SPINDLETOP OIL & GAS CO

Item 1A. - Risk Factors 

The Companys stock is no longer traded on OTC Markets Pink Current market, as it has been downgraded by OTC Markets to the OTC Pink Limited market. By Notice dated January 14, 2025, OTC Markets advised the Company that OTC Markets would discontinue the Pink Cu's common stock is current market at the end of June 2025. OTC Markets advised the Company that the Pink Current market would be replaced with a new market to be called OTCID which would require an application as well as a number of other items (including fees, ly quoted and additional disclosures) in order for entities to be admitted to traded on the OTCID by OTC  Markets. OTC Markets stated that under the new market structure, a new  Pink Limited mmarket would identify entities not been admitted to OTCID which will have their market quotations marked with a Yield sign to warn investors of heightened risk. under the symbol "SPND".

Effective July 1, 2025, the Companys stock was downgraded to the OTC Markets Pink Limited market. Now when someone goes to the OTC Markets website to get a quotation on the Companys stock, the following is under the Companys name and trading symbol with the term Warning! in bold and red print:

:

Spindletop Oil Gas Co. (SPND)

Warning! Limited Information

The Pink Limited Market is for broker-dealers to publicly quote securities with limited to no issuer involvement. Pink Limited companies do not certify their compliance with established reporting standards, have limited availability of disclosure or financial information and may not support their U.S. market. These securities are identified with a yield sign to warn investors to proceed with caution. 

The downgrade of the Companys stock to the OTC Markets Pink Limited market with the above Warning section and the cautionary Yield symbol will likely impact an investors ability to trade the Companys stock. The liquidity of our common stock will likely be affected, and purchasers of our common stock could have difficulty selling our common stock since our common stock has been transferred to the OTC Markets Pink Limited market.

There is presently only a limited public market for our common stock, and there is no assurance that a ready public market for our securities will ever develop. It is likely that any market for our common stock will be highly volatile and that the trading volume in such market will be limited and controlled by broker-dealers setting what could be an arbitrary price for the Companys stock.

The trading price of our common stock also could be subject to fluctuations in response to quarter-to-quarter variations in our operating results, announcements of our drilling results, fluctuations in oil and natural gas prices, and other events or factors. In addition, the United States stock market has from time-to-time experienced extreme price and volume fluctuations that have affected the market price for many companies, and which often have been unrelated to the operating performance of these companies. These broad market fluctuations may adversely affect the market price of our securities.

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