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Basis of Preparation
12 Months Ended
Apr. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Preparation

The consolidated financial statements and accompanying footnotes are prepared in accordance with U.S. GAAP and include the accounts of the Company and its wholly owned and majority owned subsidiaries. All material intercompany balances and transactions have been eliminated in consolidation. Non–controlling interest represents the minority equity investment in the Company’s subsidiaries, plus the minority investors’ share of the net operating results and other components of equity relating to the non–controlling interest.

 

These consolidated financial statements include the Company and the following subsidiaries:

 

Petro Spring, LLC, PO1, LLC, Petro River UK Limited and MegaWest Energy USA Corp. and MegaWest Energy USA Corp.’s wholly owned subsidiaries:

 

MegaWest Energy Texas Corp.

MegaWest Energy Kentucky Corp.

MegaWest Energy Missouri Corp.

MegaWest Energy Montana Corp.

 

Also contained in the consolidated financial statements is the financial information for the Company’s 58.51% owned subsidiary, MegaWest Kansas Energy Corp. (“MegaWest”). In addition, MegaWest has a 50% ownership interest in Bandolier Energy LLC. The Company follows the guidance under ASC 810 and determined that MegaWest and Bandolier Energy LLC both qualify as variable interest entities and through its ownership and control of their operations, the Company and its related parties, as a group, is considered as the primary beneficiary in these two variable interest entities.