Quarterly report pursuant to Section 13 or 15(d)

Oil and Gas Properties

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Oil and Gas Properties
6 Months Ended
Jun. 30, 2016
Oil and Gas Exploration and Production Industries Disclosures [Abstract]  
Oil and Gas Properties
Note 4. Oil and Gas Properties

 

On December 24, 2015, Wilshire Energy Partners, LLC sold its 100% membership interest in Foothills Exploration, LLC, a Wyoming limited liability company, which at the time owned 38,120 acres of productive oil and gas leases to the Company in return for 4,500,000 shares of the Company’s common stock. Foothills Exploration, LLC is now a wholly owned subsidiary of the Company and retains title to these oil and gas leases. This transaction is treated as the founding transaction by the Company. The asset was valued at $72,430 at the time of transfer based on costs associated with the payment of lease bonuses, fees and taxes paid during the formation of the asset.

 

On March 29, 2016, FPI acquired a 35% working interest in the Ladysmith Anticline prospect that is located in Fremont County, Wyoming. Total acreage position is 3,061 acres located between the Great Divide/Greater Green River Basin and the Wind River Basin. The primary target zones are the variable Phosphoria and Tensleep sandstone with secondary considerations in the Madison limestone and Flathead sandstone. The prospect generation was based on a licensed 2-D seismic comprising of two seismic lines covering the Chevron/Echo – Greater Green River Basin. The asset is valued at $20,000 based on the agreement. During the six months ended June 30, 2016, the Company capitalized an additional $33,243 in costs related to this asset.