Each one in plain English, with the numbers worked through for a shareholder.
12 Apr 2016capital raising announcement▼ BadMajor
On March 30, 2016 Hinto agreed to sell 5,000,000 shares for $50,000 to Arrowhead Consulting, controlled by VP of Finance Gary Herick, and sold 3,000,000 shares to private and current shareholders for $30,000. Herick also lent the company another $83,000, bringing his loans to $223,000 over eight months, to be covered by a 120-day promissory note; $33,000 of it is to pay debt. The $50,000 share money went to repairing wells in Montana and Utah. The tiny prices (about $0.01 per share) and reliance on an insider's loans are facts from the filing; that the company is short of cash is an inference, and the share issuance heavily dilutes existing holders.
24 Jan 2014capital raising announcement▲ GoodMajor
On January 22, 2014 Hinto issued a $2,000,000 secured convertible note: 3 years, 10% interest with quarterly payments starting July 2014, convertible at $1.25 per share, with up to 480,000 warrants at $2.00 tied to any principal converted. The note is secured by Hinto's Musselshell County, Montana leases and wells, and the stated use is operations plus re-completion and drilling in Utah and Montana. This is by far the largest financing in the company's history here, and conversion would dilute shareholders.
27 Dec 2012capital raising announcement● NeutralMajor
Hinto settled a lawsuit brought in March 2012 by Bridge Industries, which had lent money to South Uintah in June 2011 and sought return of $400,000 plus the value of 1,000,000 shares and other amounts. Under the December 18, 2012 settlement the suit is dismissed, and Hinto will pay $100,000 in cash ($50,000 by March 31, 2013 and $50,000 by June 30, 2013), issue 1,400,000 shares to be registered on Form S-1 by March 31, 2013, and issue 800,000 five-year warrants at $0.25 to $1.50. This closes a dispute that arose from the South Uintah deal, at the cost of cash and new shares that dilute existing holders.
1 June 2012capital raising announcement● NeutralMajor
Hinto closed a deal on May 30, 2012 with Pacific Energy and Mining Company to buy wells and assets in the Greater Cisco area, Grand County, Utah: 4,783 gross acres (about 3,827 net, 80% NRI) and 27 wells needing rework, pipeline connection or offset drilling. The $325,000 price is $175,000 cash plus a $150,000 8% convertible note due May 30, 2013, convertible at $1.00 per share. The company expects to take control of the assets within 180 days.
The $500,000 Microalloyed note from December 2011 required all proceeds to be reserved for buying assets. On April 12, 2012 Microalloyed agreed to release $50,000 for operating costs, in return for 25,000 restricted shares that the company agreed to register.
22 Dec 2011capital raising announcement● NeutralMajor
Now named Hinto Energy, the company issued a $500,000 secured promissory note to Microalloyed Steel Institute: 3-year term, 10% annual interest, convertible into restricted common stock at $1.00 per share. It is secured by South Uintah's Natural Buttes leases, farmouts and related assets. The filing calls South Uintah the company's majority shareholder.
13 July 2011capital raising announcement● NeutralMajor
Majority shareholder Sharon Fowler sold 3,000,000 shares to South Uintah Gas Properties for $300,000 cash, giving South Uintah 70.09% of the 4,280,000 shares outstanding; Fowler keeps 680,000 (15.88%). The company says it intends to acquire South Uintah (Colorado-incorporated March 2011, with Natural Buttes, Utah acreage from a farmout) but no agreement exists yet and South Uintah must first complete an audit.
Garner Investments extended its farmout agreement with Sharon K. Fowler (originally signed August 28, 2006, covering a Wyoming state lease) to December 31, 2010; the initial test well had been due by December 10, 2007. All other terms stay the same. The filing does not say whether any well was drilled.
