Annual report pursuant to Section 13 and 15(d)

STATEMENTS OF CASH FLOWS

v3.19.3.a.u2
STATEMENTS OF CASH FLOWS - USD ($)
12 Months Ended
Sep. 30, 2019
Sep. 30, 2018
OPERATING ACTIVITIES    
Net Loss $ (13,723,753) $ (2,636,734)
Adjustments to Reconcile Net Loss to Cash Provided by (Used in) Operating Activities:    
Impairment of Oil and Natural Gas Properties 6,000,517  
Depreciation 5,619 4,724
Debt Discount Amortization 625,919 254,501
Capitalization of Interest Expense (1,109,823)  
Loss Recorded to Interest Expense Related to Warrant Derivative Associated with the Issuance of Convertible Notes 1,758,073  
Loss on Asset Retirement 3,835  
Loss on Debt Extinguishment 5,099,340 526,459
Stock Based Compensation 744,945 1,036,654
Stock Issued for Services   503,076
Change in fair value of Derivatives (600,853) 136,827
Changes in Operating Assets and Liabilities:    
(Increase) Decrease in Accounts Receivable (5,843,958) (6,286,796)
(Increase) Decrease in Prepaid Expenses and Other Current Assets 41,179 146,488
Increase (Decrease) in Deposits from Joint Interest Owners (4,078,786) 4,078,786
Increase (Decrease) in Accounts Payable 4,065,384 5,914,705
Increase (Decrease) in Related Party Payable 59,518 7,928
Increase (Decrease) in Accrued Interest Payable 549,978 520,375
Increase (Decrease) in Accrued Liabilities and Other Payables   633,865
Increase (Decrease) in Other Assets/Liabilities, net (1,978) 44,723
Net Cash Provided by (Used in) Operating Activities (6,404,844) 4,885,581
INVESTING ACTIVITIES    
Leases Purchased / Lease Rentals Paid (61,629) (280,268)
Proceeds from Sale of Working Interest   2,884,651
Insurance Proceeds Received 860,680  
Capitalized Exploration and Wells In Process Costs (11,419,188) (1,904,618)
Deposits and Equipment Purchases (7,681) (22,050)
Net Cash Provided by (Used in) Investing Activities (10,627,818) 677,715
FINANCING ACTIVITIES    
Payments on Note Payable (146,310) (160,408)
Proceeds from Convertible Promissory Notes and Warrants 13,252,000 212,500
Deferred Loan and Equity Issuance Costs (555,923)  
Net Cash Provided by (Used in) Financing Activities 12,549,767 52,092
Net Increase (Decrease) in Cash (4,482,895) 5,615,388
Beginning Cash Balance 5,621,814 6,426
Ending Cash Balance 1,138,919 5,621,814
Supplemental Schedule of Cash Flow Activities:    
Cash Paid for Interest 4,343 5,636
Non-Cash Investing and Financing Activities:    
Prepaid Asset Financed Through Notes Payable 146,310 156,718
Funds Received from Capital Raise Transferred to Equity Upon Issuance of Common Stock 965,800  
Accrued Liabilities, Convertible Notes and Accrued Interest Settled Through Issuance of Common Stock   1,896,999
Term Loans Extinguished Through Exercise of Warrants 10,000,000  
Derivative Liability Recorded at Issuance of Convertible Notes Recorded as Deferred Loan Costs 2,137,450  
Warrants Issued with Term Loans and Bridge Financing Note Extensions recorded as Deferred Loan Costs 5,349,374  
Debt Issuance Costs Retained by Lender Related to Convertible Debentures 333,000  
Warrants Issued in Bridge Financing Note Extension 152,078  
Accrued Deferred Professional Fees Recorded as Debt Issuance Costs 17,296  
Accrued Professional Fees Capitalized as Equity Issuance Costs 142,051  
Purchase of Capital Expenditures    
Included in Accounts Payable 2,611,913 1,223,792
Through Stock Based Compensation to Employees $ 884,839 820,877
Through Issuance of Common Stock   $ 4,880,000