Schedule of short-term note payable |
|
|
|
|
|
|
March
31, 2018 |
|
December
31, 2017 |
|
|
Nominal
interest rate |
|
Date
of
maturity |
|
Face
value |
|
Carrying
amount |
|
Face
value |
|
Carrying
amount |
Current
portion of truck loan (i) |
|
|
5.49 |
% |
|
|
January
6, 2022 |
|
|
$ |
32,582 |
|
|
$ |
32,582 |
|
|
$ |
32,582 |
|
|
$ |
32,582 |
|
Promissory note
(ii) |
|
|
12 |
% |
|
|
June
30, 2018 |
|
|
|
37,613 |
|
|
|
42,127 |
|
|
|
— |
|
|
|
— |
|
Promissory note
(iii) |
|
|
12 |
% |
|
|
June
30, 2018 |
|
|
|
36,451 |
|
|
|
39,747 |
|
|
|
— |
|
|
|
— |
|
Bukit Energy Inc.
(iv) |
|
|
8.5 |
% |
|
|
Dec
15, 2017 |
|
|
|
500,000 |
|
|
|
538,677 |
|
|
|
— |
|
|
|
— |
|
Credit
note (v) |
|
|
9 |
% |
|
|
See
Note 11 |
|
|
|
800,000 |
|
|
|
835,855 |
|
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
$ |
1,406,646 |
|
|
$ |
1,488,988 |
|
|
$ |
32,582 |
|
|
$ |
32,582 |
|
The
promissory notes are repayable in full on maturity. The difference between the face value and carrying amount is attributed to
accrued interest.
|
(i) |
On
January 6, 2017, the Company purchased a truck and entered into an installment note with
Don Ringer Toyota in the amount of $35,677 for a term of five years at 5.49% annual percentage
rate (APR). |
|
(ii) |
The
note matures on February 28, 2018 and carries interest at 12% per annum. The note was
extended to June 30, 2018. |
|
(iii) |
The
note matures on February 28, 2018 and carries interest at 12% per annum. The note was
extended to June 30, 2018. |
|
(iv) |
In
conjunction with the closing of the purchase of the Bukit assets, Bow issued a note payable
to Bukit Energy Inc. of $500,000 with interest at the rate of 8.5% per annum, calculated
monthly, not in advance, on the principal amount. The note matured on August 31, 2017.
The note was extended to December 15, 2017. The note is in default and remained in default
at the time of issuance of these financial statements. |
|
(v) |
Bow
has a loan in default of $800,000. The credit note is secured by a general security agreement
over the assets of Bow. Interest accrues monthly and is recorded at 9% on the full amount
of the original issued notes of USD $1,100,000. The note is in default and remained in
default at the time of issuance of these financial statements. The debt holder also was
issued warrants to purchase 320,000 shares of common stock exercisable at $0.08 per share,
expiring February 27, 2021. The warrants were valued at $103,633 using the Black Scholes
options pricing model with volatility of 283%, discount rate of 2.42% and call option
value of $0.32. The note was amended on May 9, 2018. Terms of which, are disclosed in
Note 11. |
|