-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, PDWBTg49/QlagzCzw5V4bfNP47UV3GvfZbLEGdpWtlqe0DbEwUCu/UE2sg3QnoU1 YdgU6HHGWWPGkWSxB+wKdw== 0001169232-06-002163.txt : 20060502 0001169232-06-002163.hdr.sgml : 20060502 20060502164913 ACCESSION NUMBER: 0001169232-06-002163 CONFORMED SUBMISSION TYPE: SC 13G/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20060502 DATE AS OF CHANGE: 20060502 GROUP MEMBERS: DAVID F. FIRESTONE GROUP MEMBERS: MERCATOR MOMENTUM FUND III, L.P. GROUP MEMBERS: MERCATOR MOMENTUM FUND, L.P. GROUP MEMBERS: MONARCH POINTE FUND, LTD. GROUP MEMBERS: ROBINSON REED, INC. SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: TIDELANDS OIL & GAS CORP CENTRAL INDEX KEY: 0001088881 STANDARD INDUSTRIAL CLASSIFICATION: OIL AND GAS FIELD EXPLORATION SERVICES [1382] IRS NUMBER: 660549380 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-79032 FILM NUMBER: 06800113 BUSINESS ADDRESS: STREET 1: P O BOX 270234 CITY: CORPUS CHRISTI STATE: TX ZIP: 78409 BUSINESS PHONE: 3612417748 MAIL ADDRESS: STREET 1: P O BOX 270234 CITY: CORPUS CRISITI STATE: TX ZIP: 78247 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: M.A.G. Capital, LLC CENTRAL INDEX KEY: 0001218181 IRS NUMBER: 300021359 FILING VALUES: FORM TYPE: SC 13G/A BUSINESS ADDRESS: STREET 1: 555 S. FLOWER ST. STREET 2: SUITE 4500 CITY: LOS ANGELES STATE: CA ZIP: 90071 BUSINESS PHONE: 2135338288 MAIL ADDRESS: STREET 1: 555 SOUTH FLOWER ST. STREET 2: SUITE 4500 CITY: LOS ANGELES STATE: CA ZIP: 90071 FORMER COMPANY: FORMER CONFORMED NAME: MERCATOR ADVISORY GROUP LLC DATE OF NAME CHANGE: 20030210 SC 13G/A 1 d67910_sc13g-a.txt AMENDMENT NO. 2 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13G Under the Securities Exchange Act of 1934 (Amendment No. 2) TIDELANDS OIL & GAS CORPORATION (Name of Issuer) Common Stock (Title of Class of Securities) 886405109 (CUSIP Number) December 31, 2005 (Date of Event Which Requires Filing of this Statement) |_| Rule 13d-1(b) |X| Rule 13d-1(c) |_| Rule 13d-1(d) SCHEDULE 13G CUSIP No. 886405109 Page 2 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Mercator Momentum Fund, L.P. EIN:03-0021366 - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION California - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 0 NUMBER OF ----------------------------------------------------------------- SHARES 6. SHARED VOTING POWER BENEFICIALLY OWNED BY 751,974 EACH ----------------------------------------------------------------- REPORTING 7. SOLE DISPOSITIVE POWER PERSON WITH 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 751,974 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 751,974 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 0.97% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* PN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -2- SCHEDULE 13G CUSIP No. 886405109 Page 3 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Mercator Momentum Fund III, L.P. EIN:32-0056070 - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION California - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 0 NUMBER OF ----------------------------------------------------------------- SHARES 6. SHARED VOTING POWER BENEFICIALLY OWNED BY 521,928 EACH ----------------------------------------------------------------- REPORTING 7. SOLE DISPOSITIVE POWER PERSON WITH 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 521,928 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 521,928 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 0.67% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* PN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -3- SCHEDULE 13G CUSIP No. 886405109 Page 4 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Monarch Pointe Fund, Ltd. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION British Virgin Islands - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 0 NUMBER OF ----------------------------------------------------------------- SHARES 6. SHARED VOTING POWER BENEFICIALLY OWNED BY 1,690,460 EACH ----------------------------------------------------------------- REPORTING 7. SOLE DISPOSITIVE POWER PERSON WITH 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 1,690,460 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,690,460 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 2.14% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* PN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -4- SCHEDULE 13G CUSIP No. 886405109 Page 5 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Robinson Reed, Inc. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION British Virgin Islands - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 200,000 NUMBER OF ----------------------------------------------------------------- SHARES 6. SHARED VOTING POWER BENEFICIALLY OWNED BY 0 EACH ----------------------------------------------------------------- REPORTING 7. SOLE DISPOSITIVE POWER PERSON WITH 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 200,000 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 200,000 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 0.26% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* CO - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -5- SCHEDULE 13G CUSIP No. 886405109 Page 6 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) M.A.G. Capital, LLC EIN: 300021359 - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION California - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 0 ----------------------------------------------------------------- NUMBER OF 6. SHARED VOTING POWER SHARES BENEFICIALLY 6,336,072, some of which are held by Mercator Momentum Fund OWNED BY and Mercator Momentum Fund III (together, the "Funds"), some EACH of which are owned by Monarch Pointe Fund, Ltd. ("MPF"), and REPORTING some of which are owned by M.A.G. Capital, LLC ("MAG"). MAG PERSON is the general partner of the Funds and controls the WITH investments of MPF. ----------------------------------------------------------------- 7. SOLE DISPOSITIVE POWER 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 6,536,072, some of which are held by the Funds, some by MPF, some by Robinson Reed, Inc. ("RR") and some by MAG. - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 6,536,072 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 7.81% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -6- SCHEDULE 13G CUSIP No. 886405109 Page 7 of 15 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) David F. Firestone - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |_| (b) |X| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION USA - -------------------------------------------------------------------------------- 5. SOLE VOTING POWER 0 ----------------------------------------------------------------- NUMBER OF 6. SHARED VOTING POWER SHARES BENEFICIALLY 6,336,072, all of which are held by the Funds, MPF and OWNED BY MAG. David F. Firestone is Managing Member of MAG. EACH ----------------------------------------------------------------- REPORTING 7. SOLE DISPOSITIVE POWER PERSON WITH 0 ----------------------------------------------------------------- 8. SHARED DISPOSITIVE POWER 6,536,072, all of which are held by the Funds, MPF, RR and MAG. David F. Firestone is Managing Member of MAG. - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 6,536,072 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 7.81% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! -7- SCHEDULE 13G CUSIP No. 886405109 Page 8 of 15 Pages This statement is hereby amended and restated in its entirety as follows: Item 1. Issuer. (a) The name of the issuer is Tidelands Oil & Gas Corporation (the "Issuer"). (b) The address of the Issuer's principal executive office is 1862 West Bitters Rd., San Antonio, Texas 78410. Item 2. Reporting Person and Security. (a) Mercator Momentum Fund, L.P. ("Momentum Fund") and Mercator Momentum Fund III, L.P. ("Momentum Fund III" and, with Momentum Fund, the "Funds") are private investment limited partnerships organized under California law. The general partner of each of the Funds is M.A.G. Capital, LLC (formerly Mercator Advisory Group, LLC) ("MAG"), a California limited liability company. David F. Firestone is the Managing Member of MAG. Monarch Pointe Fund, Ltd. ("MPF") is a corporation organized under the laws of the British Virgin Islands. MAG controls the investments of MPF. Robinson Reed, Inc. ("RR") is a corporation organized under the laws of the British Virgin Islands. MAG controls the investments of RR in the Issuer's securities. The Funds, MPF, RR, MAG and David F. Firestone are referred to herein as the "Reporting Persons." (b) The business address of each of the Funds, MAG and David F. Firestone is 555 S. Flower Street, Suite 4200, Los Angeles, CA 90071. The business address of MPF is c/o Bank of Ireland Securities Services, Ltd., New Century House, International Financial Services Center, Mayor Street Lower, Dublin 1, Republic of Ireland. The business address of RR is AV.Du Leman 8B, CH-1003, Lausanne, Switzerland. (c) Each of the Funds is a California limited partnership. MAG, their general partner, is a California limited liability company. Each of MPF and RR is a corporation organized under the laws of the British Virgin Islands. (d) The title of the class of securities to which this statement relates is the common stock of the Issuer, par value $0.001 per share (the "Common Stock"). (e) The CUSIP number is 886405109. Item 3. If This Statement is Filed Pursuant to Rule 13d-1(b) or 13d-2(b) or (c), Check Whether the Person Filing is a: (a) |_| Broker or dealer registered under Section 15 of the Act (15 U.S.C. 78o). (b) |_| Bank as defined in Section 3(a)(6) of the Act (15 U.S.C. 78c). (c) |_| Insurance company as defined in Section 3(a)(19) of the Act (15 U.S.C. 78c). -8- SCHEDULE 13G CUSIP No. 886405109 Page 9 of 15 Pages (d) |_| Investment company registered under Section 8 of the Investment Company Act of 1940 (15 U.S.C. 80a-8). (e) |_| An investment adviser in accordance with ss. 240.13d-1(b)(1)(ii)(E). (f) |_| An employee benefit plan or endowment fund in accordance with ss. 240.13d-1(b)(1)(ii)(F). (g) |_| A parent holding company or control person in accordance with ss. 240.13d-1(b)(1)(ii)(G). (h) |_| A savings association as defined in Section 3(b) of the Federal Deposit Insurance Act (12 U.S.C. 1813). (i) |_| A church plan that is excluded from the definition of an investment company under Section 3(c)(14) of the Investment Company Act of 1940 (15 U.S.C. 80a-3). (j) |_| Group, in accordance with ss. 240.13d-1(b)(1)(ii)(J). Not Applicable. Item 4. Ownership. MMF III owns shares of Common Stock. The Funds, MPF, RR and MAG each own warrants to purchase shares of Common Stock. The documentation governing the terms of the warrants contains provisions prohibiting any exercise of the warrants that would result in the Reporting Persons owning beneficially more than 9.99% of the outstanding shares of Common Stock as determined under Section 13(d) of the Securities Exchange Act of 1934. The Reporting Persons have never had beneficial ownership of more than 9.99% of the outstanding shares of Common Stock. As of December 31, 2005, the Funds, MPF, RR and MAG owned the following securities of the Issuer: Momentum Fund owned warrants to purchase up to 751,974 shares of Common Stock. Momentum Fund III owned 3,836 shares of Common Stock and warrants to purchase up to 518,092 shares of Common Stock. MPF owned warrants to purchase up to 1,690,460 shares of Common Stock. RR owned warrants to purchase up to 200,000 shares of Common Stock. MAG owned warrants to purchase up to 3,371,710 shares of Common Stock. -9- SCHEDULE 13G CUSIP No. 886405109 Page 10 of 15 Pages David F. Firestone owned no securities of the Issuer directly. The right to vote and the right to dispose of the shares beneficially owned by Momentum Fund, Momentum Fund III and MPF are, in each case, shared among either Momentum Fund, Momentum Fund III or MPF, as applicable, and both MAG and David F. Firestone. The right to vote and the right to dispose of the shares beneficially owned by MAG are shared by MAG and David F. Firestone. The right to vote the shares beneficially owned by RR is held solely by RR. The right to dispose of the shares beneficially owned by RR is shared among RR, MAG and David F. Firestone. Assuming that the Issuer had 77,156,341 shares of Common Stock outstanding as of December 31, 2005, which is the number reported by the Issuer as outstanding as of September 30, 2005 in its Quarterly Report on Form 10-QSB for the quarter ended September 30, 2005, the individual Reporting Persons had beneficial ownership of the following numbers of shares of Common Stock which represented the following percentages of the Common Stock outstanding: Shares Owned Percentage ------------ ---------- Momentum Fund 751,974 0.97% Momentum Fund III 521,928 0.67% MPF 1,690,460 2.14% Robinson Reed 200,000 0.26% MAG 6,536,072 7.81% David F. Firestone 6,536,072 7.81% -10- SCHEDULE 13G CUSIP No. 886405109 Page 11 of 15 Pages Item 5. Ownership of Five Percent or Less of a Class. If this Schedule is being filed to report the fact that as of the date hereof the Reporting Person has ceased to be the beneficial owner of more than five percent of the class of securities, check the following [__] Not Applicable. Item 6. Ownership of More than Five Percent on Behalf of Another Person. Not Applicable. Item 7. Identification and Classification of the Subsidiary Which Acquired the Security Being Reported on By the Parent Holding Company or Control Person. Not Applicable. Item 8. Identification and Classification of Members of the Group. Not Applicable. Item 9. Notice of Dissolution of Group. Not Applicable. Item 10. Certifications. By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect. -11- SCHEDULE 13G CUSIP No. 886405109 Page 12 of 15 Pages SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Dated: May 1, 2006 MERCATOR MOMENTUM FUND, L.P. By: M.A.G. CAPITAL, LLC, its general partner By: ---------------------------------- Harry Aharonian, Portfolio Manager Dated: May 1, 2006 MERCATOR MOMENTUM FUND III, L.P. By: M.A.G. CAPITAL, LLC, its general partner By: ---------------------------------- Harry Aharonian, Portfolio Manager Dated: May 1, 2006 MONARCH POINTE FUND, LTD. By: ---------------------------------- Harry Aharonian, Portfolio Manager Dated: May 1, 2006 ROBINSON REED, INC. By: ---------------------------------- Harry Aharonian, Portfolio Manager Dated: May 1, 2006 M.A.G. CAPITAL, LLC By: ---------------------------------- Harry Aharonian, Portfolio Manager Dated: May 1, 2006 -------------------------------- David F. Firestone -12- SCHEDULE 13G CUSIP No. 886405109 Page 13 of 15 Pages EXHIBIT INDEX Exhibit A Agreement of Joint Filing -13- SCHEDULE 13G CUSIP No. 886405109 Page 14 of 15 Pages EXHIBIT A AGREEMENT OF JOINT FILING The undersigned hereby agree that they are filing jointly pursuant to Rule 13d-1 of the Securities Exchange Act of 1934 a report on Schedule 13G, containing the information required by Schedule 13G, for shares of the common stock of Tidelands Oil & Gas Corporation beneficially owned by Mercator Momentum Fund, L.P., Mercator Momentum Fund III, L.P., Monarch Pointe Fund, Ltd., Robinson Reed, Inc., M.A.G. Capital, LLC and David F. Firestone and such other holdings as may be reported therein. Dated: May 1, 2006 MERCATOR MOMENTUM FUND, L.P. By: M.A.G. CAPITAL, LLC, its general partner By: ---------------------------------- Harry Aharonian, Portfolio Manager MERCATOR MOMENTUM FUND III, L.P. By: M.A.G. CAPITAL, LLC, its general partner By: ---------------------------------- Harry Aharonian, Portfolio Manager MONARCH POINTE FUND, LTD. By: ---------------------------------- Harry Aharonian, Portfolio Manager ROBINSON REED, INC. By: ---------------------------------- Harry Aharonian, Portfolio Manager -14- SCHEDULE 13G CUSIP No. 886405109 Page 15 of 15 Pages M.A.G. CAPITAL, LLC By: ---------------------------------- Harry Aharonian, Portfolio Manager - ---------------------------------- David F. Firestone -15- -----END PRIVACY-ENHANCED MESSAGE-----