Eco-Stim Energy Solutions (ESESQ) 10-K 17 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2015	Mar. 16, 2016	Jun. 30, 2015
Document And Entity Information
Entity Registrant Name	Eco-Stim Energy Solutions, Inc.
Entity Central Index Key	1,135,657
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filer	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 16,258,924
Entity Common Stock, Shares Outstanding		13,576,139
Trading Symbol	ESES
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,015

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 11,742,489	$ 7,013,556
Accounts receivable	$ 8,155,264	264,192
Marketable securities		1,360,767
Inventory	$ 1,546,463	1,619,778
Prepaids	3,328,265	2,496,805
Other assets	234,010	409,388
Total current assets	25,006,491	13,164,486
Property, plant and equipment, net	37,142,578	27,949,347
Other non-current assets	751,230	936,592
Total assets	62,900,299	42,050,425
Current liabilities:
Accounts payable	1,112,812	1,947,371
Accrued expenses	$ 3,843,497	3,164,250
Short-term notes payable		158,036
Current portion of long term notes payable	$ 3,010,790	475,000
Current portion of capital lease payable	686,624	597,406
Total current liabilities	8,653,723	6,342,063
Non-current liabilities:
Long-term notes payable	22,000,000	25,625,000
Long-term capital lease payable	1,485,686	2,102,143
Total non-current liabilities	$ 23,485,686	$ 27,727,143
Stockholders’ equity
Preferred stock, $0.001 par value, 50,000,000 shares authorized, none issued
Common stock, $0.001 par value, 200,000,000 shares authorized, 13,572,989 issued and 13,566,050 outstanding at December 31, 2015 and 5,709,523 issued and outstanding at December 31, 2014	$ 13,572	$ 5,709
Additional paid-in capital	57,302,953	$ 21,116,100
Treasury stock, at cost; 6,939 common shares at December 31, 2015	(20,294)
Accumulated deficit	(26,535,341)	$ (13,140,590)
Total stockholders’ equity	30,760,890	7,981,219
Total liabilities and stockholders’ equity	$ 62,900,299	$ 42,050,425

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	13,572,989	5,709,523
Common stock, shares outstanding	13,566,050	5,709,523
Treasury stock, shares	6,939

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Statement [Abstract]
Revenues	$ 13,755,140	$ 834,482
Operating cost and expenses:
Cost of services	14,527,201	4,303,784
Selling, general, and administrative expenses	7,011,765	$ 5,727,146
Research and development	979,893
Depreciation and amortization expense	3,414,452	$ 473,359
Total operating costs and expenses	25,933,311	10,504,289
Operating loss	(12,178,171)	(9,669,807)
Other income (expense):
Gain on sale of trading securities	5,091,387	4,723,815
Interest expense	(4,007,974)	(2,013,024)
Other expense	(1,955,679)	(183,366)
Total other income (expense)	(872,266)	$ 2,527,425
Provision for income taxes	(344,314)
Net loss	$ (13,394,751)	$ (7,142,382)
Basic and diluted loss per share	$ (1.35)	$ (1.48)
Weighted average number of common shares outstanding-basic and diluted	9,888,191	4,812,656

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Operating activities
Net loss	$ (13,394,751)	$ (7,142,382)
Depreciation and amortization	3,414,452	473,359
Amortization of debt discount and loan origination cost	255,535	210,906
Stock based compensation	1,480,435	1,252,061
Gain on the sale of trading securities	$ (5,091,387)	(4,723,815)
Foreign currency gain		(25,749)
Changes in operating assets and liabilities:
Accounts receivable	$ (7,891,072)	(264,192)
Inventory	(184,732)	(1,619,778)
Prepaids and other assets	(860,538)	(2,300,638)
Accounts payable and accrued expenses	3,656,899	2,587,260
Net cash used in operating activities	(18,615,159)	(11,552,968)
Investing activities
Purchases of equipment	(13,472,236)	(23,974,650)
Proceeds from sale of trading securities	19,435,956	12,861,075
Purchase of trading securities	(12,983,801)	(9,498,027)
Net cash used in investing activities	(7,020,081)	(20,611,602)
Financing activities
Proceeds from sale of common stock	35,329,038	10,302,400
Sale of common stock issuance cost	$ (3,099,919)	(476,738)
Proceeds from convertible debt		22,000,000
Convertible debt cost		(741,449)
Proceeds from notes payable	$ 400,000	4,295,002
Payments on notes payable	(1,647,246)	(224,281)
Payments on capital lease	(597,406)	$ (268,930)
Purchase of treasury stock	(20,294)
Net cash provided by financing activities	30,364,173	$ 34,886,004
Net increase in cash and cash equivalents	4,728,933	2,721,434
Cash and cash equivalents, beginning of period	7,013,556	4,292,122
Cash and cash equivalents, end of period	11,742,489	7,013,556
Supplemental disclosure of cash flow information
Cash paid during the year for interest	3,104,129	990,358
Cash paid during the year for income taxes	252,725	193,948
Non-cash transactions
Fixed asset additions in accrued expenses	139,607	$ 1,793,912
Interest converted to common stock	$ 2,485,162
Prepaids amortized to settle capital lease obligations		$ 250,851

Consolidated Statement of Chang

Consolidated Statement of Changes in Stockholders' Equity - USD ($)	Common Stock [Member]	Additional Paid-In Capital [Member]	Treasury Stock [Member]	Accumulated Comprehensive Income [Member]	Accumulated Deficit [Member]	Total
Balance at Dec. 31, 2013	$ 3,985	$ 10,007,490		$ 25,749	$ (5,998,208)	$ 4,039,016
Balance, shares at Dec. 31, 2013	3,985,206
Exercise of stock options	$ 3	312				$ 315
Exercise of stock options, shares	3,500					(3,500)
Private equity placement, net	$ 1,717	9,823,630				$ 9,825,347
Private equity placement, net shares	1,717,067
Option issued in conjunction with debt		32,611				32,611
Foreign currency cumulative translation adjustment				$ (25,749)		(25,749)
Stock based compensation	$ 4	1,252,057				1,252,061
Stock based compensation, shares	3,750
Net loss					(7,142,382)	(7,142,382)
Balance at Dec. 31, 2014	$ 5,709	21,116,100			$ (13,140,590)	$ 7,981,219
Balance, shares at Dec. 31, 2014	5,709,523
Exercise of stock options, shares						(4,083)
Sale of common stock, net	$ 7,217	32,221,902				$ 32,229,119
Sale of common stock, net, shares	7,216,066
Interest converted to common stock	$ 522	2,484,640				2,485,162
Interest converted to common stock, shares	523,192
Treasury stock			$ (20,294)			(20,294)
Treasury stock,shares	(6,939)
Stock based compensation	$ 124	$ 1,480,311				1,480,435
Stock based compensation, shares	124,208
Net loss					$ (13,394,751)	(13,394,751)
Balance at Dec. 31, 2015	$ 13,572	$ 57,302,953	$ (20,294)		$ (26,535,341)	$ 30,760,890
Balance, shares at Dec. 31, 2015	13,566,050

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Statement of Comprehensive Income [Abstract]
Net loss	$ (13,394,751)	$ (7,142,382)
Other comprehensive loss:
Foreign currency cumulative translation adjustment		(25,749)
Other comprehensive loss		(25,749)
Comprehensive loss for the year	$ (13,394,751)	$ (7,168,131)

Nature of Business

Nature of Business	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business	1. Nature of Business Eco-Stim Energy Solutions, Inc. (the “Company,” “Eco-Stim,” “we” or “us”) is a technology-driven independent oilfield services company providing well stimulation, coiled tubing and field management services to the upstream oil and gas industry. We are focused on reducing the ecological impact and improving the economic performance of the well stimulation process. We have assembled technologies and processes that have the ability to (1) reduce the surface footprint, (2) reduce emissions, and (3) conserve fuel and water during the stimulation process. The Company will focus on the most active shale resource basins outside of the United States, using our technology to differentiate our service offerings. Our management team has extensive international industry experience. Our first operation is in Argentina, home to the Vaca Muerta, the world’s third-largest shale resource basin as measured by technically recoverable reserves. The Company may also explore opportunistic acquisitions and/or joint ventures with established companies in target markets.

Basis of Presentation and Signi

Basis of Presentation and Significant Accounting Policies	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Basis of Presentation and Significant Accounting Policies	2. Basis of Presentation and Significant Accounting Policies The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). Principles of Consolidation We consolidate all wholly-owned subsidiaries, controlled joint ventures and variable interest entities where the Company has determined it is the primary beneficiary. All material intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with 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 financial statements, and the reported amounts of revenue and expenses during the reporting period. Estimates are used in, but are not limited to, determining the following: allowance for doubtful accounts, recoverability of long-lived assets and intangibles, useful lives used in depreciation and amortization, income taxes and stock-based compensation. The accounting estimates used in the preparation of the consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. Cash and Cash Equivalents The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company maintains deposits in several financial institutions, which may at times exceed amounts covered by insurance provided by the U.S. Federal Deposit Insurance Corporation (“FDIC”). Revenue Recognition The Company’s revenue is heavily dependent on two major customers. All revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the price is fixed or determinable, and collection is reasonably assured as follows: Well Stimulation Revenue The Company provides well stimulation services based on contractual arrangements, such as term contracts and pricing agreements, or on a spot market basis. Revenue will be recognized and customers will be invoiced upon the completion of each job, which can consist of one or more stimulation stages. Under term pricing agreement arrangements, customers commit to targeted utilization levels at agreed-upon pricing, but without termination penalties or obligations to pay for services not used by the customer. In addition, the agreed-upon pricing is typically subject to periodic review. Spot market basis arrangements are based on an agreed-upon hourly spot market rate. The Company also charges fees for setup and mobilization of equipment depending on the job, additional equipment used on the job, if any, and materials that are consumed during the well stimulation process. Generally, these fees and other charges vary depending on the equipment and personnel required for the job and market conditions in the region in which the services are performed. The Company also generates revenues from chemicals and proppants that are consumed while performing well stimulation services. Coiled Tubing Revenue The Company began providing coiled tubing and other well stimulation services in early 2015. Jobs for these services are typically short term in nature, lasting anywhere from a few hours to multiple days. Revenue is recognized upon completion of each job based upon a completed field ticket. The Company charges the customer for mobilization, services performed, personnel on the job, equipment used on the job, and miscellaneous consumables at agreed-upon spot market rates. Field Management Revenue The Company enters into arrangements to provide field management services. Field management revenue relates primarily to geophysical predictions and production monitoring, utilizing down-hole diagnostics tools. Revenue is recognized and customers are invoiced upon the completion of each job. The service invoices are for a set amount, which includes charges for the mobilization of the equipment to the location, the service performed, the personnel on the job, additional equipment used on the job, consumables used throughout the course of the service, and processing and interpretation of data acquired via down-hole diagnostic tools. Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, other assets, accounts payable, accrued expenses, capital lease obligations and notes payable. The recorded values of cash and cash equivalents, accounts receivable, other assets, accounts payable, and accrued expenses approximate their fair values based on their short-term nature. The carrying value of capital lease obligations and notes payable approximate their fair value, and the interest rates approximate market rates. Functional and Presentation Currency Items included in the financial statements of each of the Company’s entities are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The functional currency for the Norwegian and Argentine subsidiaries is the U.S. Dollar. The consolidated financial statements are presented in U.S. Dollars, which is the Company’s presentation currency. Marketable Securities Investments in marketable securities are classified as trading, available-for-sale or held-to-maturity. Our marketable equity investments are classified as trading and their cost basis is determined by the specific identification method. Realized and unrealized gains and losses on trading securities are included in net income. During 2015 and 2014, the Company purchased and sold Argentine bonds to capitalize its subsidiary in Argentina. This resulted in a realized gain on the sale of trading securities of $5,091,387 and $4,361,448, respectively and unrealized gain on the sale of trading securities of $0 and $362,367, respectively. This gain was primarily due to the Company taking advantage of the favorable spread in exchange rates between the U.S. Dollar and Argentine Peso. Net Loss per Common Share For the years ended December 31, 2015 and 2014, the weighted average shares outstanding excluded certain stock options and potential shares from convertible debt of 4,253,381 and 4,004,214, respectively, from the calculation of diluted earnings per share because these shares would be anti-dilutive. Anti-dilutive warrants of 100,000 for each of the years ended December 31, 2015 and 2014 were also excluded from the calculation. Reclassifications Certain prior year amounts have been reclassified to conform to the 2015 presentation. Accounts Receivable Accounts receivable are stated at amounts management expects to collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. Balances still outstanding after management has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. At December 31, 2015 and 2014, the Company did not have an allowance for doubtful accounts. Unbilled Accounts Receivable The asset “unbilled receivables” represents revenues we have recognized in excess of amounts billed on services completed but not yet invoiced. We typically invoice our clients upon having a completed signed ticket and all necessary documentation required from our customer. Our unbilled receivables totaled $5,768,401 at December 31, 2015, and $0 at December 31, 2014 and is included in accounts receivable in the accompanying consolidated balance sheets. Prepaids Prepaid expenses are primarily comprised of Argentinian value added tax and prepaid insurance. The prepaid value added tax will be reduced as the Company continues to invoice customers in Argentina. Inventory Inventories are stated at the lower of cost or market (net realizable value) using the average method and appropriate consideration is given to deterioration, obsolescence and other factors in evaluating net realizable value. Property, Plant and Equipment Property, Plant and Equipment (“PPE”) is stated at historical cost less depreciation. Historical cost includes expenditures that are directly attributable to the acquisition of the items. Depreciation is computed using the straight-line method over the estimated useful lives of the assets for financial reporting purposes. Expenditures for major renewals and betterments that extend the useful lives are capitalized. Expenditures for normal maintenance and repairs are expensed as incurred. The cost of assets sold or abandoned and the related accumulated depreciation are eliminated from the accounts and any gains or losses are reflected in the accompanying consolidated statements of operations for the respective period. The estimated useful lives of our major classes of PPE are as follows: Major Classes of PPE Estimated Useful Lives Machinery and equipment 2-7 years Vehicles 5 years Leasehold improvements 5 years (or the life of the lease) Furniture and office equipment 3-5 years Leases The Company leases certain equipment under lease agreements. The Company evaluates each lease to determine its appropriate classification as an operating or capital lease for financial reporting purposes. Any lease that does not meet the criteria for a capital lease is accounted for as an operating lease. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair market value of the related assets. Assets under capital leases are amortized using the straight-line method over the lease term. Amortization of assets under capital leases is included in depreciation expense. Stock-Based Compensation The Company accounts for its stock options, warrants, and restricted stock grants under the fair value recognition provisions of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718. The Company currently uses the straight-line amortization method for recognizing stock option and restricted stock compensation costs. The measurement and recognition of compensation expense for all share-based payment awards made to our employees, directors or outside service providers are based on the estimated fair value of the awards on the grant dates. The grant date fair value is estimated using either an option-pricing model which is consistent with the terms of the award or a market observed price, if such a price exists. Such cost is recognized over the period during which an employee, director or outside service provider is required to provide service in exchange for the award, i.e., “the requisite service period” (which is usually the vesting period). The Company also estimates the number of instruments that will ultimately be earned, rather than accounting for forfeitures as they occur. Impairment of Long-Lived Assets The Company reviews its long-lived assets for impairment when changes in circumstances indicate that the carrying amount of an asset may not be recoverable. ASC Topic 360 requires the Company to review long-lived assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset or group of assets may not be recoverable. The impairment review includes a comparison of future cash flows expected to be generated by the asset or group of assets with their associated carrying value. If the carrying value of the asset or group of assets exceeds expected cash flows (undiscounted and without interest charges), an impairment loss is recognized to the extent that the carrying value exceeds the fair value. If estimated future cash flows are not achieved with respect to long-lived assets, additional write-downs may be required. Major Customers and Concentration of Credit Risk. The majority of the Company’s business is conducted with major and independent oil and gas companies in Argentina. The Company evaluates the financial strength of its customers and provides allowances for probable credit losses when deemed necessary. The Company derives a large amount of revenue from a small number of major and independent oil and gas companies. At December 31, 2015 the company had a concentration of receivables with one customer. We derive a significant portion of our revenue from a limited number of major clients. For the year ended December 31, 2015, two major customers accounted for approximately 96.2% of our services revenue, and we derived 86.5% of our services revenue from three major customers for the year ended December 31, 2014. Our accounts receivable, at December 31, 2015 and 2014 were concentrated, with one major customer representing 87.3% and 100% respectively. YPF represents our largest customer. The Company places its cash and cash equivalents with high credit quality financial institutions. Income Taxes Deferred income taxes are determined using the asset and liability method in accordance with ASC Topic 740. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred income taxes are measured using enacted tax rates expected to apply to taxable income in years in which such temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred income taxes is recognized in the consolidated statement of operations of the period that includes the enactment date. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized. The Company is subject to U.S. federal and foreign income taxes along with state income taxes in Texas. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50% likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. Recent Accounting Pronouncements The recent accounting standards that have been issued or proposed by the Financial Accounting Standards Board (“FASB”) or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires us to recognize the amount of revenue to which we expect to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective on January 1, 2018. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor has the effect of the standard on our ongoing financial reporting been determined. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which amends the guidelines for determining whether certain legal entities should be consolidated and reduces the number of consolidation models. The new standard is effective for annual and interim periods in fiscal years beginning after December 15, 2015. Early adoption is permitted. We do not expect the impact of our pending adoption to have a material effect on our Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which amends the current presentation of debt issuance costs in the financial statements. ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, instead of as an asset. The amendments are to be applied retrospectively and are effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015, but early adoption is permitted. The adoption of the new guidance will impact the Company’s consolidated balance sheet presentation accordingly. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory, which requires inventory not measured using either the last in, first out (LIFO) or the retail inventory method to be measured at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable cost of completion, disposal, and transportation. The new standard will be effective for us beginning with the first quarter of 2017, and will be applied prospectively. Early adoption is permitted. We do not expect the impact of our pending adoption to have a material effect on our Consolidated Financial Statements. In November 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes, which eliminates the current requirement to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet. Instead, all deferred tax assets and liabilities will be required to be classified as noncurrent. The new standard will be effective for us beginning with the first quarter of 2017. Early adoption is permitted. We are evaluating the impact that this new standard will have on our Consolidated Financial Statements. On February 25, 2016, the FASB issued Accounting Standards Update (ASU) 2016-02 Leases (Topic 842), which requires an entity to recognize assets and liabilities arising from a lease for both financing and operating leases. The ASU will also require new qualitative and quantitative disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company is currently evaluating the effect this standard will have on its Consolidated Financial Statements.

Accounts Receivable

Accounts Receivable	12 Months Ended
	Dec. 31, 2015
Notes to Financial Statements
Accounts Receivable	3. Accounts Receivable Accounts receivable by category were as follows: December 31, 2015 December 31, 2014 Billed $ 2,386,863 $ 264,192 Unbilled 5,768,401 — Total accounts receivable $ 8,155,264 $ 264,192

Inventory

Inventory	12 Months Ended
	Dec. 31, 2015
Inventory Disclosure [Abstract]
Inventory	4. Inventory Inventories by category were as follows: December 31, 2015 December 31, 2014 Raw materials $ 739,107 $ 697,439 Spare parts 807,356 922,339 Total inventories $ 1,546,463 $ 1,619,778

Prepaid

Prepaid	12 Months Ended
	Dec. 31, 2015
Prepaid
Prepaid	5. Prepaid Prepaid by category were as follows: December 31, 2015 December 31, 2014 Prepaid insurance $ 209,331 $ 206,623 Prepaid value added tax 2,519,496 1,798,213 Prepaid other taxes 510,002 380,047 Prepaid other vendors 89,436 111,922 Total prepaid $ 3,328,265 $ 2,496,805 The Company will use the prepaid value added tax as it continues to invoice customers in Argentina.

Other Assets

Other Assets	12 Months Ended
	Dec. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets	6. Other Assets December 31, 2015 December 31, 2014 Other current assets: Deferred charges – debt insurance cost $ 185,362 $ 185,362 Exclusivity rights — 208,333 Other current assets 48,648 15,693 Total other current assets $ 234,010 $ 409,388 December 31, 2015 December 31, 2014 Other non-current assets: Long term deposits $ 488,633 $ 488,633 Deferred charges – debt issuance costs 262,597 447,959 Total other non-current assets $ 751,230 $ 936,592

Property, Plant and Equipment

Property, Plant and Equipment	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	7. Property, Plant and Equipment Property, plant and equipment consists of the following: December 31, 2015 December 31, 2014 Land $ 600,000 $ 600,000 Leasehold improvement 616,259 12,811 Computer hardware & software 478,655 127,312 Furniture & fixtures 129,995 97,424 Machinery & equipment 15,667,894 12,386,109 Machinery & equipment under construction 22,944,025 14,655,857 Work in progress 100,151 259,744 Property and equipment 40,536,979 28,139,257 Less accumulated depreciation (3,394,401 ) (189,910 ) Property and equipment, net $ 37,142,578 $ 27,949,347

Accrued Expenses

Accrued Expenses	12 Months Ended
	Dec. 31, 2015
Payables and Accruals [Abstract]
Accrued Expenses	8. Accrued Expenses Accrued expenses consists of the following: December 31, 2015 December 31, 2014 Accrued salaries $ 140,288 $ 269,220 Accrued accounts payable trade expenses 976,155 870,544 Accrued bonuses 426,994 525,000 Accrued vacation 346,374 184,061 Accrued interest 1,953,686 1,315,425 Total accrued expenses $ 3,843,497 $ 3,164,250

Debt

Debt	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Debt	9. Debt Short-Term Note The Company finances certain insurance premiums with a short term note that had a balance at December 31, 2015 and 2014, of $0 and $158,036, respectively. At December 31, 2015 there were no insurance premium financing outstanding. The note accrued interest at a rate of 5.87% per annum with monthly payments of approximately $20,000 through September 2015. Long-Term Convertible Notes Payable On May 28, 2014 (the “Closing Date”), the Company entered into a Convertible Note Facility Agreement (the “Note Agreement”) with ACM Emerging Markets Master Fund I, L.P. (“ACM”). The proceeds from the Note Agreement have been used primarily for capital expenditures, certain working capital needs and approved operating budget expenses. The Note Agreement allowed the Company to issue ACM a multiple draw secured promissory note with a maximum aggregate principal amount of $22 million, convertible into the common stock of the Company (the “Common Stock”) at a price of $6.00 per share at the option of ACM. The outstanding debt under the facility is convertible immediately and accrues interest at 14% per annum with interest payments due annually in arrears. The debt can be prepaid in full under certain conditions after the first anniversary of the Closing Date and matures on the date that is four years following the Closing Date. As of December 31, 2015, the Company has drawn down the full $22 million available under the Note Agreement, which was primarily used for capital expenditures, certain working capital needs and approved operating budget expenses. The balance for accrued interest at December 31, 2015 was $1,831,123. On May 28, 2015, the Company entered into an amendment with ACM. ACM and the Company agreed to give ACM the ability to have the $2,485,162 interest payment, which was due on May 28, 2015 (the “Deferred Interest”), paid in the form of shares of the Company’s common stock upon the consummation of a future equity offering, should one occur. On July 15, 2015, the Company issued 523,192 shares of unregistered common stock at a price of $4.75 per share to ACM as payment for the deferred interest. All obligations under the Note Agreement are secured by liens on substantially all of the assets of the Company and have subsidiary guarantees and pledges of the capital stock of the subsidiary guarantors subject to certain terms and exceptions. From time to time, management has obtained amendments and waivers to the agreement to accommodate and adapt to the changing business environment. Management believes that the Company will be in compliance with the amended covenants, but there can be no assurance that the Company will achieve such compliance. Failure to comply with these covenants could result in an event of default which, if not cured or waived, would have a material adverse effect on us. The Company was in compliance with all covenants after considering waivers and amendments under its debt instruments as of December 31, 2015. During the past year, the Company has paid fees of $220,000 related to obtaining such amendments and waivers, which amount was recorded as additional financial charges. On October 10, 2014, the Company entered into an equipment purchase agreement for the TPUs equipment and related spare parts for a total purchase price of approximately $6,500,000, of which $4,100,000 has been financed. The total amount financed, including any accrued interest, was to become due and payable on April 1, 2015. On March 12, 2015, the Company amended the agreement to add a blender, two data vans and a manifold at an increased cost of $400,000, and amended the due date of the final payment to March 31, 2016. The amended agreement provides for monthly installment payments of $50,000 beginning in May 2015. On February 11, 2016, the agreement was further amended to reduce the monthly installments to $25,000 and to defer the payment of the final $1 million of the purchase price until December 15, 2016. The note accrues interest at a rate of 9% per annum from April 1, 2015 until maturity on December 15, 2016. As of December 31, 2015, the Company had a balance of $3,010,790 and accrued interest of $94,764. The following is a summary of approximate scheduled long-term notes payable maturities by year: 2016 $ 3,010,790 2017 — 2018 22,000,000 Total notes payable $ 25,010,790

Deferred Debt Costs

Deferred Debt Costs	12 Months Ended
	Dec. 31, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Deferred Debt Costs	10. Deferred Debt Costs The Company capitalizes certain costs in connection with obtaining its financings, such as lender’s fees and related attorney fees. These costs are amortized to interest expense using the straight-line method. Deferred debt costs were approximately $447,959 and $633,321 net of accumulated amortization of $293,490 and $108,128 for the years ended December 31, 2015 and 2014, respectively. Presented as other assets of $185,362 and other non-current assets of $262,597.

Equity Offerings

Equity Offerings	12 Months Ended
	Dec. 31, 2015
Equity Offerings
Equity Offerings	11. Equity Offerings On July 14, 2014 ACM exercised the Option (as referenced in “Note 9 – Debt”), resulting in net proceeds of $7,708,874 after deducting $291,126 in transaction related expenses. On July 24, 2014, the Company sold 383,733 shares of its Common Stock in a private placement to 17 accredited investors resulting in net proceeds of $2,116,473. On February 19, 2015, the Company sold 1,051,376 registered securities of common stock at a price of $5.75 per share for gross proceeds to the Company of $6,045,412. The Company used a portion of the net proceeds from the offering to finance capital expenditures, for working capital and for general corporate purposes and expects to use the remainder of the proceeds for additional capital expenditures and working capital. On July 15, 2015, the Company sold 6,164,690 registered securities of common stock at a price of $4.75 per share for gross proceeds to the Company of $29,282,278. The Company will use the net proceeds from the offering to finance capital expenditures, fund working capital and for general corporate purposes.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Stockholders' Equity	12. Stockholders’ Equity Common Stock At December 31, 2015 and 2014 the Company had authorized 200,000,000 shares of common stock, of which 13,566,050 and 5,709,523 were outstanding with a par value of $13,566 and $5,709, respectively. Preferred Stock At December 31, 2015 and 2014, the Company had authorized 50,000,000 shares of preferred stock, of which there were 0 shares of preferred stock outstanding. Treasury Stock On December 15, 2015, the board of directors authorized the Company to repurchase, from time to time during the period from December 16, 2015 through December 16, 2017, up to $5 million in shares of its outstanding common stock. As of December 31, 2015 the Company had purchased 6,939 shares at a cost of $20,294 under the buy-back program. Warrants In the fourth quarter of 2013, the Company executed a sale-leaseback transaction with a related party that included an inducement payment of 100,000 common stock warrants. The exercise price per share of the common stock under the agreement is $7. The agreement expires five years after the date of issuance. The warrants can be exercised on a one for one basis starting July 1, 2014. See Note 16-Related Parties for additional information.

Employee Benefit Plan

Employee Benefit Plan	12 Months Ended
	Dec. 31, 2015
Compensation and Retirement Disclosure [Abstract]
Employee Benefit Plan	13. Employee Benefit Plan The Company adopted a safe harbor defined contribution 401(k) plan effective January 1, 2012, covering all Company employees of the US headquarters. Under the plan the company contributes 5% towards the employee 401k. The contribution is fully vested at the time of contribution. The Company’s contributions for the years ended December 31, 2015 and 2014, were $100,518 and $71,561 respectively.

Stock-Based Compensation

Stock-Based Compensation	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	14. Stock-Based Compensation The Company has two stock incentive plans, the 2013 Stock Incentive Plan (the “2013 Plan”) and the 2015 Stock Incentive Plan (the “2015 Plan”), for the granting of stock-based incentive awards, including incentive stock options, non-qualified stock options and restricted stock, to employees, consultants and members of the Company’s board of directors (the “Board”). The 2013 Plan was adopted in 2012 and amended in 2013 and authorizes 1,000,000 shares to be issued under the 2013 Plan. The 2015 Plan, f/k/a “the 2014 Stock Incentive Plan,” was adopted in 2014; in 2015 it was amended and 500,000 additional shares were authorized, resulting in a maximum of 1,000,000 shares being authorized for issue under the modified 2015 Plan. Both the 2013 Plan and the 2015 Plan have been approved by the shareholders of the Company. As of December 31, 2015, 48,328 shares were available for grant under the 2013 Plan and 665,000 shares were available for grant under the 2015 Plan. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options, which have no vesting restrictions and are fully transferable. In addition, option valuation models require the input of highly subjective assumptions including the expected stock price volatility. Because changes in the subjective input assumptions can materially affect the fair value estimate, in management’s opinion, the existing models do not necessarily provide a reliable single measure of the fair value of its employee stock options and restricted stock. The expected life of awards granted represents the period of time that they are expected to be outstanding. The Company determined the initial expected life based on a simplified method in accordance with the FASB Accounting Standards Codification Topic 718, giving consideration to the contractual terms, vesting schedules, and pre-vesting and post-vesting forfeitures. The Company recorded $1,480,435 and $1,252,061 for 2015 and 2014, respectively, of stock-based compensation, which is included in selling, general, and administrative expense and cost of sales in the accompanying consolidated statement of operations. Total unamortized stock-based compensation expense at December 31, 2015 was $1,382,711 compared to $2,597,029 at December 31, 2014, and will be fully expensed through 2019. Stock Options Options granted vest over a period of two to four years, subject to the optionee’s continued employment or service, and an option granted under the Plans may have an expiration date not longer than ten years following the date of grant. The Plans specify that the per share exercise price of an incentive stock option may not be less than 110% of the fair market value of the Company’s common stock on the date of grant, and the per share exercise price of a non-qualified stock option may not be less than the fair market value of the Company’s common stock on the date of grant. The Company’s general practice has been to grant options with a per share exercise price equal to the fair market value of the Company’s common stock on the date of grant. A summary of the Company’s stock option activity for the years ended December 31, 2015 and 2014, is presented below: Awards Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Options outstanding at December 31, 2013 557,301 $ 5.32 9.56 Granted 138,000 6.07 Exercised (3,500 ) 0.09 Forfeited (22,504 ) 3.33 Options outstanding at December 31, 2014 669,297 $ 5.55 8.79 Granted 230,000 4.89 Exercised (4,083 ) 0.33 Forfeited — 0.00 Options outstanding at December 31, 2015 895,214 $ 5.40 8.28 Options exercisable at December 31, 2015 586,714 $ 5.52 7.69 As of December 31, 2015, the range of exercise prices for outstanding options was $0.33 – $7.00. The following table presents the assumptions used in determining the fair value of option awards for the year ended December 31, 2015 and 2014: 2015 2014 Weighted average grant date fair value per share of awards granted 1.13 2.40 Significant fair value assumptions: Expected term (in years) 5.75 5.75 Volatility 41.32 % 45.79 % Risk-free interest rate 1.53 % 1.62 % Expected dividends — — Restricted Stock A summary of award activity under the Plan for the years ended December 31, 2015 and 2014 is presented below: Shares Weighted Average Grant Date Fair Value Non-vested at December 31, 2013 Granted 365,500 5.52 Vested (3,750 ) Non-vested at December 31, 2014 361,750 Granted — Vested (120,125 ) Non-vested at December 31, 2015 241,625 The weighted average grant date fair value of awards of restricted stock is based on the market price of the Company’s common stock on the date of the grant.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	15. Commitments and Contingencies Capital Lease Obligations In the fourth quarter of 2013, the Company purchased and upgraded equipment from non-related third parties, investing approximately $3.5 million. In December 2013, the Company sold the equipment to a related party leasing company, Impact Engineering, AS. Simultaneously, the equipment package was leased back to the Company as a capital lease for a 60-month period with payments beginning in February of 2014. The Company agreed to prepay one year of payments in the amount of approximately $1.0 million and maintain a balance of no less than six months of prepayments until the final six months of the lease. These prepayments were made prior to December 31, 2013. Further lease payments are $81,439 per month and commenced on July 1, 2014. The final six months of prepaid is shown as other non-current assets in the consolidated balance sheets with a balance of $488,633. The minimum present value of the lease payments is $2.9 million with terms of sixty months and implied interest of 14%. The next five years of lease payments are: Capital Lease Payments 2016 $ 977,267 2017 977,267 2018 977,267 Total future payments 2,931,801 Less debt discount due to warrants (210,502 ) Less amount representing interest (548,989 ) 2,172,310 Less current portion of capital lease obligations (686,624 ) Capital lease obligations, excluding current installments $ 1,485,686 Operating Leases During the third quarter of 2014, the Company and EcoStim Argentina each entered into separate three-year office space leases. The leases each have a term of three years. The company also has leased a warehouse facility in Neuquén for our Argentina operations and a warehouse in Houston for maintenance and security of our TPU equipment. The combined future minimum lease payments as of December 31, 2015 are as follows: Operating Leases 2016 474,879 2017 280,548 Thereafter — Total 755,427

Related Party Transaction

Related Party Transaction	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Related Party Transaction	16. Related Party Transactions In the fourth quarter of 2013, the Company purchased and upgraded equipment, from non-related third parties, for approximately $3.5 million. In December 2013, the Company sold the equipment to a third party leasing company controlled by two of its directors. Simultaneously, the equipment package was leased back to the Company, as a capital lease for a 60-month period with payments beginning in February 2014. The Company agreed to prepay one year of payments in the amount of approximately $1.0 million and maintain a balance of no less than six months of prepayments until the final six months of the lease. These prepayments were made prior to December 31, 2013. Further lease payments are approximately $81,000 per month and commenced on February 1, 2014 In connection with the sale lease back transaction, the Company issued 100,000 common stock warrants to the related party leasing company. The warrants were issued as an inducement payment and can be exercised on a one for one basis for common stock starting July 1, 2014. The exercise price is $7.00 with an expiration date of five years after the initial exercise date of July 1, 2014. The estimated fair value of the warrants at issuance was approximately $0.4 million and was calculated using the Black Scholes method with the following weighted average assumptions being used: Volatility 75 % Expected lives years 5.75 Expected dividend yield — Risk free rates 1.75 %

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Income Taxes	17. Income Taxes The components of the expense for income taxes are as follows for the years ended December 31, 2015 and 2014: For the year ended December 31, 2015 2014 Current: $ — $ — Federal — — State — — Foreign 344,314 — Total $ 344,314 $ — Deferred: $ — $ — Federal — — State — — Foreign — — Total $ — $ — Total income tax provision $ 344,314 $ — The effective tax rate (as a percentage of income before taxes) is reconciled to the U.S. federal statutory rate as follows as of December 31, 2015 and 2014, respectively: For the year ended December 31, 2015 2014 Income tax benefit at the applicable federal rate (34%) $ (4,437,149 ) $ (2,428,410 ) Permanent difference (1,451,681 ) (1,348,502 ) Change in valuation allowance 6,316,695 3,814,700 Deferred true-up (397,232 ) (7,396 ) Effect of rate change 21,596 — Foreign rate differential (52,229 ) (30,392 ) Withholding tax 344,314 — Income tax expense (benefit) $ 344,314 $ — The tax effects of the temporary differences between financial statement income and taxable income are recognized as a deferred tax asset and liabilities. Significant components of the deferred tax asset and liability as of December 31, 2015 and 2014 respectively are: As of December 31, 2015 2014 Deferred assets Stock-based compensation $ 422,766 $ 203,736 Accrued vacation 46,605 85,719 Accrued bonus 145,178 178,500 Withholding tax 86,079 — Other accruals 1,205,098 196,984 Intangible assets 77,454 19,573 Net operating loss carryforwards 9,911,122 4,372,659 Total deferred tax assets $ 11,894,302 $ 5,057,171 Deferred liability Prepaids (1,641 ) (69,232 ) Property, plant and equipment (606,220 ) (18,191 ) Total deferred tax liabilities $ (607,861 ) $ (87,423 ) Net deferred tax asset 11,286,441 4,969,748 Valuation allowance (11,286,441 ) (4,969,748 ) Total net deferred tax assets $ — $ — The Company has established a valuation allowance to fully reserve the net deferred tax asset due to the uncertainty of the timing and amounts of future taxable income. At December 31, 2015 the Company has a federal net operating loss carry forward of $16,886,789 and a foreign tax loss carry forward of $12,669,851, both of which have been fully reserved. The loss carryforwards expire as follows: Expiration year Amount 2016 $ — 2017 — 2018 179,117 2019 3,774,222 2020 and forward 25,603,301 Total $ 29,556,640 The Company records accrued interest and penalties related to unrecognized tax benefits in general and administrative expense. No amounts of interest expense and penalties have been accrued or recognized related to unrecognized tax benefits since inception. We are currently subject to a three-year statute of limitations by major tax jurisdictions.

Fair Value Measurements

Fair Value Measurements	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurement	18. Fair Value Measurement GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and establishes a three-tier hierarchy that is used to identify assets and liabilities measured at fair value. The hierarchy focuses on the inputs used to measure fair value and requires that the lowest level input be used. The three levels defined are as follows: ● Level 1 — observable inputs that are based upon quoted market prices for identical assets or liabilities within active markets. ● Level 2 — observable inputs other than Level 1 that are based upon quoted market prices for similar assets or liabilities, based upon quoted prices within inactive markets, or inputs other than quoted market prices that are observable through market data for substantially the full term of the asset or liability. ● Level 3 — inputs that are unobservable for the particular asset or liability due to little or no market activity and are significant to the fair value of the asset or liability. These inputs reflect assumptions that market participants would use when valuing the particular asset or liability. The following table summarizes the Company’s financial assets and financial liabilities measured at fair value at December 31, 2014: Fair Value Measurements Level 1 Level 2 Level 3 Total Argentina Bonds $ 1,360,767 $ — $ — $ 1,360,767 $ 1,360,767 $ — $ — $ 1,360,767 At December 31, 2015 there were no financial assets and financial liabilities measured at fair value.

Quarterly Financial Data (Unaud

Quarterly Financial Data (Unaudited)	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Quarterly Financial Data (unaudited)	19. Quarterly Financial Data (unaudited) Summarized quarterly financial data for the years ended December 31, 2015 and 2014 are presented below. Quarter Ended March 2015 June 2015 September 2015 December 2015 Revenue $ 2,891,693 $ 3,985,419 $ 4,381,371 $ 2,496,657 Operating loss 2,832,529 2,939,679 3,041,908 3,364,055 Loss before income taxes 3,662,944 3,539,947 2,681,784 3,165,762 Net loss 3,662,944 3,539,947 2,681,784 3,510,076 Basic and diluted loss per share $ 0.59 $ 0.52 $ 0.21 $ 0.26 Quarter Ended March 2014 June 2014 September 2014 December 2014 Revenue $ 483,345 $ 73,951 $ 88,106 $ 189,080 Operating loss 1,687,730 1,682,333 2,662,400 3,637,344 Loss before income taxes 1,823,431 2,010,949 258,907 3,049,095 Net loss 1,823,431 2,010,949 258,907 3,049,095 Basic and diluted Loss per share $ 0.46 $ 0.50 $ 0.05 $ 0.53

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2015
Subsequent Events [Abstract]
Subsequent Events	20. Subsequent Events On February 12, 2016, the Company amended its TPU agreement as referenced in “Note 9 – Debt.” to obtain release to export six (6) of the well stimulation pump trailers, the blender, data vans, manifold and sufficient inventory spare parts in exchange for a payment of $1,500,000 at execution, $500,000 on April 1, 2016 and the remaining balance of approximately $1 million due in payments of $25,000 beginning May 1, 2016, and one final payment of the unpaid balance due on December 15, 2016.

Basis of Presentation and Sig28

Basis of Presentation and Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation We consolidate all wholly-owned subsidiaries, controlled joint ventures and variable interest entities where the Company has determined it is the primary beneficiary. All material intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with 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 financial statements, and the reported amounts of revenue and expenses during the reporting period. Estimates are used in, but are not limited to, determining the following: allowance for doubtful accounts, recoverability of long-lived assets and intangibles, useful lives used in depreciation and amortization, income taxes and stock-based compensation. The accounting estimates used in the preparation of the consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company maintains deposits in several financial institutions, which may at times exceed amounts covered by insurance provided by the U.S. Federal Deposit Insurance Corporation (“FDIC”).
Revenue Recognition	Revenue Recognition The Company’s revenue is heavily dependent on two major customers. All revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the price is fixed or determinable, and collection is reasonably assured as follows: Well Stimulation Revenue The Company provides well stimulation services based on contractual arrangements, such as term contracts and pricing agreements, or on a spot market basis. Revenue will be recognized and customers will be invoiced upon the completion of each job, which can consist of one or more stimulation stages. Under term pricing agreement arrangements, customers commit to targeted utilization levels at agreed-upon pricing, but without termination penalties or obligations to pay for services not used by the customer. In addition, the agreed-upon pricing is typically subject to periodic review. Spot market basis arrangements are based on an agreed-upon hourly spot market rate. The Company also charges fees for setup and mobilization of equipment depending on the job, additional equipment used on the job, if any, and materials that are consumed during the well stimulation process. Generally, these fees and other charges vary depending on the equipment and personnel required for the job and market conditions in the region in which the services are performed. The Company also generates revenues from chemicals and proppants that are consumed while performing well stimulation services. Coiled Tubing Revenue The Company began providing coiled tubing and other well stimulation services in early 2015. Jobs for these services are typically short term in nature, lasting anywhere from a few hours to multiple days. Revenue is recognized upon completion of each job based upon a completed field ticket. The Company charges the customer for mobilization, services performed, personnel on the job, equipment used on the job, and miscellaneous consumables at agreed-upon spot market rates. Field Management Revenue The Company enters into arrangements to provide field management services. Field management revenue relates primarily to geophysical predictions and production monitoring, utilizing down-hole diagnostics tools. Revenue is recognized and customers are invoiced upon the completion of each job. The service invoices are for a set amount, which includes charges for the mobilization of the equipment to the location, the service performed, the personnel on the job, additional equipment used on the job, consumables used throughout the course of the service, and processing and interpretation of data acquired via down-hole diagnostic tools.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, other assets, accounts payable, accrued expenses, capital lease obligations and notes payable. The recorded values of cash and cash equivalents, accounts receivable, other assets, accounts payable, and accrued expenses approximate their fair values based on their short-term nature. The carrying value of capital lease obligations and notes payable approximate their fair value, and the interest rates approximate market rates.
Functional and Presentation Currency	Functional and Presentation Currency Items included in the financial statements of each of the Company’s entities are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The functional currency for the Norwegian and Argentine subsidiaries is the U.S. Dollar. The consolidated financial statements are presented in U.S. Dollars, which is the Company’s presentation currency.
Marketable Securities	Marketable Securities Investments in marketable securities are classified as trading, available-for-sale or held-to-maturity. Our marketable equity investments are classified as trading and their cost basis is determined by the specific identification method. Realized and unrealized gains and losses on trading securities are included in net income. During 2015 and 2014, the Company purchased and sold Argentine bonds to capitalize its subsidiary in Argentina. This resulted in a realized gain on the sale of trading securities of $5,091,387 and $4,361,448, respectively and unrealized gain on the sale of trading securities of $0 and $362,367, respectively. This gain was primarily due to the Company taking advantage of the favorable spread in exchange rates between the U.S. Dollar and Argentine Peso.
Net Loss per Common Share	Net Loss per Common Share For the years ended December 31, 2015 and 2014, the weighted average shares outstanding excluded certain stock options and potential shares from convertible debt of 4,253,381 and 4,004,214, respectively, from the calculation of diluted earnings per share because these shares would be anti-dilutive. Anti-dilutive warrants of 100,000 for each of the years ended December 31, 2015 and 2014 were also excluded from the calculation.
Reclassifications	Reclassifications Certain prior year amounts have been reclassified to conform to the 2015 presentation.
Accounts Receivable	Accounts Receivable Accounts receivable are stated at amounts management expects to collect from outstanding balances. Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation allowance based on its assessment of the current status of individual accounts. Balances still outstanding after management has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. At December 31, 2015 and 2014, the Company did not have an allowance for doubtful accounts.
Unbilled Accounts Receivable	Unbilled Accounts Receivable The asset “unbilled receivables” represents revenues we have recognized in excess of amounts billed on services completed but not yet invoiced. We typically invoice our clients upon having a completed signed ticket and all necessary documentation required from our customer. Our unbilled receivables totaled $5,768,401 at December 31, 2015, and $0 at December 31, 2014 and is included in accounts receivable in the accompanying consolidated balance sheets.
Prepaids	Prepaids Prepaid expenses are primarily comprised of Argentinian value added tax and prepaid insurance. The prepaid value added tax will be reduced as the Company continues to invoice customers in Argentina.
Inventory	Inventory Inventories are stated at the lower of cost or market (net realizable value) using the average method and appropriate consideration is given to deterioration, obsolescence and other factors in evaluating net realizable value.
Property, Plant and Equipment	Property, Plant and Equipment Property, Plant and Equipment (“PPE”) is stated at historical cost less depreciation. Historical cost includes expenditures that are directly attributable to the acquisition of the items. Depreciation is computed using the straight-line method over the estimated useful lives of the assets for financial reporting purposes. Expenditures for major renewals and betterments that extend the useful lives are capitalized. Expenditures for normal maintenance and repairs are expensed as incurred. The cost of assets sold or abandoned and the related accumulated depreciation are eliminated from the accounts and any gains or losses are reflected in the accompanying consolidated statements of operations for the respective period. The estimated useful lives of our major classes of PPE are as follows: Major Classes of PPE Estimated Useful Lives Machinery and equipment 2-7 years Vehicles 5 years Leasehold improvements 5 years (or the life of the lease) Furniture and office equipment 3-5 years
Leases	Leases The Company leases certain equipment under lease agreements. The Company evaluates each lease to determine its appropriate classification as an operating or capital lease for financial reporting purposes. Any lease that does not meet the criteria for a capital lease is accounted for as an operating lease. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair market value of the related assets. Assets under capital leases are amortized using the straight-line method over the lease term. Amortization of assets under capital leases is included in depreciation expense.
Stock-Based Compensation	Stock-Based Compensation The Company accounts for its stock options, warrants, and restricted stock grants under the fair value recognition provisions of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718. The Company currently uses the straight-line amortization method for recognizing stock option and restricted stock compensation costs. The measurement and recognition of compensation expense for all share-based payment awards made to our employees, directors or outside service providers are based on the estimated fair value of the awards on the grant dates. The grant date fair value is estimated using either an option-pricing model which is consistent with the terms of the award or a market observed price, if such a price exists. Such cost is recognized over the period during which an employee, director or outside service provider is required to provide service in exchange for the award, i.e., “the requisite service period” (which is usually the vesting period). The Company also estimates the number of instruments that will ultimately be earned, rather than accounting for forfeitures as they occur.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews its long-lived assets for impairment when changes in circumstances indicate that the carrying amount of an asset may not be recoverable. ASC Topic 360 requires the Company to review long-lived assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset or group of assets may not be recoverable. The impairment review includes a comparison of future cash flows expected to be generated by the asset or group of assets with their associated carrying value. If the carrying value of the asset or group of assets exceeds expected cash flows (undiscounted and without interest charges), an impairment loss is recognized to the extent that the carrying value exceeds the fair value. If estimated future cash flows are not achieved with respect to long-lived assets, additional write-downs may be required.
Major Customers and Concentration of Credit Risk	Major Customers and Concentration of Credit Risk. The majority of the Company’s business is conducted with major and independent oil and gas companies in Argentina. The Company evaluates the financial strength of its customers and provides allowances for probable credit losses when deemed necessary. The Company derives a large amount of revenue from a small number of major and independent oil and gas companies. At December 31, 2015 the company had a concentration of receivables with one customer. We derive a significant portion of our revenue from a limited number of major clients. For the year ended December 31, 2015, two major customers accounted for approximately 96.2% of our services revenue, and we derived 86.5% of our services revenue from three major customers for the year ended December 31, 2014. Our accounts receivable, at December 31, 2015 and 2014 were concentrated, with one major customer representing 87.3% and 100% respectively. YPF represents our largest customer. The Company places its cash and cash equivalents with high credit quality financial institutions.
Income Taxes	Income Taxes Deferred income taxes are determined using the asset and liability method in accordance with ASC Topic 740. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred income taxes are measured using enacted tax rates expected to apply to taxable income in years in which such temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred income taxes is recognized in the consolidated statement of operations of the period that includes the enactment date. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized. The Company is subject to U.S. federal and foreign income taxes along with state income taxes in Texas. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50% likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The recent accounting standards that have been issued or proposed by the Financial Accounting Standards Board (“FASB”) or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires us to recognize the amount of revenue to which we expect to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective on January 1, 2018. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor has the effect of the standard on our ongoing financial reporting been determined. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which amends the guidelines for determining whether certain legal entities should be consolidated and reduces the number of consolidation models. The new standard is effective for annual and interim periods in fiscal years beginning after December 15, 2015. Early adoption is permitted. We do not expect the impact of our pending adoption to have a material effect on our Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which amends the current presentation of debt issuance costs in the financial statements. ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, instead of as an asset. The amendments are to be applied retrospectively and are effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015, but early adoption is permitted. The adoption of the new guidance will impact the Company’s consolidated balance sheet presentation accordingly. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory, which requires inventory not measured using either the last in, first out (LIFO) or the retail inventory method to be measured at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable cost of completion, disposal, and transportation. The new standard will be effective for us beginning with the first quarter of 2017, and will be applied prospectively. Early adoption is permitted. We do not expect the impact of our pending adoption to have a material effect on our Consolidated Financial Statements. In November 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes, which eliminates the current requirement to present deferred tax liabilities and assets as current and noncurrent in a classified balance sheet. Instead, all deferred tax assets and liabilities will be required to be classified as noncurrent. The new standard will be effective for us beginning with the first quarter of 2017. Early adoption is permitted. We are evaluating the impact that this new standard will have on our Consolidated Financial Statements. On February 25, 2016, the FASB issued Accounting Standards Update (ASU) 2016-02 Leases (Topic 842), which requires an entity to recognize assets and liabilities arising from a lease for both financing and operating leases. The ASU will also require new qualitative and quantitative disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company is currently evaluating the effect this standard will have on its Consolidated Financial Statements.

Basis of Presentation and Sig29

Basis of Presentation and Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Schedule of Estimated Useful Lives of Equipment	The estimated useful lives of our major classes of PPE are as follows: Major Classes of PPE Estimated Useful Lives Machinery and equipment 2-7 years Vehicles 5 years Leasehold improvements 5 years (or the life of the lease) Furniture and office equipment 3-5 years

Accounts Receivable (Tables)

Accounts Receivable (Tables)	12 Months Ended
	Dec. 31, 2015
Accounts Receivable Tables
Schedule of Accounts Receivable	Accounts receivable by category were as follows: December 31, 2015 December 31, 2014 Billed $ 2,386,863 $ 264,192 Unbilled 5,768,401 — Total accounts receivable $ 8,155,264 $ 264,192

Inventory (Tables)

Inventory (Tables)	12 Months Ended
	Dec. 31, 2015
Inventory Disclosure [Abstract]
Summary of Inventories by Category	Inventories by category were as follows: December 31, 2015 December 31, 2014 Raw materials $ 739,107 $ 697,439 Spare parts 807,356 922,339 Total inventories $ 1,546,463 $ 1,619,778

Prepaid (Tables)

Prepaid (Tables)	12 Months Ended
	Dec. 31, 2015
Prepaid Tables
Summary of Prepaid by Category	Prepaid by category were as follows: December 31, 2015 December 31, 2014 Prepaid insurance $ 209,331 $ 206,623 Prepaid value added tax 2,519,496 1,798,213 Prepaid other taxes 510,002 380,047 Prepaid other vendors 89,436 111,922 Total prepaid $ 3,328,265 $ 2,496,805

Other Assets (Tables)

Other Assets (Tables)	12 Months Ended
	Dec. 31, 2015
Other Assets Tables
Schedule of Other Assets	December 31, 2015 December 31, 2014 Other current assets: Deferred charges – debt insurance cost $ 185,362 $ 185,362 Exclusivity rights — 208,333 Other current assets 48,648 15,693 Total other current assets $ 234,010 $ 409,388 December 31, 2015 December 31, 2014 Other non-current assets: Long term deposits $ 488,633 $ 488,633 Deferred charges – debt issuance costs 262,597 447,959 Total other non-current assets $ 751,230 $ 936,592

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
Schedule of Property, Plant and Equipment	Property, plant and equipment consists of the following: December 31, 2015 December 31, 2014 Land $ 600,000 $ 600,000 Leasehold improvement 616,259 12,811 Computer hardware & software 478,655 127,312 Furniture & fixtures 129,995 97,424 Machinery & equipment 15,667,894 12,386,109 Machinery & equipment under construction 22,944,025 14,655,857 Work in progress 100,151 259,744 Property and equipment 40,536,979 28,139,257 Less accumulated depreciation (3,394,401 ) (189,910 ) Property and equipment, net $ 37,142,578 $ 27,949,347

Accrued Expenses (Tables)

Accrued Expenses (Tables)	12 Months Ended
	Dec. 31, 2015
Accrued Expenses Tables
Schedule of Accrued Expenses	Accrued expenses consists of the following: December 31, 2015 December 31, 2014 Accrued salaries $ 140,288 $ 269,220 Accrued accounts payable trade expenses 976,155 870,544 Accrued bonuses 426,994 525,000 Accrued vacation 346,374 184,061 Accrued interest 1,953,686 1,315,425 Total accrued expenses $ 3,843,497 $ 3,164,250

Debt (Tables)

Debt (Tables)	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Summary of Long-Term Notes Payable	The following is a summary of approximate scheduled long-term notes payable maturities by year: 2016 $ 3,010,790 2017 — 2018 22,000,000 Total notes payable $ 25,010,790

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Stock Option Activity	A summary of the Company’s stock option activity for the years ended December 31, 2015 and 2014, is presented below: Awards Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Options outstanding at December 31, 2013 557,301 $ 5.32 9.56 Granted 138,000 6.07 Exercised (3,500 ) 0.09 Forfeited (22,504 ) 3.33 Options outstanding at December 31, 2014 669,297 $ 5.55 8.79 Granted 230,000 4.89 Exercised (4,083 ) 0.33 Forfeited — 0.00 Options outstanding at December 31, 2015 895,214 $ 5.40 8.28 Options exercisable at December 31, 2015 586,714 $ 5.52 7.69
Schedule of Fair Value of Each Option Award	The following table presents the assumptions used in determining the fair value of option awards for the year ended December 31, 2015 and 2014: 2015 2014 Weighted average grant date fair value per share of awards granted 1.13 2.40 Significant fair value assumptions: Expected term (in years) 5.75 5.75 Volatility 41.32 % 45.79 % Risk-free interest rate 1.53 % 1.62 % Expected dividends — —
Summary of Award Activity Under Restricted Stock Plan	A summary of award activity under the Plan for the years ended December 31, 2015 and 2014 is presented below: Shares Weighted Average Grant Date Fair Value Non-vested at December 31, 2013 Granted 365,500 5.52 Vested (3,750 ) Non-vested at December 31, 2014 361,750 Granted — Vested (120,125 ) Non-vested at December 31, 2015 241,625

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Schedule of Future Minimum Lease Payments Under Capital Leases	The minimum present value of the lease payments is $2.9 million with terms of sixty months and implied interest of 14%. The next five years of lease payments are: Capital Lease Payments 2016 $ 977,267 2017 977,267 2018 977,267 Total future payments 2,931,801 Less debt discount due to warrants (210,502 ) Less amount representing interest (548,989 ) 2,172,310 Less current portion of capital lease obligations (686,624 ) Capital lease obligations, excluding current installments $ 1,485,686
Schedule of Future Minimum Lease Payments for Operating Leases	The combined future minimum lease payments as of December 31, 2015 are as follows: Operating Leases 2016 474,879 2017 280,548 Thereafter — Total 755,427

Related Party Transactions (Tab

Related Party Transactions (Tables)	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Schedule of Fair Value of Each Warrants Option Award	The estimated fair value of the warrants at issuance was approximately $0.4 million and was calculated using the Black Scholes method with the following weighted average assumptions being used: Volatility 75 % Expected lives years 5.75 Expected dividend yield — Risk free rates 1.75 %

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Schedule of Components of Income Tax (Provision)	The components of the expense for income taxes are as follows for the years ended December 31, 2015 and 2014: For the year ended December 31, 2015 2014 Current: $ — $ — Federal — — State — — Foreign 344,314 — Total $ 344,314 $ — Deferred: $ — $ — Federal — — State — — Foreign — — Total $ — $ — Total income tax provision $ 344,314 $ —
Schedule of Effective Income Taxes Rate	The effective tax rate (as a percentage of income before taxes) is reconciled to the U.S. federal statutory rate as follows as of December 31, 2015 and 2014, respectively: For the year ended December 31, 2015 2014 Income tax benefit at the applicable federal rate (34%) $ (4,437,149 ) $ (2,428,410 ) Permanent difference (1,451,681 ) (1,348,502 ) Change in valuation allowance 6,316,695 3,814,700 Deferred true-up (397,232 ) (7,396 ) Effect of rate change 21,596 — Foreign rate differential (52,229 ) (30,392 ) Withholding tax 344,314 — Income tax expense (benefit) $ 344,314 $ —
Schedule of Deferred Income Tax Assets	The tax effects of the temporary differences between financial statement income and taxable income are recognized as a deferred tax asset and liabilities. Significant components of the deferred tax asset and liability as of December 31, 2015 and 2014 respectively are: As of December 31, 2015 2014 Deferred assets Stock-based compensation $ 422,766 $ 203,736 Accrued vacation 46,605 85,719 Accrued bonus 145,178 178,500 Withholding tax 86,079 — Other accruals 1,205,098 196,984 Intangible assets 77,454 19,573 Net operating loss carryforwards 9,911,122 4,372,659 Total deferred tax assets $ 11,894,302 $ 5,057,171 Deferred liability Prepaids (1,641 ) (69,232 ) Property, plant and equipment (606,220 ) (18,191 ) Total deferred tax liabilities $ (607,861 ) $ (87,423 ) Net deferred tax asset 11,286,441 4,969,748 Valuation allowance (11,286,441 ) (4,969,748 ) Total net deferred tax assets $ — $ —
Summary of Loss Carryforwards Expiration Year	The loss carryforwards expire as follows: Expiration year Amount 2016 $ — 2017 — 2018 179,117 2019 3,774,222 2020 and forward 25,603,301 Total $ 29,556,640

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Summary of Companys Financial Assets and Financial Liabilities Measured At Fair Value	The following table summarizes the Company’s financial assets and financial liabilities measured at fair value at December 31, 2014: Fair Value Measurements Level 1 Level 2 Level 3 Total Argentina Bonds $ 1,360,767 $ — $ — $ 1,360,767 $ 1,360,767 $ — $ — $ 1,360,767

Quarterly Financial Data (Una42

Quarterly Financial Data (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of Quarterly Financial Data	Summarized quarterly financial data for the years ended December 31, 2015 and 2014 are presented below. Quarter Ended March 2015 June 2015 September 2015 December 2015 Revenue $ 2,891,693 $ 3,985,419 $ 4,381,371 $ 2,496,657 Operating loss 2,832,529 2,939,679 3,041,908 3,364,055 Loss before income taxes 3,662,944 3,539,947 2,681,784 3,165,762 Net loss 3,662,944 3,539,947 2,681,784 3,510,076 Basic and diluted loss per share $ 0.59 $ 0.52 $ 0.21 $ 0.26 Quarter Ended March 2014 June 2014 September 2014 December 2014 Revenue $ 483,345 $ 73,951 $ 88,106 $ 189,080 Operating loss 1,687,730 1,682,333 2,662,400 3,637,344 Loss before income taxes 1,823,431 2,010,949 258,907 3,049,095 Net loss 1,823,431 2,010,949 258,907 3,049,095 Basic and diluted Loss per share $ 0.46 $ 0.50 $ 0.05 $ 0.53

Basis of Presentation and Sig43

Basis of Presentation and Significant Accounting Policies (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Gain on sale of trading securities	$ 5,091,387	$ 4,723,815
Unrealized gain on the sale of trading securities	$ 0	$ 362,367
Weighted average shares outstanding excluded certain stock options and potential shares from convertible debt	4,253,381	4,004,214
Allowance for doubtful accounts
Unbilled accounts receivable	$ 5,768,401	$ 0
Percentage on tax benefit likely of being realized upon settlement with the applicable taxing authority	more than 50%
Services Revenue [Member] | Two Major Customers [Member]
Percentage of concentration of credit risk	96.20%
Services Revenue [Member] | Three Major Customers [Member]
Percentage of concentration of credit risk		86.50%
Accounts Receivable [Member] | One Major Customers [Member]
Percentage of concentration of credit risk	87.30%	100.00%
Warrant [Member]
Anti-dilutive warrants		100,000
Warrant [Member]
Anti-dilutive warrants	100,000

Basis of Presentation and Sig44

Basis of Presentation and Significant Accounting Policies - Schedule of Estimated Useful Lives of Equipment (Details)	12 Months Ended
	Dec. 31, 2015
Machinery and Equipment [Member] | Minimum [Member]
Equipment useful live	2 years
Machinery and Equipment [Member] | Maximum [Member]
Equipment useful live	7 years
Vehicles [Member]
Equipment useful live	5 years
Leasehold Improvements [Member]
Equipment useful live	5 years
Furniture and Office Equipment [Member] | Minimum [Member]
Equipment useful live	3 years
Furniture and Office Equipment [Member] | Maximum [Member]
Equipment useful live	5 years

Accounts Receivable - Schedule

Accounts Receivable - Schedule of Accounts Receivable (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Accounts receivable	$ 8,155,264	$ 264,192
Billed [Member]
Accounts receivable	2,386,863	$ 264,192
Unbilled [Member]
Accounts receivable	$ 5,768,401

Inventory - Summary of Inventor

Inventory - Summary of Inventories by Category (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Raw materials	$ 739,107	$ 697,439
Spare parts	807,356	922,339
Total inventories	$ 1,546,463	$ 1,619,778

Summary of Prepaid by Category

Summary of Prepaid by Category (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Summary Of Prepaid By Category Details
Prepaid insurance	$ 209,331	$ 206,623
Prepaid value added tax	2,519,496	1,798,213
Prepaid other taxes	510,002	380,047
Prepaid other vendors	89,436	111,922
Total prepaids	$ 3,328,265	$ 2,496,805

Other Assets - Schedule of Othe

Other Assets - Schedule of Other Assets (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Other Assets [Abstract]
Other current assets, Deferred charges - debt insurance cost	$ 185,362	$ 185,362
Other current assets, Exclusivity rights		208,333
Other current assets	$ 48,648	15,693
Total other current assets	234,010	409,388
Other non-current assets, Long term deposits	488,633	488,633
Other non-current assets, Deferred charges - debt issuance costs	262,597	447,959
Total other non-current assets	$ 751,230	$ 936,592

Property, Plant and Equipment -

Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Property, Plant and Equipment [Abstract]
Land	$ 600,000	$ 600,000
Leasehold improvement	616,259	12,811
Computer hardware & software	478,655	127,312
Furniture & fixtures	129,995	97,424
Machinery & equipment	15,667,894	12,386,109
Machinery & equipment under construction	22,944,025	14,655,857
Work in progress	100,151	259,744
Property and equipment	40,536,979	28,139,257
Less accumulated depreciation	(3,394,401)	(189,910)
Property and equipment, net	$ 37,142,578	$ 27,949,347

Accrued Expenses - Schedule of

Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Accrued Expenses - Schedule Of Accrued Expenses Details
Accrued salaries	$ 140,288	$ 269,220
Accrued accounts payable trade expenses	976,155	870,544
Accrued bonuses	426,994	525,000
Accrued vacation	346,374	184,061
Accrued interest	1,953,686	1,315,425
Total accrued expenses	$ 3,843,497	$ 3,164,250

Debt (Details Narrative)

Debt (Details Narrative) - USD ($)	Jul. 15, 2015	Mar. 12, 2015	May. 28, 2014	Dec. 31, 2015	Dec. 31, 2016	May. 28, 2015	Dec. 31, 2014	Oct. 10, 2014
Short-term notes payable							$ 158,036
Accrued interest debt rate				5.87%
Convertible note payable, periodic payment				$ 20,000
Secured promissory note				22,000,000			25,625,000
Accrued interest				94,764
Paid fee				220,000
Current portion of long term notes payable				3,010,790			$ 475,000
February 11, 2016 [Member]
Monthly installment payment amount				$ 25,000
Defer payment of final purchase price					$ 1,000,000
Debt maturity start date				Apr. 1, 2015
Debt maturity end date				Dec. 15, 2016
Maximum [Member]
Accrued interest debt rate		9.00%
Cost incurred on assets		$ 400,000
Monthly installment payment amount		$ 50,000
Debt maturity end date		Mar. 31, 2016
Unregistered Common Stock [Member]
Debt instruments conversion price per share	$ 4.75
Conversion of accrued and deferred interest into shares	523,192
Note Agreement [Member]
Secured promissory note				$ 22,000,000
Accrued interest				$ 1,831,123
ACM Emerging Markets Master Fund I, L.P [Member]
Accrued interest						$ 2,485,162
TPU Agreement [Member]
Total purchase price of assets								$ 6,500,000
Amount financed on purchase price of equipment and spare parts								$ 4,100,000
Convertible Debt [Member]
Accrued interest debt rate			14.00%
Convertible Debt [Member] | ACM Emerging Markets Master Fund I, L.P [Member]
Debt instrument principal outstanding			$ 22,000,000
Debt instruments conversion price per share			$ 6

Debt - Summary of Long-Term Not

Debt - Summary of Long-Term Notes Payable (Details)	Dec. 31, 2015USD ($)
Debt Disclosure [Abstract]
2,016	$ 3,010,790
2,017
2,018	$ 22,000,000
Total notes payable	$ 25,010,790

Deferred Debt Costs (Details Na

Deferred Debt Costs (Details Narrative) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Deferred debt costs	$ 447,956	$ 633,321
Accumulated amortization	293,490	108,128
Other assets	185,362
Other non current assets	$ 262,597	$ 447,959

Equity Offerings (Details Narra

Equity Offerings (Details Narrative)	Jul. 15, 2015USD ($)$ / sharesshares	Feb. 19, 2015USD ($)$ / sharesshares	Jul. 24, 2014USD ($)Investorsshares	Jul. 14, 2014USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Number of registered securities of common stock sold | shares	6,164,690	1,051,376
Sale of stock price per share | $ / shares	$ 4.75	$ 5.75
Proceeds from sale of registered securities of common stock	$ 29,282,278	$ 6,045,412			$ 35,329,038	$ 10,302,400
Private Placement [Member]
Proceeds from issuance of private placements			$ 2,116,473
Common stock shares issued | shares			383,733
Number of accredited investors | Investors			17
ACM Emerging Markets Master Fund I, L.P [Member]
Proceeds from issuance of private placements				$ 7,708,874
Related party expenses				$ 291,126

Stockholders' Equity (Details N

Stockholders' Equity (Details Narrative) - USD ($)	3 Months Ended
	Dec. 31, 2013	Dec. 31, 2015	Dec. 15, 2015	Dec. 31, 2014
Common stock, shares authorized		200,000,000		200,000,000
Common stock, shares outstanding		13,566,050		5,709,523
Common stock outstanding value		$ 13,572		$ 5,709
Preferred stock, shares authorized		50,000,000		50,000,000
Preferred stock, shares outstanding
Treasury stock, shares		6,939
Treasury stock cost		$ 20,294
Issuance of common stock warrants	100,000
Issuance common stock warrants, exercise price per share	$ 7
Warrants exercised term	exercised on a one for one basis starting July 1, 2014.
December 16, 2015 through December 16, 2017 [Member] | Maximum [Member]
Number of treasury common stock outstanding value			$ 5,000,000

Employee Benefit Plan (Details

Employee Benefit Plan (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Compensation and Retirement Disclosure [Abstract]
Percentage of company contribution on employee plan	5.00%
Contribution by the company	$ 100,518	$ 71,561

Stock-Based Compensation (Detai

Stock-Based Compensation (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Stock-based compensation	$ 1,480,435	$ 1,252,061
Unamortized stock based compensation expense	$ 1,382,711	$ 2,597,029
Future expensing period description for unamortized stock based compensation	through 2,019
Percentage of fair market value of shares granted	110.00%
Weighted Average Exercise Price, Outstanding	$ 5.52
Maximum [Member]
Weighted Average Exercise Price, Outstanding	7
Minimum [Member]
Weighted Average Exercise Price, Outstanding	$ 0.33
2013 Stock Incentive Plan [Member]
Maximum number of shares authorized to be issued	1,000,000
Number of shares available for grant under the Plan	48,328
2015 Stock Incentive Plan [Member]
Maximum number of shares authorized to be issued	500,000
Number of shares available for grant under the Plan	665,000
2015 Stock Incentive Plan [Member] | Maximum [Member]
Maximum number of shares authorized to be issued	1,000,000

Stock-Based Compensation - Sche

Stock-Based Compensation - Schedule of Stock Option Activity (Details) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Number of Options Outstanding, Beginning balance	669,297	557,301
Number of Options, Granted	230,000	138,000
Number of Options, Exercised	(4,083)	(3,500)
Number of Options, Forfeited		(22,504)
Number of Options Outstanding, Ending balance	895,214	669,297
Number of Options Exercisable	586,714
Weighted Average Exercise Price, Outstanding, Beginning	$ 5.55	$ 5.32
Weighted Average Exercise Price, Granted	4.89	6.07
Weighted Average Exercise Price, Exercised	0.33	0.09
Weighted Average Exercise Price, Forfeited	0	3.33
Weighted Average Exercise Price, Outstanding, Ending	5.40	$ 5.55
Weighted Average Exercise Price, Exercisable	$ 5.52
Weighted Average Remaining Contractual Terms (Years), Beginning		9 years 6 months 22 days
Weighted Average Remaining Contractual Terms (Years), Ending	8 years 3 months 11 days	8 years 9 months 15 days
Weighted Average Remaining Contractual Terms (Years), Exercisable	7 years 8 months 9 days

Stock-Based Compensation - Sc59

Stock-Based Compensation - Schedule of Fair Value of Each Option Award (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Weighted average grant date fair value per share of awards granted	$ 4.89	$ 6.07
Option [Member]
Weighted average grant date fair value per share of awards granted	$ 1.13	$ 2.40
Expected term (in years)	5 years 9 months	5 years 9 months
Volatility	41.32%	45.79%
Risk-free interest rate	1.53%	1.62%
Expected dividends

Stock Based Compensation - Summ

Stock Based Compensation - Summary of Award Activity Under Restricted Stock Plan (Details) - $ / shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Shares, Granted	230,000	138,000
Restricted Stock [Member]
Number of Non-vested Options Outstanding, Beginning balance	361,750
Shares, Granted		365,500
Shares, Vested	(120,125)	(3,750)
Number of Non-vested Options Outstanding, Ending balance	241,625	361,750
Weighted average grant date fair value	$ 5.52

Commitments and Contingencies61

Commitments and Contingencies (Details Narrative) - USD ($)	Feb. 01, 2014	Feb. 01, 2014	Dec. 31, 2013	Dec. 31, 2015
Purchase of upgraded equipment from non-related parties			$ 3,500,000
Lease term				60 months
Prepayment for equipment from non-related parties			$ 1,000,000
Payment for rent	$ 81,439	$ 81,000
Other non-current assets				$ 488,633
Minimum present value of the lease payments				$ 2,900,000
Percentage of lease payment Interest				14.00%
Capital Lease Obligations [Member]
Lease term				60 months

Commitments and Contingencies -

Commitments and Contingencies - Schedule of Future Minimum Lease Payments Under Capital Leases (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Less current portion of capital lease obligations	$ 686,624	$ 597,406
Capital lease obligations, excluding current installments	1,485,686	$ 2,102,143
Capital Lease Obligations [Member]
2,016	977,267
2,017	977,267
2,018	977,267
Total future payments	2,931,801
Less debt discount due to warrants	(210,502)
Less amount representing interest	(548,989)
Present value of net minimum lease payments	2,172,310
Less current portion of capital lease obligations	(686,624)
Capital lease obligations, excluding current installments	$ 1,485,686

Commitments and Contingencies63

Commitments and Contingencies - Schedule of Future Minimum Lease Payments for Operating Leases (Details) - Operating Leases [Member]	Dec. 31, 2015USD ($)
2,016	$ 474,879
2,017	$ 280,548
Thereafter
Total	$ 755,427

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	Feb. 01, 2014	Feb. 01, 2014	Dec. 31, 2013	Dec. 31, 2015
Related Party Transactions [Abstract]
Purchase of upgraded equipments from non realted parties			$ 3,500,000
Payments for advance to affiliates			$ 1,000,000
Payment for rent	$ 81,439	$ 81,000
Issuance stock and warrantd for sale of lease bask transaction				100,000
Warrants exercise price				$ 7
Warrants expiration year				Expiration date of five years after the initial exercise date of July 1, 2014.
Fair value Issuance of warrants				400,000

Related Party Transactions - Sc

Related Party Transactions - Schedule of Fair Value of Each Warrants Option Award (Details) - Warrant [Member]	12 Months Ended
	Dec. 31, 2014USD ($)
Volatility	75.00%
Expected lives years	5 years 9 months
Expected dividend yield
Risk free rates	1.75%

Income Taxes (Details Narrative

Income Taxes (Details Narrative)	Dec. 31, 2015USD ($)
Income Tax Disclosure [Abstract]
Federal net operating loss carryforwards	$ 16,886,789
Foreign tax loss carryforwards	$ 12,669,851

Income Taxes - Schedule of Comp

Income Taxes - Schedule of Components of Income Tax (Provision) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Current taxes: Federal
Current taxes: State
Current taxes: Foreign	$ 344,314
Total current taxes	$ 344,314
Deferred taxes: Federal
Deferred taxes: State
Deferred taxes: Foreign
Total
Total income tax provision	$ 344,314

Income Taxes - Schedule of Effe

Income Taxes - Schedule of Effective Income Taxes Rate (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Income tax benefit at the applicable federal rate (34%)	$ (4,437,149)	$ (2,428,410)
Permanent difference	(1,451,681)	(1,348,502)
Change in valuation allowance	6,316,695	3,814,700
Deferred true-up	(397,232)	$ (7,396)
Effect of rate change	21,596
Foreign rate differential	(52,229)	$ (30,392)
Withholding tax	344,314
Income tax expense (benefit)	$ 344,314

Income Taxes - Schedule of Ef69

Income Taxes - Schedule of Effective Income Taxes Rate (Details) (Parenthetical)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Federal income tax rate	34.00%	34.00%

Income Taxes - Schedule of Defe

Income Taxes - Schedule of Deferred Income Tax Assets (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Deferred assets, Stock-based compensation	$ 422,766	$ 203,736
Deferred assets, Accrued Vacation	46,605	85,719
Deferred assets, Accrued Bonus	145,178	$ 178,500
Deferred assets, Withholding tax	86,079
Deferred assets, Other Accruals	1,205,098	$ 196,984
Deferred assets, Intangible Assets	77,454	19,573
Deferred assets, Net operating loss carryforwards	9,911,122	4,372,659
Total deferred tax assets	11,894,302	5,057,171
Deferred liability, Prepaids	(1,641)	(69,232)
Deferred liability, Property, plant and equipment	(606,220)	(18,191)
Deferred liability, Total deferred tax liabilities	(607,861)	(87,423)
Deferred liability, Net deferred tax asset	11,286,441	4,969,748
Deferred liability, Valuation Allowance	$ (11,286,441)	$ (4,969,748)
Total net deferred tax assets

Income Taxes - Summary of Loss

Income Taxes - Summary of Loss Carryforwards Expiration Year (Details)	Dec. 31, 2015USD ($)
Total	$ 29,556,640
2016 [Member]
Total
2017 [Member]
Total
2018 [Member]
Total	$ 179,117
2019 [Member]
Total	3,774,222
2020 And Forward [Member]
Total	$ 25,603,301

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Companys Financial Assets and Financial Liabilities Measured at Fair Value (Details)	Dec. 31, 2014USD ($)
Fair value measurements, Total	$ 1,360,767
Level 1 [Member]
Fair value measurements, Total	$ 1,360,767
Level 2 [Member]
Fair value measurements, Total
Level 3 [Member]
Fair value measurements, Total
Argentina Bonds [Member]
Fair value measurements, Total	$ 1,360,767
Argentina Bonds [Member] | Level 1 [Member]
Fair value measurements, Total	$ 1,360,767
Argentina Bonds [Member] | Level 2 [Member]
Fair value measurements, Total
Argentina Bonds [Member] | Level 3 [Member]
Fair value measurements, Total

Quarterly Financial Data (Una73

Quarterly Financial Data (Unaudited) - Summary of Quarterly Financial Data (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Revenue	$ 2,496,657	$ 4,381,371	$ 3,985,419	$ 2,891,693	$ 189,080	$ 88,106	$ 73,951	$ 483,345	$ 13,755,140	$ 834,482
Operating Loss	3,364,055	3,041,908	2,939,679	2,832,529	3,637,344	2,662,400	1,682,333	1,687,730	(12,178,171)	(9,669,807)
Loss before income taxes	3,165,762	2,681,784	3,539,947	3,662,944	3,049,095	258,907	2,010,949	1,823,431
Net Loss	$ 3,510,076	$ 2,681,784	$ 3,539,947	$ 3,662,944	$ 3,049,095	$ 258,907	$ 2,010,949	$ 1,823,431	$ (13,394,751)	$ (7,142,382)
Basic and diluted Loss per share	$ 0.26	$ 0.21	$ 0.52	$ 0.59	$ 0.53	$ 0.05	$ 0.5	$ 0.46	$ (1.35)	$ (1.48)

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - Subsequent Event [Member] - TPU Agreement [Member]	Feb. 12, 2016USD ($)
Payments of inventory spare parts	$ 1,500,000
Execution value	500,000
April 1, 2016 [Member]
Installment payment amount	1,000,000
May 1, 2016 To December 15, 2016 [Member]
Installment payment amount	$ 25,000
Debt maturity start date	May 1, 2016
Debt maturity end date	Dec. 15, 2016