Annual report pursuant to Section 13 and 15(d)

Organization and Business

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Organization and Business
 12 Months Ended
Oct. 31, 2013
Organization and Business [Text Block]
1. Organization and Business
   
 

The Company was formed on December 9, 2004 under the laws of the State of Nevada and commenced operations on December 9, 2004. The Company is an independent natural gas and oil company engaged in the exploration, development and acquisition of oil and gas properties in the United States and Canada. The Company’s entry into the oil and gas business began on February 3, 2005. The Company has offices in Vancouver and Kelowna, BC, Canada.
 

 
 

These financial statements have been prepared in accordance with United States generally accepted accounting principles applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company has recurring operating loss and required additional funds to maintain its operations. Management’s plans in this regard are to raise equity and/or debt financing as required.
 

 
 

The Company’s financial statements have been prepared in accordance with accounting principles generally accepted in the United States applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The Company has a net loss of $343,551 for the year ended October 31, 2013 (2012: $251,508) and at October 31, 2013 had a deficit accumulated since its inception of $5,057,677 (2012: $4,714,126). The Company has working capital deficit of $1,268,937 as at October 31, 2013 (2012: $1,238,407). The Company requires additional funds to maintain its existing oil and gas operations and developments. These conditions raise substantial doubt about our Company’s ability to continue as a going concern. Management’s plans in this regard are to raise equity and debt financing as required, but there is no certainty that such financing will be available or that it will be available at acceptable terms. The outcome of these matters cannot be predicted at this time and the financing environment is difficult.

 

 
 

These financial statements do not include any adjustments to reflect the future effects on the recoverability and classification of assets or the amounts and classification of liabilities that might result from the outcome of this uncertainty.