SUBSEQUENT EVENTS

9 Months Ended

Jun. 30, 2018

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

In July 2018, the Company entered into a Purchase and Sale Agreement with an independent third party for the purchase of interests in oil and natural gas properties located in the Twining area of Alberta, Canada. The purchase price for Barnwell's interests is approximately $10,500,000, at current Canadian dollar exchange rates, and is subject to customary adjustments to the purchase price at closing, including adjustments to reflect an effective date of sale of July 1, 2018. In accordance with the Purchase and Sale Agreement, Barnwell paid a non-refundable 5% deposit of approximately $525,000.

Certain of the assets which would be conveyed to the Company pursuant to the Purchase and Sale Agreement are subject to third parties' rights of first refusal. If one or more of such third parties exercises their rights of first refusal, the assets being transferred to the Company would be reduced as well as the purchase price to be paid by the Company.

The closing of the transaction is expected to occur in late August 2018. There is no assurance that the transaction will be successfully consummated.

In July 2018, Kaupulehu Developments received a percentage of sales payment of $165,000 from the sale of a lot within Phase II of Increment I. Financial results from the receipt of this payment will be reflected in Barnwell’s year ending September 30, 2018.

In August 2018, Kaupulehu 2007, LLLP, received net proceeds of $1,000,000 from the sale of the remaining residential lot available for sale in Lot 4A of Increment I. Financial results from the receipt of this payment will be reflected in Barnwell’s year ending September 30, 2018.