Financials

v3.19.2
Consolidated Balance Sheets - USD ($)
Jun. 30, 2019
Dec. 31, 2018
Current assets:    
Cash $ 361,392 $ 4,009,892
Restricted cash 4,683,129
Accounts receivable - oil and gas - net 2,709,059 258,300
Prepaid expenses 90,569 124,443
Total current assets 7,844,149 4,392,635
Oil and gas properties, full cost method    
Proved developed producing oil and gas properties, net 76,502,105 81,331,986
Proved undeveloped and non-producing oil and gas properties, net 49,190,612 50,492,906
Total oil and gas properties, net 125,692,717 131,824,892
Fixed assets, net 562,923 200,243
Derivative asset 681,776
Other assets 110,194 110,194
TOTAL ASSETS 134,209,983 137,209,740
Current liabilities:    
Accounts payable 1,630,603 2,549,280
Accrued expenses and other current liabilities 2,741,986 1,014,661
Undistributed revenues and royalties 1,308,021 1,207,605
Derivative liability 7,121,509 2,531,718
Amount due to director 590,555 395,555
Current portion of long-term debt - net of debt discount 40,231,789 11,805,582
Total current liabilities 53,624,463 19,504,401
Long term debt - net of current portion and debt discount 65,760,237 92,076,857
Operating lease liability 338,627
Asset retirement obligation 3,868,692 4,413,465
TOTAL LIABILITIES 123,592,019 115,994,723
Commitments and contingencies (Note 8)
STOCKHOLDERS' EQUITY    
Preferred stock, $0.001 par value, 5,000,000 shares authorized, 28,092 shares issued and outstanding as of June 30, 2019 and December 31, 2018 28 28
Common stock, $0.001 par value, 500,000,000 shares authorized, 91,199,954 and 90,989,025 shares issued and outstanding as of June 30, 2019 and December 31, 2018 respectively. 91,200 90,989
Additional paid-in capital 32,057,784 32,015,913
Accumulated deficit (21,531,048) (10,891,913)
TOTAL STOCKHOLDERS' EQUITY 10,617,964 21,215,017
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 134,209,983 $ 137,209,740

Source

v3.19.2
Consolidated Statements of Operations (Unaudited) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2019
Jun. 30, 2018
Jun. 30, 2019
Jun. 30, 2018
Revenue        
Oil and gas sales $ 8,734,323 $ 2,318,622 $ 18,080,915 $ 4,480,569
Operating expenses        
Lease operating costs 2,857,278 1,035,474 5,456,672 2,043,742
General and administrative 1,257,959 1,125,936 2,291,304 2,026,461
Stock based compensation 2,500 1,044,612 42,082 1,218,099
Depreciation, depletion and amortization 2,228,191 459,951 4,598,879 949,637
Accretion - ARO 75,681 49,346 158,227 97,777
Total operating expenses 6,421,609 3,715,319 12,547,164 6,335,716
Income (loss) from operations 2,312,714 (1,396,697) 5,533,751 (1,855,147)
Other income (expense)        
Interest expense (3,192,574) (600,181) (6,323,967) (961,384)
Amortization of debt discount (2,304,291) (1,930,997) (4,583,250) (2,639,104)
Change in fair value of derivatives 4,474,016 (632,831) (5,271,567) (987,784)
Gain on ARO settlement 58,041
Interest and other income 2,481 5,898
Total other income (expense) (1,020,368) (3,164,009) (16,172,886) (4,530,231)
Net loss before income taxes 1,292,346 (4,560,706) (10,639,135) (6,385,378)
Income tax benefit (expense) 605,490 877,279
Net Income (loss) $ 1,292,346 $ (3,955,216) $ (10,639,135) $ (5,508,099)
Earnings (loss) per common share        
Basic $ 0.01 $ (0.05) $ (0.12) $ (0.07)
Weighted average number of common shares outstanding        
Basic 91,192,033 80,957,111 91,147,958 77,650,012

Source

v3.19.2
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2019
Jun. 30, 2018
Cash flows from operating activities    
Net loss $ (10,639,135) $ (5,508,099)
Adjustments to reconcile net loss to cash provided by (used in) operating activities:    
Change in fair value of derivative liability 5,271,567 987,784
Stock based compensation 42,082 1,218,099
Depreciation, depletion and amortization 4,598,879 949,637
Amortization of operational right-of-use assets 2,228
Gain on ARO settlement (58,041)
Accretion - Asset retirement obligation 158,227 97,777
Amortization of debt discount 4,583,250 2,639,104
Changes in operating assets and liabilities    
Accounts receivable (2,362,672) 13,614
Prepaid expenses and other assets 33,874 (88,448)
Other receivable 548,714
Accounts payable (1,607,849) (1,933,061)
Accrued expenses and other current liabilities 1,727,325 446,928
Deferred tax liability (877,279)
Undistributed revenues and royalties 100,416 78,734
Amounts due to directors 39,993
Net cash provided by (used) in operating activities 1,908,192 (1,444,544)
Cash flows from investing activities:    
Investment in and acquisition of oil and gas properties (3,319,812) (2,088,262)
Acquisition of fixed assets (130,000)
Proceeds from sale of oil and gas interests 287,966 1,144,953
Net cash used in investing activities (3,031,846) (1,073,309)
Cash flows from financing activities:    
Proceeds from amount due to director 195,000 583,000
Repayment of amount due to director (1,306,956)
Proceeds from long term debt 2,734,143 10,078,018
Short term advance 693,706
Repayment of long-term debt (1,464,566) (6,764,989)
Net cash provided by financing activities 2,158,283 2,589,073
Net increase (decrease) in cash 1,034,629 71,720
Cash and Restricted Cash, beginning of period 4,009,892 5,735,259
Cash and Restricted Cash, end of period $ 5,044,521 $ 5,806,479
Supplemental Cash Flow Information:    
Cash paid for:
Interest $ 4,383,027 $ 866,380
Income taxes
Supplemental disclosure of Non-Cash Investing and Financing Activities    
Recognition of asset retirement obligation 94,796 231,053
Recognition of right-of-use asset and lease liability 367,365
Amortization of right-of-use asset and lease liability 28,738
Purchase of transportation equipment through direct financing 56,760
Proceeds from sale of oil and gas properties paid directly to reduce debt 3,800,000
Elimination of asset retirement obligation associated with sale of assets 797,796
Issuance of shares as discount on debt 1,237,416
Issuance of warrants as discount on debt 327,740
1st Global debt discount and loan fees 324,000
Payment in kind interest added to debt 140,757
Debt refinanced through new credit facility 7,633,389
Private placement debt exchanged for new private placement 2,085,000
Purchase of working interest through new debt 165,000
Issuance of shares for contract services 55,000
Cashless exercise of warrants 60
Accrued expenses exchanged for long term debt $ 24,712

Source