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I copied it directly from Yahoo as it was with any alterations so the date is a typo on their part. no matter check the paper to see if its authentic
For the general information of the readers. The rig the Michael Roberts illegally sold is capable of drilling to a depth of 9,000 feet, loaded with all the goodies. Now any reasonable person would assume that the reason we are going to use that on Bellevue is because management knows it can do the job. Roberts sold the rig for a little over $500,000 a fraction of its cost and it was a new rig. Anyone can say anything they want on this board as long as its about the company but realize that Michael Roberts either had to return the rig of face jail.
Good Morning from the United States my fellow EEGC share holders. This week shows promise to be an exceptional week for the company and their share holders. A lot of positive rumors flying around and lets see if they are on target. We should have a better idea during this week. Patience will be rewarded.
Form 10-Q for EMPIRE ENERGY CORP
4-Jun-2010
Quarterly Report
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.
Our twelve-month plan of operation:
We are an exploration stage oil and gas exploration company, devoting substantial effort to raising capital to support our exploration and development of sub-surface hydrocarbons in commercial quantities in Tasmania, Australia.
Our primary focus is the discovery and exploitation of oil and gas and we intend to apply all resources to that purpose. We currently have four wholly-owned subsidiaries: Great South Land Minerals Limited, Bob Owen Company, Cyber Finance Limited and Expedia Limited. Our primary endeavor is the exploration for and development of oil and natural gas in the state of Tasmania, Australia undertaken by GSLM and our resources are being focused on that activity
Great South Land Minerals Limited's principal asset was its exploration license in Tasmania, 15,035 km 2 (37.2 million acres) Special Exploration License 13/98. The terms of the Great South Land Minerals Limited Special Exploration License 13/98 were contractually agreed with Mineral Resources Tasmania, the local authority under the Department of Industry, Energy and Resources of Tasmania. The Company had expenditure obligations under the license conditions. The conditions required scheduled reported expenditure of AUD $21.5 million (US $16.69 million), by September 2009. The company reported accumulated expenditure to date of AUD $50.8 million (US $43.7 million). Expenditure is reported under the regulations of Mineral Resources Tasmania by Great South Land Minerals Limited. The exploration and development expenditures disclosed in the Consolidated Financials and Notes were prepared using USA Generally Accepted Accounting Principles which is different to the definition of exploration expenditure of Special Exploration License 13/98, but approximate the USD $46 million deficit accumulated during exploration stage.
Special Exploration License 13/98 expired September 30, 2009. In September 2009, Great South Land Minerals, Ltd lodged an application for an Exploration License covering the significant identified prospective areas included in the SEL 13/98 effort. The application was granted for a reduced area of approximately 3,000 square kilometers on May 17, 2010 as Exploration License 14/2009, determined to include the two most prospective areas identified by the work performed under SEL 13/98. The Company believes Special Exploration License 13/98 provides a right to the award of the exploration license over selected areas covered by that license and continues to work for and plan for the inclusion of the full area covered by SEL 13/98 in the area covered by Exploration License 14/2009. Award of the Special Exploration License is at the discretion of the Minister but the Company believes its performance over past years support the issuance of the new license. Should the additional area in the current applications not be granted, we intend to reapply and to seek rights to additional exploration property that we have not yet identified. The following seismic and evaluation work includes the area licensed under EL 14/2009.
Terrex Seismic performed on our behalf a AUD $4.4 million (US $3.0 million) 2007 seismic survey which was additional to the approximately AUD $2.23 million (US $1.54 million) 2006 program and the 660 line kilometers of survey that we acquired from 2001. A total of 1149 line kilometers have been acquired. These surveys have indicated the presence of over 14 structures which have the potential to have trapped oil and gas. Our two largest structures the Bellevue Dome (anticline) and the Thunderbolt Dome (anticline) are structures over 1000 sq km (2.47 million acres) in area and have the potential to contain substantial volumes of oil and gas.
The seismic program commenced on a 58.76 kilometer survey area in Tasmania around the township of Zeehan in March 2007, finished that survey and commenced the program on property covered under Special Exploration License 13/98 (predecessor to Exploration License 14/2009 granted May 17, 2010) in April 2007. The information obtained from this activity on an outside area assisted with the interpretation of the seismic signature of deeper rock sequences under the Tasmania Basin which we have classified as being within the Larapintine petroleum system. It is one of three petroleum systems currently identified as prospective onshore Tasmania and the Gondwana Land System which outcrops at the surface (commonly known as the Tasmania Basin) is analogous to the Cooper Basin (in central Australia) which was discovered in the early 1960's.
With our consultants, we reviewed the geology and geophysics of the Central Highlands of Tasmania, using data acquired from the 2001, 2006 and 2007 seismic surveys and previous extensive regional ground gravity and aerial magnetic surveys acquired during the last 20 years. This work assisted in further defining drilling targets and will form the basis of well location, design and engineering. He also coordinated a more detailed prospect definition gravity survey to assist with the interpretation and analysis of the seismic results. The gravity data was acquired by independent contractor Solo Geophysics.
In the fourth quarter 2007, we performed additional seismic surveys in certain areas identified by the prior 2D survey as the apex of potential targets that have potential oil and gas traps and then engaged in 3D surveys to supplement and expand earlier data with the view of assisting in the management of an extraction plan should our exploration wells be successful in discovering reserves which can be produced.
In 2008 international geoscience consulting company RPS Energy prepared an updated Competent Person's Report on GSLM's tenement and Beacon Equity prepared a research report on Empire Energy that covered GSLM's activities. During early 2008, final site selection was carried out for drilling exploratory wells using previously acquired geological, geophysical and geochemical data. Extensive environmental, forestry, heritage, archaeological, acoustic, hydrogeological and engineering studies were carried out on the Bellevue and Thunderbolt structures and sites at Bellevue and Thunderbolt were selected. A management system audit of Hunt Energy and GSLM was carried out in August 2008, drilling plans for Bellevue#1 and Thunderbolt#1 were submitted to Mineral Resources Tasmania and approval to drill both exploratory wells was obtained. Preliminary investigations were also carried out at the Lonnavale #1 well site. Extensive site work began at Bellevue#1 in the July and August 2008.
In July 2008, with the financial guarantee of our Chief Executive Officer, we obtained a secured loan from Smart Win Limited in the amount of AUD$5 million (US$3.47 million) to pursue the drilling program in the property area covered by SEL 13/98. Initial draw on this loan of approximately AUD$2.7 million (US$1.86 million) allowed mobilization of the drilling contractor, prepaid initial drilling cost and provided working capital to the Company. Additional drawing under this note was expected to fund the drilling program and complete at least the first well. In conjunction with this note, we agreed to a memorandum of understanding that could bring up to AUD$45 million (US$31.1 million) to the drilling program in exchange for up to a 50% interest in the license property. This additional funding was intended to allow drilling of up to an additional 14 exploratory wells in 2009. In October 2008, the drilling program was stopped when SmartWin failed to advance the remaining AUD$1.1 million (USD $759,770) due under the AUD$5 million (USD $3.45 million) Note and in September 2009 Smart Win notified us that they would not pursue the joint venture and the note should be repaid as Smart Win considered the Note to be in default.
During August and September 2008 we commenced drilling on the Bellevue # 1 site and completed the pre collar hole to 272 meters. The initial rig was removed to make way for the deep drilling Hunt Energy rig to move on site to finish the well. Onsite inspection was conducted by MODUSPEC whose report on the condition of the rig was received on the 30th December 2008. The funding shortfall includes the failure of SmartWin to advance the remaining AUD$1.1 million (USD $759,770) due under the AUD$5 million (USD $3.45 million) Note as well as the effects of the global financial crisis and the apparent refusal of creditors to advance funds on new projects and the failure of historic sources of those funding exploration ventures. Due to this funding uncertainty and the length of time on hold, the suspended exploration and drilling costs incurred of $8,271,190, (including $3,829,474 incurred in 2009) on the well were charged to expense in 2009. Management remains confident that this shortage of operating capital will ease but there can be no guaranty that we will be able to finance the balance of our project at this juncture, which could cause the failure of our business. We have incurred significant standby charges. At March 31, 2010 we have accrued a balance of $1,682,000 in charges owed to Hunt Energy.
In April 2009, we filed applications for two additional tenement licenses in Tasmania. One application for the coal-bed methane horizons of the existing SEL 13/98 tenement which would be tested commencing with the Bellevue #1 exploratory well. The second application for a further 12,040 sq kilometers of tenement on the Eastern seaboard of Tasmania, which includes approximately 5,000 sq kilometers of offshore area, where 7 kilometers of onshore and 256 kilometers seismic operations were previously carried out. Mineral Resources Tasmania declined to grant these applications. We have lodged additional applications in conjunction with the September 2009 expiration of Special Exploration License 13/98. One of the additional applications was granted May 17, 2010, the other remains under consideration.
We have analyzed the data collected over the past thirty years, have selected prospective sites, arranged a drilling contractor, arranged interim funding and are aggressively pursuing additional funding to drill wells on these sites as well as continue to expand the seismic and other technical knowledge on this license area.
Results of operations
Since the inception of our current business plan following our merger with GSLM in 2005, our operations have consisted primarily of various exploration and start-up activities relating to our license property and our current business, including acquiring and analyzing seismic data, seeking institutional investors, locating joint venture partners, engaging firms to comply with leasehold conditions, incurring strategic investments and developing our long term business strategies.
During the quarter ended March 31, 2010, the Company generated no oil and gas revenue. The Company generated a loss from operations of $350,000 primarily by incurring general & administrative expenses including legal, accounting, auditing and consulting expenses required to maintain the corporate existence and pursue funding and GSLM exploration activities. During the quarter ended March 31, 2009, the Company also generated no revenue. The Company generated a loss from operations of $923,000 primarily by incurring exploration expenses of $7,000 and general and administrative expenses of $916,000, primarily legal, accounting, auditing and consulting expenses required to maintain the corporate existence and pursue funding for exploration.
By its terms, Special Exploration License 13/98 expired September 30, 2009. In September 2009 we filed applications for two additional tenement licenses in Tasmania. One application is an exploration license covering key prospective areas identified in the expiring SEL 13/98 tenement including areas which would be tested commencing with the Bellevue #1 exploratory well. The second application is for a further 12,040 sq. kilometers of tenement on the Eastern seaboard of Tasmania, which includes approximately 5,000 sq. kilometers of offshore area, where 7 kilometers of onshore and 256 kilometers seismic operations were previously carried out. The onshore application was granted for a reduced area of approximately 3,000 square kilometers on May 17, 2010 as Exploration License 14/2009 including the two most prospective areas determined by work done under SEL 13/98. EL 14/2009 requires expenditure of AUD$7.55 million (US$6.95 million) during its term of two years to drill two wells. The second license applications has not yet been awarded by Mineral Resources Tasmania. The Company believes Special Exploration License 13/98 provides a right to the award of the exploration license over areas covered by that license and continues to work for and plan for the addition of the full area covered by SEL 13/98 to the area covered by Exploration License 14/2009. Award of the Special Exploration License is at the discretion of the Minister but the Company believes its performance over past years support the issuance of the new license. Should the additional area in the current applications not be granted, we intend to reapply and to seek rights to additional exploration property that we have not yet identified. On May 17, 2010 the Tasmania Minister for Energy and Resources countersigned the documents to grant to the Company its exploration license EL14/2009, covering 3,108 sq km (768,004 acres) of the onshore Tasmania Basin including the two main domes at Bellevue and Thunderbolt identified while operating under Special Exploration License 13/98 that expired September30, 2009.
While the Company has accepted this Exploration License 14/2009 for the area issued, the company has formally submitted notice of appeal to Mineral Resources Tasmania's (MRT) of the decision to reduce the license area and asked for the department to expand the licensed area to include the full area (1.84 million acres, 7,450 square kilometers) for which exploration license EL 14/2009 was originally applied for and which contained most (over 80 percent) of the Company's seismically defined prospective structures. The Company plans to appeal to MRT to expand the license grant to include the entire area (3.71 million acres, 15,039 square kilometers) covered in the expired Special Exploration License 13/98. The Company has additionally submitted to MRT a new application replacing Empire/GSLM's previously withdrawn special exploration license SEL 13/2009, which covers much of eastern and offshore Tasmania.
Presently, the company's main focus is on drilling and developing the two most prospective structures, Bellevue and Thunderbolt, both of which are included in the licensed area of Exploration License 14/2009.
With formal issuance to GSLM of Exploration License EL 14/2009, the Company now plans to complete funding and resume its drilling program, update its environmental studies and complete its goal of commercializing oil and gas within the Tasmania Basin.
Liquidity and Capital Resources
On March 31, 2010, the Company had $31,000 in cash, $96,000 in prepayments of expenses and $13,000,000 in current liabilities including trade payables, accrued liabilities, and current maturities of debt resulting in a working capital deficit of $12,900,000. Approximately $2 million of debt includes provisions by which the holder may convert the debt to common equity. Net cash used by operating activities for the three months ended March 31, 2010 was $78,000 compared to cash used of $17,000 for the three months ended March 31, 2009. No cash was used by investing activities during the three months ended March 31, 2010. Cash used in investing activities during the three months ended March 31, 2009 was $174,000. Net cash provided by financing activities during the three months ended March 31, 2010 was $224,000, primarily loans from our CEO. Net cash provided by financing activities during the three months ended March 31, 2009 was $280,000, primarily loans from a director. Additional financing will be needed during the coming twelve months to continue to develop the license property and pursue the company's business plan.
On February 12, 2010, registration of the Company's Rights Offering to potentially raise up to $9.3 million by selling 133 million shares of common stock at a price per share of $0.07 per share was allowed to become effective.
The offering period ended April 18, 2010 with shareholders exercising their right to purchase approximately 17 million additional shares in the company at a value of $58,000 in cash and debt reduction from related parties of $1.2 million. All eligible Empire Directors purchased their full share entitlements which included the conversion of US$1.2 million of debt to equity. The offering registration provided for an oversubscription period during which eligible record shareholders who fully subscribed during the initial offering period are entitled to purchase the remaining 117 million additional unsubscribed shares at the same price of $0.07 per share. This oversubscription period began with a mailing to qualified rights holders on April 27, 2010 and will terminate on a date which is expected to be fifteen days after the post-effective registration is determined effective.
EEGC is in the exploration stage, devoting substantially all of its efforts to exploration of its oil and gas license in Tasmania and raising capital to finance its exploration of its oil and gas license. EEGC has substantially funded its operations with proceeds from the issuance of common stock. At March 31, 2010, the Company has current liabilities of $13,023,821, current assets of $130,074 and no current source of revenue. In the course of its exploration activities, EEGC has sustained operating losses and expects such losses to continue for the foreseeable future. EEGC will finance its operations primarily through cash and cash equivalents on hand, future financing from the issuance of debt or equity instruments and through the generation of revenues if commercial operations get underway. The Company has yet to generate any revenues and has no assurance of future revenues. To management's knowledge, no company has yet successfully developed sub-surface hydrocarbons in commercial quantities in Tasmania. Even if development efforts are successful, substantial time may pass before revenues are realized.
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in the notes to the consolidated financial statements, the Company has a working capital deficiency, has incurred net losses since inception, and has a significant accumulated deficit. Those conditions raise substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to those matters are described in the notes to the consolidated financial statements. The consolidated financial statements do not include any adjustments that might be necessary should the Company not continue as a going concern..
Off Balance Sheet Arrangements
We do not have any off-balance sheet debt nor did we have any transactions, arrangements, obligations (including contingent obligations) or other relationships with any unconsolidated entities or other persons that may have material current or future effect on financial conditions, changes in the financial conditions, results of operations, liquidity, capital expenditures, capital resources, or significant components of revenue or expenses except as noted hereinafter. We are a party to operating leases and license agreements that represent commitments for future payments (described in the financial statements). In addition, we have issued purchase orders in the ordinary course of business that represent commitments to future payments for goods and services.
Item 3.
I haven't any idea what you are talking about.
Malcolm is not looking to be a hero. His cape with the Big "S" was left in the closet. As a business man when you hit a stone wall you move on to greener pastures. The solution had it been accepted would have provided revenue to the company. IMO
EEGC was involved with the BP situation:
Some very interesting stuff is coming to light due to the BP crisis. BP went on their website and asked for help from any other oil company or engineer that can offer suggestions to stop the oil leek.
Its all pure bullshit for public relations.
They assembled oil execs from all over the world and refused to even listen to any ideas.
Malcolm being one of them says he has a way to stop the leek.
One person went on TV has a Peat moss product that absorbs the oil and BP won't even speak to him. Another person has a cloth that put on the oil absorbs the oil and leaves the water clean. Again BP won't talk to him.
BP doesn't want a third party to be directly involved because on an audit it will show they lied and expose them to enormus liability
Once again people talk and don't know what they are talking about.
There was never any intention to use the new rig on Bellevue. It would take too long to get it to the site. It also has to go through quarantine. They were going to use the old rig for Bellevue and that is still the plan...relax they will still acquire the new rig
Sorry but there has been a news blackout for very good reasons but that will end very soon. Patience.
With regard to EEGC I have not posted anything of value for a while but I can tell you your decision is based on a lack of information and it shouldn't be. I still won't publish any information but I do urge you to have patience. Sorry I can say no more.
Good Afternoon.
Well then that cinches it, everything is good.
Good Evening!
Hopefully we will hear some news this week. Last I heard is Malcolm is attending meetings in pursuit of additional financing. Patience
It will be a slow day on these boards today while we honor our fallen hero's and those that served and still serve to secure our country. Enjoy the day with good food and drink and rest up for what I hope will be a very productive week.
I am almost never right on the timing but I agree we are heading for some great results.
EEGC for me thanks
Nobody. The other parts have been filed again by GSLM/EEGC and will no doubt be granted when we meet the conditions of the current lease. In addition The company will refile for the offshore exploration lease again.
Malcolm is in the Gulf spill area of the United States and has learned a lot.
He knows not only what to do but also what not to do. Malcolm as also been in communications with oil executives all over the world and that interaction can only be positive for our company.
I have limited posts so I can't respond to all questions but only the ones that can have the most affect on all the share holders. Have a great weekend everybody and remember this Monday is Memorial Day in the United States so the market is closed and will reopen on Tuesday.
You mean you don't know about.
Holy cow = religious bovine
I don't get inside information only rumor and as yet you know what I have heard.
Progress update for EEGC
As you all know by now the company has received approval from the SEC for the rights offering and that is wrapping up as we speak.
The Tasmanian mining director has recommended approval for less than 1/2 the area EEGC has filed for and is entitled to. The Minister of Mining has signed off on the new 2 year lease and it has been delivered to EEGC management.
Only a 2 year lease was granted by MRT instead of the 5 year lease sort. That means we have to hustle and strike oil. The clock is ticking and the company is moving ahead at warp speed and there is a lot to do. Be confident in knowing it is being done. As future development come to my attention I will post them. Patience will be rewarded. Remember till we strike oil this venture is a gamble, but I think a good gamble because of all the money and dedication spent on research. In addition the company is seeking the remainder of the domes omitted from the granted lease and either has or will refile for the offshore area that was previously requested.
Sentiment : Strong Buy
Ladies and Germs: I expect a PR this week with great news!
I expect a sizable bounce back up today following the rest of the market across the board increase.
Typical premature birth...send it back and allow time to grow the extra parts.
No way is the Fed gov going to find out. I eat the whole bird. Yum!
Here is how I would do it. Keep your shares, Keep your truck,after all you need transportation. Eat your birds. Solves all kinds of problems, works for me.
Earnie you are jumping the gun again. It may not be the OTCBB. The real goal is a much higher exchange and all the auditing they have completed can be used for both. I hear whispers and I prefer not to say till the company PRs the details. There is so much going on in different directions everybody has to wait till they are ready to release the news. I could easily be wrong and mislead you all so its best not to say anything.
There has always been and will always be people that want the company to fail. I don't even take what they say with a grain of salt because salt has value.However to answer your question the 2nd part of the RO was extended a few days because of the pink sheets. My guess is we will see the results sometime end of the week or early next week. There are people in the Rights offering located all over the world and it takes time to gather the results. We had that problem with part 1 and you can just assume the same delaying problems exist on part 2. The RO has zero problems just a time delay.
The new company drive is toward drilling and that's where attention is being focused. It will all happen! When you ask? I don't know, but as fast as they can make it happen it will.
Good Morning:
A lot is happening and much information will be disclosed over the coming weeks. Including the restoring of the company to the BB. Auditors have been paid and other great events will be published in PRs. Patience.
Good Morning:
I have this stock on my watch list and have always liked the way it has performed. I think the upside has not been reached. What I have noticed is that there are way too many posts that say nothing. Facts are the best. Opinions have little or no value. Since this is my opinion adjust accordingly.
As fast as they can is the best most accurate answer. There is a lot to be done and the process is in motion. Nobody can pick the exact time or date.
You are in denial. The course of action you have taken will only continue to cause you grief. Its hate and revenge you seek and its obvious. You can accomplish only a negative outlook on your course. You should be making friendly gestures to the company and working with them. That course may bring you some positive results. I had established a rapport with the new CEO. With your posts you are only alienating him. You have already lost everything and now you are losing any possible chance of regaining anything on the path you have chosen. The Johnsons are crooks and they have been caught and will be punished. Move on!
All of the deleted messages have been restored. I have presented your case to Dan at IHUB and he sees not reason why history can not be debated. I disagree because its counter productive and based on hate and revenge so I give you back the board and will no longer make any effort to regain lost money for the shareholders. So go ahead and continue your hate and see what it gets you. It will just eat you up. I am no longer the Mod on this board.
This is my last post of the day and I am using it to suggest to the posters to set up a different message board to discuss the topic of your choice. Such a move can fit the rules of IHUB.
the old CEO is a convicted criminal and not part of PCSO and is no longer part of this company available for discussion.
They are not officers of the company and private people. Feel free to contact IHUB and discuss it with the administration. Till I am told other wise all those posts about shareholders or posters is off limits
The subject of this board is PCSO and not a poster or shareholder. Addressing either a poster or shareholder is off topic. Talk about the company.
Relm is a different company and we have a new CEO. Carol Johnson resigned as an officer of PCSO. Any talk about her, since she is not a part of this company is her private life and therefore off topic.
Protective Capital Structures Corp Names Randall G. Burton Chairman and President
Date : 02/12/2010 @ 9:47AM
Source : MarketWire
Stock : Protective Capital Structures Corp. (PCSO)
Quote : 0.45 -0.04 (-8.16%) @ 11:15AM
The Johnsons are no longer part of this company and I don't care how they make out. If they hang or get off it doesn't affect me one bit nor anyone else and the reason they are not listed here.