Each one in plain English, with the numbers worked through for a shareholder.
18 Jan 2017asset acquisition disposition● NeutralMajor
Reported in January 2017, the company acquired Energy and Environmental Services, Inc. (EES) on October 24, 2016 for 32,000,000 newly issued shares, leaving 47,994,944 shares outstanding, so the new shares are about two-thirds of the total (calculated from the filing's figures). It renamed itself Energy and Environmental Services, Inc., changed its trading symbol to EESE, and shows a new Oklahoma City address and a different president, Melvin B. Smith. The filing does not mention the earlier oil and gas assets; the former name given is Enerlabs, Inc.
On August 12, 2009 the company engaged Smith, Carney & Co., p.c. as its new auditor, replacing Eide Bailly, which resigned in July. The filing says no accounting advice was sought from the firm beforehand.
Eide Bailly resigned as auditor on July 15, 2009, less than a year after being engaged. Its report for the year ended January 31, 2009 carried a going-concern uncertainty qualification; no disagreements are reported and no reason for resigning is given.
This amendment corrects the earlier report: the shares issued to George Shaw for Energas Pipeline Company and Energas Corp. were 6,167,400 (not 6,197,400), issued January 31, 2009. The 200,000-share debt settlement ($11,992) and 220,000 consultant shares are unchanged.
27 Feb 2009capital raising announcement● NeutralMajor
The company issued 6,197,400 shares to President George Shaw in exchange for all shares of Energas Pipeline Company and Energas Corp., which operate the gas gathering system connected to its four Atoka County, Oklahoma wells and all of the company's wells. It also issued 200,000 shares to settle $11,992 owed and 220,000 shares to five consultants for services. These issuances dilute existing holders and bring the operating companies into the group.
Auditor Murrell, Hall, McIntosh & Co. resigned August 1, 2008 after Eide Bailly acquired its operations, and the company engaged Eide Bailly on September 9, 2008. MHM's reports for fiscal years ended January 2008 and 2007 carried a going-concern uncertainty qualification; no disagreements are reported.
14 Feb 2008asset acquisition disposition● NeutralMajor
On January 17, 2008 the company sold its Laurel and Whitley Counties, Kentucky properties to an unrelated third party: ten producing gas wells, leases on 2,828 gross acres, gas transmission lines, gathering systems and a compressor station. No price is stated in the filing. It is unclear from the text whether these relate to the 2003 Kentucky purchase (inference only).
This amendment repeats the previous filing's content, correcting the loan date to July 27, 2006: a $550,000 loan from Dutchess Private Equities Fund with 800,000 shares to be issued as partial consideration. It adds no new terms and notes the loan note exhibit was filed with the August 2, 2006 report.
The company borrowed $550,000 from Dutchess Private Equities Fund and agreed to issue 800,000 shares to Dutchess as partial consideration for the loan, adding dilution on top of the debt. The filing's text mistakenly dates the loan July 27, 2000 (the report date is July 27, 2006; corrected in the amendment). Dutchess is the same party as the 2004 equity line of credit.
In August 2005 the company sold 1,200,000 shares at $0.25 each to four investors, converted $326,000 loaned by President George Shaw into 1,304,000 restricted shares, and issued 1,250,000 shares to McCrome International in full payment of a $479,218 promissory note. These issuances increase the share count, diluting existing holders, while converting loans into stock removes those debts.
Russell & Atkins, hired in April 2004, resigned effective November 15, 2004, again citing a decision to stop auditing public companies; the company retained Murrell, Hall, McIntosh & Co. on December 10, 2004. Its report for the year ended January 31, 2004 carried a going-concern uncertainty qualification, and no disagreements are reported. This is the second auditor change in about eight months.
On September 20, 2004 the company signed an equity line of credit with Dutchess Private Equities Fund II allowing it to sell up to $10,000,000 of common stock over 36 months once a registration statement is declared effective. Each draw is limited (up to $1,000,000 per put under the agreement terms shown), priced at 95% of the lowest closing bid in a five-day pricing period, and the company is not obliged to draw. Any shares sold would dilute existing shareholders.
Auditor Spicer Jeffries resigned effective April 8, 2004, saying it was discontinuing its audit practice for public companies, and the company hired Russell & Atkins on April 14, 2004. Spicer Jeffries' reports for fiscal years 2001-2003 carried a going-concern uncertainty qualification, and the filing reports no disagreements.
27 Aug 2003asset acquisition disposition● NeutralMajor
In August 2003 the company bought 31 producing wells, about 28 miles of pipeline, two compressor stations and roughly 23,000 leased and 8,500 optioned acres in eastern Kentucky's Appalachian Basin from three private corporations. It paid with $3,000,000 of 8.5% convertible notes due August 2023, convertible into shares at one share per dollar, so shareholders could be diluted if the notes are converted. The company says it believes annual revenue from the wells and pipeline exceeds $500,000; the financial statements for the deal are to be filed later by amendment.
