Each one in plain English, with the numbers worked through for a shareholder.
11 June 2014material agreement● NeutralMajor
Fulucai signed a binding MOU with Blue Sky Langsa Ltd. to acquire a 15% working interest in the Langsa offshore concession in North Sumatra, Indonesia, for $918,568 plus 15% of 2014 work program costs (about $1,331,550 on an $8.877 million estimate; the press release says $9.55 million and $1,432,000). A formal Participation Agreement and approvals are still needed. It is a related-party deal: Fulucai's controlling shareholder is President of Blue Sky Langsa.
14 Nov 2013asset acquisition disposition▲ GoodMajor
The New Mexico acquisition closed on November 13, 2013: Fulucai issued 65,000,000 shares for all of Blue Sky NM, Inc., which owns a 65% interest in producing and non-producing New Mexico properties with 299 wells on about 14,000 acres. The filing names the seller as Blue Sky Energy & Power, Inc. (the October filing named Canyon E&P Inc.) and gives about 14,000 acres versus 26,160 earlier; financial statements were still to come within 70 days. Completes the October 2013 deal.
On October 3, 2013 Fulucai announced a Share Purchase Agreement with Canyon E&P Inc. to buy Blue Sky NM, Inc., which owns a 65% interest in New Mexico oil and gas properties including 299 wells. Payment is 65,000,000 Class A shares, reducible (minimum 40 million) if the reserve valuation is under $40 million, and the company must cancel an existing 65,000,000-share control block so that 90,000,000 shares are outstanding after closing. Closing was targeted by October 30, 2013; Mohammad Fazil now signs as CEO.
On August 9, 2012 Fulucai dismissed its auditor Child, Van Wagoner & Bradshaw, which had ceased its SEC practice, and engaged its successor firm Anderson Bradshaw. The old auditor's reports had no adverse opinions but did carry going-concern doubt, and there were no disagreements. The filing is signed by Jennifer Serek as CEO.
This board-change notice for the Equine deal says closing was expected around July 31, 2012. Durward and Rix would resign and Jennifer Serek would become sole director and all officers; 90,000,000 shares were outstanding and Serek would hold about 1.31% after closing. It also says Durward had an offer from a Hong Kong company to buy 50,000,000 of his shares, which would give that buyer 65.79% (not a closing condition). Continues the Equine acquisition.
On June 29, 2012 Fulucai agreed to buy all of Equine Venture Group, Inc. from its sole shareholder Jennifer Serek for 5,000,000 restricted shares (1,000,000 at closing and 1,000,000 on each anniversary). Current directors would resign in favor of Equine's appointees, and the company's existing assets would go to James Durward in exchange for him returning 15,000,000 shares to treasury. This follows the failed Alabama option and moves the company in a new direction.
8 June 2012material agreement termination▼ BadMajor
The Alabama option deal with SFT/Orion fell into default: closing was due by May 15, 2012, the option was extended to May 30, and by the June 8, 2012 filing the company could not proceed unless a definitive agreement or new option was signed. Negotiations were said to be ongoing. This sets back the April 2012 oil and gas plan.
On April 4, 2012 Fulucai took an assignment from SFT Diversified Global LLC of an option to acquire mineral rights (including oil and gas) on about 142,000 acres in five Alabama counties from Orion Oil & Gas Properties. The deal required 75,000,000 shares placed in escrow (65,000,000 from Durward, 10,000,000 newly issued), a $1,000,000 escrow, and $77,000,000 payable within 180 days of May 15, 2012, with a planned $3,000,000 raise and a name change to Cherokee Minerals Inc. This is the company's first move from film into oil and gas.
On October 14, 2011 Fulucai acquired the rights to the film script 'All the Wrong Reasons' from its President James Durward, in return for a 20% gross overriding royalty on worldwide revenues. The company will reimburse about $2,000 of costs to date and expects ongoing costs under $10,000, with delivery expected mid-2012; no distribution deal exists.
On March 28, 2011 Fulucai signed a Development Agreement to produce a marketing trailer for Octacation Productions' movie 'Smack in the Middle of Nowhere' for US$40,000, of which $15,000 was paid on signing and the balance is due within 30 days of Octacation's S-1 financing closing. Director and officer Gordon Rix licensed the movie rights to Octacation and abstained from the vote, so this is a related-party link.
