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GAIN (LOSS) ON DISCONTINUED OPERATIONS	12 Months Ended
Dec. 31, 2014
Notes to Financial Statements
GAIN (LOSS) ON DISCONTINUED OPERATIONS	On June 12, 2013, the Company sold the Arkansas Lease properties under an Asset Transfer and Liability Assumption Agreement for $10 to a non-related party. The Company returned the $232,500 held by its lawyers to First Pacific, and wrote down the $250,000 Deferred Gain. This resulted in a net gain of $17,500 on the sale of its oil leases In addition, the Company paid the operator an additional $11,729 for disposal fees related to the lease; total cash paid as a result of the sale is $244,229. Due to the sale of the leases, the Asset Retirement Obligation balance of $122,484 as also removed from the books. The net effect of the transaction resulted in a gain on the sale of leases of $128,255. The result of discontinued operations is a net income of $139,980 for the year ended December 31, 2013 which composed of $132,024 in revenue, gain in sale of lease of $128,255 and expense of $120,299.

GAIN (LOSS) ON DISCONTINUED OPERATIONS

12 Months Ended

Dec. 31, 2014

On June 12, 2013, the Company sold the Arkansas Lease properties under an Asset Transfer and Liability Assumption Agreement for $10 to a non-related party. The Company returned the $232,500 held by its lawyers to First Pacific, and wrote down the $250,000 Deferred Gain. This resulted in a net gain of $17,500 on the sale of its oil leases In addition, the Company paid the operator an additional $11,729 for disposal fees related to the lease; total cash paid as a result of the sale is $244,229. Due to the sale of the leases, the Asset Retirement Obligation balance of $122,484 as also removed from the books. The net effect of the transaction resulted in a gain on the sale of leases of $128,255.

The result of discontinued operations is a net income of $139,980 for the year ended December 31, 2013 which composed of $132,024 in revenue, gain in sale of lease of $128,255 and expense of $120,299.