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Notes Payable
3 Months Ended
Jun. 30, 2011
Debt  
Debt Disclosure [Text Block]

NOTE 4 - NOTES PAYABLE

 

As of December 31, 2010, the Company had issued three notes payable for a total of $373,365 as part of the purchase of certain lease oil, gas, and mineral interests in the Justice Heirs A, B, and C leases operated by SWJN Oil Company.  The obligations were to be paid monthly for a period of five years with interest of seven percent (7%) accruing on the outstanding balance. The monthly payment amount is not to exceed seventy five percent (75%) of the minimum net revenue interest (NRI) from the prior month’s production.

 

As of June 30, 2011, the company settled all of the principle amounts on these notes leaving only the accrued interest in the amount of $38,036.