SUPPLEMENTAL INFORMATION RELATING TO OIL AND GAS PRODUCING ACTIVITIES (UNAUDITED) (Tables)
|
12 Months Ended |
Dec. 31, 2017 |
Oil and Gas Exploration and Production Industries Disclosures [Abstract] |
|
Cost Incurred in Oil and Gas Property Acquisition, Exploration, and Development Activities Disclosure |
In
2016, the Company purchased 90% working interest in the SUDS field in the amount of $8,373,186 and also purchased the 25% working
interest in the TLSAU field in the amount of $350,000. In 2017, the Company purchased a 60% working interest in the TLSAU field
in the amount of $745,788. With these purchases the Company obtained 100% working interest in the TLSAU field.
|
|
Fiscal
Year Ended December 31, 2017 |
|
|
Fiscal
Year Ended December 31, 2016 |
|
Property
acquisitions |
|
$ |
745,788 |
|
|
$ |
8,723,186 |
|
Unevaluated |
|
|
— |
|
|
|
— |
|
Evaluated |
|
|
— |
|
|
|
— |
|
Exploration |
|
|
— |
|
|
|
— |
|
Development |
|
|
— |
|
|
|
— |
|
Total
Costs Incurred |
|
$ |
745,788 |
|
|
$ |
8,723,186 |
|
|
Capitalized Costs Relating to Oil and Gas Producing Activities Disclosure |
Capitalized
costs for unproved properties include costs for acquiring oil and gas leaseholds and geological and geophysical expenses where
no proved reserves have been identified.
|
|
December
31, 2017 |
|
|
December
31, 2016 |
|
Capitalized costs |
|
|
|
|
|
|
|
|
Unevaluated properties |
|
$ |
— |
|
|
$ |
— |
|
Evaluated
properties |
|
|
13,837,800 |
|
|
|
13,092,012 |
|
|
|
|
13,837,800 |
|
|
|
13,092,012 |
|
Less:
Accumulated DD&A |
|
|
(1,068,795 |
) |
|
|
(1,042,545 |
) |
Net
capitalized costs |
|
$ |
12,769,005 |
|
|
$ |
12,049,467 |
|
|
Schedule of Proved Oil and Gas Reserve Quantities |
The
following table sets forth estimates of the proved oil and gas reserves (net of royalty interests) for the Company and changes
therein, for the periods indicated.
|
|
Oil
(Bbls)
|
|
|
|
|
|
December
31, 2015 |
|
|
734,520 |
|
Revisions
of prior estimates |
|
|
(58,297 |
) |
Purchases
of reserves in place |
|
|
1,557,660 |
|
Production |
|
|
(6,643 |
) |
December
31, 2016 |
|
|
2,227,240 |
|
Revisions
of prior estimates |
|
|
(2,186,554 |
) |
Purchases
of reserves in place |
|
|
1,600,935 |
|
Production |
|
|
(3,421 |
) |
December
31, 2017 |
|
|
1,638,200 |
|
|
Schedule of Proved Developed and Undeveloped Oil and Gas Reserve Quantities |
|
|
December
31, 2017 |
|
|
December
31, 2016 |
|
|
|
|
|
|
|
|
Estimated
Quantities of Proved Developed Reserves – Oil (Bbls) |
|
|
1,598,010 |
|
|
|
1,206,010 |
|
Estimated
Quantities of Proved Undeveloped Reserves – Oil (Bbls) |
|
|
40,190 |
|
|
|
1,021,230 |
|
The following table sets forth estimates
of the proved developed and proved undeveloped oil and gas reserves (net of royalty interests) for the Company and changes therein,
for the period indicates.
Proved
developed producing and non-producing reserve |
|
Oil
(bbls) |
|
December
31, 2016 |
|
|
1,206,010 |
|
Acquired
Reserves |
|
|
377,670 |
|
Revision
of prior estimates |
|
|
17,751 |
|
Production |
|
|
(3,421 |
) |
December
31, 2017 |
|
|
1,598,010 |
|
Proved
undeveloped reserves |
|
Oil
(bbls) |
|
December
31, 2016 |
|
|
1,021,230 |
|
Acquired
Reserves |
|
|
1,223,265 |
|
Revisions
to prior estimates |
|
|
(2,204,305 |
) |
December
31, 2017 |
|
|
40,190 |
|
|
Standardized Measure of Discounted Future Cash Flows Relating to Proved Reserves Disclosure |
The
following table sets forth the changes in standardized measure of discounted future net cash flows relating to proved oil and
gas reserves for the periods indicated.
|
|
December
31, 2017 |
|
|
December
31, 2016 |
|
|
|
|
|
|
|
|
Future
cash inflows |
|
$ |
62,964,150 |
|
|
$ |
90,265,000 |
|
Future
production costs |
|
|
(27,336,630 |
) |
|
|
(47,050,770 |
) |
Future
development costs |
|
|
(1,491,500 |
) |
|
|
(10,396,000 |
) |
Future
income taxes |
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
Future
net cash flows |
|
|
34,136,020 |
|
|
|
32,818,230 |
|
Discount
of future net cash flows at 10% per annum |
|
|
(17,530,040 |
) |
|
|
(19,253,750 |
) |
|
|
|
|
|
|
|
|
|
Standardized
measure of discounted future net cash flows |
|
$ |
16,605,980 |
|
|
$ |
13,564,480 |
|
|
Schedule of Changes in Standardized Measure of Discounted Future Net Cash Flows |
Changes
in standardized measure of discounted future cash flows
|
|
December
31, 2017 |
|
|
December
31, 2016 |
|
|
|
|
|
|
|
|
Beginning
of year |
|
$ |
13,564,480 |
|
|
$ |
6,220,500 |
|
Sales
and transfers of oil & gas produced, net of production costs |
|
|
267,997 |
|
|
|
175,048 |
|
Net
changes in prices and production costs |
|
|
1,967,068 |
|
|
|
(1,917,506 |
) |
Changes
in estimated future development costs |
|
|
1,806,404 |
|
|
|
(673,960 |
) |
Acquisitions
of minerals in place, net of production costs |
|
|
7,645,722 |
|
|
|
9,941,241 |
|
Revision
of previous estimates |
|
|
(19,654,723 |
) |
|
|
(544,877 |
) |
Change
in discount |
|
|
732,656 |
|
|
|
817,235 |
|
Change
in production rate or other |
|
|
(10,276,980 |
) |
|
|
(453,201 |
) |
|
|
|
|
|
|
|
|
|
End
of year |
|
$ |
16,605,980 |
|
|
$ |
13,564,480 |
|
|