Bakken Resources (fka BKKN)

[The Scavenger]

According the the 8-K filed on July 26, 2016 the company issued 600,000 shares of Series A Preferred.

Eagle elected to put the amount of $600,000 of loans to Bakken and concurrently convert such amounts into shares of the Company’s Series A Preferred Stock on July 20, 2016. As a result, Eagle holds 600,000 shares of the Company’s Series A Preferred Stock and now possesses the designations, preferences and other rights and duties specified in the Company’s Certificate of Designation for Series A Convertible Preferred Stock, including, without limitation, Eagle’s ability to vote the equivalent of 60 million shares of the Company’s common stock.

According to a previous 8-K filed on May 10, 2016 each share of Series A Preferred is convertible into 100 shares of common.

4. Conversion: Holders of Series A Preferred may elect to convert each such share into one hundred (100) shares of Common, subject to Bakken’s authorized limit of Common shares and any applicable adjustment to shares of Series A Preferred contained in the Certificate of Designation.

Of course Eagle may never convert their shares. The provision was put in for exactly this reason. The $600,000 number was not chosen by accident. It gives Eagle just enough to have voting control and block the attempted takeover without needing to convert.