0001158694-11-000007.txt : 20111108 0001158694-11-000007.hdr.sgml : 20111108 20111108110424 ACCESSION NUMBER: 0001158694-11-000007 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 10 CONFORMED PERIOD OF REPORT: 20110930 FILED AS OF DATE: 20111108 DATE AS OF CHANGE: 20111108 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Standard Drilling, Inc. CENTRAL INDEX KEY: 0001158694 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 841598154 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-51569 FILM NUMBER: 111186683 BUSINESS ADDRESS: STREET 1: 1640 TERRACE WAY CITY: WALNUT CREEK STATE: CA ZIP: 94597 BUSINESS PHONE: 925-938-0406 MAIL ADDRESS: STREET 1: 1640 TERRACE WAY CITY: WALNUT CREEK STATE: CA ZIP: 94597 FORMER COMPANY: FORMER CONFORMED NAME: ONLINE HOLDINGS INC DATE OF NAME CHANGE: 20010905 10-Q 1 f2011sept_10qstandarddrillin.htm Converted by EDGARwiz

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C.  20549

(MARK ONE)

FORM 10-Q


[]

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


For the Quarterly Period Ended September 30, 2011

OR


[ ]

TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


FOR THE TRANSITION PERIOD FROM __________________ TO __________________________

COMMISSION FILE NUMBER: 000-51569


STANDARD DRILLING, INC.

(Name of registrant as specified in its charter)


NEVADA

84-1598154

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification

No.)


1640 Terrace Way, Walnut Creek, CA

94597

(Address of principal executive offices)

(Zip Code)


(925) 938-0406

(Registrant's telephone number, including area code)

 

NOT APPLICABLE

(Former name, former address and former fiscal year, if changed since last report)


Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.


Yes [ ] No [  ]


Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes [  ] No [  ] [


Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.


Large accelerated filer

[ ]

Accelerated filer

[ ]

Non-accelerated filer

[ ]

Smaller reporting company

[X]


Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)


Yes []  No[   ]


Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date:  33,458,880 shares of common stock are issued and outstanding as of November 3, 2011.



1



TABLE OF CONTENTS


 

 

Page No.

PART I. - FINANCIAL INFORMATION

Item 1.

Financial Statements

3

Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations.

3

Item 3.

Quantative and Qualitative Disclosures About Market Risk.

7

Item 4.

Controls and Procedures.

11

PART II - OTHER INFORMATION

Item 1.

Legal Proceedings.

12

Item 1A.

Risk Factors.

12

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds.

12

Item 3.

Defaults Upon Senior Securities.

12

Item 4.

(Removed and Reserved)

12

Item 5.

Other Information.

12

Item 6.

Exhibits.

12


CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION


This report contains forward-looking statements. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.  These forward-looking statements were based on various factors and were derived utilizing numerous assumptions and other factors that could cause our actual results to differ materially from those in the forward-looking statements.  These factors include, but are not limited to, our ability to consummate the acquisition of an operating entity and/or assets, our ability to generate revenues and pay our operating expenses, our ability to raise capital as necessary, economic, political and market conditions and fluctuations, government and industry regulation, interest rate risk, U.S. and global competition, and other factors.  Most of these factors are difficult to predict accurately and are generally beyond our control.  You should consider the areas of risk described in connection with any forward-looking statements that may be made herein.  Readers are cautioned not to place undue reliance on these forward-looking statements and readers should carefully review this report in its entirety, together with the risks described in "Item 1A. - Risk Factors" of our Annual Report on Form 10-K for the year ended December 31, 2010.  Except for our ongoing obligations to disclose material information under the Federal securities laws, we undertake no obligation to release publicly any revisions to any forward-looking statements, to report events or to report the occurrence of unanticipated events.  These forward-looking statements speak only as of the date of this report, and you should not rely on these statements without also considering the risks and uncertainties associated with these statements and our business.


OTHER PERTINENT INFORMATION


Unless specifically set forth to the contrary, when used in this report the terms “Standard Drilling", "we"", "our", the "Company" and similar terms refer to Standard Drilling, Inc., a Nevada corporation.  In addition, when used herein and unless specifically set forth to the contrary, “2011” refers to the year ending December 31, 2011 and “2010” refers to the year ended December 31, 2010.



2



PART 1 - FINANCIAL INFORMATION

Item 1. Financial Statements.

 

 

STANDARD DRILLING, INC.

(A Development Stage Company)

Balance Sheets

 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

September 30,

 

December 31,

 

 

 

2011

 

2010

CURRENT ASSETS

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

Cash

$

               9,018

 

$

             62,818

 

 

 

 

 

 

 

 

 

 

Total Current Assets

 

               9,018

 

 

             62,818

 

 

 

 

 

 

 

 

 

 

TOTAL ASSETS

$

               9,018

 

$

             62,818

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

 

 

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

$

               7,965

 

$

               4,208

 

Accrued expenses

 

           259,087

 

 

           248,465

 

 

 

 

 

 

 

 

 

 

Total Current Liabilities

 

           267,052

 

 

           252,673

 

 

 

 

 

 

 

 

 

 

TOTAL LIABILITIES

 

           267,052

 

 

           252,673

 

 

 

 

 

 

 

 

STOCKHOLDERS' EQUITY (DEFICIT)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock, 10,000,000 shares authorized

 

 

 

 

 

 

   at par value of $0.001, none

 

 

 

 

 

 

   shares issued and outstanding

 

                      -

 

 

                      -

 

Common stock, 100,000,000 shares authorized

 

 

 

 

 

 

   at par value of $0.001, 33,458,880 shares

 

 

 

 

 

 

   issued and outstanding

 

             33,459

 

 

             33,459

 

Additional paid-in capital

 

       18,473,461

 

 

       18,473,461

 

Deficit accumulated during the development stage

 

      (18,764,954)

 

 

      (18,696,775)

 

 

 

 

 

 

 

 

 

 

Total Stockholders' Equity (Deficit)

 

          (258,034)

 

 

          (189,855)

 

 

 

 

 

 

 

 

 

 

TOTAL LIABILITIES AND

 

 

 

 

 

 

 

STOCKHOLDERS' EQUITY (DEFICIT)

$

               9,018

 

$

             62,818


 



3






STANDARD DRILLING, INC.

(A Development Stage Company)

Statements of Operations

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

From Inception

 

 

 

 

 

 

 

 

 

 

 

on February 14,

 

 

 

For the Three Months Ended

 

For the Nine Months Ended

 

2006 Through

 

 

 

September 30,

 

September 30,

 

September 30,

 

 

 

2011

 

2010

 

2011

 

2010

 

2011

REVENUES

$

                  -

 

$

                   -

 

$

                   -

 

$

                   -

 

$

                   -

COST OF SALES

 

                  -

 

 

                   -

 

 

                   -

 

 

                   -

 

 

                   -

GROSS MARGIN

 

                  -

 

 

                   -

 

 

                   -

 

 

                   -

 

 

                   -

OPERATING EXPENSES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General and administrative

 

           5,076

 

 

          35,179

 

 

          57,557

 

 

         135,785

 

 

      2,329,502

 

Bad debt expense

 

                  -

 

 

                   -

 

 

                   -

 

 

                   -

 

 

        600,000

 

 

Total Operating Expenses

 

           5,076

 

 

          35,179

 

 

          57,557

 

 

         135,785

 

 

      2,929,502

INCOME (LOSS) FROM OPERATIONS

 

          (5,076)

 

 

         (35,179)

 

 

         (57,557)

 

 

        (135,785)

 

 

     (2,929,502)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OTHER INCOME (EXPENSES)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

                  -

 

 

               168

 

 

                   -

 

 

               605

 

 

            4,842

 

Interest expense

 

          (3,168)

 

 

           (3,665)

 

 

         (10,622)

 

 

          (10,995)

 

 

         (47,889)

 

 

Total Other Income (Expenses)

 

          (3,168)

 

 

           (3,497)

 

 

         (10,622)

 

 

          (10,390)

 

 

         (43,047)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LOSS BEFORE DISCONTINUED OPERATIONS

 

          (8,244)

 

 

         (38,676)

 

 

         (68,179)

 

 

        (146,175)

 

 

     (2,972,549)

DISCONTINUED OPERATIONS

 

                  -

 

 

                   -

 

 

                   -

 

 

                   -

 

 

   (15,792,405)

LOSS BEFORE INCOME TAXES

 

          (8,244)

 

 

         (38,676)

 

 

         (68,179)

 

 

        (146,175)

 

 

   (18,764,954)

PROVISION FOR INCOME TAXES

 

                  -

 

 

                   -

 

 

                   -

 

 

                   -

 

 

                   -

NET LOSS

$

          (8,244)

 

$

         (38,676)

 

$

         (68,179)

 

$

        (146,175)

 

$

   (18,764,954)

LOSS PER SHARE - BASIC

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  AND FULLY DILUTED

$

            (0.00)

 

$

             (0.00)

 

$

            (0.00)

 

$

             (0.00)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

WEIGHTED AVERAGE NUMBER

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  OF SHARES OUTSTANDING

 

   33,458,880

 

 

    33,458,880

 

 

    33,458,880

 

 

    33,458,880

 

 

 



4








STANDARD DRILLING, INC.

(A Development Stage Company)

Statements of Cash Flows

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 From Inception

 

 

 

 

 

 

   

 

 on February 14,

 

 

 

 

For the Nine Months Ended

 

 2006 Through

 

 

 

 

September 30,

 

 September 30,

 

 

 

 

2011

 

2010

 

2011

OPERATING ACTIVITIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

$

       (68,179)

 

$

     (146,175)

 

$

     (2,972,549)

 

Adjustments to reconcile net loss to

 

 

 

 

 

 

 

 

 

  net cash used by operating activities:

 

 

 

 

 

 

 

 

 

 

Loss from discontinued operations

 

                 -

 

 

                 -

 

 

   (15,792,405)

 

 

Fair value of options granted

 

                 -

 

 

                 -

 

 

         112,441

 

 

Write off of notes receivable

 

                 -

 

 

                 -

 

 

         600,000

 

Changes to operating assets and liabilities:

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

          3,757

 

 

       (36,378)

 

 

            7,965

 

 

Accrued expenses

 

        10,622

 

 

        10,995

 

 

         259,087

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Cash Used in Operating Activities

 

       (53,800)

 

 

     (171,558)

 

 

   (17,785,461)

 

 

 

 

 

 

 

 

 

 

 

 

INVESTING ACTIVITIES

 

                 -

 

 

                 -

 

 

                   -

 

 

 

 

 

 

 

 

 

 

 

 

FINANCING ACTIVITIES

 

                 -

 

 

                 -

 

 

                   -

 

 

 

 

 

 

 

 

 

 

 

 

DISCONTINUED OPERATIONS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Cash Provided by Discontinued Operations

 

                 -

 

 

                 -

 

 

    17,794,479

 

 

 

 

 

 

 

 

 

 

 

 

NET INCREASE (DECREASE) IN CASH

 

       (53,800)

 

 

     (171,558)

 

 

            9,018

CASH AT BEGINNING OF PERIOD

 

        62,818

 

 

      267,760

 

 

                   -

 

 

 

 

 

 

 

 

 

 

 

 

CASH AT END OF PERIOD

$

          9,018

 

$

        96,202

 

$

            9,018

 

 

 

 

 

   

 

 

   

 

 

 

SUPPLEMENTAL DISCLOSURES OF

 

 

 

 

 

 

 

 

 

CASH FLOW INFORMATION

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CASH PAID FOR:

 

 

 

 

 

 

 

 

 

 

Interest

$

                 -

 

$

                 -

 

$

                   -

 

 

Income Taxes

$

                 -

 

$

                 -

 

$

                   -

 

 

 

 

 

 

 

 

 

 

 

 

 

SCHEDULE OF NON-CASH FINANCING ACTIVITIES:

 

 

 

 

 

 

 

 

 

 

Deemed dividend

$

                 -

 

$

                 -

 

$

      1,131,789



5



STANDARD DRILLING, INC.

(A Development Stage Company)

Notes to Financial Statements

September 30, 2011 and December 31, 2010


NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES


The accompanying financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2011, and for all periods presented herein, have been made.


Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company's December 31, 2010 audited financial statements.  The results of operations for the period ended September 30, 2011 and 2010 are not necessarily indicative of the operating results for the full year.


NOTE 2 – GOING CONCERN


The Company's financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.


In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.


The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.


NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES


Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of 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.


Recent Accounting Pronouncements

The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position or statements.


NOTE 4 – SUBSEQUENT EVENTS


In accordance with ASC 855-10, Company management reviewed all material events through the date of this report and there are no material subsequent events to report.



6





Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations


The following discussion of our financial condition and results of operation for the three and nine months ended September 30, 2011 and 2010 should be read in conjunction with the financial statements and the notes to those statements that are included elsewhere in this report. Our discussion includes forward-looking statements based upon current expectations that involve risks and uncertainties, such as our plans, objectives, expectations and intentions. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of a number of factors, including those set forth under the Item 1A. Risk Factors, Cautionary Notice Regarding Forward-Looking Statements and Business sections appearing in our Form 10-K for the year ended December 31, 2010 as filed with the Securities and Exchange Commission.  We use words such as “anticipate,” “estimate,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “believe,” “intend,” “may,” “will,” “should,” “could,” and similar expressions to identify forward-looking statements.


Overview


We are a shell company as that term is defined under federal securities laws. Our business plan is to seek to acquire assets or shares of an entity actively engaged in business which generates revenues in exchange for our securities.  We will not restrict our search to any specific business, industry, or geographical location and we may participate in a business venture of virtually any kind or nature.  This discussion of the proposed business is purposefully general and is not meant to be restrictive of our virtually unlimited discretion to search for and enter into potential business opportunities.  Management anticipates that it may be able to participate in only one potential business venture because we have nominal assets and limited financial resources.  This lack of diversification should be considered a substantial risk to our stockholders because it will not permit us to offset potential losses from one venture against gains from another.


Plan of Operations


We currently plan to investigate and, if such investigation warrants, acquire a target company or business seeking the perceived advantages of being a publicly held corporation and, to a lesser extent that desires to employ our funds in its business. Our principal business objective for the next 12 months and beyond will be to achieve long-term growth potential through a combination with a business rather than immediate, short-term earnings. We will not restrict our potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business.


The analysis of new business opportunities will be undertaken by or under the supervision of Mr. David S. Rector, our sole officer and director. Since 2008, we have not had any conversations with potential merger or acquisition targets nor have we entered into any definitive agreement with any party. We believe this is due in part to the lack of clarity in the public shell, which the Company seeks to remedy through the on-going litigation.  In our efforts to analyze potential acquisition targets, we may consider the following kinds of factors:


Potential for growth, indicated by new technology, anticipated market expansion or new products;

Competitive position as compared to other firms of similar size and experience within the industry segment as well as within the industry as a whole;


Strength and diversity of management, either in place or scheduled for recruitment;

Capital requirements and anticipated availability of required funds, to be provided by us or from operations, through the sale of additional securities, through joint ventures or similar arrangements or from other sources;


The cost of participation by us as compared to the perceived tangible and intangible values and potentials;

The extent to which the business opportunity can be advanced;


The accessibility of required management expertise, personnel, raw materials, services, professional assistance and other required items; and

Other relevant factors.




7





In applying the foregoing criteria, no one of which will be controlling, our management will attempt to analyze all factors and circumstances and make a determination based upon reasonable investigative measures and available data.  Potentially available business opportunities may occur in many different industries, and at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities extremely difficult and complex. Due to the limited capital we have available for investigation, we may not discover or adequately evaluate adverse facts about the opportunity to be acquired.


The manner in which we participate in an opportunity will depend upon the nature of the opportunity, our respective needs and desires as well as those of the promoters of the opportunity, and the relative negotiating strength of us and such promoters.


It is likely that we will acquire our participation in a business opportunity through the issuance of common stock or other securities. Although the terms of any such transaction cannot be predicted, it should be noted that in certain circumstances the criteria for determining whether or not an acquisition is a so-called "tax free" reorganization under Section 368(a)(1) of the Internal Revenue Code of 1986, as amended (the "Code"), depends upon the issuance to the stockholders of the acquired company of at least 80% of the common stock of the combined entities immediately following the reorganization. If a transaction were structured to take advantage of these provisions rather than other "tax free" provisions provided under the Code, all prior stockholders would in such circumstances retain 20% or less of the total issued and outstanding shares. Under other circumstances, depending upon the relative negotiating strength of the parties, prior stockholders may retain substantially less than 20% of the total issued and outstanding shares. This could result in substantial additional dilution to the equity of those who were our stockholders prior to such reorganization.

 

Our present stockholders will likely not have control of a majority of our voting shares following a reorganization transaction. As part of such a transaction, our current director may resign and new directors may be appointed without any vote by stockholders.


In the case of an acquisition, the transaction may be accomplished upon the sole determination of our management without any vote or approval by stockholders. In the case of a statutory merger or consolidation directly involving our company, it will likely be necessary to call a stockholders' meeting and obtain the approval of the holders of a majority of the outstanding shares. The necessity to obtain such stockholder approval may result in delay and additional expense in the consummation of any proposed transaction and will also give rise to certain appraisal rights to dissenting stockholders. Most likely, management will seek to structure any such transaction so as not to require stockholder approval if possible.


It is anticipated that the investigation of specific business opportunities and the negotiation, drafting and execution of relevant agreements, disclosure documents and other instruments will require substantial management time and attention and substantial cost for accountants, attorneys and others. If a decision is made not to participate in a specific business opportunity, the costs theretofore incurred in the related investigation would not be recoverable. Furthermore, even if an agreement is reached for the participation in a specific business opportunity, the failure to consummate that transaction may result in our loss of the related costs incurred.

 

During the first nine months of 2011 we had only minimal expenses, which mainly consisted of filing fees and expenses associated with our ongoing public reporting expenses, compensation to our officer, legal fees and litigation costs, and minimal fees associated with searching out potential merger or acquisition targets.  A major focus of management efforts is on clarifying the public shell by pursuit of the lawsuit against PBT Capital Partners and its principal.


We do not currently engage in any business activities that provide us with positive cash flows. As such, the costs of investigating and analyzing business combinations for the next approximately 12 months and beyond will be paid with our current cash and if necessary,  with additional funds raised through other sources, which may not be available on favorable terms, if at all.

 



8





Our principal executive office is currently located at the home of Mr. David S. Rector, our sole officer and director, and is provided to us free of charge as well as all related office equipment and communication lines.  During the next 12 months we anticipate incurring costs related to:


·

filing of our quarterly, annual and other reports under the Securities Exchange Act of 1934, including legal, accounting and filing fees,

·

litigation costs relating to an ongoing lawsuit against Mr. Tomlinson and PBT Capital Partners, L.L.C., and

·

costs relating to consummating an acquisition.


We do not believe that we will be able to meet these costs with our current cash on hand and will require additional debt or equity funding in order to maintain operations.


Results of Operations


Three Months Ended September 30, 2011 Compared to the Three Months Ended September 30, 2010


Revenues


We had no revenues in either of the three month periods ended September 30, 2011 or 2010.


Total Operating Expenses and Total Other Income (Expenses)


General and administrative expenses in the three month period ended September 30, 2011 totaled $5,076 compared to $35,179 during the three month period ended September 30, 2010.  This decrease resulted primarily from a decrease in legal and accounting fees as the Company is attempting to conserve cash.  The Company has significantly decreased operations and, except for anticipated and potential legal fees, management expects operating expenses to continue to decrease as compared to prior periods.


Net Loss

 

Net loss for the three month period ended September 30, 2011 was $8,244 compared to $38,676 for the comparable period of 2010.  This decreased net loss was primarily the result of decreased general and administrative expenses incurred during the 2011 period, as described in the preceding paragraph.


Nine Months Ended September 30, 2011 Compared to the Nine Months Ended September 30, 2010


Revenues


We had no revenues in either of the nine month periods ended September 30, 2011 or 2010.


Total Operating Expenses and Total Other Income (Expenses)


General and administrative expenses in the nine month period ended September 30, 2011 totaled $57,557 compared to $135,785 during the nine month period ended September 30, 2010.  This decrease resulted primarily from a decrease in legal and accounting fees as the Company is attempting to conserve cash.  The Company has significantly decreased operations and, except for anticipated and potential legal fees, management expects operating expenses to continue to decrease as compared to prior periods.


Net Loss

 

Net loss for the six month period ended September 30, 2011 was $68,179 compared to $146,175 for the comparable period of 2010.  This decreased net loss was primarily the result of decreased general and administrative expenses incurred during the 2011 period, as described in the preceding paragraph.




9





Liquidity and Capital Resources


Liquidity is the ability of a company to generate sufficient cash to satisfy its needs for cash.  At September 30, 2011 we had a working capital deficit of $258,034 as compared to a working capital deficit of $189,855 at December 31, 2010.   At September 30, 2011, we had current assets consisting solely of cash of $9,018 compared to $62,818 at December 31, 2010.  At September 30, 2011, we had current liabilities of $267,052 as compared to $252,673 at December 31, 2010.  At September 30, 2011, we had a total accumulated deficit of $18,764,954.

 

We expect to have monthly overhead costs of approximately $2,000 per month for the next 12 months, of which approximately $1,000 pertains to legal and accounting fees, and $1,000 pertains to basic general and administrative expenses incurred in the pursuit of various business opportunities. Our present cash reserves are only sufficient to pay our overhead costs for approximately another two months.  We not only require cash to pay our operating expenses and the costs we will incur as we seek out a business combination, we may require additional cash to satisfy obligations related to our prior operations.  


Our operating expenses associated with maintaining our status as a public company and undertaking efforts to identify a business combination or merger partner are estimated at $60,000 annually, exclusive of costs associated with pursuing the litigation against Mr. Tomlinson and PBT Capital Partners LLC.  The amount of legal fees and costs will vary depending upon the course of the litigation, and we may be required to pursue such litigation under a contingency fee arrangement.  As described in our Annual Report on Form 10-K for the year ended December 31, 2010, PBT Capital Partners LLC is in default under the terms of the October 2008 agreement with total potential claims of approximately $424,000 to $600,000, plus legal fees and costs, as of September 30, 2011.   No requests for payment or other claims have been made against us for these amounts and, while it is possible that future claims may be made against us, in that event we would seek to immediately enforce the terms of the agreement with PBT Capital Partners which relieved us from those liabilities. In July 2010 we filed suit against PBT Capital Partners and its principal seeking damages for breach of contract, negligent misrepresentation, fraud, unjust enrichment, fiduciary misconduct, exemplary damages, and declaratory judgment.  The litigation is scheduled for trial on February 6, 2012. We do not believe that there is a more than remote likelihood that a third party claim for any of the amounts sought from PBT Capital Partners or Mr. Tomlinson would be reasonably likely to result in our liquidity increasing or decreasing in any material way.


In addition, on September 15, 2009 we received via certified mail a copy of a Final Judgment entered against our company on June 30, 2009 in the District Court in Johnson County, Texas in the matter of Johnson County vs. Standard Drilling, Inc., cause number T200800519.  The court awarded the taxing unit plaintiffs therein, Johnson County, Texas, Joshua Independent School District, Hill County Junior College and City of Cleburne, Texas, a judgment against our company in the aggregate amount of $202,873.70 for taxes, penalties, interest and attorney’s fees, including continuing interest, related to four tracts of land.  The court also awarded Romfor West Africa, Ltd. judgment against our company in the amount of $8,325, plus additional attorneys’ fees in the conditional event of appeal.  Our balance sheet at September 30, 2011 reflects contingent liabilities of approximately $259,087,  inclusive of accrued interest and penalties, related to this judgment.


Our ability to continue as a going concern in the next 12 months depends on our ability to obtain sources of capital to fund our continuing operations and to seek out potential merger and acquisition partner. As of September 30, 2011, our remaining cash balance is not sufficient to cover our current liabilities, obligations and working capital needs for the balance of 2011.  We will need to raise additional capital through an interim financing, to meet our general cash flow requirements until such time as we are able to complete the acquisition of an operating company.  There are no assurances, however, that we will be able raise the necessary additional capital, in which event we may be required to consider a premature reverse merger or business combination upon terms which may not be as favorable to our stockholders as a transaction in the future, or a sale of an interest in the pending litigation with Mr. Tomlinson and PBT to a third party, to provide capital to fund our company.  If we are not able to raise capital as necessary, the likelihood that we can continue as a going concern is doubtful and investors could lose their entire investment in our company.


Cash Flows

 



10





For the nine months ended September 30, 2011, net cash used by operating activities was $53,800, attributable primarily to a net loss of $68,179 offset by an increase in accounts payable and accrued expenses of $14,379.  We did not report any cash used in investing or financing activities during the nine months ended September 30, 2011.




Off-Balance Sheet Arrangements


As of September 30, 2011, we had no off-balance sheet arrangements.


Critical Accounting Policies


Refer to Note 3 in our footnotes to the financial for a comprehensive list of the critical accounting policies affecting our Company.


Item 3.  Quantitative and Qualitative Disclosures About Market Risk.


Not applicable for a smaller reporting company.


Item 4. Controls and Procedures.


Evaluation of Disclosure Controls and Procedures.  We maintain "disclosure controls and procedures" as such term is defined in Rule 13a-15(e) under the Securities Exchange Act of 1934.  In designing and evaluating our disclosure controls and procedures, our management recognized that disclosure controls and procedures, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of disclosure controls and procedures are met.  Additionally, in designing disclosure controls and procedures, our management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible disclosure controls and procedures.  The design of any disclosure controls and procedures also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions.


Based upon the evaluation of our sole officer and director of our disclosure controls and procedures as of September 30, 2011, the end of the period covered by this Quarterly Report on Form 10-Q (the "Evaluation Date"), our Chief Executive Officer who also serves as our Chief Financial Officer has concluded that as of the Evaluation Date that our disclosure controls and procedures were not effective such that the information relating to our company, required to be disclosed in our Securities and Exchange Commission reports (i) is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms and (ii) is accumulated and communicated to our management, including our Chief Executive Officer, to allow timely decisions regarding required disclosure. Our management concluded that our disclosure controls and procedures were not effective as a result of material weaknesses in our internal control over financial reporting. We are a small organization with only one employee. Under these circumstances it is impossible to segregate duties. We do not expect our internal controls to be effective until such time as we complete an acquisition of an operating company and even then there are no assurances that our disclosure controls will be adequate in future periods.

 

Changes in Internal Control over Financial Reporting.  There have been no changes in our internal control over financial reporting during our last fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.



11





PART II - OTHER INFORMATION


Item 1.  Legal Proceedings.


The Company is pursuing a lawsuit against PBT Capital Partners and Prentis Tomlinson in order to effect the benefits of the Asset Purchase Agreement and subsequent agreements, while also remedying any damages and recouping legal costs.  The Company believes any award may include the value under the APA, related note and guaranty plus reimbursement for the litigation costs.  Trial is set for February 6, 2012.  The Company cannot forecast the outcome of the lawsuit.


Item 1A.  Risk Factors.


Not applicable for a smaller reporting company.


Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds.


None.

 

Item 3.  Defaults Upon Senior Securities.


None.


Item 4.  Removed and Reserved


Item 5.  Other Information.


None.


Item 6.   Exhibits.


No.

Description

31.1

Rule 13a-14(a)/ 15d-14(a) Certification of Chief Executive Officer *

31.2

Rule 13a-14(a)/ 15d-14(a) Certification of Chief Financial Officer *

32.1

Section 1350 Certification of Chief Executive Officer and Chief Financial Officer *

101

Interactive Data Files

101.INS

XBRL Instance Document *

101.PRE

XBRL Taxonomy Extension Presentation Linkbase *

101.LAE

XBRL Taxonomy Extension Label Linkbase *

101.DEF

XBRL Taxonomy Extension Definition Linkbase *

101.SCH

XBRL Taxonomy Extension Schema *


*

filed herewith.


SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


 

STANDARD DRILLING, INC.

 

November 8, 2011

By: /s/ David S. Rector

 

David S. Rector, Chief Executive Officer, Chief Financial Officer




12



EX-31 2 exhibit311.htm Converted by EDGARwiz

EXHIBIT 31.1


Rule 13a-14(a)/15d-14(a) Certification


I, David S. Rector, certify that:


1.

I have reviewed this report on Form 10-Q for the period ended September 30, 2011 of Standard Drilling, Inc.;


2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;


3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;


4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:


 

(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and


5.

The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):


 

(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

 

(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

 

 

 

November 8, 2011

 

/s/David S. Rector

David S. Rector, Chief Executive Officer, principal executive officer




EX-31 3 exhibit312.htm Converted by EDGARwiz

EXHIBIT 31.2


Rule 13a-14(a)/15d-14(a) Certification


I, David S. Rector, certify that:


1.

I have reviewed this report on Form 10-Q for the period ended September 30, 2011 of Standard Drilling, Inc.;


2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;


3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;


4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:


 

(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and


5.

The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):


 

(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

 

(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

 

 

 

November 8, 2011

 

/s/David S. Rector

David S. Rector, Chief Financial Officer, principal financial and accounting officer

 



EX-32 4 exhibit32.htm Converted by EDGARwiz

EXHIBIT 32.1


Section 1350 Certification


In connection with the Quarterly Report of Standard Drilling, Inc. (the “Company”) on Form 10-Q for the period ended September 30, 2011 as filed with the Securities and Exchange Commission (the “Report”), I, David S. Rector, Chief Executive Officer and Chief Financial Officer, of the Company, certify, pursuant to 18 U.S.C. SS. 1350, as adopted pursuant to SS. 906 of the Sarbanes-Oxley Act of 2002, that:

 

1.

The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, and

 

2.

The information contained in the Report fairly presents, in all material respects, the financial conditions and results of operations of the Company.

 

 

November 8, 2011

 

/s/David S. Rector

David S. Rector, Chief Executive Officer, Chief Financial Officer, principal executive officer, principal financial and accounting officer


A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.



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The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">&nbsp;</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">&nbsp;</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.</font></p> <!--egx--><p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">NOTE 3 &#150; SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">&nbsp;</font></p> <p style="LINE-HEIGHT:normal"><u><font style="FONT-FAMILY:'Times New Roman','serif'">Use of Estimates</font></u></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of 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.</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">&nbsp;</font></p> <p style="LINE-HEIGHT:normal"><u><font style="FONT-FAMILY:'Times New Roman','serif'">Recent Accounting Pronouncements</font></u></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company&#146;s financial position or statements.</font></p> <!--egx--><p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">NOTE 4 &#150; SUBSEQUENT EVENTS</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">&nbsp;</font></p> <p style="LINE-HEIGHT:normal"><font style="FONT-FAMILY:'Times New Roman','serif'">In accordance with ASC 855-10, Company management reviewed all material events through the date of this report and there are no material subsequent events to report.</font></p> 0001158694 2011-07-01 2011-09-30 0001158694 2011-09-30 0001158694 2010-12-31 0001158694 2010-07-01 2010-09-30 0001158694 2011-01-01 2011-09-30 0001158694 2010-01-01 2010-09-30 0001158694 2006-02-14 2011-09-30 0001158694 2010-09-30 0001158694 2009-12-31 iso4217:USD shares iso4217:USD shares EX-101.SCH 6 stdr-20110930.xsd 200000 - Disclosure - Organization, Consolidation and Presentation of Financial Statements link:presentationLink link:definitionLink link:calculationLink 000020 - Statement - Balance Sheets link:presentationLink link:definitionLink link:calculationLink 000040 - Statement - Statements of Cash Flows link:presentationLink link:definitionLink link:calculationLink 000030 - Statement - Statements of Income link:presentationLink link:definitionLink link:calculationLink 000010 - Document - Document and Entity Information link:presentationLink link:definitionLink link:calculationLink 290000 - Disclosure - Accounting Policies link:presentationLink link:definitionLink link:calculationLink 870000 - Disclosure - Subsequent Events link:presentationLink link:definitionLink link:calculationLink EX-101.CAL 7 stdr-20110930_cal.xml EX-101.DEF 8 stdr-20110930_def.xml EX-101.LAB 9 stdr-20110930_lab.xml Subsequent Events [Text Block] Accounting Policies Deemed dividend OPERATING EXPENSES REVENUES Additional paid-in capital Total Current Liabilities Accrued expenses Document Period End Date WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING Common stock, 100,000,000 shares authorized at par value of $0.001, 33,458,880 shares issued and outstanding LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) TOTAL ASSETS ASSETS Amendment Flag INVESTING ACTIVITIES Loss from discontinued operations Interest income COST OF SALES Total Current Assets Current Fiscal Year End Date Adjustments to reconcile net loss to net cash used by operating activities: Interest expense Entity Current Reporting Status LOSS BEFORE INCOME TAXES DISCONTINUED OPERATIONS Total Operating Expenses CURRENT LIABILITIES Entity Central Index Key Subsequent Events Basis of Accounting [Text Block] DISCONTINUED OPERATIONS {1} DISCONTINUED OPERATIONS PROVISION FOR INCOME TAXES LOSS BEFORE DISCONTINUED OPERATIONS Total Stockholders' Equity (Deficit) Statement [Line Items] Statement [Table] Document Fiscal Year Focus CURRENT ASSETS Significant Accounting Policies [Text Block] Going Concern Note SCHEDULE OF NON-CASH FINANCING ACTIVITIES: Changes to operating assets and liabilities: Preferred stock, 10,000,000 shares authorized at par value of $0.001, no shares issued and outstanding Entity Filer Category Income Taxes CASH PAID FOR: SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION Bad debt expense General and administrative STOCKHOLDERS' EQUITY (DEFICIT) Document and Entity Information TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) Entity Common Stock, Shares Outstanding Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] Net Cash Provided by Discontinued Operations FINANCING ACTIVITIES Write off of notes receivable Accounts payable Cash Document Fiscal Period Focus Net Cash Used in Operating Activities Entity Well-known Seasoned Issuer CASH AT BEGINNING OF PERIOD CASH AT BEGINNING OF PERIOD CASH AT END OF PERIOD NET INCREASE (DECREASE) IN CASH Entity Public Float Total Other Income (Expenses) OTHER INCOME (EXPENSES) REVENUES {1} REVENUES TOTAL LIABILITIES Document Type LOSS PER SHARE - BASIC AND FULLY DILUTED NET LOSS Organization, Consolidation and Presentation of Financial Statements OPERATING ACTIVITIES INCOME (LOSS) FROM OPERATIONS GROSS MARGIN Deficit accumulated during the development stage Entity Voluntary Filers Interest Fair value of options granted Net income (loss) Entity Registrant Name EX-101.PRE 10 stdr-20110930_pre.xml XML 11 R3.htm IDEA: XBRL DOCUMENT v2.3.0.15
Statements of Income (USD $)
3 Months Ended9 Months Ended68 Months Ended
Sep. 30, 2011
Sep. 30, 2010
Sep. 30, 2011
Sep. 30, 2010
Sep. 30, 2011
General and administrative$ 5,076$ 35,179$ 57,557$ 135,785$ 2,329,502
Bad debt expense    600,000
Total Operating Expenses5,07635,17957,557135,7852,929,502
INCOME (LOSS) FROM OPERATIONS(5,076)(35,179)(57,557)(135,785)(2,929,502)
Interest income 168 6054,842
Interest expense(3,168)(3,665)(10,622)(10,995)(47,889)
Total Other Income (Expenses)(3,168)(3,497)(10,622)(10,390)(43,047)
LOSS BEFORE DISCONTINUED OPERATIONS(8,244)(38,676)(68,179)(146,175)(2,972,549)
DISCONTINUED OPERATIONS    (15,792,405)
LOSS BEFORE INCOME TAXES(8,244)(38,676)(68,179)(146,175)(18,764,954)
NET LOSS$ (8,244)$ (38,676)$ (68,179)$ (146,175)$ (18,764,954)
LOSS PER SHARE - BASIC AND FULLY DILUTED$ 0.00$ 0.00$ 0.00$ 0.00 
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING33,458,88033,458,88033,458,88033,458,88033,458,880
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Statements of Cash Flows (USD $)
9 Months Ended68 Months Ended
Sep. 30, 2011
Sep. 30, 2010
Sep. 30, 2011
Net income (loss)$ (68,179)$ (146,175)$ (2,972,549)
Loss from discontinued operations  (15,792,405)
Fair value of options granted  112,441
Write off of notes receivable600,000 600,000
Accounts payable7,965(36,378)7,965
Accrued expenses259,08710,995259,087
Net Cash Used in Operating Activities(53,800)(171,558)(17,785,461)
Net Cash Provided by Discontinued Operations  17,794,479
NET INCREASE (DECREASE) IN CASH(53,800)(171,558)9,018
CASH AT BEGINNING OF PERIOD62,818267,760 
CASH AT END OF PERIOD9,01896,2029,018
Deemed dividend  $ 1,131,789
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Document and Entity Information (USD $)
3 Months Ended
Sep. 30, 2011
Document and Entity Information 
Entity Registrant NameStandard Drilling, Inc.
Document Type10-Q
Document Period End DateSep. 30, 2011
Amendment Flagfalse
Entity Central Index Key0001158694
Current Fiscal Year End Date--12-31
Entity Common Stock, Shares Outstanding33,458,880
Entity Public Float$ 33,458,880
Entity Filer CategorySmaller Reporting Company
Entity Current Reporting StatusNo
Entity Voluntary FilersNo
Entity Well-known Seasoned IssuerNo
Document Fiscal Year Focus2011
Document Fiscal Period FocusQ3
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XML 15 R6.htm IDEA: XBRL DOCUMENT v2.3.0.15
Accounting Policies
3 Months Ended
Sep. 30, 2011
Accounting Policies 
Significant Accounting Policies [Text Block]

NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of 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.

 

Recent Accounting Pronouncements

The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position or statements.

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Organization, Consolidation and Presentation of Financial Statements
3 Months Ended
Sep. 30, 2011
Organization, Consolidation and Presentation of Financial Statements 
Going Concern Note

NOTE 2 – GOING CONCERN

 

The Company's financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.

 

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.

 

The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

The accompanying financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2011, and for all periods presented herein, have been made.

 

Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company's December 31, 2010 audited financial statements.  The results of operations for the period ended September 30, 2011 and 2010 are not necessarily indicative of the operating results for the full year.

XML 19 R7.htm IDEA: XBRL DOCUMENT v2.3.0.15
Subsequent Events
3 Months Ended
Sep. 30, 2011
Subsequent Events 
Subsequent Events [Text Block]

NOTE 4 – SUBSEQUENT EVENTS

 

In accordance with ASC 855-10, Company management reviewed all material events through the date of this report and there are no material subsequent events to report.

XML 20 R2.htm IDEA: XBRL DOCUMENT v2.3.0.15
Balance Sheets (USD $)
Sep. 30, 2011
Dec. 31, 2010
Cash$ 9,018$ 62,818
Total Current Assets9,01862,818
TOTAL ASSETS9,01862,818
Accounts payable7,9654,208
Accrued expenses259,087248,465
Total Current Liabilities267,052252,673
TOTAL LIABILITIES267,052252,673
Common stock, 100,000,000 shares authorized at par value of $0.001, 33,458,880 shares issued and outstanding33,45933,459
Additional paid-in capital18,473,46118,473,461
Deficit accumulated during the development stage(18,764,954)(18,696,775)
Total Stockholders' Equity (Deficit)(258,034)(189,855)
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)$ 9,018$ 62,818
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