10-Q/A

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

_________________

FORM 10-Q/A

_________________

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

For the quarterly period ended: March 31, 2013

or

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

For the transition period from: ______ to ______

NEW WESTERN ENERGY CORPORATION

(Exact name of registrant as specified in its charter)

NEVADA	7929	26-3640580
(State or Other Jurisdiction	(Commission	(I.R.S. Employer
of Incorporation or Organization)	File Number)	Identification No.)

20 TRUMAN, SUITE 204, IRVINE, CALIFORNIA 92620
(Address of Principal Executive Offices) (Zip Code)

(949) 435-0977
(Registrant’s telephone number, including area code)

N/A
(Former name or 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.

Large accelerated filer  ☐ Accelerated filer  ☐ Non-accelerated filer  ☐ Smaller reporting company  ☑

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).     Yes  ☐    No  ☑

The total number of Common Stock, $0.0001 par value, of the registrant outstanding at May 14, 2013 was 68,905,866.

ITEMS AMENDED HEREBY

As used in this amended report, “New Western Energy Corporation” and the “Company” or “Us” or “We” or “Our” refer to New Western Energy Corporation, a Nevada corporation, unless the context otherwise requires.

EXPLANATORY NOTE

The purpose of this Amendment (the “Amendment”) to our Form 10-Q for the Quarterly Period Ended March 31, 2013 (the “Form 10-Q”), as filed with the Securities and Exchange Commission (the “SEC”) on May 14, 2013, is solely to furnish Exhibit 101 to the Form 10-Q in accordance with Rule 405 of Regulation S-T.

Exhibit 101 to this report provides the consolidated financial statements and related notes from the Form 10-Q formatted in XBRL (eXtensible Business Reporting Language).

This Amendment makes no other changes to the Form 10-Q as filed with the SEC on May 14, 2013 and no attempt has been made in this Amendment to modify or update the other disclosures presented in the Form 10-Q.

This Amendment does not reflect subsequent events occurring after the original filing of the Form 10-Q (i.e., those events occurring after May 14, 2013) or modify or update in any way those disclosures that may be affected by subsequent events.

Accordingly, this Amendment should be read in conjunction with the Form 10-Q and our other filings with the SEC.

(i)

NEW WESTERN ENERGY CORPORATION

FORM 10-Q/A

FOR THE QUARTER ENDED MARCH 31, 2013

INDEX

			Page
PART II	OTHER INFORMATION
	Item 6	Exhibits	1
SIGNATURES			2
INDEX OF EXHIBITS			3

(ii)

PART II — OTHER INFORMATION

Item 6. Exhibits.

See Index of Exhibits on Page 3.

1

SIGNATURES

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

Date: May 14, 2013	New Western Energy Corporation
	By: /s/ Javan Khazali
	Javan Khazali, President (Principal Executive Officer)

2

INDEX OF EXHIBITS

Exhibit Number	Description
31.1	13a-14(a) Certification of Chief Executive Officer (1)
31.2	13a-14(a) Certification of Chief Financial Officer (1)
32.1	Section 1350 Certification of Chief Executive Officer (1)
101.INS	XBRL Instance Document. (2)
101.SCH	XBRL Taxonomy Extension Schema Document. (2)
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document (2)
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document (2)
101.LAB	XBRL Taxonomy Extension Label Linkbase Document (2)
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document (2)
(1) These exhibits were previously included in the Registrant’s Form 10-Q for the Quarterly Period ended March 31, 2013, filed with the SEC on May 14, 2013.
(2)  Pursuant to Rule 406T of Regulation S-T, the interactive data files on Exhibits 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, and Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

3

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Notes Payable (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Note Payable	$ 275,000	$ 400,000
Note Payable - Current Portion	(275,000)	(377,500)
Note Payable - Long term Portion		22,500
Stockholder #1 Note
Note Payable	50,000	50,000
Stockholder #2 Note
Note Payable		50,000
Third party #1 Note
Note Payable	225,000	270,000
Third party #2 Note
Note Payable		$ 30,000

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Derivative Financial Instruments (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Closing stock price	$ 0.15
Change in fair value of embedded conversion option liability	$ (57,815)

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Stockholders' Equity Additional (Details Narrative) (USD $)					0 Months Ended
	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2013 Stock compensation expense	Mar. 31, 2013 Consulting Expense	Jan. 11, 2013 Non-executive director	Jan. 11, 2013 Consultant
Common stock issued for services, shares					150,000	100,000
Common stock issued for services, amount						$ 100,000
Prepaid Stock expense	$ 70,000	$ 30,000	$ 20,000	$ 10,000
Share price					$ 0.40	$ 0.40

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Noncontrolling Interest in Consolidated Subsidiary (Details Narrative) (Parenthetical)	3 Months Ended
	Mar. 31, 2013
Agreement	Pursuant to the terms of the partnership agreement, the Limited Partner will be entitled to receive 70% of the net income and cash available for distributions until such time an amount equal to the Limited Partner’s initial investment plus a 50% return on such initial investment is received by the Limited Partner. Thereafter, net income and cash available for distributions shall be allocated 20% to the Limited Partner and 80% to the General Partner.

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Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Embedded Conversion Options

	Black-Scholes Model Inputs
	During three months ended March 31, 2013
Volatility	159.43%  - 193.77%
Expected term	0.89 years - 1 year
Risk free interest rate	0.17%

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Subsequent Events (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Non-executive director
Common stock issued, shares	250,000
Common stock issued, amount	$ 35,000
Cash compensation per month	$ 3,000
Consultant
Share price	$ 0.14

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Convertible Notes Payable - Convertible Note Payable (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Dec. 31, 2012
Less: debt discount	$ (111,035)
Convertible note payable, net	27,854
Convertible Notes
Convertible note payable	138,889
Less: debt discount	(111,035)
Convertible note payable, net	$ 27,854
Maturity date	Feb. 15, 2014
Interest Rate on Note	12.00%

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Mineral Properties - Capitalized costs to mineral properties (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Wellsboro Lease.Type:Gravel
Unproved Property, Gross	$ 87,183	$ 103,530
Accumulated depletion
Impairment loss	(16,347)
Unproved property, net	$ 87,183	$ 103,530

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2012 Incentative Stok Plan (Details Narrative) (USD $)	Mar. 31, 2013	Dec. 31, 2012	Aug. 30, 2012
Common stock, shares issued	68,655,866	68,010,866	5,000,000
Common stock, par value	$ 0.0001	$ 0.0001	$ 0.0001
Common stock, outstanding	68,655,866	68,010,866
Class C Warrants
Warrants Outstanding	2,510,666
Class D Warrants
Warrants Outstanding	395,000

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Mineral Properties

3 Months Ended

Mar. 31, 2013

Extractive Industries [Abstract]

Mineral Properties

NOTE 5: MINERAL PROPERTIES

The Company’s aggregate capitalized costs related to mineral properties consist of the following:

Unproved Mineral Property
Name of Property	Type	March 31, 2013 (Unaudited)			December 31, 2012
Wellsboro Lease	Gravel	$	103,530		$	103,530
			103,530			103,530
Less: Accumulated depletion			—			—
			103,530			103,530
Less: Impairment allowance			(16,347	)		—
		$	87,183		$	103,530

The lease term of Wellsboro Lease expires on July 31, 2014. Since there was no production of minerals during the three months ended March 31, 2013 and 2012, no depletion expense relating to mineral properties has been recorded for the three months ended as of March 31, 2013 and 2012. The Company has taken a conservative position to amortize the lease acquisition cost over the remaining term of the lease. The Company recorded an amortization expense of $16,347 and $0 for the three months ended March 31, 2013 and 2012, respectively.The Company has not started any gravel exploration on Wellsboro Lease as of March 31, 2013.

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Convertible Notes Payable (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Consideration received	$ 125,000
Embedded Conversion Option Liability	110,430
Convertible Notes
Proceeds from third party	125,000
Convertible note, amount	500,000
Consideration received	450,000
Original Issue discount(OID)	50,000
Effective date	Feb. 15, 2014
Interest Rate on Note	0.00%	[1]
Interest rate after effective date	12.00%
Conversion price	$ 0.40	[2]
Unamortized Loan discount on OID	13,888
Embedded Conversion Option Liability	110,430
Amortization of OID	1,484
Amortization of beneficial conversion feature discount	$ 11,799

[1] on or before 90 days from the Effective Date

[2] The Conversion Price is the lessor of $0.40 or 60% of the lowest trade price in the 25 trading days previous to the conversion.

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Summary of Accounting Policies- Fair Value Measurements Additional (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Summary Of Accounting Policies- Fair Value Measurements Additional Details Narrative
Balance - December 31, 2012	$ 103,530
Change in fair value	(16,347)
Balance - March 31, 2013	87,183
Balance - December 31, 2012
Additions	110,430
Change in fair value	57,815
Balance - March 31, 2013	$ 168,245

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Summary of Accounting Policies- Fair Value Measurements (Details Narrative) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Mineral Properties	$ 87,183	$ 103,530
Embedded Conversion Option Liability	168,245
Carrying Value
Mineral Properties	87,183
Embedded Conversion Option Liability	168,245
Level 1
Mineral Properties
Embedded Conversion Option Liability
Level 2
Mineral Properties
Embedded Conversion Option Liability
Level 3
Mineral Properties	87,183
Embedded Conversion Option Liability	$ 168,245

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Related Party Transactions and balances (Details Narrative) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Related Party Transactions [Abstract]
Due to Officer	$ 1,000	$ 42,500
Compensation due to officer	$ 30,000

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Summary of Accounting Policies (Details Narrative)	3 Months Ended
	Mar. 31, 2013
Convertible notes to common stock	1,543,210
Class C Warrants
Warrants Outstanding	2,510,666
Class D Warrants
Warrants Outstanding	395,000

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Noncontrolling Interest in Consolidated Subsidiary - Noncontrolling Interest in consolidated account (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Noncontrolling Interest [Abstract]
Balance at December 31, 2012
Contribution by noncontrolling interest member	650,000
Net loss applicable to noncontrolling interest	(1,245)
Balance at March 31, 2013	$ 648,755

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Oil and Gas Properties

3 Months Ended

Mar. 31, 2013

Extractive Industries [Abstract]

Oil and Gas Properties

NOTE 4: OIL AND GAS PROPERTIES

The Company's aggregate capitalized costs related to oil properties consist of the following:

Name of the property	Type	March 31, 2013 (Unaudited)			December 31, 2012
Glass Lease	Oil	$	221,000		$	221,000
Phillips Lease	Oil		130,000			130,000
Chautauqua Lease - B&W Ranch	Oil		75,000			75,000
Chautauqua Lease - Charles & Nancy Smith	Oil		24,750			24,750
Chautauqua Lease - Lloyd & Patricia Fields	Oil		14,400			14,400
Chautauqua Lease - Rinck	Oil		24,750			—
Swenson Lease	Oil		—			23,070
McLellan Lease	Oil		—			4,191
Reves Lease	Oil		—			6,555
Terry Heirs	Oil		9,722			9,722
Trice, W. G.	Oil		25,333			25,333
Rogers County, Oklahoma (8) Leases	Oil		420,000			420,000
Uncompleted wells, equipment and facilities			—			36,973
			944,955			990,994
Accumulated depletion			(1,532	)		(2,196	)
Impairment allowance			(123,778	)		(123,778	)
		$	819,645		$	865,020
Impairment allowance is allocated as follows:
Glass Lease		$	123,778		$	123,778

Changes in the Uncompleted Wells, Equipment and Facilities were as follows:

	For the three months ended March 31,
	2013      (Unaudited)			2012      (Unaudited)
Beginning balance	$	36,973		$	36,973
Additions		—			—
Sale of leases		(36,973	)		—
Reclassification to proved properties		—			—
Costs charged to expense		—			—
Balance at end of the period	$	—		$	36,973

There were no exploration well costs capitalized for more than one year following the completion of drilling.

The following oil and gas leases were acquired and sold during the three months ended March 31, 2013.

Acquisition of Rinck Oil and Gas Lease, Chautauqua County, Kansas

On March 7, 2013, the Company entered into an Assignment of Rinck Oil and Gas Lease with a third party for an oil and gas property in Kansas named the “Rinck Lease”, whereby the assignor granted the rights to the Company to carry geographical and other exploratory work, including core drilling, and the drilling, mining and operating for, producing, and saving all of the oil and gas, including all associated hydrocarbons. The Rinck Lease consists of 553.4 acres of land in Chautauqua County, Kansas. The assignor agreed to transfer 100% of the assignor’s right, title and working interest in the Rinck Lease to the Company for a total consideration of $24,750. The Company’s net revenue interest in the Rinck Lease was calculated at 81.25% subject to the royalty of 18.75% payable to the landowners. The Company has paid the total consideration of $24,750 as of March 31, 2013. The Company has not started any oil and gas exploration on the Rinck Lease as of March 31, 2013.

Sale of Swenson Lease, McLellan Lease and Reves Lease, Jones County, Texas

On February 28, 2013, the Company sold its 100% working interest in 402 acres of oil and gas leases in the Swenson, McLellan and Reves Leases in Jones County, Texas (collectively referred to as these “Leases”), to a third party for a cash payment of $280,000. The Company’s leasehold costs in these Leases amounted to $33,023 and capitalized lease and uncompleted wells equipment, and facilities costs of these Leases were $63,406 as of February 28, 2013. In addition, the Company paid legal fees and commissions of $29,000 to third parties for brokering the sale, and paid $75,300 to Hatchett Energy for its 30% share in these Leases. The Company recorded a gain of $79,271 as a result of sale of these Leases in its consolidated financial statements as of March 31, 2013.

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Noncontrolling Interest in Consolidated Subsidiary (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Cash Funding received	$ 650,000
Contribution to partnership	6,500
Loss on partnership	2,541
Net loss applicable to noncontrolling interest in consolidated subsidiary	1,245
Fixed fee revenue per month	$ 250
LimitedPartnershipMember
Ownership	51.00%

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Notes Payable (Details) (Parenthetical)	3 Months Ended
	Mar. 31, 2013
Stockholder #1 Note
Maturity date	Jul. 01, 2012
Interest Rate on Note	10.00%
First Payment Date	Feb. 28, 2013
Extension of Maturity Date	Jul. 01, 2013
Stockholder #2 Note
Maturity date	Jan. 31, 2013
Interest Rate on Note	10.00%
Third party #1 Note
Maturity date	Feb. 01, 2014
Interest Rate on Note	5.00%
Third party #2 Note
Maturity date	Jan. 07, 2013
Interest Rate on Note	0.00%
First Payment Date	Jan. 07, 2013

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Condensed Consolidated Balance Sheets (USD $)	Mar. 31, 2013	Dec. 31, 2012
Current assets
Cash and cash equivalents	$ 792,967	$ 5,092
Accounts receivable	11,297	13,339
Prepaid expenses and other assets	70,000	30,000
Total current assets	874,264	48,431
Property and equipment, net	66,545	98,003
Oil and gas properties, net	819,645	865,020
Mineral properties, net	87,183	103,530
Other assets	1,450	1,450
Total Assets	1,849,087	1,116,434
Current liabilities
Accounts payable	9,633	25,129
Accrued expenses	39,218	29,069
Notes payable, current portion	275,000	377,500
Convertible note payable, net of discount of $111,035 at March 31, 2013	27,854
Embedded conversion beneficial liability	168,245
Payable to related party	1,000	42,500
Total current liabilities	520,950	474,198
Notes payable, long term portion		22,500
Total Liabilities	520,950	496,698
Stockholders' Equity
Preferred stock, $0.0001 par value, 5,000,000 shares authorized, 0 shares issued and outstanding at March 31, 2013 and December 31, 2012, respectively
Common stock, $0.0001 par value, 100,000,000 shares authorized, 68,655,866 and 68,010,866 shares issued and outstanding at March 31, 2013 and December 31, 2012, respectively	6,866	6,801
Additional paid in capital	3,615,846	3,375,611
Accumulated deficit	(2,943,329)	(2,762,676)
Total New Western Energy Corporation and Subsidiaries Stockholder's Equity	679,383	619,736
Noncontrolling interest in consolidated subsidiary	648,755
Total Stockholders' Equity	1,328,138	619,736
Total Liabilities and Stockholders' Equity	$ 1,849,087	$ 1,116,434

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Stockholders' Equity (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013
Stockholders Equity Details Narrative
Equity Offering, units	395,000
Equity Offering, cash proceeds	$ 158,000
Equity Offering, per unit	$ 0.40
Class D Warrant exercise price	1.25
Expiration Date	12/31/2014
Class D Warrant redemption price	$ 0.05	[1]

[1] 30 days' prior written notice, commencing on six months from the date of this PPM, if the average of the closing bid price of the common stock exceeds $2.50 per share for 20 consecutive business days ending within 3 days of the date on which notice of redemption is given.

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Nature of Operations, Basis of Presentation and Going Concern

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Nature of Operations, Basis of Presentation and Going Concern

NOTE 1: NATURE OF OPERATIONS, BASIS OF PRESENTATION AND GOING CONCERN

New Western Energy Corporation (the “Company”) was incorporated in the State of Nevada on September 25, 2008. The Company’s principal business is the acquisition, exploration and development of, and production from oil, gas and mineral properties located in the United States.

On December 1, 2010, the Company formed an entity named New Western Texas Oil and Gas Corporation (“New Western Texas”) incorporated in the State of Nevada, as its wholly-owned subsidiary. New Western Texas started its operations in January 2011.

On January 2, 2012, the Company completed the acquisition of 100% of the issued and outstanding capital stock of Royal Texan Energy Co. (“RTE”) and RTE became our wholly-owned subsidiary and conducts business as a separate operating company.

On March 18, 2013, the Company closed its 2013 NWE Drilling Program 1 LP (the “Limited Partnership”). The Company became the General Partner and owns 51% of the Limited Partnership. The Limited Partnership was specifically formed to drill three oil wells on the Company’s B&W Ranch lease in the Chautauqua County, Kansas (See Note 3).

Basis of presentation

The accompanying interim condensed consolidated financial statements are unaudited, but in the opinion of management of the Company, contain all adjustments, which include normal recurring adjustments and business acquisition adjustments, necessary to present fairly the financial position at March 31, 2013, and the results of operations and cash flows for the three months ended March 31, 2013 and 2012. The balance sheet as of December 31, 2012 is derived from the Company’s audited financial statements.

Certain information and footnote disclosures normally included in consolidated financial statements that have been prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although management of the Company believes that the disclosures contained in these consolidated financial statements are adequate to make the information presented therein not misleading. For further information, refer to the financial statements and the notes thereto contained in the Company’s 2012 Annual Report filed with the SEC on Form 10-K on April 8, 2013.

Going Concern

These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated significant revenues since inception and has never paid any dividends and is unlikely to pay dividends or generate significant earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability of the Company to obtain necessary equity financing to continue operations, and the attainment of profitable operations. The Company currently has on ongoing private placement equity offering and has raised $158,000 during the three months ended March 31, 2013 and through the date of this report. At March 31, 2013, the Company had working capital of $353,314, incurred a net loss applicable to New Western Energy Corporation common stockholders of $180,653 during the three months ended March 31, 2013 and used cash in operating activities of $11,875. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. These consolidated financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

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Oil and Gas Properties - Changes in Uncompleted Wells (Details) (Uncompleted Wells, USD $)	3 Months Ended
	Mar. 31, 2013	Dec. 31, 2011
Uncompleted Wells
Beginning Balance		$ 36,973
Additions	0
Sale of lease	(36,973)
Reclassification to proved properties	0
Costs charged to expense	0
Ending Balance		$ 36,973

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Oil and Gas Properties and Related Obligations (Tables)

3 Months Ended

Mar. 31, 2013

Extractive Industries [Abstract]

Capitalized Costs related to oil properties

Name of the property	Type	March 31, 2013 (Unaudited)			December 31, 2012
Glass Lease	Oil	$	221,000		$	221,000
Phillips Lease	Oil		130,000			130,000
Chautauqua Lease - B&W Ranch	Oil		75,000			75,000
Chautauqua Lease - Charles & Nancy Smith	Oil		24,750			24,750
Chautauqua Lease - Lloyd & Patricia Fields	Oil		14,400			14,400
Chautauqua Lease - Rinck	Oil		24,750			—
Swenson Lease	Oil		—			23,070
McLellan Lease	Oil		—			4,191
Reves Lease	Oil		—			6,555
Terry Heirs	Oil		9,722			9,722
Trice, W. G.	Oil		25,333			25,333
Rogers County, Oklahoma (8) Leases	Oil		420,000			420,000
Uncompleted wells, equipment and facilities			—			36,973
			944,955			990,994
Accumulated depletion			(1,532	)		(2,196	)
Impairment allowance			(123,778	)		(123,778	)
		$	819,645		$	865,020
Impairment allowance is allocated as follows:
Glass Lease		$	123,778		$	123,778

Uncompleted Wells, Equipment and Facilities

	For the three months ended March 31,
	2013      (Unaudited)			2012      (Unaudited)
Beginning balance	$	36,973		$	36,973
Additions		—			—
Sale of leases		(36,973	)		—
Reclassification to proved properties		—			—
Costs charged to expense		—			—
Balance at end of the period	$	—		$	36,973

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Oil and Gas Properties - Acquisition and Sale (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Consideration for sale of lease	$ 280,000
Chautaugua Lease - Rink
Date Acquired	Mar. 07, 2013
Ownership	100.00%
Acres	553
Purchase Consideration	24,750
Net Revenue interest	81.25%	[1]
Sale of Leases
Date Sold	2/28/2013
Ownership	100.00%
Acres	402
Consideration for sale of lease	280,000
Leasehold costs	33,023
Capitalized lease amount	63,406
Legal fees and commissions	29,000
Gain on sale of lease	79,271
Hatchett Energy
Ownership	30.00%
Consideration for sale of lease	$ 75,300

[1] subject to the royalty of 18.75% payable to the landowners

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Convertible Notes Payable (Tables)

3 Months Ended

Mar. 31, 2013

Notes to Financial Statements

Convertible Note Payable

	March 31, 2013 (Unaudited)			December 31, 2012
Note payable to a third party, bearing one-time interest of 12%, one year term, due on February 15, 2014	$	138,889		$	—
Convertible note payable		138,889			—
Less: debt discount		(111,035	)		—
Convertible note payable, net	$	27,854		$	—

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Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries New Western Texas Oil and Gas Corporation, Royal Texan Energy Co. and the Company’s 51% majority owned subsidiary 2013 NWE Drilling Program 1 LP. All intercompany balances and transactions are eliminated in consolidation.

Noncontrolling Interest

The Company accounts for its less than 100% interest in consolidated subsidiaries in accordance with ASC Topic 810, Consolidation, and accordingly, the Company presents noncontrolling interests as a component of equity on its unaudited condensed consolidated balance sheets and reports noncontrolling interest net income or loss under the heading “Net (income) loss applicable to noncontrolling interest in consolidated subsidiary” in the unaudited condensed consolidated statements of operations.

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (U.S. GAAP) 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the valuation of marketable securities, valuation of accounts, notes and other receivables, valuation and purchase price allocation of assets acquired and liabilities assumed in business combinations, valuation of beneficial conversion features in convertible debt, valuation of derivatives, valuation of long-lived assets, goodwill and oil, gas and mineral properties, stock-based compensation and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

Derivative Instruments

ASC Topic 815, Derivatives and Hedging (“ASC Topic 815”), establishes accounting and reporting standards for derivative instruments and for hedging activities by requiring that all derivatives be recognized in the balance sheet and measured at fair value. Gains or losses resulting from changes in the fair value of derivatives are recognized in earnings or recorded in other comprehensive income (loss) depending upon the purpose of the derivatives and whether they qualify and have been designated for hedge accounting treatment. The Company does not have any derivative instruments for which it has applied hedge accounting treatment.

Fair value of Financial Instruments and Fair Value Measurements

ASC 820, Fair Value Measurements and Disclosures, requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value:

Level 1

Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

Level 2

Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

Level 3

Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

The Company’s financial instruments consist principally of cash, amounts receivable, accounts payable, notes payable, and amounts due to related parties. Pursuant to ASC 820, Fair Value Measurements and Disclosures and ASC 825, Financial Instruments, the fair value of our cash equivalents is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. The Company believes that the recorded values of all of the other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations.

Assets and liabilities measured at fair value on a recurring and non-recurring basis consist of the following at March 31, 2013:

			Fair value Measurements at March 31, 2013
	Carrying Value at March 31, 2013 (Unaudited)		(Level 1) (Unaudited)		(Level 2) (Unaudited)		(Level 3) (Unaudited)
Mineral Properties	$	87,183	$	—	$	—	$	87,183
Embedded Conversion Option Liability	$	168,245	$	—	$	—	$	168,245

The following is a summary of activity of Level 3 assets and liabilities for the period ended March 31, 2013:

Mineral Properties
Balance - December 31, 2012	$	103,530
Additions		—
Change in fair value		(16,347	)
Balance - March 31, 2013	$	87,183
Embedded Conversion Option Liability
Balance - December 31, 2012	$	—
Additions		110,430
Change in fair value		57,815
Balance - March 31, 2013	$	168,245

Changes in fair value of the embedded conversion liability are included in other income (expense) in the accompanying unaudited condensed consolidated statements of operations.

Net Earnings (Loss) Per Share

The Company computes net earnings (loss) per share in accordance with ASC 260, Earnings per Share. ASC 260 requires presentation of both basic and diluted net earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing earnings (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. At March 31, 2013, there were Class C Warrants outstanding for 2,510,666 common shares, Class D Warrants outstanding for 395,000 common shares and a convertible note convertible into 1,543,210 common shares that were excluded from the computations of diluted loss per share since the effect was anti-dilutive. These common stock equivalents may dilute future earnings per share.

Recent Accounting Pronouncements

The Company has implemented all new accounting pronouncements that are in effect and that may impact its consolidated financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

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Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Statement of Financial Position [Abstract]
Convertible note, discount	$ 111,035
Stockholders' Equity
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	68,655,866	68,010,866
Common stock, shares outstanding	68,655,866	68,010,866

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Convertible Notes Payable

3 Months Ended

Mar. 31, 2013

Notes to Financial Statements

Convertible Notes Payable

NOTE 7: CONVERTIBLE NOTE PAYABLE

Convertible note payable consists of:

	March 31, 2013 (Unaudited)			December 31, 2012
Note payable to a third party, bearing one-time interest of 12%, one year term, due on February 15, 2014	$	138,889		$	—
Convertible note payable		138,889			—
Less: debt discount		(111,035	)		—
Convertible note payable, net	$	27,854		$	—

On February 20, 2013, the Company received $125,000 from a third party against a $500,000 Convertible Promissory Note (the “Note”) executed on February 15, 2013. The total consideration receivable against the Note was $450,000, with the Note bearing $50,000 original issue discount (OID). The Company may repay the Note at any time on or before 90 days from the delivery of the first payment of consideration by the lender (herein referred to as “Effective Date”), after which the Company may not make further payments on the Note prior to the maturity date of February 15, 2014 without written approval from the lender. If the Company repays the Note on or before 90 days from the Effective Date, the interest rate shall be 0%. If the Company does not repay the Note on or before 90 days from the Effective date, a one-time interest charge of 12% shall be applied to the principal sum. Any interest payable is in addition to the OID, and that OID (or prorated OID, if applicable) remains payable regardless of time and manner of payment by the Company. The lender has the right at any time after the Effective Date, at its election, to convert all or part of the outstanding and unpaid principal sum and accrued interest into shares of fully paid and non-assessable shares of common stock of the Company as per the conversion formula: Number of shares receivable upon conversion equals the dollar conversion amount divided by the Conversion Price. The Conversion Price is the lessor of $0.40 or 60% of the lowest trade price in the 25 trading days previous to the conversion.

In connection with the issuance of the Note, the Company recorded a loan discount related to the OID in the amount of $13,888 which will be amortized to interest expense over the life of the Note. In accordance with ASC 470, the Company recognized a debt discount related to the bifurcated embedded conversion option derivative liability in the amount of $110,430 which will be amortized to interest expense over the life of the convertible notes. For the three months ended March 31, 2013, the Company has recognized interest expense of $1,484, related to the amortization of the OID and $11,799 related to the amortization of the beneficial conversion feature discount.

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Document and Entity Information	3 Months Ended
	Mar. 31, 2013	May 14, 2013
Document And Entity Information
Entity Registrant Name	New Western Energy Corp.
Entity Central Index Key	0001479488
Document Type	10-Q
Document Period End Date	Mar. 31, 2013
Amendment Flag	true
Current Fiscal Year End Date	--12-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		68,655,866
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2013
Amendment description	To correct XBRL

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Derivative Financial Instruments

3 Months Ended

Mar. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

NOTE 11: DERIVATIVE FINANCIAL INSTRUMENTS

Under the provisions of ASC 815-40, convertible instruments issued by the Company qualify for derivative treatment due to the variable conversion formula (Note 7). The embedded conversion features of the convertible note is bifurcated and recorded as a debt discount and liability which is revalued at fair value each reporting date. If the fair value of the embedded conversion feature exceeds the face value of the related debt, net of other discounts, the excess is recorded as a change in fair value on the issuance date. Embedded conversion features are valued at their fair value, rather than by the intrinsic value method.

The Company calculated the estimated fair values of the liabilities for embedded conversion feature at February 20, 2013 and March 31, 2013 with the Black-Scholes option pricing model using the closing price of the Company’s common stock of $0.15 and the ranges for volatility, expected term and risk free interest indicated in the table below. As a result, the Company recorded a change in the fair value of the liabilities for embedded conversion option derivative instruments for the three months ended March 31, 2013 of $57,815 which was included in other expense (See Note 2 Fair Value Measurements).

Embedded Conversion Options

	Black-Scholes Model Inputs
	During three months ended March 31, 2013
Volatility	159.43%  - 193.77%
Expected term	0.89 year - 1 year
Risk free interest rate	0.17%

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Condensed Consolidated Statements of Operations (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Income Statement [Abstract]
Revenues	$ 19,197	$ 36,479
Expenses
Depreciation, depletion and amortization	21,500	6,441
General and administrative	165,991	118,042
Gain on sale of oil lease	(79,271)
Oil and gas production	16,428	14,181
Total expenses	124,648	138,664
Loss from operations	(105,451)	(102,185)
Other income (expenses)
Interest expense	(17,832)	(3,358)
Change in fair value of embedded conversion option liability	(57,815)
Interest income		450
Total other income (expenses)	(75,647)	(2,908)
Loss from operations before income tax	(181,098)	(105,093)
Provision for income tax	800	800
Net loss applicable to common stock before allocation to non-controlling interest	(181,898)	(105,893)
Net loss applicable to noncontrolling interest in consolidated subsidiary	1,245
Net loss applicable to New Western Energy Corporation common stockholders	$ (180,653)	$ (105,893)
Basic and diluted net loss per share applicable to common stockholders	$ 0.00	$ 0.00
Weighted average number of shares outstanding	68,436,908	65,536,866

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

NOTE 9: COMMITMENTS AND CONTINGENCIES

Legal Costs and Contingencies

In the normal course of business, the Company incurs costs to hire and retain external legal counsel to advise it on regulatory, litigation and other matters. The Company expenses these costs as the related services are received.

If a loss is considered probable and the amount can be reasonable estimated, the Company recognizes an expense for the estimated loss. If the Company has the potential to recover a portion of the estimated loss from a third party, the Company makes a separate assessment of recoverability and reduces the estimated loss if recovery is also deemed probable. As of March 31, 2013, there were no pending or threatened lawsuits that could reasonably be expected to have a material effect on the results of our operations.

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Related Party Transactions and balances

3 Months Ended

Mar. 31, 2013

Related Party Transactions [Abstract]

Related Party Transactions and balances

NOTE 8: RELATED PARTY TRANSACTIONS AND BALANCES

Payable to Related party

At March 31, 2013 and December 31, 2012, advances, net of repayments, made to the Company by the Chief Executive Officer (“Officer”) for its working capital requirements amounted to $1,000 and $42,500, respectively. Amounts due to the Officer are unsecured, non-interest bearing and due on demand without specific repayment terms. In addition, compensation paid to the Officer for the three months ended March 31, 2013 pursuant to the terms of an employment agreement amounted to $30,000.

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Notes Payable (Tables)

3 Months Ended

Mar. 31, 2013

Debt Disclosure [Abstract]

Notes Payable

	March 31, 2013 (Unaudited)			December 31, 2012
Stockholder note payable, unsecured, bearing interest at 10% per annum, originally due on July 31, 2012 and extended to July 31, 2013, is subordinated in right of payment to the prior payment in full of all future bank rediscount lines of credit or loans	$	50,000		$	50,000
Stockholder note payable, unsecured, bearing interest at 10% per annum, due on January 31, 2013, is subordinated in right of payment to the prior payment in full of all future bank rediscount lines of credit or loans		—			50,000
Note payable to a third party, unsecured, bearing interest at 5% per annum, due on February 1, 2014, is subordinated in right of payment to the prior payment in full of all future bank rediscount line of credit or loan		225,000			270,000
Note payable to a third party, unsecured, bearing interest at 0% per annum, due on January 7, 2013		—			30,000
		275,000			400,000
Notes payable - Current Portion		(275,000	)		(377,500	)
Notes payable - Long-term Portion	$	—		$	22,500

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Nature of Operations

New Western Energy Corporation (the “Company”) was incorporated in the State of Nevada on September 25, 2008. The Company’s principal business is the acquisition, exploration and development of, and production from oil, gas and mineral properties located in the United States.

On December 1, 2010, the Company formed an entity named New Western Texas Oil and Gas Corporation (“New Western Texas”) incorporated in the State of Nevada, as its wholly-owned subsidiary. New Western Texas started its operations in January 2011.

On January 2, 2012, the Company completed the acquisition of 100% of the issued and outstanding capital stock of Royal Texan Energy Co. (“RTE”) and RTE became our wholly-owned subsidiary and conducts business as a separate operating company.

On March 18, 2013, the Company closed its 2013 NWE Drilling Program 1 LP (the “Limited Partnership”). The Company became the General Partner and owns 51% of the Limited Partnership. The Limited Partnership was specifically formed to drill three oil wells on the Company’s B&W Ranch lease in the Chautauqua County, Kansas (See Note 3).

Basis of Presentation

Basis of presentation

The accompanying interim condensed consolidated financial statements are unaudited, but in the opinion of management of the Company, contain all adjustments, which include normal recurring adjustments and business acquisition adjustments, necessary to present fairly the financial position at March 31, 2013, and the results of operations and cash flows for the three months ended March 31, 2013 and 2012. The balance sheet as of December 31, 2012 is derived from the Company’s audited financial statements.

Certain information and footnote disclosures normally included in consolidated financial statements that have been prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although management of the Company believes that the disclosures contained in these consolidated financial statements are adequate to make the information presented therein not misleading. For further information, refer to the financial statements and the notes thereto contained in the Company’s 2012 Annual Report filed with the SEC on Form 10-K on April 8, 2013.

Going Concern

Going Concern

These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated significant revenues since inception and has never paid any dividends and is unlikely to pay dividends or generate significant earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability of the Company to obtain necessary equity financing to continue operations, and the attainment of profitable operations. The Company currently has on ongoing private placement equity offering and has raised $158,000 during the three months ended March 31, 2013 and through the date of this report. At March 31, 2013, the Company had working capital of $353,314, incurred a net loss applicable to New Western Energy Corporation common stockholders of $180,653 during the three months ended March 31, 2013 and used cash in operating activities of $11,875. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. These consolidated financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Principles of Consolidation

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries New Western Texas Oil and Gas Corporation, Royal Texan Energy Co. and the Company’s 51% majority owned subsidiary 2013 NWE Drilling Program 1 LP. All intercompany balances and transactions are eliminated in consolidation.

Non Controlling Interest

Noncontrolling Interest

The Company accounts for its less than 100% interest in consolidated subsidiaries in accordance with ASC Topic 810, Consolidation, and accordingly, the Company presents noncontrolling interests as a component of equity on its unaudited condensed consolidated balance sheets and reports noncontrolling interest net income or loss under the heading “Net (income) loss applicable to noncontrolling interest in consolidated subsidiary” in the unaudited condensed consolidated statements of operations.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (U.S. GAAP) 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the valuation of marketable securities, valuation of accounts, notes and other receivables, valuation and purchase price allocation of assets acquired and liabilities assumed in business combinations, valuation of beneficial conversion features in convertible debt, valuation of derivatives, valuation of long-lived assets, goodwill and oil, gas and mineral properties, stock-based compensation and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

Derivative Instruments

Derivative Instruments

ASC Topic 815, Derivatives and Hedging (“ASC Topic 815”), establishes accounting and reporting standards for derivative instruments and for hedging activities by requiring that all derivatives be recognized in the balance sheet and measured at fair value. Gains or losses resulting from changes in the fair value of derivatives are recognized in earnings or recorded in other comprehensive income (loss) depending upon the purpose of the derivatives and whether they qualify and have been designated for hedge accounting treatment. The Company does not have any derivative instruments for which it has applied hedge accounting treatment.

Fair value of financial instruments of fair value measurements

Fair value of Financial Instruments and Fair Value Measurements

ASC 820, Fair Value Measurements and Disclosures, requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. ASC 820 establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 prioritizes the inputs into three levels that may be used to measure fair value:

Level 1

Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

Level 2

Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

Level 3

Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

The Company’s financial instruments consist principally of cash, amounts receivable, accounts payable, notes payable, and amounts due to related parties. Pursuant to ASC 820, Fair Value Measurements and Disclosures and ASC 825, Financial Instruments, the fair value of our cash equivalents is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. The Company believes that the recorded values of all of the other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations.

Assets and liabilities measured at fair value on a recurring and non-recurring basis consist of the following at March 31, 2013:

			Fair value Measurements at March 31, 2013
	Carrying Value at March 31, 2013 (Unaudited)		(Level 1) (Unaudited)		(Level 2) (Unaudited)		(Level 3) (Unaudited)
Mineral Properties	$	87,183	$	—	$	—	$	87,183
Embedded Conversion Option Liability	$	168,245	$	—	$	—	$	168,245

The following is a summary of activity of Level 3 assets and liabilities for the period ended March 31, 2013:

Mineral Properties
Balance - December 31, 2012	$	103,530
Additions		—
Change in fair value		(16,347	)
Balance - March 31, 2013	$	87,183
Embedded Conversion Option Liability
Balance - December 31, 2012	$	—
Additions		110,430
Change in fair value		57,815
Balance - March 31, 2013	$	168,245

Changes in fair value of the embedded conversion liability are included in other income (expense) in the accompanying unaudited condensed consolidated statements of operations.

Net Earnings (Loss) Per Share

Net Earnings (Loss) Per Share

The Company computes net earnings (loss) per share in accordance with ASC 260, Earnings per Share. ASC 260 requires presentation of both basic and diluted net earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing earnings (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. At March 31, 2013, there were Class C Warrants outstanding for 2,510,666 common shares, Class D Warrants outstanding for 395,000 common shares and a convertible note convertible into 1,543,210 common shares that were excluded from the computations of diluted loss per share since the effect was anti-dilutive. These common stock equivalents may dilute future earnings per share.

Recent Accounting Pronouncements

Recent Accounting Pronouncements

The Company has implemented all new accounting pronouncements that are in effect and that may impact its consolidated financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

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Subsequent Events

3 Months Ended

Mar. 31, 2013

Subsequent Events [Abstract]

Subsequent Events

NOTE 13: SUBSEQUENT EVENTS

On April 15, 2013, the Company entered into a Marketing and Consulting Agreement (“Agreement”) with a consultant to provide shareholders information, public relations and corporate communication services. The term of the Agreement is for six months starting April 1, 2013. The Company agreed to issue to the consultant 250,000 shares of common stock valued at $35,000 and cash compensation of $3,000 per month. The common shares were valued at $0.14 per share fair value on the effective date of Agreement. On May 7, 2013, the Company issued 250,000 shares to the consultant.

On May 3, 2013, the Company’s wholly-owned subsidiary New Western Texas Oil and Gas Corporation amended its Articles of Incorporation and changed its name to New Western Gas Corporation.

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Stockholders' Equity

3 Months Ended

Mar. 31, 2013

Equity [Abstract]

Stockholders' Equity

NOTE 10: STOCKHOLDERS' EQUITY

The Company’s capitalization at March 31, 2013 was 100,000,000 authorized common shares and 5,000,000 authorized preferred shares, both with a par value of $0.0001 per share.

Common Stock and Warrants

From January 1, 2013 to March 31, 2013, the Company sold 395,000 Units, pursuant to a November 8, 2012 Private Placement Equity Offering (“PPM”), for cash proceeds of $158,000 or $0.40 per Unit, each Unit consisting of one share of common stock and one redeemable Class D Warrant to purchase one share of common stock at an exercise price of $1.25 per share. Such warrants expire on December 31, 2014. The Class D warrants are redeemable by the Company at a redemption price of $0.05 per warrant upon at least 30 days' prior written notice, commencing on six months from the date of this PPM, if the average of the closing bid price of the common stock exceeds $2.50 per share for 20 consecutive business days ending within 3 days of the date on which notice of redemption is given.

On January 11, 2013, the Company issued 150,000 shares of its common stock as compensation to its non-executive director for services to be rendered for the nine months ending September 30, 2013. In addition, the Company issued 100,000 shares of its common stock to a consultant as prepaid consulting fees for services for the year ending December 31, 2013. The common shares issued are valued at $0.40 per share fair value or $100,000 based upon contemporaneous cash sales of shares by the Company. As a result of these issuances of common shares, the Company recorded the $100,000 as a prepaid expense and amortized to stock compensation expense $20,000 and consulting fees expense $10,000 for the three months ended March 31, 2013 with $70,000 remaining as prepaid as of March 31, 2013. The Company will recognize the stock compensation expense and consulting fees expense as the services are rendered to the Company.

2012 Incentive Stock Plan

On August 30, 2012, the Board of Directors authorized and approved the 2012 Incentive Stock Plan (the “2012 Plan”), subject to approval by the majority shareholders within 12 months of the date of approval by the Board of Directors, to issue up to 5,000,000 shares of common stock of the Company at $0.0001 par value per share. Pursuant to the terms of the 2012 Plan, the Company may award to officers, key employees, consultants and non-employee directors options to purchase Company’s common stock.

As a result of all stock, options and warrant issuances as of March 31, 2013, the Company had 68,655,866 shares of common stock issued and outstanding, 2,510,666 Class C Warrants outstanding for conversion into common stock, and 395,000 Class D Warrants for conversion into common stock.

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Concentrations

3 Months Ended

Mar. 31, 2013

Risks and Uncertainties [Abstract]

Concentrations

NOTE 12: CONCENTRATIONS

Concentration of Operators

As of March 31, 2013, the Company uses two operators for the leased properties for which the Company has current activities. The Company also has one mineral lease with another lessor. There has been no activity on the mineral lease other than initial lease acquisition costs relating to the mineral lease as of March 31, 2013.

Concentration of Customer

The Company sells its oil product to one customer.

Concentration of Credit Risk

The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits. The Company has not experienced any losses in such accounts through March 31, 2013. The Company’s bank balances exceeded FDIC insured amounts as of March 31, 2013.

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Noncontrolling Interest in Consolidated Subsidiary

3 Months Ended

Mar. 31, 2013

Noncontrolling Interest [Abstract]

Noncontrolling Interest in Consolidated Subsidiary

NOTE 3: NONCONTROLLING INTEREST IN CONSOLIDATED SUBSIDIARY

On March 18, 2013, the Company closed its 2013 NWE Drilling Program 1 LP (the “Limited Partnership”). The Limited Partnership was specifically formed to drill three oil wells on the Company’s B&W Ranch lease in the Chautauqua County, Kansas. The Company became the General Partner and owns 51% of the Limited Partnership. The Limited Partnership closed upon receiving a cash contribution of $650,000 from one non-affiliate shareholder of the Company as the Limited Partner, and the Company’s contribution as the General partner was $6,500 in cash and giving the rights and commitment to the Limited Partnership to drill three oil wells on the Company’s B&W Ranch lease. Pursuant to the terms of the partnership agreement, the Limited Partner will be entitled to receive 70% of the net income and cash available for distributions until such time an amount equal to the Limited Partner’s initial investment plus a 50% return on such initial investment is received by the Limited Partner. Thereafter, net income and cash available for distributions shall be allocated 20% to the Limited Partner and 80% to the General Partner. The Limited Partnership will enter into turnkey drilling agreements with the managing General partner, to drill and complete the partnership wells. The turnkey price included all ordinary costs of drilling, testing and completing the wells. When the wells begin producing, the managing General Partner, as operator of the wells will be reimbursed at actual cost for all direct expenses incurred on behalf of the Limited Partnership, and will receive a fixed fee of $250 per well per month for supervising, operating and maintaining the wells during production operations. The Limited Partnership recorded a loss of $2,541 for the three months ended March 31, 2013 and the Company allocated $1,245 of the Limited Partnership’s loss to its noncontrolling members in its consolidated financial statements as of March 31, 2013.

The following provides a summary of activity in the noncontrolling interest in consolidated subsidiary account for the three months ended March 31, 2013:

Balance at December 31, 2012	$	—
Contribution by noncontrolling interest member		650,000
Net loss applicable to noncontrolling interest		(1,245	)
Balance at March 31, 2013	$	648,755

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Oil and Gas Properties (Detail) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	$ 944,955	$ 990,994
Accumulated depletion	(1,532)	2,196
Impairment allowance	(123,778)	(123,778)
Capital Costs, net of depletion	819,645	865,020
Glass Lease, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	221,000	210,000
Impairment allowance	(123,778)	(123,778)
Phillips Lease, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	130,000	130,000
Chautauqua Lease- B and W Ranch, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	75,000	75,000
Chautauqua Lease- Smith Lease. Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	24,750	24,750
Chautauqua Lease - Fields Lease, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	14,400	14,400
Chautaugua Lease - Rink
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	24,750
Swanson Lease
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties		23,070
McLellan Lease, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties		4,191
Reves Lease, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties		6,555
Terry Heirs, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	9,722	9,722
Trice, W.G., Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	25,333	25,333
Rogers County, Oklahoma, Oil
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties	420,000	420,000
Uncompleted Wells
Capitalized Costs Relating to Oil and Gas Producing Activities, by Geographic Area [Line Items]
Capitalized Costs related to oil properties		$ 36,973

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Noncontrolling Interest in Consolidated Subsidiary (Tables)

3 Months Ended

Mar. 31, 2013

Noncontrolling Interest [Abstract]

Noncontrolling Interest in consolidated account

Balance at December 31, 2012	$	—
Contribution by noncontrolling interest member		650,000
Net loss applicable to noncontrolling interest		(1,245	)
Balance at March 31, 2013	$	648,755

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Nature of Operations (Details Narrative) (USD $)	Mar. 31, 2013
RTE
Ownership	100.00%
LimitedPartnershipMember
Ownership	51.00%

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Derivative Financial Instruments - Embedded Conversion Options (Details)	3 Months Ended
	Mar. 31, 2013
Risk free interest rate	0.17%
Minimum
Volatility	159.43%
Expected term	0 years 8 months 9 days
Maximum
Volatility	193.77%
Expected term	1 year

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Notes Payable (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Interest Expense	$ 4,549	$ 3,358
Third party #2 Note
Date Paid	Jan. 07, 2013
Promissory note paid off, Principal and interest	30,000
Stockholder #1 Note
Date Paid	Feb. 28, 2013
Promissory note paid off, Principal and interest	$ 57,500

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Condensed Conoldiated Statements of Cash Flows (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Reconciliation of net loss to net cash used in operating activities:
Net loss applicable to New Western Energy Corporation common shareholders	$ (180,653)	$ (105,893)
Adjustment to reconcile net loss to net cash used in operating activities:
Depreciation and depletion	5,153	6,441
Amortization of debt discount	13,283
Impairment expense	16,347
Loss applicable to noncontrolling interest	(1,245)
Gain on sale of oil and gas property	(79,271)
Change in fair value of embedded conversion option liability	57,815
Changes in operating assets and liabilities:
Accounts receivable	2,042	16,840
Prepaid expenses and other current assets	60,000	(6,577)
Accounts payable	(15,496)	(10,474)
Accrued expenses	10,150	9,317
Accrued officer's compensation		30,000
Net cash used in operating activities	(111,875)	(60,346)
Cash Flows From Investing Activities:
Purchase of property and equipment		(1,013)
Cash proceeds from sale of oil and gas property	280,000
Cash paid for expenses relating to sale of oil and gas property and related equipment	(104,300)
Cash acquired as part of acquisition		12,058
Cash paid for acquisition		(20,186)
Cash paid for oil lease obligations		(60,000)
Purchase and capitalized cost of oils and gas properties, net	(24,750)
Net cash provided by (used in) investing activities	150,950	(69,141)
Cash Flows From Financing Activities:
Proceeds from sale of common stock and warrants	158,000	250,200
Cash paid for offering costs	(17,700)
Cash received from non-controlling interest	650,000
Cash received from convertible promissory note	125,000
Cash repayments for notes payable	(125,000)	(39,827)
Proceeds from related party advances	6,000
Repayments of related party advances	(47,500)	(50,000)
Net cash provided by financing activities	748,800	160,373
Net decrease in cash and cash equivalents	787,875	30,886
Cash and cash equivalents, beginning of the period	5,092	16,403
Cash and cash equivalents, end of the period	792,967	47,289
Supplemental disclosures of cash flow information:
Cash paid for income taxes		800
Cash paid for interest	7,500	858
Supplemental disclosures of non-cash investing and financing activities:
Debt discount	13,889
Common shares issued to consultant for services	40,000
Embedded conversion option liability	110,430
Common shares issued to director for services	60,000
Acquisition of Royal Texan Energy Co. assets, liabilities and equity:
Accounts receivable		18,054
Property & equipment, net		123,849
Investment in oil and gas properties		49,252
Goodwill - non-cash portion		325,671
Accounts payable		(9,439)
Accrued expenses		(2,205)
Notes payable		(52,087)
Common stock		(100)
Additional paid in consideration		(199,900)
Pre-acquisition cash advances		(163,095)
Note payable to stockholders		(55,000)
Pre-acquisition deposits paid		$ (35,000)

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Notes Payable

3 Months Ended

Mar. 31, 2013

Debt Disclosure [Abstract]

Notes Payable

NOTE 6: NOTES PAYABLE

Notes payable consist of:

	March 31, 2013 (Unaudited)			December 31, 2012
Stockholder note payable, unsecured, bearing interest at 10% per annum, originally due on July 31, 2012 and extended to July 31, 2013, is subordinated in right of payment to the prior payment in full of all future bank rediscount lines of credit or loans	$	50,000		$	50,000
Stockholder note payable, unsecured, bearing interest at 10% per annum, due on January 31, 2013, is subordinated in right of payment to the prior payment in full of all future bank rediscount lines of credit or loans		—			50,000
Note payable to a third party, unsecured, bearing interest at 5% per annum, due on February 1, 2014, is subordinated in right of payment to the prior payment in full of all future bank rediscount line of credit or loan		225,000			270,000
Note payable to a third party, unsecured, bearing interest at 0% per annum, due on January 7, 2013		—			30,000
		275,000			400,000
Notes payable - Current Portion		(275,000	)		(377,500	)
Notes payable - Long-term Portion	$	—		$	22,500

On January 7, 2013, the Company paid $30,000 due on the promissory note payable to a third party. On February 28, 2013, the Company paid $57,500 to the shareholder in full settlement of the promissory note and accrued interest as due on January 31, 2013. The Company recorded an interest expense of $4,549 and $3,358 for the three months ended March 31, 2013 and 2012, respectively.

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Going Concern (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Private Placement Equity Offering	$ 158,000
Working Capital Deficit	353,314
Net loss applicable to New Western Energy Corporation common stockholders	(180,653)	(105,893)
Cash Used in Operating Activities	$ 111,875

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Mineral Properties (Details) (USD $)	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Mineral Properties Details
Amortization Expense	$ 16,347	$ 0

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Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2013

Summary Of Significant Accounting Policies Tables

Assets and Liablities measured at fair value on a recurring and non-recurring basis

			Fair value Measurements at March 31, 2013
	Carrying Value at March 31, 2013 (Unaudited)		(Level 1) (Unaudited)		(Level 2) (Unaudited)		(Level 3) (Unaudited)
Mineral Properties	$	87,183	$	—	$	—	$	87,183
Embedded Conversion Option Liability	$	168,245	$	—	$	—	$	168,245

Summary of activity at Level 3 Assets and Liabilities

Mineral Properties
Balance - December 31, 2012	$	103,530
Additions		—
Change in fair value		(16,347	)
Balance - March 31, 2013	$	87,183
Embedded Conversion Option Liability
Balance - December 31, 2012	$	—
Additions		110,430
Change in fair value		57,815
Balance - March 31, 2013	$	168,245