{"url_path":"/sec/useg/10-k/2026/item-3","section_key":"item-3","section_title":"Item 3 Legal Proceedings.**","topic":"sec","document":{"doc_type":"10-K","doc_date":"2026-03-13","source_url":"https://www.sec.gov/Archives/edgar/data/101594/0001437749-26-008057-index.html","accession_number":"0001437749-26-008057","cik":"0000101594","ticker":"USEG","issuer_name":"BIG SKY INDUSTRIAL INC.","edgar_url":"https://www.sec.gov/Archives/edgar/data/101594/0001437749-26-008057-index.html","primary_entity_key":"0000101594","primary_entity_name":"US ENERGY CORP"},"word_count":221,"has_tables":true,"body_markdown":"**Item 3. Legal Proceedings.**\n\n \n\nFrom time to time, we may become party to litigation or other legal proceedings that we consider to be a part of the ordinary course of our business. We are not currently involved in any legal proceedings that we believe could reasonably be expected to have a material adverse effect on our business, prospects, financial condition or results of operations. We may become involved in material legal proceedings in the future.\n\n \n\n*Environmental Contingencies*\n\n \n\nThe nature of the industrial gas, natural gas and oil businesses carries with it certain environmental risks for us and our subsidiaries. We have implemented various policies, programs, procedures, training and audits to reduce and mitigate such environmental risks. We conduct periodic reviews, on a company-wide basis, to assess changes in our environmental risk profile. In the event we believe that economic losses are probable and reasonably estimable, we establish environmental reserves. We manage our exposure to environmental liabilities in acquisitions by using an evaluation process that seeks to identify pre-existing contamination or compliance concerns and address the potential liability. Depending on the extent of an identified environmental concern, we may, among other things, exclude a property from the transaction, require the seller to remediate the property to our satisfaction in an acquisition or agree to assume liability for the remediation of the property."}