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TXHE .0003's up with only 170 mil on the ask.
With no selling .0003's will fall.
TXHE heating up 275 mil volume .0003's up.
TXHE .0003's are up on 300 mil volume.
Energy stocks have been very hot lately .0005 would not surprise me.
.0003's should fall easily with only 170 mil there.
No doubt, somethings coming. I saw som 25 mil share hits go thru at .0002.
The great DD being done by board members seems to clarify any questions.
Great job guidelines.
CEGX We all know what mmex has done recently. Now they have competition. CEGX oil and the permian basin closed yesterday at .0047 up 125% on 140,000,000 shares traded. The recent 8K out Friday is obviously designed for non dilutive acquisitions.
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event reported): March 30, 2017
CARDINAL ENERGY GROUP, INC.
(Exact Name of Registrant as Specified in Its Charter)
Nevada 000-53923 26-0703223
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
500 Chestnut Street, Suite 1615
Abilene, TX
79602
(Address of Principal Executive Offices) (Zip Code)
Company’s telephone number, including area code: ( 325)-762-2112
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2 below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.
On March 30, 2017, Cardinal Energy Group, Inc. (the “Company”) filed with the Nevada Secretary of State an amendment to the Certificate of Designation for the Company’s Series A Preferred Stock via an Amended and Restated Certificate of Designation of Series A Preferred Stock (the “Amendment”) pursuant to which (i) the number of shares of authorized Series A Preferred Stock was increased from 1,000,000 shares to 10,000,000 shares, (ii) the capital raise required by the Company prior to the Series A Preferred Stock being automatically converted was increased from $5,000,000 to $10,000,000; (iii) the percentage of common stock of the Company, par value $0.00001 per share (the “Common Stock”) into which the Series A Preferred Stock is convertible was reduced from 15% to 10% and (iv) the time in which the Series A Preferred Stock can be converted was changed from being at any time during the three years after issuance to any time from the date that is six months after issuance until three years after issuance. The Amendment is attached hereto as Exhibit 3.1(a).
Also on March 30, 2017, the Company filed three additional Certificates of Designation with the Nevada Secretary of State to designate (i) the Series B Preferred Stock; (ii) the Series C Preferred Stock; and (iii) the Series D Preferred Stock, in each case of the Company.
Series B Preferred Stock
There are 1,000,000 shares of Series B Preferred Stock authorized. No dividends are payable on the shares of Series B Preferred Stock. The Series B Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series B Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series B Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series B Preferred Stock or to amend the Certificate of Designation for the Series B Preferred Stock, (b) amend the Articles of Incorporation of the Company (the “Articles”) or other charter documents in any manner that adversely affects any rights of the holders of the Series B Preferred Stock, (c) increase the number of authorized shares of Series B Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series B Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series B Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series B Preferred Stock, with each share of Series B Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
All shares of Series B Preferred Stock will be automatically converted into Common Stock on the date that is six months after the Company has completed one or more raises of capital following the date that the Certificate of Designation was filed with the Secretary of State of the State of Nevada (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000.
The conversion of the Series B Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series B Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
Series C Preferred Stock
There are 4,500,000 shares of Series C Preferred Stock authorized. The Series C Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series C Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 10% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series C Dividend”). The Series C Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series C Preferred Stock may elect to have all accrued but unpaid Series C Dividends be paid to them in cash prior to any conversion of the applicable shares of Series C Preferred Stock, as discussed below. At the option of the Company, the Series C Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series C Preferred Stock, at which time all accrued but unpaid Dividends on such shares will be paid on a cumulative basis.
The Series C Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series C Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series C Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series C Preferred Stock or to amend the Certificate of Designation for the Series C Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series C Preferred Stock, (c) increase the number of authorized shares of Series C Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series C Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series C Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series C Preferred Stock, with each share of Series C Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
The conversion of the Series C Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series C Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series C Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series C Preferred Stock to elect to either (A) convert their shares of Series C Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series C Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value increased by 10% for each full year from the issuance date to the date of redemption (and a proportionate amount of 10% for any partial years).
Series D Preferred Stock
There are 4,600,000 shares of Series D Preferred Stock authorized. The Series D Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series D Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 5% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series D Dividend”). The Series D Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series D Preferred Stock may elect to have all accrued but unpaid Series D Dividends be paid to them in cash prior to any conversion of the applicable shares of Series D Preferred Stock, as discussed below. At the option of the Company, the Series D Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series D Preferred Stock, at which time all accrued but unpaid Series D Dividends on such shares will be paid on a cumulative basis.
The Series D Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series D Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series D Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series D Preferred Stock or to amend the Certificate of Designation for the Series D Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series D Preferred Stock, (c) increase the number of authorized shares of Series D Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series D Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series D Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 55% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series D Preferred Stock, with each share of Series D Preferred Stock being convertible into a pro-rata portion of the total 55% of Common Stock.
The conversion of the Series D Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series D Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series D Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series D Preferred Stock to elect to either (A) convert their shares of Series D Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series D Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value plus any accrued and unpaid Series D Dividends.
The descriptions of the terms and conditions of the Series A Preferred Stock, the Series B Preferred Stock, the Series C Preferred Stock and the Series D Preferred Stock set forth herein are qualified in their entirety to the text of the respective Certificates of Designation as attached hereto as Exhibits 3.1(a), 3.1(b), 3.1(c) and 3.1(d), respectively.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
Exhibit No. Description
3.1(a) Amended and Restated Certificate of Designation of Series A Preferred Stock
3.1(b) Certificate of Designation of Series B Preferred Stock
3.1(c) Certificate of Designation of Series C Preferred Stock
3.1(d) Certificate of Designation of Series D Preferred Stock
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
CARDINAL ENERGY GROUP, INC.
Dated: March 31, 2017 By: /s/ Timothy W. Crawford
CEGX THE EXPRESS TRAIN IS LEAVING THE STATION.
The 8K released on Friday was obviously designed for non dilutive acquisitions.
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event reported): March 30, 2017
CARDINAL ENERGY GROUP, INC.
(Exact Name of Registrant as Specified in Its Charter)
Nevada 000-53923 26-0703223
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
500 Chestnut Street, Suite 1615
Abilene, TX
79602
(Address of Principal Executive Offices) (Zip Code)
Company’s telephone number, including area code: ( 325)-762-2112
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2 below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.
On March 30, 2017, Cardinal Energy Group, Inc. (the “Company”) filed with the Nevada Secretary of State an amendment to the Certificate of Designation for the Company’s Series A Preferred Stock via an Amended and Restated Certificate of Designation of Series A Preferred Stock (the “Amendment”) pursuant to which (i) the number of shares of authorized Series A Preferred Stock was increased from 1,000,000 shares to 10,000,000 shares, (ii) the capital raise required by the Company prior to the Series A Preferred Stock being automatically converted was increased from $5,000,000 to $10,000,000; (iii) the percentage of common stock of the Company, par value $0.00001 per share (the “Common Stock”) into which the Series A Preferred Stock is convertible was reduced from 15% to 10% and (iv) the time in which the Series A Preferred Stock can be converted was changed from being at any time during the three years after issuance to any time from the date that is six months after issuance until three years after issuance. The Amendment is attached hereto as Exhibit 3.1(a).
Also on March 30, 2017, the Company filed three additional Certificates of Designation with the Nevada Secretary of State to designate (i) the Series B Preferred Stock; (ii) the Series C Preferred Stock; and (iii) the Series D Preferred Stock, in each case of the Company.
Series B Preferred Stock
There are 1,000,000 shares of Series B Preferred Stock authorized. No dividends are payable on the shares of Series B Preferred Stock. The Series B Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series B Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series B Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series B Preferred Stock or to amend the Certificate of Designation for the Series B Preferred Stock, (b) amend the Articles of Incorporation of the Company (the “Articles”) or other charter documents in any manner that adversely affects any rights of the holders of the Series B Preferred Stock, (c) increase the number of authorized shares of Series B Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series B Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series B Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series B Preferred Stock, with each share of Series B Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
All shares of Series B Preferred Stock will be automatically converted into Common Stock on the date that is six months after the Company has completed one or more raises of capital following the date that the Certificate of Designation was filed with the Secretary of State of the State of Nevada (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000.
The conversion of the Series B Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series B Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
Series C Preferred Stock
There are 4,500,000 shares of Series C Preferred Stock authorized. The Series C Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series C Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 10% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series C Dividend”). The Series C Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series C Preferred Stock may elect to have all accrued but unpaid Series C Dividends be paid to them in cash prior to any conversion of the applicable shares of Series C Preferred Stock, as discussed below. At the option of the Company, the Series C Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series C Preferred Stock, at which time all accrued but unpaid Dividends on such shares will be paid on a cumulative basis.
The Series C Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series C Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series C Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series C Preferred Stock or to amend the Certificate of Designation for the Series C Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series C Preferred Stock, (c) increase the number of authorized shares of Series C Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series C Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series C Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series C Preferred Stock, with each share of Series C Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
The conversion of the Series C Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series C Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series C Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series C Preferred Stock to elect to either (A) convert their shares of Series C Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series C Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value increased by 10% for each full year from the issuance date to the date of redemption (and a proportionate amount of 10% for any partial years).
Series D Preferred Stock
There are 4,600,000 shares of Series D Preferred Stock authorized. The Series D Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series D Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 5% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series D Dividend”). The Series D Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series D Preferred Stock may elect to have all accrued but unpaid Series D Dividends be paid to them in cash prior to any conversion of the applicable shares of Series D Preferred Stock, as discussed below. At the option of the Company, the Series D Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series D Preferred Stock, at which time all accrued but unpaid Series D Dividends on such shares will be paid on a cumulative basis.
The Series D Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series D Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series D Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series D Preferred Stock or to amend the Certificate of Designation for the Series D Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series D Preferred Stock, (c) increase the number of authorized shares of Series D Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series D Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series D Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 55% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series D Preferred Stock, with each share of Series D Preferred Stock being convertible into a pro-rata portion of the total 55% of Common Stock.
The conversion of the Series D Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series D Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series D Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series D Preferred Stock to elect to either (A) convert their shares of Series D Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series D Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value plus any accrued and unpaid Series D Dividends.
The descriptions of the terms and conditions of the Series A Preferred Stock, the Series B Preferred Stock, the Series C Preferred Stock and the Series D Preferred Stock set forth herein are qualified in their entirety to the text of the respective Certificates of Designation as attached hereto as Exhibits 3.1(a), 3.1(b), 3.1(c) and 3.1(d), respectively.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
Exhibit No. Description
3.1(a) Amended and Restated Certificate of Designation of Series A Preferred Stock
3.1(b) Certificate of Designation of Series B Preferred Stock
3.1(c) Certificate of Designation of Series C Preferred Stock
3.1(d) Certificate of Designation of Series D Preferred Stock
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
CARDINAL ENERGY GROUP, INC.
Dated: March 31, 2017 By: /s/ Timothy W. Crawford
CEGX THE EXPRESS TRAIN IS LEAVING THE STATION:
The 8K released on Friday talks about a preferred share structure that was obviously designed for acquisitions.
Current Report Filing (8-k)
Print
Alert
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event reported): March 30, 2017
CARDINAL ENERGY GROUP, INC.
(Exact Name of Registrant as Specified in Its Charter)
Nevada 000-53923 26-0703223
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
500 Chestnut Street, Suite 1615
Abilene, TX
79602
(Address of Principal Executive Offices) (Zip Code)
Company’s telephone number, including area code: ( 325)-762-2112
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2 below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.
On March 30, 2017, Cardinal Energy Group, Inc. (the “Company”) filed with the Nevada Secretary of State an amendment to the Certificate of Designation for the Company’s Series A Preferred Stock via an Amended and Restated Certificate of Designation of Series A Preferred Stock (the “Amendment”) pursuant to which (i) the number of shares of authorized Series A Preferred Stock was increased from 1,000,000 shares to 10,000,000 shares, (ii) the capital raise required by the Company prior to the Series A Preferred Stock being automatically converted was increased from $5,000,000 to $10,000,000; (iii) the percentage of common stock of the Company, par value $0.00001 per share (the “Common Stock”) into which the Series A Preferred Stock is convertible was reduced from 15% to 10% and (iv) the time in which the Series A Preferred Stock can be converted was changed from being at any time during the three years after issuance to any time from the date that is six months after issuance until three years after issuance. The Amendment is attached hereto as Exhibit 3.1(a).
Also on March 30, 2017, the Company filed three additional Certificates of Designation with the Nevada Secretary of State to designate (i) the Series B Preferred Stock; (ii) the Series C Preferred Stock; and (iii) the Series D Preferred Stock, in each case of the Company.
Series B Preferred Stock
There are 1,000,000 shares of Series B Preferred Stock authorized. No dividends are payable on the shares of Series B Preferred Stock. The Series B Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series B Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series B Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series B Preferred Stock or to amend the Certificate of Designation for the Series B Preferred Stock, (b) amend the Articles of Incorporation of the Company (the “Articles”) or other charter documents in any manner that adversely affects any rights of the holders of the Series B Preferred Stock, (c) increase the number of authorized shares of Series B Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series B Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series B Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series B Preferred Stock, with each share of Series B Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
All shares of Series B Preferred Stock will be automatically converted into Common Stock on the date that is six months after the Company has completed one or more raises of capital following the date that the Certificate of Designation was filed with the Secretary of State of the State of Nevada (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000.
The conversion of the Series B Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series B Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
Series C Preferred Stock
There are 4,500,000 shares of Series C Preferred Stock authorized. The Series C Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series C Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 10% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series C Dividend”). The Series C Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series C Preferred Stock may elect to have all accrued but unpaid Series C Dividends be paid to them in cash prior to any conversion of the applicable shares of Series C Preferred Stock, as discussed below. At the option of the Company, the Series C Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series C Preferred Stock, at which time all accrued but unpaid Dividends on such shares will be paid on a cumulative basis.
The Series C Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series C Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series C Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series C Preferred Stock or to amend the Certificate of Designation for the Series C Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series C Preferred Stock, (c) increase the number of authorized shares of Series C Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series C Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series C Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 10% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series C Preferred Stock, with each share of Series C Preferred Stock being convertible into a pro-rata portion of the total 10% of Common Stock.
The conversion of the Series C Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series C Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series C Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series C Preferred Stock to elect to either (A) convert their shares of Series C Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series C Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value increased by 10% for each full year from the issuance date to the date of redemption (and a proportionate amount of 10% for any partial years).
Series D Preferred Stock
There are 4,600,000 shares of Series D Preferred Stock authorized. The Series D Preferred Stock has a “Stated Value” of $1.00 per share. Each share of Series D Preferred Stock is entitled to receive an annual dividend, payable semi-annually in arrears, in an amount equal to 5% of the Stated Value, prior and in preference to any declaration or payment of any dividend on the Common Stock (the “Series D Dividend”). The Series D Dividend is cumulative and may be paid or accrued by the Company, in its sole discretion. Any holder of the Series D Preferred Stock may elect to have all accrued but unpaid Series D Dividends be paid to them in cash prior to any conversion of the applicable shares of Series D Preferred Stock, as discussed below. At the option of the Company, the Series D Dividend may be deferred until the expiration of the 36-month period commencing on the issuance date of the applicable share(s) of Series D Preferred Stock, at which time all accrued but unpaid Series D Dividends on such shares will be paid on a cumulative basis.
The Series D Preferred Stock has no right to vote on any matter submitted to the shareholders of the Company for a vote, provided, however, that as long as any shares of Series D Preferred Stock are outstanding, the vote of at least 51% of the then-outstanding shares of the Series D Preferred Stock is required to (a) alter or change adversely the powers, preferences or rights given to the Series D Preferred Stock or to amend the Certificate of Designation for the Series D Preferred Stock, (b) amend the Articles or other charter documents in any manner that adversely affects any rights of the holders of the Series D Preferred Stock, (c) increase the number of authorized shares of Series D Preferred Stock, or (d) enter into any agreement with respect to any of the foregoing.
All of the shares of Series D Preferred Stock issued and outstanding at any time are convertible from time to time at the option of each holder thereof, at any time from six months after the date of issuance of the applicable shares of Series D Preferred Stock until the three year anniversary thereof, for no consideration to be paid, into shares of Common Stock equal to 55% of the issued and outstanding shares of Common Stock as of the date of conversion, with any debt or equity of the Company that is convertible into shares of Common Stock being included in such calculation on an as-converted basis, with any other any debt or equity of the Corporation which is convertible into a percentage of the Common Stock being deemed converted immediately prior to the conversion of the Series D Preferred Stock, with each share of Series D Preferred Stock being convertible into a pro-rata portion of the total 55% of Common Stock.
The conversion of the Series D Preferred Stock is subject to a limitation that the holder does not have the right to convert any portion of the Series D Preferred Stock to the extent that after giving effect to such conversion, the holder (together with the holder’s affiliates and any persons acting as a group together with such parties) would beneficially own in excess of the 4.99% of the Common Stock, provided, however, that this limitation may be waived by the holder.
At any time that is six months following the earlier of (i) the date that the Company has completed one or more raises of capital following the date of issuance of the applicable shares of Series D Preferred Stock (through the issuance of any equity securities of the Company) which collectively result in total capital raised and received by the Company of at least $10,000,000 and (ii) the date that the Company’s securities have been listed for trading on the New York Stock Exchange or the NASDAQ exchange, the Company has the right to require the holders of the Series D Preferred Stock to elect to either (A) convert their shares of Series D Preferred Stock into shares of Common Stock, or (B) cause the Company to redeem such holder’s shares of Series D Preferred Stock (and if the holder does not make an election then option (A) is deemed to be elected). The redemption price per share is the Stated Value plus any accrued and unpaid Series D Dividends.
The descriptions of the terms and conditions of the Series A Preferred Stock, the Series B Preferred Stock, the Series C Preferred Stock and the Series D Preferred Stock set forth herein are qualified in their entirety to the text of the respective Certificates of Designation as attached hereto as Exhibits 3.1(a), 3.1(b), 3.1(c) and 3.1(d), respectively.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
Exhibit No. Description
3.1(a) Amended and Restated Certificate of Designation of Series A Preferred Stock
3.1(b) Certificate of Designation of Series B Preferred Stock
3.1(c) Certificate of Designation of Series C Preferred Stock
3.1(d) Certificate of Designation of Series D Preferred Stock
SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
CARDINAL ENERGY GROUP, INC.
Dated: March 31, 2017 By: /s/ Timothy W. Crawford
I'm sure we'll see the penny test today LP. It's great to know your out there defending our way of life.
CEGX THE PRICE IS GOING UP:
Land Rush in Permian Basin, Where Oil Is Stacked Like a Layer Cake
By CLIFFORD KRAUSSJAN. 17, 2017
More oil rigs are going up in the Permian Basin, which straddles Texas and New Mexico. Credit Brittany Sowacke
HOUSTON — Domestic oil production remains in a deep two-year slump, but a rash of multibillion-dollar deals are flashing sparks of recovery in the shale fields of the Permian Basin straddling Texas and New Mexico.
Exxon Mobil announced on Tuesday that it was acquiring 275,000 acres in New Mexico from the Bass family of Fort Worth for up to $6.6 billion in stock and cash. The deal came one day after another oil producer, Noble Energy, agreed to pay $2.7 billion to buy Clayton Williams Energy, giving it 120,000 oil-rich acres nearby in West Texas.
The deals are among the largest of more than $25 billion of mergers and acquisitions in the Permian since June, representing roughly one-quarter of the total spent by the oil and gas industry on such transactions worldwide over the last year. Companies like Anadarko Petroleum, SM Energy and EOG Resources are selling assets in other domestic fields to snap up parts of several fields that make up the basin, which is roughly the size of South Dakota.
“The Permian Basin has now become the crown jewel of the world’s oil and gas industry,” said Scott Sheffield, the executive chairman of Pioneer Natural Resources, a large producer in the area.
The Permian, in production for almost a century, is so bounteous that it fueled the Allied forces battling Germany and Japan during World War II. In recent years, though, the basin had been in decline, and big oil companies like Exxon Mobil sold assets to small independents that were willing to scrape the remaining barrels of old wells by flooding them with water and carbon dioxide.
Oil Prices: What to Make of the Volatility
After a recovery that extended into the new year, oil prices have hit a rough patch as inventories have been building,
But the Permian received new life about a decade ago when drillers began experimenting with hydraulic fracturing to blast through shale fields that course through the region. Exploration by Pioneer Natural Resources and a few other companies found multiple layers of shale — six to eight oil-rich zones, one on top of the other, like a layer cake — that offer companies the opportunity to drill through multiple reservoirs on the same real estate.
The geological virtues of the Permian, along with an existing robust array of pipelines, have made the basin the cheapest to develop of any shale oil field in the country. The break-even price for the best acreage in the basin is as low as $40 a barrel, where in most other shale fields the break-even price can be $10 to $20 higher. With acreage prices for oil properties multiplying by 10 times or more since 2012, oil executives are starting to talk of “Permania.”
As a whole, most of the American oil patch remains in the doldrums since the price of a barrel of oil skidded from more than $110 a barrel in 2014 to less than half that. In Texas alone, 100,000 oil workers — one out of three — have lost their jobs in recent years. Only 522 oil drilling rigs are now active in the United States, compared with 1,609 in October 2014, and the number fell by seven last week.
Meanwhile, investments in oil production and pipeline building have met growing opposition from environmental groups in some parts of the country because of climate change.
But the number of rigs drilling in the Permian is rising. Since last May, 105 of the 179 horizontal rigs that companies have added to drill through shale across the country have been deployed in the Permian.
UTAH
COLO.
KAN.
ARIZ.
NEW
MEXICO
OKLA.
Delaware Basin
TEXAS
Dallas
PERMIAN BASIN
Houston
MEXICO
San Antonio
100 MILES
By The New York Times
Chevron, the second largest United States oil company after Exxon Mobil, is among the many companies funneling more money into drilling in the Permian.
Exxon Mobil had been slow to join the oil shale boom since it purchased XTO Energy, a shale gas driller, for more than $30 billion in 2009, shortly after natural gas prices peaked. Many oil analysts had expected Exxon Mobil to make a major purchase while oil prices bottomed a year ago at less than $30 a barrel. The price has climbed to more than $52 a barrel in recent weeks, firming as members of the Organization of the Petroleum Exporting Countries moved to cut production.
The Bass family had tried to sell its private Permian companies for months, and oil analysts said Exxon Mobil finally moved before oil prices climbed any higher. Exxon Mobil said it had acquired reserves of 3.4 billion barrels of recoverable oil mixed with natural gas, more than doubling its reserves in the basin, which had risen over the last three years with small purchases after the shale boom took off.
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The new property is yielding less than 19,000 barrels a day, but Exxon Mobil said it would be able to increase production significantly in the former Bass fields, which are in the oval-shaped Delaware section of the Permian Basin close to very productive wells operated by Occidental Petroleum.
“The acquisition strengthens Exxon Mobil’s significant presence in the dominant U.S. growth area for onshore oil production,” Darren W. Woods, Exxon Mobil’s new chief executive, said in a statement. He added that the company, using its technological strength, would be able to drill the longest lateral wells in the Permian, reaching the greatest oily area through the shale vein.
Noble’s deal this week, also in the Delaware section, will roughly triple its footprint in the Permian. The company plans to increase its rig count to six from four in the Delaware by the end of the year. In a statement, Noble’s chief executive, David L. Stover, called the Delaware “a long-term value and growth driver.”
A version of this article appears in print on January 18, 2017, on Page B3 of the New York edition with the headline: Where Oil Is Stacked Like a Layer Cake. Order Reprints| Today's Paper|Subscribe
CEGX MORE INTRESTED PARTIES:
Land Rush in Permian Basin, Where Oil Is Stacked Like a Layer Cake
By CLIFFORD KRAUSS JAN. 17, 2017
More oil rigs are going up in the Permian Basin, which straddles Texas and New Mexico. Credit Brittany Sowacke
HOUSTON — Domestic oil production remains in a deep two-year slump, but a rash of multibillion-dollar deals are flashing sparks of recovery in the shale fields of the Permian Basin straddling Texas and New Mexico.
Exxon Mobil announced on Tuesday that it was acquiring 275,000 acres in New Mexico from the Bass family of Fort Worth for up to $6.6 billion in stock and cash. The deal came one day after another oil producer, Noble Energy, agreed to pay $2.7 billion to buy Clayton Williams Energy, giving it 120,000 oil-rich acres nearby in West Texas.
The deals are among the largest of more than $25 billion of mergers and acquisitions in the Permian since June, representing roughly one-quarter of the total spent by the oil and gas industry on such transactions worldwide over the last year. Companies like Anadarko Petroleum, SM Energy and EOG Resources are selling assets in other domestic fields to snap up parts of several fields that make up the basin, which is roughly the size of South Dakota.
“The Permian Basin has now become the crown jewel of the world’s oil and gas industry,” said Scott Sheffield, the executive chairman of Pioneer Natural Resources, a large producer in the area.
The Permian, in production for almost a century, is so bounteous that it fueled the Allied forces battling Germany and Japan during World War II. In recent years, though, the basin had been in decline, and big oil companies like Exxon Mobil sold assets to small independents that were willing to scrape the remaining barrels of old wells by flooding them with water and carbon dioxide.
Oil Prices: What to Make of the Volatility
After a recovery that extended into the new year, oil prices have hit a rough patch as inventories have been building,
But the Permian received new life about a decade ago when drillers began experimenting with hydraulic fracturing to blast through shale fields that course through the region. Exploration by Pioneer Natural Resources and a few other companies found multiple layers of shale — six to eight oil-rich zones, one on top of the other, like a layer cake — that offer companies the opportunity to drill through multiple reservoirs on the same real estate.
The geological virtues of the Permian, along with an existing robust array of pipelines, have made the basin the cheapest to develop of any shale oil field in the country. The break-even price for the best acreage in the basin is as low as $40 a barrel, where in most other shale fields the break-even price can be $10 to $20 higher. With acreage prices for oil properties multiplying by 10 times or more since 2012, oil executives are starting to talk of “Permania.”
As a whole, most of the American oil patch remains in the doldrums since the price of a barrel of oil skidded from more than $110 a barrel in 2014 to less than half that. In Texas alone, 100,000 oil workers — one out of three — have lost their jobs in recent years. Only 522 oil drilling rigs are now active in the United States, compared with 1,609 in October 2014, and the number fell by seven last week.
Meanwhile, investments in oil production and pipeline building have met growing opposition from environmental groups in some parts of the country because of climate change.
But the number of rigs drilling in the Permian is rising. Since last May, 105 of the 179 horizontal rigs that companies have added to drill through shale across the country have been deployed in the Permian.
UTAH
COLO.
KAN.
ARIZ.
NEW
MEXICO
OKLA.
Delaware Basin
TEXAS
Dallas
PERMIAN BASIN
Houston
MEXICO
San Antonio
100 MILES
By The New York Times
Chevron, the second largest United States oil company after Exxon Mobil, is among the many companies funneling more money into drilling in the Permian.
Exxon Mobil had been slow to join the oil shale boom since it purchased XTO Energy, a shale gas driller, for more than $30 billion in 2009, shortly after natural gas prices peaked. Many oil analysts had expected Exxon Mobil to make a major purchase while oil prices bottomed a year ago at less than $30 a barrel. The price has climbed to more than $52 a barrel in recent weeks, firming as members of the Organization of the Petroleum Exporting Countries moved to cut production.
The Bass family had tried to sell its private Permian companies for months, and oil analysts said Exxon Mobil finally moved before oil prices climbed any higher. Exxon Mobil said it had acquired reserves of 3.4 billion barrels of recoverable oil mixed with natural gas, more than doubling its reserves in the basin, which had risen over the last three years with small purchases after the shale boom took off.
The new property is yielding less than 19,000 barrels a day, but Exxon Mobil said it would be able to increase production significantly in the former Bass fields, which are in the oval-shaped Delaware section of the Permian Basin close to very productive wells operated by Occidental Petroleum.
“The acquisition strengthens Exxon Mobil’s significant presence in the dominant U.S. growth area for onshore oil production,” Darren W. Woods, Exxon Mobil’s new chief executive, said in a statement. He added that the company, using its technological strength, would be able to drill the longest lateral wells in the Permian, reaching the greatest oily area through the shale vein.
Noble’s deal this week, also in the Delaware section, will roughly triple its footprint in the Permian. The company plans to increase its rig count to six from four in the Delaware by the end of the year. In a statement, Noble’s chief executive, David L. Stover, called the Delaware “a long-term value and growth driver.”
CEGX EVEN MORE POSSIBILITIES.
Unconventional Oil & Gas
Shale plays first come to mind when one considers unconventional resources. These unconventional resource plays may yield natural gas, gas condensates, and crude oil. Some of the more noteworthy shale plays in North America include the Bakken, Eagle Ford, Marcellus, Fayetteville, Woodford, Niobrara, Haynesville, Horn River, and Utica formations. Tight gas, coalbed methane, oil sands, and heavy oil are non-shale unconventional resources.
SECTIONS
Eagle Ford | Marcellus | Cline | Permian | Utica | Bakken | Woodbine & Eaglebine
PERMIAN BASIN
While the first Permian Basin well was drilled back in 1925, the liquids-rich area, comprised of the Midland Basin, the Delaware Basin, and the Marfa Basin, has experienced a revival of activity as the oil and gas industry's interest in unconventional resources grows along with new technologies and oil prices.
PERMIAN BASIN
PERMIAN BASIN NEWS
PHILLIPS 66 ANNOUNCES OPEN SEASON FOR WEST TEXAS CRUDE OIL PIPELINE SYSTEM
Mon, Mar 20, 2017
Phillips 66 announced an open season to secure binding commitments from prospective shippers for the Reeves-Odessa Origination (Rodeo) Project.
PIONEER NATURAL RESOURCES SIGNS AGREEMENT TO SELL MARTIN COUNTY ACREAGE FOR $266M
Thu, Mar 16, 2017
Pioneer Natural Resources Co. has signed a purchase and sale agreement with an undisclosed buyer to sell its previously-announced acreage package in northeastern Martin County, Texas.
INCREASING HIGH-QUALITY NON-PERMIAN INVENTORY BODES WELL FOR EXPANDING DEAL MARKETS
Thu, Mar 16, 2017
PLS reports rising confidence as 2017 rolls along, with the returning swagger reflected in climbing rig counts and upbeat moods at industry gatherings.
JAGGED PEAK ENERGY MAKES MANAGEMENT CHANGES
Wed, Mar 15, 2017
Gregory S. Hinds, executive vice president, development planning and acquisition, has resigned from Jagged Peak Energy Inc. in order to pursue other opportunities.
AN INDUSTRY COMING BACK TO LIFE
Wed, Mar 15, 2017
The oil and gas industry is coming out of the trough and the recovery is even more aggressive than recoveries in previous cycles.
MARATHON DIVESTS OIL SANDS BUSINESS, PICKS UP PERMIAN BASIN ASSETS
Thu, Mar 9, 2017
Marathon Oil has signed an agreement to sell its Canadian subsidiary, which includes the company's 20% non-operated interest in the Athabasca Oil Sands Project, to Shell and Canadian Natural Resources Limited for $2.5 billion in cash, excluding closing adjustments.
MMEX RESOURCES HOPES TO BUILD $450M REFINERY IN PERMIAN BASIN
Thu, Mar 9, 2017
MMEX Resources plans to build a $450 million, 50,000 barrels per day capacity crude oil refinery in the West Texas Permian Basin, subject to the receipt of required governmental permits and completion of required debt and equity financing.
ELAND ENERGY, SUNDOWN ENERGY ADOPT WELL FILE SOFTWARE FROM ARCHEIO TECHNOLOGIES
Wed, Mar 8, 2017
Dallas, Texas-based oil and gas producers Eland Energy Inc. and Sundown Energy LP have selected well file software from Archeio Technologies.
TNM RESOURCES PARTNERS WITH OCH-ZIFF TO PURSUE PERMIAN OPPORTUNITIES
Thu, Mar 2, 2017
TNM Resources LLC and Fortuna Management closed an equity commitment from certain affiliates of Och-Ziff Capital Management Group LLC (NYSE: OZM). TNM is a Houston-based exploration and production company focused on the acquisition and development of oil and gas properties in the
Permian Basin
. Aaron Davis, TNM's president and CEO, is a petroleum engineer and most recently led Fortuna Resources Holdings' acquisition and development strategy in the Delaware Basin in partnership with Och-Ziff. Prior to Fortuna, Davis was with Occidental Petroleum Corp. where he oversaw multiple Permian Basin drilling and leasing programs. Och-Ziff has been investing in private energy since 2005 and has invested approximately $1.7 billion in private energy investments. Och-Ziff's dedicated private energy investment team focuses on middle market investments in the oil & gas upstream, midstream and energy services sectors primarily in North America.
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MORE UNCONVENTIONAL SHALES
Barnett
Cotton Valley
Fayetteville
Granite Wash
Haynesville
Horn River
Niobrara
Piceance/Uinta
Woodford
CBM
Tight Gas
Oil Sands
International
Other
TOPIC INDEX
View Oil & Gas Financial Journal articles by topic, A-Z
OFFSHORE VS. SHALE
As a response to lower oil prices, E&P companies have guided considerable cuts to investment budgets, with shale taking a large hit. Does this mean offshore is more competitive than shale, and how have these sources performed historically? Read the analysis from Rystad Energy here.
OGFJ WEBCASTS
DATA LIFECYCLE FOR RESERVOIR SIMULATION IN SAUDI ARABIA
SAUDI ARAMCO EXPLORATION DATA QUALITY IMPROVEMENT PROGRAM
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NOW IS THE TIME TO INVEST ALONG THE PERMIAN BASIN IN TEXAS
A worker prepares to lift drills by pulley to the main floor of a drilling rig in the Permian basin. E&P stocks to buy and sell: Analyst
Friday, 31 Mar 2017 | 2:34 PM ET | 03:02
The saying goes, everything's bigger in Texas — and this includes opportunities to invest in oil, according to one expert analyst.
Some of the best oil companies to consider investing in are based along the Permian Basin of West Texas, the largest U.S. oil patch, Seaport Global Securities Managing Director Mike Kelly told CNBC on Friday.
"It's simple economics. ... You are spending the least amount of capital [along the Permian], but here you get the most reserves on the ground," Kelly said on "Power Lunch." "Lower cost wins."
Along the Permian alone, the oil and gas industry poured more than $28 billion into land acquisitions in 2016, more than triple what was spent in 2015. These deals are setting the stage for much larger investments that will be needed to extract oil from the ground in coming quarters, many experts agree.
In a Thursday note to clients, Seaport wrote that: "Our oil macro review produced a surprisingly robust outlook. ... We think uninspiring [full-year 2017] guidance given on [fourth-quarter] conference calls is a case of massive industry wide sandbagging, which sets up a year of beat opportunities."
While the near-term environment for many oil names is strong, Kelly has warned investors that he remains relatively cautious with his long-term crude outlook, and says gas is looking "decisively worse."
Yet Kelly told CNBC on Friday he thinks the wild swing of crude prices lately has actually been "encouraging" for the industry and for many of the companies he follows. "In a $50 world, a lot of these guys make a good living. ... You don't need more than $50 for these things to work."
Oil prices fell Friday, ending a three-day rally and leading into what could be the oil market's worst quarter since 2015. Investors are worried that growing U.S. supplies are undermining OPEC-led production cuts. Oil settled the day at $50.60 per barrel, falling 5.8 percent.
For investors looking to put money into the space, Seaport's Kelly said he would recommend three Texas-based oil stocks: RSP Permian, Ring Energy and Callon Petroleum. Ring is a smaller company but one of the fastest growing small-cap stocks in the sector, Kelly said. And Houston-based Callon is one of the fastest growers overall along the Permian Basin, he added.
"We're back to backing the Permian wholeheartedly," Seaport wrote in its Thursday note to investors.
Your welcome my friend. AT this time there is a lot of work being on the fringe of the Permian Basin. Since that is where we are located I would expect to see this run last for some time.
I FOUND IT: This major active ongoing Cardinal oil producing asset is hidden on page #25 of the Q10 filed on May 25, 2016.
Q10 Link: http://compliance-sec.com/secfilings/company/cegx/link_files/2016/05-12-2016/Form10-Q/Form10-Q.pdf
On June 12, 2015, the Company, and each of the other beneficial owners of seventy-three (73) participation interests (“Participation
Interests”) in the Bradford JV (collectively, the “Sellers”) sold to a third party their Participation Interests in certain oil and gas leases, along with the associated contracts and real property interests necessary and useful in the ownership and operation thereof, all situated in Shackelford County,
Texas (the “Oil and Gas Leasehold”), (ii) the oil and gas wells located on the Oil and Gas Leasehold, along with the associated fixtures and
personal property, including hydrocarbons produced therefrom (the “Wells”), and (iii) the rights to that certain Farmout Agreement between
CEGX and Bluff Creek Petroleum, LLC for a total consideration of $1,825,000. Concurrent with the sale of the Participation Interests, the
purchaser entered into an Operating Agreement with CEGX to conduct the drilling operations and related activities necessary to develop the
properties. Throughout 2015 and into first quarter of 2016 the Company has worked with representatives of the purchaser to design and install a
pilot water flood program on the Bradford “A” and Bradford “B” leases. We anticipate that the Bradford “A” and Bradford “B” leases will
become important producing properties as we complete the full implementation of the water flood enhanced oil recovery project. We currently
estimate that it will require an additional $650,000 in 2016 to complete the drilling and completion of producing, injector and source water wells
and to finish the acidizing and down-hole pump repairs required to fully implement the water flood program.
Great post beer$$money.
CEGX The Permian Basin is starting to pay off.
CEGX AND THE PERMIAN BASIN:
A worker prepares to lift drills by pulley to the main floor of a drilling rig in the Permian basin. E&P stocks to buy and sell: Analyst
Friday, 31 Mar 2017 | 2:34 PM ET | 03:02
The saying goes, everything's bigger in Texas — and this includes opportunities to invest in oil, according to one expert analyst.
Some of the best oil companies to consider investing in are based along the Permian Basin of West Texas, the largest U.S. oil patch, Seaport Global Securities Managing Director Mike Kelly told CNBC on Friday.
"It's simple economics. ... You are spending the least amount of capital [along the Permian], but here you get the most reserves on the ground," Kelly said on "Power Lunch." "Lower cost wins."
Along the Permian alone, the oil and gas industry poured more than $28 billion into land acquisitions in 2016, more than triple what was spent in 2015. These deals are setting the stage for much larger investments that will be needed to extract oil from the ground in coming quarters, many experts agree.
In a Thursday note to clients, Seaport wrote that: "Our oil macro review produced a surprisingly robust outlook. ... We think uninspiring [full-year 2017] guidance given on [fourth-quarter] conference calls is a case of massive industry wide sandbagging, which sets up a year of beat opportunities."
While the near-term environment for many oil names is strong, Kelly has warned investors that he remains relatively cautious with his long-term crude outlook, and says gas is looking "decisively worse."
Yet Kelly told CNBC on Friday he thinks the wild swing of crude prices lately has actually been "encouraging" for the industry and for many of the companies he follows. "In a $50 world, a lot of these guys make a good living. ... You don't need more than $50 for these things to work."
Oil prices fell Friday, ending a three-day rally and leading into what could be the oil market's worst quarter since 2015. Investors are worried that growing U.S. supplies are undermining OPEC-led production cuts. Oil settled the day at $50.60 per barrel, falling 5.8 percent.
For investors looking to put money into the space, Seaport's Kelly said he would recommend three Texas-based oil stocks: RSP Permian, Ring Energy and Callon Petroleum. Ring is a smaller company but one of the fastest growing small-cap stocks in the sector, Kelly said. And Houston-based Callon is one of the fastest growers overall along the Permian Basin, he added.
"We're back to backing the Permian wholeheartedly," Seaport wrote in its Thursday note to investors.
Trading very thin.
Might see .005 by EOD.
Great to see your still in LionsPride.
Big buy at .0032.
You got it my friend.
Look's like Whales are buying anything you want to sell.
Nice recovery.
OMVS .04 break coming.
OMVS Low floater heading for high ground.
Volume increasing day by day with plenty of room to run. It doesn't get any better.
Level 11 looks like they want to let it breakout today.
Good Morning UncleFester.
OMVS Low floater ready to breakout.
If we get some buying this morning .05 could be in reach today.
Looks like were getting off to a good start this week.
Good morning OMVS.
I agree, the current trend up is being driven by the likelyhood that the new CEO intends to persue a reverse merger or acquisition. Which I believe is the case.
With all the churn we saw at .03 on Friday it would not surprise me at all to see a 30 - 35% gain tomorrow.