One of today’s more incredible movers is Indonesia Energy (NYSEMKT:INDO) stock. Shares of the Indonesia-based oil and gas exploration company surged more than 100% at their peak today. At the time of this writing, INDO stock has held onto most of these gains, still up more than 65% in late afternoon trading.This move comes as the price of oil continues to rise higher on geopolitical concerns. A number of factors, including the ongoing Israel-Palestine conflict and supply-related concerns, have pushed up the ...

Financial Performance and Market Conditions - The company's financial performance is significantly impacted by oil and gas price volatility, which has historically led to substantial fluctuations in revenues and cash flow[38]. - The ongoing geopolitical tensions, particularly the war in Ukraine, have resulted in increased oil and gas prices, affecting global economic conditions and potentially the company's operations[40]. - The company's revenue, cash flows, profitability, and future growth rates are significantly dependent on prevailing oil and gas prices, which are subject to large fluctuations[84]. - The company faces risks related to the volatility of oil and gas prices, which can adversely affect its revenue and cash flow[85]. - A prolonged decline in oil and gas prices could necessitate significant downward adjustments to estimated proved reserves, adversely affecting financial condition[50]. Operational Challenges - The company has faced operational challenges, including difficulties in drilling at the K-25 and K-28 wells, which may adversely affect future results[48]. - Weather conditions and other external factors have previously impacted drilling operations, leading to production setbacks[69]. - The company has had to modify its drilling schedule in the past and may continue to do so due to various factors beyond its control[66]. - The company must replace its oil reserves to maintain production levels, as current reserves will decline over time[86]. - The company faces risks in exploration activities, particularly in Kruh Block and Citarum Block, where unproductive wells could lead to capital losses[62]. Financial Resources and Capital Expenditures - The company must make capital expenditures to develop existing reserves and discover new ones, but there is uncertainty regarding future capital resources[56][57]. - Significant capital investment is required for exploration and production, and the company may face challenges in financing these expenditures on satisfactory terms[88]. - The company raised less capital than anticipated in its December 2019 IPO, impacting its ability to fund its business plan and requiring modifications to its strategy[59]. - Actual cash requirements may exceed estimates, and additional financing will be needed to bring interests into commercial operation and cover operating expenses until positive cash flow is achieved[177]. - Under current market conditions, obtaining additional equity or debt financing on acceptable terms may be challenging, potentially impacting the company's growth strategies[178]. Regulatory and Compliance Issues - The company is subject to extensive regulations in Indonesia, which can materially affect its business and financial condition[92]. - Compliance with environmental, health, and safety laws may result in material liabilities and costs for the company[105]. - The evolving regulatory landscape in Indonesia may lead to increased compliance costs and operational changes[102]. - The company must comply with complex environmental assessment requirements, which could delay project approvals and impact operations[112]. - Compliance with the U.S. Foreign Corrupt Practices Act is critical, as violations could result in significant penalties and operational curtailments[143]. Market and Economic Conditions - The Indonesian economy experienced a decline of 2.1% in GDP during 2020, marking the first contraction in several years, which could adversely affect demand for commodities produced by the company[120]. - Negative changes in global, regional, or Indonesian economic activity could lead to reduced demand for communication services, adversely impacting financial results[134]. - The COVID-19 pandemic continues to pose uncertainties that may affect future financial results, depending on the severity and government responses[135]. - Fluctuations in the value of the Indonesian Rupiah could create difficulties in purchasing imported goods critical for operations[137]. - Political instability and social unrest in Indonesia could disrupt operations and negatively affect the company's financial condition[125]. Strategic Initiatives and Growth Opportunities - The company aims to expand its asset portfolio, specifically targeting the Rangkas Area, but faces competition from larger firms with greater resources[63]. - The company identified significant opportunities in the Indonesian oil and gas industry through the acquisition of medium-sized producing and exploration blocks[221]. - The company targets overlooked medium-sized blocks due to high barriers to entry and capital requirements, creating potential for economic profit[222][224]. - The strategy aims to maintain a sustainable upstream oil and gas production business through a mix of production, development, and exploration licenses[230]. - The portfolio management approach involves acquiring assets with different contracting structures and maturity stages to enhance diversification[229]. Risks and Liabilities - The company does not insure against all operational risks, which could result in substantial losses from unforeseen events[73]. - The company may be required to relinquish portions of its contract area under its production sharing contract, potentially limiting exploration opportunities[97]. - The company faces potential liabilities for environmental, health, and safety costs arising from its operations and those of its contractors, which could materially impact its financial condition[108]. - Terrorist activities in Indonesia pose risks that could destabilize the economy and adversely affect business performance and market confidence[132]. - Natural disasters in Indonesia, such as earthquakes and floods, could disrupt operations and adversely affect business performance[141]. Shareholder and Market Dynamics - The market for the company's ordinary shares has been volatile, with significant fluctuations in trading volume and price[171]. - The ordinary share price has been affected by external factors such as commodity price fluctuations and geopolitical events, including the COVID-19 pandemic and Russia's invasion of Ukraine[173]. - Limited analyst coverage may negatively impact the trading market for the company's ordinary shares, and any downgrades or lack of coverage could lead to a decline in share price[195]. - The company may face delisting from NYSE American if it fails to meet share price, financial, and shareholder distribution targets, which could adversely affect liquidity and investment value[175]. - Dissenting shareholders have limited rights compared to U.S. corporations, which may affect their ability to protect their interests[159].

Revenue and Financial Performance - Revenue for the six months ended June 30, 2022, was $2,332,509, representing a 120.5% increase compared to $1,057,138 for the same period in 2021[4] - Net loss for the six months ended June 30, 2022, was $1,060,377, a significant reduction from a net loss of $2,932,213 in the same period of 2021, reflecting a 63.8% improvement[4] - The company reported total operating costs and expenses of $4,248,371 for the six months ended June 30, 2022, which is a 63.0% increase from $3,990,368 in the same period of 2021[4] - The basic net loss per share for the six months ended June 30, 2022, reflects the impact of potentially dilutive securities, with 783,907 potentially dilutive securities excluded from the computation due to their anti-dilutive effect[27] - The Company reported a net loss of $1,060,377 and net cash used in operating activities of $3,059,907 for the six months ended June 30, 2022[73] Assets and Liabilities - Total current assets increased to $8,725,681 as of June 30, 2022, up from $3,532,756 as of December 31, 2021, marking a 147.5% growth[2] - Total liabilities increased to $7,550,716 as of June 30, 2022, compared to $4,270,358 as of December 31, 2021, indicating a 76.5% rise[2] - The total shareholders' equity increased to $11,573,440 as of June 30, 2022, up from $7,819,743 as of December 31, 2021, reflecting a 48.5% increase[2] - As of June 30, 2022, the company's net property and equipment amounted to $276,864, a decrease from $292,538 as of December 31, 2021[35] - The Company had an accumulated deficit of $34,878,538 and working capital of $5,502,080 as of June 30, 2022[73] Cash and Financing Activities - Cash and cash equivalents, along with restricted cash, totaled $7,385,759 at the end of June 30, 2022, compared to $6,567,987 at the end of June 30, 2021, showing a 12.5% increase[11] - The company raised $8,589,000 from the issuance of convertible notes and warrants during the six months ended June 30, 2022[11] - The company incurred interest expense of $15,500 for the six months ended June 30, 2022, compared to $5,712 for the same period in 2021[37] - The company has a convertible note payable of $400,000 as of June 30, 2022, following the closing of a $5,000,000 tranche with L1 Capital[38] - A total of $9,600,000 of the $10,000,000 principal amount of the convertible notes has been converted into Ordinary Shares at $6.00 per share by L1 Capital as of June 30, 2022[48] Operational Activities and Plans - The Company plans to drill a total of 18 new wells at the Kruh Block, with 5 wells in 2021, 6 wells in 2022, and 7 wells in 2023, although delays have been experienced due to permitting and COVID-19[21] - For the six months ended June 30, 2022, the Company incurred development costs of $1,512,127, primarily for drilling two new wells at Kruh Block[32] - The Company plans to commence a new seismic program at Kruh Block starting in Q4 2022, expected to take approximately 10 to 12 months[79] - The Company plans to drill a total of 18 wells at Kruh Block through the end of 2024, with the current drilling program expected to be completed by the end of 2025[79] Market Conditions and Risks - Crude oil prices were negatively impacted in 2020 and 2021 due to low demand and production disputes, although prices rose significantly in the first half of 2022[14] - The Company continues to face operational delays due to COVID-19, which has impacted drilling and exploration operations, as well as project approvals[14] Shareholder and Equity Activities - The weighted average number of ordinary shares outstanding increased to 7,854,830 for the six months ended June 30, 2022, compared to 7,433,673 for the same period in 2021[4] - The Company issued 199,259 restricted Ordinary Shares upon the exercise of vested options by certain executive officers on March 3, 2022[57] - The Company issued 60,000 restricted Ordinary Shares to the President, valued at $2.85 per share, totaling $128,079 charged to general and administrative expenses for the six months ended June 30, 2022[58] Legal and Compliance - The Company has no significant pending litigation as of June 30, 2022, and management believes no claims are expected to have a material adverse effect on its financial position[62] Taxation - The effective tax rate for the six months ended June 30, 2022, was 0%, consistent with the same period in 2021, due to unrecovered expenditures[55]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 20-F (Mark One) [ ] REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR [ ] SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE A ...

EXHIBIT 99.1 INDONESIA ENERGY CORPORATION LIMITED CONDENSED CONSOLIDATED BALANCE SHEETS | | | June 30, | | December 31, | | --- | --- | --- | --- | --- | | | | 2020 | | 2019 | | | | (Unaudited) | | | | Current assets | | | | | | Cash and cash equivalents | $ | 9,486,757 | $ | 12,241,339 | | Restricted cash –current | | 1,000,000 | | 2,064,130 | | Accounts receivable, net | | 172,879 | | 350,672 | | Other assets –current | | 719,033 | | 418,584 | | Total current assets | | 11,378,669 | | 15,074,725 | | Non-c ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 20-F (Mark One) ¨ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ¨ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of event requiring this shell compan ...