10-Q
2016-03-31
false
Endurance Exploration Group, Inc.
0001392902
expl
--12-31
43024369
Smaller Reporting Company
Yes
No
No
2016
Q1
355000
350000
358972
350825
679415
679415
-381421
-355800
1100
1100
658066
675540
151743
166912
233000
155500
384743
322412
384743
322412
430244
430244
6520724
6520724
-6677645
-6597840
273323
353128
658066
675540
0.001
0.001
10000000
10000000
0
0
0
0
0.01
0.01
100000000
100000000
43024369
43024369
43024369
43024369
13757
11736
4176
35876
37749
79430
72836
-79430
-72836
-375
-375
-375
-375
-0.002
0.00
43024369
37255527
-79805
-73211
25621
23351
-5000
-15169
26275
-74353
-23585
77500
23500
77500
23500
3147
-85
825
1050
3972
965
1200000
300000
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>A summary of the significant accounting policies applied in the preparation of the accompanying consolidated financial statements follows.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Description of Business</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Endurance Exploration Group, Inc. (formerly Tecton Corporation) (the “Company”) was incorporated under the laws of the State of Nevada on January 19, 2006, as a wholly-owned subsidiary of Hemis Corporation.  On December 1, 2006 Hemis declared a dividend of Tecton shares to all shareholders as of that date and concurrently cancelled its share ownership in the Company.  The effect of this dividend declaration and share cancellation was that Tecton was spun off as an independent company.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On November 8, 2013, the Board of Directors approved a change of the Company’s fiscal year from January 31, to December 31.     </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On December 31, 2013, the Company acquired 100% of the membership interests of Endurance Exploration Group, LLC (“Endurance LLC”), a Florida limited liability company, in exchange for 20,550,539 shares of the Company’s Common Stock being issued to the former members.  Endurance LLC is now a wholly owned subsidiary with its operations being the Company’s primary focus.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'><u>Endurance Exploration Group LLC</u> – is engaged in the archaeologically sensitive exploration and recovery of deep-ocean shipwrecks throughout the world. We intend to recover bullion precious metals, numismatic-grade coinage, high-value non-ferrous metals and other valuable cargos from both historic and modern shipwrecks.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On January 2, 2014, the Company changed its name to Endurance Exploration Group, Inc.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Our corporate headquarters are located in Clearwater, Florida.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Principles of consolidation and basis of presentation</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>These consolidated financial statements include the assets and liabilities of the Endurance Exploration Group, Inc. (formerly Tecton Corporation) and its subsidiaries as of March 31, 2016.  The acquisition of the membership interests of Endurance LLC and its wholly owned Panamanian subsidiary formed to hold the registry of a research vessel occurred as of the close of its business on December 31, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”).  Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such SEC rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto, included in the Company’s latest Annual Report on Form 10-K.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>In the opinion of management, all adjustments consisting of normal recurring adjustments necessary for a fair statement of the financial position at March 31, 2016 and the results of operations for the three months ended March 31, 2016 and 2015 and cash flows for the three months ended March 31, 2016 and 2015 have been made.  All material intercompany transactions have been eliminated.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Use of Estimates</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The preparation of financial statements in conformity with U.S. generally accepted accounting principles 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 revenue and expenses during the reporting period. Actual results could differ from those estimates.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Subsequent Events</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>The Company has evaluated subsequent events through May 12, 2016, to assess the need for potential recognition or disclosure in this report. Based upon this evaluation, management determined that all subsequent events that require recognition in the financial statements have been included.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Cash and Cash Equivalents</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>For purposes of the Statements of Cash Flows, the Company considers all highly liquid debt instruments purchased with a maturity date of three months or less to be cash equivalents. </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Fixed Assets</u><b> </b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Fixed assets are stated at historical cost. Depreciation is provided using the straight-line method at rates based on the assets’ estimated useful lives which are normally between three and ten years.  When retired or otherwise disposed, the related carrying value and accumulated depreciation are removed from the respective accounts and the net difference less any amount realized from disposition, is reflected in earnings. Leasehold improvements are amortized over their estimated useful lives or lease term, if shorter. Equipment and major overhaul items (such as engines or generators) that enhance or extend the useful life of vessel related assets qualify to be capitalized and depreciated over the useful life or remaining life of that asset, whichever is shorter. Certain major repair items required by industry standards to ensure a vessel’s seaworthiness also qualify to be capitalized and depreciated over the period of time until the next scheduled planned major maintenance for that item. All other repairs and maintenance are accounted for under the direct-expensing method and are expensed when incurred. </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'><u>Impairment of Long-Lived Assets</u></p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable.  Fair value is determined based on discounted cash flows or appraised values, depending on the nature of the assets. As of March 31, 2016 and 2015, there were no impairment losses recognized for long-lived assets.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Income Taxes</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company uses the liability method to record income tax activity. Deferred taxes are determined based upon the estimated future tax effects of differences between the financial reporting and tax reporting bases of assets and liabilities given the provisions of currently enacted tax laws.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The accounting for uncertainty in income taxes recognized in an enterprise’s financial statements uses the threshold of more-likely-than-not to be sustained upon examination for inclusion or exclusion. Measurement of the tax uncertainty occurs if the recognition threshold has been met. </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Net Earnings (Losses) Per Common Share</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company computes earnings (loss) per share by dividing net earnings (loss) by the weighted average number of shares of common stock and dilutive common stock equivalents outstanding during the year. Dilutive common stock equivalents may consist of shares issuable upon conversion of convertible preferred shares and the exercise of the Company's stock options (calculated using the treasury stock method).  As of March 31, 2016, there were 5,574,000 common stock equivalents that were anti-dilutive and were not included in the calculation. Common stock issuable is considered outstanding as of the original approval date for purposes of earnings per share computations.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Fair Value of Financial Instruments</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The fair value of financial instruments, which include cash, loans receivable, accounts payable and accrued expenses and advances from related parties were estimated to approximate their carrying values due to the immediate or short-term maturity of these financial instruments. Management is of the opinion that the Company is not exposed to significant interest, currency or credit risks arising from financial instruments.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'><u>Comprehensive Income</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company records comprehensive income as the change in equity of a business during a period from transactions and other events and circumstances from non-owner sources. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners. Other comprehensive income (loss) includes foreign currency translation adjustments and unrealized gains and losses on available-for-sale securities. As of March 31, 2016 the Company had no items that represent comprehensive loss and, therefore, has not included a schedule of comprehensive loss in the financial statements.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'><u>Stock Based Compensation</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>Stock based compensation costs are measured at fair value on date of grant and recognition of compensation over the service period for awards expected to vest. The Company determines the fair value of awards using the Black-Scholes valuation model. </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>New Accounting Pronouncements</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company reviews new accounting standards as issued. No new standards had any material effect on these financial statements. The accounting pronouncements issued subsequent to the date of these financial statements that were considered significant by management were evaluated for the potential effect on these consolidated financial statements. Management does not believe any of the subsequent pronouncements will have a material effect on these consolidated financial statements as presented and does not anticipate the need for any future restatement of these consolidated financial statements because of the retro-active application of any accounting pronouncements issued subsequent to March 31, 2016 through the date these financial statements were issued.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE B – GOING CONCERN MATTERS</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As shown in the accompanying financial statements for the period January 19, 2006 (date of inception) to March 31, 2016, the Company incurred losses of $6,677,645. The Company has minimal liquid assets. These factors, among others, indicate that the Company will be unable to continue as a going concern for a reasonable period of time.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company's existence is dependent upon management's ability to develop profitable operations and resolve its liquidity problems. The accompanying financial statements do not include any adjustments that might result should the Company be unable to continue as a going concern.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE C – ACQUISITION OF ENDURANCE EXPLORATION GROUP LLC MEMBERSHIP INTERESTS</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>On December 31, 2013, the Company acquired 100% of the membership interests of Endurance Exploration Group, LLC, a Florida limited liability company (“Endurance LLC”) by issuing 20,550,539 shares of its common stock.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The majority shareholders of the Company also held a majority interest in Endurance LLC, and maintained controlling interests in both entities both before and after the transaction.  Accordingly, the acquisition has been accounted for as a corporate reorganization because of the common control.  The book value of Endurance LLC at the time of the acquisition was as follows:</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" style='margin-left:79.35pt;border-collapse:collapse'> <tr style='height:12.25pt'> <td width="92" colspan="2" valign="top" style='width:69.35pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Cash</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $              1,940</p> </td> </tr> <tr style='height:12.25pt'> <td width="161" colspan="3" valign="top" style='width:120.95pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Fixed assets - net</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>               448,980</p> </td> </tr> <tr style='height:12.25pt'> <td width="92" colspan="2" valign="top" style='width:69.35pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Other assets</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                   3,805</p> </td> </tr> <tr style='height:4.5pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:6.3pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="138" colspan="2" valign="top" style='width:103.2pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Total assets</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $         454,725</p> </td> </tr> <tr style='height:8.1pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:14.85pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Accounts payable assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $              8,927</p> </td> </tr> <tr style='height:12.25pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Accrued expenses assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                   4,625</p> </td> </tr> <tr style='height:12.25pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Shareholder loans assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                 60,000</p> </td> </tr> <tr style='height:12.25pt'> <td width="161" colspan="3" valign="top" style='width:120.95pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Equity acquired</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>               381,173</p> </td> </tr> <tr style='height:12.25pt'> <td width="24" valign="top" style='width:17.75pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:13.1pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Total liabilities and equity</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 2.25pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $         454,725</p> </td> </tr> </table>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE D – PREPAID EXPENSES</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On May 15, 2015, the Company entered into an agreement with Eclipse Group, Inc. to provide services, equipment and/or personnel in support of anticipated Endurance salvage projects, to inspect and recover one or more shipwreck cargoes located by Endurance.  The Company issued 2,000,000 common shares at $.25 per share with a value of $500,000.  These shares represent a prepayment for Eclipse services pursuant to a schedule of agreed upon costs and rates.  Eclipse will invoice the Company on a monthly basis as services are rendered.  During the year ended December 31, 2015, Eclipse rendered $150,000 of the services outlined in this agreement.  As of March 31, 2016, the Company has not received any additional invoices for services outlined in this agreement, and consequently the remaining balance of $350,000 is included in prepaid expenses along with $5,000 of prepaid legal services for a total of $355,000 at March 31, 2016.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE E – FIXED ASSETS</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>Fixed assets consist of the following at March 31, 2016 and December 31, 2015:</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" style='margin-left:70.7pt;border-collapse:collapse'> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'>March 31, 2016</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'>December 31, 2015</p> </td> </tr> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Vessels and equipment</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         665,323</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         665,323</p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Computers and peripherals</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>                 14,092</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>                 14,092</p> </td> </tr> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>               679,415</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>               679,415</p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Less: Accumulated depreciation</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>            (381,421)</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>            (355,800)</p> </td> </tr> <tr style='height:13.1pt'> <td width="138" colspan="2" valign="top" style='width:103.2pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Fixed Assets - net</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         297,994</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         323,615</p> </td> </tr> </table> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>Depreciation expense for the three months ended March 31, 2016 and 2015 was $25,621 and $23,351 respectively.  </p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE F – ADVANCES FROM RELATED PARTIES AND RELATED PARTY TRANSACTIONS</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>Loans and notes payable to related parties at March 31, 2016 and December 31, 2015 as detailed below are summarized as follows:</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" width="606" style='margin-left:27.9pt;border-collapse:collapse'> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="96" colspan="2" valign="bottom" style='width:1.0in;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>March 31, </p> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>2016 </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="108" colspan="2" valign="bottom" style='width:81.0pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>December 31, </p> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>2015</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;border:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="78" valign="bottom" style='width:58.5pt;border:none;border-top:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;border:none;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="90" valign="bottom" style='width:67.5pt;border:none;border-top:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>Notes payable – related parties</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="78" valign="bottom" style='width:58.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>60,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="90" valign="bottom" style='width:67.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>60,000</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>Advances from related parties</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="78" valign="bottom" style='width:58.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>173,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="90" valign="bottom" style='width:67.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>95,500</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>$</p> </td> <td width="78" valign="bottom" style='width:58.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>233,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="90" valign="bottom" style='width:67.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>155,500</p> </td> </tr> </table> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>On December 31, 2013, the Company completed the purchase of 100% of the membership interests of Endurance Exploration Group, LLC (“Endurance LLC”), from its members, Micah Eldred and Carl Dilley, in exchange for 20,550,539 shares of the Company’s common stock, valued at $0.0186 per share, based upon the net book value of the assets of Endurance LLC, $381,173 as of December 31, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>On December 31, 2013, as a consequence of acquiring the membership interests of Endurance LLC, the Company assumed a liability of Endurance LLC to Micah Eldred under a demand promissory note, dated June 19, 2012, in the original principal amount of $60,000, bearing interest at 5%.  The note has no stipulated maturity date, and the balance due under the note at March 31, 2016, including accrued interest, was $68,000.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company has entered into a contract with Island Capital Management, LLC, which is related through common shareholders, to serve as its transfer agent.  It did not charge the Company for its services during the three months ended March 31, 2016 or 2015.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company has entered into a contract with Proxy & Printing, LLC, which is related through common shareholders, to provide the Company with printing and other services relating to its filings with the SEC.  It did not charge the Company for its services during the three months ended March 31, 2016 or 2015.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>On June 23, 2014, the Company entered into a contract with Eclipse Group Inc. (“Eclipse”) for Eclipse to provide personnel and services to the Company in connection with the operation and monitoring of a remotely operated vehicle (“ROV”) in connection with our investigation of a suspected shipwreck located off the coast of New England. Steven Saint Amour, who serves as a member of the Company’s Board of Directors, and Joan Saint Amour are the principal shareholders and officers of Eclipse.  The contract provides that Eclipse will provide 2 people, including Mr. Saint Amour, for approximately four 12-hour days to operate and monitor the ROV, which will be provided by the Company.  The Company will issue 100,000 shares of common stock to Mr. Saint Amour, with an agreed value of $25,000, under the contract, and reimburse Eclipse in cash for its cost for the second ROV technician.  The Company will also pay Eclipse in cash its cost plus 15% for all third party costs incurred by Eclipse, and provide Mr. Saint Amour and the second technician with food and lodging during the assignment.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On September 3, 2014, the Company entered into a contract with Overseas Marine Vessel Corp, LLC (“OMVC”) pursuant to which it will provide the Marine Vessel Manisee in support of an estimated 10-day mission to investigate, identify and recovery artifacts from one or more shipwrecks located in our search area off the coast of New England.  We will reimburse OMVC in cash for all its out-of-pocket expenses only, including but not limited to, mooring, food, fuel, lube, satellite communications and crew costs.  Toni Eldred, the spouse of Micah Eldred, is a fifty percent owner of OMVC, and Micah Eldred is the co-manager of OMVC. </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Endeavour Cooperative Partners, LLC (“Endeavour”) relating to the conversion of indebtedness to Endeavour in the amount of $85,000. This amount represents the related party debt payable to Endeavour as of that date.  The terms of the agreement allowed for Endeavour to convert this debt into common stock at $0.25 per share.  Endeavour converted all of such debt into shares, as a result of which we issued 340,000 shares to Endeavour.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Micah Eldred relating to the conversion of indebtedness to Micah Eldred in the amount of $143,333. This amount represents the related party debt payable to Micah Eldred as of that date.  The terms of the agreement allowed for Micah Eldred to convert this debt into common stock at $0.25 per share.  Micah Eldred converted all of such debt into shares, as a result of which we issued 573,333 shares to Micah Eldred. </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Carl & Heather Dilley relating to the conversion of indebtedness to Carl & Heather Dilley in the amount of $45,867 and $25,800 respectively. This amount represents the related party debt payable to Carl & Heather Dilley as of that date.  The terms of the agreement allowed for Carl & Heather Dilley to convert this debt into common stock at $0.25 per share.  Carl & Heather Dilley converted all of such debt into shares, as a result of which we issued 183,467 and 103,200 shares to Carl & Heather Dilley respectively.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During the three months ended March 31, 2016, Endeavour Cooperative Partners, LLC made net advances to the Company in the aggregate amount of $77,500, in order to provide the Company with funds to carry on its operations.  These advances do not bear interest, are unsecured and have no specific terms of repayment.  As of March 31, 2016, the aggregate amount of such advances outstanding was $173,000. Interest has not been imputed on this balance as management has deemed it to be immaterial.</p>
<!--egx--><p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'><b>NOTE G – PREFERRED AND COMMON STOCK TRANSACTIONS AND REVERSE SPLIT</b></p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Endeavour Cooperative Partners, LLC (“Endeavour”) relating to the conversion of indebtedness to Endeavour in the amount of $85,000. This amount represents the related party debt payable to Endeavour as of that date.  The terms of the agreement allowed for Endeavour to convert this debt into common stock at $0.25 per share.  Endeavour converted all of such debt into shares, as a result of which we issued 340,000 shares to Endeavour.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Micah Eldred relating to the conversion of indebtedness to Micah Eldred in the amount of $143,333. This amount represents the related party debt payable to Micah Eldred as of that date.  The terms of the agreement allowed for Micah Eldred to convert this debt into common stock at $0.25 per share.  Micah Eldred converted all of such debt into shares, as a result of which we issued 573,333 shares to Micah Eldred. </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>On February 12, 2015, the Company entered into a Debt Conversion Agreement with Carl & Heather Dilley relating to the conversion of indebtedness to Carl & Heather Dilley in the amount of $45,867 and $25,800 respectively. This amount represents the related party debt payable to Carl & Heather Dilley as of that date.  The terms of the agreement allowed for Carl & Heather Dilley to convert this debt into common stock at $0.25 per share.  Carl & Heather Dilley converted all of such debt into shares, as a result of which we issued 183,467 and 103,200 shares to Carl & Heather Dilley respectively.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During April 2015, the Company issued 600,000 common shares at $.25 per share to non-affiliated investors in fulfillment of stock subscriptions received.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During May 2015, the Company issued 200,000 common shares at $.25 per share to non-affiliated investors in fulfillment of stock subscriptions received.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On May 15, 2015, the Company issued 2,000,000 common shares to Eclipse Group, Inc. at $.25 per share as prepayment for certain salvage services pursuant to an agreement entered into on the same date.  Steven Saint Amour, who serves as a member of our Board of Directors, and Joan Saint Amour are the principal shareholders and officers of Eclipse.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>On June 29, 2015, the Company issued 8,184 common shares at $.25 per share for services.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During July 2015, the Company issued 200,000 common shares at $.25 per share to non-affiliated investors in fulfillment of stock subscriptions received.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During August 2015, the Company issued 1,670,000 common shares at $.25 per share to non-affiliated investors in fulfillment of stock subscriptions received.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>During September 2015, the Company issued 200,000 common shares at $.25 per share to non-affiliated investors in fulfillment of stock subscriptions received.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On September 30, 2015, the Company issued 167,725 common shares at $.25 per share for services.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>During November 2015, the Company issued 149,600 common shares at $.25 per share for services.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE H – WARRANTS AND OPTIONS</b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>As of March 31, 2016, the Company had outstanding non-qualified options to purchase 5,574,000 shares of our common stock at any time prior to their expiration dates, with an exercise price of $0.25 per share.</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>The following table represents stock option activity as of and for the three months ended March 31, 2016:</p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <div align="center"> <table border="0" cellspacing="0" cellpadding="0" width="630" style='width:472.8pt;margin-left:4.65pt;border-collapse:collapse'> <tr style='height:63.75pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="82" valign="bottom" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Number of Shares</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="79" valign="bottom" style='width:59.35pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Weighted Average Exercise Price</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="82" valign="bottom" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Weighted Average Remaining Contractual Life </font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="70" valign="bottom" style='width:52.45pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Aggregate Intrinsic Value</font></p> </td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Options Outstanding - January 1, 2016</font></p> </td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">  </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">1.0 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $         </font><font lang="EN-CA">-</font></p> </td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Granted / Vested</font></p> </td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Exercised</font></p> </td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Forfeited/expired/cancelled</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:3.85pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> </tr> <tr style='height:15.75pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Options Outstanding – March 31, 2016</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:double windowtext 2.25pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">.5 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $  </font><font lang="EN-CA">0.68</font></p> </td> </tr> <tr style='height:2.1pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> </tr> <tr style='height:26.25pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Outstanding Exercisable – January 1, 2016</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:double windowtext 2.25pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">1.0 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $         </font><font lang="EN-CA">-</font></p> </td> </tr> <tr style='height:7.65pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Outstanding Exercisable – March 31, 2016</font></p> </td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">.5 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $  </font><font lang="EN-CA">0.68</font></p> </td> </tr> </table> </div>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE I – INCOME TAXES</b></p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>There is no current or deferred income tax expense or benefit allocated to continuing operations for the period ended March 31, 2016 and 2015. The Company has not recognized an income tax benefit for its operating losses generated through March 31, 2016 based on uncertainties concerning the Company’s ability to generate taxable income in future periods. The tax benefit is offset by a valuation allowance established against deferred tax assets arising from operating losses and other temporary differences, the realization of which could not be considered more likely than not. In future periods, tax benefits and related deferred tax assets will be recognized when management considers realization of such amounts to be more likely than not.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>For income tax purposes the Company has available a net operating loss carry-forward of approximately $6,700,000 from inception to March 31, 2016, which will expire, unless used to offset future federal taxable income beginning in 2024.  The tax years ending December 31, 2013 through December 31, 2014 are open for inspection by both Federal and State Agencies.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><b>NOTE J – SUBSEQUENT EVENTS</b></p> <p style='background:white'> </p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'>None</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Description of Business</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Endurance Exploration Group, Inc. (formerly Tecton Corporation) (the “Company”) was incorporated under the laws of the State of Nevada on January 19, 2006, as a wholly-owned subsidiary of Hemis Corporation.  On December 1, 2006 Hemis declared a dividend of Tecton shares to all shareholders as of that date and concurrently cancelled its share ownership in the Company.  The effect of this dividend declaration and share cancellation was that Tecton was spun off as an independent company.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On November 8, 2013, the Board of Directors approved a change of the Company’s fiscal year from January 31, to December 31.     </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On December 31, 2013, the Company acquired 100% of the membership interests of Endurance Exploration Group, LLC (“Endurance LLC”), a Florida limited liability company, in exchange for 20,550,539 shares of the Company’s Common Stock being issued to the former members.  Endurance LLC is now a wholly owned subsidiary with its operations being the Company’s primary focus.  </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'><u>Endurance Exploration Group LLC</u> – is engaged in the archaeologically sensitive exploration and recovery of deep-ocean shipwrecks throughout the world. We intend to recover bullion precious metals, numismatic-grade coinage, high-value non-ferrous metals and other valuable cargos from both historic and modern shipwrecks.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>On January 2, 2014, the Company changed its name to Endurance Exploration Group, Inc.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Our corporate headquarters are located in Clearwater, Florida.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Principles of consolidation and basis of presentation</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>These consolidated financial statements include the assets and liabilities of the Endurance Exploration Group, Inc. (formerly Tecton Corporation) and its subsidiaries as of March 31, 2016.  The acquisition of the membership interests of Endurance LLC and its wholly owned Panamanian subsidiary formed to hold the registry of a research vessel occurred as of the close of its business on December 31, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”).  Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such SEC rules and regulations, although the Company believes that the disclosures made are adequate to make the information not misleading. It is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and the notes thereto, included in the Company’s latest Annual Report on Form 10-K.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>In the opinion of management, all adjustments consisting of normal recurring adjustments necessary for a fair statement of the financial position at March 31, 2016 and the results of operations for the three months ended March 31, 2016 and 2015 and cash flows for the three months ended March 31, 2016 and 2015 have been made.  All material intercompany transactions have been eliminated.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Use of Estimates</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The preparation of financial statements in conformity with U.S. generally accepted accounting principles 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 revenue and expenses during the reporting period. Actual results could differ from those estimates.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Subsequent Events</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>The Company has evaluated subsequent events through May 12, 2016, to assess the need for potential recognition or disclosure in this report. Based upon this evaluation, management determined that all subsequent events that require recognition in the financial statements have been included.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Cash and Cash Equivalents</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>For purposes of the Statements of Cash Flows, the Company considers all highly liquid debt instruments purchased with a maturity date of three months or less to be cash equivalents. </p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Fixed Assets</u><b> </b></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>Fixed assets are stated at historical cost. Depreciation is provided using the straight-line method at rates based on the assets’ estimated useful lives which are normally between three and ten years.  When retired or otherwise disposed, the related carrying value and accumulated depreciation are removed from the respective accounts and the net difference less any amount realized from disposition, is reflected in earnings. Leasehold improvements are amortized over their estimated useful lives or lease term, if shorter. Equipment and major overhaul items (such as engines or generators) that enhance or extend the useful life of vessel related assets qualify to be capitalized and depreciated over the useful life or remaining life of that asset, whichever is shorter. Certain major repair items required by industry standards to ensure a vessel’s seaworthiness also qualify to be capitalized and depreciated over the period of time until the next scheduled planned major maintenance for that item. All other repairs and maintenance are accounted for under the direct-expensing method and are expensed when incurred. </p>
<!--egx--><p style='margin:0in;margin-bottom:.0001pt;text-align:justify'><u>Impairment of Long-Lived Assets</u></p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable.  Fair value is determined based on discounted cash flows or appraised values, depending on the nature of the assets. As of March 31, 2016 and 2015, there were no impairment losses recognized for long-lived assets.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Income Taxes</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company uses the liability method to record income tax activity. Deferred taxes are determined based upon the estimated future tax effects of differences between the financial reporting and tax reporting bases of assets and liabilities given the provisions of currently enacted tax laws.</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The accounting for uncertainty in income taxes recognized in an enterprise’s financial statements uses the threshold of more-likely-than-not to be sustained upon examination for inclusion or exclusion. Measurement of the tax uncertainty occurs if the recognition threshold has been met. </p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Net Earnings (Losses) Per Common Share</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company computes earnings (loss) per share by dividing net earnings (loss) by the weighted average number of shares of common stock and dilutive common stock equivalents outstanding during the year. Dilutive common stock equivalents may consist of shares issuable upon conversion of convertible preferred shares and the exercise of the Company's stock options (calculated using the treasury stock method).  As of March 31, 2016, there were 5,574,000 common stock equivalents that were anti-dilutive and were not included in the calculation. Common stock issuable is considered outstanding as of the original approval date for purposes of earnings per share computations.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>Fair Value of Financial Instruments</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The fair value of financial instruments, which include cash, loans receivable, accounts payable and accrued expenses and advances from related parties were estimated to approximate their carrying values due to the immediate or short-term maturity of these financial instruments. Management is of the opinion that the Company is not exposed to significant interest, currency or credit risks arising from financial instruments.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'><u>Comprehensive Income</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>The Company records comprehensive income as the change in equity of a business during a period from transactions and other events and circumstances from non-owner sources. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners. Other comprehensive income (loss) includes foreign currency translation adjustments and unrealized gains and losses on available-for-sale securities. As of March 31, 2016 the Company had no items that represent comprehensive loss and, therefore, has not included a schedule of comprehensive loss in the financial statements.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'><u>Stock Based Compensation</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;background:white'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;background:white'>Stock based compensation costs are measured at fair value on date of grant and recognition of compensation over the service period for awards expected to vest. The Company determines the fair value of awards using the Black-Scholes valuation model. </p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><u>New Accounting Pronouncements</u></p> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify'>The Company reviews new accounting standards as issued. No new standards had any material effect on these financial statements. The accounting pronouncements issued subsequent to the date of these financial statements that were considered significant by management were evaluated for the potential effect on these consolidated financial statements. Management does not believe any of the subsequent pronouncements will have a material effect on these consolidated financial statements as presented and does not anticipate the need for any future restatement of these consolidated financial statements because of the retro-active application of any accounting pronouncements issued subsequent to March 31, 2016 through the date these financial statements were issued.</p>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" style='margin-left:79.35pt;border-collapse:collapse'> <tr style='height:12.25pt'> <td width="92" colspan="2" valign="top" style='width:69.35pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Cash</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $              1,940</p> </td> </tr> <tr style='height:12.25pt'> <td width="161" colspan="3" valign="top" style='width:120.95pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Fixed assets - net</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>               448,980</p> </td> </tr> <tr style='height:12.25pt'> <td width="92" colspan="2" valign="top" style='width:69.35pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Other assets</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                   3,805</p> </td> </tr> <tr style='height:4.5pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:4.5pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:6.3pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="138" colspan="2" valign="top" style='width:103.2pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Total assets</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:6.3pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $         454,725</p> </td> </tr> <tr style='height:8.1pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:8.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:14.85pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Accounts payable assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:14.85pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $              8,927</p> </td> </tr> <tr style='height:12.25pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Accrued expenses assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                   4,625</p> </td> </tr> <tr style='height:12.25pt'> <td width="230" colspan="4" valign="top" style='width:172.55pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Shareholder loans assumed</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>                 60,000</p> </td> </tr> <tr style='height:12.25pt'> <td width="161" colspan="3" valign="top" style='width:120.95pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Equity acquired</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>               381,173</p> </td> </tr> <tr style='height:12.25pt'> <td width="24" valign="top" style='width:17.75pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> </tr> <tr style='height:13.1pt'> <td width="24" valign="top" style='width:17.75pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Total liabilities and equity</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 2.25pt;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>   $         454,725</p> </td> </tr> </table>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" style='margin-left:70.7pt;border-collapse:collapse'> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'>March 31, 2016</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'>December 31, 2015</p> </td> </tr> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center;text-autospace:none'> </p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Vessels and equipment</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         665,323</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         665,323</p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Computers and peripherals</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>                 14,092</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid black 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>                 14,092</p> </td> </tr> <tr style='height:12.25pt'> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>               679,415</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>               679,415</p> </td> </tr> <tr style='height:12.25pt'> <td width="206" colspan="3" valign="top" style='width:2.15in;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Less: Accumulated depreciation</p> </td> <td width="69" valign="top" style='width:51.6pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>            (381,421)</p> </td> <td width="13" valign="top" style='width:9.7pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 1.5pt 0in 1.5pt;height:12.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>            (355,800)</p> </td> </tr> <tr style='height:13.1pt'> <td width="138" colspan="2" valign="top" style='width:103.2pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'>Fixed Assets - net</p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="69" valign="top" style='width:51.6pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'> </p> </td> <td width="103" valign="top" style='width:77.4pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         297,994</p> </td> <td width="13" valign="top" style='width:9.7pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-autospace:none'> </p> </td> <td width="116" valign="top" style='width:87.3pt;border:none;border-bottom:double windowtext 1.5pt;background:#AFDCF7;padding:0in 1.5pt 0in 1.5pt;height:13.1pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right;text-autospace:none'>   $         323,615</p> </td> </tr> </table>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <table border="0" cellspacing="0" cellpadding="0" width="606" style='margin-left:27.9pt;border-collapse:collapse'> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="96" colspan="2" valign="bottom" style='width:1.0in;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>March 31, </p> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>2016 </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> </td> <td width="108" colspan="2" valign="bottom" style='width:81.0pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>December 31, </p> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'>2015</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;border:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="78" valign="bottom" style='width:58.5pt;border:none;border-top:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;border:none;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="90" valign="bottom" style='width:67.5pt;border:none;border-top:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>Notes payable – related parties</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="78" valign="bottom" style='width:58.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>60,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="90" valign="bottom" style='width:67.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>60,000</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>Advances from related parties</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="78" valign="bottom" style='width:58.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>173,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="90" valign="bottom" style='width:67.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>95,500</p> </td> </tr> <tr align="left"> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="348" valign="bottom" style='width:261.0pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'> </p> </td> <td width="18" valign="top" style='width:13.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:left'>$</p> </td> <td width="78" valign="bottom" style='width:58.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>233,000</p> </td> <td width="18" valign="bottom" style='width:13.5pt;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'> </p> </td> <td width="18" valign="bottom" style='width:13.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>$</p> </td> <td width="90" valign="bottom" style='width:67.5pt;border-top:solid windowtext 1.0pt;border-left:none;border-bottom:double windowtext 1.5pt;border-right:none;padding:0in 5.4pt 0in 5.4pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;margin-bottom:6.0pt;text-align:right'>155,500</p> </td> </tr> </table>
<!--egx--><p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'> </p> <div align="center"> <table border="0" cellspacing="0" cellpadding="0" width="630" style='width:472.8pt;margin-left:4.65pt;border-collapse:collapse'> <tr style='height:63.75pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="82" valign="bottom" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Number of Shares</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="79" valign="bottom" style='width:59.35pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Weighted Average Exercise Price</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="82" valign="bottom" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Weighted Average Remaining Contractual Life </font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'></td> <td width="70" valign="bottom" style='width:52.45pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:63.75pt'> <p align="center" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:center'><font lang="EN-CA">Aggregate Intrinsic Value</font></p> </td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Options Outstanding - January 1, 2016</font></p> </td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">  </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">1.0 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $         </font><font lang="EN-CA">-</font></p> </td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Granted / Vested</font></p> </td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Exercised</font></p> </td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:15.0pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Forfeited/expired/cancelled</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">                    </font><font lang="EN-CA">-</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:15.0pt'></td> </tr> <tr style='height:3.85pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:3.85pt'></td> </tr> <tr style='height:15.75pt'> <td width="273" style='width:204.9pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Options Outstanding – March 31, 2016</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:double windowtext 2.25pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="79" style='width:59.35pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="82" style='width:61.4pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">.5 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'></td> <td width="70" style='width:52.45pt;background:#CCEEFF;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $  </font><font lang="EN-CA">0.68</font></p> </td> </tr> <tr style='height:2.1pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:2.1pt'></td> </tr> <tr style='height:26.25pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Outstanding Exercisable – January 1, 2016</font></p> </td> <td width="82" style='width:61.4pt;border:none;border-bottom:double windowtext 2.25pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">1.0 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:26.25pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $         </font><font lang="EN-CA">-</font></p> </td> </tr> <tr style='height:7.65pt'> <td width="273" style='width:204.9pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left;text-indent:10.0pt'><font lang="EN-CA">Outstanding Exercisable – March 31, 2016</font></p> </td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   </font><font lang="EN-CA">5,574,000</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="79" style='width:59.35pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $    </font><font lang="EN-CA">0.25</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="82" style='width:61.4pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="right" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:right'><font lang="EN-CA">.5 </font><font lang="EN-CA">years</font></p> </td> <td width="15" style='width:11.1pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'></td> <td width="70" style='width:52.45pt;padding:0in 5.4pt 0in 5.4pt;height:7.65pt'> <p align="left" style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-align:left'><font lang="EN-CA">   $  </font><font lang="EN-CA">0.68</font></p> </td> </tr> </table> </div>
-6677645
-20550539
1940
448980
3805
454725
8927
4625
60000
381173
454725
350000
665323
665323
14092
14092
-381421
-355800
297994
323615
60000
60000
173000
95500
20550539
0.0186
381173
60000
0.0500
100000
25000
85000
0.25
340000
143333
0.25
573333
45867
25800
0.25
183467
103200
77500
173000
85000
0.25
340000
143333
0.25
573333
45867
25800
0.25
183467
103200
600000
0.25
200000
0.25
2000000
0.25
8184
0.25
200000
0.25
1670000
0.25
200000
0.25
167725
0.25
149600
0.25
5574000
0.25
1.0
5574000
0.25
0.5
0.68
5574000
0.25
1.0
5574000
0.25
0.5
0.68
6700000
0001392902
2014-12-31
0001392902
2015-12-31
0001392902
2016-01-01
2016-03-31
0001392902
2016-03-31
0001392902
2015-01-01
2015-03-31
0001392902
2015-03-31
0001392902
fil:February282015RelatedPartyDebtMember
2016-01-01
2016-03-31
0001392902
fil:February282015RelatedPartyDebtMember
2015-01-01
2015-03-31
0001392902
fil:February282015RelatedPartyDebtMember
2016-03-31
0001392902
fil:February282015RelatedPartyDebtMember
2015-03-31
0001392902
fil:EnduranceExplorationGroupLlcMember
2013-12-31
0001392902
2016-01-02
0001392902
2006-01-19
2016-03-31
0001392902
fil:EnduranceExplorationGroupLlcMember
2013-12-31
0001392902
fil:EnduranceLlcMember
2013-12-31
0001392902
fil:MrSaintAmourMember
2014-06-24
0001392902
fil:EndeavourCooperativePartnersLlcMember
2015-02-12
0001392902
fil:MicahEldredMember
2015-02-12
0001392902
fil:CarlHeatherDilleyMember
2015-02-12
0001392902
fil:CarlHeatherDilley2Member
2015-02-12
0001392902
fil:EndeavourCooperativePartnersLlcMember
2016-01-01
2016-03-31
0001392902
fil:EndeavourCooperativePartnersLlcMember
2015-02-12
0001392902
fil:MicahEldredMember
2015-02-12
0001392902
fil:CarlDilleyMember
2015-02-12
0001392902
fil:HeatherDilleyMember
2015-02-12
0001392902
fil:CarlAndHeatherDilleyMember
2015-02-12
0001392902
fil:April2015NonAffiliateInvestorMember
2015-04-30
0001392902
fil:May2015NonAffiliateInvestorMember
2015-05-31
0001392902
fil:EclipseGroupIncMember
2015-05-15
0001392902
2015-06-29
0001392902
fil:June2015IssuanceMember
2015-06-29
0001392902
2015-07-31
0001392902
fil:StockSubscriptionsReceivedMember
2015-08-31
0001392902
fil:StockSubscriptionsReceivedMember
2015-09-30
0001392902
fil:ServicesMember
2015-09-30
0001392902
fil:ServicesMember
2015-11-30
iso4217:USD
shares
iso4217:USD
shares
pure
10,000,000 authorized, $0.001 par value, 0 and 0 issued and outstanding.
100,000,000 authorized; $0.01 par value, 43,024,369 and 43,024,369 shares issued and outstanding