Commitments and Contingencies

9 Months Ended

Sep. 30, 2012

Commitments and Contingencies [Text Block]

7.	Commitments and Contingencies
	(a)	The Company’s Vranino 1-11 oil and gas exploration claim in Bulgaria was the subject of an appeal before the Supreme Administrative Court of Bulgaria whereas a competitive bidder sought to overturn the award. The court denied the appeal of the competitive bidder. On September 14, 2012, the Company was served with an appeal against the July 17, 2012 Fifth Division Supreme Court of Bulgaria’s decision to uphold the award of the Vranino license to the Company.
	(b)	The Company is obligated to perform a five year work program on the Vranino 1-11 block of North East Bulgaria which total cost is estimated at US$5,000,000, subject to the finalization of the permit award in favor of the Company.