10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

þ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2015

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ____________ to ____________

Commission file number 000-52506

ESP RESOURCES, INC.

(Exact name of registrant as specified in its charter)

Nevada	98-0440762
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

1003 South Hugh Wallis Road Suite G-1 Lafayette, Louisiana 70508

(Address of principal executive offices) (Zip Code)

(832) 342-9131

(Issuer’s telephone number)

______________________________________________________________

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ    No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non- accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	o	Accelerated filer	o
Non-accelerated filer	o	Smaller reporting company	þ
(Do not check if a smaller reporting company.)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No þ

APPLICABLE ONLY TO CORPORATE ISSUERS

As of August 13, 2015, there were 237,830,249 shares of the Registrant’s common stock outstanding.

PART I – FINANCIAL INFORMATION

ITEM 1. –FINANCIAL STATEMENTS

ESP Resources, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

	June 30,			December 31,
	2015			2014
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	112,063		$	121,880
Restricted cash		147,574			283,392
Accounts receivable, net		1,303,869			2,110,534
Inventories		1,184,653			987,734
Prepaid expenses		170,911			358,856
Total current assets		2,919,070			3,862,396
Assets held for sale		90,378			160,378
Property and equipment, net of accumulated depreciation of $2,305,326 and $2,253,686, June 30, 2015 and  December 31, 2014		1,438,519			1,709,845
Other assets		49,515			49,877
Total assets	$	4,497,482		$	5,782,496
LIABILITIES AND STOCKHOLDERS’ DEFICIT
CURRENT LIABILITIES
Accounts payable	$	2,681,032		$	2,785,041
Net Liabilities from discontinued operations		62,378			78,095
Factoring payable		866,153			1,339,653
Accrued expenses		1,866,263			1,540,409
Due to related parties		432,185			412,373
Contingent consideration payable		-			38,937
Guarantee liability		120,000			120,000
Short-term debt		369,470			361,477
Current maturities of convertible debentures, net of debt discount		907,000			1,142,000
Current maturities of debt - vendor deferred payment		1,285,528			1,285,528
Current maturities of Long-term Debt		502,109			669,005
Current portion of capital lease obligation		84,842			99,240
Derivative liability		203,858			255,168
Total current liabilities		9,380,818			10,126,926
Long-term debt (less current maturities)		53,466			111,038
Capital lease obligations (less current maturities)		55,131			84,319
Total liabilities		9,489,415			10,322,283
Commitments and Contingencies (Note 13)
STOCKHOLDERS' DEFICIT
Preferred stock - $0.001 par value, 10,000,000 shares authorized, none outstanding		-			-
Common stock - $0.001 par value, 350,000,000 shares authorized,237,830,249 shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively		237,831			237,831
Additional paid-in capital		22,284,401			22,081,766
Subscription receivable		(1,000	)		(1,000	)
Accumulated deficit		(27,513,165	)		(26,858,384	)
Total stockholders' deficit		(4,991,933	)		(4,539,787	)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$	4,497,482		$	5,782,496

The accompanying notes are an integral part of these condensed consolidated financial statements. 

ESP Resources, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

	Three months ended June 30,						Six months ended June 30,
	2015			2014			2015			2014
SALES, NET	$	1,582,254		$	2,628,359		$	3,794,195		$	5,781,124
COST OF GOODS SOLD		573,514			1,120,351			1,186,264			2,590,694
GROSS PROFIT		1,008,740			1,508,008			2,607,931			3,190,430
General and administrative		1,443,001			1,885,341			2,995,317			3,743,445
Depreciation and amortization		119,093			135,628			240,628			315,628
Loss on disposal of assets		10,825			2,746			10,825			18,915
LOSS FROM OPERATIONS		(564,179	)		(515,707	)		(638,839	)		(887,558	)
OTHER INCOME (EXPENSE)
Interest expense		(177,209	)		(99,492	)		(218,037	)		(208,061	)
Factoring fees		(46,266	)		(70,654	)		(105,388	)		(137,981	)
Amortization of debt discount		-			(56,269	)		-			(208,393	)
Other (expense) income, net		16,117			18,585			11,432			27,973
Change in derivative liability		54,807			57,443			51,310			(8,383	)
Gain on Extinguishment of debt		46,746			-			244,742			-
Total other expense		(105,805	)		(150,387	)		(15,941	)		(534,845	)
NET LOSS	$	(669,984	)	$	(666,094	)	$	(654,780	)	$	(1,422,403	)
NET LOSS PER SHARE (basic and diluted)	$	(0.00	)	$	(0.00	)	$	(0.00	)	$	(0.01	)
WEIGHTED AVERAGE SHARES OUTSTANDING		237,830,249			156,520,359			237,830,249			156,376,105

The accompanying notes are an integral part of these condensed consolidated financial statements

ESP Resources, Inc.

Consolidated Statements of Cash Flow

(Unaudited)

	June 30,
	2015			2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$	(654,780	)	$	(1,422,403	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Amortization of debt discount		-			208,393
Loss on disposal of assets		10,825			18,915
Depreciation and amortization, net disposals		240,628			315,628
Bad debt expense		30,000			30,000
Stock and warrant based compensation		202,635			474,406
Change in derivative liability		(51,310	)		8,383
Loss on Extinguishment of debt		(244,742	)		-
Changes in operating assets and liabilities:
Accounts receivable		776,665			318,868
Inventory		(196,919	)		430,126
Prepaid expenses		187,945			230,995
Other assets		362			(643	)
Accounts payable		104,226			411,106
Accrued expenses		365,207			435,553
Accrued expense to related parties		19,812			39,690
Net Liabilities from discontinued operations		-			(4,969	)
CASH PROVIDED BY OPERATING ACTIVITIES		790,554			1,494,048
CASH FLOWS FROM INVESTING ACTIVITIES
Restricted cash		135,818			(194,752	)
Proceeds from the sale of vehicles and equipment		75,837			98,746
Proceeds from the sale of capital lease equipment		161,888			-
Purchase of property and equipment		(95,956	)		(138,305	)
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES		277,587			(234,311	)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of long term debt		(276,365	)		(325,676	)
Repayment of convertible debentures		(135,000	)		-
Repayment of capital leases		(43,586	)		(121,977	)
Repayment of short-term debt		(142,007	)		(152,084	)
Net factoring advances		(473,500	)		(588,000	)
Payment of settlement on contingent liabilities		(7,500	)		(77,500	)
CASH USED IN  FINANCING ACTIVITIES		(1,077,958	)		(1,265,237	)
NET CHANGE IN CASH		(9,817	)		(5,500	)
CASH AT BEGINNING OF PERIOD		121,880			5,757
CASH AT END OF PERIOD	$	112,063		$	257
Supplemental Disclosures of Cash Flow Information
Cash paid for interest and factoring cost	$	330,073		$	290,570
Non-cash investing and financing transactions:
Notes issued for purchase of property and equipment	$	51,896		$	-
Capital lease obligations		-			31,281
Assets returned to service		-			143,042
Capital lease expired		-			116,139
Shares issued on settlement of lawsuit		-			8,000

The accompanying notes are an integral part of these condensed consolidated financial statements.

ESP Resources, Inc.

Notes to Unaudited Condensed Consolidated Financial Statements

June 30, 2015

Note 1 – Organization and Basis of Presentation

Organization

ESP Resources, Inc. (“ESP Resources”, and collectively with its subsidiaries, “we, “our” or the “Company”) was incorporated in the State of Nevada on October 27, 2004. The accompanying consolidated financial statements include the accounts of ESP Resources, Inc. and its wholly owned subsidiaries, ESP Petrochemicals, Inc. of Louisiana (“ESP Petrochemicals”), ESP Ventures, Inc. of Delaware (“ESP Ventures”), ESP Corporation, S.A., a Panamanian corporation (“ESP Corporation”) and ESP Payroll Services, Inc. of Nevada (“ESP Payroll”). On July 11, 2012, the Company formed two partially owned subsidiaries in Delaware, ESP Advanced Technologies, Inc., and ESP Facility & Pipeline Services, Inc. On December 19, 2012, the Company formed a partially owned subsidiary in Nevada, IEM, Inc.

On September 7, 2011, the Company became a 49% partner in a new entity, ESP Marketing, LLC. The Company’s management directed the operations of the business and the Company would receive 80% of the profits. On July 11, 2012, the Company became a 60% partner in a new entity, ESP Facility and Pipeline Services, Inc. The Company’s management directed the operations of the business and the Company would receive 60% of the profits. All significant inter-company balances and transactions have been eliminated in the consolidated financial statements.

On June 11, 2013, the board of directors decided to cease operations of various subsidiaries, including ESP Facility and Pipeline Services, Inc., ESP Advanced Technologies, Inc., ESP KUJV Limited Joint Venture and ESP Marketing Group LLC. The Board determined that certain activities should be closed and that unused assets, mainly vehicles and equipment, be sold.

Basis of Presentation

The accompanying unaudited condensed interim consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America and with the rules and regulations of the Securities and Exchange Commission to Form 10-Q and Article 8 of Regulation S-X.  These unaudited condensed interim consolidated financial statements should be read in conjunction with the financial statements of the Company for the year ended December 31, 2014 and notes thereto contained in the information as part of the Company’s Annual Report on Form 10-K filed with the SEC on April 15, 2015. Notes to the consolidated financial statements which would substantially duplicate the disclosure contained in the audited financial statements for fiscal 2014 as reported in the Form 10-K have been omitted. In the opinion of management, the unaudited interim consolidated financial statements furnished reflect all adjustments (consisting of normal recurring adjustments) which are necessary to present fairly the financial position and the results of operations for the interim periods presented herein.  Unaudited interim results are not necessarily indicative of the results for the full year. Any reference herein to “ESP Resources,” the “Company,” “we,” “our” or “us” is intended to mean ESP Resources, Inc. including the subsidiaries indicated above, unless otherwise indicated.

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed

The Company reviews its long-lived assets and identifiable finite-lived intangibles for impairment on an annual basis and whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The first step of the impairment test, used to identify potential impairment, compares undiscounted future cash flows of the asset or asset group with the related carrying amount. If the undiscounted future cash flows of the asset or asset group exceed its carrying amount, the asset or asset group is not considered to be impaired and the second step is unnecessary. If such assets were considered to be impaired, the impairment to be recognized would be measured by the amount by which the carrying amount of the assets exceeds the fair market value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 

Restricted Cash

Under the terms of the Factoring payable, the Company may obtain advances of up to 100% of the amount of eligible accounts receivable, subject to a 0.75% per 15 days factoring fee, with 10% held in a restricted cash reserve account, which is released to the Company upon payment of the receivable. As of June 30, 2015 and December 31, 2014, restricted cash totaled $147,574 and $283,392, respectively.

Accounts Receivable and Allowance for Doubtful Accounts

The Company generally does not require collateral, and the majority of its trade receivables are unsecured. The carrying amount for accounts receivable approximates fair value.

Accounts receivable consisted of the following as of June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Trade receivables	$	1,484,892		$	2,265,534
Less: Allowance for doubtful accounts		(181,023	)		(155,000	)
Net accounts receivable	$	1,303,869		$	2,110,534

Accounts receivable are periodically evaluated for collectability based on past credit history with clients. Provisions for losses on accounts receivable are determined on the basis of loss experience, known and inherent risk in the account balance and current economic conditions.

Inventories

Inventory represents raw and blended chemicals and other items valued at the lower of cost or market with cost determined using the first-in first-out method, and with market defined as the lower of replacement cost or realizable value.

As of June 30, 2015 and December 31, 2014, inventory consisted of the following:

	June 30, 2015		December 31, 2014
Raw materials	$	486,885	$	412,978
Finished goods		697,768		574,756
Total inventory	$	1,184,653	$	987,734

Derivatives

The valuation of our embedded derivatives and warrant derivatives are determined primarily by the multinomial distribution (Lattice) model. An embedded derivative is a derivative instrument that is embedded within another contract, which under the convertible note (the host contract) includes the right to convert the note by the holder, certain default redemption right premiums and a change of control premium (payable in cash if a fundamental change occurs). In accordance with Accounting Standards Codification (“ASC”) 815 “Derivatives and Hedging”’, as amended, these embedded derivatives are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. A warrant derivative liability is also determined in accordance with ASC 815. Based on ASC 815, warrants which are determined to be classified as derivative liabilities are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. The practical effect of this has been that when our stock price increases so does our derivative liability and resulting in a non-cash loss charge that reduces our earnings and earnings per share. When our stock price declines, we record a non-cash gain, increasing our earnings and earnings per share. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there exists a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:

●	Level 1 -	unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date.
●	Level 2 -	inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data.
●	Level 3 -	unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date.

This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value.

To determine the fair value of our embedded derivatives, management evaluates assumptions regarding the probability of certain future events. Other factors used to determine fair value include our period end stock price, historical stock volatility, risk free interest rate and derivative term. The fair value recorded for the derivative liability varies from period to period. This variability may result in the actual derivative liability for a period either above or below the estimates recorded on our consolidated financial statements, resulting in significant fluctuations in other income (expense) because of the corresponding non-cash gain or loss recorded.

Concentration

The Company has four major customers that together account for 67% of accounts receivable at June 30, 2015 and 39% of the total revenues earned for the period ended June 30, 2015.

	Accounts Receivable			Revenue
Customer A		24	%		16	%
Customer B		16	%		6	%
Customer C		14	%		1	%
Customer D		13	%		16	%
		67	%		39	%

The Company has three vendors that accounted for 40%, 25%, and 24% of purchases for the period ended June 30, 2015.

The Company has three major customers that together account for 42% of accounts receivable at June 30, 2014 and 41% of the total revenues earned for the period ended June 30, 2014. 

	Accounts receivable			Revenue
Customer A		16	%		0	%
Customer B		15	%		29	%
Customer C		11	%		12	%
		42	%		41	%

The Company has two vendors that accounted for 37% and 10% of purchases for the six months ended June 30, 2014.

Revenue and Cost Recognition

The Company through its wholly owned subsidiary, ESP Petrochemicals, Inc., is a custom formulator of petrochemicals for the oil and gas industry. Since the products are specific to each location, the receipt of an order or purchase order starts the production process. Once the blending takes place, the order is delivered to the land site or dock. When the containers of blended petrochemicals are off-loaded at the dock, or are stored on the land site, a delivery ticket is obtained, an invoice is generated and Company recognizes revenue. The invoice is generated based on the credit agreement with the customer at the agreed upon price.

Revenue is recognized when title and risk of loss have transferred to the customer and when contractual terms have been fulfilled. Transfer of title and risk of loss occurs when the product is delivered in accordance with the contractual shipping terms, generally to a land site or dock. Revenue is recognized based on the credit agreement with the customer at the agreed upon price.

Stock-based Compensation

The Company accounts for stock-based compensation to employees in accordance with ASC 718 “Stock-based compensation”. Stock based compensation to employees is measured at the grant date, based on the fair value of the award, and is recognized as an expense over the requisite employee service period. The Company accounts for stock-based compensation to non-employees in accordance with ASC 505-50 “Equity-based payments to non-employees”. Equity instruments issued to non-employees are valued at the earlier of a commitment date or upon completion of the services, based on the fair value of the equity instruments and is recognized as an expense over the service period. The Company estimates the fair value of stock-based payments using the Black-Scholes option-pricing model for common stock options and warrants and the closing price of the Company’s common stock for common share issuances.

Fair Value of Financial Instruments

The carrying amounts of the Company’s financial instruments including accounts payable, accrued expenses, and notes payable approximate fair value due to the relative short period for maturity of these instruments.

Reclassification

Certain accounts in the prior period were reclassified to conform to the current period financial statements presentation.

Recently Issued Accounting Pronouncements

During the period ended June 30, 2015 and through August 17, 2015, there were several new accounting pronouncements issued by the Financial Accounting Standards Board.  Each of these pronouncements, as applicable, has been or will be adopted by the Company.  Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial statements. 

Note 2 – Going Concern

At June 30, 2015, the Company had cash and cash equivalents of $112,063 and a working capital deficit of $6,461,748. The Company believes that its existing capital resources may not be adequate to enable it to execute its business plan. These conditions raise substantial doubt as to the Company’s ability to continue as a going concern. The Company estimates that based on its current operating plan and condition, it will require additional cash resources during 2015 and 2016.

The Company’s ability to continue as a going concern is dependent on its ability to raise the required additional capital or debt financing to meet short and long-term operating requirements. The Company believes that future private placements of equity capital and debt financing are needed to fund our long-term operating requirements. The Company may also encounter business endeavors that require significant cash commitments or unanticipated problems or expenses that could result in a requirement for additional cash. If the Company raises additional funds through the issuance of equity or convertible debt securities, the percentage ownership of current shareholders could be reduced, and such securities might have rights, preferences or privileges senior to the Company’s common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, the Company may not be able to take advantage of prospective business endeavors or opportunities, which could significantly and materially restrict our operations. The Company is continuing to pursue external financing alternatives to improve our working capital position. If the Company is unable to obtain the necessary capital, the Company may have to cease operations.

Note 3 – Factoring Payable

On August 15, 2014, ESP Petrochemicals, Inc., (the “Company”) a subsidiary of ESP Resources, Inc. entered into a Purchase and Sale Agreement (the “Factoring Agreement”) with Transfac Capital, Inc., which served to replace the agreement with Crestmark. On October 1, 2014 the Factoring Agreement was amended. The Factoring Agreement has an initial term of two years (“Contract Term”) with automatically renewing successive Contract Terms.  The Factoring Agreement may be terminated by the Company at the end of a Contract Term by providing notice to Transfac no more than ninety and no less than sixty days before the end of the current Contract Term.  Transfac may terminate the Factoring Agreement at any time upon thirty days’ notice of an event of default.  Under the terms of the Factoring Agreement, Transfac may purchase any accounts submitted by the Company.  The Company shall pay a servicing fee equal to the greater of 0.75% or $10 and will be subject to others fees and charges and may be required to establish a reserve account as set forth in greater detail in the Factoring Agreement set forth as an exhibit to this current report and incorporated herein by reference.  The Factoring Agreement is secured by substantially all of the Company’s assets and personally guaranteed by David Dugas and Tony Primeaux and guaranteed by ESP Resources, Inc. and ESP Ventures, Inc. The total borrowing under the Factoring Agreement at June 30, 2015 was $866,153 with $147,574 held in restricted cash in the condensed consolidated balance sheets.

Note 4 – Property and Equipment

Property and equipment includes the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Plant, property and equipment	$	1,692,967		$	1,597,011
Vehicles		1,455,465			1,679,220
Equipment under capital lease		505,001			596,888
Equipment under capital lease – related party		31,281			31,281
Office furniture and equipment		59,131			59,131
		3,743,845			3,963,531
Less: accumulated depreciation		(2,305,326	)		(2,253,686	)
Net property and equipment	$	1,438,519		$	1,709,845

Depreciation and amortization expense was $240,628 and $315,628 for the period ended June 30, 2015 and 2014, respectively.

On March 19, 2014 the Company exchanged three vehicles with a net carrying value of $79,957, two of which were classified as assets held for sale with a combined net carrying value of $46,551, and a vehicle with a net carrying value of $33,406 in exchange for reduction of $63,787 in related long-term debt including $7,916 of accrued interest, for a capitalized lease on a vehicle in which a related party purchased, then leased the vehicle to the Company.  The Company valued the leased vehicle as equipment under capital lease of $31,281, which resulted in a gain from disposal of assets of $2,953.

On December 31, 2014 the Company agreed to extend the leases of certain specialized equipment with a fair value of $113,595 for an additional 2 years and a purchase option of $1. The Company evaluated the application of ASC 4840-30, “Leases - Capital lease” and concluded that the lease constituted capital leases.

At December 31, 2014 The Company determine that certain specialized equipment was to be sold and as such classified the $160,378 its fair value and net book value. The determination was evaluated at June 30, 2015.

In the six months ended June 30, 2014 the Company recognized a $10,825 net loss on disposed equipment.

Note 5- Short-Term Debt

On April 8, 2013, the Company executed a demand note for $150,000 with an annual interest rate of 8%. As part of the agreement the Company granted the holder 150,000 shares of Common Stock and warrants to purchase 150,000 shares of common stock at an exercise price of $0.15 per share through April 8, 2014. The Company determined the fair value of the common stock and warrants to be $10,500 and $2,458, respectively. The aggregate fair value of $12,958 was recognized as a debt discount which is being amortized to interest expense during the year ended December 31, 2013. During the six months ended June 30, 2015 the holder of $100,000 of the January 2012 Debentures agreed to convert this instrument plus accrued interest of $38,119 plus the accrued interest on a demand note of $26,149 into a demand promissory note of $150,000.

During the year ended December 31, 2014 the Company issued notes payable to finance its insurance with an aggregate principal amount of $265,486. The notes mature in one year, bear interest at 5.7% per annum and requires equal monthly payments.

The Company made aggregate repayments on its short-term debt of $142,007 during the six months ended June 30, 2015.

Note 6 - Long-Term-Debt Vendor Deferred Payment

Long-term debt on vendor deferred payments consisted of the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
The Company reached an agreement with certain vendors to exchange payables for term debentures with a annual interest rates of 5% or prime plus 1.5% payable monthly between $22,551 and $10,000 and maturing between October 2014 and September 2018	$	1,285,528		$	1,285,528
Less current maturities		(1,285,528	)		(1,285,528	)
Total long-term debt	$	-		$	-

During 2013 the Company and certain of its trade vendors agreed to convert existing accounts payable balances totaling $1,104,407 to 5% notes in the aggregate principal amount of $1,104,407 with monthly payments ranging from $1,409 to $22,551 continuing to between October 15, 2014 and September 21, 2018. The trade vendors agreed to subordinate its position to any provider of new debt, excluding a trade vendor.

On May 25, 2012, the Company reached an agreement with a Vendor to exchange accounts payable for a term debenture of $450,000 with an annual interest rate of prime plus 1.5% payable monthly of $10,000 plus interest.

The Company evaluated the application of ASC 470-50, “Modifications and Extinguishments” and ASC 470-60, “Troubled Debt Restructurings by Debtors” and concluded that the revised terms constituted a troubled debt restructuring, rather than a debt extinguishment or debt modification.

As of June 30, 2015, the Company was unable to make the required payments under the long-term debt – vendor deferred payments, so the debt is in default and is classified as current maturities. 

Note 7- Long Term-Debt

Long-term debt consisted of the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Equipment secured note payable - the note bears interest at a rate of 7.5% per annum, is payable in monthly installments of $2,522 and matured April 2015.	$	-		$	3,016
Vehicle secured notes payable - the notes bear interest at rates between 9.49% and 0% per annum, are payable in monthly installments between $698 and $1,832 and matures between August 2015 and March 2020.		187,020			385,328
On April 13, 2013, the Company borrowed $50,150 from a bank with an annual interest rate of 5.8% and a term of 36 months with payments of $1,170		25,555			31,731
Unsecured notes payable - the notes bear interest at 5% per annum and are due between April 2009 and July 2013 and are in default		343,000			359,968
Total		555,575			780,043
Less current maturities		(502,109	)		(669,005	)
Total long-term debt	$	53,466		$	111,038

Minimum principal payments due under the long-term debt for the 5 years following June 30, 2015 are as follows:

2016	$	502,109
2017		28,833
2018		8,894
2019		9,302
2020		6,437

During the six months ended June 30, 2015, the Company purchased a vehicle through the issuance of debt with a principal amount of $51,896. The note bears interest at 4.5% per annum, is secured by the underlying vehicle, matures during March 2020 and requires monthly payments of $818.

Note 8 – Capital Lease Obligations

ESP Petrochemicals leases certain office equipment, warehouse equipment and special purpose equipment and vehicles under capital leases. Long-term capital leases consisted of the following at June 30, 2015 and December 31, 2014:

	Year			Borrowed Amount		Term in months			Monthly payment			June 30, 2015			December 31, 2014
												$	-		$	-
Warehouse equipment		2013		$	26,313		36			$731			5,383			10,127
Vehicles	2010	-	2014	$	368,766	21	-	72	$887	-	1,905		28,118			48,479
Office equipment		2014		$	10,140		24			$260			8,339			9,953
Special purpose equipment	2011	-	2012	$	125,000		24			$6,065			98,133			115,000
Total capital lease													139,973			183,559
less current portion													(84,842	)		(99,240	)
Total long-term capital lease												$	55,131		$	84,319

On March 19, 2014, the Company acquired a vehicle under a lease with a related party with a 3-year term and a monthly payment of $869. The Company evaluated the application of ASC 4840-30, “Leases - Capital leases” and concluded that the lease constituted a capital lease.

On December 31, 2014 the Company extended the lease on specialized equipment for 2 years with a monthly lease payment of $6,065, bargain purchase and the Company granted to the leaseholder 200,000 shares with a fair value of $2,000 which was accounted for as stock compensation. The Company evaluated the application of ASC 4840-30, “Leases - Capital leases” and concluded that the lease constituted a capital lease. 

The future payments under the capital lease are as follows:

2015	$	84,842
2016	$	53,248
2017	$	1,883

Note 9 – Convertible Debentures

The following reflects the Convertible debentures for the periods ended June 30, 2015 and December 31, 2014.

	June 30, 2015			December 31, 2014
On January 27, 2012, the Company received proceeds of $130,000 from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest is past due and continues to accrue at 16%.	$	30,000			130,000
On December 20, 2013, the Company amended the debenture initially issued November 14, 2012 in which proceeds of $750,000 was received from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest accrues at 18%.		627,000			762,000
On November 14, 2012, the Company received proceeds of $250,000 from the sale of 16% Convertible Subordinated Debentures. Interest was due March 1, 2013, June 1, 2013 and September 1, 2013. The Company is in default and interest is past due and accrues at 18%.		250,000			250,000
Total		907,000			1,142,000
Less current maturities		(907,000	)		(1,142,000	)
Total Long-term convertible debentures	$	-		$	-

On January 27, 2012, the Company received proceeds of $130,000 from the sale of 16% Convertible Subordinated Debentures (the “January 2012 Debentures”). The January 2012 Debentures are subordinate to all other secured debt of the Company, pay 16% interest per annum in cash quarterly and are convertible into the Company’s common stock by the investors at any time at a minimum conversion price per share of $0.15. On March 1, 2013, June 1, 2013 and September 1, 2013, the Company was required to redeem one quarter, one quarter and one half, respectively, of the face value of the balance of the January 2012 Debentures in cash. In addition, the investors received 100% of the number of shares of common stock that the purchase amount would buy in warrants at the conversion price of $0.15, or a total of 866,667 warrants, with a 3-year term. The Company does not have any registration obligation in regard to the common stock. The Company analyzed the conversion option under ASC 815 and determined equity classification was appropriate. The Company then analyzed the conversion option under ASC 470-20 for consideration of a beneficial conversion feature and determined the option had intrinsic value on the date of issuance. The Company recorded a discount from the relative fair value of the warrants and the intrinsic value of the conversion option of $71,291. The Company valued the warrants using the Black-Scholes option pricing model with the following assumptions: stock price on the measurement date of $0.114; warrant term of 3 years; expected volatility of 156%; and discount rate of 0.32% and accounted for them as debt discount, which will be amortized over the term of the loan which expires September 1, 2013.  During the six months ended June 30, 2015 the holder of $100,000 of the January 2012 Debentures agreed to convert this instrument plus accrued interest of $38,119 plus the accrued interest on a demand note of $26,149 into the demand promissory note of $150,000, the Company recognized a gain on extinguishment of debt of $14,868. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors.

On November 14, 2012, the Company received proceeds of $1,000,000 from the sale of 16% Convertible Subordinated Debentures (the “November 2012 Debentures”). The November 2012 Debentures were due on March 1, 2014. The aggregate principal amount of the combined November 2012 Debentures is $1,000,000 with an interest rate of 16% per annum. The interest is payable quarterly on March 1st, June 1st, September 1st, and December 1st, beginning on March 1, 2013. The November 2012 Debentures are convertible at any time after the original issue date at a conversion price of $0.085 per share, subject to adjustments. The Company recorded a discount from the relative fair value of the conversion feature and the intrinsic value of the conversion option of $421,715. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; term of 1.5 years; expected volatility between 112% and 159%; and discount rate of 0.22% and accounted for them as debt discount, which will be amortized over the term of the loan which expired March 1, 2014. The Company analyzed the conversion option under ASC 815 and determined and recorded $449,840 derivative liability. The Company, in its sole discretion, may choose to pay interest in cash, shares of Common Stock, or in combination thereof. At the Company’s election, it may, at any time after the six-month anniversary of the transaction’s closing date, deliver a notice to the holders to redeem the then-outstanding principal amount of the November 2012 Debentures for cash. In the event the Company defaults, the outstanding principal amount of the November 2012 Debentures, plus accrued but unpaid interest, liquidated damages and other amounts owing in respect thereof through the date of acceleration, shall become, at the holders’ election, immediately due and payable in cash. In addition, the investors received 100% of the number of shares of common stock that the purchase amount would buy in warrants at the conversion price of $0.09, or a total of 11,764,706 warrants with a 5-year term. The Company recorded a discount from the relative fair value of the warrants and the intrinsic value of the conversion option of $208,685. The Company estimated the fair value of these derivatives using a Multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; warrant term of 5 years; expected volatility between 112%-593%; and discount rate of 0.63% and accounted for them as debt discount, which will be amortized over the term of the loan which expires March 1, 2014. The Company analyzed the warrants under ASC 815 and determined and recorded a $222,603 derivative liability. The November 2012 Debentures are secured by the remaining unencumbered assets of the Company. The Company’s subsidiary companies guaranteed the security agreement by agreeing to act as surety for the payment of the November 2012 Debentures. As further consideration, the Company issued a combined total of 4,000,000 shares of common stock to the investors, which the Company recorded as a debt discount $299,600 at issuance and will amortize the debt discount over the term of the debt. For the year ended December 31, 2013, the Company amortized $5,912. The Company took all actions necessary to nominate and recommend shareholder approval for the appointment of one director selected by Hillair Capital Management LLC to ESP’s Board of Directors. Hillair declined the board seat. In conjunction with this debenture, the Company paid $70,000 of professional fees and record these fees as debt discount to be amortized over the term of the debenture. The Company determined that the debenture and warrant had derivative features and derivative liabilities were established for each.

On September 30, 2013 the Company agreed with its convertible debenture holders to amend and restate the November 2012 Debenture. The September 1, 2013 payment obligation was extended and deferred to $375,000 on December 1, 2013 and $625,000 on March 1, 2014 plus accrued interest; the conversion price was amended and restated to $0.05 from $0.085; the related warrants exercise price per share of the common stock was amended and restated to $0.075 from $0.09. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors and concluded that the revised terms did not constitute a substantial modification or a troubled debt restructuring. The amended and restated exercise price of the warrant and conversion price were valued as derivative instruments and were revalued at the fair market value of the derivative instruments at September 30, 2013.

On December 20, 2013 the Company agreed with one of its convertible debenture holders to amend and restate the November 2012 Debenture amended previously on September 30, 2013. The December 1, 2013 payment obligation was extended and deferred to $281,250 on June 1, 2014 and $468,750 on September 1, 2014 plus accrued interest. The Company issued 5,000,000 Warrants with an exercise price per share of the Common Stock $0.075 and a term of 5 years. The amended and restated exercise price of the Warrant and conversion price were valued as derivative instruments and were revalued at the fair market value of the derivative instruments at December 20, 2013 as debt discount. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; term of 1.5 years; expected volatility between 123% and 143% and accounted for them as debt discount, which will be amortized over the term of the loan which expires September 1, 2014. The Company analyzed the conversion option under ASC 815 and determined and recorded derivative liability of these warrants at $13,365 and included in Debt discount. The Company estimated the conversion option of this debt conversion feature at $158,612 and included in debt discount. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors and concluded that the revised terms constituted a substantial modification which resulted in a debt extinguishment. The Company recognized a loss on the extinguishment of $310,767 during 2013. Accrued interest of $12,000 was incorporated into the reissued convertible debenture principal amount.  

On December 1, 2013 the Company failed to make the amended principal payment on one if its convertible debentures dated November 14, 2012 amended on September 30, 2013. This convertible debenture is now in default. Under the terms of the convertible debenture all principal payments are now due and are reflected as current and the interest rate increased to 18%.

As of June 30, 2015 these convertible debentures are in default and have been classified as current maturities.

Note 10 – Derivative liability

The Company evaluated whether its warrants and convertible debt instruments contain provisions that protect holders from declines in its stock price or otherwise could result in modification of either the exercise price or the shares to be issued under the respective warrant agreements. The November 14, 2012 16% convertible debenture and associated warrants included down-round provisions which reduce the exercise price of the warrants and the conversion price of the convertible instrument if the company either issues equity shares for a price that is lower than the exercise price of those instruments or issues new warrants or convertible instruments that have a lower exercise price. The Company determined that a portion of its outstanding warrants and conversion instrument contained such provisions thereby concluding they were not indexed to the Company’s own stock and therefore a derivative instrument in accordance with ASC 815 “Derivatives and Hedging.”

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at November 14, 2012 is as follows:

	Warrant			Debenture
Stock price		$0.07			$0.07
Term (years)		5			1.5
Volatility	112%	-	593%	112%	-	159%
Risk-free interest rate		0.22%			0.63%
Exercise prices	$0.09	to	0.00255	$0.085	to	0.055
Dividend yield		0.00%			0.00%

The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model. The fair value of these warrant and debenture liabilities at November 14, 2012 was $693,043 and the Company recorded them as derivative liabilities.

On December 20, 2013 the Company agreed with one of its convertible debenture holders to issued 5,000,000 Warrants with an exercise price per share of the Common Stock $0.075 and a term of 5 years. The Company estimated the fair value of derivative value of these warrants at $13,395. The Company estimated fair value of derivative of the conversion option of this debt at $158,612.

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at December 31, 2014 is as follows:

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.6	to	4.7		.5
Volatility	143%	-	202%	143%	-	202%
Risk-free interest rate		1.65%			0.04%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at June 30, 2015 is as follows:

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.0	to	4.1		.1
Volatility	143%	-	199%	143%	-	199%
Risk-free interest rate		1.01%			0.02%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

The Company analyzed the warrants and conversion feature under ASC 815 Derivatives and Hedging to determine the derivative liability. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model. The fair value of these derivative liabilities at December 31, 2014 was $255,168 and 203,858 at June 30, 2015. The change in the fair value of derivative liabilities resulted in a mark to market change of $51,310 and $8,383 for the period ended June 30, 2015 and 2014, respectively. 

The following table sets forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of June 30, 2015.

	Carrying Value at		Fair Value Measurement at June 30, 2015
	June 30, 2015		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	139,230	$	-	$	-	$	139,230
Derivative warrant liability	$	64,628	$	-	$	-	$	64,628
Total derivative liability	$	203,858	$	-	$	-	$	203,858

The following table sets forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of December 31, 2014.

	Carrying Value at		Fair Value Measurement at December 31, 2014
	December 31, 2014		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	181,165	$	-	$	-	$	181,165
Derivative warrant liability	$	74,003	$	-	$	-	$	74,003
Total derivative liability	$	255,168	$	-	$	-	$	255,168

Changes in the derivative liability for the periods ended June 30, 2015 and December 31, 2014 consist of:

	Six month period Ended June 30, 2015			Year Ended December 31, 2014
Beginning of year derivative liability	$	255,168		$	263,875
Change in derivative due to repayment		(50,427	)
Change in derivative liability – mark to market		(883	)		(8,707	)
Derivative liability at end of period	$	203,858		$	255,168

Note 11 – Stockholders’ Equity

Settlement of lawsuit

On April 25, 2014, the Company reached an agreement with the former owner of Turf Chemistry, Inc., Alfredo Ledesma. As part of the settlement agreement 400,000 shares of the Company’s restricted common stock were issued.

Shares issued to officers

On August 15, 2014, the Company granted 28,000,000 shares of restricted stock to David Dugas, Chief Executive Officer and 28,000,000 shares of restricted stock to Tony Primeaux Vice President for their provision of personal guarantees on the Transfac Financing Agreement.

Common stock issued for services

On August 15, 2014, the Company issued 6,000,000 shares of its common stock to a vendor for services rendered, the shares were valued at $60,000 and recorded as stock based compensation.

On September 2, 2014, the Company issued 9,500,000 shares of its common stock to a vendor for services rendered, the shares were valued at $95,000 and recorded as stock based compensation.

On December 31, 2014, the Company issued 200,000 shares of its common stock to a lease holder for services rendered, the shares were valued at $2,000 and recorded as stock based compensation.

Shares issued for forbearance agreement

On September 2, 2014, the Company issued 9,500,000 shares of its common stock to a vendor under a forbearance agreement, the shares were valued at $95,000 and recorded as stock based compensation.

Warrants issued

The following table reflects a summary of common stock warrants outstanding and warrant activity during the periods:

	Number of warrants			Weighted Average Exercise Price			Weighted Average Term (Years)
Warrants outstanding at December 31, 2013		63,092,278		$	0.16			2.21
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(2,205,238	)		(0.09	)		-
Warrants outstanding at December 31, 2014		60,887,040		$	0.16			.67
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(25,679,167	)		(0.20	)		-
Warrants outstanding at June 30, 2015		35,207,873		$	0.14			.24

The Common Stock warrants expire in years ended June 30 as follows:

Year	Amount
2015		17,443,167
2016		1,000,000
2017		11,764,706
2018		5,000,000
Total		35,207,873

Stock Option Awards

During the periods ended June 30, 2015 and June 30, 2014 the Company did not grant any stock options.

On July 29, 2011, shareholders approved the 2011 STOCK OPTION AND INCENTIVE PLAN, which authorized up to 5,000,000 options shares. Under the plan the exercise price per share for the stock covered by a stock option granted pursuant shall not be less than 100% of the Fair Market Value on the date of grant. In the case of an incentive stock option that is granted to a 10% owner, the option price of such incentive stock option shall be not less than 110% of the Fair Market Value on the grant date. The term of each stock option shall be fixed but no stock option shall be exercisable more than ten years after the date the stock option is granted. In the case of an incentive stock option that is granted to a ten percent owner, the term of such stock option shall be no more than five years from the date of grant. 

Stock option activity summary covering options is presented in the table below:

	Number of Shares			Weighted- average Exercise Price			Weighted- average Remaining Contractual Term (years)
Outstanding at December 31, 2013		52,930,000			0.12			7.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(35,000	)		(0.14	)		6.6
Outstanding at December 31, 2014		52,895,000		$	0.12			6.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(410,000	)		(0.15	)		-
Outstanding at June 30, 2015		52,485,000		$	0.12			6.5
Exercisable at June 30, 2015		49,685,000		$	0.12			6.4
Exercisable at December 31, 2014		50,095,000		$	0.12			6.9

A summary of the Company’s nonvested options at June 30, 2015, and changes during the six month period ended June 30, 2015, is presented below:

	Options		Weighted Average Grant Date Fair Value
Non-vested, beginning of period		2,800,000	$	0.12
Granted		-	$	-
Vested		-	$	-
Forfeited		-	$	-
Non-vested, end of period		2,800,000	$	0.12

The following tables summarize information about stock options outstanding and exercisable at June 30, 2015:  

			Options Outstanding at June 30, 2015
Range of  Exercise Prices			Number  Outstanding		Weighted  Remaining  Contractual  Life (years)	Weighted  Average  Exercise  Price		Aggregate  Intrinsic Value(1)
$0.09	to	$0.10		28,250,000	7.2	$	0.10	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		52,485,000	6.5	$	0.12	$	-

			Options Exercisable at June 30, 2015
Range of Exercise Prices			Number Exercisable		Weighted Remaining Contractual Life (years)	Weighted Average Exercise Price		Aggregate Intrinsic Value(1)
$0.09	to	$0.10		25,450,000	7.2	$	0.09	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		49,685,000	6.4	$	0.12	$	-

(1) The aggregate intrinsic value in the table represents the difference between the closing stock price on June 30, 2015 and the exercise price, multiplied by the number of in-the-money options that would have been received by the option holders had all option holders exercised their options on June 30, 2015. No options were exercised during the six month period ended June 30, 2015.

During the six month period ended June 30, 2015, the Company recognized stock-based compensation expense of $137,635 related to stock options. As of June 30, 2015, there was approximately $546,688 of total unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over the remaining vesting period.

During the six month period ended June 30, 2014, the Company recognized stock-based compensation expense of $352,322 related to stock options. As of June 30, 2014, there was approximately $1,037,681 of total unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over the remaining vesting period. The aggregate intrinsic value of these options was $0 at June 30, 2014.

Note 12 – Related Party Transactions

As of June 30, 2015 and December 31, 2014, the Company had balances due to related parties as follows:

	June 30, 2015		December 31, 2014
Due to officer	$	376,395	$	356,583
Due to ESP Enterprises		55,790		55,790
Total due to related parties	$	432,185	$	412,373

The above balances are unsecured, due on demand and bear no interest.

On August 15, 2014 the Company granted 28,000,000 shares of restricted stock to David Dugas, Chief Executive Officer and 28,000,000 shares of restricted stock to Tony Primeaux Vice President for their provision of personal guarantees on the Transfac Financing Agreement.

On March 19, 2014 the Company acquired a vehicle under a lease with a related party with a 3 year term and a monthly payment of $869. The Company evaluated the application of ASC 440-30, “Leases - Capital lease” and concluded that the lease constituted a capital lease.

On June 1, 2013, the Officers agreed to defer a portion of their salaries until such time as cash flow allowed. As of June 30, 2015, $106,667 has been deferred and reflected as a liability due to related parties.

Note 13 – Commitments and Contingencies

Legal proceedings 

Daniel A. Spencer v. ESP Advanced Technologies, Inc.

The District Court of Caddo Parish, Louisiana entered a default judgment in favor of Daniel Spencer and against ESP Advanced Technologies, Inc. on October 17, 2013 for $3,500,000, together with future interest from October 14, 2013, until paid, at a rate of 20% per annum for default after service. All of the operations of ESP Advanced Technologies, Inc. were discontinued on June 11, 2013. The Company believes this judgment is without merit and will vigorously pursue post-judgment remedies to set aside the judgment and have it annulled under Louisiana law. Management does not consider the potential for loss to be probable. Accordingly, the judgment amount was not accrued.

ESP Petrochemicals, Inc. v. Shane Cottrell, Platinum Chemicals, LLC, Ladd Naquin, Joe Lauer, Patrick Williams, Ralph McClelland and Ronald Walling

On March 2, 2012, the Company filed a trade secret infringement lawsuit to protect its rights against a former employee, a competitor and officers of the competitor. On November 21, 2012, an Agreed Final Judgment was entered in the lawsuit against the Defendants. Under the terms of the Agreed Final Judgment, the Defendants cannot offer or sell any chemical product or related services to a number of entities or in conjunction with any operations within designated Texas Railroad Commission districts for specified periods of time as long as ESP Petrochemicals is in conformance with the terms of the Agreed Final Judgment. The name of the entities, the lists of designated districts and the specific time periods are delineated in the Agreed Final Judgment. Additionally, the Defendants are not to solicit or recruit any ESP Petrochemical employees, they must turn over any “ESP Information” (as that term is described in the Agreed Final Judgment) and they cannot directly or indirectly, offer, market, advertise, promote or otherwise describe in any way a product to a customer, prospective customer or third party, as being derived from ESP Petrochemical formula or an equivalent.

Alfredo Ledesma and Turf Chemistry, Inc. v. ESP Resources, Inc., ESP Petrochemicals, Inc.and Gerard Allen Primeaux

On June 16, 2011, Alfredo Ledesma and Turf Chemistry, Inc. filed their original Petition against ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux in the District Court, 93rd Judicial District, Hidalgo County, Texas. On August 19, 2011, ESP Resources, Inc. filed its Original Answer to the Original Petition. On January 23, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their First Amended Original Petition. On April 11, 2012, Gerard Primeaux filed his Original Answer. On May 10, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their Second Amended Original Petition. On January 17, 2014, Alfredo Ledesma and Turf Chemistry, Inc. filed their Third Amended Original Petition. The Petition alleged that ESP had breached, by failing to satisfy the terms of the agreement and pay the agreed upon amounts, the letter of intent to enter into an Asset Purchase Agreement between ESP and Ledesma and Turf, whereby ESP agreed to acquire the assets and liabilities of Turf and relieve Ledesma of certain debt obligations. On February 14, 2014, ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux filed their First Answer, Special Exceptions, Affirmative Defenses and Counterclaims. On or about April 25, 2014, all parties, without admitting liability, entered into and executed a Settlement Agreement and Release of Claims. The Settlement Agreement was fully satisfied during the three months ending March 31, 2015.

Madoff Energy Holdings, LLC v. ESP Resources, Inc.

On September 4, 2013, Madoff Energy Holdings, LLC filed its Original Petition against ESP Resources, Inc. in the District Court, 295th Judicial District, Harris County, Texas. On October 1, 2013, ESP filed its Answer. On November 25, 2013, Madoff filed its First Amended Petition alleging that ESP failed to repay a Promissory Note, executed on April 30, 2009, in sum of $87,190.00, plus interest on any unpaid balance owed at the rates of 5% per annum from October 30, 2008 to April 30, 2009, and 18% per annum after April 30, 2009.  On or about March 19, 2014, Madoff filed a Motion for Summary Judgment. On or about March 24, 2014, ESP filed its Response. On April 7, 2014, the Court issued an Order Granting Madoff’s Motion for Summary Judgment and granting damages in the principal sum of $122,939.68; attorneys fees in the amount of $12,860.70, plus $10,000.00 should the judgment be appealed to the Texas Court of Appeals, plus $7,500.00 should the judgment be appealed to the Texas Supreme Court; costs of court; and post-judgment interest at 5% per annum on the total amount of the judgment from the date immediately following entry of the judgment until paid. On April 15, 2014, ESP filed its Notice of Appeal of the Final Judgment with the First Court of Appeals, Houston, Texas. On June 30, 2014, ESP filed its Brief for the Appellant. On July 30, 2014, Madoff filed its Brief for the Appellee. On August 18, 2014, ESP filed its Reply Brief for the Appellant. In August 2014, Madoff and ESP, in order to avoid the further expense of litigation, jointly prepared a Forbearance and Payment Agreement, effective August 11, 2014, whereby ESP agreed to pay Madoff $130,000.00 pursuant to a payment schedule of $30,000.00 per month for eleven months. On September 3, 2014, Andrew Madoff, CEO of Madoff Energy Holdings, Inc., died. On September 18, 2014, Madoff and ESP filed with the First Court of Appeals a Joint Appellant and Appellee Motion to Abate the Appeal to preserve the rights of both parties until such time as the Forbearance and Payment Agreement could be executed. On September 23, 2014, the Court issued a Writ granting the Motion to Abate the Appeal. On or about March 9, 2015, the Executor of Mr. Madoff’s Estate executed the Forbearance and Payment Agreement on behalf of the Estate. To date, ESP Resources, Inc. is making payments pursuant to the agreed upon Payment Schedule in accordance with the terms of the Forbearance and Payment Agreement. On April 21, 2015, the First Court of Appeals directed the parties to advise the Court of the status of the proceedings or file a motion to reinstate and dismiss the appeal. On May 4, 2015, Appellant ESP, through letter motion, requested that the First Court of Appeals dismiss the appeal. On May 21, 2015, the First Court of Appeals granted Appellant ESP Resources, Inc.’s Motion to Dismiss the Appeal.

BWC Management, Inc. v. ESP Resources, Inc. (f/k/a Pantera Petroleum, Inc.)

On April 25, 2013, BWC Management, Inc. filed its Original Petition against ESP Resources, Inc. in the District Court, 113th Judicial District, Harris County, Texas. On May 31, 2013, ESP Resources, Inc. filed its Original Answer. On August 5, 2014, BWC filed its Motion for Partial Summary Judgment against ESP. On August 21, 2014, BWC filed its First Amended Petition against ESP alleging that ESP had defaulted on three promissory notes documenting a series of loans with BWC as lender: a promissory note in sum of $73,006.00, due on September 30, 2012; and two promissory notes in sum of $100,000.00, each, due on September 30, 2012 when ESP allegedly failed to pay the $73,006.00 note. On August 25, 2014, ESP filed its Response to BWC’s Motion for Partial Summary Judgment. On August 25, 2014, BWC filed its Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 27, 2014, ESP filed its Sur Reply to BWC’s Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 28, 2014, ESP filed a No-Evidence Motion for Summary Judgment against BWC. On September 4, 2014, BWC filed its Response to ESP’s No-Evidence Motion for Summary Judgment. On September 12, 2014, ESP filed its Reply to BWC’s Response to ESP’s No-Evidence Motion for Summary Judgment. On September 15, 2014, the Court issued an Order denying BWC’s Motion for Summary Judgment. On October 27, 2014, the Court issued an Order denying final Summary Judgment. Trial of this action was held on March 30 and March 31, 2015 resulting in a verdict for BWC Management, Inc. On May 8, 2015, the Court issued a Final Judgment and Order disposing of all parties and all claims and was appealable by ESP. On June 5, 2015, ESP filed a Motion for a New Trial. On June 19, 2015, BWC filed its Response to ESP’s Motion for a New Trial. On July 9, 2015, ESP filed its Reply to BWC’s Response to ESP’s Motion for a New Trial. On July 10, 2015, the Court issued an order denying ESP Resources, Inc.’s Motion for a New Trial.

Note 14 – Gain on Extinguishment of Debt

During the six months ended June 30, 2015 the Company reached final settlement with certain vendors with a liabilities of $320,795 with payments of $138,093; the final payment on the Alfredo Ledesma settlement with liabilities of $38,937 with a final payment of $7,500; the net liabilities from discontinued operations reduced the liabilities from $18,095.12 with the payments of $2,378.35 and the restructuring of convertible debenture and accrued interest of $314,868 with a new demand note of $300,000 resulting in a gain from extinguishment of debt of $244,742 for the six month period ended June 30, 2015.

Note 15 – Guarantee Liability

On November 3, 2008, ESP provided a guarantee to a director of Aurora and Boreal who loaned $120,000 to Aurora and Boreal. ESP provided this guarantee to encourage the director’s continued employment and commitment to the development of the concessions held by Aurora and Boreal, which the Company believed was vital to the future success of Aurora and Boreal. In the event that Aurora and Boreal did not repay the loan by the due date of June 1, 2009, ESP guaranteed to make the payment in the form of a convertible note due June 1, 2011. The convertible note is non-interest bearing and is convertible into common stock of ESP at $1.20 per share. In exchange for issuing the convertible note to the director, ESP will receive the right to receive payments under the director’s note receivable from Aurora and Boreal.

ESP recorded the fair value of the guarantee liability at $48,000, which represented the fair value of the note receivable from Aurora and Boreal which ESP would take over from the director. On June 1, 2009 when Aurora and Boreal did not make the required payments on their notes payable to the director, ESP determined that the value of the guarantee liability should be increased to the full face amount of the guaranteed note of $120,000, resulting in a loss on guarantee liability of $72,000 during the year ended December 31, 2010. There have been no changes in the matter during 2013 and 2014, hence the balance remains same.

ITEM 2. – MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

FORWARD-LOOKING STATEMENTS

This quarterly report contains forward-looking statements as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the United States Securities Exchange Act of 1934. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including the risks in the section entitled “Risk Factors” in the Company’s Form 10-K, that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

Financial information contained in this quarterly report is prepared in accordance with United States generally accepted accounting principles. The following discussion should be read in conjunction with our audited consolidated financial results on Form 10-K for December 31, 2014 and the related notes that appear elsewhere in this quarterly report. As used in this quarterly report, and unless otherwise indicated, the terms “we,” “us” and “our” means ESP Resources, Inc., unless otherwise indicated.

Corporate History

We were incorporated on October 27, 2004, in the State of Nevada. Our principal offices are located at 1003 South Hugh Wallis Road Suite G-1 Lafayette, Louisiana 70508.

Effective September 28, 2007, we completed a merger with our subsidiary, Pantera Petroleum, Inc., a Nevada corporation. As a result, we changed our name from “Arthro Pharmaceuticals, Inc.” to “Pantera Petroleum, Inc.” In addition, effective September 28, 2007, we effected a 16 for 1 forward stock split of our authorized, issued and outstanding common stock. As a result, our authorized capital increased from 75,000,000 common shares to 1,200,000,000 common shares with the same par value of $0.001. At that time, our issued and outstanding share capital increased from 6,970,909 common shares to 111,534,544 common shares.

In December 2008, the Company entered into an agreement with ESP Resources, Inc., a Delaware corporation (“ESP Delaware”), whereby the Company acquired 100% ownership of ESP Delaware in exchange for 292,682,297 common shares. As a result of this acquisition, we changed our name from “Pantera Petroleum, Inc.” to “ESP Resources, Inc.” On January 27, 2009, we effected a 1 for 20 reverse stock split of our common stock and received a new ticker symbol. The name change and reverse stock split became effective with the OTC Bulletin Board at the opening of trading on January 27, 2009 under the new symbol “ESPI” and a new CUSIP number of 26913L104.

On July 29, 2011 the shareholders decreased the authorized shares of our common stock from 1,200,000,000 shares to 350,000,000 shares and authorized a new class of preferred stock having 10,000,000 shares of stock authorized at $.001 par value.

Any reference herein to “ESP Resources,” the “Company,” “we,” “our” or “us” is intended to mean ESP Resources, Inc., a Nevada corporation, including our wholly-owned subsidiaries including, ESP Petrochemicals, Inc. of Louisiana (“ESP Petrochemicals”), ESP Ventures, Inc. of Delaware (“ESP Ventures”), ESP Corporation, S.A., a Panamanian corporation (“ESP Corporation”) and ESP Payroll Services, Inc. of Nevada (“ESP Payroll”), unless otherwise indicated and two partially owned subsidiaries of which the Company ceased operations on June 11, 2013, ESP Advanced Technologies, Inc. of Delaware, and ESP Facility & Pipeline Services, Inc. of Delaware.

Our Business

We are a custom formulator of specialty chemicals for the oil and gas industry. We offer analytical services and essential custom-blended chemicals for oil and gas wells, which improve production yields and overall efficiencies. Our mission is to provide applications of surface chemistry to service all facets of the fossil energy business via a high level of innovation. We focus our efforts on solving problems at the drilling site or well with a highly complex integration of chemicals and processes to achieve the highest level of quality petroleum output. Management believes our constant management of our chemical applications at the drilling site or well, continuous monitoring of the productivity and outflow levels of oil and gas and listening to our customers and their changing demands, and applying our skills as chemical formulators enables us to measure the impact we have in our business.

We act as manufacturer, distributor and marketer of specialty chemicals and supply specialty chemicals for a variety of oil and gas field applications including killing bacteria, separating suspended water and other contaminants from crude oil, separating the oil from the gas, pumping enhancement, pumping cleaning, as well as a variety of fluids and additives used in the drilling and production process. At each well in production, there exist a number of factors that make each site unique. These include the depth of the producing formation, the bottom-hole temperature of the producing well, the size of the wellhead through which the producing fluids flow, the size and pressure ratings of the production equipment, including the separators, heater-treaters, compression equipment, size of production tubulars in the wellbore, size of the storage tanks on the customers’ location, and pressure ratings of the sales lines for the oil and gas products. Wells that are operating short distances from each other in the same field can have very different characteristics. This variance in operating conditions, chemical makeup of the oil, and the usage of diverse equipment requires a very specific chemical blend to be used if maximum drilling and production well performance is to be attained.

Our customers are typically oil and gas exploration customers who plan and finance the well, drill the well and then operate the well through the point of full depletion. Of the various stages involved in the development of an oil and gas well, we offer our products and services in principally two main areas: production petrochemicals and completion petrochemicals.

Production Petrochemicals

After a well has been completed and placed into production, we supply production chemicals and services that are designed to be administered throughout the life of the well. Through the utilization of over 100 base chemicals, we replicate well conditions, analyze the properties of the well, determine the precise mix of chemicals to treat the well and then inject the chemicals in small batches via our specialized equipment. Our production petrochemicals include, but are not limited to, drilling chemicals, waste remediation chemicals, cleaners and waste treatment chemicals as follows:

● Surfactants that are highly effective in treating production and injection problems at the customer wellhead;

● Well completion and work-over chemicals that maximize productivity from new and existing wells;

● Bactericides that kill water borne bacterial growth, thus preventing corrosion and plugging of the customer wellhead and flowline;

● Scale compounds that prevent or treat scale deposits;

● Corrosion inhibitors, which are organic compounds that form a protective film on metal surfaces to insulate the metal from its corrosive environment;

● Antifoams that provide safe economic means of controlling foaming problems;

● Emulsion breakers, which are chemicals specially formulated for crude oils containing produced waters;

● Paraffin chemicals that inhibit and/or dissolve paraffin to prevent buildup (their effectiveness is not diminished when used in conjunction with other chemicals); and

● Water clarifiers that solve any and all of the problems associated with purifying effluent water and that improve appearance.

Our first goal is to solve our customers’ problems at the well and optimize drilling or production and, secondly, the sale of product. Typically, our service personnel gathers information at a well and enter this data into the analytical system at each of our 4 respective district offices located in Rayne, Louisiana; Pharr, Texas; Victoria, Texas and Center, Texas. The analytical system provides testing parameters and reproduces conditions at the wellhead. This allows our technical team and chemists to design and test a new chemical blend in a very short period of time. In many cases, a new blend may be in service at the well in as little as 24 hours.

Once the chemical blend has been formulated and determined, the chemical is placed in service at the wellhead of the customer by delivering a storage tank, called a “day tank,” at the customer’s well-site location and filling the tank with the custom blended chemicals. The tank is tied to a pressure pump that provides the pumping capacity to deliver the chemical into the wellhead for the customer. This unique process shortens the chemical development time frame from what might have been as long as two months or more to a few days or hours. Management believes that the service, response times and chemical products that the Company strives to provide its customers is a differentiating factor within the industry.

Completion Petrochemicals

Our completion petrochemicals are primarily used during the completion stage of oil or gas wells that are drilled in various shale formations in the United States. After a well is drilled, we deliver a specialized chemical equipment trailer, or chemical delivery unit, that is used in the pumping of chemicals during the hydraulic fracturing process. Hydraulic fracturing, or fracking, is a technology used to inject a fluid into a well to create fractures in the minerals containing the oil or gas. Usually the fluid is water, sand, and chemical additives. Our chemical delivery units pump chemicals to treat the fluids used in the completion of the oil and gas wells during the fracking process. Each unit consists of a trailer mounted pumping system with associated power generation components, a chemical supply trailer, safety and spill prevention equipment, communication devices, and computerized reporting equipment.

The units pump treatment chemicals to eliminate the bacteria contamination present in the fluids used in the fracking process. We have developed a specialized chemical formulation that is intended to provide for a longer term bacteria-contamination elimination time frame than what is currently supplied by our competitors. The longer term time frame is designed to provide our customers significant cost savings in the removal treatment of contaminants from the oil and gas well-stream once the well has been placed into production.

Once the completion work is concluded at the well, which typically takes between 2-5 days, our chemical delivery units are moved out of the location and sent back to the appropriate district office for the next completion job.

Competition

The Company currently shares market distribution with several, significantly larger participants, including Baker Petrolite (a Baker Hughs company), Nalco Energy Services (an Ecolab company), Champion Technologies, Inc., X-Chem, CESI Chemicals, Inc., BJ Services (a Baker Hughes company) and Multi-Chem Group (a Halliburton company). There are also many small to medium sized businesses that are regionally located. To be competitive in the industry, we need to continually enhance and update our chemical processes and technologies to address the evolving needs of our customers for increased production efficiency. We continue to allocate resources toward the development of new chemical processes to maintain the efficacy of our technology and our ability to compete so that we can continue to grow our business.

Our competitive strategy is to provide better service and response times, combined with superior chemical solutions that can be translated into savings for our customers. We believe that we are able to solve these problems due to the following competitive advantages:

● Personalized service;

● Expedited field analysis; and

● Convenience and access to the best available market rates and products that we can produce and identify for our customers that are currently offered by our suppliers.

Additionally, new companies are constantly entering the market. This growth and fragmentation could also have a negative impact on our ability to obtain additional market share. Larger companies, which have been engaged in this business for substantially longer periods of time, may have access to greater financial resources and industry relationships. These companies may have greater success in recruiting and retaining qualified employees in specialty chemical manufacturing and marketing, which may give them a competitive advantage.

Results of Operations

You should read the following discussion of our financial condition and results of operations together with the unaudited interim consolidated financial statements and the notes to the unaudited interim consolidated financial statements included in this quarterly report.  This discussion contains forward-looking statements that reflect our plans, estimates and beliefs.  Our actual results may differ materially from those anticipated in these forward-looking statements.

Continuing Operations for the three months and six months ended June 30, 2015 compared to three and six months ended June 30, 2014

The following table summarizes the results of our operations during the six months ended June 30, 2015 and 2014, and provides information regarding the dollar and percentage increase or (decrease) from 2015 to 2014: 

	Six months ended June 30,						$ Increase			% Increase
	2015			2014			(Decrease)			(Decrease)
Sales	$	3,794,195		$	5,781,124		$	(1,986,929	)		(34	)%
Cost of goods sold		1,186,264			2,590,694			(1,404,430	)		(54	)%
Gross profit		2,607,931			3,190,430			(582,499	)		(18	)%
Total general and administrative expenses		2,995,317			3,743,445			(748,128	)		(20	)%
Depreciation and amortization expense		240,628			315,628			(75,000	)		(24	)%
Loss from disposal of assets		10,825			18,915			(8,090	)		(43	)%
Total other income (expense)		(15,941	)		(534,845	)		518,904			(97	)%
Net Income (Loss)	$	(654,780	)	$	(1,422,403	)	$	767,623			(54	)%

The following table summarizes the results of our operations during the three months ended June 30, 2015 and 2014, and provides information regarding the dollar and percentage increase or (decrease) from 2015 to 2014:

	Three months ended June 30,						$ Increase			% Increase
	2015			2014			(Decrease)			(Decrease)
Sales	$	1,582,254		$	2,628,359		$	(1,046,105	)		(40	)%
Cost of goods sold		573,514			1,120,351			(546,837	)		(49	)%
Gross profit		1,008,740			1,508,008			(499,268	)		(33	)%
Total general and administrative expenses		1,443,001			1,885,341			(442,340	)		(23	)%
Depreciation and amortization expense		119,093			135,628			(16,535	)		(12	)%
Loss from disposal of assets		10,825			2,746			8,079			294	%
Total other income (expense)		(105,805	)		(150,387	)		44,582			(30	)%
Net Income (Loss)	$	(669,984	)	$	(666,094	)	$	(3,890	)		1	%

Sales

Sales were $3,794,195 for the six months ended June 30, 2015, compared to $5,781,124 for the same period in 2014, a decrease of $1,986,929, or 34%.  The decrease was mainly due to a $2,000,000 decrease in sales volume from three major customers in the Eagle Ford and in the North Texas shale regions.

Sales were $1,582,254 for the three months ended June 30, 2015, compared to $2,628,359 for the same period in 2014, a decrease of $1,046,105, or 40%.  The decrease was mainly due to a $1,000,000 decrease in sales volume from four major customers in the Eagle Ford and in the North Texas shale regions.

Cost of Goods Sold and Gross Profit

Cost of goods was $1,186,264, or 31% of net sales, for the six months ended June 30, 2015, compared to $2,590,694 or 45% of net sales, for the same period in 2014.  Gross profit was $2,607,931, or 69% of net sales, for the six months ended June 30, 2015, compared to $3,190,430, or 55% of net sales, for the same period in 2014.  The 18% decrease in gross profit for the six month period in 2015 is the result several factors.  The main contributing factor to the decrease in gross profit rate was the net effect of reduce sales from four major customers and our recent increases in prices of 7% to 28% on many of our products and the change in sales mix to higher margin products.  

Cost of goods was $573,514, or 36% of net sales, for the three months ended June 30, 2015, compared to $1,120,351 or 43% of net sales, for the same period in 2014.  Gross profit was $1,008,740, or 64% of net sales, for the three months ended June 30, 2015, compared to $1,508,008, or 57% of net sales, for the same period in 2014.  The 33% decrease in gross profit rate for the three month period in 2015 is the result several factors.  The main contributing factor to the decrease in gross profit was due to the net effect of reduce sales from four major customers and our recent increases in prices of 7% to 28% on many of our products and the change in sales mix to higher margin products.  

General and Administrative Expenses

General and administrative expenses decreased by $748,128 for the six months ended June 30, 2015, compared to the same period in 2014.  The decrease in general and administrative expenses was primarily due to a reduction in auto and related costs, and the approximately $272,000 reduction in stock compensation.

General and administrative expenses decreased by $442,340 for the three months ended June 30, 2015, compared to the same period in 2014.  The decrease in general and administrative expenses was primarily due to a reduction in auto and related costs, and the approximately $132,000 reduction in stock compensation.

Net loss

The Company’s net loss increased by $767,623 for the six months ended June 30, 2015, as compared to a net loss from continued operations for the same period in 2014.  The primary reason for the change in the net income was due to decreased general and administration cost and the gain on the extinguishment of debt of $244,742 in the six month period ended June 30, 2015 compared to the same period in 2014.

The Company’s net loss decreased by $3,890 for the three months ended June 30, 2015, as compared to a net loss from continued operations for the same period in 2014.  

Modified EBITDA

Modified Earnings before interest (including factoring fees), taxes, depreciation amortization and stock-based compensation (Modified EBITDA”) is a non-GAAP financial measure.  We use Modified EBITDA as an unaudited supplemental financial measure to assess the financial performance of our assets without regard to financing methods, capital structures, taxes or historical cost basis; our liquidity and operating performance over time in relation to other companies that own similar assets and that we believe calculate Modified EBITDA in a similar manner; and the ability of our assets to generate cash sufficient for us to pay potential interest costs.  We also understand that such data is used by investors to assess our performance.  However, the term Modified EBITDA is not defined under generally accepted accounting principles and Modified EBITDA is not a measure of operating income, operating performance or liquidity presented in accordance with generally accepted accounting principles. When assessing our operating performance or liquidity, investors should not consider this data in isolation or as a substitute for net income, cash flow from operating activities, or other cash flow data calculated in accordance with generally accepted accounting principles.

Modified EBITDA for the Six months ended June 30, 2015 was $(184,144) compared to $(67,551) for the same period in 2014, with a change of $(114,593).

	Six months ended June 30,
	2015			2014
Net loss	$	(654,780	)	$	(1,422,403	)
Add back interest and factoring expense, net of interest income		322,425			346,042
Add back depreciation and amortization		240,628			315,628
Add back amortization debt discount					208,393
Add back stock-based compensation		202,635			474,406
Add back change in derivative liability		(51,310	)		8,383
Deduct gain on extinguishment of debt		(244,742	)		-
Modified EBITDA	$	(184,144	)	$	(69,551	)

Modified EBITDA for the three months ended June 30, 2015 was $(327,755) compared to $(128,157) for the same period in 2014, with a change of $(199,598).

	Three months ended June 30,
	2015			2014
Net loss	$	(669,984	)	$	(666,094	)
Add back interest and factoring expense, net of interest income		223,475			170,146
Add back depreciation and amortization		119,093			135,628
Add back amortization debt discount		-			56,269
Add back stock-based compensation		101,214			233,337
Add back change in derivative liability		(54,807	)		(57,443	)
Deduct gain on extinguishment of debt		(46,746	)		-
Modified EBITDA	$	(327,755	)	$	(128,157	)

Cash Flow Used by Operating Activities

Operating activities provided cash of $790,554 for the six months ended June 30, 2015, compared to cash provided of $1,494,048 for the same period in 2014.  The decrease in cash provided by operations during the six months ended June 30, 2015 was primarily due to a increase in inventory.

Cash Flow Used in Investing Activities

Investing activities provided cash of $277,587 for the six month period ended June 30, 2015, compared to cash used in investing activities of $234,311 for the six month period ended June 30, 2014.  The change in net cash in investing activities during the six months ended June 30, 2015 was a result of increase in cash provided by restricted cash and the proceeds from the sale of equipment.

Cash Flow Provided by Financing Activities

Financing activities used cash of $1,077,958 for the six months ended June 30, 2015, compared to cash used pm financing activities of $1,265,237 for the six months ended June 30, 2014.  The change in net cash from financing activities was from repayment of long-term and short-term debt activities during the six months ended June 30, 2014. 

Liquidity and Capital Resources

As of June 30, 2015, our total assets were $4,497,482 and our total liabilities were $9,489,415.  We had cash of $112,063, current assets of $2,919,070, and current liabilities of $9,380,818.  We had a working capital deficit of $6,461,748 on that date.  We will require additional capital to fund our losses and working capital deficits and to grow our business to recapture our decline in sales.  For this most recent quarter, we remained dependent on our working capital lines and extended credit terms with our vendors to meet our cash requirements.  We expect this situation to continue for the foreseeable future until we are able to raise additional capital on acceptable terms.  While we anticipate further increases in operating cash flows, we will continue to require additional capital through equity financing and/or debt financing, if available, which may result in further dilution in the equity ownership of our shares and will continue to rely on our extended payment terms with vendors.  There is still no assurance that we will be able to maintain operations at a level sufficient for an investor to obtain a return on his investment in our common stock or for our vendors to continue cooperating with us as they have in the past.  Furthermore, we may continue to be unprofitable and/or unable to grow our sales at a level where we can become profitable.

Working Capital

We estimate that our general operating expenses for the next twelve month period will decrease as we focus on reducing expenses and achieving profitability based on our current level of sales.  Professional and consulting fees, administrative salaries, telephone, office and warehouse rent, and ongoing legal, accounting, and audit expenses to comply with our reporting responsibilities as a public company under the Securities Exchange Act of 1934, as amended, are expected to remain the same.  Any increase in field operating expenses will be due to increases in field operating personnel, travel and other sales support expenses only as the demands from current and new customers increase. 

Cash Requirements

Our plan of operations for the next twelve months involves the growth of our production petrochemical business and to recapture our completion petrochemical business through the expansion of regional sales, and the research and development of new chemical and analytical services.  As of June 30, 2015, our Company had cash of $112,063 and a working capital deficit of $6,461,748.

We generated a net loss of $654,780 for the six month period ended June 30, 2015.  We estimate that our needs for additional capital to fund our working capital deficits, become current with our vendors, pay off certain debts and implement our growth plans for the next twelve month period to be $5,000,000 to $7,000,000.   However, if any growth and expansion requires more capital or operating expenses and/or capital expenditures exceed estimates, we will require additional monies during the next twelve months to execute our business plan.  To date, we have been dependent on debt financing and special payment terms with our vendors to meet our cash requirements.  We expect this situation to continue for the foreseeable future.  There can be no assurance that we will be successful in raising the required additional capital or that actual cash requirements will not exceed our estimates.  These funds may be raised through equity financing and/or debt financing which may result in further dilution in the equity ownership of our shares.  There is still no assurance that we will be able to maintain operations at a level sufficient for an investor to obtain a return on his investment in our common stock.  Furthermore, we may continue to be unprofitable and/or unable to grow our sales at a level where we can become profitable.

We can offer no assurance that our company will generate cash flow sufficient to continue our growth, achieve consistently profitable operations or that we can meet or exceed our projections.  If our expenses exceed estimates, we will require additional monies during the next twelve months to execute our business plan.  There are no assurances that we will be able to obtain funds required for our continued operation.  There can be no assurance that additional financing will be available to us when needed or, if available, that it can be obtained on commercially reasonable terms.  If we are not able to obtain additional financing on a timely basis, we will not be able to meet our other obligations as they become due and we will be forced to scale down our operations. 

Going Concern

Due to our net losses, negative cash flow and negative working capital as of June 30, 2015, our independent auditors included an explanatory paragraph regarding substantial doubt about our ability to continue as a going concern in their report on our audited financial statements for the year ended December 31, 2014.

Since inception and through June 30, 2015, we have incurred losses totaling $27,513,165.  Because of these historical losses, we will require additional working capital to develop our business operations. We intend to raise additional working capital on the most commercially reasonable terms through private placements, bank financing and/or advances from related parties or shareholder loans.

The continuation of our business is dependent upon obtaining further financing and achieving consistently profitable operations.  The issuance of additional equity securities by us could result in a significant dilution in the equity interests of our current or future stockholders.  Obtaining commercial loans, assuming those loans are available, will increase our liabilities and future cash commitments. 

There are no assurances that we will be able to achieve a level of revenue adequate to generate profitability.  To the extent that funds generated from operations and any private placements and/or bank financing are insufficient, we will have to raise additional working capital.  No assurance can be given that additional financing will be available, or if available, will be on terms acceptable to us.  If adequate working capital is not available we may not be able to grow our business and increase cash flow from our operations.

These conditions raise substantial doubt about our ability to continue as a going concern.  The financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might be necessary should we be unable to continue as a going concern.

Off-Balance Sheet Arrangements

Our company has no outstanding derivative financial instruments, off-balance sheet guarantees, interest rate swap transactions or foreign currency contracts.  Our company does not engage in trading activities involving non-exchange traded contracts.

Critical Accounting Policies and Estimates

Our discussion and analysis of our financial condition and results of operation are based upon the condensed consolidated financial statements, which have been prepared in accordance with generally accepted accounting principles in the United States of America. Preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses. There have been no changes to our critical accounting policies from those described in our annual report on Form 10-K for the year ended December 31, 2014. 

ITEM 3. – QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

ITEM 4. – CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

As required by Rule 13a-15 under the Securities Exchange Act of 1934, as of the end of the period covered by this quarterly report, we have carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures. This evaluation was carried out under the supervision and with the participation of the Company’s management, including our President and Chief Executive Officer. Based upon that evaluation, our President and Chief Executive Officer concluded that the Company’s disclosure controls and procedures are effective as of the end of the period covered by this report. There have been no changes in our internal controls over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect our internal controls over financial reporting.

Disclosure controls and procedures and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported, within the time period specified in the Securities and Exchange Commission’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Securities Exchange Act of 1934 is accumulated and communicated to management including our President and Chief Executive Officer, to allow timely decisions regarding required disclosure.

PART II - OTHER INFORMATION

ITEM 1. – LEGAL PROCEEDINGS

Daniel A. Spencer v. ESP Advanced Technologies, Inc.

The District Court of Caddo Parish, Louisiana entered a default judgment in favor of Daniel Spencer and against ESP Advanced Technologies, Inc. on October 17, 2013 for $3,500,000, together with future interest from October 14, 2013, until paid, at a rate of 20% per annum for default after service. All of the operations of ESP Advanced Technologies, Inc. were discontinued on June 11, 2013. The Company believes this judgment is without merit and will vigorously pursue post-judgment remedies to set aside the judgment and have it annulled under Louisiana law. Management does not consider the potential for loss to be probable. Accordingly, the judgment amount was not accrued.

ESP Petrochemicals, Inc. v. Shane Cottrell, Platinum Chemicals, LLC, Ladd Naquin, Joe Lauer, Patrick Williams, Ralph McClelland and Ronald Walling

On March 2, 2012, the Company filed a trade secret infringement lawsuit to protect its rights against a former employee, a competitor and officers of the competitor. On November 21, 2012, an Agreed Final Judgment was entered in the lawsuit against the Defendants. Under the terms of the Agreed Final Judgment, the Defendants cannot offer or sell any chemical product or related services to a number of entities or in conjunction with any operations within designated Texas Railroad Commission districts for specified periods of time as long as ESP Petrochemicals is in conformance with the terms of the Agreed Final Judgment. The name of the entities, the lists of designated districts and the specific time periods are delineated in the Agreed Final Judgment. Additionally, the Defendants are not to solicit or recruit any ESP Petrochemical employees, they must turn over any “ESP Information” (as that term is described in the Agreed Final Judgment) and they cannot directly or indirectly, offer, market, advertise, promote or otherwise describe in any way a product to a customer, prospective customer or third party, as being derived from ESP Petrochemical formula or an equivalent.

Alfredo Ledesma and Turf Chemistry, Inc. v. ESP Resources, Inc., ESP Petrochemicals, Inc.and Gerard Allen Primeaux

On June 16, 2011, Alfredo Ledesma and Turf Chemistry, Inc. filed their original Petition against ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux in the District Court, 93rd Judicial District, Hidalgo County, Texas. On August 19, 2011, ESP Resources, Inc. filed its Original Answer to the Original Petition. On January 23, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their First Amended Original Petition. On April 11, 2012, Gerard Primeaux filed his Original Answer. On May 10, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their Second Amended Original Petition. On January 17, 2014, Alfredo Ledesma and Turf Chemistry, Inc. filed their Third Amended Original Petition. The Petition alleged that ESP had breached, by failing to satisfy the terms of the agreement and pay the agreed upon amounts, the letter of intent to enter into an Asset Purchase Agreement between ESP and Ledesma and Turf, whereby ESP agreed to acquire the assets and liabilities of Turf and relieve Ledesma of certain debt obligations. On February 14, 2014, ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux filed their First Answer, Special Exceptions, Affirmative Defenses and Counterclaims. On or about April 25, 2014, all parties, without admitting liability, entered into and executed a Settlement Agreement and Release of Claims. The Settlement Agreement was fully satisfied during the three months ending March 31, 2015.

Madoff Energy Holdings, LLC v. ESP Resources, Inc.

On September 4, 2013, Madoff Energy Holdings, LLC filed its Original Petition against ESP Resources, Inc. in the District Court, 295th Judicial District, Harris County, Texas. On October 1, 2013, ESP filed its Answer. On November 25, 2013, Madoff filed its First Amended Petition alleging that ESP failed to repay a Promissory Note, executed on April 30, 2009, in sum of $87,190.00, plus interest on any unpaid balance owed at the rates of 5% per annum from October 30, 2008 to April 30, 2009, and 18% per annum after April 30, 2009.  On or about March 19, 2014, Madoff filed a Motion for Summary Judgment. On or about March 24, 2014, ESP filed its Response. On April 7, 2014, the Court issued an Order Granting Madoff’s Motion for Summary Judgment and granting damages in the principal sum of $122,939.68; attorneys fees in the amount of $12,860.70, plus $10,000.00 should the judgment be appealed to the Texas Court of Appeals, plus $7,500.00 should the judgment be appealed to the Texas Supreme Court; costs of court; and post-judgment interest at 5% per annum on the total amount of the judgment from the date immediately following entry of the judgment until paid. On April 15, 2014, ESP filed its Notice of Appeal of the Final Judgment with the First Court of Appeals, Houston, Texas. On June 30, 2014, ESP filed its Brief for the Appellant. On July 30, 2014, Madoff filed its Brief for the Appellee. On August 18, 2014, ESP filed its Reply Brief for the Appellant. In August 2014, Madoff and ESP, in order to avoid the further expense of litigation, jointly prepared a Forbearance and Payment Agreement, effective August 11, 2014, whereby ESP agreed to pay Madoff $130,000.00 pursuant to a payment schedule of $30,000.00 per month for eleven months. On September 3, 2014, Andrew Madoff, CEO of Madoff Energy Holdings, Inc., died. On September 18, 2014, Madoff and ESP filed with the First Court of Appeals a Joint Appellant and Appellee Motion to Abate the Appeal to preserve the rights of both parties until such time as the Forbearance and Payment Agreement could be executed. On September 23, 2014, the Court issued a Writ granting the Motion to Abate the Appeal. On or about March 9, 2015, the Executor of Mr. Madoff’s Estate executed the Forbearance and Payment Agreement on behalf of the Estate. To date, ESP Resources, Inc. is making payments pursuant to the agreed upon Payment Schedule in accordance with the terms of the Forbearance and Payment Agreement. On April 21, 2015, the First Court of Appeals directed the parties to advise the Court of the status of the proceedings or file a motion to reinstate and dismiss the appeal. On May 4, 2015, Appellant ESP, through letter motion, requested that the First Court of Appeals dismiss the appeal. On May 21, 2015, the First Court of Appeals granted Appellant ESP Resources, Inc.’s Motion to Dismiss the Appeal.

BWC Management, Inc. v. ESP Resources, Inc. (f/k/a Pantera Petroleum, Inc.)

On April 25, 2013, BWC Management, Inc. filed its Original Petition against ESP Resources, Inc. in the District Court, 113th Judicial District, Harris County, Texas. On May 31, 2013, ESP Resources, Inc. filed its Original Answer. On August 5, 2014, BWC filed its Motion for Partial Summary Judgment against ESP. On August 21, 2014, BWC filed its First Amended Petition against ESP alleging that ESP had defaulted on three promissory notes documenting a series of loans with BWC as lender: a promissory note in sum of $73,006.00, due on September 30, 2012; and two promissory notes in sum of $100,000.00, each, due on September 30, 2012 when ESP allegedly failed to pay the $73,006.00 note. On August 25, 2014, ESP filed its Response to BWC’s Motion for Partial Summary Judgment. On August 25, 2014, BWC filed its Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 27, 2014, ESP filed its Sur Reply to BWC’s Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 28, 2014, ESP filed a No-Evidence Motion for Summary Judgment against BWC. On September 4, 2014, BWC filed its Response to ESP’s No-Evidence Motion for Summary Judgment. On September 12, 2014, ESP filed its Reply to BWC’s Response to ESP’s No-Evidence Motion for Summary Judgment. On September 15, 2014, the Court issued an Order denying BWC’s Motion for Summary Judgment. On October 27, 2014, the Court issued an Order denying final Summary Judgment. Trial of this action was held on March 30 and March 31, 2015 resulting in a verdict for BWC Management, Inc. On May 8, 2015, the Court issued a Final Judgment and Order disposing of all parties and all claims and was appealable by ESP. On June 5, 2015, ESP filed a Motion for a New Trial. On June 19, 2015, BWC filed its Response to ESP’s Motion for a New Trial. On July 9, 2015, ESP filed its Reply to BWC’s Response to ESP’s Motion for a New Trial. On July 10, 2015, the Court issued an order denying ESP Resources, Inc.’s Motion for a New Trial.

Internal Revenue Service

The Internal Revenue Service (“IRS”) has alleged ESP Ventures, Inc. and ESP Petrochemicals, Inc., the Company’s subsidiaries, have failed to pay certain of their payroll taxes. The subsidiaries are working with the IRS to reach a mutually beneficial agreement.

ITEM 2. – UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None.

ITEM 3. – DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. – MINE SAFETY DISCLOSURES

Not Applicable.

ITEM 5. – OTHER INFORMATION

None.

ITEM 6. - EXHIBITS

(a) Exhibits

Exhibit Number	Description
1.1	Licensing Agreement with Peter Hughes (incorporated by reference from our Registration Statement on Form SB-2 filed on April 18, 2006)
3.1	Articles of Incorporation (incorporated by reference from our Registration Statement on Form SB-2 filed on April 18, 2006)

3.2 Amended and Restated Bylaws (incorporated by reference from our Proxy Statement filed on Janary 24, 2013)

3.3 Articles of Merger filed with the Secretary of State of Nevada on September 19, 2007 and which is effective September 28, 2007 (incorporated by reference from our Current Report on Form 8-K filed on September 28, 2007)

3.4	Certificate of Change filed with the Secretary of State of Nevada on September 19, 2007 and which is effective September 28, 2007 (incorporated by reference from our Current Report on Form 8-K filed on September 28, 2007)
4.1	Regulation “S” Securities Subscription Agreement (incorporated by reference from our Registration Statement on Form SB-2 filed on April 18, 2006)

10.1 Share Purchase Agreement dated November 21, 2007 among our company, Pantera Oil and Gas PLC, Aurora Petroleos SA and Boreal Petroleos SA (incorporated by reference from our Current Report on Form 8-K filed on November 26, 2007)

10.2 Form of Advisory Board Agreement (incorporated by reference from our Current Report on Form 8-K filed on February 4, 2008)

10.3 Equity Financing Agreement dated February 12, 2008 with FTS Financial Investments Ltd. (incorporated by reference from our Current Report on Form 8-K filed on February 15, 2008)

10.4 Return to Treasury Agreement dated February 26, 2008 with Peter Hughes (incorporated by reference from our Current Report on Form 8-K filed on February 28, 2008)

10.5 Amending Agreement dated March 17, 2008 with Artemis Energy PLC, Aurora Petroleos SA and Boreal Petroleos SA (incorporated by reference from our Current Report on Form 8- K filed on March 19, 2008)

10.6 Subscription Agreement dated February 28, 2008 with Trius Energy, LLC (incorporated by reference from our Quarterly Report on Form 10-QSB filed on April 14, 2008)

10.7 Joint Venture Agreement dated February 24, 2008 with Trius Energy, LLC (incorporated by reference from our Quarterly Report on Form 10-QSB filed on April 14, 2008)

10.8 Second Amending Agreement dated July 30, 2008 among our company, Artemis Energy PLC (formerly Pantera Oil and Gas PLC), Aurora Petroleos SA and Boreal Petroleos SA (incorporated by reference from our Current Report on Form 8- K filed on August 5, 2008)

10.9 Amended and Restated Share Purchase Agreement dated September 9, 2008 among company, Artemis Energy PLC (formerly Pantera Oil and Gas PLC), Aurora Petroleos SA and Boreal Petroleos SA (incorporated by reference from our Annual Report on for 10-KSB filed on September 15, 2008)

10.1	Agreement dated October 31, 2008 with Lakehills Production, Inc. and a private equity drilling fund (incorporated by reference from our Current Report on Form 8-K filed on November 5, 2008)
10.11	Security Purchase Agreement for 16% Subordinated Convertible Debenture Agreement and warrants

10.12 Confidential Private Placement Memorandum for Accredited Investors Only dated May 15, 2012 and Warrant Agreement

10.13 Employment Agreement Robert Geiges as Chief Financial Officer dated January 4, 2013

10.14 Resignation Notification from Robert Geiges as Chief Financial Officer received May 13, 2013, effective May 15, 2013.

10.15 Resignation Notification from William Cox as Board Member received May 13, 2013.

10.16 Factoring Agreement with Transfac Capital, Inc. (incorporated by reference from our Current Report on Form 8-K filed on October 8, 2014)

14.1 Code of Ethics (incorporated by reference from our Annual Report on Form 10-KSB filed on August 28, 2007)

31.1* Certification of Principal Executive Officer pursuant to Rule 13a-14 or 15d-14 of the Securities Exchange Act of 1934 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2* Certification of Principal Financial Officer pursuant to Rule 13a-14 or 15d-14 of the Securities Exchange Act of 1934 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1* Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002.

32.2*	Certification of Principal Financial Officer, pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002.
101.INS*	XBRL Instance Document
101.SCH*	XBRL Taxonomy Extension Schema
101.CAL*	XBRL Taxonomy Extension Calculation
101.DEF*	XBRL Taxonomy Extension Definition
101.LAB*	XBRL Taxonomy Extension Label
101.PRE*	XBRL Taxonomy Extension Presentation
*Filed herewith

SIGNATURES

In accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	ESP RESOURCES, INC.
Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer and Director
		(Principal Executive Officer)
	ESP RESOURCES, INC.
Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Financial Officer
		(Principal Financial Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

	ESP RESOURCES, INC.
Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer and Director
		(Principal Executive Officer)
Date: August 19, 2015	By:	/s/ Tony Primeaux
		Tony Primeaux
		Secretary and Director

EX-31.1

EXHIBIT 31.1

CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER OF

ESP RESOURCES, INC.

PURSUANT TO § 302 OF THE SARBANES-OXLEY ACT OF 2002

I, David Dugas, certify that:

1. I have reviewed this annual report on Form 10-Q for the period ended June 30, 2015 of ESP Resources, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATION OF THE CHIEF FINANCIAL OFFICER OF

ESP RESOURCES, INC.

PURSUANT TO § 302 OF THE SARBANES-OXLEY ACT OF 2002

I, David Dugas, certify that:

1. I have reviewed this annual report on Form 10-Q for the period ended June 30, 2015 of ESP Resources, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER OF

ESP RESOURCES, INC.

PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

§ 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of ESP Resources, Inc. (the “Company”) on Form 10-Q for the 19, , as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, David Dugas, Chief Executive Officer of the Company, do hereby certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, based on my knowledge, that:

1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer

This certification accompanies the Report pursuant to § 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of § 18 of the Securities Exchange Act of 1934, as amended.

EX-32.2

EXHIBIT 32.2

CERTIFICATION OF THE CHIEF FINANCIAL OFFICER OF

ESP RESOURCES, INC.

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

§ 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of ESP Resources, Inc. (the “Company”) on Form 10-Q for the period ended June 30, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, David Dugas, Chief Financial Officer of the Company, do hereby certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, based on my knowledge, that:

1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 19, 2015	By:	/s/ David Dugas
		David Dugas
		Chief Executive Officer

This certification accompanies the Report pursuant to § 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of §18 of the Securities Exchange Act of 1934, as amended.

XML

Note 5 - Short-Term Debt (Details) - USD ($)			3 Months Ended	6 Months Ended		12 Months Ended
	Sep. 02, 2014	Apr. 08, 2013	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Dec. 31, 2013	Dec. 20, 2013
Note 5 - Short-Term Debt (Details) [Line Items]
Short-term Debt				$ 369,470		$ 361,477
Debt Instrument, Interest Rate, Stated Percentage				4.50%		5.00%
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)				$ 0.14		$ 0.16	$ 0.16	$ 0.075
Stock Issued During Period, Value, New Issues		$ 10,500
Stock and Warrants Issued During Period, Value, Preferred Stock and Warrants		2,458
Amortization of Debt Discount (Premium)			$ 56,269		$ 208,393		$ 12,958
Debt Conversion, Converted Instrument, Amount	$ 95,000
Debt Instrument, Face Amount				$ 51,896
Repayments of Short-term Debt				142,007	$ 152,084
January 2012 Debentures into a Demand Promissory Note [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Conversion, Converted Instrument, Amount				150,000
Demand Note [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Short-term Debt		$ 150,000
Debt Instrument, Interest Rate, Stated Percentage		8.00%
Notes Payable to Finance Insurance [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Instrument, Face Amount						$ 265,486
Debt Instrument, Term						1 year
Principal on January 2012 Debentures [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Conversion, Original Debt, Amount				100,000
Accrued Interest on January 2012 Debentures [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Conversion, Original Debt, Amount				38,119
Accrued Interest on Demand Note [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Conversion, Original Debt, Amount				$ 26,149
The Warrants [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Stock Issued During Period, Shares, New Issues (in Shares)		150,000
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares)		150,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)		$ 0.15
Minimum [Member] | Notes Payable to Finance Insurance [Member]
Note 5 - Short-Term Debt (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage						5.70%

XML

Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities - $ / shares			3 Months Ended	10 Months Ended	12 Months Ended
	Nov. 14, 2012	Jan. 27, 2012	Jun. 30, 2015	Nov. 14, 2012	Dec. 31, 2014
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Volatility		156.00%
Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Stock price (in Dollars per share)	$ 0.07			$ 0.07
Term (years)	5 years
Fair Value, Inputs, Level 3 [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Stock price (in Dollars per share)	$ 0.07		$ 0.01	$ 0.07	$ 0.01
Term (years)				5 years
Risk-free interest rate			1.01%	0.22%	1.65%
Dividend yield			0.00%	0.00%	0.00%
Fair Value, Inputs, Level 3 [Member] | Debenture [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Stock price (in Dollars per share)	$ 0.07		$ 0.01	$ 0.07	$ 0.01
Term (years)			36 days	1 year 6 months	6 months
Risk-free interest rate			0.02%	0.63%	0.04%
Dividend yield			0.00%	0.00%	0.00%
Minimum [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Volatility	112.00%
Minimum [Member] | Fair Value, Inputs, Level 3 [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Term (years)			3 years		3 years 219 days
Volatility			143.00%	112.00%	143.00%
Exercise prices (in Dollars per share)	$ 0.09		$ 0.075	$ 0.09	$ 0.075
Minimum [Member] | Fair Value, Inputs, Level 3 [Member] | Debenture [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Volatility			143.00%	112.00%	143.00%
Exercise prices (in Dollars per share)	$ 0.085		$ 0.05	$ 0.085	$ 0.05
Maximum [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Volatility	593.00%
Maximum [Member] | Fair Value, Inputs, Level 3 [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Term (years)			4 years 36 days		4 years 255 days
Volatility			199.00%	593.00%	202.00%
Exercise prices (in Dollars per share)	$ 0.00255		$ 0.002	$ 0.00255	$ 0.002
Maximum [Member] | Fair Value, Inputs, Level 3 [Member] | Debenture [Member]
Note 10 - Derivative Liability (Details) - Significant Assumptions Used to Measure Fair Value of Derivative Liabilities [Line Items]
Volatility			199.00%	159.00%	202.00%
Exercise prices (in Dollars per share)	$ 0.055		$ 0.02	$ 0.055	$ 0.02

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Note 8 - Capital Lease Obligations (Details) - Long-term Capitalized Leases - USD ($)			6 Months Ended
	Dec. 31, 2014	Mar. 19, 2014	Jun. 30, 2015
Capital Leased Assets [Line Items]
Total capital lease	$ 183,559		$ 139,973
less current portion	(99,240)		(84,842)
Total long-term capital lease	84,319		$ 55,131
Warehouse Equipment [Member]
Capital Leased Assets [Line Items]
Year			2013
Borrowing			$ 26,313
Term in months			36 months
Monthly payment			$ 731
Total capital lease	10,127		5,383
Vehicles [Member]
Capital Leased Assets [Line Items]
Borrowing			368,766
Monthly payment		$ 869
Total capital lease	48,479		$ 28,118
Office Equipment [Member]
Capital Leased Assets [Line Items]
Year			2014
Borrowing			$ 10,140
Term in months			24 months
Monthly payment			$ 260
Total capital lease	9,953		8,339
Special Purpose Equipment [Member]
Capital Leased Assets [Line Items]
Borrowing			$ 125,000
Term in months			24 months
Monthly payment	6,065		$ 6,065
Total capital lease	$ 115,000		$ 98,133
Minimum [Member] | Vehicles [Member]
Capital Leased Assets [Line Items]
Year			2010
Term in months			21 months
Monthly payment			$ 887
Minimum [Member] | Special Purpose Equipment [Member]
Capital Leased Assets [Line Items]
Year			2011
Maximum [Member] | Vehicles [Member]
Capital Leased Assets [Line Items]
Year			2014
Term in months			72 months
Monthly payment			$ 1,905
Maximum [Member] | Special Purpose Equipment [Member]
Capital Leased Assets [Line Items]
Year			2012

XML

Note 10 - Derivative Liability (Details) - Fair Value of Financial Assets and Liabilities - USD ($)	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 20, 2013	Nov. 14, 2012
Liabilities:
Derivative liability	$ 203,858	$ 255,168	$ 263,875
Debt [Member]
Liabilities:
Derivative liability	139,230	181,165
Warrant [Member]
Liabilities:
Derivative liability	64,628	74,003		$ 13,395	$ 222,603
Fair Value, Inputs, Level 3 [Member]
Liabilities:
Derivative liability	203,858	255,168
Fair Value, Inputs, Level 3 [Member] | Debt [Member]
Liabilities:
Derivative liability	139,230	181,165
Fair Value, Inputs, Level 3 [Member] | Warrant [Member]
Liabilities:
Derivative liability	$ 64,628	$ 74,003

XML

Note 7 - Long Term-Debt (Details) - Maturities of Long-term Debt	Jun. 30, 2015 USD ($)
Maturities of Long-term Debt [Abstract]
2016	$ 502,109
2017	28,833
2018	8,894
2019	9,302
2020	$ 6,437

XML

Note 1 - Organization and Basis of Presentation (Details) - Inventory - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Inventory [Abstract]
Raw materials	$ 486,885	$ 412,978
Finished goods	697,768	574,756
Total inventory	$ 1,184,653	$ 987,734

XML

Note 11 - Stockholders' Equity (Details) - USD ($)						6 Months Ended
	Dec. 31, 2014	Sep. 02, 2014	Aug. 15, 2014	Apr. 25, 2014	Jul. 29, 2011	Jun. 30, 2015	Jun. 30, 2014
Note 11 - Stockholders' Equity (Details) [Line Items]
Stock Issued During Period, Shares, Issued for Services		9,500,000	6,000,000
Stock Issued During Period, Value, Issued for Services (in Dollars)	$ 2,000	$ 95,000	$ 60,000
Debt Conversion, Converted Instrument, Shares Issued		9,500,000
Debt Conversion, Converted Instrument, Amount (in Dollars)		$ 95,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross						0	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period						0
Allocated Share-based Compensation Expense (in Dollars)						$ 137,635
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options (in Dollars)						$ 546,688	$ 1,037,681
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value (in Dollars)							0
Shares Issued Under Forbearance Agreement [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Stock Issued During Period, Shares, Issued for Services	200,000
Restricted Stock [Member] | Chief Executive Officer [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period			28,000,000
Restricted Stock [Member] | Vice President [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period			28,000,000
Employee Stock Option [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Allocated Share-based Compensation Expense (in Dollars)							$ 352,322
Two Thousand Eleven Stock Option and Incentive Plan [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized					5,000,000
Two Thousand Eleven Stock Option and Incentive Plan [Member] | Employee Stock Option [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period					10 years
Two Thousand Eleven Stock Option and Incentive Plan [Member] | Incentive Stock Option [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period					5 years
Turf Chemistry [Member] | Restricted Stock [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Stock Issued During Period, Shares, New Issues				400,000
Minimum [Member] | Two Thousand Eleven Stock Option and Incentive Plan [Member] | Employee Stock Option [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent					100.00%
Maximum [Member] | Two Thousand Eleven Stock Option and Incentive Plan [Member] | Employee Stock Option [Member]
Note 11 - Stockholders' Equity (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent					110.00%

XML

Note 7 - Long Term-Debt (Tables)

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Schedule of Long-term Debt Instruments [Table Text Block]

	June 30, 2015			December 31, 2014
Equipment secured note payable - the note bears interest at a rate of 7.5% per annum, is payable in monthly installments of $2,522 and matured April 2015.	$	-		$	3,016
Vehicle secured notes payable - the notes bear interest at rates between 9.49% and 0% per annum, are payable in monthly installments between $698 and $1,832 and matures between August 2015 and March 2020.		187,020			385,328
On April 13, 2013, the Company borrowed $50,150 from a bank with an annual interest rate of 5.8% and a term of 36 months with payments of $1,170		25,555			31,731
Unsecured notes payable - the notes bear interest at 5% per annum and are due between April 2009 and July 2013 and are in default		343,000			359,968
Total		555,575			780,043
Less current maturities		(502,109	)		(669,005	)
Total long-term debt	$	53,466		$	111,038

Schedule of Maturities of Long-term Debt [Table Text Block]

2016	$	502,109
2017		28,833
2018		8,894
2019		9,302
2020		6,437

XML

Note 9 - Convertible Debentures (Details) - USD ($)					3 Months Ended		6 Months Ended		12 Months Ended
	Sep. 02, 2014	Dec. 20, 2013	Nov. 14, 2012	Jan. 27, 2012	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Dec. 31, 2013	Mar. 02, 2014	Dec. 02, 2013
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage					4.50%		4.50%		5.00%
Class of Warrant or Right, Term		5 years		3 years
Fair Value Assumptions, Expected Volatility Rate				156.00%
Fair Value Inputs, Discount Rate				0.32%
Debt Conversion, Converted Instrument, Amount	$ 95,000
Gains (Losses) on Extinguishment of Debt					$ 46,746		$ 244,742
Debt Instrument, Face Amount					51,896		51,896
Derivative Liability					203,858		203,858		$ 255,168	$ 263,875
Amortization of Debt Discount (Premium)						$ 56,269		$ 208,393		$ 12,958
Convertible Debt					$ 907,000		$ 907,000		$ 1,142,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)		$ 0.075			$ 0.14		$ 0.14		$ 0.16	$ 0.16
Number of Warrants Issued (in Shares)		5,000,000
January 2012 Debentures into a Demand Promissory Note [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Conversion, Converted Instrument, Amount							$ 150,000
Gains (Losses) on Extinguishment of Debt							14,868
Conversion Option of Debt [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Derivative Liability		$ 158,612
Warrant [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Instrument, Unamortized Discount			$ 208,685
Fair Value Assumptions, Expected Term			5 years
Fair Value Inputs, Discount Rate			0.63%
Share Price (in Dollars per share)			$ 0.07
Derivative Liability		$ 13,395	$ 222,603		$ 64,628		64,628		$ 74,003
January 27, 2012 Convertible Subordinated Debentures [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Proceeds from Convertible Debt				$ 130,000			$ 130,000		$ 130,000
Debt Instrument, Interest Rate, Stated Percentage				16.00%	16.00%		16.00%		16.00%
Debt Instrument, Convertible, Conversion Price (in Dollars per share)				$ 0.15
Percentage of Shares Issued				100.00%
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares)				866,667
Debt Instrument, Unamortized Discount				$ 71,291
Fair Value Assumptions, Exercise Price (in Dollars per share)				$ 0.114
Fair Value Assumptions, Expected Term				3 years
Convertible Debt					$ 30,000		$ 30,000		$ 130,000
Principal on January 2012 Debentures [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Conversion, Original Debt, Amount							100,000
Accrued Interest on January 2012 Debentures [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Conversion, Original Debt, Amount							38,119
Accrued Interest on Demand Note [Member] | January 2012 Debentures into a Demand Promissory Note [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Conversion, Original Debt, Amount							26,149
November 14, 2012 Convertible Debenture [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Proceeds from Convertible Debt			$ 1,000,000				$ 250,000		$ 250,000
Debt Instrument, Interest Rate, Stated Percentage			16.00%		18.00%		18.00%		18.00%
Debt Instrument, Convertible, Conversion Price (in Dollars per share)			$ 0.085								$ 0.05	$ 0.085
Percentage of Shares Issued			100.00%
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares)			11,764,706
Class of Warrant or Right, Term		5 years	5 years
Debt Instrument, Unamortized Discount			$ 299,600
Fair Value Assumptions, Expected Term		1 year 6 months	1 year 6 months
Fair Value Inputs, Discount Rate			0.22%
Gains (Losses) on Extinguishment of Debt										$ (310,767)
Debt Instrument, Face Amount			$ 1,000,000
Share Price (in Dollars per share)		$ 0.07	$ 0.07
Commons Stock, Conversion Price (in Dollars per share)			$ 0.09
Stock Issued During Period, Shares, Other (in Shares)			4,000,000
Amortization of Debt Discount (Premium)										5,912
Professional Fees										70,000
Convertible Debt					$ 250,000		$ 250,000		$ 250,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)		$ 0.075									$ 0.075	$ 0.09
Number of Warrants Issued (in Shares)		5,000,000
Debt Instrument, Increase, Accrued Interest										$ 12,000
November 14, 2012 Convertible Debenture [Member] | Deferred on December 1, 2013 [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Convertible Debt												$ 375,000
November 14, 2012 Convertible Debenture [Member] | Deferred on March 1, 2014 [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Convertible Debt											$ 625,000
November 14, 2012 Convertible Debenture [Member] | Deferred on June 1, 2014 [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Convertible Debt		$ 281,250
November 14, 2012 Convertible Debenture [Member] | Deferred on September 1, 2014 [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Convertible Debt		468,750
November 14, 2012 Convertible Debenture [Member] | Conversion Option of Debt [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Debt Instrument, Unamortized Discount			$ 421,715
Derivative Liability		158,612	$ 449,840
November 14, 2012 Convertible Debenture [Member] | Warrant [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Derivative Liability		$ 13,365
Minimum [Member] | Warrant [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Fair Value Assumptions, Expected Volatility Rate			112.00%
Minimum [Member] | November 14, 2012 Convertible Debenture [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Fair Value Assumptions, Expected Volatility Rate		123.00%	112.00%
Maximum [Member] | Warrant [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Fair Value Assumptions, Expected Volatility Rate			593.00%
Maximum [Member] | November 14, 2012 Convertible Debenture [Member]
Note 9 - Convertible Debentures (Details) [Line Items]
Fair Value Assumptions, Expected Volatility Rate		143.00%	159.00%

XML

Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) [Line Items]
Monthly Payments	$ 818
Interest rate	4.50%	5.00%
Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) [Line Items]
Interest rate	5.00%	5.00%
Vendor Deferred Payments [Member] | Prime Rate [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) [Line Items]
Basis spread	1.50%	1.50%
Maximum [Member] | Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) [Line Items]
Monthly Payments	$ 22,551	$ 22,551
Minimum [Member] | Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments (Parentheticals) [Line Items]
Monthly Payments	$ 10,000	$ 10,000

XML

Note 4 - Property and Equipment (Details) - USD ($)			6 Months Ended		12 Months Ended
	Dec. 31, 2014	Mar. 19, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Note 4 - Property and Equipment (Details) [Line Items]
Depreciation			$ 240,628	$ 315,628
Gain (Loss) on Disposition of Other Assets		$ 2,953
Capital Leased Assets, Noncurrent, Fair Value Disclosure	$ 113,595				$ 113,595
Lessee Leasing Arrangement Capital Lease Term of Contract					2 years
Bargain Purchase Option, Amount	$ 1				$ 1
Gain (Loss) on Disposition of Property Plant Equipment				$ (10,825)
Vehicles [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Property, Plant and Equipment, Disposals		79,957
Capital Leased Assets, Disposal		31,281
Vehicles [Member] | Disposal Group, Held-for-sale, Not Discontinued Operations [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Property, Plant and Equipment, Disposals		46,551
Vehicles [Member] | Assets Not Held For Sale [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Property, Plant and Equipment, Disposals		33,406
Specialized Equipment [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Lessee Leasing Arrangement Capital Lease Term of Contract	2 years
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment	$ 160,378				$ 160,378
Long-term Debt Related to Equipment [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Extinguishment of Debt, Amount		63,787
Long-term Debt Related to Equipment [Member] | Vehicles [Member]
Note 4 - Property and Equipment (Details) [Line Items]
Extinguishment Of Interest On Capital Lease, Amount		$ 7,916

XML

Note 9 - Convertible Debentures (Details) - Convertible Debentures (Parentheticals) - USD ($)			6 Months Ended	12 Months Ended
	Nov. 14, 2012	Jan. 27, 2012	Jun. 30, 2015	Dec. 31, 2014
Note 9 - Convertible Debentures (Details) - Convertible Debentures (Parentheticals) [Line Items]
Interest rate			4.50%	5.00%
January 27, 2012 Convertible Subordinated Debentures [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures (Parentheticals) [Line Items]
Interest rate		16.00%	16.00%	16.00%
Convertible Subordinated Debentures, Proceeds		$ 130,000	$ 130,000	$ 130,000
December 20, 2013 Amended Convertible Subordinated Debentures [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures (Parentheticals) [Line Items]
Interest rate			18.00%	18.00%
Convertible Subordinated Debentures, Proceeds			$ 750,000	$ 750,000
November 14, 2012 Convertible Debenture [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures (Parentheticals) [Line Items]
Interest rate	16.00%		18.00%	18.00%
Convertible Subordinated Debentures, Proceeds	$ 1,000,000		$ 250,000	$ 250,000

XML

Note 15 - Guarantee Liability (Details) - USD ($)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2010	Jun. 30, 2015	Jun. 01, 2009	Nov. 03, 2008
Note 15 - Guarantee Liability (Details) [Line Items]
Notes Payable	$ 359,968			$ 343,000
Guarantor Obligations, Current Carrying Value	120,000			$ 120,000
Aurora and Boreal [Member] | Financial Guarantee [Member]
Note 15 - Guarantee Liability (Details) [Line Items]
Notes Payable						$ 120,000
Debt Instrument, Convertible, Conversion Price (in Dollars per share)						$ 1.20
Guarantor Obligations, Fair Value						$ 48,000
Guarantor Obligations, Current Carrying Value					$ 120,000
Loss on Guarantee Liability			$ 72,000
Change In Guarantor Obligations	$ 0	$ 0

XML

Note 11 - Stockholders' Equity (Details) - Nonvested Options - Jun. 30, 2015 - $ / shares	Total
Nonvested Options [Abstract]
Non-vested, beginning of period	2,800,000
Non-vested, beginning of period	$ 0.12
Non-vested, end of period	2,800,000
Non-vested, end of period	$ 0.12

XML

Note 8 - Capital Lease Obligations (Details) - USD ($)			6 Months Ended	12 Months Ended
	Dec. 31, 2014	Mar. 19, 2014	Jun. 30, 2015	Dec. 31, 2014
Note 8 - Capital Lease Obligations (Details) [Line Items]
Lessee Leasing Arrangement Capital Lease Term of Contract				2 years
Vehicle [Member] | Related Party Lease [Member]
Note 8 - Capital Lease Obligations (Details) [Line Items]
Lessee Leasing Arrangement Capital Lease Term of Contract		3 years
Capital Lease, Monthly Rental Payments		$ 869
Specialized Equipment [Member]
Note 8 - Capital Lease Obligations (Details) [Line Items]
Lessee Leasing Arrangement Capital Lease Term of Contract	2 years
Special Purpose Equipment [Member]
Note 8 - Capital Lease Obligations (Details) [Line Items]
Capita lLease Monthly Payment	$ 6,065		$ 6,065
Capital Lease Bargain Purchase Shares Granted to Leaseholder (in Shares)	200,000
Capital Lease Bargain Purchase Shares Granted to Leaseholder, Value	$ 2,000

XML

Note 4 - Property and Equipment

6 Months Ended

Jun. 30, 2015

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment Disclosure [Text Block]

Note 4 – Property and Equipment

Property and equipment includes the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Plant, property and equipment	$	1,692,967		$	1,597,011
Vehicles		1,455,465			1,679,220
Equipment under capital lease		505,001			596,888
Equipment under capital lease – related party		31,281			31,281
Office furniture and equipment		59,131			59,131
		3,743,845			3,963,531
Less: accumulated depreciation		(2,305,326	)		(2,253,686	)
Net property and equipment	$	1,438,519		$	1,709,845

Depreciation and amortization expense was $240,628 and $315,628 for the period ended June 30, 2015 and 2014, respectively.

On March 19, 2014 the Company exchanged three vehicles with a net carrying value of $79,957, two of which were classified as assets held for sale with a combined net carrying value of $46,551, and a vehicle with a net carrying value of $33,406 in exchange for reduction of $63,787 in related long-term debt including $7,916 of accrued interest, for a capitalized lease on a vehicle in which a related party purchased, then leased the vehicle to the Company.  The Company valued the leased vehicle as equipment under capital lease of $31,281, which resulted in a gain from disposal of assets of $2,953.

On December 31, 2014 the Company agreed to extend the leases of certain specialized equipment with a fair value of $113,595 for an additional 2 years and a purchase option of $1. The Company evaluated the application of ASC 4840-30, “Leases - Capital lease” and concluded that the lease constituted capital leases.

At December 31, 2014 The Company determine that certain specialized equipment was to be sold and as such classified the $160,378 its fair value and net book value. The determination was evaluated at June 30, 2015.

In the six months ended June 30, 2014 the Company recognized a $10,825 net loss on disposed equipment.

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Note 11 - Stockholders' Equity (Details) - Stock Options Outstanding and Exercisable - USD ($)		6 Months Ended	12 Months Ended
		Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013	Jun. 30, 2014
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number Outstanding (in Shares)		52,485,000	52,895,000	52,930,000
Outstanding, Weighted Average Exercise Price		$ 0.12	$ 0.12	$ 0.12
Oustanding, Aggregate Intrinsic Value (in Dollars)					$ 0
Outstanding, Weighted Remaining Contractual Life		6 years 6 months	6 years 328 days	7 years 328 days
Number Exercisable (in Shares)		49,685,000	50,095,000
Exercisable, Weighted Average Exercise Price		$ 0.12	$ 0.12
Exercisable, Weighted Remaining Contractual Life		6 years 146 days	6 years 328 days
Range 1 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices - Minimum		$ 0.09
Range of Exercise Prices - Maximum		$ 0.10
Number Outstanding (in Shares)		28,250,000
Outstanding, Weighted Average Exercise Price		$ 0.10
Oustanding, Aggregate Intrinsic Value (in Dollars)	[1]	$ 0
Outstanding, Weighted Remaining Contractual Life		7 years 73 days
Number Exercisable (in Shares)		25,450,000
Exercisable, Weighted Average Exercise Price		$ 0.09
Exercisable, Aggregate Intrinsic Value (in Dollars)	[1]	$ 0
Exercisable, Weighted Remaining Contractual Life		7 years 73 days
Range 2 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices - Minimum		$ 0.11
Range of Exercise Prices - Maximum		$ 0.12
Number Outstanding (in Shares)		2,000,000
Outstanding, Weighted Average Exercise Price		$ 0.12
Oustanding, Aggregate Intrinsic Value (in Dollars)	[1]
Outstanding, Weighted Remaining Contractual Life		6 years 109 days
Number Exercisable (in Shares)		2,000,000
Exercisable, Weighted Average Exercise Price		$ 0.12
Exercisable, Aggregate Intrinsic Value (in Dollars)	[1]
Exercisable, Weighted Remaining Contractual Life		6 years 109 days
Range 3 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices - Minimum		$ 0.13
Range of Exercise Prices - Maximum		$ 0.15
Number Outstanding (in Shares)		22,235,000
Outstanding, Weighted Average Exercise Price		$ 0.15
Oustanding, Aggregate Intrinsic Value (in Dollars)	[1]
Outstanding, Weighted Remaining Contractual Life		5 years 219 days
Number Exercisable (in Shares)		22,235,000
Exercisable, Weighted Average Exercise Price		$ 0.15
Exercisable, Aggregate Intrinsic Value (in Dollars)	[1]
Exercisable, Weighted Remaining Contractual Life		5 years 219 days
Range 4 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices - Minimum		$ 0.09
Range of Exercise Prices - Maximum		$ 0.15
Number Outstanding (in Shares)		52,485,000
Outstanding, Weighted Average Exercise Price		$ 0.12
Oustanding, Aggregate Intrinsic Value (in Dollars)	[1]
Outstanding, Weighted Remaining Contractual Life		6 years 6 months
Number Exercisable (in Shares)		49,685,000
Exercisable, Weighted Average Exercise Price		$ 0.12
Exercisable, Aggregate Intrinsic Value (in Dollars)	[1]
Exercisable, Weighted Remaining Contractual Life		6 years 146 days

[1] The aggregate intrinsic value in the table represents the difference between the closing stock price on June 30, 2015 and the exercise price, multiplied by the number of in-the-money options that would have been received by the option holders had all option holders exercised their options on June 30, 2015. No options were exercised during the six month period ended June 30, 2015.

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Note 7 - Long Term-Debt (Details) - USD ($)	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Disclosure Text Block [Abstract]
Debt Instrument, Face Amount	$ 51,896
Debt Instrument, Interest Rate, Stated Percentage	4.50%	5.00%
Debt Instrument, Periodic Payment	$ 818

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Note 11 - Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2015

Stockholders' Equity Note [Abstract]

Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]

	Number of warrants			Weighted Average Exercise Price			Weighted Average Term (Years)
Warrants outstanding at December 31, 2013		63,092,278		$	0.16			2.21
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(2,205,238	)		(0.09	)		-
Warrants outstanding at December 31, 2014		60,887,040		$	0.16			.67
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(25,679,167	)		(0.20	)		-
Warrants outstanding at June 30, 2015		35,207,873		$	0.14			.24

Common Stock Warrants Expiry [Table Text Block]

Year	Amount
2015		17,443,167
2016		1,000,000
2017		11,764,706
2018		5,000,000
Total		35,207,873

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

	Number of Shares			Weighted- average Exercise Price			Weighted- average Remaining Contractual Term (years)
Outstanding at December 31, 2013		52,930,000			0.12			7.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(35,000	)		(0.14	)		6.6
Outstanding at December 31, 2014		52,895,000		$	0.12			6.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(410,000	)		(0.15	)		-
Outstanding at June 30, 2015		52,485,000		$	0.12			6.5
Exercisable at June 30, 2015		49,685,000		$	0.12			6.4
Exercisable at December 31, 2014		50,095,000		$	0.12			6.9

Schedule of Nonvested Share Activity [Table Text Block]

	Options		Weighted Average Grant Date Fair Value
Non-vested, beginning of period		2,800,000	$	0.12
Granted		-	$	-
Vested		-	$	-
Forfeited		-	$	-
Non-vested, end of period		2,800,000	$	0.12

Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block]

			Options Outstanding at June 30, 2015
Range of  Exercise Prices			Number  Outstanding		Weighted  Remaining  Contractual  Life (years)	Weighted  Average  Exercise  Price		Aggregate  Intrinsic Value(1)
$0.09	to	$0.10		28,250,000	7.2	$	0.10	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		52,485,000	6.5	$	0.12	$	-

			Options Exercisable at June 30, 2015
Range of Exercise Prices			Number Exercisable		Weighted Remaining Contractual Life (years)	Weighted Average Exercise Price		Aggregate Intrinsic Value(1)
$0.09	to	$0.10		25,450,000	7.2	$	0.09	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		49,685,000	6.4	$	0.12	$	-

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Note 10 - Derivative Liability (Tables)

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Schedule of Assumptions Used [Table Text Block]

	Warrant			Debenture
Stock price		$0.07			$0.07
Term (years)		5			1.5
Volatility	112%	-	593%	112%	-	159%
Risk-free interest rate		0.22%			0.63%
Exercise prices	$0.09	to	0.00255	$0.085	to	0.055
Dividend yield		0.00%			0.00%

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.6	to	4.7		.5
Volatility	143%	-	202%	143%	-	202%
Risk-free interest rate		1.65%			0.04%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.0	to	4.1		.1
Volatility	143%	-	199%	143%	-	199%
Risk-free interest rate		1.01%			0.02%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

Fair Value, by Balance Sheet Grouping [Table Text Block]

	Carrying Value at		Fair Value Measurement at June 30, 2015
	June 30, 2015		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	139,230	$	-	$	-	$	139,230
Derivative warrant liability	$	64,628	$	-	$	-	$	64,628
Total derivative liability	$	203,858	$	-	$	-	$	203,858

	Carrying Value at		Fair Value Measurement at December 31, 2014
	December 31, 2014		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	181,165	$	-	$	-	$	181,165
Derivative warrant liability	$	74,003	$	-	$	-	$	74,003
Total derivative liability	$	255,168	$	-	$	-	$	255,168

Schedule of Derivative Liabilities at Fair Value [Table Text Block]

	Six month period Ended June 30, 2015			Year Ended December 31, 2014
Beginning of year derivative liability	$	255,168		$	263,875
Change in derivative due to repayment		(50,427	)
Change in derivative liability – mark to market		(883	)		(8,707	)
Derivative liability at end of period	$	203,858		$	255,168

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Note 10 - Derivative Liability (Details) - Changes in the Derivative Liability - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Changes in the Derivative Liability [Abstract]
Beginning of year derivative liability	$ 255,168	$ 263,875
Change in derivative due to repayment	(50,427)
Change in derivative liability – mark to market	(883)	(8,707)
Derivative liability at end of period	$ 203,858	$ 255,168

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Note 7 - Long Term-Debt (Details) - Long-term Debt - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
On April 13, 2013, the Company borrowed $50,150 from a bank with an annual interest rate of 5.8% and a term of 36 months with payments of $1,170	$ 25,555	$ 31,731
Unsecured notes payable - the notes bear interest at 5% per annum and are due between April 2009 and July 2013 and are in default	343,000	359,968
Total	555,575	780,043
Less current maturities	(502,109)	(669,005)
Total long-term debt	53,466	111,038
Equipment Secured Note Payable [Member]
Debt Instrument [Line Items]
Note payable		3,016
Vehicle Secured Note Payable [Member]
Debt Instrument [Line Items]
Note payable	$ 187,020	$ 385,328

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Note 12 - Related Party Transactions (Tables)

6 Months Ended

Jun. 30, 2015

Related Party Transactions [Abstract]

Schedule of Related Party Transactions [Table Text Block]

	June 30, 2015		December 31, 2014
Due to officer	$	376,395	$	356,583
Due to ESP Enterprises		55,790		55,790
Total due to related parties	$	432,185	$	412,373

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Note 1 - Organization and Basis of Presentation (Details)			6 Months Ended
	Jul. 11, 2012	Sep. 07, 2011	Jun. 30, 2015 USD ($)	Jun. 30, 2014	Dec. 31, 2014 USD ($)
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Maximum Advance Percentage of Accounts Receivable			100.00%
Accounts Receivable Factoring, Restrictive Cash Reserve			10.00%
Restricted Cash and Cash Equivalents (in Dollars)			$ 147,574		$ 283,392
Every 15 Days [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Accounts Receivable Factoring Fee			0.75%
Accounts Receivable [Member] | Customer Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Number of Customers, Concentration Risk			4	3
Concentration Risk, Percentage			67.00%	42.00%
Sales Revenue, Goods, Net [Member] | Customer Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Number of Customers, Concentration Risk			4	3
Concentration Risk, Percentage			39.00%	41.00%
Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Number of Vendors, Concentration Risk			3	2
Vendor 1 of 3 [Member] | Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Concentration Risk, Percentage			40.00%
Vendor 2 of 3 [Member] | Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Concentration Risk, Percentage			25.00%
Vendor 3 of 3 [Member] | Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Concentration Risk, Percentage			24.00%
Vendor 1 Of 2 [Member] | Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Concentration Risk, Percentage				37.00%
Vendor 2 Of 2 [Member] | Cost of Goods, Total [Member] | Supplier Concentration Risk [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Concentration Risk, Percentage				10.00%
ESP Marketing, LLC [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Equity Method Investment, Ownership Percentage		49.00%
Percentage of Profits		80.00%
ESP Facility and Pipeline Services, Inc. [Member]
Note 1 - Organization and Basis of Presentation (Details) [Line Items]
Equity Method Investment, Ownership Percentage	60.00%
Percentage of Profits	60.00%

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Note 3 - Factoring Payable

6 Months Ended

Jun. 30, 2015

Factoring Payable [Abstract]

Factoring Payable [Text Block]

Note 3 – Factoring Payable

On August 15, 2014, ESP Petrochemicals, Inc., (the “Company”) a subsidiary of ESP Resources, Inc. entered into a Purchase and Sale Agreement (the “Factoring Agreement”) with Transfac Capital, Inc., which served to replace the agreement with Crestmark. On October 1, 2014 the Factoring Agreement was amended. The Factoring Agreement has an initial term of two years (“Contract Term”) with automatically renewing successive Contract Terms.  The Factoring Agreement may be terminated by the Company at the end of a Contract Term by providing notice to Transfac no more than ninety and no less than sixty days before the end of the current Contract Term.  Transfac may terminate the Factoring Agreement at any time upon thirty days’ notice of an event of default.  Under the terms of the Factoring Agreement, Transfac may purchase any accounts submitted by the Company.  The Company shall pay a servicing fee equal to the greater of 0.75% or $10 and will be subject to others fees and charges and may be required to establish a reserve account as set forth in greater detail in the Factoring Agreement set forth as an exhibit to this current report and incorporated herein by reference.  The Factoring Agreement is secured by substantially all of the Company’s assets and personally guaranteed by David Dugas and Tony Primeaux and guaranteed by ESP Resources, Inc. and ESP Ventures, Inc. The total borrowing under the Factoring Agreement at June 30, 2015 was $866,153 with $147,574 held in restricted cash in the condensed consolidated balance sheets.

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Note 1 - Organization and Basis of Presentation (Details) - Acccounts Receivable and Allowance for Doubtful Accounts - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Acccounts Receivable and Allowance for Doubtful Accounts [Abstract]
Trade receivables	$ 1,484,892	$ 2,265,534
Less: Allowance for doubtful accounts	(181,023)	(155,000)
Net accounts receivable	$ 1,303,869	$ 2,110,534

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Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - USD ($)		6 Months Ended	12 Months Ended
	May. 25, 2012	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		4.50%	5.00%
Debt Instrument, Face Amount		$ 51,896
Debt Instrument, Periodic Payment		$ 818
Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		5.00%	5.00%
Vendor Deferred Payments [Member] | Prime Rate [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate		1.50%	1.50%
Vendor Deferred Payments [Member] | Certain Trade Vendors [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Accounts Payable, Converted Amount				$ 1,104,407
Debt Instrument, Interest Rate, Stated Percentage				5.00%
Debt Instrument, Face Amount	$ 450,000			$ 1,104,407
Debt Instrument, Periodic Payment	$ 10,000
Vendor Deferred Payments [Member] | Certain Trade Vendors [Member] | Prime Rate [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.50%
Minimum [Member] | Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Periodic Payment		$ 10,000	$ 10,000
Minimum [Member] | Vendor Deferred Payments [Member] | Certain Trade Vendors [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Periodic Payment				1,409
Maximum [Member] | Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Periodic Payment		$ 22,551	$ 22,551
Maximum [Member] | Vendor Deferred Payments [Member] | Certain Trade Vendors [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) [Line Items]
Debt Instrument, Periodic Payment				$ 22,551

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Note 10 - Derivative Liability (Details) - USD ($)				3 Months Ended		6 Months Ended
	Dec. 20, 2013	Nov. 14, 2012	Jan. 27, 2012	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Mar. 02, 2014	Dec. 31, 2013	Dec. 02, 2013
Note 10 - Derivative Liability (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage				4.50%		4.50%		5.00%
Number of Warrants Issued (in Shares)	5,000,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)	$ 0.075			$ 0.14		$ 0.14		$ 0.16		$ 0.16
Class of Warrant or Right, Term	5 years		3 years
Derivative Liability				$ 203,858		$ 203,858		$ 255,168		$ 263,875
Derivative, Gain (Loss) on Derivative, Net				54,807	$ 57,443	51,310	$ (8,383)
Warrant [Member]
Note 10 - Derivative Liability (Details) [Line Items]
Derivative Liability	$ 13,395	$ 222,603		$ 64,628		$ 64,628		$ 74,003
Conversion Option of Debt [Member]
Note 10 - Derivative Liability (Details) [Line Items]
Derivative Liability	$ 158,612
November 14, 2012 Convertible Debenture [Member]
Note 10 - Derivative Liability (Details) [Line Items]
Debt Instrument, Interest Rate, Stated Percentage		16.00%		18.00%		18.00%		18.00%
Derivative Liability, Noncurrent		$ 693,043
Number of Warrants Issued (in Shares)	5,000,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in Dollars per share)	$ 0.075								$ 0.075		$ 0.09
Class of Warrant or Right, Term	5 years	5 years
November 14, 2012 Convertible Debenture [Member] | Warrant [Member]
Note 10 - Derivative Liability (Details) [Line Items]
Derivative Liability	$ 13,365
November 14, 2012 Convertible Debenture [Member] | Conversion Option of Debt [Member]
Note 10 - Derivative Liability (Details) [Line Items]
Derivative Liability	$ 158,612	$ 449,840

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Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
CURRENT ASSETS
Cash and cash equivalents	$ 112,063	$ 121,880
Restricted cash	147,574	283,392
Accounts receivable, net	1,303,869	2,110,534
Inventories	1,184,653	987,734
Prepaid expenses	170,911	358,856
Total current assets	2,919,070	3,862,396
Assets held for sale	90,378	160,378
Property and equipment, net of accumulated depreciation of $2,305,326 and $2,253,686, June 30, 2015 and December 31, 2014	1,438,519	1,709,845
Other assets	49,515	49,877
Total assets	4,497,482	5,782,496
CURRENT LIABILITIES
Accounts payable	2,681,032	2,785,041
Net Liabilities from discontinued operations	62,378	78,095
Factoring payable	866,153	1,339,653
Accrued expenses	1,866,263	1,540,409
Due to related parties	432,185	412,373
Contingent consideration payable		38,937
Guarantee liability	120,000	120,000
Short-term debt	369,470	361,477
Current maturities of convertible debentures, net of debt discount	907,000	1,142,000
Current maturities of debt - vendor deferred payment	1,285,528	1,285,528
Current maturities of Long-term Debt	502,109	669,005
Current portion of capital lease obligation	84,842	99,240
Derivative liability	203,858	255,168
Total current liabilities	9,380,818	10,126,926
Long-term debt (less current maturities)	53,466	111,038
Capital lease obligations (less current maturities)	55,131	84,319
Total liabilities	$ 9,489,415	$ 10,322,283
Commitments and Contingencies (Note 13)
STOCKHOLDERS' DEFICIT
Preferred stock - $0.001 par value, 10,000,000 shares authorized, none outstanding	$ 0	$ 0
Common stock - $0.001 par value, 350,000,000 shares authorized,237,830,249 shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively	237,831	237,831
Additional paid-in capital	22,284,401	22,081,766
Subscription receivable	(1,000)	(1,000)
Accumulated deficit	(27,513,165)	(26,858,384)
Total stockholders' deficit	(4,991,933)	(4,539,787)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$ 4,497,482	$ 5,782,496

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Note 7 - Long Term-Debt (Details) - Long-term Debt (Parentheticals) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Monthly installments	$ 818
Interest rate	4.50%	5.00%
Equipment Secured Note Payable [Member]
Debt Instrument [Line Items]
Monthly installments	$ 2,522	$ 2,522
Interest rate	7.50%	7.50%
April 13RD 2013 Note Payable Member [Member]
Debt Instrument [Line Items]
Monthly installments	$ 1,170	$ 1,170
Interest rate	5.80%	5.80%
Amount Borrowed	$ 50,150	$ 50,150
Debt term	36 months	36 months
Minimum [Member] | Vehicle Secured Note Payable [Member]
Debt Instrument [Line Items]
Monthly installments	$ 698	$ 698
Interest rate	0.00%	0.00%
Maximum [Member] | Vehicle Secured Note Payable [Member]
Debt Instrument [Line Items]
Monthly installments	$ 1,832	$ 1,832
Interest rate	9.49%	9.49%

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Note 1 - Organization and Basis of Presentation

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

Note 1 – Organization and Basis of Presentation

Organization

ESP Resources, Inc. (“ESP Resources”, and collectively with its subsidiaries, “we, “our” or the “Company”) was incorporated in the State of Nevada on October 27, 2004. The accompanying consolidated financial statements include the accounts of ESP Resources, Inc. and its wholly owned subsidiaries, ESP Petrochemicals, Inc. of Louisiana (“ESP Petrochemicals”), ESP Ventures, Inc. of Delaware (“ESP Ventures”), ESP Corporation, S.A., a Panamanian corporation (“ESP Corporation”) and ESP Payroll Services, Inc. of Nevada (“ESP Payroll”). On July 11, 2012, the Company formed two partially owned subsidiaries in Delaware, ESP Advanced Technologies, Inc., and ESP Facility & Pipeline Services, Inc. On December 19, 2012, the Company formed a partially owned subsidiary in Nevada, IEM, Inc.

On September 7, 2011, the Company became a 49% partner in a new entity, ESP Marketing, LLC. The Company’s management directed the operations of the business and the Company would receive 80% of the profits. On July 11, 2012, the Company became a 60% partner in a new entity, ESP Facility and Pipeline Services, Inc. The Company’s management directed the operations of the business and the Company would receive 60% of the profits. All significant inter-company balances and transactions have been eliminated in the consolidated financial statements.

On June 11, 2013, the board of directors decided to cease operations of various subsidiaries, including ESP Facility and Pipeline Services, Inc., ESP Advanced Technologies, Inc., ESP KUJV Limited Joint Venture and ESP Marketing Group LLC. The Board determined that certain activities should be closed and that unused assets, mainly vehicles and equipment, be sold.

Basis of Presentation

The accompanying unaudited condensed interim consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America and with the rules and regulations of the Securities and Exchange Commission to Form 10-Q and Article 8 of Regulation S-X.  These unaudited condensed interim consolidated financial statements should be read in conjunction with the financial statements of the Company for the year ended December 31, 2014 and notes thereto contained in the information as part of the Company’s Annual Report on Form 10-K filed with the SEC on April 15, 2015. Notes to the consolidated financial statements which would substantially duplicate the disclosure contained in the audited financial statements for fiscal 2014 as reported in the Form 10-K have been omitted. In the opinion of management, the unaudited interim consolidated financial statements furnished reflect all adjustments (consisting of normal recurring adjustments) which are necessary to present fairly the financial position and the results of operations for the interim periods presented herein.  Unaudited interim results are not necessarily indicative of the results for the full year. Any reference herein to “ESP Resources,” the “Company,” “we,” “our” or “us” is intended to mean ESP Resources, Inc. including the subsidiaries indicated above, unless otherwise indicated.

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed

The Company reviews its long-lived assets and identifiable finite-lived intangibles for impairment on an annual basis and whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The first step of the impairment test, used to identify potential impairment, compares undiscounted future cash flows of the asset or asset group with the related carrying amount. If the undiscounted future cash flows of the asset or asset group exceed its carrying amount, the asset or asset group is not considered to be impaired and the second step is unnecessary. If such assets were considered to be impaired, the impairment to be recognized would be measured by the amount by which the carrying amount of the assets exceeds the fair market value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 

Restricted Cash

Under the terms of the Factoring payable, the Company may obtain advances of up to 100% of the amount of eligible accounts receivable, subject to a 0.75% per 15 days factoring fee, with 10% held in a restricted cash reserve account, which is released to the Company upon payment of the receivable. As of June 30, 2015 and December 31, 2014, restricted cash totaled $147,574 and $283,392, respectively.

Accounts Receivable and Allowance for Doubtful Accounts

The Company generally does not require collateral, and the majority of its trade receivables are unsecured. The carrying amount for accounts receivable approximates fair value.

Accounts receivable consisted of the following as of June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Trade receivables	$	1,484,892		$	2,265,534
Less: Allowance for doubtful accounts		(181,023	)		(155,000	)
Net accounts receivable	$	1,303,869		$	2,110,534

Accounts receivable are periodically evaluated for collectability based on past credit history with clients. Provisions for losses on accounts receivable are determined on the basis of loss experience, known and inherent risk in the account balance and current economic conditions.

Inventories

Inventory represents raw and blended chemicals and other items valued at the lower of cost or market with cost determined using the first-in first-out method, and with market defined as the lower of replacement cost or realizable value.

As of June 30, 2015 and December 31, 2014, inventory consisted of the following:

	June 30, 2015		December 31, 2014
Raw materials	$	486,885	$	412,978
Finished goods		697,768		574,756
Total inventory	$	1,184,653	$	987,734

Derivatives

The valuation of our embedded derivatives and warrant derivatives are determined primarily by the multinomial distribution (Lattice) model. An embedded derivative is a derivative instrument that is embedded within another contract, which under the convertible note (the host contract) includes the right to convert the note by the holder, certain default redemption right premiums and a change of control premium (payable in cash if a fundamental change occurs). In accordance with Accounting Standards Codification (“ASC”) 815 “Derivatives and Hedging”’, as amended, these embedded derivatives are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. A warrant derivative liability is also determined in accordance with ASC 815. Based on ASC 815, warrants which are determined to be classified as derivative liabilities are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. The practical effect of this has been that when our stock price increases so does our derivative liability and resulting in a non-cash loss charge that reduces our earnings and earnings per share. When our stock price declines, we record a non-cash gain, increasing our earnings and earnings per share. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there exists a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:

●	Level 1 -	unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date.
●	Level 2 -	inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data.
●	Level 3 -	unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date.

This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value.

To determine the fair value of our embedded derivatives, management evaluates assumptions regarding the probability of certain future events. Other factors used to determine fair value include our period end stock price, historical stock volatility, risk free interest rate and derivative term. The fair value recorded for the derivative liability varies from period to period. This variability may result in the actual derivative liability for a period either above or below the estimates recorded on our consolidated financial statements, resulting in significant fluctuations in other income (expense) because of the corresponding non-cash gain or loss recorded.

Concentration

The Company has four major customers that together account for 67% of accounts receivable at June 30, 2015 and 39% of the total revenues earned for the period ended June 30, 2015.

	Accounts Receivable			Revenue
Customer A		24	%		16	%
Customer B		16	%		6	%
Customer C		14	%		1	%
Customer D		13	%		16	%
		67	%		39	%

The Company has three vendors that accounted for 40%, 25%, and 24% of purchases for the period ended June 30, 2015.

The Company has three major customers that together account for 42% of accounts receivable at June 30, 2014 and 41% of the total revenues earned for the period ended June 30, 2014. 

	Accounts receivable			Revenue
Customer A		16	%		0	%
Customer B		15	%		29	%
Customer C		11	%		12	%
		42	%		41	%

The Company has two vendors that accounted for 37% and 10% of purchases for the six months ended June 30, 2014.

Revenue and Cost Recognition

The Company through its wholly owned subsidiary, ESP Petrochemicals, Inc., is a custom formulator of petrochemicals for the oil and gas industry. Since the products are specific to each location, the receipt of an order or purchase order starts the production process. Once the blending takes place, the order is delivered to the land site or dock. When the containers of blended petrochemicals are off-loaded at the dock, or are stored on the land site, a delivery ticket is obtained, an invoice is generated and Company recognizes revenue. The invoice is generated based on the credit agreement with the customer at the agreed upon price.

Revenue is recognized when title and risk of loss have transferred to the customer and when contractual terms have been fulfilled. Transfer of title and risk of loss occurs when the product is delivered in accordance with the contractual shipping terms, generally to a land site or dock. Revenue is recognized based on the credit agreement with the customer at the agreed upon price.

Stock-based Compensation

The Company accounts for stock-based compensation to employees in accordance with ASC 718 “Stock-based compensation”. Stock based compensation to employees is measured at the grant date, based on the fair value of the award, and is recognized as an expense over the requisite employee service period. The Company accounts for stock-based compensation to non-employees in accordance with ASC 505-50 “Equity-based payments to non-employees”. Equity instruments issued to non-employees are valued at the earlier of a commitment date or upon completion of the services, based on the fair value of the equity instruments and is recognized as an expense over the service period. The Company estimates the fair value of stock-based payments using the Black-Scholes option-pricing model for common stock options and warrants and the closing price of the Company’s common stock for common share issuances.

Fair Value of Financial Instruments

The carrying amounts of the Company’s financial instruments including accounts payable, accrued expenses, and notes payable approximate fair value due to the relative short period for maturity of these instruments.

Reclassification

Certain accounts in the prior period were reclassified to conform to the current period financial statements presentation.

Recently Issued Accounting Pronouncements

During the period ended June 30, 2015 and through August 17, 2015, there were several new accounting pronouncements issued by the Financial Accounting Standards Board.  Each of these pronouncements, as applicable, has been or will be adopted by the Company.  Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial statements. 

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Note 11 - Stockholders' Equity (Details) - Common Stock Warrants Expiration Schedule - shares	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013
Common Stock Warrants Expiration Schedule [Abstract]
2015	17,443,167
2016	1,000,000
2017	11,764,706
2018	5,000,000
Total	35,207,873	60,887,040	63,092,278

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Note 2 - Going Concern (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Going Concern Disclosure [Abstract]
Cash and Cash Equivalents, at Carrying Value	$ 112,063	$ 121,880	$ 257	$ 5,757
Deficit Working Capital	$ 6,461,748

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Note 13 - Commitments and Contingencies (Details) - USD ($)	Aug. 11, 2014	Apr. 07, 2014	Oct. 17, 2013	Aug. 21, 2014	Apr. 30, 2009
Note 13 - Commitments and Contingencies (Details) [Line Items]
Loss Contingency, Estimate of Possible Loss			$ 3,500,000
Default Interest Rate			20.00%
Madoff Energy Holdings [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Promissory Note Failed To Repay, Amount					$ 87,190.00
Litigation Settlement, Amount	$ (130,000.00)
Madoff Energy Holdings [Member] | Interest Rate from October 2008 to April 30 2009 [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Promissory Note Failed to Repay, Interest Rate					5.00%
Madoff Energy Holdings [Member] | Interest Rate from April 30 2009 and thereafter [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Promissory Note Failed to Repay, Interest Rate					18.00%
Madoff Energy Holdings [Member] | Prinicipal Amount [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount		$ (122,939.68)
Madoff Energy Holdings [Member] | Attorney Fees [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount		(12,860.70)
Madoff Energy Holdings [Member] | Additional Settlement Amount for Appeal to the Court of Appeals [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount		(10,000.00)
Madoff Energy Holdings [Member] | Additional Settlement Amount for Appeal to the Texas Supreme Court [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount		$ (7,500.00)
Madoff Energy Holdings [Member] | Interest Rate on Settlement Amount until Paid [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount Percentage		5.00%
Madoff Energy Holdings [Member] | Monthly Payment on Settlement Amount [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Litigation Settlement, Amount	$ (30,000.00)
BWC Management [Member] | Promissory Note 1 of 3 [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Promissory Note Failed To Repay, Amount				$ 73,006.00
BWC Management [Member] | Summary Amount of Promissory Notes 2 and 3 of 3 [Member]
Note 13 - Commitments and Contingencies (Details) [Line Items]
Promissory Note Failed To Repay, Amount				$ 100,000.00

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Note 1 - Organization and Basis of Presentation (Tables)

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Schedule of Credit Losses for Financing Receivables, Current [Table Text Block]

	June 30, 2015			December 31, 2014
Trade receivables	$	1,484,892		$	2,265,534
Less: Allowance for doubtful accounts		(181,023	)		(155,000	)
Net accounts receivable	$	1,303,869		$	2,110,534

Schedule of Inventory, Current [Table Text Block]

	June 30, 2015		December 31, 2014
Raw materials	$	486,885	$	412,978
Finished goods		697,768		574,756
Total inventory	$	1,184,653	$	987,734

Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]

	Accounts Receivable			Revenue
Customer A		24	%		16	%
Customer B		16	%		6	%
Customer C		14	%		1	%
Customer D		13	%		16	%
		67	%		39	%

	Accounts receivable			Revenue
Customer A		16	%		0	%
Customer B		15	%		29	%
Customer C		11	%		12	%
		42	%		41	%

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Note 3 - Factoring Payable (Details) - USD ($)	Oct. 01, 2014	Jun. 30, 2015	Dec. 31, 2014
Note 3 - Factoring Payable (Details) [Line Items]
Restricted Cash and Cash Equivalents, Current		$ 147,574	$ 283,392
ESP Petrochemicals [Member] | Transfac Capital, Inc. [Member]
Note 3 - Factoring Payable (Details) [Line Items]
Accounts Receivable Factoring Term	2 years
Accounts Receivable Factoring Servicing Fee Minimum, Percentage	0.75%
Accounts Receivable Factoring Servicing Fee Minimum Amount	$ 10
Long-term Debt, Gross		866,153
Restricted Cash and Cash Equivalents, Current		$ 147,574

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Note 6 - Long-Term-Debt Vendor Deferred Payment (Tables)

6 Months Ended

Jun. 30, 2015

Vendor Deferred Payments [Member]

Note 6 - Long-Term-Debt Vendor Deferred Payment (Tables) [Line Items]

Schedule of Debt [Table Text Block]

	June 30, 2015			December 31, 2014
The Company reached an agreement with certain vendors to exchange payables for term debentures with a annual interest rates of 5% or prime plus 1.5% payable monthly between $22,551 and $10,000 and maturing between October 2014 and September 2018	$	1,285,528		$	1,285,528
Less current maturities		(1,285,528	)		(1,285,528	)
Total long-term debt	$	-		$	-

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Note 2 - Going Concern

6 Months Ended

Jun. 30, 2015

Going Concern Disclosure [Abstract]

Going Concern Disclosure [Text Block]

Note 2 – Going Concern

At June 30, 2015, the Company had cash and cash equivalents of $112,063 and a working capital deficit of $6,461,748. The Company believes that its existing capital resources may not be adequate to enable it to execute its business plan. These conditions raise substantial doubt as to the Company’s ability to continue as a going concern. The Company estimates that based on its current operating plan and condition, it will require additional cash resources during 2015 and 2016.

The Company’s ability to continue as a going concern is dependent on its ability to raise the required additional capital or debt financing to meet short and long-term operating requirements. The Company believes that future private placements of equity capital and debt financing are needed to fund our long-term operating requirements. The Company may also encounter business endeavors that require significant cash commitments or unanticipated problems or expenses that could result in a requirement for additional cash. If the Company raises additional funds through the issuance of equity or convertible debt securities, the percentage ownership of current shareholders could be reduced, and such securities might have rights, preferences or privileges senior to the Company’s common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, the Company may not be able to take advantage of prospective business endeavors or opportunities, which could significantly and materially restrict our operations. The Company is continuing to pursue external financing alternatives to improve our working capital position. If the Company is unable to obtain the necessary capital, the Company may have to cease operations.

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Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Accumulated depreciation (in Dollars)	$ 2,305,326	$ 2,253,686
Preferred stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares outstanding	0	0
Common stock, par value (in Dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	350,000,000	350,000,000
Common stock, shares issued	237,830,249	237,830,249
Common stock, shares outstanding	237,830,249	237,830,249

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Note 12 - Related Party Transactions

6 Months Ended

Jun. 30, 2015

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

Note 12 – Related Party Transactions

As of June 30, 2015 and December 31, 2014, the Company had balances due to related parties as follows:

	June 30, 2015		December 31, 2014
Due to officer	$	376,395	$	356,583
Due to ESP Enterprises		55,790		55,790
Total due to related parties	$	432,185	$	412,373

The above balances are unsecured, due on demand and bear no interest.

On August 15, 2014 the Company granted 28,000,000 shares of restricted stock to David Dugas, Chief Executive Officer and 28,000,000 shares of restricted stock to Tony Primeaux Vice President for their provision of personal guarantees on the Transfac Financing Agreement.

On March 19, 2014 the Company acquired a vehicle under a lease with a related party with a 3 year term and a monthly payment of $869. The Company evaluated the application of ASC 440-30, “Leases - Capital lease” and concluded that the lease constituted a capital lease.

On June 1, 2013, the Officers agreed to defer a portion of their salaries until such time as cash flow allowed. As of June 30, 2015, $106,667 has been deferred and reflected as a liability due to related parties.

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Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 13, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	ESP Resources, Inc.
Document Type	10-Q
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		237,830,249
Amendment Flag	false
Entity Central Index Key	0001346526
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Smaller Reporting Company
Entity Well-known Seasoned Issuer	No
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2

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Note 13 - Commitments and Contingencies

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure [Text Block]

Note 13 – Commitments and Contingencies

Legal proceedings 

Daniel A. Spencer v. ESP Advanced Technologies, Inc.

The District Court of Caddo Parish, Louisiana entered a default judgment in favor of Daniel Spencer and against ESP Advanced Technologies, Inc. on October 17, 2013 for $3,500,000, together with future interest from October 14, 2013, until paid, at a rate of 20% per annum for default after service. All of the operations of ESP Advanced Technologies, Inc. were discontinued on June 11, 2013. The Company believes this judgment is without merit and will vigorously pursue post-judgment remedies to set aside the judgment and have it annulled under Louisiana law. Management does not consider the potential for loss to be probable. Accordingly, the judgment amount was not accrued.

ESP Petrochemicals, Inc. v. Shane Cottrell, Platinum Chemicals, LLC, Ladd Naquin, Joe Lauer, Patrick Williams, Ralph McClelland and Ronald Walling

On March 2, 2012, the Company filed a trade secret infringement lawsuit to protect its rights against a former employee, a competitor and officers of the competitor. On November 21, 2012, an Agreed Final Judgment was entered in the lawsuit against the Defendants. Under the terms of the Agreed Final Judgment, the Defendants cannot offer or sell any chemical product or related services to a number of entities or in conjunction with any operations within designated Texas Railroad Commission districts for specified periods of time as long as ESP Petrochemicals is in conformance with the terms of the Agreed Final Judgment. The name of the entities, the lists of designated districts and the specific time periods are delineated in the Agreed Final Judgment. Additionally, the Defendants are not to solicit or recruit any ESP Petrochemical employees, they must turn over any “ESP Information” (as that term is described in the Agreed Final Judgment) and they cannot directly or indirectly, offer, market, advertise, promote or otherwise describe in any way a product to a customer, prospective customer or third party, as being derived from ESP Petrochemical formula or an equivalent.

Alfredo Ledesma and Turf Chemistry, Inc. v. ESP Resources, Inc., ESP Petrochemicals, Inc.and Gerard Allen Primeaux

On June 16, 2011, Alfredo Ledesma and Turf Chemistry, Inc. filed their original Petition against ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux in the District Court, 93rd Judicial District, Hidalgo County, Texas. On August 19, 2011, ESP Resources, Inc. filed its Original Answer to the Original Petition. On January 23, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their First Amended Original Petition. On April 11, 2012, Gerard Primeaux filed his Original Answer. On May 10, 2012, Alfredo Ledesma and Turf Chemistry, Inc. filed their Second Amended Original Petition. On January 17, 2014, Alfredo Ledesma and Turf Chemistry, Inc. filed their Third Amended Original Petition. The Petition alleged that ESP had breached, by failing to satisfy the terms of the agreement and pay the agreed upon amounts, the letter of intent to enter into an Asset Purchase Agreement between ESP and Ledesma and Turf, whereby ESP agreed to acquire the assets and liabilities of Turf and relieve Ledesma of certain debt obligations. On February 14, 2014, ESP Resources, Inc., ESP Petrochemicals, Inc. and Gerard Allen Primeaux filed their First Answer, Special Exceptions, Affirmative Defenses and Counterclaims. On or about April 25, 2014, all parties, without admitting liability, entered into and executed a Settlement Agreement and Release of Claims. The Settlement Agreement was fully satisfied during the three months ending March 31, 2015.

Madoff Energy Holdings, LLC v. ESP Resources, Inc.

On September 4, 2013, Madoff Energy Holdings, LLC filed its Original Petition against ESP Resources, Inc. in the District Court, 295th Judicial District, Harris County, Texas. On October 1, 2013, ESP filed its Answer. On November 25, 2013, Madoff filed its First Amended Petition alleging that ESP failed to repay a Promissory Note, executed on April 30, 2009, in sum of $87,190.00, plus interest on any unpaid balance owed at the rates of 5% per annum from October 30, 2008 to April 30, 2009, and 18% per annum after April 30, 2009.  On or about March 19, 2014, Madoff filed a Motion for Summary Judgment. On or about March 24, 2014, ESP filed its Response. On April 7, 2014, the Court issued an Order Granting Madoff’s Motion for Summary Judgment and granting damages in the principal sum of $122,939.68; attorneys fees in the amount of $12,860.70, plus $10,000.00 should the judgment be appealed to the Texas Court of Appeals, plus $7,500.00 should the judgment be appealed to the Texas Supreme Court; costs of court; and post-judgment interest at 5% per annum on the total amount of the judgment from the date immediately following entry of the judgment until paid. On April 15, 2014, ESP filed its Notice of Appeal of the Final Judgment with the First Court of Appeals, Houston, Texas. On June 30, 2014, ESP filed its Brief for the Appellant. On July 30, 2014, Madoff filed its Brief for the Appellee. On August 18, 2014, ESP filed its Reply Brief for the Appellant. In August 2014, Madoff and ESP, in order to avoid the further expense of litigation, jointly prepared a Forbearance and Payment Agreement, effective August 11, 2014, whereby ESP agreed to pay Madoff $130,000.00 pursuant to a payment schedule of $30,000.00 per month for eleven months. On September 3, 2014, Andrew Madoff, CEO of Madoff Energy Holdings, Inc., died. On September 18, 2014, Madoff and ESP filed with the First Court of Appeals a Joint Appellant and Appellee Motion to Abate the Appeal to preserve the rights of both parties until such time as the Forbearance and Payment Agreement could be executed. On September 23, 2014, the Court issued a Writ granting the Motion to Abate the Appeal. On or about March 9, 2015, the Executor of Mr. Madoff’s Estate executed the Forbearance and Payment Agreement on behalf of the Estate. To date, ESP Resources, Inc. is making payments pursuant to the agreed upon Payment Schedule in accordance with the terms of the Forbearance and Payment Agreement. On April 21, 2015, the First Court of Appeals directed the parties to advise the Court of the status of the proceedings or file a motion to reinstate and dismiss the appeal. On May 4, 2015, Appellant ESP, through letter motion, requested that the First Court of Appeals dismiss the appeal. On May 21, 2015, the First Court of Appeals granted Appellant ESP Resources, Inc.’s Motion to Dismiss the Appeal.

BWC Management, Inc. v. ESP Resources, Inc. (f/k/a Pantera Petroleum, Inc.)

On April 25, 2013, BWC Management, Inc. filed its Original Petition against ESP Resources, Inc. in the District Court, 113th Judicial District, Harris County, Texas. On May 31, 2013, ESP Resources, Inc. filed its Original Answer. On August 5, 2014, BWC filed its Motion for Partial Summary Judgment against ESP. On August 21, 2014, BWC filed its First Amended Petition against ESP alleging that ESP had defaulted on three promissory notes documenting a series of loans with BWC as lender: a promissory note in sum of $73,006.00, due on September 30, 2012; and two promissory notes in sum of $100,000.00, each, due on September 30, 2012 when ESP allegedly failed to pay the $73,006.00 note. On August 25, 2014, ESP filed its Response to BWC’s Motion for Partial Summary Judgment. On August 25, 2014, BWC filed its Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 27, 2014, ESP filed its Sur Reply to BWC’s Reply to ESP’s Response to BWC’s Motion for Partial Summary Judgment. On August 28, 2014, ESP filed a No-Evidence Motion for Summary Judgment against BWC. On September 4, 2014, BWC filed its Response to ESP’s No-Evidence Motion for Summary Judgment. On September 12, 2014, ESP filed its Reply to BWC’s Response to ESP’s No-Evidence Motion for Summary Judgment. On September 15, 2014, the Court issued an Order denying BWC’s Motion for Summary Judgment. On October 27, 2014, the Court issued an Order denying final Summary Judgment. Trial of this action was held on March 30 and March 31, 2015 resulting in a verdict for BWC Management, Inc. On May 8, 2015, the Court issued a Final Judgment and Order disposing of all parties and all claims and was appealable by ESP. On June 5, 2015, ESP filed a Motion for a New Trial. On June 19, 2015, BWC filed its Response to ESP’s Motion for a New Trial. On July 9, 2015, ESP filed its Reply to BWC’s Response to ESP’s Motion for a New Trial. On July 10, 2015, the Court issued an order denying ESP Resources, Inc.’s Motion for a New Trial.

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Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
SALES, NET	$ 1,582,254	$ 2,628,359	$ 3,794,195	$ 5,781,124
COST OF GOODS SOLD	573,514	1,120,351	1,186,264	2,590,694
GROSS PROFIT	1,008,740	1,508,008	2,607,931	3,190,430
General and administrative	1,443,001	1,885,341	2,995,317	3,743,445
Depreciation and amortization	119,093	135,628	240,628	315,628
Loss on disposal of assets	10,825	2,746	10,825	18,915
LOSS FROM OPERATIONS	(564,179)	(515,707)	(638,839)	(887,558)
OTHER INCOME (EXPENSE)
Interest expense	(177,209)	(99,492)	(218,037)	(208,061)
Factoring fees	(46,266)	(70,654)	(105,388)	(137,981)
Amortization of debt discount		(56,269)		(208,393)
Other (expense) income, net	16,117	18,585	11,432	27,973
Change in derivative liability	54,807	57,443	51,310	(8,383)
Gain on Extinguishment of debt	46,746		244,742
Total other expense	(105,805)	(150,387)	(15,941)	(534,845)
NET LOSS	$ (669,984)	$ (666,094)	$ (654,780)	$ (1,422,403)
NET LOSS PER SHARE (basic and diluted) (in Dollars per share)	$ 0.00	$ 0.00	$ 0.00	$ (0.01)
WEIGHTED AVERAGE SHARES OUTSTANDING (in Shares)	237,830,249	156,520,359	237,830,249	156,376,105

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Note 7 - Long Term-Debt

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Long-term Debt [Text Block]

Note 7- Long Term-Debt

Long-term debt consisted of the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Equipment secured note payable - the note bears interest at a rate of 7.5% per annum, is payable in monthly installments of $2,522 and matured April 2015.	$	-		$	3,016
Vehicle secured notes payable - the notes bear interest at rates between 9.49% and 0% per annum, are payable in monthly installments between $698 and $1,832 and matures between August 2015 and March 2020.		187,020			385,328
On April 13, 2013, the Company borrowed $50,150 from a bank with an annual interest rate of 5.8% and a term of 36 months with payments of $1,170		25,555			31,731
Unsecured notes payable - the notes bear interest at 5% per annum and are due between April 2009 and July 2013 and are in default		343,000			359,968
Total		555,575			780,043
Less current maturities		(502,109	)		(669,005	)
Total long-term debt	$	53,466		$	111,038

Minimum principal payments due under the long-term debt for the 5 years following June 30, 2015 are as follows:

2016	$	502,109
2017		28,833
2018		8,894
2019		9,302
2020		6,437

During the six months ended June 30, 2015, the Company purchased a vehicle through the issuance of debt with a principal amount of $51,896. The note bears interest at 4.5% per annum, is secured by the underlying vehicle, matures during March 2020 and requires monthly payments of $818.

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Note 6 - Long-Term-Debt Vendor Deferred Payment

6 Months Ended

Jun. 30, 2015

Long Term Debt On Vendor Deferred Payment [Abstract]

Long Term Debt On Vendor Deferred Payment [Text Block]

Note 6 - Long-Term-Debt Vendor Deferred Payment

Long-term debt on vendor deferred payments consisted of the following at June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
The Company reached an agreement with certain vendors to exchange payables for term debentures with a annual interest rates of 5% or prime plus 1.5% payable monthly between $22,551 and $10,000 and maturing between October 2014 and September 2018	$	1,285,528		$	1,285,528
Less current maturities		(1,285,528	)		(1,285,528	)
Total long-term debt	$	-		$	-

During 2013 the Company and certain of its trade vendors agreed to convert existing accounts payable balances totaling $1,104,407 to 5% notes in the aggregate principal amount of $1,104,407 with monthly payments ranging from $1,409 to $22,551 continuing to between October 15, 2014 and September 21, 2018. The trade vendors agreed to subordinate its position to any provider of new debt, excluding a trade vendor.

On May 25, 2012, the Company reached an agreement with a Vendor to exchange accounts payable for a term debenture of $450,000 with an annual interest rate of prime plus 1.5% payable monthly of $10,000 plus interest.

The Company evaluated the application of ASC 470-50, “Modifications and Extinguishments” and ASC 470-60, “Troubled Debt Restructurings by Debtors” and concluded that the revised terms constituted a troubled debt restructuring, rather than a debt extinguishment or debt modification.

As of June 30, 2015, the Company was unable to make the required payments under the long-term debt – vendor deferred payments, so the debt is in default and is classified as current maturities. 

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Note 4 - Property and Equipment (Tables)

6 Months Ended

Jun. 30, 2015

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment [Table Text Block]

	June 30, 2015			December 31, 2014
Plant, property and equipment	$	1,692,967		$	1,597,011
Vehicles		1,455,465			1,679,220
Equipment under capital lease		505,001			596,888
Equipment under capital lease – related party		31,281			31,281
Office furniture and equipment		59,131			59,131
		3,743,845			3,963,531
Less: accumulated depreciation		(2,305,326	)		(2,253,686	)
Net property and equipment	$	1,438,519		$	1,709,845

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Note 14 - Gain on Extinguishment of Debt

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

Note 14 – Gain on Extinguishment of Debt

During the six months ended June 30, 2015 the Company reached final settlement with certain vendors with a liabilities of $320,795 with payments of $138,093; the final payment on the Alfredo Ledesma settlement with liabilities of $38,937 with a final payment of $7,500; the net liabilities from discontinued operations reduced the liabilities from $18,095.12 with the payments of $2,378.35 and the restructuring of convertible debenture and accrued interest of $314,868 with a new demand note of $300,000 resulting in a gain from extinguishment of debt of $244,742 for the six month period ended June 30, 2015.

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Note 10 - Derivative Liability

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Derivatives and Fair Value [Text Block]

Note 10 – Derivative liability

The Company evaluated whether its warrants and convertible debt instruments contain provisions that protect holders from declines in its stock price or otherwise could result in modification of either the exercise price or the shares to be issued under the respective warrant agreements. The November 14, 2012 16% convertible debenture and associated warrants included down-round provisions which reduce the exercise price of the warrants and the conversion price of the convertible instrument if the company either issues equity shares for a price that is lower than the exercise price of those instruments or issues new warrants or convertible instruments that have a lower exercise price. The Company determined that a portion of its outstanding warrants and conversion instrument contained such provisions thereby concluding they were not indexed to the Company’s own stock and therefore a derivative instrument in accordance with ASC 815 “Derivatives and Hedging.”

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at November 14, 2012 is as follows:

	Warrant			Debenture
Stock price		$0.07			$0.07
Term (years)		5			1.5
Volatility	112%	-	593%	112%	-	159%
Risk-free interest rate		0.22%			0.63%
Exercise prices	$0.09	to	0.00255	$0.085	to	0.055
Dividend yield		0.00%			0.00%

The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model. The fair value of these warrant and debenture liabilities at November 14, 2012 was $693,043 and the Company recorded them as derivative liabilities.

On December 20, 2013 the Company agreed with one of its convertible debenture holders to issued 5,000,000 Warrants with an exercise price per share of the Common Stock $0.075 and a term of 5 years. The Company estimated the fair value of derivative value of these warrants at $13,395. The Company estimated fair value of derivative of the conversion option of this debt at $158,612.

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at December 31, 2014 is as follows:

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.6	to	4.7		.5
Volatility	143%	-	202%	143%	-	202%
Risk-free interest rate		1.65%			0.04%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

The range of significant assumptions which the Company used to measure the fair value of the derivative liabilities (a level 3 input) at June 30, 2015 is as follows:

	Warrants			Debentures
Stock price		$0.01			$0.01
Term (years)	3.0	to	4.1		.1
Volatility	143%	-	199%	143%	-	199%
Risk-free interest rate		1.01%			0.02%
Exercise prices	$0.075	to	0.002	$0.05	to	0.02
Dividend yield		0.00%			0.00%

The Company analyzed the warrants and conversion feature under ASC 815 Derivatives and Hedging to determine the derivative liability. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model. The fair value of these derivative liabilities at December 31, 2014 was $255,168 and 203,858 at June 30, 2015. The change in the fair value of derivative liabilities resulted in a mark to market change of $51,310 and $8,383 for the period ended June 30, 2015 and 2014, respectively. 

The following table sets forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of June 30, 2015.

	Carrying Value at		Fair Value Measurement at June 30, 2015
	June 30, 2015		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	139,230	$	-	$	-	$	139,230
Derivative warrant liability	$	64,628	$	-	$	-	$	64,628
Total derivative liability	$	203,858	$	-	$	-	$	203,858

The following table sets forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis as of December 31, 2014.

	Carrying Value at		Fair Value Measurement at December 31, 2014
	December 31, 2014		Level 1		Level 2		Level 3
Liabilities:
Derivative convertible debt liability	$	181,165	$	-	$	-	$	181,165
Derivative warrant liability	$	74,003	$	-	$	-	$	74,003
Total derivative liability	$	255,168	$	-	$	-	$	255,168

Changes in the derivative liability for the periods ended June 30, 2015 and December 31, 2014 consist of:

	Six month period Ended June 30, 2015			Year Ended December 31, 2014
Beginning of year derivative liability	$	255,168		$	263,875
Change in derivative due to repayment		(50,427	)
Change in derivative liability – mark to market		(883	)		(8,707	)
Derivative liability at end of period	$	203,858		$	255,168

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Note 11 - Stockholders' Equity (Details) - Stock Option Activity Summary - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013
Stock Option Activity Summary [Abstract]
Outstanding, Number of Shares	52,485,000	52,895,000	52,930,000
Outstanding, Weighted - average Exercise Price	$ 0.12	$ 0.12	$ 0.12
Outstanding, Weighted - average Remaining Contractual Term (years)	6 years 6 months	6 years 328 days	7 years 328 days
Exercisable, Number of Shares	49,685,000	50,095,000
Exercisable, Weighted - average Exercise Price	$ 0.12	$ 0.12
Exercisable, Weighted - average Remaining Contractual Term (years)	6 years 146 days	6 years 328 days
Expired/Forfeited, Number of Shares	(410,000)	(35,000)
Expired/Forfeited, Weighted - average Exercise Price	$ (0.15)	$ (0.14)
Expired/Forfeited, Weighted - average Remaining Contractual Term (years)		6 years 219 days

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Note 8 - Capital Lease Obligations

6 Months Ended

Jun. 30, 2015

Leases, Capital [Abstract]

Capital Leases in Financial Statements of Lessee Disclosure [Text Block]

Note 8 – Capital Lease Obligations

ESP Petrochemicals leases certain office equipment, warehouse equipment and special purpose equipment and vehicles under capital leases. Long-term capital leases consisted of the following at June 30, 2015 and December 31, 2014:

	Year			Borrowed Amount		Term in months			Monthly payment			June 30, 2015			December 31, 2014
												$	-		$	-
Warehouse equipment		2013		$	26,313		36			$731			5,383			10,127
Vehicles	2010	-	2014	$	368,766	21	-	72	$887	-	1,905		28,118			48,479
Office equipment		2014		$	10,140		24			$260			8,339			9,953
Special purpose equipment	2011	-	2012	$	125,000		24			$6,065			98,133			115,000
Total capital lease													139,973			183,559
less current portion													(84,842	)		(99,240	)
Total long-term capital lease												$	55,131		$	84,319

On March 19, 2014, the Company acquired a vehicle under a lease with a related party with a 3-year term and a monthly payment of $869. The Company evaluated the application of ASC 4840-30, “Leases - Capital leases” and concluded that the lease constituted a capital lease.

On December 31, 2014 the Company extended the lease on specialized equipment for 2 years with a monthly lease payment of $6,065, bargain purchase and the Company granted to the leaseholder 200,000 shares with a fair value of $2,000 which was accounted for as stock compensation. The Company evaluated the application of ASC 4840-30, “Leases - Capital leases” and concluded that the lease constituted a capital lease. 

The future payments under the capital lease are as follows:

2015	$	84,842
2016	$	53,248
2017	$	1,883

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Note 9 - Convertible Debentures

6 Months Ended

Jun. 30, 2015

Convertible Debentures [Abstract]

Convertible Debentures [Text Block]

Note 9 – Convertible Debentures

The following reflects the Convertible debentures for the periods ended June 30, 2015 and December 31, 2014.

	June 30, 2015			December 31, 2014
On January 27, 2012, the Company received proceeds of $130,000 from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest is past due and continues to accrue at 16%.	$	30,000			130,000
On December 20, 2013, the Company amended the debenture initially issued November 14, 2012 in which proceeds of $750,000 was received from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest accrues at 18%.		627,000			762,000
On November 14, 2012, the Company received proceeds of $250,000 from the sale of 16% Convertible Subordinated Debentures. Interest was due March 1, 2013, June 1, 2013 and September 1, 2013. The Company is in default and interest is past due and accrues at 18%.		250,000			250,000
Total		907,000			1,142,000
Less current maturities		(907,000	)		(1,142,000	)
Total Long-term convertible debentures	$	-		$	-

On January 27, 2012, the Company received proceeds of $130,000 from the sale of 16% Convertible Subordinated Debentures (the “January 2012 Debentures”). The January 2012 Debentures are subordinate to all other secured debt of the Company, pay 16% interest per annum in cash quarterly and are convertible into the Company’s common stock by the investors at any time at a minimum conversion price per share of $0.15. On March 1, 2013, June 1, 2013 and September 1, 2013, the Company was required to redeem one quarter, one quarter and one half, respectively, of the face value of the balance of the January 2012 Debentures in cash. In addition, the investors received 100% of the number of shares of common stock that the purchase amount would buy in warrants at the conversion price of $0.15, or a total of 866,667 warrants, with a 3-year term. The Company does not have any registration obligation in regard to the common stock. The Company analyzed the conversion option under ASC 815 and determined equity classification was appropriate. The Company then analyzed the conversion option under ASC 470-20 for consideration of a beneficial conversion feature and determined the option had intrinsic value on the date of issuance. The Company recorded a discount from the relative fair value of the warrants and the intrinsic value of the conversion option of $71,291. The Company valued the warrants using the Black-Scholes option pricing model with the following assumptions: stock price on the measurement date of $0.114; warrant term of 3 years; expected volatility of 156%; and discount rate of 0.32% and accounted for them as debt discount, which will be amortized over the term of the loan which expires September 1, 2013.  During the six months ended June 30, 2015 the holder of $100,000 of the January 2012 Debentures agreed to convert this instrument plus accrued interest of $38,119 plus the accrued interest on a demand note of $26,149 into the demand promissory note of $150,000, the Company recognized a gain on extinguishment of debt of $14,868. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors.

On November 14, 2012, the Company received proceeds of $1,000,000 from the sale of 16% Convertible Subordinated Debentures (the “November 2012 Debentures”). The November 2012 Debentures were due on March 1, 2014. The aggregate principal amount of the combined November 2012 Debentures is $1,000,000 with an interest rate of 16% per annum. The interest is payable quarterly on March 1st, June 1st, September 1st, and December 1st, beginning on March 1, 2013. The November 2012 Debentures are convertible at any time after the original issue date at a conversion price of $0.085 per share, subject to adjustments. The Company recorded a discount from the relative fair value of the conversion feature and the intrinsic value of the conversion option of $421,715. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; term of 1.5 years; expected volatility between 112% and 159%; and discount rate of 0.22% and accounted for them as debt discount, which will be amortized over the term of the loan which expired March 1, 2014. The Company analyzed the conversion option under ASC 815 and determined and recorded $449,840 derivative liability. The Company, in its sole discretion, may choose to pay interest in cash, shares of Common Stock, or in combination thereof. At the Company’s election, it may, at any time after the six-month anniversary of the transaction’s closing date, deliver a notice to the holders to redeem the then-outstanding principal amount of the November 2012 Debentures for cash. In the event the Company defaults, the outstanding principal amount of the November 2012 Debentures, plus accrued but unpaid interest, liquidated damages and other amounts owing in respect thereof through the date of acceleration, shall become, at the holders’ election, immediately due and payable in cash. In addition, the investors received 100% of the number of shares of common stock that the purchase amount would buy in warrants at the conversion price of $0.09, or a total of 11,764,706 warrants with a 5-year term. The Company recorded a discount from the relative fair value of the warrants and the intrinsic value of the conversion option of $208,685. The Company estimated the fair value of these derivatives using a Multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; warrant term of 5 years; expected volatility between 112%-593%; and discount rate of 0.63% and accounted for them as debt discount, which will be amortized over the term of the loan which expires March 1, 2014. The Company analyzed the warrants under ASC 815 and determined and recorded a $222,603 derivative liability. The November 2012 Debentures are secured by the remaining unencumbered assets of the Company. The Company’s subsidiary companies guaranteed the security agreement by agreeing to act as surety for the payment of the November 2012 Debentures. As further consideration, the Company issued a combined total of 4,000,000 shares of common stock to the investors, which the Company recorded as a debt discount $299,600 at issuance and will amortize the debt discount over the term of the debt. For the year ended December 31, 2013, the Company amortized $5,912. The Company took all actions necessary to nominate and recommend shareholder approval for the appointment of one director selected by Hillair Capital Management LLC to ESP’s Board of Directors. Hillair declined the board seat. In conjunction with this debenture, the Company paid $70,000 of professional fees and record these fees as debt discount to be amortized over the term of the debenture. The Company determined that the debenture and warrant had derivative features and derivative liabilities were established for each.

On September 30, 2013 the Company agreed with its convertible debenture holders to amend and restate the November 2012 Debenture. The September 1, 2013 payment obligation was extended and deferred to $375,000 on December 1, 2013 and $625,000 on March 1, 2014 plus accrued interest; the conversion price was amended and restated to $0.05 from $0.085; the related warrants exercise price per share of the common stock was amended and restated to $0.075 from $0.09. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors and concluded that the revised terms did not constitute a substantial modification or a troubled debt restructuring. The amended and restated exercise price of the warrant and conversion price were valued as derivative instruments and were revalued at the fair market value of the derivative instruments at September 30, 2013.

On December 20, 2013 the Company agreed with one of its convertible debenture holders to amend and restate the November 2012 Debenture amended previously on September 30, 2013. The December 1, 2013 payment obligation was extended and deferred to $281,250 on June 1, 2014 and $468,750 on September 1, 2014 plus accrued interest. The Company issued 5,000,000 Warrants with an exercise price per share of the Common Stock $0.075 and a term of 5 years. The amended and restated exercise price of the Warrant and conversion price were valued as derivative instruments and were revalued at the fair market value of the derivative instruments at December 20, 2013 as debt discount. The Company estimated the fair value of these derivatives using a multinomial Distribution (Lattice) valuation model with the following assumptions: stock price on the measurement date of $0.07; term of 1.5 years; expected volatility between 123% and 143% and accounted for them as debt discount, which will be amortized over the term of the loan which expires September 1, 2014. The Company analyzed the conversion option under ASC 815 and determined and recorded derivative liability of these warrants at $13,365 and included in Debt discount. The Company estimated the conversion option of this debt conversion feature at $158,612 and included in debt discount. The Company evaluated the application of ASC 470-50, Modifications and Extinguishments and ASC 470-60, Troubled Debt Restructurings by Debtors and concluded that the revised terms constituted a substantial modification which resulted in a debt extinguishment. The Company recognized a loss on the extinguishment of $310,767 during 2013. Accrued interest of $12,000 was incorporated into the reissued convertible debenture principal amount.  

On December 1, 2013 the Company failed to make the amended principal payment on one if its convertible debentures dated November 14, 2012 amended on September 30, 2013. This convertible debenture is now in default. Under the terms of the convertible debenture all principal payments are now due and are reflected as current and the interest rate increased to 18%.

As of June 30, 2015 these convertible debentures are in default and have been classified as current maturities.

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Note 11 - Stockholders' Equity

6 Months Ended

Jun. 30, 2015

Stockholders' Equity Note [Abstract]

Stockholders' Equity Note Disclosure [Text Block]

Note 11 – Stockholders’ Equity

Settlement of lawsuit

On April 25, 2014, the Company reached an agreement with the former owner of Turf Chemistry, Inc., Alfredo Ledesma. As part of the settlement agreement 400,000 shares of the Company’s restricted common stock were issued.

Shares issued to officers

On August 15, 2014, the Company granted 28,000,000 shares of restricted stock to David Dugas, Chief Executive Officer and 28,000,000 shares of restricted stock to Tony Primeaux Vice President for their provision of personal guarantees on the Transfac Financing Agreement.

Common stock issued for services

On August 15, 2014, the Company issued 6,000,000 shares of its common stock to a vendor for services rendered, the shares were valued at $60,000 and recorded as stock based compensation.

On September 2, 2014, the Company issued 9,500,000 shares of its common stock to a vendor for services rendered, the shares were valued at $95,000 and recorded as stock based compensation.

On December 31, 2014, the Company issued 200,000 shares of its common stock to a lease holder for services rendered, the shares were valued at $2,000 and recorded as stock based compensation.

Shares issued for forbearance agreement

On September 2, 2014, the Company issued 9,500,000 shares of its common stock to a vendor under a forbearance agreement, the shares were valued at $95,000 and recorded as stock based compensation.

Warrants issued

The following table reflects a summary of common stock warrants outstanding and warrant activity during the periods:

	Number of warrants			Weighted Average Exercise Price			Weighted Average Term (Years)
Warrants outstanding at December 31, 2013		63,092,278		$	0.16			2.21
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(2,205,238	)		(0.09	)		-
Warrants outstanding at December 31, 2014		60,887,040		$	0.16			.67
Granted during the period		-			-			-
Exercised during period		-			-			-
Forfeited during the period		(25,679,167	)		(0.20	)		-
Warrants outstanding at June 30, 2015		35,207,873		$	0.14			.24

The Common Stock warrants expire in years ended June 30 as follows:

Year	Amount
2015		17,443,167
2016		1,000,000
2017		11,764,706
2018		5,000,000
Total		35,207,873

Stock Option Awards

During the periods ended June 30, 2015 and June 30, 2014 the Company did not grant any stock options.

On July 29, 2011, shareholders approved the 2011 STOCK OPTION AND INCENTIVE PLAN, which authorized up to 5,000,000 options shares. Under the plan the exercise price per share for the stock covered by a stock option granted pursuant shall not be less than 100% of the Fair Market Value on the date of grant. In the case of an incentive stock option that is granted to a 10% owner, the option price of such incentive stock option shall be not less than 110% of the Fair Market Value on the grant date. The term of each stock option shall be fixed but no stock option shall be exercisable more than ten years after the date the stock option is granted. In the case of an incentive stock option that is granted to a ten percent owner, the term of such stock option shall be no more than five years from the date of grant. 

Stock option activity summary covering options is presented in the table below:

	Number of Shares			Weighted- average Exercise Price			Weighted- average Remaining Contractual Term (years)
Outstanding at December 31, 2013		52,930,000			0.12			7.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(35,000	)		(0.14	)		6.6
Outstanding at December 31, 2014		52,895,000		$	0.12			6.9
Granted		-			-			-
Exercised		-			-			-
Expired/Forfeited		(410,000	)		(0.15	)		-
Outstanding at June 30, 2015		52,485,000		$	0.12			6.5
Exercisable at June 30, 2015		49,685,000		$	0.12			6.4
Exercisable at December 31, 2014		50,095,000		$	0.12			6.9

A summary of the Company’s nonvested options at June 30, 2015, and changes during the six month period ended June 30, 2015, is presented below:

	Options		Weighted Average Grant Date Fair Value
Non-vested, beginning of period		2,800,000	$	0.12
Granted		-	$	-
Vested		-	$	-
Forfeited		-	$	-
Non-vested, end of period		2,800,000	$	0.12

The following tables summarize information about stock options outstanding and exercisable at June 30, 2015:  

			Options Outstanding at June 30, 2015
Range of  Exercise Prices			Number  Outstanding		Weighted  Remaining  Contractual  Life (years)	Weighted  Average  Exercise  Price		Aggregate  Intrinsic Value(1)
$0.09	to	$0.10		28,250,000	7.2	$	0.10	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		52,485,000	6.5	$	0.12	$	-

			Options Exercisable at June 30, 2015
Range of Exercise Prices			Number Exercisable		Weighted Remaining Contractual Life (years)	Weighted Average Exercise Price		Aggregate Intrinsic Value(1)
$0.09	to	$0.10		25,450,000	7.2	$	0.09	$	-
$0.11	to	$0.12		2,000,000	6.3	$	0.12	$	-
$0.13	to	$0.15		22,235,000	5.6	$	0.15	$	-
$0.09	to	$0.15		49,685,000	6.4	$	0.12	$	-

(1) The aggregate intrinsic value in the table represents the difference between the closing stock price on June 30, 2015 and the exercise price, multiplied by the number of in-the-money options that would have been received by the option holders had all option holders exercised their options on June 30, 2015. No options were exercised during the six month period ended June 30, 2015.

During the six month period ended June 30, 2015, the Company recognized stock-based compensation expense of $137,635 related to stock options. As of June 30, 2015, there was approximately $546,688 of total unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over the remaining vesting period.

During the six month period ended June 30, 2014, the Company recognized stock-based compensation expense of $352,322 related to stock options. As of June 30, 2014, there was approximately $1,037,681 of total unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over the remaining vesting period. The aggregate intrinsic value of these options was $0 at June 30, 2014.

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Note 12 - Related Party Transactions (Details) - Due to Related Parties - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Due to Related Parties [Abstract]
Due to officer	$ 376,395	$ 356,583
Due to ESP Enterprises	55,790	55,790
Total due to related parties	$ 432,185	$ 412,373

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Note 14 - Gain on Extinguishment of Debt (Details) - USD ($)		3 Months Ended	6 Months Ended
	Sep. 02, 2014	Jun. 30, 2015	Jun. 30, 2015
Note 14 - Gain on Extinguishment of Debt (Details) [Line Items]
Debt Conversion, Converted Instrument, Amount	$ 95,000
Gains (Losses) on Extinguishment of Debt		$ 46,746	$ 244,742
Certain Trade Vendors [Member]
Note 14 - Gain on Extinguishment of Debt (Details) [Line Items]
Extinguishment of Debt, Amount			320,795
Repayments of Debt			138,093
Alfredo Ledesma [Member]
Note 14 - Gain on Extinguishment of Debt (Details) [Line Items]
Extinguishment of Debt, Amount			38,937
Repayments of Debt			7,500
Discontinued Operations [Member]
Note 14 - Gain on Extinguishment of Debt (Details) [Line Items]
Extinguishment of Debt, Amount			18,095.12
Repayments of Debt			2,378.35
Convertible Debenture and Accrued Interest Converted to a Demand Note [Member]
Note 14 - Gain on Extinguishment of Debt (Details) [Line Items]
Debt Conversion, Original Debt, Amount			314,868
Debt Conversion, Converted Instrument, Amount			$ 300,000

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Note 12 - Related Party Transactions (Details) - USD ($)	Aug. 15, 2014	Mar. 19, 2014	Jun. 30, 2015	Dec. 31, 2014
Note 12 - Related Party Transactions (Details) [Line Items]
Due to Related Parties			$ 432,185	$ 412,373
Vehicles [Member]
Note 12 - Related Party Transactions (Details) [Line Items]
Capital Lease Term		3 years
Capita lLease Monthly Payment		$ 869
Officer [Member]
Note 12 - Related Party Transactions (Details) [Line Items]
Due to Related Parties			$ 106,667
Restricted Stock [Member] | Chief Executive Officer [Member]
Note 12 - Related Party Transactions (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	28,000,000
Restricted Stock [Member] | Vice President [Member]
Note 12 - Related Party Transactions (Details) [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period	28,000,000

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Note 1 - Organization and Basis of Presentation (Details) - Customer Concentration - Customer Concentration Risk [Member]	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Accounts Receivable [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	67.00%	42.00%
Sales Revenue, Goods, Net [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	39.00%	41.00%
Customer A [Member] | Accounts Receivable [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	24.00%	16.00%
Customer A [Member] | Sales Revenue, Goods, Net [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	16.00%	0.00%
Customer B [Member] | Accounts Receivable [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	16.00%	15.00%
Customer B [Member] | Sales Revenue, Goods, Net [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	6.00%	29.00%
Customer C [Member] | Accounts Receivable [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	14.00%	11.00%
Customer C [Member] | Sales Revenue, Goods, Net [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	1.00%	12.00%
Customer D [Member] | Accounts Receivable [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	13.00%
Customer D [Member] | Sales Revenue, Goods, Net [Member]
Revenue, Major Customer [Line Items]
Customer Concentration	16.00%

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Note 9 - Convertible Debentures (Details) - Convertible Debentures - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Note 9 - Convertible Debentures (Details) - Convertible Debentures [Line Items]
Convertible Subordinated Debentures	$ 907,000	$ 1,142,000
Less current maturities	(907,000)	(1,142,000)
January 27, 2012 Convertible Subordinated Debentures [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures [Line Items]
Convertible Subordinated Debentures	30,000	130,000
December 20, 2013 Amended Convertible Subordinated Debentures [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures [Line Items]
Convertible Subordinated Debentures	627,000	762,000
November 14, 2012 Convertible Debenture [Member]
Note 9 - Convertible Debentures (Details) - Convertible Debentures [Line Items]
Convertible Subordinated Debentures	$ 250,000	$ 250,000

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Accounting Policies, by Policy (Policies)

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

Basis of Accounting, Policy [Policy Text Block]

Basis of Presentation

The accompanying unaudited condensed interim consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America and with the rules and regulations of the Securities and Exchange Commission to Form 10-Q and Article 8 of Regulation S-X.  These unaudited condensed interim consolidated financial statements should be read in conjunction with the financial statements of the Company for the year ended December 31, 2014 and notes thereto contained in the information as part of the Company’s Annual Report on Form 10-K filed with the SEC on April 15, 2015. Notes to the consolidated financial statements which would substantially duplicate the disclosure contained in the audited financial statements for fiscal 2014 as reported in the Form 10-K have been omitted. In the opinion of management, the unaudited interim consolidated financial statements furnished reflect all adjustments (consisting of normal recurring adjustments) which are necessary to present fairly the financial position and the results of operations for the interim periods presented herein.  Unaudited interim results are not necessarily indicative of the results for the full year. Any reference herein to “ESP Resources,” the “Company,” “we,” “our” or “us” is intended to mean ESP Resources, Inc. including the subsidiaries indicated above, unless otherwise indicated.

Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed

The Company reviews its long-lived assets and identifiable finite-lived intangibles for impairment on an annual basis and whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The first step of the impairment test, used to identify potential impairment, compares undiscounted future cash flows of the asset or asset group with the related carrying amount. If the undiscounted future cash flows of the asset or asset group exceed its carrying amount, the asset or asset group is not considered to be impaired and the second step is unnecessary. If such assets were considered to be impaired, the impairment to be recognized would be measured by the amount by which the carrying amount of the assets exceeds the fair market value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell.

Use of Estimates, Policy [Policy Text Block]

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]

Restricted Cash

Under the terms of the Factoring payable, the Company may obtain advances of up to 100% of the amount of eligible accounts receivable, subject to a 0.75% per 15 days factoring fee, with 10% held in a restricted cash reserve account, which is released to the Company upon payment of the receivable. As of June 30, 2015 and December 31, 2014, restricted cash totaled $147,574 and $283,392, respectively.

Receivables, Trade and Other Accounts Receivable, Allowance for Doubtful Accounts, Policy [Policy Text Block]

Accounts Receivable and Allowance for Doubtful Accounts

The Company generally does not require collateral, and the majority of its trade receivables are unsecured. The carrying amount for accounts receivable approximates fair value.

Accounts receivable consisted of the following as of June 30, 2015 and December 31, 2014:

	June 30, 2015			December 31, 2014
Trade receivables	$	1,484,892		$	2,265,534
Less: Allowance for doubtful accounts		(181,023	)		(155,000	)
Net accounts receivable	$	1,303,869		$	2,110,534

Accounts receivable are periodically evaluated for collectability based on past credit history with clients. Provisions for losses on accounts receivable are determined on the basis of loss experience, known and inherent risk in the account balance and current economic conditions.

Inventory, Policy [Policy Text Block]

Inventories

Inventory represents raw and blended chemicals and other items valued at the lower of cost or market with cost determined using the first-in first-out method, and with market defined as the lower of replacement cost or realizable value.

As of June 30, 2015 and December 31, 2014, inventory consisted of the following:

	June 30, 2015		December 31, 2014
Raw materials	$	486,885	$	412,978
Finished goods		697,768		574,756
Total inventory	$	1,184,653	$	987,734

Derivatives, Policy [Policy Text Block]

Derivatives

The valuation of our embedded derivatives and warrant derivatives are determined primarily by the multinomial distribution (Lattice) model. An embedded derivative is a derivative instrument that is embedded within another contract, which under the convertible note (the host contract) includes the right to convert the note by the holder, certain default redemption right premiums and a change of control premium (payable in cash if a fundamental change occurs). In accordance with Accounting Standards Codification (“ASC”) 815 “Derivatives and Hedging”’, as amended, these embedded derivatives are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. A warrant derivative liability is also determined in accordance with ASC 815. Based on ASC 815, warrants which are determined to be classified as derivative liabilities are marked-to-market each reporting period, with a corresponding non-cash gain or loss charged to the current period. The practical effect of this has been that when our stock price increases so does our derivative liability and resulting in a non-cash loss charge that reduces our earnings and earnings per share. When our stock price declines, we record a non-cash gain, increasing our earnings and earnings per share. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, there exists a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:

●	Level 1 -	unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access as of the measurement date.
●	Level 2 -	inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data.
●	Level 3 -	unobservable inputs for the asset or liability only used when there is little, if any, market activity for the asset or liability at the measurement date.

This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value.

To determine the fair value of our embedded derivatives, management evaluates assumptions regarding the probability of certain future events. Other factors used to determine fair value include our period end stock price, historical stock volatility, risk free interest rate and derivative term. The fair value recorded for the derivative liability varies from period to period. This variability may result in the actual derivative liability for a period either above or below the estimates recorded on our consolidated financial statements, resulting in significant fluctuations in other income (expense) because of the corresponding non-cash gain or loss recorded.

Concentration Risk, Credit Risk, Policy [Policy Text Block]

Concentration

The Company has four major customers that together account for 67% of accounts receivable at June 30, 2015 and 39% of the total revenues earned for the period ended June 30, 2015.

	Accounts Receivable			Revenue
Customer A		24	%		16	%
Customer B		16	%		6	%
Customer C		14	%		1	%
Customer D		13	%		16	%
		67	%		39	%

The Company has three vendors that accounted for 40%, 25%, and 24% of purchases for the period ended June 30, 2015.

The Company has three major customers that together account for 42% of accounts receivable at June 30, 2014 and 41% of the total revenues earned for the period ended June 30, 2014. 

	Accounts receivable			Revenue
Customer A		16	%		0	%
Customer B		15	%		29	%
Customer C		11	%		12	%
		42	%		41	%

The Company has two vendors that accounted for 37% and 10% of purchases for the six months ended June 30, 2014.

Revenue Recognition, Policy [Policy Text Block]

Revenue and Cost Recognition

The Company through its wholly owned subsidiary, ESP Petrochemicals, Inc., is a custom formulator of petrochemicals for the oil and gas industry. Since the products are specific to each location, the receipt of an order or purchase order starts the production process. Once the blending takes place, the order is delivered to the land site or dock. When the containers of blended petrochemicals are off-loaded at the dock, or are stored on the land site, a delivery ticket is obtained, an invoice is generated and Company recognizes revenue. The invoice is generated based on the credit agreement with the customer at the agreed upon price.

Revenue is recognized when title and risk of loss have transferred to the customer and when contractual terms have been fulfilled. Transfer of title and risk of loss occurs when the product is delivered in accordance with the contractual shipping terms, generally to a land site or dock. Revenue is recognized based on the credit agreement with the customer at the agreed upon price.

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]

Stock-based Compensation

The Company accounts for stock-based compensation to employees in accordance with ASC 718 “Stock-based compensation”. Stock based compensation to employees is measured at the grant date, based on the fair value of the award, and is recognized as an expense over the requisite employee service period. The Company accounts for stock-based compensation to non-employees in accordance with ASC 505-50 “Equity-based payments to non-employees”. Equity instruments issued to non-employees are valued at the earlier of a commitment date or upon completion of the services, based on the fair value of the equity instruments and is recognized as an expense over the service period. The Company estimates the fair value of stock-based payments using the Black-Scholes option-pricing model for common stock options and warrants and the closing price of the Company’s common stock for common share issuances.

Fair Value of Financial Instruments, Policy [Policy Text Block]

Fair Value of Financial Instruments

The carrying amounts of the Company’s financial instruments including accounts payable, accrued expenses, and notes payable approximate fair value due to the relative short period for maturity of these instruments.

Reclassification, Policy [Policy Text Block]

Reclassification

Certain accounts in the prior period were reclassified to conform to the current period financial statements presentation.

New Accounting Pronouncements, Policy [Policy Text Block]

Recently Issued Accounting Pronouncements

During the period ended June 30, 2015 and through August 17, 2015, there were several new accounting pronouncements issued by the Financial Accounting Standards Board.  Each of these pronouncements, as applicable, has been or will be adopted by the Company.  Management does not believe the adoption of any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial statements.

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Note 8 - Capital Lease Obligations (Tables)

6 Months Ended

Jun. 30, 2015

Leases, Capital [Abstract]

Schedule of Capital Leased Assets [Table Text Block]

	Year			Borrowed Amount		Term in months			Monthly payment			June 30, 2015			December 31, 2014
												$	-		$	-
Warehouse equipment		2013		$	26,313		36			$731			5,383			10,127
Vehicles	2010	-	2014	$	368,766	21	-	72	$887	-	1,905		28,118			48,479
Office equipment		2014		$	10,140		24			$260			8,339			9,953
Special purpose equipment	2011	-	2012	$	125,000		24			$6,065			98,133			115,000
Total capital lease													139,973			183,559
less current portion													(84,842	)		(99,240	)
Total long-term capital lease												$	55,131		$	84,319

Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block]

2015	$	84,842
2016	$	53,248
2017	$	1,883

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Note 8 - Capital Lease Obligations (Details) - Future Payments under the Capital Lease	Jun. 30, 2015 USD ($)
Future Payments under the Capital Lease [Abstract]
2015	$ 84,842
2016	53,248
2017	$ 1,883

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Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments [Line Items]
Less current maturities	$ (1,285,528)	$ (1,285,528)
Vendor Deferred Payments [Member]
Note 6 - Long-Term-Debt Vendor Deferred Payment (Details) - Long-term Debt on Vendor Deferred Payments [Line Items]
The Company reached an agreement with certain vendors to exchange payables for term debentures with a annual interest rates of 5% or prime plus 1.5% payable monthly between $22,551 and $10,000 and maturing between October 2014 and September 2018	1,285,528	1,285,528
Less current maturities	(1,285,528)	(1,285,528)
Total long-term debt	$ 0	$ 0

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Consolidated Statements of Cash Flow (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (654,780)	$ (1,422,403)
Adjustments to reconcile net loss to net cash provided by operating activities:
Amortization of debt discount		208,393
Loss on disposal of assets	10,825	18,915
Depreciation and amortization, net disposals	240,628	315,628
Bad debt expense	30,000	30,000
Stock and warrant based compensation	202,635	474,406
Change in derivative liability	(51,310)	8,383
Loss on Extinguishment of debt	(244,742)
Changes in operating assets and liabilities:
Accounts receivable	776,665	318,868
Inventory	(196,919)	430,126
Prepaid expenses	187,945	230,995
Other assets	362	(643)
Accounts payable	104,226	411,106
Accrued expenses	365,207	435,553
Accrued expense to related parties	19,812	39,690
Net Liabilities from discontinued operations		(4,969)
CASH PROVIDED BY OPERATING ACTIVITIES	790,554	1,494,048
CASH FLOWS FROM INVESTING ACTIVITIES
Restricted cash	135,818	(194,752)
Proceeds from the sale of vehicles and equipment	75,837	98,746
Proceeds from the sale of capital lease equipment	161,888
Purchase of property and equipment	(95,956)	(138,305)
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES	277,587	(234,311)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of long term debt	(276,365)	(325,676)
Repayment of convertible debentures	(135,000)
Repayment of capital leases	(43,586)	(121,977)
Repayment of short-term debt	(142,007)	(152,084)
Net factoring advances	(473,500)	(588,000)
Payment of settlement on contingent liabilities	(7,500)	(77,500)
CASH USED IN FINANCING ACTIVITIES	(1,077,958)	(1,265,237)
NET CHANGE IN CASH	(9,817)	(5,500)
CASH AT BEGINNING OF PERIOD	121,880	5,757
CASH AT END OF PERIOD	112,063	257
Supplemental Disclosures of Cash Flow Information
Cash paid for interest and factoring cost	330,073	290,570
Non-cash investing and financing transactions:
Notes issued for purchase of property and equipment	$ 51,896
Capital lease obligations		31,281
Assets returned to service		143,042
Capital lease expired		116,139
Shares issued on settlement of lawsuit		$ 8,000

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Note 5 - Short-Term Debt

6 Months Ended

Jun. 30, 2015

Disclosure Text Block [Abstract]

Short-term Debt [Text Block]

Note 5- Short-Term Debt

On April 8, 2013, the Company executed a demand note for $150,000 with an annual interest rate of 8%. As part of the agreement the Company granted the holder 150,000 shares of Common Stock and warrants to purchase 150,000 shares of common stock at an exercise price of $0.15 per share through April 8, 2014. The Company determined the fair value of the common stock and warrants to be $10,500 and $2,458, respectively. The aggregate fair value of $12,958 was recognized as a debt discount which is being amortized to interest expense during the year ended December 31, 2013. During the six months ended June 30, 2015 the holder of $100,000 of the January 2012 Debentures agreed to convert this instrument plus accrued interest of $38,119 plus the accrued interest on a demand note of $26,149 into a demand promissory note of $150,000.

During the year ended December 31, 2014 the Company issued notes payable to finance its insurance with an aggregate principal amount of $265,486. The notes mature in one year, bear interest at 5.7% per annum and requires equal monthly payments.

The Company made aggregate repayments on its short-term debt of $142,007 during the six months ended June 30, 2015.

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Note 11 - Stockholders' Equity (Details) - Common Stock Warrants Outstanding and Warrant Activity - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014	Dec. 31, 2013
Common Stock Warrants Outstanding and Warrant Activity [Abstract]
Outstanding, Number of warrants	35,207,873	60,887,040	63,092,278
Outstanding, Weighted Average Exercise Price	$ 0.14	$ 0.16	$ 0.16
ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingTerm	87 days	244 days	2 years 76 days
Forfeited, Number of warrants	(25,679,167)	(2,205,238)
Forfeited, Weighted Average Exercise Price	$ (0.20)	$ (0.09)

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Note 9 - Convertible Debentures (Tables)

6 Months Ended

Jun. 30, 2015

Convertible Debentures [Abstract]

Convertible Debentures [Table Text Block]

	June 30, 2015			December 31, 2014
On January 27, 2012, the Company received proceeds of $130,000 from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest is past due and continues to accrue at 16%.	$	30,000			130,000
On December 20, 2013, the Company amended the debenture initially issued November 14, 2012 in which proceeds of $750,000 was received from the sale of 16% Convertible Subordinated Debentures. The Company is in default and interest accrues at 18%.		627,000			762,000
On November 14, 2012, the Company received proceeds of $250,000 from the sale of 16% Convertible Subordinated Debentures. Interest was due March 1, 2013, June 1, 2013 and September 1, 2013. The Company is in default and interest is past due and accrues at 18%.		250,000			250,000
Total		907,000			1,142,000
Less current maturities		(907,000	)		(1,142,000	)
Total Long-term convertible debentures	$	-		$	-

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Note 4 - Property and Equipment (Details) - Property and Equipment - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	$ 3,743,845	$ 3,963,531
Less: accumulated depreciation	(2,305,326)	(2,253,686)
Net property and equipment	1,438,519	1,709,845
Property, Plant and Equipment, Other Types [Member]
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	1,692,967	1,597,011
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	1,455,465	1,679,220
Equipment under Capital Lease [Member]
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	505,001	596,888
Equipment under Capital Lease - Related Party [Member]
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	31,281	31,281
Office Furniture And Equipment [Member]
Property, Plant and Equipment [Line Items]
Plant, property and equipment gross	$ 59,131	$ 59,131

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Note 15 - Guarantee Liability

6 Months Ended

Jun. 30, 2015

Guarantees [Abstract]

Guarantees [Text Block]

Note 15 – Guarantee Liability

On November 3, 2008, ESP provided a guarantee to a director of Aurora and Boreal who loaned $120,000 to Aurora and Boreal. ESP provided this guarantee to encourage the director’s continued employment and commitment to the development of the concessions held by Aurora and Boreal, which the Company believed was vital to the future success of Aurora and Boreal. In the event that Aurora and Boreal did not repay the loan by the due date of June 1, 2009, ESP guaranteed to make the payment in the form of a convertible note due June 1, 2011. The convertible note is non-interest bearing and is convertible into common stock of ESP at $1.20 per share. In exchange for issuing the convertible note to the director, ESP will receive the right to receive payments under the director’s note receivable from Aurora and Boreal.

ESP recorded the fair value of the guarantee liability at $48,000, which represented the fair value of the note receivable from Aurora and Boreal which ESP would take over from the director. On June 1, 2009 when Aurora and Boreal did not make the required payments on their notes payable to the director, ESP determined that the value of the guarantee liability should be increased to the full face amount of the guaranteed note of $120,000, resulting in a loss on guarantee liability of $72,000 during the year ended December 31, 2010. There have been no changes in the matter during 2013 and 2014, hence the balance remains same.