PEDEVCO (PED) 10-Q13 Aug 142014 Q2 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
Document and Entity Information	Jun. 30, 2014	Aug. 13, 2014
Document And Entity Information	'	'
Entity Registrant Name	'PEDEVCO CORP	'
Entity Central Index Key	'0001141197	'
Document Type	'10-Q	'
Document Period End Date	30-Jun-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	29,113,752
Document Fiscal Period Focus	'Q2	'
Document Fiscal Year Focus	'2014	'

CONSOLIDATED_BALANCE_SHEETS_Un

CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Current assets:	'	'
Cash	$5,015,092	$6,613,470
Accounts receivable - oil and gas	2,283,695	110,547
Accounts receivable - oil and gas - related party	40,136	47,076
Accounts receivable - related party	245,844	78,830
Deferred financing costs	1,944,888	50,000
Prepaid expenses and other current assets	57,353	74,310
Total current assets	9,587,008	6,974,233
Oil and gas properties:	'	'
Oil and gas properties, subject to amortization, net	14,317,113	2,173,245
Oil and gas properties, not subject to amortization, net	7,343,894	6,629,394
Total oil and gas properties, net	21,661,007	8,802,639
Deferred financing costs	4,486,258	'
Notes receivable - related parties	1,446,064	'
Other assets	85,000	'
Deposit for business acquisitions	5,000,000	10,019,633
Investments - equity method	'	'
Investments - cost method	4,100	4,100
Total assets	42,269,437	25,800,605
Current liabilities:	'	'
Accounts payable	537,462	173,475
Accounts payable - related party	1,893,714	2,346,818
Accrued expenses	1,250,634	1,501,221
Accrued expenses - related parties	1,041,996	1,057,265
Revenue payable	1,408,170	'
Notes payable - Bridge Notes, net of discounts of $6,246 and $93,957, respectively	243,754	2,633,430
Convertible notes payable- Bridge Notes, net of premiums of $234,116 and $0 and discounts of $20,929 and $0, respectively	1,203,228	'
Notes payable - Secured Promissory Notes, net of discounts of $4,160,332 and $0, respectively	1,265,592	'
Notes payable, - related parties, net of discounts of $0 and $316,570, respectively	6,170,065	7,126,109
Total current liabilities	15,014,615	14,838,318
Long-term liabilities:	'	'
Notes payable - Secured Promissory Notes, net of discounts of $9,843,753 and $0, respectively	18,951,530	'
Asset retirement obligations	122,119	75,447
Total liabilities	34,088,264	14,913,765
Commitments and contingencies	'	'
Redeemable Series A convertible preferred stock: -0- shares issued and outstanding at June 30, 2014 and December 31, 2013	'	'
Shareholders' equity:	'	'
Series A convertible preferred stock, $0.001 par value, 100,000,000 shares authorized, -0- shares issued and outstanding at June 30, 2014 and December 31, 2013	'	'
Common stock, $0.001 par value, 200,000,000 shares authorized; 27,466,411 and 26,121,062 shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively	27,466	26,121
Stock subscription receivable	'	-10,000,000
Additional paid-in capital	53,804,185	51,782,870
Accumulated deficit	-48,287,639	-30,922,151
Noncontrolling interests	2,637,161	'
Total shareholders' equity	8,181,173	10,886,840
Total liabilities and shareholders' equity	$42,269,437	$25,800,605

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Statement of Financial Position [Abstract]	'	'
Notes payable- Bridge Note, net of discounts	$6,246	$93,957
Convertible notes payable - Bridge Notes, net of premium	234,116	0
Convertible notes payable - Bridge Notes, net of discounts	20,929	0
Notes payable - Secured Promissory Notes, net of discounts	4,160,332	0
Notes payable, - related parties, net of discounts	0	316,570
Notes payable - Secured Promissory Notes, net of discounts	$9,843,753	$0
Stockholders' equity:	'	'
Redeemable Series A convertible preferred stock, Issued	0	0
Redeemable Series A convertible preferred stock, Outstanding	0	0
Series A convertible preferred stock, par value	$0.01	$0.01
Series A convertible preferred stock, shares authorized	100,000,000	100,000,000
Series A convertible preferred stock, shares issued	0	0
Series A convertible preferred stock, shares outstanding	0	0
Common stock, par value	$0.00	$0.01
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	27,466,411	26,121,062
Common stock, shares outstanding	27,466,411	26,121,062

CONSOLIDATED_STATEMENTS_OF_OPE

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		6 Months Ended
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Revenue:	'	'	'	'
Oil and gas sales	$2,094,751	$156,146	$3,102,205	$425,213
Operating expenses:	'	'	'	'
Lease operating costs	656,339	269,368	1,262,519	389,044
Exploration expense	764,081	'	1,124,699	'
Selling, general and administrative expense	1,653,279	1,288,253	4,009,439	2,548,342
Impairment of oil and gas properties	28,312	53,862	31,677	88,503
Depreciation, depletion, amortization and accretion	365,090	116,570	479,941	255,021
Loss on settlement of payables	'	'	38,823	'
Total operating expenses	3,467,101	1,728,053	6,947,098	3,280,910
Gain (Loss) on sale of oil and gas properties	251,381	'	-5,408,172	'
Loss on sale of equity investment	'	'	-1,028,194	'
Loss on sale of deposit for business acquisition	'	'	-1,944,626	'
Loss on oil and gas property acquisition deposit	'	-200,000	'	-200,000
Loss from equity method investments	-142,763	-282,301	-417,260	-367,602
Operating Loss	-1,263,732	-2,054,208	-12,643,145	-3,423,299
Other income (expense):	'	'	'	'
Interest expense	-3,006,157	-432,127	-4,097,400	-606,682
Interest income	67,898	41,944	131,844	86,428
Loss on debt extinguishment	'	'	-763,310	'
Gain on change in fair value of derivative	'	11,460	'	14,005
Other income	'	'	'	15,294
Total other expense	-2,938,259	-378,723	-4,728,866	-490,955
Net loss	-4,201,991	-2,432,931	-17,365,489	-3,914,254
Less: Net loss attributable to Noncontrolling interests	-6,522	'	-6,522	'
Net loss attributable to PEDEVCO common stockholders	($4,195,469)	($2,432,931)	($17,365,489)	($3,914,254)
Net loss per common share:	'	'	'	'
Basic and diluted	($0.16)	($0.17)	($0.66)	($0.30)
Weighted average number of common shares outstanding:	'	'	'	'
Basic and diluted	26,670,103	13,913,815	26,446,910	12,966,415

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	6 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	Jun. 30, 2014	Jun. 30, 2013
Cash Flows From Operating Activities:	'	'
Net loss	($17,365,489)	($3,914,254)
Minority interest in net loss	-6,522	'
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Stock-based compensation expense	1,550,895	434,022
Impairment of oil and gas properties	31,677	88,503
Loss on oil and gas property acquisition deposit	'	200,000
Depreciation, depletion, amortization and accretion	479,941	255,021
Loss on sale of oil and gas properties	5,408,172	'
Loss on sale of 50% of equity investment	1,028,194	'
Loss on sale of 50% of the deposit for business acquisition	1,944,626	'
Loss on settlement of payables	38,823	'
Loss on debt extinguishment	763,310	'
Loss from equity method investments	417,260	367,602
Amortization of debt discount	1,474,450	95,764
Amortization of deferred financing costs	519,035	'
Gain on change in fair value of derivative	'	-14,005
Changes in operating assets and liabilities:	'	'
Accounts receivable - oil and gas	-1,571,018	16,571
Accounts receivable - oil and gas - related party	6,940	-43,016
Accounts receivable - related party	-167,014	-134,574
Inventory	396,482	'
Prepaid expenses and other current assets	66,957	110,318
Other Assets	'	-2,050
Accounts payable	383,621	-91,396
Accounts payable - related party	-453,104	-373,397
Accrued expenses	659,736	-211,718
Accrued expenses - related parties	89,731	502,361
Revenue payable	562,581	'
Net cash used in operating activities	-3,740,716	-2,714,248
Cash Flows From investing activities:	'	'
Cash paid for oil and gas property acquisition deposit	'	-200,000
Cash paid for oil and gas properties	-28,521,822	-3,907,471
Cash paid for drilling costs	-1,591,107	-128,750
Proceeds from sale of equity investment	1,615,488	'
Proceeds from sale of oil and gas properties	8,747,058	'
Proceeds from sale of deposit	3,055,374	'
Cash paid for plugging bond	-85,000	'
Cash paid for unproved leasehold	-133,535	'
Issuance of notes receivable - related parties	-1,863,324	-1,714,672
Proceeds from disposition of White Hawk	2,718,158	'
Net cash used in investing activities	-16,058,710	-5,950,893
Cash Flows From Financing Activities:	'	'
Repayment of PIK	-400,000	-40,000
Cash paid for deferred financing costs	-5,381,755	'
Repayment of notes payable	-1,903,778	'
Proceeds from notes payable, related party	'	5,050,000
Proceeds from notes payable, net of discounts	19,357,080	2,950,000
Proceeds from issuance of common stock, net of offering costs	6,524,701	'
Proceeds from exercise of warrants and options	4,800	'
Net cash provided by financing activities	18,201,048	7,960,000
Net decrease in cash	-1,598,378	-705,141
Cash at beginning of period	6,613,470	2,478,250
Cash at end of period	5,015,092	1,773,109
Supplemental disclosure of cash flow information	'	'
Interest	1,529,871	'
Income Taxes	'	'
Noncash investing and financing activities:	'	'
Accrual of oil and gas properties acquisition costs	'	1,173,664
Accrual of drilling costs	'	871,602
Change in estimates of asset retirement obligations	3,956	1,444
Conversion of Series A preferred stock to common stock	'	6,282
Conversion of redeemable preferred stock to common stock	'	556
Expiration of redemption feature in 555,556 shares of Series A preferred stock issued in acquisition of Excellong E&P-2, Inc.	'	1,250,000
Issuance of preferred stock in settlement of stock payable	'	47
Issuance of common stock in settlement of stock payable	'	80,000
Issuance of common stock in settlement of liabilities	125,481	'
Issuance of common stock to Bridge Note holders due to conversion	1,370,180	'
Recission of common stock issued in private placement	10,000,000	'
Cashless exercise of common stock options and warrants	83	'
Issuance of common stock to STXRA in settlement of debt	405,487	'
Rescission of common stock issued for exercise of stock options in 2012	'	121
Debt discount related to warrants issued in conjunction with notes payable	'	243,771
Deferred financing costs related to warrants issued in conjunction with notes payable	1,519,601	31,176
Fair value of derivative warrant instruments issued with notes payable	'	14,005
Shares granted to Esenjay in exchange for acquisition of leases on behalf of Condor	'	116,499
Reduction in notes receivable for the equity investment in losses in excess of the Company's investment account	'	203,088
Reclass of notes payable - Bridge Notes to convertible notes	2,125,000	'
Consolidation of non-controlling interest in PEDCO MSL	2,643,684	'
Beneficial conversion feature of Convertible notes payable- Bridge Notes	211,570	'
Reclass of notes payable - related parties to notes payable - Bridge Notes	525,000	'
Debt discount related to the warrants issued in conjunction with notes payable	269,902	'
Stock payable issued for deferred financing costs	$48,825	'

CONSOLIDATED_STATEMENTS_OF_CAS1

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	6 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical)	Jun. 30, 2014
Statement of Cash Flows [Abstract]	'
Loss on conveyance Percentage of Red Hawk acquisition	50.00%
Loss on conveyance Percentage of the deposit for business acquisition	50.00%

1_BASIS_OF_PRESENTATION

1. BASIS OF PRESENTATION	6 Months Ended
1. BASIS OF PRESENTATION	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
BASIS OF PRESENTATION	'
	NOTE 1 – BASIS OF PRESENTATION

	The accompanying consolidated financial statements of PEDEVCO CORP. (formerly Blast Energy Services, Inc.) (“PEDEVCO” or the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited financial statements and notes thereto contained in PEDEVCO’s latest Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate disclosures contained in the audited financial statements for the most recent fiscal year, as reported in the Form 10-K filed with the SEC on March 31, 2014, as amended, have been omitted.

	The Company’s consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and subsidiaries in which the Company has a controlling financial interest. All significant inter-company accounts and transactions have been eliminated in consolidation.

2_DESCRIPTION_OF_BUSINESS

2. DESCRIPTION OF BUSINESS	6 Months Ended
2. DESCRIPTION OF BUSINESS	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
DESCRIPTION OF BUSINESS	'
	NOTE 2 – DESCRIPTION OF BUSINESS

	PEDEVCO’s primary business plan is engaging in the acquisition, exploration, development and production of oil and natural gas shale plays in the United States, with a secondary focus on conventional oil and natural gas plays.

	The Company’s principal operating properties are located in the Wattenberg, Wattenberg Extension, and Niobrara formation in the Denver-Julesburg Basin (the “DJ Basin”) in Morgan and Weld Counties, Colorado. The majority of these properties are owned directly by the Company or through its wholly-owned subsidiary, Red Hawk Petroleum, LLC.

	The Company owns a 20% interest in Condor Energy Technology, LLC (“Condor”). Condor’s operations consist primarily of working interests in oil and gas leases in the Niobrara shale formation located in the DJ Basin in Morgan and Weld Counties, Colorado. The remaining interest in Condor is owned by an affiliate of MIE Holdings Corporation (Hong Kong Stock Exchange code: 1555.HK), one of the largest independent upstream onshore oil companies in China (“MIE Holdings”). In addition, the Company has made a direct investment into the drilling and completion of the first three wells that Condor has drilled and completed.

	The Company plans to focus on the development of shale oil and gas assets held by the Company in the U.S., including its first oil and gas working interests in the Niobrara shale formation located in the DJ Basin in Morgan and Weld Counties, Colorado (the “Niobrara Asset”), its oil and gas working interests in the Mississippian Lime play in Kansas (the “Mississippian Asset”), and its recently acquired oil and gas working interests in the Wattenberg and Wattenberg Extension in the DJ Basin (the “Wattenberg Asset”), which it acquired in March 2014 from Continental Resources, Inc. (“Continental”).

	To further develop the business plan, in the first quarter of 2014, the Company entered into a financing transaction with investors to acquire the Wattenberg Asset and provide partial funding for the Company’s 2014 drilling plan. In connection with the transaction, the Company sold a portion of its interests to Golden Globe Energy Corp. (“Golden Globe”, formerly known as RJ Resources Corp.) in its Mississippian Asset, its Wattenberg Asset and its pending interest in Asia Sixth Energy Resources Limited (“Asia Sixth”). See Note 4.

	As of December 31, 2013, the Company also owned an average 98% working interest in leases covering the Mississippian Lime in Comanche, Harper, Barber and Kiowa Counties, Kansas. In connection with the financing of the Wattenberg Asset acquisition, the Company sold 50% of its equity investment in Pacific Energy Development MSL, LLC, which holds the Mississippian Asset, to Golden Globe. See Note 4. Therefore, as of March 7, 2014, the Company owned an indirect 49% working interest in leases in the Mississippian Asset. The Company serves as the operator of this asset and anticipates drilling its first well in 2014 for which Golden Globe will pay its proportionate share.

	In 2013, the Company entered into a Shares Subscription Agreement (“SSA”) to acquire an approximate 51% ownership in Asia Sixth Energy Resources Limited (“Asia Sixth”), a British Virgin Islands entity, which holds an approximate 60% ownership interest in Aral Petroleum Capital Limited Partnership (“Aral”), a Kazakhstan entity. Aral holds a production license covering a 380,000 acre oil and gas producing asset located in the Pre-Caspian Basin in Kazakhstan. On August 1, 2014, the Company entered into a series of agreements pursuant to which it restructured its planned acquisition of interests in Asia Sixth, whereby it terminated the previous SSA and entered into a new purchase agreement (the “Caspian SPA”) to acquire a 5% interest in Caspian Energy Inc. (“Caspian Energy”), an Ontario, Canada company listed on the NEX board of the TSX Venture Exchange, which entity will hold 100% of the ownership in Aral at closing. The closing of the transactions contemplated under the Caspian SPA are anticipated to occur no later than July 2015, subject to the satisfaction of certain customary closing conditions including the approval of the government of Kazakhstan and receipt of Caspian Energy shareholder approval of the transaction. See Note 16.

	As of January 1, 2013, the Company owned a 50% interest in White Hawk Petroleum, LLC (“White Hawk”). White Hawk’s operations consisted primarily of working interests in oil and gas leases in the Eagle Ford shale formation in McMullen County, Texas. The remaining interest in White Hawk was owned by an affiliate of MIE Holdings, MIE Jurassic Energy Corporation (“MIEJ”). On December 20, 2013, White Hawk entered into a series of transactions pursuant to which White Hawk divested approximately 50% of its assets and used the funds from the divestiture to acquire MIEJ’s interest in White Hawk. MIEJ then withdrew from White Hawk as a member on December 31, 2013, with the Company’s effective interests in the Eagle Ford shale assets remaining unchanged and unaffected by the transactions. As a result of the transactions, the Company became the 100% owner of White Hawk. Accordingly, as of December 31, 2013, the Company has accounted for White Hawk as a consolidated subsidiary of the Company and no longer accounts for the entity as an equity investment. In addition, on February 19, 2014, White Hawk sold its remaining interests in the Eagle Ford Shale play for net proceeds of $2,718,158. See Note 4.

	The Company plans to seek additional shale oil and gas and conventional oil and gas asset acquisition opportunities in the U.S. through utilizing its strategic relationships and technologies that may provide the Company a competitive advantage in accessing and exploring such assets. Some or all of these assets may be acquired by subsidiaries, and equity investees such as Condor, or others that may be formed at a future date.

3_SUMMARY_OF_SIGNIFICANT_ACCOU

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2014
Accounting Policies [Abstract]	'
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
	NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

	Basis of Presentation and Principles of Consolidation. The consolidated financial statements herein have been prepared in accordance with GAAP and include the accounts of the Company and those of its wholly and partially-owned subsidiaries as follows: (i) Eagle Domestic Drilling Operations LLC, a Texas limited liability company (which was voluntarily dissolved effective July 10, 2013); (ii) Blast AFJ, Inc., a Delaware corporation; (iii) Pacific Energy Development Corp., a Nevada corporation; (iv) Pacific Energy Technology Services, LLC, a Nevada limited liability company (owned 70% by us); (v) Pacific Energy & Rare Earth Limited, a Hong Kong company; (vi) Blackhawk Energy Limited, a British Virgin Islands company; (vii) White Hawk Petroleum, LLC, a Nevada limited liability company, (viii) Red Hawk Petroleum, LLC, a Nevada limited liability company, which was formed on January 16, 2014, and (ix) Pacific Energy Development MSL, LLC (owned 50% by us) and is included in our consolidated results. All significant intercompany accounts and transactions have been eliminated.

	Equity Method Accounting for Joint Ventures. A portion of the Company’s oil and gas interests are held all or in part by the following joint ventures which are collectively owned with affiliates of MIE Holdings:

	- Condor Energy Technology LLC, a Nevada limited liability company owned 20% by the Company and 80% by an affiliate of MIE Holdings. The Company accounts for its 20% ownership in Condor using the equity method; and

	- White Hawk Petroleum, LLC, a Nevada limited liability company owned 50% by the Company and 50% by an affiliate of MIE Holdings through December 30, 2013. Through December 30, 2013, the Company accounted for its 50% interest in White Hawk using the equity method. As a result of a series of transactions pursuant to which MIEJ divested its 50% interest in White Hawk as of December 31, 2013, White Hawk became a consolidated subsidiary effective on December 31, 2013.

	Non-Controlling Interests. The Company is required to report its non-controlling interests as a separate component of shareholders' equity. The Company is also required to present the consolidated net income and the portion of the consolidated net income allocable to the non-controlling interests and to the shareholders of the Company separately in its consolidated statements of operations. Losses applicable to the non-controlling interests are allocated to the non-controlling interests even when those losses are in excess of the non-controlling interests' investment basis.

	Use of Estimates in Financial Statement Preparation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, as well as certain financial statement disclosures. While management believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from these estimates. Significant estimates generally include those with respect to the amount of recoverable oil and gas reserves, the fair value of financial instruments, oil and gas depletion, asset retirement obligations, and stock-based compensation.

	Cash and Cash Equivalents. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. As of June 30, 2014 and December 31, 2013, cash equivalents consisted of money market funds and cash on deposit.

	Concentrations of Credit Risk. Financial instruments which potentially subject the Company to concentrations of credit risk include cash deposits placed with financial institutions. The Company maintains its cash in bank accounts which, at times, may exceed federally insured limits as guaranteed by the Federal Deposit Insurance Corporation (FDIC). At June 30, 2014, approximately $4,265,092 of the Company’s cash balances were uninsured. The Company has not experienced any losses on such accounts.

	Sales to one customer comprised 41% of the Company’s total oil and gas revenues for the six months ended June 30, 2014. Sales to two customers comprised 82% and 14% of the Company’s total oil and gas revenues for the six months ended June 30, 2013. The Company believes that, in the event that its primary customers are unable or unwilling to continue to purchase the Company’s production, there are a substantial number of alternative buyers for its production at comparable prices.

	Accounts Receivable. Accounts receivable typically consist of oil and gas receivables. The Company has classified these as short-term assets in the balance sheet because the Company expects repayment or recovery within the next 12 months. The Company evaluates these accounts receivable for collectability considering the results of operations of these related entities and when necessary records allowances for expected unrecoverable amounts. To date, no allowances have been recorded. Included in accounts receivable - oil and gas is $410,430 of working capital receivables related to the acquisition of the Wattenberg Asset.

	Revenue Recognition. All revenue is recognized when persuasive evidence of an arrangement exists, the service or sale is complete, the price is fixed or determinable and collectability is reasonably assured. Revenue is derived from the sale of crude oil and natural gas. Revenue from crude oil and natural gas sales is recognized when the product is delivered to the purchaser and collectability is reasonably assured. The Company follows the “sales method” of accounting for oil and natural gas revenue, so it recognizes revenue on all natural gas or crude oil sold to purchasers, regardless of whether the sales are proportionate to its ownership in the property. A receivable or liability is recognized only to the extent that the Company has an imbalance on a specific property greater than its share of the expected remaining proved reserves. If collection is uncertain, revenue is recognized when cash is collected.

	Equipment. Equipment is stated at cost less accumulated depreciation and amortization. Maintenance and repairs are charged to expense as incurred. Renewals and betterments which extend the life or improve existing equipment are capitalized. Upon disposition or retirement of equipment, the cost and related accumulated depreciation are removed and any resulting gain or loss is reflected in operations. Depreciation is provided using the straight-line method over the estimated useful lives of the assets, which are 3 to 10 years.

	Oil and Gas Properties, Successful Efforts Method. The successful efforts method of accounting is used for oil and gas exploration and production activities. Under this method, all costs for development wells, support equipment and facilities, and proved mineral interests in oil and gas properties are capitalized. Geological and geophysical costs are expensed when incurred. Costs of exploratory wells are capitalized as exploration and evaluation assets pending determination of whether the wells find proved oil and gas reserves. Proved oil and gas reserves are the estimated quantities of crude oil and natural gas which geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions, (i.e., prices and costs as of the date the estimate is made). Prices include consideration of changes in existing prices provided only by contractual arrangements, but not on escalations based upon future conditions.

	Exploratory wells in areas not requiring major capital expenditures are evaluated for economic viability within one year of completion of drilling. The related well costs are expensed as dry holes if it is determined that such economic viability is not attained. Otherwise, the related well costs are reclassified to oil and gas properties and subject to impairment review. For exploratory wells that are found to have economically viable reserves in areas where major capital expenditure will be required before production can commence, the related well costs remain capitalized only if additional drilling is under way or firmly planned. Otherwise the related well costs are expensed as dry holes.

	Exploration and evaluation expenditures incurred subsequent to the acquisition of an exploration asset in a business combination are accounted for in accordance with the policy outlined above.

	Depreciation, depletion and amortization of capitalized oil and gas properties is calculated on a field by field basis using the unit of production method. Lease acquisition costs are amortized over the total estimated proved developed and undeveloped reserves and all other capitalized costs are amortized over proved developed reserves.

	Impairment of Long-Lived Assets. The Company reviews the carrying value of its long-lived assets annually or whenever events or changes in circumstances indicate that the historical cost-carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of the asset by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposition. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset’s carrying value and estimated fair value.

	Asset Retirement Obligations. If a reasonable estimate of the fair value of an obligation to perform site reclamation, dismantle facilities or plug and abandon wells can be made, the Company will record a liability (an asset retirement obligation or “ARO”) on its consolidated balance sheet and capitalize the present value of the asset retirement cost in oil and gas properties in the period in which the retirement obligation is incurred. In general, the amount of an ARO and the costs capitalized will be equal to the estimated future cost to satisfy the abandonment obligation assuming the normal operation of the asset, using current prices that are escalated by an assumed inflation factor up to the estimated settlement date, which is then discounted back to the date that the abandonment obligation was incurred using an assumed cost of funds for the Company. After recording these amounts, the ARO will be accreted to its future estimated value using the same assumed cost of funds and the capitalized costs are depreciated on a unit-of-production basis over the estimated proved developed reserves. Both the accretion and the depreciation will be included in depreciation, depletion and amortization expense on our consolidated statements of operations.

	Deferred Financing Costs. We have incurred debt origination costs in connection with the issuance of long-term debt. These costs are capitalized as deferred financing costs and amortized using the effective interest method over the term of the related debt.

	Income Taxes. The Company utilizes the asset and liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for operating loss and tax credit carry-forwards and 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 tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that the value of such assets will be realized.

	Stock-Based Compensation. We utilize the Black-Scholes option pricing model to estimate the fair value of employee stock option awards at the date of grant, which requires the input of highly subjective assumptions, including expected volatility and expected life. Changes in these inputs and assumptions can materially affect the measure of estimated fair value of our share-based compensation. These assumptions are subjective and generally require significant analysis and judgment to develop. When estimating fair value, some of the assumptions will be based on, or determined from, external data and other assumptions may be derived from our historical experience with stock-based payment arrangements. The appropriate weight to place on historical experience is a matter of judgment, based on relevant facts and circumstances.

	The Company estimates volatility by considering the historical stock volatility. The Company has opted to use the simplified method for estimating expected term, which is generally equal to the midpoint between the vesting period and the contractual term.

	Earnings or Loss per Common Share. Basic earnings per common share equal net earnings or loss divided by weighted average common shares outstanding during the period. Diluted earnings per share include the impact on dilution from all contingently issuable shares, including options, warrants and convertible securities. The common stock equivalents from contingent shares are determined by the treasury stock method. The Company incurred net losses for the three and six months ended June 30, 2014 and 2013, and therefore, basic and diluted earnings per share for those periods are the same as all potential common equivalent shares would be anti-dilutive. The Company excluded 1,459,724 and 1,335,800 potentially issuable shares of common stock related to options and 2,986,704 and 696,213 potentially issuable shares of common stock related to warrants due to their anti-dilutive effect for the three months ended June 30, 2014 and 2013, respectively. The Company excluded 1,459,724 and 1,335,800 potentially issuable shares of common stock related to options and 2,986,704 and 696,213 potentially issuable shares of common stock related to warrants due to their anti-dilutive effect for the six months ended June 30, 2014 and 2013, respectively.

	Fair Value of Financial Instruments. The Company follows Financial Accounting Standards Board (“FASB”) ASC 820, Fair Value Measurement (“ASC 820”), which clarifies fair value as an exit price, establishes a hierarchal disclosure framework for measuring fair value, and requires extended disclosures about fair value measurements. The provisions of ASC 820 apply to all financial assets and liabilities measured at fair value.

	As defined in ASC 820, fair value, clarified as an exit price, represents the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As a result, fair value is a market-based approach that should be determined based on assumptions that market participants would use in pricing an asset or a liability.

	As a basis for considering these assumptions, ASC 820 defines a three-tier value hierarchy that prioritizes the inputs used in the valuation methodologies in measuring fair value.

		Level 1 – Quoted prices in active markets for identical assets or liabilities.
		Level 2 – Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
		Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

	The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

	Recently Issued Accounting Pronouncements. There were various accounting standards and interpretations issued during the six months of 2014, none of which are expected to have a material impact on the Company’s financial position, operations or cash flows.

	Subsequent Events. The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure consideration.

4_OIL_AND_GAS_PROPERTIES

4. OIL AND GAS PROPERTIES	6 Months Ended
4. OIL AND GAS PROPERTIES	Jun. 30, 2014
Extractive Industries [Abstract]	'
OIL AND GAS PROPERTIES	'
	NOTE 4 – OIL AND GAS PROPERTIES

	The following table summarizes the Company’s oil and gas activities by classification for the six months ended June 30, 2014:

			December 31,				Additions				Disposals			Transfers		June 30,
			2013				Additions				Disposals			Transfers		2014
	Oil and gas properties, subject to amortization, net		$	6,314,044			$	27,525,520			$	(15,751,426	)	$	-	$	18,088,138
	Oil and gas properties, not subject to amortization, net			7,166,557				2,827,561				(2,081,385	)		-		7,912,733
	Asset retirement costs			28,081				109,242				-65,617			-		71,706
	Accumulated depreciation depletion and impairment			(4,706,043	)			(507,085	)			801,558			-		(4,411,570	)
	Total oil and gas assets		$	8,802,639			$	29,955,238			$	(17,096,870	)	$	-	$	21,661,007

	The depletion recorded for production on proved properties for the three and six months ended June 30, 2014 amounted to $363,540 and $475,410, respectively. The Company recorded impairment expense for expired leasehold costs for the three and six months ended June 30, 2014, in the amount of $28,312 and 31,677, respectively.

	During the three months ended June 30, 2014, the Company participated in the drilling of four wells in the Wattenberg Asset in the amount of $1.6 million. The first well, which was originally drilled in 2011, has already returned its drilling and completion costs. The other remaining three wells were drilled in February 2014 and completed in March 2014, and began production in April 2014.

	Acquisition of Properties from Continental Resources, Inc.

	On January 21, 2014, Red Hawk Petroleum, LLC (“Red Hawk”) entered into a Purchase and Sale Agreement (“Purchase Agreement”) with Continental, pursuant to which the Company agreed to acquire Continental’s interests (the “Continental Acquisition”) in approximately 28,727 net acres of oil and gas properties and interests in 38 wells located in the Niobrara formation of the DJ Basin, Colorado, including approximately 2,200 net acres in the Wattenberg Area, for $30 million in cash (subject to customary post-closing adjustments).

	The Company paid $1.5 million of the purchase price as a deposit upon entering into the Purchase Agreement (the “Deposit”). The final purchase price after adjustments was $28,521,822, resulting in $27,031,822 due to Continental after applying the Deposit (the “Final Purchase Price”) (representing an adjusted total of 27,990 net acres at closing).

	On March 7, 2014, the Company completed the Continental Acquisition and used a portion of funds from the initial closing of a $50 million financing facility with RJ Credit LLC and other lenders of which $34.5 million was borrowed initially to pay the Final Purchase Price to acquire Continental's properties. As described below, the Note Purchase Agreement further required that the Company convey 50% of the lease acreage and working interests acquired from Continental to Golden Globe as additional consideration for the financing.

	The following table summarizes the allocation of the purchase price to the net assets acquired:

	Fair value at March 7, 2014
	Accounts receivable – oil and gas		$	445,749
	Inventory			396,482
	Oil and gas properties, subject to amortization			26,039,697
	Oil and gas properties, not subject to amortization			2,694,029
	Total assets			29,575,957

	Current liabilities			(948,848	)
	Asset retirement obligations			(105,287	)
	Total liabilities			(1,054,135	)
	Final Purchase price		$	28,521,822

	Disposition of Oil and Gas Properties

	In connection with the Golden Globe financing, the Company sold 50% of its interests in the Wattenberg Asset and 50% of its pending interest in Asia Sixth. The Company allocated the proceeds from the financing between the debt obligation and the sale of the properties on a relative fair value basis. See Note 9.

	In addition, on February 19, 2014, White Hawk closed a Purchase and Sales Agreement (the “Sale Agreement”) with Millennial, pursuant to which White Hawk sold its remaining interests in the Eagle Ford Shale formation to Millennial for net cash proceeds of $2,718,158 received on February 27, 2014, and recognized a gain of $158,990 for the six months ended June 30, 2014, including the receipt of $251,381 in May 2014.

	The following table presents the loss on sale of oil and gas properties for the six months ended June 30, 2014:

			Allocated Proceeds				Historical Cost				Gain (Loss) on Sale

	Wattenberg Asset		$	8,747,058			$	14,314,220			$	(5,567,162	)
	White Hawk Assets			2,718,158				2,559,168				158,990

	Total		$	11,465,216			$	16,873,388			$	(5,408,172	)

	The following table presents the Company’s supplemental consolidated pro forma total revenues, lease operating costs, net income (loss) and net loss per common share as if the acquisition and simultaneous dispositions had occurred on January 1, 2014 and January 1, 2013.

			For the Six Months Ended
			30-Jun-14
			PEDEVCO				Net Acquisitions/Dispositions		(1)		Combined
	Revenue		$	3,102,205			$	1,102,474			$	4,204,679
	Lease operating costs		$	(1,262,519	)		$	(375,624	)		$	(1,638,143	)
	Net income (loss)		$	(17,365,489	)		$	432,524			$	(16,932,965	)
	Net loss per common share		$	(0.66	)		$	0.02			$	(0.64	)

		For the Six Months Ended
		30-Jun-13
		PEDEVCO				Net Acquisitions/Dispositions		(1)		Combined
Revenue		$	425,213			$	3,456,438			$	3,881,651
Lease operating costs		$	(389,044	)		$	(307,645	)		$	(696,689	)
Net income (loss)		$	(3,914,254	)		$	3,148,793			$	(765,461	)
Net loss per common share		$	(0.30	)		$	0.24			$	(0.06	)

-1	Amounts are based on Company estimates.

Related to these properties during the six months ended June 30, 2014, we recorded $2,740,000 of revenues that resulted in operating loss of $167,000.

5_SALE_OF_50_OF_PACIFIC_ENERGY

5. SALE OF 50% OF PACIFIC ENERGY DEVELOPMENT MSL, LLC

6 Months Ended

Jun. 30, 2014

Notes to Financial Statements

5. SALE OF 50% OF PACIFIC ENERGY DEVELOPMENT MSL, LLC

NOTE 5 – SALE OF 50% OF PACIFIC ENERGY DEVELOPMENT MSL, LLC.

On March 15, 2013, we acquired an average 97% working interest in the Mississippian Lime covering approximately 7,006 gross (6,763 net) acres located in Comanche, Harper, Barber and Kiowa Counties, Kansas, which we refer to as the Mississippian Asset, and approximately 10.5 square miles of related 3-D seismic data. Also effective March 15, 2013, we acquired certain additional working interests in the same acreage located in Comanche, Harper, and Kiowa Counties, Kansas, bringing our average working interest to 98% in the Mississippian Asset covering an aggregate of approximately 7,006 gross (6,885 net) acres.

As of December 31, 2013, the Company owned an average 98% working interest in leases covering the Mississippian Lime in Comanche, Harper, Barber and Kiowa Counties, Kansas. These assets are held by Pacific Energy Development MSL, LLC, a Nevada limited liability company (100% owned by us prior to March 7, 2014).

On March 7, 2014, in connection with our acquisition of the Wattenberg Asset, we entered into a $50 million 3-year term debt facility with various investors including RJ Credit LLC. As part of the transaction, Golden Globe (an affiliate of RJ Credit LLC) acquired 50% of our ownership interest in Pacific Energy Development MSL, LLC, which holds our Mississippian Asset, thereby making Golden Globe a 50% working interest partner with us in the development of our Mississippian Asset. The Company allocated the proceeds from the financing between the debt obligation, the sale of the properties and the sale of 50% of MSL on a relative fair value basis. To the extent the sales price attributable to the assets was less than the net book value, the Company recorded a loss on sale of assets. See Note 9.

The following table presents the loss on this sale:

Allocated Proceeds

Historical Cost

Loss on Sale

Mississippian Asset

1,615,488

2,643,682

(1,028,194

)

6_DEPOSIT_FOR_BUSINESS_ACQUISI

6. DEPOSIT FOR BUSINESS ACQUISITION	6 Months Ended
6. DEPOSIT FOR BUSINESS ACQUISITION	Jun. 30, 2014
Business Combinations [Abstract]	'
DEPOSIT FOR BUSINESS ACQUISITION	'
	NOTE 6 – DEPOSIT FOR BUSINESS ACQUISITION

	On September 11, 2013, the Company entered into a Shares Subscription Agreement (“SSA”) to acquire an approximate 51% ownership in Asia Sixth Energy Resources Limited (“Asia Sixth”), which holds an approximate 60% ownership interest in Aral. Aral holds a 100% operated working interest in a production license issued by the Republic of Kazakhstan that expires in 2034 in western Kazakhstan (the “Contract Area”).

	Under the agreement, the Company and its partners planned to take control of Aral through the acquisition of a 51% controlling interest in Asia Sixth, by way of subscription of shares of Asia Sixth, which in turn currently holds a 60% controlling interest in Aral. Asia Sixth’s interest in Aral was scheduled to increase to 66.5% following the completion of certain transactions to occur between Asia Sixth and Asia Sixth’s partner in Aral that currently holds the remaining 40% interest in Aral (the “Aral Transactions”).

	The Company paid an initial deposit of $8 million in September 2013 and a subsequent deposit of $2 million on October 1, 2013 to Asia Sixth, and could have been required to increase its deposit by up to $10 million, to a total of $20 million, contingent upon receipt of payment in full to the Company from an investor under a promissory note maturing in December 2013 in connection with a subscription of shares and warrants in the Company. The investor failed to pay the $10 million balance due under the Note by December 1, 2013. On December 1, 2013, the Company granted a verbal extension to the investor pending further discussions regarding the investment. Following discussions with the investor, the investor elected to forego making a further investment. Accordingly, on March 7, 2014, the Company notified the investor that, effective immediately, certain shares and warrants subject to the subscription were rescinded as permitted pursuant to the terms of the promissory note, and the promissory note was cancelled and forgiven, with no further action required by the investor (the “Cancellation”). The stock subscription receivable related to 3,333,333 shares of common stock and warrants to purchase 999,999 shares of common stock in the amount of $10 million was extinguished as of March 7, 2014. No gain or loss was recognized.

	The rescission of the promissory note had no net effect on us or our obligations under the SSA because (a) if such promissory note was paid in full we would have been required to pay such funds directly to Asia Sixth; and (b) the result of such funds not being paid only results in a decrease in the required deposit due to Asia Sixth.

	We have also entered into an agreement with our strategic partner, Golden Globe to convey 50% of our interests in Asia Sixth in connection with the Golden Globe financing. See Note 9. In the event of any refund of the initial deposit by Asia Sixth, the Company must provide 50% of such refund to Golden Globe or its designee.

	In connection with the March 2014financing, the Company allocated $3,055,374 of the proceeds from the debt financing to the 50% interest in Asia Sixth and recorded a loss on sale of 50% of its interests in Asia Sixth of $1,944,626. See Note 9.

	On August 1, 2014, the Company entered into a series of agreements pursuant to which it restructured its planned acquisition of interests in Asia Sixth, whereby it terminated the previous SSA and entered into a new purchase agreement (the “Caspian SPA”) to acquire a 5.0% interest in Caspian Energy Inc. (“Caspian Energy”), an Ontario, Canada company listed on the NEX board of the TSX Venture Exchange, and pursuant to which Caspian Energy will hold 100% of the ownership in Aral at closing. The closing of the transactions contemplated under the Caspian SPA are anticipated to occur no later than July 2015, subject to the satisfaction of certain customary closing conditions including the approval of the Agency of the Republic of Kazakhstan for the Protection of Competition and the Ministry of Oil and Gas of the Republic of Kazakhstan (“MOG”), the MOG’s waiver of its pre-emptive purchase right with respect to the transaction, and receipt of Caspian Energy shareholder approval of the transaction. Pursuant to the SSA and the Company’s agreement with an affiliate of RJ Credit, LLC (“RJ Credit”), the Company received its $5.0 million portion of the deposit back from Asia Sixth in the form of a $5.0 million promissory note from Asia Sixth, secured by a first priority security interest in all of the assets of Asia Sixth (the “A6 Promissory Note”), and RJ Credit received a similar $5.0 million note from Asia Sixth. Pursuant to the Caspian SPA, upon closing of the transactions contemplated under the Caspian SPA, the Company will exchange the A6 Promissory Note for a 5.0% interest in Caspian Energy. See Note 16.

7_NOTES_RECEIVABLE

7. NOTES RECEIVABLE	6 Months Ended
7. NOTES RECEIVABLE	Jun. 30, 2014
Receivables [Abstract]	'
NOTES RECEIVABLE	'
	NOTE 7 – NOTES RECEIVABLE

	The Company loaned Condor funds for operations pursuant to a promissory note entered into on February 14, 2013, which permits multiple loans to be made up to $8,000,000 as separate “advances”. The note receivable bears interest at a rate per annum equal to the one (1) month LIBOR rate for U.S. dollar deposits plus four (4.0) percentage points. Principal and interest are due thirty-six (36) months from the date each advance is made under the note, with the first repayment being due on September 24, 2015. As of June 30, 2014, the balance of the note receivable prior to applying the excess loss from Condor is $7,033,160 plus accrued interest of $23,741 due from Condor. The Company advanced $2.1 million to Condor for operations during the six months ended June 30, 2014. The carrying balance of the note receivable was reduced by $417,260 as the Company’s share of losses from Condor for the six months ended June 30, 2014 was $144,623 plus the previously unrecognized loss for the year ended December 31, 2013 of $272,637 was recorded. In accordance with ASC 323-10-35, the excess loss from Condor was used to reduce the notes receivable balance. If the losses were to exceed the notes receivable balance, no additional losses would be recorded for the equity investment. The net receivable balance after applying the excess loss is $1,446,064. After applying the losses to the equity investment and the note receivable, the Company has unrecorded excess losses of zero. The Company recognized $72,105 and $131,467 of interest income in the three and six months ended June 30, 2014, respectively.

	The Company loaned White Hawk funds for operating expenses and drilling and completion costs for several Eagle Ford wells, pursuant to a promissory note entered into on June 4, 2012, which note permits multiple loans to be made thereunder as separate “advances”, with no stated maximum limit of loan principal. The note receivable bears interest at a rate per annum equal to the one (1) month LIBOR rate for U.S. dollar deposits plus four (4.0) percentage points. Principal and interest of each loan is due thirty-six (36) months from the date each advance is made under the note, with the first repayment being due on June 4, 2015. As a result of the previously discussed sale of this property in February 2014, the balance of the note receivable was paid in full.

8_EQUITY_METHOD_INVESTMENTS

8. EQUITY METHOD INVESTMENTS	6 Months Ended
8. EQUITY METHOD INVESTMENTS	Jun. 30, 2014
Equity Method Investments and Joint Ventures [Abstract]	'
EQUITY METHOD INVESTMENTS	'
	NOTE 8 – EQUITY METHOD INVESTMENTS

	Condor Energy Technology, LLC

	During the year ended December 31, 2013, the Company's equity share of the net losses in Condor totaled $5,626,567, which exceeded the Company's combined investment of $160,353 and note receivable of $5,193,577. As a result, the Company had an unrecognized loss of $272,637, which was carried forward.

	During the six months ended June 30, 2014, the Company advanced $2.1 million to Condor. The Company recorded the previously unrecognized loss of $272,637 and its equity share of net loss from Condor of $144,623 for a total recognized loss of $417,260 during the six months ended June 30, 2014.

	The Company's investment in Condor has a balance of $0 and will not increase until the Company's share of income from Condor exceeds the $5,610,837 valuation allowance currently applied against the balance of the Company's note receivable to Condor.

	As of June 30, 2014 and December 31, 2013, the Company has a note receivable of $7,033,160 and $5,005,108, respectively, plus accrued interest of $23,741 and $188,469, respectively, due from Condor.

	As of June 30, 2014 and December 31, 2013, the Company has unrecognized losses of $0 and $272,637, respectively, in excess of its basis in Condor (the Company recognized all losses for the three and six months ended June 30, 2014).

	The Company is subject to recording its 20% proportionate share of Condor’s income or losses. The Company is obligated to maintain, under the membership agreement of Condor, its proportionate share of capital contributions. Below is summarized financial information for Condor.

	Summarized balance sheets:

		June 30,			December 31,
		2014			2013
	Current assets	$	3,707,198		$	4,224,369
	Oil and gas properties, net		3,544,491			3,533,915
	Other long –term assets		108,000			108,000
	Total assets	$	7,359,689		$	7,866,284

	Current liabilities	$	1,366,644		$	3,708,123
	Notes payable to affiliates		34,018,349			31,477,643
	Other long term liabilities		28,880			11,587
	Total liabilities		35,413,873			35,197,353

	Members’ equity (deficit)		(28,054,184	)		(27,331,069	)
	Total liabilities and members’ equity (deficit)	$	7,359,689		$	7,866,284

	Summarized statements of operations:

		For the Six Months Ended June 30,			For the Six Months Ended June 30,
		2014			2013
	Revenue	$	2,047,084		$	1,967,865
	Operating expenses		(2,092,116	)		(3,407,083	)
	Operating loss		(45,033	)		(1,439,218	)
	Interest expense		(678,082	)		(378,184	)
	Net loss	$	(723,114	)	$	(1,817,402	)

	The Company has an agreement to provide management services to Condor for which Condor owes $111,510 and $75,131 at June 30, 2014 and December 31, 2013, respectively. Total fees billed to Condor were $166,546 and $164,656 in the three months ended June 30, 2014 and 2013, respectively. Total fees billed to Condor were $334,530 and $313,663 in the six months ended June 30, 2014 and 2013, respectively.

	Condor owes the Company $40,136 and $47,076 at June 30, 2014 and December 31, 2013, respectively, from production sales related to the Company’s working interests in the Niobrara Asset.

	The Company owes Condor $40,290 and $59,448 from production related expenses and $1,853,424 and $2,278,266 related to capital expenditures previously incurred by Condor for the drilling of wells as of June 30, 2014 and December 31, 2013, respectively.

	White Hawk Petroleum, LLC

	The Company accounted for its 50% ownership in White Hawk using the equity method through December 30, 2013. As a result of a series of transactions in which White Hawk became wholly-owned on December 31, 2013, White Hawk became a consolidated subsidiary.

9_NOTES_PAYABLE

9. NOTES PAYABLE	6 Months Ended
	Jun. 30, 2014
Debt Disclosure [Abstract]	'
NOTES PAYABLE	'
	NOTE 9 – NOTES PAYABLE

	Note Purchase Agreement and Sale of Secured Promissory Notes

	On March 7, 2014, the Company entered into a $50 million financing facility between the Company, BRe BCLIC Primary, BRe BCLIC Sub, BRe WNIC 2013 LTC Primary, BRe WNIC 2013 LTC Sub, and RJ Credit LLC (“RJC”), as investors (collectively, the “Investors”), and BAM Administrative Services LLC, as agent for the Investors (the “Agent”). Pursuant to the Note Purchase, the Company initially issued the Investors Secured Promissory Notes in the aggregate amount of $34.5 million (the “Initial Notes”) and provided for an additional $15.5 million available under the financing agreement to fund the Company’s future drilling costs.

	The Initial Notes bear interest at the rate of 15% per annum, payable monthly in arrears, on the first business day of each month beginning April 1, 2014 (in connection with the Initial Notes), provided that upon the occurrence of an event of default, the Initial Notes bear interest at the lesser of 30% per annum and the maximum legal rate of interest allowable by law. We can prepay all or any portion of the principal amount of Initial Notes, without premium or penalty. The Initial Notes include customary events of default.

	The Initial Notes are due and payable on March 6, 2017 (the “Maturity Date”), and may be repaid in full without premium or penalty at any time. Additionally, we are required on the third business day of each month, commencing on April 1, 2014, to prepay the Initial Notes in an amount equal to the lesser of (a) the outstanding principal amount of the Initial Notes or (b) twenty-five percent (25%) of the aggregate of all net revenues actually received by us and our subsidiaries (other than net revenues received by Asia Sixth, unless and to the extent received by us in the United States) or for the immediately preceding calendar month (or such pro rata portion of the first month the payment is required). The Initial Notes also provide that RJC is to be repaid (i) accrued interest, only after all of the other Investors are repaid any accrued interest due and (ii) principal, only after all of the other Investors are repaid the full amount of principal due under their Initial Notes, and (iii) that any funding in connection with Subsequent Notes will be made solely by RJC.

	The amount outstanding under the Initial Notes is secured by a first priority security interest in all of our subsidiaries, assets, property, real property, intellectual property, securities and proceeds therefrom, granted in favor of the agent for the benefit of the Investors. Additionally, the Company granted a mortgage and security interest in all of our and our subsidiaries real property as located in the state of Colorado (including those assets acquired pursuant to the Continental Acquisition) and the state of Texas. Additionally, our obligations under the Initial Notes, Note Purchase Agreement and related agreements were guaranteed by our wholly-owned and majority owned direct and indirect subsidiaries.

	As additional consideration for RJC providing the loan evidenced by its Initial Notes and agreeing to provide the funding from the Subsequent Notes, on March 7, 2014, the Company entered into the following transactions in favor of RJC and its affiliate Golden Globe.

		●		Red Hawk Purchase - A Purchase and Sale Agreement between Pacific Energy Development Corp.’s (the Company’s wholly-owned subsidiary, “PEDCO”), the Company’s wholly-owned subsidiary, Red Hawk, and Golden Globe (the “Red Hawk Purchase”); which required the Company to convey 50% of the mineral interests and leases acquired in the Continental Acquisition to Golden Globe. The agreement also provided that for three years from March 7, 2014, Golden Globe does not have the right to propose or conduct any operations on the property acquired pursuant to the Red Hawk Purchase, unless (a) approved by Red Hawk, or (b) unless Red Hawk fails to execute the portion of the then current capital expenditure plan related to such applicable assets, provided that Golden Globe may not (i) propose to drill more wells on such lands during the calendar year covered by such capital expenditure plan than are prescribed in the portion of such applicable capital expenditure plan and (ii) propose or conduct any operations on such lands during the following calendar year in excess of the operations budgeted for in the portion of such applicable capital expenditure plan.
		●		Asia Sixth Purchase - The Asia Sixth Purchase Agreement between PEDCO and Golden Globe (the “Asia Sixth Purchase”); the principal terms of which required the conveyance of 50% of the Company’s 51% interest in Asia Sixth once acquired by PEDCO and if any part of the $10 million deposit previously paid by the Company in connection with the SSA is returned to the Company, 50% of any such returned funds will be paid to Golden Globe. On August 1, 2014, the Company terminated the SSA, with each of the Company and RJ Credit, as Golden Globe’s designee, receiving a $5.0 million promissory note from Asia Sixth, thereby satisfying the Company’s obligation to return 50% of the returned deposit to Golden Globe. See Note 16.
		●		Membership Purchase and Plan of Merger - A Membership Interest Purchase Agreement between PEDCO and Golden Globe (the “Membership Purchase”), pursuant to which (i) PEDCO transferred 50% ownership of PEDCO MSL Merger Sub, LLC, a Nevada limited liability company (“MSL Merger Sub”), which was wholly-owned by PEDCO to Golden Globe, (ii) PEDCO’s wholly-owned subsidiary, Pacific Energy Development MSL, LLC (“PEDCO MSL”) merged with and into MSL Merger Sub, with MSL Merger Sub being the surviving entity in the merger, and (iii) MSL Merger Sub changed its name to Pacific Energy Development MSL, LLC. The effective result of the Membership Purchase and Plan of Merger was that Golden Globe now owns 50% of PEDCO MSL, which owns all of the interests in the Mississippian Asset.

	As a result of the transactions effected by the Red Hawk Purchase, Asia Sixth Purchase, Membership Purchase and Plan of Merger, Golden Globe acquired ownership of 50% of all of the Company’s oil and gas assets and properties acquired in connection with the Continental Acquisition, rights to 50% of the Company's right to acquire Asia Sixth which owns the oil and gas assets and properties in Kazakhstan pursuant to the Shares Subscription Agreement, and effective ownership of 50% of the Mississippian Asset. In return, the Company received the financing agreement to acquire the Wattenberg Asset from Continental and provide for future drilling funds and obtain a strategic partner to fund its own portion of the drilling costs for the development of the Company’s properties.

	In connection with the March 2014 financing, the Company allocated a portion of the proceeds from the financing to the promissory notes and a portion to the sales of (i) 50% of the Wattenberg Asset acquired from Continental, (ii) 50% of the Company's investment in Asia Sixth and (iii) 50% of the Mississippian Asset on a relative fair value basis. To the extent the proceeds of the financing exceed the portion allocated to the debt the Company recorded a debt discount. To the extent the sales price attributable to the assets was less than the net book value, the Company recorded a loss on sale of assets.

	The components of this transaction are as follows:

			7-Mar-14
	Gross proceeds from issuance of Initial Notes		$	34,500,000
	Deferred financing costs – paid underwriting fees			(5,381,755	)
	Original debt issue discount			(1,725,000	)
	Net Proceeds		$	27,393,245

	Allocation of proceeds to sale of assets (recorded as additional debt issue discount)
	Allocation of proceeds to debt and sale of properties:
	Allocated to Wattenberg Asset acquired from Continental sold		$	8,747,058
	Allocated to Mississippian Assets sold			1,615,488
	Allocated to Asia Sixth interest sold			3,055,374
	Net proceeds allocated to sales of properties			13,417,920
	Net proceeds allocated to Initial Notes			21,082,080
	Total proceeds		$	34,500,000

	Accordingly, total debt discount including the original issue discount and the amount allocated to the sale of assets was $15,142,920. In addition, additional deferred financing costs for the issuance of 1,000,000 warrants to a placement agent with a fair value of $1,519,601 was recorded.

	All deferred financing costs and debt discount amounts are amortized using the effective interest rate method. The amount of the debt discount and deferred financing costs (net of amortization) reflected on the balance sheet as of June 30, 2014 was $14,004,085 and $6,431,146, respectively. Amortization of debt discount, amortization of deferred financing costs and interest expense, related to the Initial Notes, was $902,792, $411,466 and $1,302,629 for the three months ended June 30, 2014, respectively. Amortization of debt discount, amortization of deferred financing costs and interest expense, related to the Initial Notes, was $1,138,820, $519,036 and $1,662,004 for the six months ended June 30, 2014, respectively.

	During the six months ended June 30, 2014, there were $278,778 of payments made to reduce the outstanding Initial Notes.

	Bridge Note Financing

	On March 22, 2013, the Company closed a private placement of secured promissory notes (the “Bridge Notes”) for an aggregate principal amount of $4.0 million, together with warrants exercisable for a total of up to 76,198 shares of its common stock at an exercise price of $5.25 per share (the “Bridge Warrants,” and, together with the Bridge Notes, the “Bridge Securities”). At the closing of the bridge financing (the “Bridge Financing”), the Company entered into separate Note and Warrant Purchase Agreements with a total of 16 individual and institutional investors (collectively, the “Bridge Investors”), including ten (10) current Company shareholders, in which the Company sold and issued to the Bridge Investors a total of $4.0 million of Bridge Notes and Bridge Warrants to purchase 76,198 shares of the Company’s common stock (the "Note and Warrant Purchase Agreements") for gross proceeds of $4.0 million. The fair value of the warrants was $256,857 which was recorded as a debt discount.

	Frank C. Ingriselli, the Company’s President, Chief Executive Officer, and member of the Company’s Board of Directors, participated in the Bridge Financing, purchasing Bridge Notes of $1 million and receiving Bridge Warrants exercisable for 19,048 shares of the Company’s common stock, and Clark R. Moore, the Company’s Executive Vice President and General Counsel, purchased Bridge Notes of $50,000 and received Bridge Warrants exercisable for 953 shares of the Company’s common stock, respectively.

	Somerley Limited (“Somerley”) acted as the Company’s placement agent with respect to a portion of the Bridge Financing sold to non-U.S. investors. As compensation, Somerley received total cash fees of $40,000 and Bridge Warrants to purchase a total of up to 9,524 shares of the Company’s common stock at an exercise price of $5.25 per share valued at $32,095 using a Monte Carlo simulation model. The Company capitalized these amounts as deferred financing costs which will be amortized over the expected life of the Bridge Financing.

	Terms of the Bridge Notes

	The proceeds of the Bridge Financing were used by the Company for (i) the acquisition of the Mississippian Asset; (ii) up to $300,000 to acquire an exclusive option to acquire leases and 3D seismic data covering up to an additional 7,880 gross (7,043 net) Mississippian acres located in Harper, Kiowa, Barber and Comanche Counties, Kansas, and Woods County, Oklahoma; (iii) the payment of placement agent fees; and (iv) general working capital expenses.

	The Bridge Notes originally had an annual interest rate of 10% and were due and payable on the earlier to occur of (i) the date that is thirty (30) days following the closing of the Company’s then next underwritten public offering of the Company’s common stock, or (ii) December 31, 2013 (the “Original Maturity Date”). The Bridge Notes are secured by a lien and security interest in all of the Company’s assets, subject to a senior lien on the Company’s Niobrara assets held by MIEJ, an affiliate of MIE Holdings, which secures MIEJ’s loans to date under the Note with MIEJ described below.

	Upon maturity, the Company was obligated to pay to the holders an additional payment-in-kind (“PIK”) cash amount equal to 10% of the original principal amount of the Bridge Notes, or $400,000. If an event of default on the Bridge Notes occurred, the principal amount of the Bridge Notes, plus accrued and unpaid interest and the PIK, if any, would have been declared immediately due and payable, subject to certain conditions set forth in the Bridge Notes. These amounts were to be automatically due and payable upon written notice of holders of a majority of the then-outstanding principal amount in the case of certain types of bankruptcy or insolvency events. The PIK liability was reflected as a debt discount to the principal and amortized over the life of the Bridge Notes, which was estimated upon their original issuance date to be until December 2013.

	The Bridge Warrants are exercisable for shares of the Company’s common stock for a period of four (4) years commencing as of their issuance date, at an exercise price of $5.25 per share; provided, however, that the exercise price was to be adjusted to the price per share at which the Company issues common stock in the Company’s next underwritten public offering of common stock, if such price per share is lower than $5.25 per share and such offering occurred within six months of the grant date (provided that no underwritten offering occurred within six months of closing). The Bridge Warrants may be exercised on a cashless basis. The Company determined that these warrants contain provisions that protect holders from future issuances of the Company’s common stock at prices below such warrants’ respective exercise prices and these provisions could have resulted in modification of the warrants’ exercise price based on a variable that is not an input to the fair value of a “fixed-for-fixed” option. Such warrants were recognized as derivative warrant instruments at issuance and are measured at fair value at each reporting period. The Company determined the fair values of these warrants using a Monte Carlo simulation valuation model in the period ended March 31, 2013. The Company subsequently determined, as a public offering was not closed prior to the six month expiration of any possible exercise price adjustment on September 22, 2013, that the exercise price of the warrants would not be reset and the derivative feature of the warrants has no value as of the period ending June 30, 2014.

Modification of Bridge Notes

On December 16, 2013, the Company entered into an amendment to the secured promissory notes (the “Amended Notes”) with each of the Bridge Investors of the Bridge Notes. The Amended Notes provided for (i) the extension of the maturity date of such Bridge Notes, which were originally due on December 31, 2013, to July 31, 2014 (the “New Maturity Date”), (ii) the subordination of the Bridge Notes to certain future qualified senior indebtedness of the Company with a principal amount of at least $5.0 million, (iii) the payment in full of all accrued interest through December 16, 2013, equal to an aggregate of $294,795 due and payable to the Bridge Investors on the Payment Date, (iv) the payment in full of the $400,000 PIK on the original principal amount of such Bridge Notes on the Payment Date (v) the repayment of either none or 50% of the outstanding principal amount due under such Bridge Notes, as elected by the holders on January 8, 2014 (the “Payment Date), of which principal repayment of $1,625,000 was due and payable to the Bridge Investors on the Payment Date as elected by the holders, (vi) the amendment of the interest rate of such Bridge Notes for the Amended Notes from 10% per annum to 12% per annum with respect to the remaining unpaid principal amount of the Bridge Notes (the “Deferred Principal”), and (vii) an additional payment-in-kind cash amount equal to 10% of the Deferred Principal due on the New Maturity Date (the “Additional PIK”). In total, eleven (11) Bridge Investors holding Bridge Notes with an aggregate principal amount outstanding of $3,250,000 elected to defer 50% of their principal, agreeing to defer an aggregate of $1,625,000 in principal amount of the Bridge Notes, and five (5) Bridge Investors holding Bridge Notes with an aggregate principal amount outstanding of $750,000 elected to defer 100% of their principal, for total deferred principal of $2,375,000, and an aggregate Additional PIK due upon the New Maturity Date of $237,500. The Company recorded the Additional PIK as a debt discount to the Amended Notes.

As additional consideration for the Amended Notes, the Company granted a new warrant (“New Warrant”) exercisable on a cashless basis at an exercise price of $2.34 per share for a number of shares of common stock of the Company equal to (i) double (2x) the number of shares issuable under the Bridge Warrant originally issued to each holder who agreed to defer 50% of the outstanding principal of its Bridge Note, and (ii) triple (3x) the number of shares issuable under the Bridge Warrant originally issued to each holder who agreed to defer 100% of the outstanding principal of its Bridge Note, for a total of New Warrants exercisable for an aggregate of 166,684 shares of Company common stock issued by the Company to the Bridge Investors. The New Warrants have a 4-year life and have substantially the same terms as the Bridge Warrants originally issued to the Bridge Investors (except for the anti-dilution rights). The New Warrants have a fair value of $181,475, calculated using the Black Scholes model.
Frank C. Ingriselli, the Company’s President, Chief Executive Officer, and member of the Company’s Board of Directors, agreed to defer $500,000 of the original $1.0 million principal amount outstanding under his Bridge Note, and on the Payment Date, the Company paid $73,699 in accrued interest and $100,000 in PIK amounts due, and repaid 50% of his outstanding principal amount of $500,000. Mr. Ingriselli received a New Warrant exercisable for 38,096 shares of the Company’s common stock valued at $41,064 on the grant date. Clark R. Moore, the Company’s Executive Vice President and General Counsel, agreed to defer $25,000 of the original $50,000 principal amount outstanding under his Bridge Note, and on the Payment Date, the Company paid $3,685 in accrued interest and $5,000 in PIK amounts due, and repaid 50% of his outstanding principal amount of $25,000. Mr. Moore received a New Warrant exercisable for 1,906 shares of the Company’s common stock valued at $2,055 on the grant date.

The Company accounted for the amendment to the notes with the Bridge Investors as a modification of debt under ASC 405-20, and, accordingly, the unamortized debt discount related to the PIK of $12,544 and debt discount of $8,055 related to the Bridge Warrants prior to the amendment of the notes with the Bridge Investors was amortized over the new expected term of the Amended Notes, which at the time of the amendment was July 2014. In addition, the amounts related to the New Warrants and Additional PIK will also be amortized as interest expense over the new expected term of the Amended Notes.

On January 8, 2014, payment in full was made of all accrued interest through January 8, 2014 equal to an aggregate of $294,795. On that same date, the payment in full of the $400,000 PIK on the original principal amount of the Bridge Notes was made. Also on that same date, principal repayment of $1,625,000 was made to the Bridge Investors.

Second Amendment to Bridge Notes and Subordination and Intercreditor Agreements

On March 7, 2014, the Company entered into a Second Amendment to Secured Promissory Notes (each, a “Second Amended Note,” and collectively, the “Second Amended Notes”) with all but one of the holders (each holder who agreed to such Second Amendment Notes, the “Amended Bridge Investors”). See Note 16.

The Second Amended Notes amended the Bridge Notes to allow the holders the right to convert up to 100% of the outstanding and unpaid principal amount (but in increments of not less than 25% of the principal amount of each Bridge Note outstanding as of the entry into the Second Amended Notes and only up to four (4) total conversions of not less than 25% each); the Additional PIK; and all accrued and unpaid interest under each Bridge Note (collectively, the “Conversion Amount”) into common stock of the Company, subject to no more than 19.99% of the Company’s outstanding common stock on the date the Second Amended Notes were entered into being issued in aggregate pursuant to such Second Amended Notes without shareholder approval for such transaction as required by the NYSE MKT rules. Upon a conversion, the applicable holder shall receive that number of shares of common stock as is determined by dividing the Conversion Amount by a conversion price (the “Conversion Price”) as follows:

(A) prior to June 1, 2014, the Conversion Price shall be $2.15 per share; and

(B) following June 1, 2014, the denominator used in the calculation described above shall be the greater of (i) 80% of the average of the closing price per share of the Company’s publicly-traded common stock for the five (5) trading days immediately preceding the date of the conversion notice provided by the holder; and (ii) $0.50 per share.

Additionally, each Amended Bridge Investor entered into a Subordination and Intercreditor Agreement in favor of the Agent, subordinating and deferring the repayment of the Bridge Notes until full repayment of certain senior notes. The Subordination and Intercreditor Agreements also prohibit the Company from repaying the Bridge Notes until certain senior notes have been paid in full, except that we are allowed to repay the Bridge Notes from net proceeds received from the sale of common or preferred stock (i) in calendar year 2014 if such net proceeds received in such calendar year exceeds $35,000,000, (ii) in calendar year 2015 if such net proceeds received in such calendar year exceeds $50,000,000, and (iii) in calendar year 2016 if such net proceeds actually received in such calendar year exceeds $50,000,000.

Prior to the Bridge Note Investors’ entry into the Amended Notes, Mr. Ingriselli and Mr. Moore transferred their Bridge Notes to non-affiliates of the Company and as such, as of the date of the Second Amended Notes, such officers no longer held any Bridge Notes or rights thereunder.

The Company concluded that the Note Purchase Amendment described above constituted a debt extinguishment rather than a debt modification because a significant conversion feature was added to the terms of the note. As a result, the Company recorded a loss on debt extinguishment of $763,310 in the first quarter of 2014. Accordingly, a debt premium was recorded for the increase in fair value over the carrying value of the notes payable, which is equal to $234,116 after amortization of debt premium as of June 30, 2014.

In connection with the Note Purchase Amendment, the convertible debenture was also analyzed for a beneficial conversion feature after the debt modification at which time it was concluded that a beneficial conversion feature existed. The Company extinguished the unamortized portion of the debt discounts associated with the warrants and PIK of $110,903 and $148,389, respectively. The Company recorded $211,570 as a debt discount related to the beneficial conversion feature. The debt discount will be amortized over the term of the Second Amended Notes.

In May and June 2014, six holders of Bridge Notes converted an aggregate of $1,371,089 (principal, accrued interest and payment-in-kind amounts) due under the Bridge Notes into an aggregate of 908,724 shares of common stock of the Company. As of June 30, 2014, Bridge Notes with an aggregate principal amount of $990,041 remain outstanding, plus accrued interest of $59,024 and additional payment-in-kind of $90,000. The aggregate principal and accrued and unpaid interest and payment-in-kind amounts are available for conversion into common stock pursuant to the terms of the Bridge Notes.

The unamortized debt discount as of June 30, 2014 related to the Bridge Notes, the Amended Notes, and the Second Amended Notes is $27,175. The interest expense related to these notes for the three months ended June 30, 2014 and June 30, 2013 was $239,866 and $260,636, respectively. The interest expense related to these notes for the six months ended June 30, 2014 and June 30, 2013 was $471,572 and $350,451, respectively.

See Note 16 for conversions occurring after June 30, 2014.

Related Party Financings

MIE Jurassic Energy Corporation

On February 14, 2013, the Company’s subsidiary, Pacific Energy Development Corp. (“PEDCO”) entered into a Secured Subordinated Promissory Note, as amended on March 25, 2013 and July 9, 2013 (the “Note”, the description of which Note below takes into account the amendments to such Note to date) with MIEJ, with an effective date of November 1, 2012. Under the Note, PEDCO may draw down multiple advances up to a maximum of $6.5 million under the Note, with repaid amounts not being permitted to be re-borrowed. Amounts borrowed under the Note were used by PEDCO to fund fees and expenses allocable to PEDCO with respect to its operations in the Niobrara Asset, Niobrara Asset-related acquisition expenses, and repayment of $432,433 due to Condor as a refund of the performance deposit paid by MIEJ to Condor with respect to the Mississippian Asset acquisition and applied toward the Company’s purchase price of the Mississippian Asset. When drawn, principal borrowed under the Note carries an interest rate of 10.0% per annum. Principal and accrued interest under the Note is due and payable within ten (10) business days of August 31, 2014. The Note may be prepaid in full by PEDCO without penalty, and is secured by all of PEDCO’s ownership and working interests in the FFT2H, Logan 2H, Waves 1H, State 16-7-60 1H and Wickstrom 18-2H wells located in the Niobrara Asset, and all corresponding leasehold rights pooled with respect to such wells, and PEDCO’s ownership and working interests in each future well drilled and completed in the Niobrara Asset. The Note converted amounts previously advanced by MIEJ to PEDCO in the amount of $2.17 million to fund operations in the Niobrara Asset through November 1, 2012, as well as an additional $2 million loaned by MIEJ to PEDCO under the Note on February 14, 2013 and $2 million loaned by MIEJ to PEDCO under the Note on March 25, 2013, for a total current principal amount outstanding under the Note of $6.17 million as of June 30, 2014. As of June 30, 2014, approximately $330,000 available for future borrowing by PEDCO under the Note. Further, the Company owes $891,745 in accrued interest at June 30, 2014 under the Note.

10_INCOME_TAXES

10. INCOME TAXES	6 Months Ended
	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'
INCOME TAXES	'
	NOTE 10 – INCOME TAXES

	Due to the Company’s net losses, there was no provision for income taxes for the three and six months ended June 30, 2014 and 2013.

	The difference between the income tax expense of zero shown in the statement of operations and pre-tax book net loss times the federal statutory rate of 34% is principally due to the increase in the valuation allowance.

	Deferred income tax assets as of June 30, 2014 and December 31, 2013 are as follows:

		As of			As of
		June 30,			December 31,
		2014			2013
	Deferred Tax Assets (Liabilities)
	Intangible drilling costs	$	620,287		$	562,342
	Net operating losses		6,610,176			4,131,374
	Impairment – oil and natural gas properties		-1,133,723			(1,122,953	)
	Other		-43,613			(33,885	)
	Total noncurrent deferred tax asset		6,053,127			3,536,878

	Less: valuation allowance		(6,053,127	)		(3,536,878	)
	Total deferred tax assets	$	-		$	-

	In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of deferred assets will not be realized. The ultimate realization of the deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible.

	Based on the available objective evidence, management believes it is more likely than not that the net deferred tax assets will not be fully realizable. Accordingly, management has applied a full valuation allowance against its net deferred tax assets at June 30, 2014. The net change in the total valuation allowance for the three and six months ended June 30, 2014 was an increase of $1,439,815 and $2,516,249, respectively.

	The Company’s policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. As of June 30, 2014, the Company did not have any significant uncertain tax positions or unrecognized tax benefits. The Company did not have associated accrued interest or penalties, nor was any interest expense or penalties recognized during the period from February 9, 2011 (Inception) through June 30, 2014.

	As of June 30, 2014, the Company has federal net operating loss carryforwards (“NOLs”) of approximately $14,840,519 for federal and state tax purposes, respectively. If not utilized, these losses will begin to expire beginning in 2031 for both federal and state purposes.

	Utilization of NOL and tax credit carryforwards may be subject to a substantial annual limitation due to ownership change limitations that may have occurred or that could occur in the future, as required by the Internal Revenue Code (the “Code”), as amended, as well as similar state provisions. In general, an "ownership change" as defined by the Code results from a transaction or series of transactions over a three-year period resulting in an ownership change of more than 50% of the outstanding stock of a company by certain stockholders or public groups.

	Due to the impact of temporary and permanent differences between the book and tax calculations of net loss, the Company experiences an effective tax rate above the federal statutory rate of 34%.

11_COMMITMENTS_AND_CONTINGENCI

11. COMMITMENTS AND CONTINGENCIES	6 Months Ended
11. COMMITMENTS AND CONTINGENCIES	Jun. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
COMMITMENTS AND CONTINGENCIES	'
	NOTE 11 – COMMITMENTS AND CONTINGENCIES

	Office Lease

	In July 2012, the Company entered into a non-cancelable lease agreement with a term of two years ending in July 2014, which has been extended for an additional two years with the term now ending in July 2016, for its corporate office space located in Danville, California. The obligation under this lease as of June 30, 2014 is $106,631.

	Leasehold Drilling Commitments

	The Company’s oil and gas leasehold acreage is subject to expiration of leases if the Company does not drill and hold such acreage by production. In the Wattenberg Asset, 172 net acres are due to expire in the six months remaining in 2014 (340 net acres did expire during the six months ended June 30, 2014), 6,337 net acres expire in 2015, 2,336 net acres expire in 2016 and 4,617 net acres expire thereafter, (net to our direct ownership interest only). In the Niobrara Asset, 40 net acres are due to expire in 2014 (no net acres expired during the six months ended June 30, 2014), 423 net acres expire in 2015, 453 net acres expire in 2016 and 589 net acres expire thereafter (net to our direct ownership interest only). The Company plans to hold significantly all of this acreage through an active program of drilling and completing producing wells. Where the Company is not able to drill a well before lease expiration, the Company may seek to extend leases where able. In addition, all of our net acres in the Mississippian asset will expire in 2014 if we do not drill at least three (3) long horizontal wells in the asset by December 29, 2014. If our extension options expire and we have to renew such leases on new terms, we could incur significant cost increases, and we may not be able to renew such leases on commercially reasonable terms or at all. In addition, on certain portions of our acreage, third-party leases become immediately effective if our leases expire.

	The Mississippian Asset is structured as a primary term assignment by the seller to PEDCO MSL of the leasehold interests which expires on December 29, 2014. If PEDCO MSL drills at least three (3) horizontal wells on these leasehold interests during this primary term, then PEDCO MSL has the option, in its sole discretion, to extend the primary term with respect to some or all of the leases subject to the assignment for an additional one (1) year period upon payment to the seller of an additional $200 per net acre covered by the leases upon which the option is exercised. If PEDCO MSL completes a commercially producing well during the primary or extended terms, then the seller shall assign such leases to PEDCO MSL for as long as the wells produce in paying quantities, with each horizontal well of at least 4,000 feet in length holding 320 acres covered by the leases, each short horizontal well with a length of between less than 4,000 feet and at least 2,000 feet in length holding 160 acres, and each vertical well holding 10 acres. The seller shall retain an overriding royalty interest equal to the positive difference, if any, obtained by subtracting existing leasehold burdens from 22.5% before payout and 25% after payout (reduced to the extent the seller assigns less than a 100% working interest to PEDCO MSL). For purposes of the Mississippian agreement, “payout” is defined as such time, on a well by well basis, when a well has sold the following specified barrels of oil equivalent (“BOE”), (utilizing a conversion factor for gas sales of 8 thousand cubic feet (Mcf) per 1 barrel of oil): for a vertical well, ten thousand (10,000) BOE; for a short horizontal well: twenty-five thousand (25,000) BOE; and for a horizontal well: fifty thousand (50,000) BOE.

	Other Commitments

	The Company is not aware of any pending or threatened legal proceedings. The foregoing is also true with respect to each officer, director and control shareholder as well as any entity owned by any officer, director and control shareholder, over the last ten years.

	As part of its regular operations, the Company may become party to various pending or threatened claims, lawsuits and administrative proceedings seeking damages or other remedies concerning its’ commercial operations, products, employees and other matters. Although the Company can give no assurance about the outcome of these or any other pending legal and administrative proceedings and the effect such outcomes may have on the Company, the Company believes that any ultimate liability resulting from the outcome of such proceedings, to the extent not otherwise provided for or covered by insurance, will not have a material adverse effect on the Company’s financial condition or results of operations.

12_SHAREHOLDERS_EQUITY

12. SHAREHOLDERS' EQUITY	6 Months Ended
12. SHAREHOLDERS' EQUITY	Jun. 30, 2014
Equity [Abstract]	'
SHAREHOLDERS' EQUITY	'
	NOTE 12 – SHAREHOLDERS’ EQUITY

	PREFERRED STOCK

	At June 30, 2014, the Company was authorized to issue 100,000,000 shares of its Series A preferred stock with a par value of $0.001 per share.

	At June 30, 2014, there were -0- shares of the Company’s Series A preferred stock outstanding.

	COMMON STOCK

	At June 30, 2014, the Company was authorized to issue 200,000,000 shares of its common stock with a par value of $0.001 per share.

	During the six months ended June 30, 2014, the Company issued shares of common stock or restricted common stock as follows:

	On March 5, 2014, the Company granted 40,000 shares of its restricted common stock with a fair value of $100,000 to an employee pursuant to the Company’s 2012 Equity Incentive Plan. 25% of the shares vest on the twelve month anniversary of February 5, 2014 (the “Vesting Commencement Date”), 15% vest eighteen months after the Vesting Commencement Date, 15% vest two years after the Vesting Commencement Date, 15% vest two and one-half years after the Vesting Commencement Date, 15% vest three years after the Vesting Commencement Date, and the balance of 15% three and one-half years following the Vesting Commencement Date, all contingent upon the recipient’s continued service with the Company.

	On March 7, 2014, the Company closed an underwritten offering of an aggregate of 3,438,500 shares of common stock at $2.15 per share. The Company received gross proceeds of $7,392,775 before deducting underwriting discounts and offering expenses as a result of the offering. The Company expects to use the net proceeds of approximately $6,581,000 from the offering to fund drilling operations, for working capital and other general corporate purposes.

	On March 7, 2014, PEDCO MSL and South Texas Reservoir Alliance LLC (“STXRA”) entered into a letter agreement providing for $405,777 of cash consideration owed to STXRA for consulting services provided by STXRA to PEDCO MSL to be satisfied through the issuance to STXRA of 190,000 shares of restricted common stock of the Company valued at $444,600 on the grant date, subject to the NYSE MKT’s approval of the additional listing of such shares. These shares were issued on March 24, 2014 and resulted in a loss on settlement of payables of $38,823.

	On May 21, 2014, the Company issued 18,676 shares of common stock in settlement of accrued compensation of $125,500 due to the members of the Board of Directors of Blast Energy Services, Inc. (“Blast”). This amount was converted at $6.72 per share under debt conversion agreements entered into at the time of the Company’s merger with Blast.

	In May and June 2014, six holders of Bridge Notes converted an aggregate of $1,371,089 (principal, accrued interest and payment-in-kind amounts) due under the Bridge Notes into an aggregate of 908,724 shares of common stock of the Company. As of June 30, 2014, Bridge Notes with an aggregate principal amount of $990,041 remain outstanding, plus accrued interest of $59,024 and additional payment-in-kind of $90,000. The aggregate principal and accrued and unpaid interest and payment-in-kind amounts are available for conversion into common stock pursuant to the terms of the Bridge Notes.

	Stock compensation expense recorded related to restricted stock during the six months ended June 30, 2014 was $1,376,565.

13_STOCK_OPTIONS_AND_WARRANTS

13. STOCK OPTIONS AND WARRANTS

6 Months Ended

Jun. 30, 2014

Equity [Abstract]

STOCK OPTIONS AND WARRANTS

NOTE 13 – STOCK OPTIONS AND WARRANTS

Blast 2003 Stock Option Plan and 2009 Stock Incentive Plan

As of June 30, 2014, 3,424 shares of common stock granted under the 2003 Stock Option Plan and 2009 Stock Incentive Plan approved when the Company was known as Blast Energy Services, Inc. (“Blast”) remain outstanding and exercisable. No options were issued under these plans in 2013, or during the six months ended June 30, 2014.

2012 Incentive Plan

On July 27, 2012, the shareholders of the Company approved the 2012 Equity Incentive Plan (the “2012 Incentive Plan”), which was previously approved by the Board of Directors on June 27, 2012, and authorizes the issuance of various forms of stock-based awards, including incentive or non-qualified options, restricted stock awards, performance shares and other securities as described in greater detail in the 2012 Incentive Plan, to the Company’s employees, officers, directors and consultants. The 2012 Incentive Plan was amended on June 27, 2014 to increase by 5,000,000 the number of shares of common stock reserved for issuance under the Plan. A total of 7,000,000 shares of common stock are eligible to be issued under the 2012 Incentive Plan, of which 1,270,752 shares have been issued as restricted stock, 184,500 shares are subject to issuance upon exercise of issued and outstanding options, and 5,544,748 remain available for future issuance as of June 30, 2014.

PEDCO 2012 Equity Incentive Plan

As a result of the July 27, 2012 merger by and between the Company, Blast Acquisition Corp., a wholly-owned Nevada subsidiary of the Company (“MergerCo”), and Pacific Energy Development Corp., a privately-held Nevada corporation (“PEDCO”) pursuant to which MergerCo was merged with and into PEDCO, with PEDCO continuing as the surviving entity and becoming a wholly-owned subsidiary of the Company, in a transaction structured to qualify as a tax-free reorganization (the “Merger”), the Company assumed the PEDCO 2012 Equity Incentive Plan (the “PEDCO Incentive Plan”), which was adopted by PEDCO on February 9, 2012. The PEDCO Incentive Plan authorized PEDCO to issue an aggregate of 1,000,000 shares of common stock in the form of restricted shares, incentive stock options, non-qualified stock options, share appreciation rights, performance shares, and performance units under the PEDCO Incentive Plan. As of June 30, 2014, options to purchase an aggregate of 405,804 shares of the Company’s common stock and 591,791 shares of the Company’s restricted common stock have been granted under this plan (all of which were granted by PEDCO prior to the closing of the merger with the Company, with such grants being assumed by the Company and remaining subject to the PEDCO Incentive Plan following the consummation of the merger). The Company does not plan to grant any additional awards under the PEDCO Incentive Plan.

Options

On March 5, 2014, the Company granted options to purchase 80,000 shares of Common Stock to an employee at an exercise price of $2.50 per share. 25% of the shares vest on the twelve month anniversary of February 5, 2014 (“Vesting Commencement Date”), 15% vest eighteen months of the Vesting Commencement Date, 15% vest two years of the Vesting Commencement Date, 15% vest two and one-half years of the Vesting Commencement Date, 15% vest three years of the Vesting Commencement Date, and the balance of 15% three and one-half years following the Vesting Commencement Date, all contingent upon the recipient’s continued service with the Company. The fair value of the options on the date of grant, using the Black-Scholes model, is $126,086. Variables used in the Black-Scholes option-pricing model for the options issued include: (1) a discount rate of 1.54%, (2) expected term of 4.4 years, (3) expected volatility of 83%, and (4) zero expected dividends.

During the six months ended June 30, 2014, the Company recognized stock option based compensation expense of $89,977. The remaining amount of unamortized stock options expense at June 30, 2014 was $184,549.

The intrinsic value of outstanding and exercisable options at June 30, 2014 was $1,978,446.

The intrinsic value of outstanding and exercisable options at December 31, 2013 was $2,178,812 and $1,983,579, respectively.

Option activity during the six months ended June 30, 2014 was:

Number of

Weighted

Average

Exercise

Remaining

Price

Contract Term

(# years)

Outstanding at January 1, 2014

1,404,724

0.8

8.09

Granted

80,000

2.5

Exercised

(25,000

)

0.24

Forfeited and cancelled

Outstanding at June 30, 2014

1,459,724

0.9

7.44

Exercisable at June 30, 2014

1,311,024

0.65

7.78

Warrants

Rescission of Warrants

The Company had previously issued into escrow to Yao Hang Finance (Hong Kong) Limited 6,666,667 shares of common stock and three year warrants exercisable on a cash basis for (i) an aggregate of 666,667 shares of common stock at $3.75 per share, (ii) an aggregate of 666,667 shares of common stock at $4.50 per share, and (iii) an aggregate of 666,667 shares of common stock at $5.25 per share in consideration for $20 million. Yao Hang Finance (Hong Kong) Limited paid $10 million in cash on August 12, 2013, and entered into a common stock and Warrant Subscription Agreement (the “Subscription Agreement”), First Amendment to Common Stock and Warrant Subscription Agreement (the “Amendment”), and full-recourse promissory note (the “Note”), which Amendment and Note required that it pay the balance of $10 million in cash no later than December 1, 2013, with 3,333,333 of the shares of common stock issued to Yao Hang Finance (Hong Kong) Limited in the Private Placement (the “Escrowed Shares”), as well as warrants exercisable for (i) an aggregate of 333,333 shares of common stock at $3.75 per share, (ii) an aggregate of 333,333 shares of common stock at $4.50 per share, and (iii) an aggregate of 333,333 shares of common stock at $5.25 per share (collectively (i), (ii) and (iii), the “Escrowed Warrants”), being held in escrow by the Company pending Yao Hang Finance (Hong Kong) Limited ’s payment in full of the $10 million due under the Note.

The investor failed to pay the $10 million balance due under the Note by December 1, 2013. On December 1, 2013, the Company granted a verbal extension to the investor pending further discussions regarding the investment. Following discussions with the investor, the investor elected to forego making further investment. Accordingly, on March 7, 2014, the Company notified the investor that, effective immediately, the Escrowed Shares and Escrowed Warrants were rescinded as permitted pursuant to the terms of the Note, and the Note was cancelled and forgiven, with no further action required by the investor (the “Cancellation”). The stock subscription receivable related to 3,333,333 shares of common stock and 999,999 warrants for shares of common stock in the amount of $10 million was extinguished as of March 7, 2014. No gain or loss was recognized.

Issuance of Warrants

On March 7, 2014, upon the closing of the Note Purchase Agreement as discussed in Note 4 above, the Company granted Casimir Capital LP warrants to purchase up to 1,000,000 shares of our common stock at an exercise price of $2.50 per share (the closing sales price of our common stock on the date immediately prior to the closing date of the Note Purchase Agreement), which warrants have cashless exercise rights and a term of five years (the “Casimir Warrants”). The fair value of these warrants using the Black-Scholes model, is $1,519,602 and were recorded as a debt discount and will be amortized over the term of the financing facility. Variables used in the Black-Scholes option-pricing model for the options issued include: (1) a discount rate of 1.65%, (2) expected term of 5 years, (3) expected volatility of 83%, and (4) zero expected dividends.

Reissuance of Warrants

On June 30, 2014, the Company re-issued two warrants to MIE Jurassic Energy Corporation (“MIEJ”), the Company's joint venture partner in Condor, in order to extend their exercise terms through June 30, 2015 (the “Warrants”). The Warrants were originally issued on May 23, 2012 to MIEJ and expired unexercised pursuant to their terms on May 23, 2014. These two re-issued Warrants have the same terms and conditions as the originally issued warrants, including being exercisable on a cash-only basis for 166,667 shares of common stock of the Company at $3.75 per share and for 166,667 shares of common stock of the Company at $4.50 per share, subject to listing approval of the shares issuable upon exercise of the Warrants by the NYSE MKT. The Warrants were re-issued in consideration of the Company’s continued relationship with, and financial support from, MIEJ, and simply extended the exercise term of the previously issued warrants. The fair value of these warrants using the Black-Scholes model is $84,353 and was recorded as stock compensation expense. Variables used in the Black-Scholes option-pricing model for the warrants issued include: (1) a discount rate of 0.11%, (2) expected term of 1 year, (3) expected volatility of 83%, and (4) zero expected dividends.

The intrinsic value of outstanding as well as exercisable warrants at June 30, 2014 and December 31, 2013 was $-0- and $125,335, respectively.

Warrant activity during the six months ended June 30, 2014 was:

Number of

Weighted

Average

Exercise

Remaining

Price

Contract Term

(# years)

Outstanding at January 1, 2014

3,053,370

4.12

2.49

Granted

1,333,334

1.87

Exercised

(62,980

)

0.27

Forfeited and canceled

(1,337,020

)

4.39

Outstanding at June 30, 2014

2,986,704

3.08

2.98

Exercisable at June 30, 2014

2,986,704

3.08

2.98

14_RELATED_PARTY_TRANSACTIONS

14. RELATED PARTY TRANSACTIONS	6 Months Ended
14. RELATED PARTY TRANSACTIONS	Jun. 30, 2014
Related Party Transactions [Abstract]	'
RELATED PARTY TRANSACTIONS	'
	NOTE 14 – RELATED PARTY TRANSACTIONS

	In connection with the drilling and completion of the initial well on the Niobrara Asset, and in light of the Company’s then-existing cash position, MIE Holdings loaned funds to Pacific Energy Development Corp., the Company’s wholly-owned subsidiary (“PEDCO”), equal to all of the Company’s proportional fees and expenses on that project, and has additionally loaned funds to PEDCO sufficient to fund the Company’s 20% portion of Condor expenses incurred in connection with the second and third wells drilled and completed by Condor on the Niobrara Asset in February 2013.

	Note Payable – MIEJ. On July 9, 2013, the Company and MIEJ agreed to amend the Secured Subordinated Promissory Note (the “Original PEDCO-MIEJ Note”) previously entered into on March 25, 2013 by the Company’s wholly-owned Nevada subsidiary, Pacific Energy Development Corp. (“PEDCO”) and MIEJ, to extend the maturity date from December 31, 2013 to August 31, 2014, and to remove the maturity trigger upon the closing of a debt or equity financing transaction with gross proceeds of $10 million to the Company. The Amended and Restated Secured Subordinated Promissory Note (the “Amended Note”), dated July 9, 2013, amends and restates the Original PEDCO-MIEJ Note. Under the Amended Note, PEDCO may draw down multiple advances up to a maximum of $6.5 million outstanding principal under the Note, with repaid amounts not being permitted to be re-borrowed. Amounts borrowed under the Amended Note may be used by PEDCO to fund fees and expenses allocable to PEDCO with respect to its operations in the Niobrara asset located in Weld and Morgan Counties, Colorado (the “Niobrara Asset”). When drawn, principal borrowed under the Amended Note carries an interest rate of 10.0% per annum. Principal and accrued interest under the Amended Note are due and payable within ten (10) business days of August 31, 2014 (previously the due date was December 31, 2013 or the closing of a debt or equity financing transaction with gross proceeds of $10 million to the Company). The Amended Note may be prepaid in full by the Company without penalty, and is secured by all of PEDCO’s ownership and working interest in the FFT2H, Waves 1H, and Logan 2H wells located in the Niobrara Asset, and all corresponding leasehold rights pooled with respect to such well, and PEDCO’s ownership and working interest in each future well drilled and completed in the Niobrara Asset. Amounts borrowed under the Note may only be used by PEDCO to fund fees and expenses allocable to PEDCO with respect to its operations in the Niobrara Asset, Niobrara Asset-related acquisition expenses, and repayment of $432,433 due to Condor as a refund of the performance deposit paid by MIEJ with respect to the terminated Mississippian Asset acquisition agreement by Condor and applied toward the Company’s purchase price of the Mississippian Asset. On March 7, 2014, the Company repaid this $432,433 due in full.

	The Original PEDCO-MIEJ Note converted amounts previously advanced by MIEJ to PEDCO in the amount of $2.17 million to fund operations in the Niobrara Asset through November 1, 2012, as well as an additional $2 million loaned by MIEJ to PEDCO under the Original PEDCO-MIEJ Note on February 14, 2013 and $2 million loaned by MIEJ to PEDCO under the Original PEDCO-MIEJ Note on March 25, 2013, for a total current principal amount outstanding under the Amended Note of $6.17 million as of June 30, 2014. There is currently approximately $330,000 available for future borrowing by PEDCO under the Amended Note. Further, the Company owes $891,745 in accrued interest at June 30, 2014 under the Amended Note.

	Bridge Financing -- Frank C. Ingriselli and Clark R. Moore. On March 22, 2013, the Company closed a private placement of $4.0 million aggregate principal amount of secured promissory notes (the “Bridge Notes”), together with warrants exercisable for a total of up to 76,198 shares of the Company’s common stock (the “Bridge Warrants,” and, together with the Bridge Notes, the “Bridge Securities”). At the closing of the bridge financing (the “Bridge Financing”), the Company entered into Note and Warrant Purchase Agreements with a total of 16 individual and institutional investors (collectively, the “Bridge Investors”), including ten (10) current shareholders, pursuant to which the Company sold and issued to the Bridge Investors a total of $4.0 million aggregate principal amount of Bridge Notes and Bridge Warrants to purchase up to a total of 76,198 shares of the Company’s common stock (the "Note and Warrant Purchase Agreements"). Frank C. Ingriselli, the Company’s President, Chief Executive Officer, and member of the Board of Directors, and Clark R. Moore, the Company’s Executive Vice President and General Counsel, each participated in the Bridge Financing, purchasing Bridge Notes with an aggregate principal amount of $1 million and receiving Bridge Warrants exercisable for up to 19,048 shares of the Company’s common stock, and purchasing Bridge Notes with an aggregate principal amount of $50,000 and receiving Bridge Warrants exercisable for up to 953 shares of the Company’s common stock, respectively.
	Frank C. Ingriselli, the Company’s President, Chief Executive Officer, and member of the Company’s Board of Directors, agreed to defer $500,000 of the original $1.0 million principal amount outstanding under his Bridge Note, and on the Payment Date, the Company paid $73,699 in accrued interest and $100,000 in PIK amounts due, and repaid 50% of his outstanding principal amount of $500,000. Mr. Ingriselli received a New Warrant exercisable for 38,096 shares of the Company’s common stock valued at $41,477 on the grant date. Clark R. Moore, the Company’s Executive Vice President and General Counsel, agreed to defer $25,000 of the original $50,000 principal amount outstanding under his Bridge Note, and on the Payment Date, the Company paid $3,685 in accrued interest and $5,000 in PIK amounts due, and repaid 50% of his outstanding principal amount of $25,000. Mr. Moore received a New Warrant exercisable for 1,906 shares of the Company’s common stock valued at $2,075 on the grant date.

	Mr. Ingriselli and Mr. Moore transferred their Bridge Notes to non-affiliates of the Company prior to the further amendment of such Bridge Notes in March 2014, and as such, such officers no longer hold any Bridge Notes or related rights. See Note 9.

	Accounts Payable – Condor. Accruals for drilling costs due to Condor as a working interest owner and revenue receivable due from Condor as a working interest owner represent capital expenditures, lease operating expenses and revenues allocable to the Company for its various working interests in the wells from 12.60% to 18.75% and its net revenue interest varies from 10.01% to 15.00%. At June 30, 2014, Condor owes the Company $40,136 from production sales related to the Company’s net revenue interest in the Niobrara Asset which is reflected in accounts receivable – oil and gas – related party in the accompanying balance sheet. At June 30, 2014, the Company owes Condor $40,290 from production related expenses and $1,853,424 related to capital expenditures incurred by Condor for the drilling of three wells on the Niobrara property which is reflected in accounts payable – related party in the accompanying balance sheet. Related to the February 22, 2013 Agreement for Purchase of Term Assignment (the “Purchase Agreement”) between PEDCO MSL and Berexco for the acquisition of the Mississippian Asset and approximately 10.5 square miles of related 3-D seismic data, for an aggregate purchase price of $4,207,117, the $864,866 initial deposit due from PEDCO MSL to Berexco were funds which were initially held in escrow by Berexco on Condor’s behalf in connection with a previously contemplated transaction between Condor and Berexco. In February 2013, MIEJ elected not to participate in the Mississippian Asset acquisition transaction through Condor, the seller and PEDCO MSL agreed to restructure the Mississippian Asset acquisition transaction to provide for PEDCO MSL to be the sole buyer and apply the performance deposit previously paid toward the purchase price due from us in the restructured transaction, and PEDCO MSL was obligated to refund to Condor the amount of $432,433 representing the 50% of the deposit paid by MIEJ to Condor, which amount was repaid on March 7, 2014. As of December 31, 2013, the $432,433 is reflected in accounts payable - related party in the accompanying balance sheet.

	During the three and six months ended June 30, 2014, the Company charged $166,546 and $334,530, respectively, in expenses related to a management services agreement with Condor. This management fee represents an amount agreed upon between MIEJ and the Company as being reflective of the approximate amount of time and resources the Company personnel dedicates to Condor-related matters on a monthly basis. Prior to November 1, 2012, the Company charged a monthly management fee of $28,250 to Condor. Condor paid a monthly management fee of $54,885 through 2013 based on the agreed upon 2013 budget, which was further revised during the period ended June 30, 2014 to $55,755 per month. As of June 30, 2014, the Company had accrued $111,510 in amounts due from Condor under the agreement.

15_FAIR_VALUE_MEASUREMENTS

15. FAIR VALUE MEASUREMENTS	6 Months Ended
15. FAIR VALUE MEASUREMENTS	Jun. 30, 2014
Fair Value Disclosures [Abstract]	'
FAIR VALUE MEASUREMENTS	'
	NOTE 15 – FAIR VALUE MEASUREMENTS

	As defined in FASB ASC Topic No. 820 - 10, fair value is the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB ASC Topic No. 820 - 10 requires disclosure that establishes a framework for measuring fair value and expands disclosure about fair value measurements. The statement requires fair value measurements be classified and disclosed in one of the following categories:

	Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. The Company considers active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis.

	Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. This category includes those derivative instruments that the Company values using observable market data. Substantially all of these inputs are observable in the marketplace throughout the term of the derivative instruments, can be derived from observable data, or supported by observable levels at which transactions are executed in the marketplace.

	Level 3: Measured based on prices or valuation models that require inputs that are both significant to the fair value measurement and less observable from objective sources (i.e. supported by little or no market activity). The Company’s valuation models are primarily industry standard models. Level 3 instruments include derivative warrant instruments. The Company does not have sufficient corroborating evidence to support classifying these assets and liabilities as Level 1 or Level 2.

	As required by FASB ASC Topic No. 820 - 10, financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The Company issued warrants in connection with Bridge Financing that contained anti-dilutive provisions and provided for a reduction in exercise price of such warrant were measured at fair value. The estimated fair value of the derivative warrant instruments was calculated using a Monte Carlo Simulation valuation model.

16_SUBSEQUENT_EVENTS

16. SUBSEQUENT EVENTS	6 Months Ended
16. SUBSEQUENT EVENTS	Jun. 30, 2014
Subsequent Events [Abstract]	'
SUBSEQUENT EVENTS	'
	NOTE 16 – SUBSEQUENT EVENTS

	Issuance of Restricted Stock

	On July 1, 2014, the Company granted an aggregate of 1,370,000 shares of its restricted common stock with an aggregate fair value of $2,657,800, based on the market price on the date of grant, to certain employees of the Company pursuant to the Company’s 2012 Equity Incentive Plan and in connection with the Company’s 2013 annual equity incentive compensation review process. With respect to 1,285,000 of the shares, 20% of the shares vest six months from the date of grant, 20% vest nine months from the date of grant, 20% vest one year from the date of grant, 10% vest eighteen months from the date of grant, 10% vest two years from the date of grant, 10% vest thirty months from the date of grant and the final 10% vest three years from the date of grant, all contingent upon the recipient’s continued service with the Company. With respect to 85,000 of the shares, 25% of the shares vest six months from the date of grant, 15% vest one year from the date of grant, 15% vest eighteen months from the date of grant, 15% vest two years from the date of grant, 15% vest two and one-half years from the date of grant and the final 15% vest three years from the date of grant, all contingent upon the recipient’s continued service with the Company. All shares of restricted common stock granted under the 2012 Equity Incentive Plan are held in escrow and will be released to the employees upon the date the shares vest.

	Issuance of Common Stock

	On July 14, 2014, the Company issued 57,425 shares of common stock to a holder of its Bridge Notes. The holder converted $87,653 of principal, interest and payment-in-kind (“PIK”) equal to 10% of the unpaid principal amount of the Bridge Notes. Debt discount of $7,468 that was being amortized over the expected life of the Bridge Notes was expensed.

	On July 15, 2014, the Company issued 22,500 shares to a financial advisor valued at $2.17 per share for a consulting services agreement signed by the Company during the second quarter in the amount of $48,825. This was reported as a stock payable as of June 30, 2014.

	On July 18, 2014, the Company issued 197,416 shares of common stock to a holder of its Bridge Notes. The holder converted $292,806 of principal, interest and payment-in-kind (“PIK”) equal to 10% of the unpaid principal amount of the Bridge Notes. Debt discount of $6,132 was being amortized over the expected life of the Bridge Notes.

	On August __, 2014, the Company issued __________ shares of common stock to a holder of its Bridge Note. The holder converted $250,000 of principal, plus interest and payment-in-kind (“PIK”) equal to 10% of the remaining unpaid principal amount of the Bridge Note. Debt discount of $__________ that was being amortized over the expected life of the Bridge Note was expensed.

	Issuance of Options to Purchase Common Stock

	On July 1, 2014, the Company granted options to purchase an aggregate of 267,500 shares of common stock to certain of its consultants and employees at an exercise price of $1.94 per share, pursuant to the Company’s 2012 Equity Incentive Plan and in connection with the Company’s 2013 annual equity incentive compensation review process. The options have terms of five years and fully vest in June 2017. 25% vest six months from the date of grant, 15% vest one year from the date of grant, 15% vest eighteen months from the date of grant, 15% vest two years from the date of grant, 15% vest thirty months from the date of grant and the final 15% vest three years from the date of grant, all contingent upon the recipient’s continued service with the Company. The aggregate fair value of the options on the date of grant, using the Black-Scholes model, was $293,185. Variables used in the Black-Scholes option-pricing model for the options issued include: (1) a discount rate of 1.66%, (2) expected term of 3.5 years, (3) expected volatility of 77%, and (4) zero expected dividends.

	Bridge Note Amendment

	On August __, 2014, the final investor in the Bridge Notes who did not originally enter into the Second Amended Note in March 2014 entered into a Second Amendment to Secured Promissory Note in substantially the same form as entered into with the other Bridge Note investors, which amendment allows the investor to convert up to 100% of the investor’s Conversion Amount into common stock of the Company at the Conversion Price on the same terms and conditions as the other Amended Bridge Investors. On August __, 2014, this investor converted an aggregate of $_________________ in principal, accrued interest and payment-in-kind amounts due under the Bridge Note into an aggregate of _________ shares of common stock of the Company, thereby satisfying the investor’s Bridge Note in full.

	Kazakhstan Acquisition Restructuring

	On August 1, 2014, the Company entered into a series of agreements pursuant to which the Company restructured its planned acquisition of indirect interests in Aral, an entity established under the laws of Kazakhstan, which currently holds a 100% operated working interest in production and exploration licenses covering a contract area issued by the Republic of Kazakhstan that expires in 2034, which contract area covers 380,000 acres within the North Block located in the Pre-Caspian Basin in Kazakhstan. The restructuring was done in order to simplify and consolidate the capital structure and management of Aral and its disparate stakeholders, improve the debt position of Aral, and provide Aral with additional financing to fund its operations going forward (collectively, the “Aral Restructuring”).

	As described above in Note 6, on September 11, 2013 the Company entered into a Shares Subscription Agreement (the “SSA”) with Asia Sixth, which entity currently holds a 60% interest in Aral, and which holding was anticipated to increase to 66.5% following the completion of certain transactions previously planned to occur between Asia Sixth and its other partner in Aral, Caspian Energy holds a 40% interest in Aral. As previously contemplated under the SSA, the Company would acquire shares of Asia Sixth representing 51% of the issued and outstanding capital stock of Asia Sixth (the “Asia Sixth Shares”), in exchange for the payment by the Company of $10 million to Asia Sixth (the “Deposit”), which was previously paid by the Company to Asia Sixth in 2013. Subsequent to the Company’s entry into the SSA, in connection with the Company’s closing of its acquisition of certain assets from Continental Resources, Inc. and entry into a debt facility with RJ Credit, LLC and affiliates thereof, the Company assigned 50% of its right and interest to acquire the capital stock of Asia Sixth to an affiliate of RJ Credit, LLC (“RJ Credit”) and 50% of the Deposit in the event the transaction with Asia Sixth was terminated, with the affiliate of RJ Credit also assuming a 50% obligation to fund the Final Subscription Price to the extent due to Asia Sixth at closing, as more fully disclosed by the Company in its Current Report on Form 8-K filed with the SEC on March 10, 2014.

	In connection with the Aral Restructuring, on August 1, 2014 the Company entered into a Termination Agreement of the Shares Subscription Agreement (SSA) Dated September 11, 2013, by and among The Sixth Energy Limited (“Sixth Energy”), Asia Sixth and PEDCO (the “Termination Agreement”). The Termination Agreement provides for the termination of the previous SSA as a precondition to the Aral Restructuring. Under the Termination Agreement, the Company received a promissory note in the principal amount of $5.0 million from Asia Sixth (the “A6 Promissory Note”), secured by a first priority security interest in all of the assets of Asia Sixth. The A6 Promissory Note represents the Company’s interest in the Deposit originally paid to Asia Sixth by the Company under the SSA following the assignment of 50% of the Company's right and interest to acquire the capital stock of Asia Sixth to an affiliate of RJ Credit. The A6 Promissory Note is due and payable upon the termination of the Caspian Purchase Agreement (defined below), with interest accruing at the rate of 10% per annum, compounded daily, in the event the A6 Promissory Note is not paid in full on or before such termination date.

	In addition, the Company entered into a purchase agreement by and among Caspian Energy, Caspian Energy Limited, Asia Sixth, Groenzee B.V., Pacific Energy Development Corp., Giant Dragon Enterprises Limited, ACAP Limited, and RJ Credit (the “Caspian Purchase Agreement”). Pursuant to the Caspian Purchase Agreement, upon the closing of the transactions contemplated thereunder, (i) the Company will receive a 5.0% interest in Caspian Energy in exchange for the assignment of the A6 Promissory Note to Caspian Energy, (ii) all of Asia Sixth’s direct and indirect ownership in Aral shall be exchanged for equity interests in Caspian Energy, with Aral becoming a wholly-owned subsidiary of Caspian Energy, (iii) approximately $25.4 million in debt owed by Asia Sixth as a result of the termination of the SSA and certain other agreements (including the debt now owed to the Company) will be converted into Caspian Energy capital stock, (iv) substantially all of Aral’s existing debt will be consolidated and held directly or indirectly by Caspian Energy as Aral’s new parent company, and (v) Sixth Energy and certain other shareholders of Caspian Energy shall provide a loan facility of up to an additional $21.5 million to Aral to fund its operations and development efforts.

	The closing of the transactions contemplated under the Caspian Purchase Agreement are anticipated to occur no later than July 2015, subject to the satisfaction of certain customary closing conditions including the approval of the Agency of the Republic of Kazakhstan for the Protection of Competition and the MOG, the MOG’s waiver of its pre-emptive purchase right with respect to the transaction, and receipt of Caspian Energy shareholder approval of the transaction.

	Upon the closing of the transactions contemplated under the Termination Agreement and Caspian Purchase Agreement, the Company will hold 5.0% of the common stock of Caspian Energy, which entity’s shares are publicly-traded on the NEX board of the TSX Venture Exchange. The Company will hold these shares on an unrestricted basis (subject to any regulatory holding periods), and as a minority shareholder in Caspian Energy, the Company will not be subject to future capital calls or funding obligations, or any other obligations or requirements, that the Company might otherwise have been subject to as a major shareholder of Asia Sixth as previously contemplated under the original SSA.

3_SUMMARY_OF_SIGNIFICANT_ACCOU1

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2014
Accounting Policies [Abstract]	'
Basis of Presentation and Principles of Consolidation	'
	Basis of Presentation and Principles of Consolidation. The consolidated financial statements herein have been prepared in accordance with GAAP and include the accounts of the Company and those of its wholly and partially-owned subsidiaries as follows: (i) Eagle Domestic Drilling Operations LLC, a Texas limited liability company (which was voluntarily dissolved effective July 10, 2013); (ii) Blast AFJ, Inc., a Delaware corporation; (iii) Pacific Energy Development Corp., a Nevada corporation; (iv) Pacific Energy Technology Services, LLC, a Nevada limited liability company (owned 70% by us); (v) Pacific Energy & Rare Earth Limited, a Hong Kong company; (vi) Blackhawk Energy Limited, a British Virgin Islands company; (vii) White Hawk Petroleum, LLC, a Nevada limited liability company, (viii) Red Hawk Petroleum, LLC, a Nevada limited liability company, which was formed on January 16, 2014, and (ix) Pacific Energy Development MSL, LLC (owned 50% by us) and is included in our consolidated results. All significant intercompany accounts and transactions have been eliminated.
Equity Method Accounting for Joint Ventures	'
	Equity Method Accounting for Joint Ventures. A portion of the Company’s oil and gas interests are held all or in part by the following joint ventures which are collectively owned with affiliates of MIE Holdings:

	- Condor Energy Technology LLC, a Nevada limited liability company owned 20% by the Company and 80% by an affiliate of MIE Holdings. The Company accounts for its 20% ownership in Condor using the equity method; and

	- White Hawk Petroleum, LLC, a Nevada limited liability company owned 50% by the Company and 50% by an affiliate of MIE Holdings through December 30, 2013. Through December 30, 2013, the Company accounted for its 50% interest in White Hawk using the equity method. As a result of a series of transactions pursuant to which MIEJ divested its 50% interest in White Hawk as of December 31, 2013, White Hawk became a consolidated subsidiary effective on December 31, 2013.
Non-Controlling Interests	'
	Non-Controlling Interests. The Company is required to report its non-controlling interests as a separate component of shareholders' equity. The Company is also required to present the consolidated net income and the portion of the consolidated net income allocable to the non-controlling interests and to the shareholders of the Company separately in its consolidated statements of operations. Losses applicable to the non-controlling interests are allocated to the non-controlling interests even when those losses are in excess of the non-controlling interests' investment basis.
Use of Estimates in Financial Statement Preparation	'
	Use of Estimates in Financial Statement Preparation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, as well as certain financial statement disclosures. While management believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from these estimates. Significant estimates generally include those with respect to the amount of recoverable oil and gas reserves, the fair value of financial instruments, oil and gas depletion, asset retirement obligations, and stock-based compensation.
Cash, Cash Equivalents	'
	Cash and Cash Equivalents. The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. As of June 30, 2014 and December 31, 2013, cash equivalents consisted of money market funds and cash on deposit.
Concentrations of Credit Risk	'
	Concentrations of Credit Risk. Financial instruments which potentially subject the Company to concentrations of credit risk include cash deposits placed with financial institutions. The Company maintains its cash in bank accounts which, at times, may exceed federally insured limits as guaranteed by the Federal Deposit Insurance Corporation (FDIC). At June 30, 2014, approximately $4,265,092 of the Company’s cash balances were uninsured. The Company has not experienced any losses on such accounts.

	Sales to one customer comprised 41% of the Company’s total oil and gas revenues for the six months ended June 30, 2014. Sales to two customers comprised 82% and 14% of the Company’s total oil and gas revenues for the six months ended June 30, 2013. The Company believes that, in the event that its primary customers are unable or unwilling to continue to purchase the Company’s production, there are a substantial number of alternative buyers for its production at comparable prices.
Accounts Receivable	'
	Accounts Receivable. Accounts receivable typically consist of oil and gas receivables. The Company has classified these as short-term assets in the balance sheet because the Company expects repayment or recovery within the next 12 months. The Company evaluates these accounts receivable for collectability considering the results of operations of these related entities and when necessary records allowances for expected unrecoverable amounts. To date, no allowances have been recorded. Included in accounts receivable - oil and gas is $410,430 of working capital receivables related to the acquisition of the Wattenberg Asset.
Revenue Recognition	'
	Revenue Recognition. All revenue is recognized when persuasive evidence of an arrangement exists, the service or sale is complete, the price is fixed or determinable and collectability is reasonably assured. Revenue is derived from the sale of crude oil and natural gas. Revenue from crude oil and natural gas sales is recognized when the product is delivered to the purchaser and collectability is reasonably assured. The Company follows the “sales method” of accounting for oil and natural gas revenue, so it recognizes revenue on all natural gas or crude oil sold to purchasers, regardless of whether the sales are proportionate to its ownership in the property. A receivable or liability is recognized only to the extent that the Company has an imbalance on a specific property greater than its share of the expected remaining proved reserves. If collection is uncertain, revenue is recognized when cash is collected.
Equipment	'
	Oil and Gas Properties, Successful Efforts Method. The successful efforts method of accounting is used for oil and gas exploration and production activities. Under this method, all costs for development wells, support equipment and facilities, and proved mineral interests in oil and gas properties are capitalized. Geological and geophysical costs are expensed when incurred. Costs of exploratory wells are capitalized as exploration and evaluation assets pending determination of whether the wells find proved oil and gas reserves. Proved oil and gas reserves are the estimated quantities of crude oil and natural gas which geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions, (i.e., prices and costs as of the date the estimate is made). Prices include consideration of changes in existing prices provided only by contractual arrangements, but not on escalations based upon future conditions.

	Exploratory wells in areas not requiring major capital expenditures are evaluated for economic viability within one year of completion of drilling. The related well costs are expensed as dry holes if it is determined that such economic viability is not attained. Otherwise, the related well costs are reclassified to oil and gas properties and subject to impairment review. For exploratory wells that are found to have economically viable reserves in areas where major capital expenditure will be required before production can commence, the related well costs remain capitalized only if additional drilling is under way or firmly planned. Otherwise the related well costs are expensed as dry holes.

	Exploration and evaluation expenditures incurred subsequent to the acquisition of an exploration asset in a business combination are accounted for in accordance with the policy outlined above.

	Depreciation, depletion and amortization of capitalized oil and gas properties is calculated on a field by field basis using the unit of production method. Lease acquisition costs are amortized over the total estimated proved developed and undeveloped reserves and all other capitalized costs are amortized over proved developed reserves.
Oil and Gas Properties, Successful Efforts Method	'
	The successful efforts method of accounting is used for oil and gas exploration and production activities. Under this method, all costs for development wells, support equipment and facilities, and proved mineral interests in oil and gas properties are capitalized. Geological and geophysical costs are expensed when incurred. Costs of exploratory wells are capitalized as exploration and evaluation assets pending determination of whether the wells find proved oil and gas reserves. Proved oil and gas reserves are the estimated quantities of crude oil and natural gas which geological and engineering data demonstrate with reasonable certainty to be recoverable in future years from known reservoirs under existing economic and operating conditions, (i.e., prices and costs as of the date the estimate is made). Prices include consideration of changes in existing prices provided only by contractual arrangements, but not on escalations based upon future conditions.

	Exploratory wells in areas not requiring major capital expenditures are evaluated for economic viability within one year of completion of drilling. The related well costs are expensed as dry holes if it is determined that such economic viability is not attained. Otherwise, the related well costs are reclassified to oil and gas properties and subject to impairment review. For exploratory wells that are found to have economically viable reserves in areas where major capital expenditure will be required before production can commence, the related well costs remain capitalized only if additional drilling is under way or firmly planned. Otherwise the related well costs are expensed as dry holes.

	Exploration and evaluation expenditures incurred subsequent to the acquisition of an exploration asset in a business combination are accounted for in accordance with the policy outlined above.

	Depreciation, depletion and amortization of capitalized oil and gas properties is calculated on a field by field basis using the unit of production method. Lease acquisition costs are amortized over the total estimated proved developed and undeveloped reserves and all other capitalized costs are amortized over proved developed reserves.
Impairment of Long-Lived Assets	'
	Impairment of Long-Lived Assets. The Company reviews the carrying value of its long-lived assets annually or whenever events or changes in circumstances indicate that the historical cost-carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of the asset by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposition. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset’s carrying value and estimated fair value.
Asset Retirement Obligations	'
	Asset Retirement Obligations. If a reasonable estimate of the fair value of an obligation to perform site reclamation, dismantle facilities or plug and abandon wells can be made, the Company will record a liability (an asset retirement obligation or “ARO”) on its consolidated balance sheet and capitalize the present value of the asset retirement cost in oil and gas properties in the period in which the retirement obligation is incurred. In general, the amount of an ARO and the costs capitalized will be equal to the estimated future cost to satisfy the abandonment obligation assuming the normal operation of the asset, using current prices that are escalated by an assumed inflation factor up to the estimated settlement date, which is then discounted back to the date that the abandonment obligation was incurred using an assumed cost of funds for the Company. After recording these amounts, the ARO will be accreted to its future estimated value using the same assumed cost of funds and the capitalized costs are depreciated on a unit-of-production basis over the estimated proved developed reserves. Both the accretion and the depreciation will be included in depreciation, depletion and amortization expense on our consolidated statements of operations.
Deferred Financing Costs	'
	Deferred Financing Costs. We have incurred debt origination costs in connection with the issuance of long-term debt. These costs are capitalized as deferred financing costs and amortized using the effective interest method over the term of the related debt.
Income Taxes	'
	Income Taxes. The Company utilizes the asset and liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for operating loss and tax credit carry-forwards and 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 tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that the value of such assets will be realized.
Stock-Based Compensation	'
	Stock-Based Compensation. We utilize the Black-Scholes option pricing model to estimate the fair value of employee stock option awards at the date of grant, which requires the input of highly subjective assumptions, including expected volatility and expected life. Changes in these inputs and assumptions can materially affect the measure of estimated fair value of our share-based compensation. These assumptions are subjective and generally require significant analysis and judgment to develop. When estimating fair value, some of the assumptions will be based on, or determined from, external data and other assumptions may be derived from our historical experience with stock-based payment arrangements. The appropriate weight to place on historical experience is a matter of judgment, based on relevant facts and circumstances.

	The Company estimates volatility by considering the historical stock volatility. The Company has opted to use the simplified method for estimating expected term, which is generally equal to the midpoint between the vesting period and the contractual term.
Earnings or Loss per Common Share	'
	Basic earnings per common share equal net earnings or loss divided by weighted average common shares outstanding during the period. Diluted earnings per share include the impact on dilution from all contingently issuable shares, including options, warrants and convertible securities. The common stock equivalents from contingent shares are determined by the treasury stock method. The Company incurred net losses for the three and six months ended June 30, 2014 and 2013, and therefore, basic and diluted earnings per share for those periods are the same as all potential common equivalent shares would be anti-dilutive. The Company excluded 1,459,724 and 1,335,800 potentially issuable shares of common stock related to options and 2,986,704 and 696,213 potentially issuable shares of common stock related to warrants due to their anti-dilutive effect for the three months ended June 30, 2014 and 2013, respectively. The Company excluded 1,459,724 and 1,335,800 potentially issuable shares of common stock related to options and 2,986,704 and 696,213 potentially issuable shares of common stock related to warrants due to their anti-dilutive effect for the six months ended June 30, 2014 and 2013, respectively.
Fair Value of Financial Instruments	'
	Fair Value of Financial Instruments. The Company follows Financial Accounting Standards Board (“FASB”) ASC 820, Fair Value Measurement (“ASC 820”), which clarifies fair value as an exit price, establishes a hierarchal disclosure framework for measuring fair value, and requires extended disclosures about fair value measurements. The provisions of ASC 820 apply to all financial assets and liabilities measured at fair value.

	As defined in ASC 820, fair value, clarified as an exit price, represents the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As a result, fair value is a market-based approach that should be determined based on assumptions that market participants would use in pricing an asset or a liability.

	As a basis for considering these assumptions, ASC 820 defines a three-tier value hierarchy that prioritizes the inputs used in the valuation methodologies in measuring fair value.

		Level 1 – Quoted prices in active markets for identical assets or liabilities.
		Level 2 – Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
		Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

	The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.
Recently Issued Accounting Pronouncements	'
	Recently Issued Accounting Pronouncements. There were various accounting standards and interpretations issued during the six months of 2014, none of which are expected to have a material impact on the Company’s financial position, operations or cash flows.
Subsequent Events	'
	Subsequent Events. The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure consideration.

4_OIL_AND_GAS_PROPERTIES_Table

4. OIL AND GAS PROPERTIES (Tables)	6 Months Ended
4. OIL AND GAS PROPERTIES (Tables)	Jun. 30, 2014
DisclosureOilAndGasPropertiesTablesAbstract	'
Oil and gas interests	'

			December 31,			Additions			Disposals			Transfers		June 30,
			2013			Additions			Disposals			Transfers		2014
	Oil and gas properties, subject to amortization, net		$	6,314,044		$	27,525,520		$	(15,751,426	)	$	-	$	18,088,138
	Oil and gas properties, not subject to amortization, net			7,166,557			2,827,561			(2,081,385	)		-		7,912,733
	Asset retirement costs			28,081			109,242			-65,617			-		71,706
	Accumulated depreciation depletion and impairment			(4,706,043	)		(507,085	)		801,558			-		(4,411,570	)
	Total oil and gas assets		$	8,802,639		$	29,955,238		$	(17,096,870	)	$	-	$	21,661,007

Summary of Purchase Price	'

	Fair value at March 7, 2014
	Accounts receivable – oil and gas		$	445,749
	Inventory			396,482
	Oil and gas properties, subject to amortization			26,039,697
	Oil and gas properties, not subject to amortization			2,694,029
	Total assets			29,575,957

	Current liabilities			(948,848	)
	Asset retirement obligations			(105,287	)
	Total liabilities			(1,054,135	)
	Final Purchase price		$	28,521,822

Summary of sale price	'

			Allocated Proceeds			Historical Cost			Gain (Loss) on Sale

	Wattenberg Asset		$	8,747,058		$	14,314,220		$	(5,567,162	)
	White Hawk Assets			2,718,158			2,559,168			158,990

	Total		$	11,465,216		$	16,873,388		$	(5,408,172	)


Summary of pro forma sale	'

			For the Six Months Ended
			30-Jun-14
			PEDEVCO			Net Acquisitions/Dispositions		(1)	Combined
	Revenue		$	3,102,205		$	1,102,474		$	4,204,679
	Lease operating costs		$	(1,262,519	)	$	(375,624	)	$	(1,638,143	)
	Net income (loss)		$	(17,365,489	)	$	432,524		$	(16,932,965	)
	Net loss per common share		$	(0.66	)	$	0.02		$	(0.64	)

			For the Six Months Ended
			30-Jun-13
			PEDEVCO			Net Acquisitions/Dispositions		(1)	Combined
	Revenue		$	425,213		$	3,456,438		$	3,881,651
	Lease operating costs		$	(389,044	)	$	(307,645	)	$	(696,689	)
	Net income (loss)		$	(3,914,254	)	$	3,148,793		$	(765,461	)
	Net loss per common share		$	(0.30	)	$	0.24		$	(0.06	)

	-1	Amounts are based on Company estimates.

5_SALE_OF_50_OF_PACIFIC_ENERGY1

5. SALE OF 50% OF PACIFIC ENERGY DEVELOPMENT MSL, LLC (Tables)

6 Months Ended

Jun. 30, 2014

Notes to Financial Statements

Schedule of Sale of MSL

Allocated Proceeds

Historical Cost

Loss on Sale

Mississippian Asset

1,615,488

2,643,682

(1,028,194

)

8_EQUITY_METHOD_INVESTMENTS_Ta

8. EQUITY METHOD INVESTMENTS (Tables)	6 Months Ended
8. EQUITY METHOD INVESTMENTS (Tables)	Jun. 30, 2014
Equity Method Investments Tables	'
Condors financial information	'
		June 30,			December 31,
		2014			2013
	Current assets	$	3,707,198		$	4,224,369
	Oil and gas properties, net		3,544,491			3,533,915
	Other long –term assets		108,000			108,000
	Total assets	$	7,359,689		$	7,866,284

	Current liabilities	$	1,366,644		$	3,708,123
	Notes payable to affiliates		34,018,349			31,477,643
	Other long term liabilities		28,880			11,587
	Total liabilities		35,413,873			35,197,353

	Members’ equity (deficit)		(28,054,184	)		(27,331,069	)
	Total liabilities and members’ equity (deficit)	$	7,359,689		$	7,866,284

Condor Energy Technology, LLC	'
		For the Six Months Ended June 30,			For the Six Months Ended June 30,
		2014			2013
	Revenue	$	2,047,084		$	1,967,865
	Operating expenses		(2,092,116	)		(3,407,083	)
	Operating loss		(45,033	)		(1,439,218	)
	Interest expense		(678,082	)		(378,184	)
	Net loss	$	(723,114	)	$	(1,817,402	)

9_NOTES_PAYABLE_Tables

9. NOTES PAYABLE (Tables)	6 Months Ended
9. NOTES PAYABLE (Tables)	Jun. 30, 2014
Debt Disclosure [Abstract]	'
Allocation of proceeds	'
	The components of this transaction are as follows:

		7-Mar-14
	Gross proceeds from issuance of Initial Notes	$	34,500,000
	Deferred financing costs – paid underwriting fees		(5,381,755	)
	Original debt issue discount		(1,725,000	)
	Net Proceeds	$	27,393,245

	Allocation of proceeds to sale of assets (recorded as additional debt issue discount)
	Allocation of proceeds to debt and sale of properties:
	Allocated to Wattenberg Asset acquired from Continental sold	$	8,747,058
	Allocated to Mississippian Assets sold		1,615,488
	Allocated to Asia Sixth interest sold		3,055,374
	Net proceeds allocated to sales of properties		13,417,920
	Net proceeds allocated to Initial Notes		21,082,080
	Total proceeds	$	34,500,000

10_INCOME_TAXES_Tables

10. INCOME TAXES (Tables)	6 Months Ended
10. INCOME TAXES (Tables)	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'
Deferred income taxes assets	'
	Deferred income tax assets as of June 30, 2014 and December 31, 2013 are as follows:

		As of			As of
		June 30,			December 31,
		2014			2013
	Deferred Tax Assets (Liabilities)
	Intangible drilling costs	$	620,287		$	562,342
	Net operating losses		6,610,176			4,131,374
	Impairment – oil and natural gas properties		-1,133,723			(1,122,953	)
	Other		-43,613			(33,885	)
	Total noncurrent deferred tax asset		6,053,127			3,536,878

	Less: valuation allowance		(6,053,127	)		(3,536,878	)
	Total deferred tax assets	$	-		$	-

13_STOCK_OPTIONS_AND_WARRANTS_

13. STOCK OPTIONS AND WARRANTS (Tables)	6 Months Ended
13. STOCK OPTIONS AND WARRANTS (Tables)	Jun. 30, 2014
Equity [Abstract]	'
Schedule of Stock Option and Warrant Activity	'
	Option activity during the six months ended June 30, 2014 was:

		Number of			Weighted		Weighted
		Shares			Average		Average
					Exercise		Remaining
					Price		Contract Term
							(# years)
	Outstanding at January 1, 2014		1,404,724		$	0.8		8.09
	Granted		80,000			2.5
	Exercised		(25,000	)		0.24
	Forfeited and cancelled		-

	Outstanding at June 30, 2014		1,459,724		$	0.9		7.44

	Exercisable at June 30, 2014		1,311,024		$	0.65		7.78

	Warrant activity during the six months ended June 30, 2014 was:

		Number of			Weighted		Weighted
		Shares			Average		Average
					Exercise		Remaining
					Price		Contract Term
							(# years)
	Outstanding at January 1, 2014		3,053,370		$	4.12		2.49
	Granted		1,333,334			1.87
	Exercised		(62,980	)		0.27
	Forfeited and canceled		(1,337,020	)		4.39

	Outstanding at June 30, 2014		2,986,704		$	3.08		2.98

	Exercisable at June 30, 2014		2,986,704		$	3.08		2.98

3_SUMMARY_OF_SIGNIFICANT_ACCOU2

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Uninsured cash	$4,265,092	'	$4,265,092	'
Potentially issuable shares of common stock related to options	1,459,724	1,335,800	1,459,724	1,335,800
Potentially issuable shares of common stock related to warrants	2,986,704	696,213	2,986,704	696,213

4_OIL_AND_GAS_PROPERTIES_Detai

4. OIL AND GAS PROPERTIES (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Oil and gas properties, subject to amortization, net	$18,088,138	$6,314,044
Oil and gas properties, not subject to amortization, net	7,912,733	7,166,557
Asset retirement costs	71,706	28,081
Accumulated depreciation depletion and impairment	-4,411,570	-4,706,043
Total oil and gas assets	21,661,007	8,802,639
Additions	'	'
Oil and gas properties, subject to amortization, net	27,525,520	'
Oil and gas properties, not subject to amortization, net	2,827,561	'
Asset retirement costs	109,242	'
Accumulated depreciation depletion and impairment	-507,085	'
Total oil and gas assets	29,955,238	'
Disposals	'	'
Oil and gas properties, subject to amortization, net	-15,751,426	'
Oil and gas properties, not subject to amortization, net	-2,081,385	'
Asset retirement costs	-65,617	'
Accumulated depreciation depletion and impairment	801,558	'
Total oil and gas assets	-17,096,870	'
Transfers	'	'
Oil and gas properties, subject to amortization, net	'	'
Oil and gas properties, not subject to amortization, net	'	'
Asset retirement costs	'	'
Accumulated depreciation depletion and impairment	'	'
Total oil and gas assets	'	'

4_OIL_AND_GAS_PROPERTIES_Detai1

4. OIL AND GAS PROPERTIES (Details 1) (USD $)	Mar. 07, 2014
Fair value at March 7, 2014	'
Accounts receivable - oil and gas	$445,749
Inventory	396,482
Oil and gas properties, subject to amortization	26,039,697
Oil and gas properties, not subject to amortization	2,694,029
Total assets	29,575,957
Current liabilities	-948,848
Asset retirement obligations	-105,287
Total liabilities	-1,054,135
Final Purchase price	$28,521,822

4_OIL_AND_GAS_PROPERTIES_Detai2

4. OIL AND GAS PROPERTIES (Details 2) (USD $)	3 Months Ended		6 Months Ended
4. OIL AND GAS PROPERTIES (Details 2) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Allocated Proceeds	'	'	$11,465,216	'
Historical Cost	'	'	16,873,388	'
Gain (loss) on sale	251,381	'	-5,408,172	'
Wattenberg Asset [Member]	'	'	'	'
Allocated Proceeds	'	'	8,747,058	'
Historical Cost	'	'	14,314,220	'
Gain (loss) on sale	'	'	-5,567,162	'
White Hawk Assets	'	'	'	'
Allocated Proceeds	'	'	2,718,158	'
Historical Cost	'	'	2,559,168	'
Gain (loss) on sale	'	'	$158,990	'

4_OIL_AND_GAS_PROPERTIES_Detai3

4. OIL AND GAS PROPERTIES (Details 3) (USD $)	3 Months Ended		6 Months Ended
4. OIL AND GAS PROPERTIES (Details 3) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Net inome (loss)	($4,201,991)	($2,432,931)	($17,365,489)	($3,914,254)
Net loss per common share	($0.16)	($0.17)	($0.66)	($0.30)
PEDEVCO [Member]	'	'	'	'
Revenue	'	'	3,102,205	425,213
Lease operating costs	'	'	-1,262,519	-389,044
Net inome (loss)	'	'	-17,365,489	-3,914,254
Net loss per common share	'	'	($0.66)	($0.30)
Net Acquisitions/Dispositions [Member]	'	'	'	'
Revenue	'	'	1,102,474	3,456,438
Lease operating costs	'	'	-375,624	-307,645
Net inome (loss)	'	'	432,524	3,148,793
Net loss per common share	'	'	$0.02	$0.24
Combined [Member]	'	'	'	'
Revenue	'	'	4,204,679	3,881,651
Lease operating costs	'	'	-1,638,143	-696,689
Net inome (loss)	'	'	($16,932,965)	($765,461)
Net loss per common share	'	'	($0.64)	($0.06)

4_OIL_AND_GAS_PROPERTIES_Detai4

4. OIL AND GAS PROPERTIES (Details Narrative) (USD $)	3 Months Ended		6 Months Ended
4. OIL AND GAS PROPERTIES (Details Narrative) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Oil And Gas Properties Details Narrative	'	'	'	'
Depletion	$363,540	'	$475,410	'
Impairment expense for expired leasehold costs	28,312	'	31,677	'
Drilling costs	'	'	1,591,107	128,750
Gain on sale of oil and gas properties	251,381	'	-5,408,172	'
Revenues	'	'	2,740,000	'
Operating loss	'	'	$167,000	'

7_NOTES_RECEIVABLE_Details_Nar

7. NOTES RECEIVABLE (Details Narrative) (USD $)	3 Months Ended	6 Months Ended
7. NOTES RECEIVABLE (Details Narrative) (USD $)	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2013
Change in note receivable	'	$1,863,324	$1,714,672
Interest income	72,105	131,467	'
Condor [Member]	'	'	'
Note receivable	7,033,160	7,033,160	'
Accrued interest	23,741	23,741	'
Borrowing availability	2,100,000	2,100,000	'
Change in note receivable	'	417,260	'
Share of losses	'	144,623	'
Unrecognized loss	'	272,637	'
Net receivable balance	$1,446,064	$1,446,064	'

8_EQUITY_METHOD_INVESTMENTS_De

8. EQUITY METHOD INVESTMENTS (Details 1) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Current assets	$9,587,008	$6,974,233
Oil and gas properties, net	21,661,007	8,802,639
Other long - term assets	85,000	'
Total assets	42,269,437	25,800,605
Current liabilities	15,014,615	14,838,318
Total liabilities	34,088,264	14,913,765
Members' equity (deficit)	8,181,173	10,886,840
Total liabilities and members' equity (deficit)	42,269,437	25,800,605
Condor [Member]	'	'
Current assets	3,707,198	4,224,369
Oil and gas properties, net	3,544,491	3,533,915
Other long - term assets	108,000	108,000
Total assets	7,359,689	7,866,284
Current liabilities	1,366,644	3,708,123
Notes payable to affiliates	34,018,349	31,477,643
Other long term liabilities	28,880	11,587
Total liabilities	35,413,873	35,197,353
Members' equity (deficit)	-28,054,184	-27,331,069
Total liabilities and members' equity (deficit)	$7,359,689	$7,866,284

8_EQUITY_METHOD_INVESTMENTS_De1

8. EQUITY METHOD INVESTMENTS (Details 2) (USD $)	3 Months Ended		6 Months Ended
8. EQUITY METHOD INVESTMENTS (Details 2) (USD $)	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Operating expenses	$3,467,101	$1,728,053	$6,947,098	$3,280,910
Operating loss	-1,263,732	-2,054,208	-12,643,145	-3,423,299
Interest expense	3,006,157	432,127	4,097,400	606,682
Net loss	-4,201,991	-2,432,931	-17,365,489	-3,914,254
Condor Energy	'	'	'	'
Revenues	'	'	2,047,084	1,967,865
Operating expenses	'	'	-2,092,116	-3,407,083
Operating loss	'	'	-45,033	-1,439,218
Interest expense	'	'	-678,082	-378,184
Net loss	'	'	($723,114)	($1,817,402)

8_EQUITY_METHOD_INVESTMENTS_De2

8. EQUITY METHOD INVESTMENTS (Details Narrative) (USD $)	6 Months Ended	3 Months Ended		6 Months Ended	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Dec. 31, 2013	Dec. 31, 2013
	Condor [Member]	Condor [Member]	Condor [Member]	Condor [Member]	Condor [Member]	Condor
Note receivable	'	$7,033,160	'	$7,033,160	'	$5,005,108
Unrecognized losses in excess of basis	'the Company has unrecognized losses of $0 and $272,637	'	'	'	'	'
Accrued interest	'	23,741	'	23,741	'	188,469
Management services fee	111,510	'	'	'	75,131	'
Total fees billed to Condor	'	166,546	164,656	334,530	313,663	'
Receivable related to working interest in Niobrara Asset	'	40,136	'	40,136	'	47,076
Loan to Condor for production related expense	'	40,290	'	40,290	'	59,448
Loan to Condor for capital expenditure	$1,853,424	'	'	'	$2,278,266	'

9_NOTES_PAYABLE_Details

9. NOTES PAYABLE (Details) (USD $)	6 Months Ended
9. NOTES PAYABLE (Details) (USD $)	Jun. 30, 2014
Debt Disclosure [Abstract]	'
Gross proceeds from issuance of Initial Notes	$34,500,000
Deferred financing costs - paid underwriting fees	-5,381,755
Original debt issue discount	-1,725,000
Net Proceeds	27,393,245
Allocation of proceeds to sale of assets (recorded as additional debt issue discount)	'
Allocated to Wattenberg Asset acquired from Continental sold	8,747,058
Allocated to Mississippian Assets sold	1,615,488
Allocated to Asia Sixth interest sold	3,055,374
Net proceeds allocated to sales of properties	13,417,920
Net proceeds allocated to Initial Notes	21,082,080
Net proceeds allocated to Initial Notes	$34,500,000

9_NOTES_PAYABLE_Details_Narrat

9. NOTES PAYABLE (Details (Narrative) (USD $)

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

Jun. 30, 2014

Dec. 31, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Bridge Note Financing

Somerley Limited

Bridge Notes

Amended Notes [Member]

MIE Jurassic Energy Corporation

Bridge Warrants and New Warrants 1

Accrued Interest

$891,745

Amortization of debt discount

902,792

1,138,820

3,414

Amortization of deferred financing costs

411,466

519,036

Interest expense

1,302,629

1,662,004

4,975

90,443

2,110

7,748

65,668

135,941

8,313

63,670

Unamortized debt discount

14,004,085

6,431,146

885

2,832

Payment of outstandng outstanding Initial Notes

278,778

Interest expense related to the PIK and Additional PIK

$10,020

$81,718

10_INCOME_TAXES_Details

10. INCOME TAXES (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Deferred Tax Assets (Liabilities)	'	'
Intangible drilling costs	$620,287	$562,342
Net operating losses	6,610,176	4,131,374
Impairment - oil and natural gas properties	-1,133,723	-1,122,953
Other	-43,613	-33,885
Total noncurrent deferred tax asset	6,053,127	3,536,878
Less valuation allowance	-6,053,127	-3,536,878
Total deferred tax assets	'	'

10_INCOME_TAXES_Details_Narrat

10. INCOME TAXES (Details Narrative) (USD $)	3 Months Ended	6 Months Ended
10. INCOME TAXES (Details Narrative) (USD $)	Jun. 30, 2014	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'	'
Net change in valuation allowance	$1,439,815	$2,516,249
Federal net operating loss carryforwards	$14,840,519	$14,840,519
Federal net operating loss carryforwards, expiration date	'	'2031

11_COMMITMENTS_AND_CONTINGENCI1

11. COMMITMENTS AND CONTINGENCIES (Details Narrative) (USD $)	Jun. 30, 2014
Commitments And Contingencies Details Narrative	'
Obligation under lease	$106,631

12_SHAREHOLDERS_EQUITY_Details

12. SHAREHOLDERS' EQUITY (Details Narrative) (USD $)	6 Months Ended
12. SHAREHOLDERS' EQUITY (Details Narrative) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Preferred stock shares authorized	100,000,000	100,000,000
Preferred stock shares par value	$0.01	$0.01
Preferred stock shares outstanding	0	0
Common stock, par value	$0.00	$0.01
Common stock, shares authorized	200,000,000	200,000,000
Stock compensation expense recorded related to restricted stock	$1,376,565	'
Series A Preferred Stock	'	'
Preferred stock shares authorized	100,000,000	'
Preferred stock shares par value	$0.00	'
Preferred stock shares outstanding	0	'

13_STOCK_OPTIONS_AND_WARRANTS_1

13. STOCK OPTIONS AND WARRANTS (Details) (USD $)	Dec. 31, 2013	Jun. 30, 2014	Dec. 31, 2013
13. STOCK OPTIONS AND WARRANTS (Details) (USD $)	Dec. 31, 2013	Stock Options [Member]	Stock Option [Member]
Number of Shares	'	'	'
Number of Options Outstanding, Beginning	'	1,404,724	'
Number of Options Granted	'	80,000	'
Number of Options Exercised	'	-25,000	'
Number of Options Forfeited/canceled	'	'	'
Number of Options Outstanding, Ending	'	1,459,724	'
Exercisable	1,983,579	1,311,024	'
Weighted Average Exercise Price	'	'	'
Weighted Average Exercise Price Outstanding, Beginning	'	$0.80	'
Weighted Average Exercise Price Granted	'	$2.50	'
Weighted Average Exercise Price Exercised	'	$0.24	'
Weighted Average Exercise Price Outstanding, Ending	'	$0.90	'
Weighted Average Exercise Price Exercisable	'	$0.65	'
Weighted Average Remaining Contractual Life (in years)	'	'	'
Weighted Average Remaining Contractual Life (in years) Outstanding, Beginning	'	'8 years 1 month 2 days	'8 years 1 month 2 days
Weighted Average Remaining Contractual Life (in years) Outstanding, Ending	'	'7 years 5 months 9 days	'
Weighted Average Remaining Contractual Life (in years) Exercisable	'	'7 years 9 months 11 days	'

13_STOCK_OPTIONS_AND_WARRANTS_2

13. STOCK OPTIONS AND WARRANTS (Details 1) (USD $)	6 Months Ended	12 Months Ended
13. STOCK OPTIONS AND WARRANTS (Details 1) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Number of Shares	'	'
Exercisable	'	1,983,579
Warrant [Member]	'	'
Number of Shares	'	'
Number of Options Outstanding, Beginning	3,053,370	'
Number of Options Granted	1,333,334	'
Number of Options Exercised	-62,980	'
Number of Options Forfeited/canceled	-1,337,020	'
Number of Options Outstanding, Ending	2,986,704	3,053,370
Exercisable	2,986,704	'
Weighted Average Exercise Price	'	'
Weighted Average Exercise Price Outstanding, Beginning	$4.12	'
Weighted Average Exercise Price Granted	$1.87	'
Weighted Average Exercise Price Exercised	$0.27	'
Weighted Average Exercise Price Forfeited/canceled	$4.39	'
Weighted Average Exercise Price Outstanding, Ending	$3.08	$4.12
Weighted Average Exercise Price Exercisable	$3.08	'
Weighted Average Remaining Contractual Life (in years)	'	'
Weighted Average Remaining Contractual Life (in years) Outstanding, Beginning	'2 years 5 months 27 days	'2 years 5 months 27 days
Weighted Average Remaining Contractual Life (in years) Outstanding, Ending	'2 years 11 months 23 days	'
Weighted Average Remaining Contractual Life (in years) Exercisable	'2 years 11 months 23 days	'

13_STOCK_OPTIONS_AND_WARRANTS_3

13. STOCK OPTIONS AND WARRANTS (Details Narrative) (USD $)	6 Months Ended
13. STOCK OPTIONS AND WARRANTS (Details Narrative) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Recognized stock option based compensation expense	$89,977	'
Unamortized stock options expense	184,549	'
Option outstanding	1,978,446	2,178,812
Option exercisable	'	1,983,579
Warrant [Member]	'	'
Shares issued upon exercise	-62,980	'
Option exercisable	2,986,704	'
Intrinsic value	'	125,335
Stock Options [Member]	'	'
Shares issued upon exercise	-25,000	'
Option exercisable	1,311,024	'
Intrinsic value	'	125,335
PEDCO 2012 Equity Incentive Plan	'	'
Restricted stock granted	591,791	'
Common stock granted	405,804	'
2012 Incentive Plan	'	'
Increased number of common stock authorized to issue	5,000,000	'
Common stock authorized to issue	7,000,000	'
Restricted stock issued	1,270,752	'
Shares issued upon exercise	184,500	'
Shares remain available for future issuancce	5,544,748	'
2003 Stock Option Plan	'	'
Common stock granted	3,424	'

14_RELATED_PARTY_TRANSACTIONS_

14. RELATED PARTY TRANSACTIONS (Details Narrative) (USD $)	3 Months Ended			6 Months Ended
	Jun. 30, 2014	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014
	Condor [Member]	Condor [Member]	Condor [Member]	Condor [Member]
Notes payable	'	$6,170,000	'	'
Accrued interest	23,741	891,745	'	'
Accounts payable	'	40,136	432,433	'
Production related expenses	'	'	'	40,290
Capital expenditures incurred for drilling of three wells	'	'	'	1,853,424
Expenses related to a management services	166,546	'	'	334,530
Revised monthly management fee	'	'	'	55,755
Accrued management fees	'	$111,510	'	'