimed at clean fuels and hydrogen production, including partnerships for renewable energy initiatives. However, it has not yet begun generating revenue from these projects. The company’s share count has increased significantly, with 9,692,800,957 shares outstanding as of September 13, 2024, reflecting ongoing financing activities and conversions of preferred stock.