Annual report pursuant to Section 13 and 15(d)

STATEMENTS OF OPERATIONS

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STATEMENTS OF OPERATIONS (USD $)
12 Months Ended
Oct. 31, 2012
Oct. 31, 2011
Revenue    
Natural gas and oil revenue $ 1,357,762 $ 1,133,766
Cost of revenue    
Natural gas and oil operating costs 326,670 297,656
Depletion 456,598 370,199
Total cost of revenue 783,268 667,855
Gross profit (loss) 574,494 465,911
Expenses    
Accounting and audit 40,643 32,433
Insurance 6,677 8,749
Advertising and promotions 3,466 40,920
Bank charges and exchange loss 8,965 55,052
Stock Based Compensation 11,336 179,789
Consulting 239,260 262,134
Depreciation 0 425
Fees and Dues 62,506 36,454
Interest expense from loan payable 237,641 223,673
Investor relations 29,616 29,153
Legal and professional 125,855 58,015
Office and miscellaneous 2,966 5,181
Rent 15,434 14,620
Telephone 4,135 3,047
Taxes 14,042 5,977
Training 0 268
Travel 23,460 48,247
Total operating expenses 826,002 1,004,137
Net (loss) for the year $ (251,508) $ (538,226)
Basic and diluted (loss) per share $ (0.02) $ (0.04)
Weighted average number of common shares outstanding - Basic and diluted 16,431,452 13,451,758