Hydrocarb Energy (HECCQ) 10-Q 21 Dec 15 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Oct. 31, 2015	Dec. 15, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	HYDROCARB ENERGY CORP
Entity Central Index Key	1,425,808
Current Fiscal Year End Date	--07-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		24,334,222
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Oct. 31, 2015

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)	Oct. 31, 2015	Jul. 31, 2015
Current assets:
Cash and cash equivalents	$ 201,353	$ 229,512
Oil and gas revenues receivable	212,177	219,676
Other current assets	366,895	526,056
Other receivables, net	392,825	101,334
Total current assets	1,173,250	1,076,578
Oil and gas properties, accounted for using the full cost method of accounting Evaluated property, net of accumulated depletion of $4,860,218 and $4,381,912, respectively; and accumulated impairment of $373,335 and $373,335, respectively	14,435,774	14,823,669
Unevaluated property	2,260,912	2,260,912
Restricted cash	8,480,160	12,488,755
Other assets	238,146	373,877
Property and equipment, net of accumulated depreciation of $199,909 and $190,971, respectively	101,772	110,710
TOTAL ASSETS	26,690,014	31,134,501
Current liabilities:
Accounts payable and accrued expenses	4,301,767	3,732,664
Short term notes payable, net of discount $1,776,093 and $906,981	5,668,832	4,719,284
Convertible short term related party note, net of discount of $1,786 and $198,647	348,215	1,708,637
Asset retirement obligation - short term	25,000	25,000
Derivative Liability	2,833,870	2,001,134
Advances	1,043,945	5,919,932
Due to related parties	156,585	78,585
Total current liabilities	14,378,214	18,185,236
Convertible notes payable, net of discount $1,092,115 and $81,782	442,883	374,053
Convertible notes payable, related party, net of discount $574,966 and $734,024	41,701	2,265,976
Notes Payable - related party	600,000	600,000
Asset retirement obligation - long term	11,046,157	10,797,858
Total liabilities	26,508,955	32,223,123
Stockholders' Equity (Deficit):
Common stock: $0.001 par value; 1,000,000,000 shares authorized; 24,208,742 and 23,001,589 shares issued and outstanding as of October 31, 2015 and July 31, 2015, respectively	24,209	23,002
Receivable for common stock	(413,898)	(413,898)
Additional paid-in capital	84,372,369	82,072,483
Accumulated deficit	(86,885,781)	(82,734,369)
Total deficit attributable to Hydrocarb Energy Corp.	216,899	(1,052,782)
Non-controlling interests	(35,840)	(35,840)
Total deficit	181,059	(1,088,622)
TOTAL LIABILITIES AND EQUITY (DEFICIT)	26,690,014	31,134,501
Series A Convertible Preferred Stock [Member]
Stockholders' Equity (Deficit):
Preferred stock	0	0
Series B Convertible Preferred Stock [Member]
Stockholders' Equity (Deficit):
Preferred stock	$ 3,120,000	$ 0

CONSOLIDATED BALANCE SHEETS (U3

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($)	Oct. 31, 2015	Jul. 31, 2015
ASSETS
Accumulated depletion on evaluated oil and gas property accounted for using the full cost method of accounting	$ 4,860,218	$ 4,381,912
Accumulated impairment on evaluated oil and gas property accounted for using the full cost method of accounting	373,335	373,335
Accumulated depreciation recorded for property and equipment	199,909	190,971
LIABILITIES AND EQUITY (DEFICIT)
Short term notes payable, discount value	1,776,093	906,981
Convertible short term notes payable - related party, discount value	1,786	198,647
Convertible notes payable, discount	1,092,115	81,782
Convertible notes payable - related party, discount value	$ 574,966	$ 734,024
Stockholders' Equity (Deficit):
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	24,208,742	23,001,589
Common stock, shares outstanding (in shares)	24,208,742	23,001,589
Series A Convertible Preferred Stock [Member]
Stockholders' Equity (Deficit):
Preferred stock, par value (in dollars per share)	$ 400	$ 400
Preferred stock, shares authorized (in shares)	10,000	10,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Series B Convertible Preferred Stock [Member]
Stockholders' Equity (Deficit):
Preferred stock, par value (in dollars per share)	$ 1,000
Preferred stock, shares authorized (in shares)	35,000
Preferred stock, shares issued (in shares)	3,120
Preferred stock, outstanding (in shares)	3,120

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Revenues	$ 1,211,406	$ 1,205,429
Operating expenses
Lease operating expense	1,164,974	1,297,555
Depreciation, depletion, and amortization	489,404	224,256
Accretion	248,299	302,208
General and administrative expense	2,366,174	943,280
Total operating expenses	4,268,851	2,767,299
Loss from operations	(3,057,445)	(1,561,870)
Other income (expense)	(12,114)	4,042
Interest expense, net	(2,356,493)	(227,777)
Gain on derivatives	1,273,926	0
Foreign currency transaction (loss)	714	4,759
Net loss before income taxes	(4,151,412)	(1,780,846)
Income tax provision	0	0
Net loss	(4,151,412)	(1,780,846)
Less: Net loss attributable to non-controlling interests	0	(1,323)
Net loss attributable to Hydrocarb Energy Corp.	$ (4,151,412)	$ (1,779,523)
Basic and diluted loss per common share (in dollars per share)	$ (0.18)	$ (0.08)
Weighted average shares outstanding (basic and diluted) (in shares)	23,512,300	21,151,819

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	3 Months Ended
	Oct. 31, 2015	Oct. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (4,151,412)	$ (1,780,846)
Adjustment to reconcile net loss to net cash used in operating activities:
Depreciation, depletion, and amortization	489,404	224,256
Accretion	248,299	302,208
Amortization of debt discount	1,518,758	196,278
Amortization on debt issuance cost	149,254	0
Stock issued for legal service	1,564,000	0
Share based compensation	8,000	280,475
Change in derivative liabilities	(1,273,926)	0
Changes in operating assets and liabilities:
Accounts receivable	7,499	132,907
Other receivable	(291,491)	0
Accounts receivable - related party	0	57,957
Other assets	148,475	114,400
Accounts payable and accrued expenses	(210,872)	(554,635)
Due to related parties	78,000	(66,957)
Advances	0	30,709
NET CASH USED IN OPERATIONS	(1,716,012)	(1,063,248)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of oil and gas properties	(90,408)	(401,831)
Purchases of property and equipment	0	(3,110)
CASH USED IN INVESTING ACTIVITIES	(90,408)	(404,941)
CASH FLOWS FROM FINANCING ACTIVITIES
Payments on notes payable	(954,561)	(285,983)
Proceeds from note payable to related party	616,667	0
Proceeds from borrowings	2,116,155	3,452,812
CASH PROVIDED BY FINANCING ACTIVITIES	1,778,261	3,166,829
NET CHANGE IN CASH AND CASH EQUIVALENTS	(28,159)	1,698,640
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	229,512	144,258
CASH AND CASH EQUIVALENTS AT END OF PERIOD	201,353	1,842,898
Cash paid during the period for:
Income taxes	0	0
Interest	574,974	8,054
NONCASH INVESTING AND FINANCING ACTIVITIES
Note conversion to preferred stock	3,120,000	0
Discount from derivatives	2,818,337	0
Stock issued for interest	17,419	0
Cashless warrant exercise	128	0
Resolution of derivative liability	711,675	0
Advances used for drilling	4,875,987	0
ARO change in estimate	0	(52,431)
Shares issued to lenders for debt	$ 0	$ 247,655

Description of Business and Sum

Description of Business and Summary of Significant Accounting Policies	3 Months Ended
	Oct. 31, 2015
Description of Business and Summary of Significant Accounting Policies [Abstract]
Description of Business and Summary of Significant Accounting Policies	Note 1 – Description of Business and Summary of Significant Accounting Policies Description of business and basis of presentation The unaudited consolidated financial statements of Hydrocarb Energy Corp. (" Hydrocarb HEC Company we us our SEC Annual Report We are a natural resource exploration and production company engaged in the exploration, acquisition, development, and production of oil and gas properties in the United States and onshore in Namibia, Africa. Effective September 28, 2015, the Company filed a Certificate of Amendment to its Articles of Incorporation with the Secretary of State of Nevada, to (1) affect an amendment to the Company's Articles of Incorporation to increase the number of authorized shares of the Company's common stock to 1,000,000,000 shares; (2) affect an amendment to the Company's Articles of Incorporation to authorize 100,000,000 shares of " blank check Blank Check Preferred Amendment Series A Amendment Series B Amendment In August 2015, the Company transferred the 39% working interest in certain Namibian oil and gas concessions then held by Namibia Exploration, Inc., the Company's wholly-owned subsidiary to Hydrocarb Namibia Energy (Pty) Limited, also the Company's wholly-owned subsidiary, to consolidate ownership of such working interests in Hydrocarb Namibia Energy (Pty) Limited. Our common stock is quoted under the symbol " HECC Reclassifications Certain prior year amounts have been reclassified to conform with the current presentation. Principles of consolidation We own 100% of the issued and outstanding share capital of (i) Penasco Petroleum Inc. (" Penasco GBE SPE NEI HCN Namibia Otaiba Other recently issued or adopted accounting pronouncements are not expected to have, or did not have, a material impact on our financial position or results from operations. Additionally, at the Company's Annual Meeting of Stockholders held on September 28, 2015, the Company's stockholders ratified the designation of the Company's Series A Preferred and on the same date, the Company designated Series A Preferred Stock with the Secretary of State of Nevada, provided that the approval of the Series A Preferred Stock was only to ratify the effect of certain prior transactions, and the Company has no outstanding Series A Preferred Stock and no current plans to issue Series A Preferred Stock at this time.

Oil and Gas Properties

Oil and Gas Properties	3 Months Ended
	Oct. 31, 2015
Oil and Gas Properties [Abstract]
Oil and Gas Properties	Note 2 Oil and natural gas properties consisted of the following: October 31, 2015 July 31, 2015 Evaluated Properties Costs subject to depletion $ 19,669,327 $ 19,578,916 Accumulated impairment (373,335 ) (373,335 ) Accumulated depletion (4,860,218 ) (4,381,912 ) Total evaluated properties 14,435,774 14,823,669 Unevaluated properties 2,260,912 2,260,912 Net oil and gas properties $ 16,696,686 $ 17,084,581 Evaluated properties Additions to evaluated oil and gas properties during the three months ended October 31, 2015 and during the year ended July 31, 2015 consisted mainly of exploration costs, geological and geophysical costs of $90,411 and $2,271,509, respectively. Unevaluated Properties Namibia, Africa We own 90% (100% cost responsibility) of our Namibia concession. As of October 31, 2015, approximately $2.3 million has been expended towards the initial exploration period.

Impairment

Impairment	3 Months Ended
	Oct. 31, 2015
Impairment [Abstract]
Impairment	Note 3 – Impairment Oil and Gas Properties We account for our oil and natural gas producing activities using the full cost method of accounting as prescribed by the United States Securities and Exchange Commission (" SEC We evaluated our capitalized costs using the full cost ceiling test as prescribed by the Securities and Exchange Commission at the end of each reporting period. As of October 31, 2015 and July 31, 2015, the net book value of oil and gas properties did not exceed the ceiling amount and thus, no impairment of the properties was required. Changes in production rates, levels of reserves, future development costs, and other factors will determine our actual ceiling test calculation and impairment analyses in future periods.

Asset Retirement Obligation

Asset Retirement Obligation	3 Months Ended
	Oct. 31, 2015
Asset Retirement Obligation [Abstract]
Asset Retirement Obligation	Note 4 – Asset Retirement Obligation The following is a reconciliation of our asset retirement obligation (ARO) liability as of October 31, 2015 and July 31, 2015, respectively. October 31, 2015 July 31, 2015 Reconciliation of asset retirement obligation balance: Liability for asset retirement obligation, beginning of period $ 10,822,858 $ 11,716,230 Asset retirement obligations sold - - Accretion 248,299 993,579 Revisions in estimated cash flows - (1,845,967 ) Costs incurred - (40,984 ) Liability for asset retirement obligation, end of period $ 11,071,157 $ 10,822,858 Current portion of asset retirement obligation $ 25,000 $ 25,000 Noncurrent portion of asset retirement obligation 11,046,157 10,797,858 Total liability for asset retirement obligation $ 11,071,157 $ 10,822,858

Related Party Notes Payable

Related Party Notes Payable	3 Months Ended
	Oct. 31, 2015
Related Party Notes Payable [Abstract]
Related Party Notes Payable	Note 5 – Related Party Notes Payable Related Party Installment Note Payable In November 2013, we issued a promissory note for funds received from Mr. Kent P. Watts, our Chairman, of $100,000. Under the terms of the note, principal on the note was due after one year and incurred interest at 5% per annum payable on a monthly basis. Accrued interest is payable monthly beginning in May 2014, and beginning in August 2014 the principal is due in 36 monthly payments through July 2017. The note is secured by the Company's assets owned by GBE, subject to any other lien holder's superior rights, if any. In April 2014, the Company entered into a new debt agreement whereby Mr. Watts agreed to loan the Company up to $600,000 at an interest rate of 6.25%. The previous debt of $100,000 was rolled into this new note. Additionally, we borrowed $200,000 from Mr. Watts during April 2014 and $300,000 from Mr. Watts in May 2014. The total balance on the note was $600,000 as of October 31, 2015. As part of the financing agreement with Shadow Tree Capital Management, LLC (as discussed below), this note has been subordinated, and no payments will be made until the Shadow Tree debt has been repaid. Related Party Exchange Agreement On June 10, 2015, with the approval of the Board of Directors of the Company (i.e., Mr. Watts personally, and Mr. Herndon, our then directors), Mr. Watts exchanged all rights he had to 8,188 shares of Series A 7% Convertible Voting Preferred Stock (which were required to have a face value of $3,275,200) pursuant to the terms of the HCN Exchange Agreement, and accrued and unpaid dividends which would have been due thereunder, assuming such Series A 7% Convertible Voting Preferred Stock was correctly designated and issued at the time of the HCN Exchange Agreement, totaling, $327,879, into 32 " Units WTI Interest Rate On July 21, 2015, Mr. Watts and the Company agreed in principle to reduce the number of total Units due to Mr. Watts to 30 units. On September 21, 2015, Mr. Watts and the Company entered into a First Amendment to Exchange Agreement, which amended the Exchange Agreement dated June 10, 2015. The First Amendment formally reduced the total Units due to Mr. Watts to 30 units, and as such, Mr. Watts received Convertible Promissory Notes with a principal amount of $3 million and 750,000 shares of common stock in connection with the exchange originally contemplated by the Exchange Agreement, valued at $614,141, which was recorded as a debt discount. As of October 31, 2015, Convertible Promissory Notes with a principal amount of $3 million and $70,000 accrued interest have been fully converted into 3,070 shares of Series B Convertible Preferred Stock for $1,000 per share. The Company has immediately recognized $734,024 of amortization expense of the note discount upon conversion. Duma Holding Convertible Promissory Note- Related Party On July 16, 2015, pursuant to a Note Subscription Agreement, we sold a $350,000 Convertible Secured Promissory Note (with a $7,000 original issuance discount) to Duma Holdings, LLC (" Duma Holding Duma Holdings Note Units Guarantee Agreements As of October 31, 2015, the net payable balance is $348,215. During the three months ended October 31, 2015, $5,476 of amortization of debt discount was expensed. The Company also recognized $17,516 in amortization of debt issue costs. On or around November 30, 2015, we and Duma Holdings agreed to amend the Duma Holdings Note to provide for an extension in the due date of the note until February 29, 2016, in connection with the payment by the Company of $19,705 of accrued interest on the note through November 30, 2015, and a $3,500 extension fee, and to allow for a subsequent extension in the discretion of the Company through May 31, 2016, with at least ten days’ notice to Duma Holdings before the current extended due date, and the payment to Duma Holdings of accrued interest owed through such extension date, and an extension fee of $3,500. Kent P. Watts and S. Chris Herndon Convertible Subordinated Promissory Note Subscription On September 14, 2015, Kent P. Watts, the Chief Executive Officer and Chairman of the Company subscribed for $350,000 in Convertible Subordinated Promissory Notes and on September 17, 2015 he subscribed for an additional $166,667 in Convertible Promissory Notes (collectively, the " Watts Notes WTI Rate WTI Interest Rate Previously, on August 26, 2015, Mr. S. Chris Herndon, the Company's director purchased a Convertible Promissory Note in the amount of $100,000 with substantially similar terms as the Watts Notes (the " Herndon Note As of October 31, 2015, the Watts Notes payable balance is $32,535. During the three months ended October 31, 2015, $32,535 of amortization of debt discount was expensed. As of October 31, 2015, the Herdon Note payable balance is $9,166. During the three months ended October 31, 2015, $9,166 of amortization of debt discount was expensed.

Notes Payable and Convertible N

Notes Payable and Convertible Notes	3 Months Ended
	Oct. 31, 2015
Notes Payable and Convertible Notes [Abstract]
Notes Payable and Convertible Notes	Note 6 – Notes Payable and Convertible Notes Credit Agreement Effective August 15, 2014, we entered into a Credit Agreement (the " Credit Agreement Agent Lenders Notes Structuring Fee Pursuant to the Credit Agreement, we had the right, at any time prior to the one year anniversary of the Credit Agreement, to borrow up to an additional $1,000,000 under the Credit Agreement (the " Additional Loan The amount owed pursuant to the Notes (and any amount borrowed pursuant to the Additional Loan) is guaranteed by our wholly-owned subsidiary, Hydrocarb Corporation (" HCN The Notes did not accrue any interest for the first nine months after their issuance date (August 15, 2014), provided thereafter they were to accrue interest at the rate of (a) 16% per annum where the average net monthly oil and gas production revenues of Galveston Bay Energy LLC, our wholly-owned subsidiary, for the trailing three month period (the " Trailing Three Month Revenues Pursuant to the Credit Agreement, we agreed to issue the Lenders their pro rata share of (a) 60,000 restricted shares of common stock on the effective date of the Credit Agreement, August 15, 2014 (the " Effective Date Loan Documents Effective June 10, 2015, we entered into an Amended and Restated Credit Agreement (the " Restated Credit Agreement Lenders The Restated Credit Agreement, increased the amount of interest due on additional loans made pursuant to the terms of the Restated Credit Agreement (provided that no additional loans were made under the credit agreement prior to the additional loans made in connection with the Restated Credit Agreement as discussed below) to 16% per annum (from 14% per annum pursuant to the prior terms); accelerated the maturity date of amounts borrowed from the Lenders under the credit agreement to November 30, 2015 (previously amounts borrowed were due August 15, 2016); provided for the Lenders to make additional loans of $475,632 (less an aggregate of $73,023 in fees and expenses, not including placement and other fees totaling 6% of the amount borrowed) as of the date of the Restated Credit Agreement, which loans have been made to date; removed the right of the Company to request further loans under the credit agreement; provided for the payment to the Lenders of an exit fee in the amount of 4% of the amount repaid under the Restated Credit Agreement, if repaid in full prior to July 31, 2015 (which amount was not repaid in full), and 5% of such repaid amount if repaid after July 31, 2015; provided for the immediate issuance of an aggregate of 32,500 shares of the Company's restricted common stock to the Lenders and the termination of any other requirements of the Company to issue additional shares to the Lenders pursuant to the terms of the credit agreement (previously 32,500 shares were due on the 18 month anniversary of the original closing and 25,000 shares were due on the 21 month anniversary of the original closing); required us to make all contractually required payments to Linc Energy LLC and make all necessary payments to and take or cause to be taken all other commercially reasonable actions to cause the Redfish Reef field to be both producing and distributing meaningful quantities of oil and gas no later than July 15, 2015, subject to circumstances beyond our control; modified certain of the covenants described in the Credit Agreement; waived, effective as of the date of the Restated Credit Agreement all previous defaults which the Lenders had notice of under the original Credit Agreement; and effected various non-material revisions and updates to the original Credit Agreement. We have evaluated this amendment and determined it did not qualify for extinguishment accounting. In connection with the amendments to the original Credit Agreement discussed above, we also entered into a First Amendment to Stock Grant Agreement and additional promissory notes evidencing the additional loan described above in the aggregate amount of $475,632 with the Lenders (the " Additional Notes The Restated Credit Agreement, contains customary representations, warranties, covenants and requirements for the Company to indemnify the Lenders, Agent and their affiliates. The Restated Credit Agreement also includes various covenants (positive and negative) binding upon the Company (and its subsidiaries), including but not limited to, requiring that the Company comply with certain reporting requirements, and provide notices of material corporate events and forecasts to Agent, and prohibiting us from (i) incurring any additional debt; (ii) creating any liens; (iii) making any investments; (iv) materially changing our business; (v) repaying outstanding debt; (vi) affecting a business combination, sale or transfer; (vii) undertaking transactions with affiliates; (viii) amending our organizational documents; (ix) forming subsidiaries; or (x) taking any action not in the usual course of business, in each case except as set forth in the Restated Credit Agreement. The Restated Credit Agreement includes customary events of default for facilities of a similar nature and size as the Credit Agreement, including, but not limited to, if any breach or default occurs under the Loan Documents, the failure of the Company to pay any amount when due under the Loan Documents, if the Company (or its subsidiaries) is subject to any judgment in excess of $250,000 which is not discharged or stayed within 30 days, or if a change in control of the Company, any subsidiary or any guarantor should occur, defined for purposes of the Restated Credit Agreement as any transfer of 25% or more of the voting stock of such entity. For the term loan, the Company has recognized $254,809 of amortization expense of the original issuance discount, with a net payable balance of $4,467,712 and unamortized original issuance discount of $77,743 as of October 31, 2015. In addition, we have recognized $283,455 of debt issuance cost related to professional fees and expenses, which we have classified within other non-current assets, related to the issuance of this debt. We are amortizing these costs over the term of the loan. During the year ended October 31, 2015, we recognized $68,342 of amortization expense and have $24,626 in unamortized debt issuance cost as of October 31, 2015. For the additional loan, the Company has recognized $45,686 of amortization expense of the original issuance discount, with a net payable balance of $448,997 and unamortized original issuance discount of $26,635 as of October 31, 2015. In addition, we have recognized $23,782 of debt issuance cost related to professional fees and expenses, which we have classified within other non-current assets, related to the issuance of this debt. We are amortizing these costs over the term of the loan. During the three months ended October 31, 2015, we recognized $13,113 of amortization expense and have $4,930 in unamortized debt issuance cost as of October 31, 2015. Installment Notes Payable In February 2015, we financed our commercial insurance program using a note payable for $414,384. Under the note, we are obligated to make eight payments of $52,586 per month, which include principal and interest, beginning in March 2015. As of October 31, 2015, the note payable has been paid off. Convertible Notes Payable KBM Worldwide, Inc. Convertible Note On February 19, 2015, we sold KBM Worldwide, Inc. (" KBM KBM Convertible Note The principal amount of the KBM Convertible Note and all accrued interest is convertible at the option of the holder thereof into our common stock at any time following the 180th day after the KBM Convertible Note was issued. The conversion price of the KBM Convertible Note is equal to 50% multiplied by the average of the lowest five closing bid prices of our common stock during the fifteen trading days immediately prior to the date of any conversion. The KBM Convertible Note included a $26,000 original issue discount and we paid $4,000 of KBM's attorney's fees in connection with the sale of the KBM Convertible Note and as such, the net amount, before our expenses, that we received upon sale of the KBM Convertible Note was $320,000. We are required to keep reserved from our authorized but unissued shares of common stock eight times the number of shares of common stock issuable upon conversion of the KBM Convertible Note at all times and if we fail to keep such amount reserved it is considered an event of default under the KBM Convertible Note. At no time may the KBM Convertible Note be converted into shares of our common stock if such conversion would result in KBM and its affiliates owning an aggregate of in excess of 9.99% of the then outstanding shares of our common stock. We may prepay in full the unpaid principal and interest on the KBM Convertible Note, upon notice, any time prior to the 180th day after the issuance date. Any prepayment is subject to payment of a prepayment amount ranging from 110% to 135% of the then outstanding balance on the KBM Convertible Note (inclusive of accrued and unpaid interest and any default amounts then owing), depending on when such prepayment is made. We also deposited 750,000 shares of our common stock into escrow with KBM's counsel to secure the repayment of the KBM Convertible Note, which shares are to be held in escrow and released to KBM only upon the occurrence of an event of default under the KBM Convertible Note. These shares have been returned to the Company as of October 28, 2015, and cancelled. As of October 31, 2015, we had repaid the note and all accrued interest. As of October 31, 2015, the Company had recognized the remaining discount of $14,381 into amortization expense of the note discount. The Company also recognized amortization of debt issue costs of $11,063. Typenex Co-Investment, LLC Convertible Note On March 5, 2015, we sold a Secured Convertible Promissory Note (the " Typenex Convertible Note Typenex We have the right to prepay the Typenex Convertible Note, pursuant to the terms thereof, at any time, provided we pay a prepayment amount of 125% of the then outstanding balance. The principal amount of the Typenex Convertible Note and all accrued interest is convertible at the option of the holder thereof into our common stock at any time. The conversion price of the Typenex Convertible Note is initially $2.25 per share, provided that if our market capitalization falls below $20 million (provided further that our current market capitalization is below $20 million), the conversion price becomes the lower of $2.25 per share and the average of the five lowest closing bid prices of our common stock on the twenty trading days immediately prior to such conversion date (the " Market Price The Typenex Convertible Note included a $45,000 original issuance discount and we agreed to pay $5,000 of Typenex's legal fees in connection with the transaction. As a result, the net amount received in connection with the sale of the Typenex Convertible Note, before our expenses, was $300,000. The Typenex Convertible Note also includes anti-dilution rights in the event we sell or issue any securities with a price less than the applicable conversion price, subject to certain exceptions. The Typenex Convertible Note also includes various restrictions on our ability to enter into subsequent variable rate security transactions following the date thereof. On the date that is six months after March 5, 2015, and continuing each month thereafter until maturity, we are required to prepay the Convertible Secured Note in cash or shares of our common stock (provided that upon the occurrence of certain defaults described in the Typenex Convertible Note we are only able to pay this amount in cash), an amount equal to the greater of (i) $70,000 and (ii) the outstanding balance of the Convertible Secured Note divided by the number of such required installment payments prior to the maturity date. Additionally, on the twentieth trading day following the date each tranche of installment shares becomes free trading we are required to issue Typenex additional shares of common stock if the applicable conversion price calculated on the true-up date is less than the original conversion price. We are subject to various fees and penalties under the Typenex Convertible Note for our failure to timely deliver shares due upon any conversion or installment payment. At no time may the Typenex Convertible Note be converted into shares of our common stock if such conversion would result in Typenex and its affiliates owning an aggregate of in excess of 4.99% of the then outstanding shares of our common stock, provided such percentage increases to 9.99% if our market capitalization is less than $10 million, and provided further that Typenex may change such percentage from time to time upon not less than 61 days prior written notice to us. As additional consideration for the loan evidenced by the Typenex Convertible Note, the Company granted Typenex a five year warrant to purchase 38,889 shares of our common stock at an exercise price of $2.25 per share (the " Warrant The Warrant contains anti-dilution rights such that if we issue or sell or are deemed to issue or sell securities for less than the then applicable exercise price of the Warrant, subject to certain exceptions, the exercise price of the Warrant is reduced to such lower price and the number of shares of common stock issuable upon exercise of the Warrant increases, such that the aggregate exercise price payable upon exercise of the Warrant remains the same upon such anti-dilutive adjustment, up to a maximum of three times the current number of shares issuable upon exercise of the Warrant, subject to certain exceptions upon which there is no cap on the number of shares issuable upon exercise of the Warrant. The amounts owed under the Typenex Convertible Note were secured by a Stock Pledge Agreement (the " Pledge Agreement CW Navigation Shadow Tree As of October 31, 2015, we had repaid the note and all accrued interest. As of October 31, 2015, the Company had recognized the remaining discount of $142,165 into amortization expense of the note discount. The Company also recognized amortization of debt issue costs of $22,099. Vis Vires Group Convertible Promissory Note On March 31, 2015, we sold Vis Vires Group, Inc. (" Vis Vires Vis Vires Convertible Note The principal amount of the Vis Vires Convertible Note and all accrued interest is convertible at the option of the holder thereof into our common stock at any time following the 180th day after the Vis Vires Convertible Note was issued. The conversion price of the Vis Vires Convertible Note is equal to the greater of (a) 50% multiplied by the average of the lowest five closing bid prices of our common stock during the fifteen trading days immediately prior to the date of any conversion; and (b) $0.00005. The Vis Vires Convertible Note included a $9,500 original issue discount and we paid $5,000 of Vis Vires's attorney's fees in connection with the sale of the Vis Vires Convertible Note and as such, the net amount, before our expenses, that we received upon sale of the Vis Vires Convertible Note was $400,000. We are required to keep reserved from our authorized but unissued shares of common stock 8 million shares of common stock issuable upon conversion of the Vis Vires Convertible Note at all times and if we fail to keep such amount reserved it is considered an event of default under the Vis Vires Convertible Note. At no time may the Vis Vires Convertible Note be converted into shares of our common stock if such conversion would result in Vis Vires and its affiliates owning an aggregate of in excess of 9.99% of the then outstanding shares of our common stock. We may prepay in full the unpaid principal and interest on the Vis Vires Convertible Note, upon notice, any time prior to the 180 th As of October 31, 2015, we had repaid the note and all accrued interest. As of October 31, 2015, the Company had recognized the remaining discount of $6,351 into amortization expense of the note discount. The Company also recognized amortization of debt issue costs of $16,712. JMJ Convertible Promissory Note On July 28, 2015, the Company sold JMJ Financial (" JMJ JMJ Convertible Note The JMJ Convertible Note (including principal and accrued interest and where applicable other fees) is convertible into our common stock, beginning 180 days after the date the note was sold (January 24, 2016), at the lesser of $1.23 per share or 60% of the lowest trading price of our common stock in the 25 trading days prior to the date of any conversion, provided that if we are not DWAC eligible at the time of any conversion an additional 10% discount applies, and in the event our common stock is not DTC eligible at the time of any conversion, an additional 5% discount applies. The JMJ Convertible Note provides that unless we and JMJ agree in writing, JMJ is not eligible to convert any amount of the note into common stock which would result in JMJ owning more than 4.99% of our common stock. JMJ agreed to subordinate all amounts owed to it under the JMJ Convertible Note to the amounts we owe to our senior lender. A one-time interest charge of 12% was applied to the principal amount of the note, which remains payable regardless of the repayment (or conversion) date of the note. As of October 31, 2015, the Company had recognized $3,268 of amortization expense of the note discount, with a net payable balance of $344,468 and unamortized debt discount of $28,865. We are amortizing these discounts over the term of the note using effective interest method. Christian Smith & Jewell Convertible Note On May 29, 2015, the Company entered into a revolving line of credit agreement with Christian Smith & Jewell, the Company's legal counsel. The line of credit established a revolving line of credit in the amount of up to $350,000 for legal fees due to the law firm, including $200,000 previously accrued. Advances of credit under the line of credit are in the discretion of the law firm. Amounts subject to the line of credit are evidenced by individual convertible promissory notes, which have customary events of default, accrue interest at the rate of 3% per annum (12% upon an event of default), are due on demand, and are convertible (along with accrued and unpaid interest) into shares of the Company's common stock at a conversion price of $1.17 per share. Amounts due can be paid at any time without penalty, provided the Company gives at least 30 days prior notice of its intention to repay amounts owed. The notes each contain a 4.99% ownership limitation. In connection with the entry into the line of credit, the Company issued the law firm a convertible promissory note in the amount of $200,000. For the term loan, the Company has recognized $28,488 of amortization expense of the note discount, with a net payable balance of $442,784, including the unamortized original issuance discount as of October 31, 2015. We are amortizing these discounts over the term of the note. David L. Gillespie Unit Note Effective on July 15, 2015, the Company sold David Gillespie, 0.5 Unit for an aggregate purchase price of $50,000, with each Unit consisting of (a) 25,000 shares of the restricted common stock of the Company (the " Shares Note WTI Interest Rate As of October 31, 2015, Convertible Promissory Notes with a principal amount of $50,000 have been fully converted into 50 shares of Series B Convertible Preferred Stock for $1,000 per share. The Company has immediately recognized $17,282 of amortization expense of the note discount upon conversion. Typenex Co-Investment, LLC Convertible Note On October 19, 2015, and effective October 16, 2015, we Typenex Note Typenex The Typenex Note is due on April 19, 2016 and no interest accrues on the Typenex Note unless an event of default occurs thereunder. The note is convertible into common stock, as discussed below, only if an event of default under the note occurs and is not cured pursuant to the terms of the note. Following an event of default, the note accrues interest at the rate of 22% per annum (subject to applicable usury laws) until paid in full. We have the right to pre-pay the Typenex Convertible Note prior to maturity, provided that we pay $1,492,500 on or before 90 days after the date the note is issued; $1,611,250 after 90 days, but before 135 days, after the note is issued; and the full amount of the note, $1,730,000, between the date that is 135 days after the note is issued and maturity. The amounts owed under the Typenex Note were secured by a Stock Pledge Agreement (the " Pledge Agreement CW Navigation The Typenex Note provides for customary events of default such as failing to timely make payments under the Typenex Note when due, and including our failure to maintain a reserve of shares in connection with the conversion of the Typenex Note equal to at least three times the number of shares of common stock that could be issuable thereunder at any time (initially 3 million shares), failing to repay all of our currently outstanding variable rate convertible securities within thirty days of the date of the note, failing to repay our senior creditor (Shadow Tree, as defined below) by the maturity date of the Typenex Note or alternatively, failing to receive Shadow Tree's consent to repay the Typenex Note at maturity in cash, and in the event the value of the securities pledged pursuant to the Pledge Agreement (as discussed above) falls below the required value after November 1, 2015, subject where applicable to our ability to cure certain defaults. Additionally, it is an event of default under the note in the event we fail to repay all of our outstanding variable securities within 30 days of the date of the note (the " Variable Security Payment Date At any time following an uncured event of default, Typenex has the right to convert any or all of the outstanding principal amount of the note into our common stock. The conversion price of the Typenex Note is 80% of the five lowest closing bid prices of our common stock on the 20 trading days prior to any conversion, provided that if the average of such closing bid prices is below $0.75 per share, the conversion rate is decreased by 5% (to 75%), and provided further that the conversion rate is decreased by an additional 5% if we are not DWAC eligible at any time or DTC eligible at any time (for up to an aggregate of an additional 10% decrease in the conversion rate). Finally, in the event certain defaults (defined as major defaults under the note) occur, the conversion rate may be decreased by up to an additional 15% (an additional 5% decrease in the conversion rate per the occurrence of the first three major defaults). Typenex also has the right upon the occurrence of an event of default to require us to repay in full the amount owed under the note by providing us written notice, subject to the terms of a subordination agreement entered into by Typenex in favor of our senior lender. Additionally, upon the occurrence of certain events of default as described in the Typenex Note, we are required to repay Typenex liquidated damages in addition to the amount owed under the Typenex Note. At no time may the Typenex Note be converted into shares of our common stock if such conversion would result in Typenex and its affiliates owning an aggregate of in excess of 4.99% of the then outstanding shares of our common stock, provided such percentage increases to 9.99% if our market capitalization is less than $10 million, and provided further that Typenex may change such percentage from time to time upon not less than 61 days prior written notice to us. Additionally, and at no time may pledged shares be received by Typenex pursuant to the terms of the Pledge Agreement, which would result in Typenex and its affiliates owning an aggregate of in excess of 9.99% of the then outstanding shares of our common stock. We are subject to various fees and penalties under the Typenex Note for our failure to timely deliver shares due upon any conversion. The Typenex Note also includes various restrictions on our ability to enter into subsequent variable rate security transactions following the date thereof. Typenex also entered into a Subordination Agreement in favor of our senior lender, Shadow Tree Capital Management, LLC (" Shadow Tree As of October 31, 2015, the Company has recognized $126,844 of amortization expense of the note discount, with a net payable balance of $309,339 and unamortized debt discount of $1,420,661. We are amortizing these discounts over the term of the note using the effective interest method. The Company also recognized $17,516 in amortization of debt issue costs. Brian Kenny Convertible Promissory Note Effective on July 28, 2015, the Company owed Brian Kenny, the aggregate principal amount of $32,500, which accrued interest at 12% per annum. The maturity date of this convertible note is July 31, 2017. At any time prior to the earlier of the payment in full by the Company and the conversion in full, the outstanding amount of this convertible note can be converted into restricted shares of common stock of the Company at the conversion price of $0.75 per share. The outstanding amount of this convertible note will be converted automatically on the condition that the closing sales price of the Company’s common stock is equal to at least the trading price for a period of at least twenty (20) days out of any consecutive thirty (30) trading days. For the term loan, the Company has recognized $4,074 of amortization expense of the debt discount, with a net payable balance of $4,206 and unamortized debt discount of $28,294 as of October 31, 2015. Convertible Subordinated Promissory Note Offering From August to September 2015, the Company sold $1,745,832 in Convertible Subordinated Promissory Notes (including $83,333 in notes sold to Clint Summers who was a director of the Company from September 7, 2015 until his untimely death shortly thereafter; $100,000 to the Company's director, S. Chris Herndon; and $516,667 to entities owned or controlled by Kent P. Watts, the Company's Chief Executive Officer and Chairman). The notes are due two years from their issuance date, accrue interest which is payable quarterly in arrears, at either a cash interest rate (equal to the WTI Rate described below) or a stock interest rate (12% per annum)(at the option of each holder at the beginning of each quarter), provided no principal or interest can be paid in cash until all amounts owed by the Company to its senior lender is paid in full. In the event the stock interest rate is chosen by the holder, restricted shares of common stock equal to the total accrued dividend divided by the average of the closing sales prices of the Company's common stock for the applicable quarter are required to be issued in satisfaction of amounts owed on a quarterly basis. In the event the cash interest rate is chosen, interest accrues until converted into common stock (as discussed below) or until the Company is able to pay such accrued interest in cash pursuant to the terms of the note. The " WTI Rate WTI Interest Rate As of October 31, 2015, the Company has recognized $135,910 of amortization expense of the note discount, with a net payable balance of $135,910 and unamortized debt discount of $1,487,716. We are amortizing these discounts over the term of the note using the effective interest method.

Fair Value

Fair Value	3 Months Ended
	Oct. 31, 2015
Fair Value [Abstract]
Fair Value	Note 7 – Fair Value As defined in FASB ASC Topic 820, 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. This Topic 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: Pricing inputs other than quoted market prices included in Level 1 that are based on observable market data and are directly or indirectly observable for substantially the full term of the asset or liability. These include quoted market prices for similar assets or liabilities, quoted market prices for identical or similar assets in markets that are not active, adjusted quoted market prices, inputs from observable data such as interest rate and yield curves, volatilities or default rates observable at commonly quoted intervals, or inputs derived from observable market data by correlation or other means. Level 3: Pricing inputs that are unobservable or less observable from objective sources. Unobservable inputs should only be used to the extent observable inputs are not available. These inputs maintain the concept of an exit price from the perspective of a market participant and should reflect assumptions of other market participants. An entity should consider all market participant assumptions that are available without unreasonable cost and effort. These are given the lowest priority and are generally used in internally developed methodologies to generate management's best estimate of the fair value when no observable market data is available. 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. Certain assets and liabilities are reported at fair value on a recurring or nonrecurring basis in the Company's consolidated balance sheets. These methods and assumptions are discribed in Note 8 - Derivative Liabilities

Derivative Liabilities

Derivative Liabilities	3 Months Ended
	Oct. 31, 2015
Derivative Liabilities [Abstract]
Derivative Liabilities	Note 8 – Derivative Liabilities Derivative Liabilities The following table sets forth, by level within the fair value hierarchy, the Company's financial assets and liabilities that were accounted for at fair value on a recurring basis as of October 31, 2015: Description (Level 1) (Level 2) (Level 3) Total Carrying Value Convertible Notes $ - $ - $ 1,067,414 $ 1,067,414 Tainted Conversion Notes (Note 6) $ - $ - $ 1,766,456 1,766,456 Total $ - $ - $ 2,833,870 $ 2,833,870 Embedded Derivative Instruments The Company determined that the following convertible notes (collectively " Convertible Notes fixed-for-fixed * Typenex Co-Investment, LLC Convertible Note * Duma Holdings Convertible Note Tainted Convertible Notes For the year ended October 31, 2015, newly issued convertible notes were considered tainted derivative instruments due to the issuances of various convertibles notes issued. Those convertible notes contain a variable conversion price and therefore, we cannot conclude that we will have sufficient authorized unissued shares to settle all the warrants and convertible notes. Accordingly, the Company recorded a derivative liability for the aggregate fair value of the tainted convertible notes. (Refer to Note 7 for further information regarding the convertible notes): ● Tainted Kent P. Watts Convertible Note ● Tainted Christian Smith & Jewell Law Note ● Tainted David L. Gillespie Convertible Note ● Tainted Brian Kenny Convertible Note ● Tainted Farid Barkhorder Convertible Note ● Tainted Robert Klinek and Susan Pack Convertible Note ● Tainted Lee Walinsky Convertible Note ● Tainted S. Chris Herndon Convertible Note ● Tainted Robert B. Kahw Convertible Note ● Tainted Donald P. Clary Convertible Note ● Tainted Jay Fishman Convertible Note ● Tainted Carl Miller and Deanna Miller Convertible Note ● Tainted Barry Robbins Convertible Note ● Tainted Brent & Silvia Sagissor Convertible Note ● Tainted David and Ginger Levy Trust Convertible Note ● Tainted Kevin R. Minor Convertible Note ● Tainted Timothy Hoke Smith Convertible Note ● Tainted Clint D. Summers Convertible Note ● Tainted Sean M. Crowley Trust Convertible Note The Company determined the fair values of the embedded convertible notes derivatives and tainted convertible notes using the lattice valuation model with the following assumptions: Initial October Common stock issuable 5,884,277 5,949,825 Market value of common stock on measurement date (1) $ 0.91 – 1.50 $ 1.17 Adjusted exercise price $ 0.52 – 4.00 $ 0.28-4.00 Risk free interest rate (2) 0.06% - 0.25 % 0.01%-1.00 % Instrument lives in years 0.17 – 2.00 0.17 – 1.90 Expected volatility (3) 82%-115 % 85%-119 % Expected dividend yields (4) None None (1) The market value of common stock is the stock price at the close of trading on the date of issuance or at period-end, as applicable. (2) The risk-free interest rate was determined by management using between the 0.17 and 2 - year Treasury Bill as of the respective offering or measurement date. (3) The historical trading volatility was determined by the Company's trading history. (4) Management determined the dividend yield to be -0-% based upon its expectation that it will not pay dividends for the foreseeable future. Activity for embedded derivative instruments during the year ended October 31, 2015 was as follows: Balance at July 31, 2015 Initial Valuation of Embedded Derivative Instruments Issued During the Period Increase (Decrease) in Fair Value of Derivative Liabilities Fair Value of Derivative Liabilities on Repayment of Debt Change of Derivative Liabilities upon Conversion Balance at October 31, 2015 Typenex Co-Investment $ 1,212,688 $ 1,072,506 $ (428,740 ) $ (789,040 ) $ $ 1,067,414 Duma Holdings 546 - (546 ) - - KBM Worldwide, Inc. - - 469,272 (469,272 ) -- VIS VIRES Group, Inc - - 504,222 (504,222 ) -- Embedded Convertible Note-Subtotal 1,213,234 1,072,506 544,208 (1,762,534 ) 1,067,414 Tainted Kent P. Watts 319,960 692,719 (138,202 ) - (363,659 ) 510,818 Tainted Christian Smith & Jewell 167,077 - (132,130 ) - 34,947 Tainted David L. Gillespie 4,956 - 824 - (5,780 ) - Tainted Brian Kenny 34,330 - (3,540 ) - 30,790 Farid Barkhorder - 78,685 (29,016 ) - 49,669 Robert Klinek and Susan Pack - 389,566 (120,800 ) - 268,766 Lee Walinsky - 34,074 (9,326 ) - 24,748 S. Chris Herndon - 144,336 (44,997 ) - 99,339 Robert B. Kahw - 120,023 (45,660 ) - 74,363 Donald P. Clary - 68,148 (18,652 ) - 49,496 Jay Fishman - 102,222 (27,978 ) - 74,244 Carl Miller and Deanna Miller - 45,431 (12,434 ) - 32,997 Barry Robbins - 50,746 (13,761 ) - 36,985 Brent & Silvia Sagissor - 45,431 (12,435 ) - 32,996 David and Ginger Levy Trust - 212,393 (63,114 ) - 149,279 Kevin R. Minor - 45,431 (12,434 ) - 32,997 Timothy Hoke Smith - 45,431 (12,434 ) - 32,997 Clint D. Summers - 113,579 (31,087 ) - 82,492 Sean M. Crowley Trust - 189,971 (41,438 ) - 148,533 Tainted Note - Subtotal 526,323 2,378,186 (768,614 ) - 1,766,456 Note Derivatives - Total $ 1,739,557 $ 3,450,692 $ (224,406 ) $ (1,762,534 ) $ (369,439 ) $ 2,833,870 Warrants As additional consideration for the loan evidenced by the Typenex Convertible Note, we granted Typenex a five year warrant (the " Typenex Warrants In addition, the Typenex Warrants contain anti-dilution provisions that provide for a reduction in the exercise price of such warrants in the event that future common stock (or securities convertible into or exercisable for common stock) is issued (or becomes contractually issuable) at a price per share (a " Lower Price fixed-for-fixed Tainted Warrants During the year ended July 31, 2011, we entered into a consulting agreement with Geoserve Marketing, LLC (" Geoserve Warrant B Warrant C On February 17, 2015, the Warrant B and Warrant C that were previously issued to Geoserve were considered tainted derivative instruments due to the issuances of various convertibles notes during the three months ended April 30, 2014. Those convertible notes contain variable conversion price and therefore, we cannot conclude that we will have sufficient authorized unissued shares to settle all the warrants and convertible notes. Accordingly, the Company recorded a derivative liability for the aggregate fair value of the Warrant B and Warrant C. The fair values of these warrants were recognized as derivative warrant instruments at issuance or when they become issuable and are measured at fair value at each reporting period. The Company determined the fair values of these warrants using a lattice valuation model. Activity for derivative warrant instruments during the three months ended October 31, 2015 was as follows: Balance at July 31, 2015 Initial Valuation Increase (Decrease) in Fair Value of Derivative Liabilities Change of Derivative Liabilities upon Conversion Balance at October 31, 2015 Tainted Warrant-Geoserve (Note 7) $ 8,722 $ - $ (8,722 ) $ - $ - Typenex Co-Warrants $ 252,855 $ - $ 89,381 $ (342,236 ) $ - $ 261,577 $ - $ 80,659 $ (342,236 ) $ - The Company determined the fair values of the warrant derivatives using the lattice valuation model with the following assumptions: Initial October 31, 2015 Common stock issuable 705,556 666,667 Market value of common stock on measurement date (1) $ 0.92-1.07 $ 1.17 Adjusted exercise price $ 2.25-7.50 $ 7.50 Risk free interest rate (3) 0.25-1.57 % 0.08 % Instrument lives in years 1.00-5.00 0.29 Expected volatility 112 % 84 % Expected dividend yields (4) None None (1) The market value of common stock is the stock price at the close of trading on the date of issuance or at period-end, as applicable. (3) The risk-free interest rate was determined by management using 0.29 - year Treasury Bill as of the respective offering or measurement date. (4) Management determined the dividend yield to be -0-% based upon its expectation that it will not pay dividends for the foreseeable future. As of , the aggregated balance of derivative liability was $2,833,870 .

Capital Stock

Capital Stock	3 Months Ended
	Oct. 31, 2015
Capital Stock [Abstract]
Capital Stock	Note 9 – Capital Stock Series B Preferred Stock Effective on September 28, 2015, with the designation of its Series B Convertible Preferred Stock, the Convertible Promissory Notes received by Mr. Watts in connection with the Exchange Agreement automatically converted into 3,070 shares of Series B Convertible Preferred Stock for $1,000 per share. Also on September 28, 2015, the Convertible Promissory Notes received by David L. Gillespie automatically converted into 50 shares of Series B Convertible Preferred Stock for $1,000 per share. Common Stock Issuances During the three months ended , 6,796 shares of restricted common stock valued at $8,000 were issued to directors of the Company as director compensation. During the three months ended , we issued a total of 12,309 shares to settle stock interest for Convertible Subordinated Promissory Notes. The value of these shares is $17,419. On September 8, 2015, 128,048 shares of common stock were issued for Typenex cashless warrant exercise. According to Lattice valuation model, derivative liabilities amount of $342,236 have been resolved to additional paid in capital. Shares were issued at par value of Common Stock for 0.001 per share. In August 2015, the Company issued 60,000 Form S-8 registered shares to James W. Christian, a partner at Christian Smith & Jewell, the Company's legal counsel, in consideration for legal fees owed. The fair value of the 60,000 shares issued for services is $84,000. In September 2015, the Company issued 1,000,000 shares of restricted common stock to Snap or Tap Productions, LLC in consideration for agreeing to provide two years of public relations and investor awareness services to the Company. The shares are fully vested upon issuance. The fair value of the shares was $1,480,000. Receivables for Common Stock On September 6, 2013, HCN sold 191,667 shares of HEC common stock to an employee of HCN (the nephew of our Chairman and Chief Executive Officer) in exchange for a note receivable in the amount of $1,000,000. HEC acquired this receivable upon its acquisition of HCN. The note is non-interest bearing and is payable only upon the sale of the common stock to a third party or HEC stock being listed on either the NASDAQ or NYSE stock exchanges. We will receive 95% of the proceeds up to $1,000,000 if the underlying stock is sold to a third party. Within 90 days of HEC stock being listed on a major stock exchange, we will receive up to $1,000,000, or the note can be paid earlier at the discretion of the other party. These shares of common stock are held in the name of the investors and are beneficially owned by the investors and the shares are not retrievable by the Company. At , we have $325,000 outstanding on this receivable. On December 4, 2013, HCN sold 619,960 shares of unregistered and restricted Company common stock in return for a $1,859,879 non-interest bearing note receivable from SMDRE LLC (" SMDRE On April 27, 2015, the Board of Directors agreed to offer SMDRE the option, for 90 days, for the SMDRE note to be paid in full for a 67% discount (i.e., the offer to be paid $619,898 immediately) (the “ Pre-Payment Option ”). Between April 27, 2015 and July 9, 2015, the Company received payments on the SMDRE LLC note in the amount of $531,000. The balance of the discounted note of $88,898 has been extended until the end of calendar year 2015. During fiscal year , we have written off $1,239,981 related to the discount on this receivable. Stock Compensation Plans As of the Company could grant up to 267,744 shares of common stock under the 2013 Stock Incentive Plan (“ 2013 Plan ”). The 2013 Plan is administered by the Compensation Committee of the Board of Directors, or in the absence of a Compensation Committee, the full Board of Directors, which has substantial discretion to determine persons, amounts, time, price, exercise terms, and restrictions of the grants, if any. As of October 31, 2015, the Company could grant up to 1,000,000 shares of common stock under the 2015 Stock Incentive Plan (the “ 2015 Plan Options granted to non-employees We account for options granted to non-employees under the provisions of ASC 505-50, Equity-Based Payments to Non-employees, and record the associated expense at fair value on the final measurement date. Because there is no disincentive for nonperformance for these awards, the final measurement date occurs when the services are complete, which is the vesting date. For the options granted to non-employees on a graded vesting schedule, we estimate the fair value of the award as of the end of each reporting period and recognize an appropriate portion of the cost based on the fair value on that date. When the award vests, we adjust the cost previously recognized so that the cost ultimately recognized is equivalent to the fair value on the date the performance is complete. The following table provides information about options granted to non-employees under our stock incentive plans during the years ended as follows: As of October 31 2015 2014 Number of options granted - 25,000 Compensation expense recognized $ - $ 112,500 Weighted average exercise price of options granted $ - $ 4.50 Summary information regarding stock options issued and outstanding as follows: Options Weighted average share price Aggregate intrinsic value Weighted average remaining contractual life (in years) Outstanding at July 31, 2015 $ 198,333 $ 6.52 $ - 4.06 Granted - - - - Exercised - - - - Expired or forfeited - - - - Exercisable at October 31 $ 198,333 $ 6.63 $ - 6.48 No non-vested stock options existed as of October 31, 2015 Warrants Effective September 8, 2015, Typenex Co-Investment, LLC (“ Typenex Summary information regarding common stock warrants issued and outstanding as of October 31, 2015, is as follows: Warrants Weighted average share price Aggregate intrinsic value Weighted average remaining contractual life (in years) Outstanding at year ended July 31, 2015 978,299 $ 5.20 $ 302,283 1.84 Granted Exercised 311,632 0.28 302,283 Expired Outstanding at year ended October 31 666,667 7.5 - 0.29 Warrants outstanding and exercisable as of October 31, 2015: Exercise Price Outstanding Number of Shares Remaining Life Exercisable Number of Shares $ 7.50 666,667 1 year or less 666,667 666,667 666,667

Related Party Transactions

Related Party Transactions	3 Months Ended
	Oct. 31, 2015
Related Party Transactions [Abstract]
Related Party Transactions	Note 10 – Related Party Transactions During the reporting period we have had transactions as described below with entities controlled by Michael Watts. Michael Watts is the father-in-law of Jeremy Driver, who served as a director and Chief Executive Officer of the Company through November, 2013. Additionally, Michael Watts is the brother of Kent P. Watts, who became the Company’s Chairman of the Board of Directors in October 2013. Michael Watts is a related party to the Company by virtue of his relationships with Mr. Driver and with Mr. Watts. Further, one of Michael Watts’ adult children is a significant shareholder of the Company’s common stock. Between them, they are beneficial owners of approximately 55% of the Company’s outstanding common stock. A company controlled by Michael Watts purchased a 5% working interest in one of our wells in Galveston Bay. During the year ended as of July 31, 2015, the Company received approximately $58,000 from Mr. Michael Watts for this related party receivable previously outstanding for approximately the same amount as of July 31, 2014. As of October 31, 2015 and July 31, 2015, this company owed us $72 and $186, respectively, in joint interest billings. In October 2013, prior to our acquisition of HCN, we settled our obligations to HCN under the HCN Consulting Agreement through the issuance of 619,960 shares of common stock of the Company. The HCN Consulting Agreement was between HCN and NEI and provided for HCN to be the primary negotiator and operator of the Namibian concession. These obligations consisted of the then-outstanding $2,400,000 Fee and $533,630 of interest and late fees associated with the Fee. Further, $25,000 of the related interest and fees was settled in cash. Prior to the Company’s acquisition of HCN, HCN sold these shares to an entity, in which Michael Watts has a minority interest, for a note receivable of $1,859,879. The Company arranged the sales of these shares in anticipation of a possible business combination, in an effort to ensure that the shares would remain as part of public float and therefore continue to be properly included in calculations for exchange-listing criteria and provide a source of funding for Company operations. It is anticipated that these shares will eventually be sold and the proceeds of their sales used to pay the receivable. As HCN is now our wholly-owned subsidiary, this receivable for the sale of the Company common stock is classified as receivable for common stock within equity. See discussion of this receivable in Note 10 – Capital Stock – Receivables for Common Stock. On September 6, 2013, HCN sold 191,667 shares of HEC common stock to an employee of HCN (the nephew of our Chairman and Chief Executive Officer) in exchange for a note receivable in the amount of $1,000,000. HEC acquired this receivable upon its acquisition of HCN. The note is non-interest bearing and is payable only upon the sale of the common stock to a third party or HEC stock being listed on either the NASDAQ or NYSE stock exchanges. We will receive 95% of the proceeds up to $1,000,000 if the underlying stock is sold to a third party. Within 90 days of HEC stock being listed on a major stock exchange, we will receive up to $1,000,000, or the note can be paid earlier at the discretion of the other party. These shares of common stock are held in the name of the investors and are beneficially owned by the investors and the shares are not retrievable by the Company. At October 31, 2015, we have $325,000 outstanding on this receivable. On December 4, 2013, HCN sold 619,960 shares of unregistered and restricted Company common stock in return for a $1,859,879 non-interest bearing note receivable from SMDRE LLC (“ SMDRE In November 2013, we issued a promissory note for funds received from Mr. Kent P. Watts, our Chairman, of $100,000. Under the terms of the note, principal on the note was due after one year and incurred interest at 5% per annum payable on a monthly basis. In April 2014, the Company entered into a new debt agreement whereby Mr. Watts agreed to loan the Company up to $600,000 at an interest rate of 6.25%. The previous debt of $100,000 was rolled into this new note. Additionally, we borrowed $200,000 from Mr. Watts during April 2014 and $300,000 from Mr. Watts in May 2014. The total balance on the note was $600,000 as of October 31, 2015. Accrued interest is payable monthly beginning in May 2014, and beginning in August 2014 the principal is due in 36 monthly payments through July 2017. The note is secured by the Company’s assets owned by GBE, subject to any other lien holder’s superior rights, if any. As part of the financing agreement with Shadow Tree, this note has been subordinated, and no payments will be made until the Shadow Tree debt has been repaid. On April 27, 2015, the Board of Directors agreed to offer SMDRE the option, for 90 days, for the SMDRE note to be paid in full for a 67% discount (i.e., the offer to be paid $619,898 immediately) (the “ Pre-Payment Option As of October 31, 2015, the Company had current liabilities owed to Mr. Watts of approximately $156,585. On July 16, 2015, pursuant to a Note Subscription Agreement, we sold a $350,000 Convertible Secured Promissory Note (with a $7,000 original issuance discount) to Duma Holdings, LLC (“ Duma Holding Duma Holdings Note Units Guarantee Agreements

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Oct. 31, 2015
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 11 – Commitments and Contingencies Contingencies Legal We are subject to legal proceedings, claims and liabilities which arise in the ordinary course of business. We accrue for losses associated with legal claims when such losses are probable and can be reasonably estimated. These accruals are adjusted as additional information becomes available or circumstances change. Legal fees are charged to expense as they are incurred. Although we may, from time to time, be involved in litigation and claims arising out of our operations in the normal course of business, we are not currently a party to any material legal proceeding. Previously, we were subject to Civ. Action No. 4:15-cv-00727, Hydrocarb Energy Corp., et al. v. Vincent Pasquale Scaturro; In the United States District Court for the Southern District of Texas Houston Division. Hydrocarb Energy Corp. was Plaintiff in this action, and had a claim of breach of contract against Mr. Scaturro and an application for preliminary and permanent injunction as a result of Mr. Scaturro’s violation of a Lock Up Leak-Out Agreement executed by the parties on or about December 20, 2014. Specifically, in November 2014, Pasquale V. Scaturro, the Company’s former Chief Executive Officer and Kent P. Watts, the Company’s current Chief Executive Officer and Chairman, entered into a stock purchase agreement, which was amended in December 2014, at which time certain of the adult children of Mr. Watts became party to the agreement. Pursuant to the agreement, Mr. Watts and his children agreed to sell Mr. Scaturro the outstanding capital stock of a company which they owned which is located in Namibia which owns real estate, in consideration for 475,000 shares of common stock held by Mr. Scaturro (deliverable in tranches between December 2014 and April 2015, of which an aggregate of 75,000 had been delivered as of the date of the lawsuit below) to be transferred to Mr. Watts’ children and a promissory note in the amount of $475,000 payable to Mr. Watts. Additionally, Mr. Scaturro also entered into a lock-up agreement, whereby he agreed to sell a maximum of 500 shares of the Company’s common stock which he holds or may hold in the future, per day, until the listing by the Company on a national exchange or NASDAQ, and thereafter to sell 5% of the ten day moving volume weighted average of shares per day, during the 24 months following the date of the December agreement. Subsequently, Kent P. Watts assigned his rights under the lock-up agreement to the Company and the lawsuit was filed by the Company seeking damages for Mr. Scaturro’s breach of contract. In July 2015, the parties entered into a settlement agreement whereby Mr. Scaturro agreed to transfer an aggregate of 2,237,500 shares of our common stock to Kent P. Watts, (of which 300,000 shares will be transferred to Mr. Watts’ legal counsel as part of a contingent settlement of amounts owed to such legal counsel), and an aggregate of 162,500 shares of our common stock to two children of Mr. Watts; Mr. Scaturro retained 307,058 shares (the “ Remaining Shares The General Land Office of the State of Texas (“ GLO Environmental We accrue for losses associated with environmental remediation obligations when such losses are probable and can be reasonably estimated. These accruals are adjusted as additional information becomes available or circumstances change. Costs of future expenditures for environmental remediation obligations are not discounted to their present value. Recoveries of environmental remediation costs from other parties are recorded at their undiscounted value as assets when their receipt is deemed probable. There is soil contamination at a tank facility owned by GBE. Depending on the technique used to perform the remediation, we estimate the cost range to be between $150,000 and $900,000. We cannot determine a most likely scenario, thus we have recognized the lower end of the range. We have submitted a remediation plan to the appropriate authorities and have not yet received a response. As of July 31, 2015, $150,000 has been recognized and is included in the consolidated balance sheets under the caption “ Accounts payable and accrued expenses. Commitments In March 2011, we executed a lease for office space in Houston, Texas. The lease term was three years and we had an option to extend the lease for an additional three years. Our scheduled rent was $6,406 per month plus common area maintenance cost for the first year, $6,673 plus common area maintenance cost for the second year, and $6,940 per month plus common area maintenance cost for the third year. We did not extend this lease, but entered into a sublease arrangement with Greenshale LLC for office space in the same building. During September 2013, we terminated our lease for office space in Corpus Christi, Texas. In February 2014, we agreed to sublease 4,915 square feet of office space from Greenshale Energy, LLC located at 800 Gessner Rd., Houston, Texas 77024. The lease has a term through December 31, 2017. Monthly rent of $10,650 is due under the lease from March 1, 2014 through December 31, 2014; $10,854 is due under the lease from January 1, 2015 through December 31, 2015; $11,059 is due under the lease from January 1, 2016 through December 31, 2016; and $11,264 is due under the lease from January 1, 2017 through December 31, 2017. In April 2012, we executed a Compression and Handling Agreement (the “ PHA In April 2015, this agreement was amended, as the Company will be handling the compression and dehydration of the gas with its own equipment. The agreement calls for ground lease, services fees, and other costs. The agreement is to continue until terminated by either party. Letters of Credit Oil and gas operators in the State of Texas are required to obtain a letter of credit in favor of the Railroad Commission of Texas as security that they will meet their obligations to plug and abandon the wells they operate. We have two letters of credit in the amount of $6,610,000 and $120,000 issued by Green Bank. These letters of credit are collateralized by a certificate of deposit held with the bank for the same amount. We pay a 1.5% per annum fee in conjunction with these letters of credit. During the quarters ended October 31, 2015 and 2014, we prepaid the fees associated with the Greenbank letters of credit for the respective year’s interest upfront and amortized these fees on a straight-line basis over their respective annual periods. The following table reflects the prepaid balances as follows: October 2015 2014 Prepaid letter of credit fees $ 99,300 $ 101,251 Amortization (24,825 ) (33,950 ) Net prepaid letter of credit fees $ 74,475 $ 67,301

Going Concern

Going Concern	3 Months Ended
	Oct. 31, 2015
Going Concern [Abstract]
Going Concern	Note 12 – Going Concern The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has not generated any significant revenues from ongoing operations and incurred net losses since inception. These matters raise substantial doubt about the Company’s ability to continue as a going concern. The condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of asset amounts or the classification of liabilities that might be necessary should the Company be unable to continue as a going concern. Management’s principal objective is to maximize shareholder value by, among other things, increasing production by developing its acreage, increasing profit margins by evaluating and optimizing its production, and executing its business plan to increase property values, prove its reserves, and expand its asset base. While management currently has no plans to discontinue or revise its business plan, recent volatility and decrease in crude oil prices may cause management to cut back on its development or acquisition plans, or otherwise revisit its business and/or its capital expenditure plan. Continued volatility and decreases in crude oil prices may accelerate such cut back or revisions. To combat price volatility in crude oil process and further diversify the business, management has increased its focus on the development of the Company.

Subsequent Events

Subsequent Events	3 Months Ended
	Oct. 31, 2015
Subsequent Events [Abstract]
Subsequent Events	Note 13 – Subsequent Events Adar Bays, LLC and Union Capital, LLC Notes On November 9, 2015, we sold each of Adar Bays, LLC (“ Adar Union Initial Notes Second Notes Buyer Notes The Initial Notes accrue interest at the rate of 8% per annum and have a two year term. We are required to pre-pay the Initial Notes 180 days after the issuance date (the “ Pre-Payment Date Chill The Initial Notes may be prepaid, including in connection with any pre-payment on or prior to the Pre-Payment Date, with the following penalties: (i) if the Initial Notes are prepaid within 60 days of the issuance date, then at 115% of the face amount plus any accrued interest; (ii) if the Initial Notes are prepaid after 60 days after the issuance date but less than 121 days after the issuance date, then at 135% of the face amount plus any accrued interest and (iii) if the Initial Notes are prepaid after 120 days after the issuance date but on or before the Pre-Payment Date, then at 145% of the face amount plus any accrued interest. The Initial Notes may not be prepaid after the Pre-Payment Date, except with the approval of the applicable holders. Additionally, upon the occurrence of certain fundamental transactions involving the Company and its common stock, the Initial Notes are required to be redeemed in cash for 150% of the principal amount then outstanding, plus accrued and unpaid interest (provided upon the occurrence of such event, such Initial Notes may also be converted into common stock at the option of the holders). The Initial Notes provide for customary events of default such as failing to timely make payments under the Initial Notes when due, and including our failure to maintain a reserve of shares in connection with the conversion of the Initial Notes equal to at least four times the number of shares of common stock that could be issuable thereunder at any time (initially 1.1 million shares per Initial Note), any judgment existing against us in excess of $250,000, our common stock being delisted from an exchange (including any OTC Markets exchange), a change in the majority of our Board of Directors, us becoming delinquent in our periodic filings with the SEC, or us losing our “ bid The Second Notes accrue interest at the rate of 8% per annum, are due on November 9, 2017 and have substantially similar terms and conditions as the Initial Notes described above (except that they include additional events of default such as us having a closing bid price less than $0.50 per share and/or having an aggregate trading value of our common stock of less than $50,000 in any five consecutive trading day period), provided that there are no prepayment penalties associated with the Second Notes, and provided further that no amounts are due under the Second Note (including interest thereon) and the Second Notes are not convertible, unless or until each investor’s applicable Buyer Note is paid in full in cash. In the event we repay a holder’s Initial Note by the Pre-Payment Date, the applicable Second Note and Buyer Note are automatically cancelled. The Buyer Notes accrue interest at the rate of 8% per annum (which until the Buyer Notes are paid in full in cash, offset amounts due under the Second Notes) and are due on July 9, 2016, unless (a) we do not meet the “ current information requirements Pursuant to a side letter entered into with each of Adar and Union, each investor agreed to grant us an option for three 30 day conversion moratorium periods, with the first period beginning on the Pre-Payment Date, and the next two beginning 30 days and 60 days, respectively, after the end of such first period. We are able to exercise the conversion moratorium period options by notifying the applicable investor no later than 10 trading days prior to the Pre-Payment Date (or thereafter, the end of the next applicable conversion moratorium period) and by paying the applicable investor(s) $20,000 prior to five trading days before the end of the then current period (with the first such payment due at least five trading days prior to the Pre-Payment Date). Each of Adar and Union also entered into a Subordination Agreement in favor of our senior lender, Shadow Tree Capital Management, LLC, to subordinate the repayment of the Initial Notes (and if applicable, the Second Notes) to amounts owed by us to Shadow Tree. JSJ Investments Inc. Note On November 9, 2015, we sold JSJ Investments Inc. (“ JSJ JSJ Note th JSJ Pre-Payment Date If we fail to prepay the JSJ Note prior to the JSJ Pre-Payment Date, JSJ has the right to convert the principal and accrued interest owed under such note into our common stock at a 40% discount to the lowest trading price of our common stock during the 15 trading days prior to conversion. Notwithstanding the foregoing, there is an initial soft floor of $0.30 per share on conversions, which means that in the event our common stock closes below $0.30 per share, then the holder may not convert its note for the 10 trading days immediately preceding the first time the price closes below $0.30 per share. However, in the event the price of our common stock closes above $0.30 per share in that 10 day period, the holder may convert, without waiting the balance of the 10 days. Additionally, following the 10 day period, the holder has a three day grace period to convert, even if the common stock closes below the next lower soft floor level (as described in the following sentence). This process is repeated with soft floors of $0.15 per share and $0.075 per share. At no time may the JSJ Note be converted into shares of our common stock if such conversion would result in JSJ and its affiliates owning an aggregate of in excess of 4.9% (which may be increased to 9.99% with written notice from JSJ, provided such increase will not take effect for at least 61 days) of the then outstanding shares of our common stock. We are subject to fees, penalties and in some cases liquidated damages for our failure to comply with the terms of the JSJ Note. The JSJ Note provides for customary events of default such as failing to timely make payments under the JSJ Note when due, and including our failure to maintain a reserve of shares in connection with the conversion of the JSJ Note as provided in the JSJ Note, us becoming delinquent in our periodic filings with the SEC, and if OTC Markets changes our designation to ‘No Information’ (Stop Sign), ‘Caveat Emptor’ (Skull and Crossbones), or ‘OTC’, ‘Other OTC’ or ‘Grey Market’ (Exclamation Mark Sign). Upon the occurrence of an event of default, JSJ can declare the entire amount of the JSJ Note immediately due and payable, together in the event of certain defaults, with additional penalties or liquidated damages. Pursuant to a side letter entered into with JSJ, JSJ agreed to grant us an option for three 30 day conversion moratorium periods, with the first period beginning on the JSJ Pre-Payment Date, and the next two beginning 30 days and 60 days, respectively, after the end of such first period. We are able to exercise the options for conversion moratoriums by notifying JSJ no later than 10 trading days prior to the JSJ Pre-Payment Date (or thereafter, the end of the next applicable conversion moratorium period) and by paying the applicable investor(s) between $25,000 and $35,000 (depending on the applicable extension period) prior to five trading days before the end of the then current period (with the first such payment due at least five trading days prior to the Pre-Payment Date). JSJ also entered into a Subordination Agreement in favor of our senior lender, Shadow Tree Capital Management, LLC, to subordinate the repayment of the JSJ Note to amounts owed by us to Shadow Tree. Darling Capital, LLC Note On November 17, 2015, old Darling Capital, LLC (“ Darling ”) an 8% Short Term Cash Redeemable Note (the “ Darling Note ”) in the principal amount of $200,000. The Darling Note accrues interest at the rate of 8% per annum (22% upon the occurrence of an event of default) and is payable on September 12, 2016, provided that we have the option to extend the maturity date of the note for an additional nine months in the event we provide Darling at least 30 days’ notice of our intention to extend such maturity date. In the event we do not prepay the Darling note, together with accrued and unpaid interest, on or prior to the 180 th day after the issuance date (the “ Darling Pre-Payment Date ”), together with the pre-payment penalties described below, Darling has the right to convert the principal and accrued interest owed under such note into our common stock. The conversion price for such conversions is the greater of a 40% discount (subject to additional 10% discounts in the event we become subject to a DTC “ chill ” or there is not current available information regarding the Company on OTC Markets and further adjustments during the occurrence of certain major announcements), to the lowest closing bid price for our common stock during the 15 trading days immediately preceding a conversion request (the “ Market Price ”) and $0.001 per share. Notwithstanding the above, in the event the Market Price on the date (i) the conversion shares are transferred to and deposited into Darling’s brokerage account and (ii) Darling’s broker has confirmed that it can execute trades, is lower than the Market Price on the date of conversion, the conversion price is adjusted to such lower price and additional shares are required to be issued to the holder. Notwithstanding the foregoing, there is an initial soft floor of $0.30 per share on conversions, which means that in the event our common stock closes below $0.30 per share, then the holder may not convert its note for the 10 trading days immediately preceding the first time the price closes below $0.30 per share. However, in the event the price of our common stock closes above $0.30 per share in that 10 day period, the holder may convert, without waiting the balance of the 10 days. Additionally, following the 10 day period, the holder has a three day grace period to convert, even if the common stock closes below the next lower soft floor level (as described in the following sentence). This process is repeated with soft floors of $0.15 per share and $0.075 per share. At no time may the Darling Note be converted into shares of our common stock if such conversion would result in Darling and its affiliates owning an aggregate of in excess of 9.9% of the then outstanding shares of our common stock. Along with any prepayment, we are required to pay the following pre-payment penalties in addition to the principal amount and interest then outstanding under the Darling Note: until the 60th day after the issuance date, a premium of 15% of the principal amount and interest owed on the note; from the 61st day to the 120th day after the issuance date, a premium of 35% of the principal amount and interest owed on the note; from the 121st day to the Darling Pre-Payment Date, a premium of 45% of the principal amount and interest owed on the note; and after the Darling Pre-Payment Date, no prepayment can be made of the Darling Note without the prior written approval of Darling. Darling agreed not to sell short any shares of our common stock so long as the Darling Note is outstanding. We are subject to fees, penalties and in some cases liquidated damages for our failure to comply with the terms of the Darling Note. The Darling Note provides for customary events of default such as failing to timely make payments under the Darling Note when due, and including our failure to maintain a reserve of shares in connection with the conversion of the Darling Note as provided in the Darling Note, us becoming delinquent in our periodic filings with the SEC, and if OTC Markets changes our designation to ‘No Information’ (Stop Sign), or yield. Upon the occurrence of an event of default, Darling can declare the entire amount of the Darling Note immediately due and payable, together with additional penalties and liquidated damages as described in further detail in the Darling Note. Pursuant to a side letter entered into with Darling, Darling agreed to grant us an option for three 30 day conversion moratorium periods, with the first period beginning on the Darling Pre-Payment Date, and the next two beginning 30 days and 60 days, respectively, after the end of such first period. We are able to exercise the options for conversion moratoriums by notifying Darling no later than 10 trading days prior to the Darling Pre-Payment Date (or thereafter, the end of the next applicable conversion moratorium period) and by paying Darling $20,000 prior to five trading days before the end of the then current period (with the first such payment due at least five trading days prior to the Pre-Payment Date). Darling also entered into a Subordination Agreement in favor of our senior lender, Shadow Tree Capital Management, LLC, to subordinate the repayment of the Darling Note to amounts owed by us to Shadow Tree. Voting Agreements On or around August 25, 2015, Kent P. Watts, our Chief Executive Officer and Chairman, entered into a voting agreement in favor of S. Chris Herndon, a member of the Board of Directors of the Company. Pursuant to the voting agreement, Mr. Watts provided Mr. Herndon a voting proxy to vote all of the shares of common stock which Mr. Watts owned (approximately 4,946,955 shares as of his entry into the agreement) or which he may acquire in the future, to vote to elect or remove (as applicable) 66.6% of members of the Company’s Board of Directors on any stockholder vote (i.e., 2 out of 3 directors). The voting agreement was to become effective, only if Mr. Watts had sold $1 million in securities in private transactions on or before September 21, 2015 and was to remain effective from such date, if ever, until the earlier of: (a) August 19, 2017; and (b) the due date of a certain convertible note which a company affiliated with Mr. Herndon (Duma Holdings, LLC) may choose to purchase from the Company in the future as described in greater detail above under Note 7 – Notes Payable - “ Convertible Notes Payable Duma Holding Convertible Promissory Note On or around the same date, Christopher Watts, the nephew of Kent P. Watts, and the largest shareholder of the Company, entered into a voting agreement with Mr. Herndon on substantially similar terms as the voting agreement with Kent P. Watts described above. As a result of Mr. Watts not selling $1 million in securities in private transactions on similar terms as described above before September 21, 2015, the voting agreements were never effective and expired. On November 16, 2015, the parties entered into a First Amendment to Voting Agreements to remove the prior condition to effectiveness regarding the required sale of $1 million in securities before September 21, 2015, and as a result the voting agreements are currently in full force and effect and will remain in effect until the Termination Date. As a result of the voting agreements, Mr. Herndon has the right to appoint 66.6% of the members of the Company’s Board of Directors until the Termination Date. Typenex Default Notice and Demand Notice On November 25, 2015, we received a notice of default from Typenex (the “ Default Notice The Default Notice alleged the occurrence of an event of default under the terms of that certain Securities Purchase Agreement (the “ SPA Note Note 7 – Notes Payable and Convertible Notes Convertible Notes Payable Typenex Co-Investment, LLC Convertible Note Darling Note Darling Capital, LLC Note On November 30, 2015, the Company received a demand notice (the “ Demand Notice On December 3, 2015, Typenex provided the Company correspondence pursuant to which Typenex stated that that it agreed with the Company’s contention that the Note required a 15 day cure right (which Typenex failed to provide for or take into account in connection with the Default Notice or Demand Notice), that Typenex was withdrawing the Default Notice and Demand Notice, and that although Typenex still believes an event of default has occurred, it was not currently seeking to enforce its rights. Additionally, Typenex declared that they were forbearing from taking any further actions under the SPA or Note during the following ten days to allow for, among other things, the parties to discuss the various issues raised and that they further reserved all rights and remedies available under the applicable transaction documents and clarified that they did not waive any rights, powers or remedies in connection with the correspondence sent. On December 15, 2015, Typenex provided the Company a more detailed response as to why it believes an event of default occurred under the Typenex Note, made certain other allegations against the Company, and reiterated its allegations that a default occurred under the Typenex Note, that default interest is due on the note and that it intends to foreclose on the Pledged Shares. The Company disputes the claim that an event of default has occurred under the SPA or the Note and further disputes and fails to acknowledge the claims and demands made by Typenex in the Default Notice and Demand Notice or the December 15, 2015 letter. The Darling Note was not a ‘Variable Security’ as such security is not convertible unless or until such note is not repaid by the 180 th The Company currently has no intention of paying Typenex, allowing Typenex to foreclose on the pledged shares or acknowledging that a default has occurred under the SPA or Note and is currently analyzing its options moving forward in regards to the erroneous claims made by Typenex, which may include, but not be limited to filing a lawsuit against Typenex. Notwithstanding the above, the existence of the alleged defaults, and/or resources the Company may be forced to expend in defending itself against the allegations made by Typenex may negatively affect the Company or its cash flow, which may ultimately result in a decline in the value of the Company’s common stock. Shadow Tree Credit Agreement Amendments Effective November 30, 2015, entered into (i) a First Amendment to Amended and Restated Credit Agreement, by and between the Company, as borrower, the Agent, and each of the Lenders, as lenders (the “ First Amendment ”), which amended that certain June 10, 2015 Amended and Restated Credit Agreement by and between the Company, the Agent and the Lenders described above under Note 7 – Notes Payable and Convertible Notes – Credit Agreement; and (ii) a Second Amendment to Stock Grant Agreement, by and between the Company and the Lenders (the “ Stock Agreement ”). The First Amendment amended the Restated Credit Agreement to extend the maturity date of the amount due thereunder (the “ Loans WTI Recent Changes in Officers and Directors Effective November 13, 2015, the Board of Directors of the Company increased the number of members of the Company’s Board of Directors from two to three and appointed Robert M. Harrell as a member of the Board of Directors to fill the newly created vacancy, each pursuant to the power provided to the Board of Directors by the Company’s Bylaws and the Nevada Revised Statutes. Mr. Harrell formally accepted the appointment as a member of the Board of Directors on November 23, 2015. On December 1, 2015, Christine P. Spencer, the Chief Accounting Officer (Principal Financial Officer and Principal Accounting Officer) of the Company provided notice to the Board of Directors of the Company of her resignation as an officer and employee of the Company effective December 15, 2015, in order to return to work with one of her former employers. The Company has begun the search for a new Chief Accounting Officer and until such time as a replacement can be located, Kent P. Watts, the Company’s Chief Executive Officer will serve as interim Principal Financial Officer.

Description of Business and S19

Description of Business and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Oct. 31, 2015
Description of Business and Summary of Significant Accounting Policies [Abstract]
Description of business and basis of presentation	Description of business and basis of presentation The unaudited consolidated financial statements of Hydrocarb Energy Corp. (" Hydrocarb HEC Company we us our SEC Annual Report We are a natural resource exploration and production company engaged in the exploration, acquisition, development, and production of oil and gas properties in the United States and onshore in Namibia, Africa. Effective September 28, 2015, the Company filed a Certificate of Amendment to its Articles of Incorporation with the Secretary of State of Nevada, to (1) affect an amendment to the Company's Articles of Incorporation to increase the number of authorized shares of the Company's common stock to 1,000,000,000 shares; (2) affect an amendment to the Company's Articles of Incorporation to authorize 100,000,000 shares of " blank check Blank Check Preferred Amendment Series A Amendment Series B Amendment In August 2015, the Company transferred the 39% working interest in certain Namibian oil and gas concessions then held by Namibia Exploration, Inc., the Company's wholly-owned subsidiary to Hydrocarb Namibia Energy (Pty) Limited, also the Company's wholly-owned subsidiary, to consolidate ownership of such working interests in Hydrocarb Namibia Energy (Pty) Limited. Our common stock is quoted under the symbol " HECC
Reclassifications	Reclassifications Certain prior year amounts have been reclassified to conform with the current presentation.
Principles of consolidation	Principles of consolidation We own 100% of the issued and outstanding share capital of (i) Penasco Petroleum Inc. (" Penasco GBE SPE NEI HCN Namibia Otaiba Other recently issued or adopted accounting pronouncements are not expected to have, or did not have, a material impact on our financial position or results from operations. Additionally, at the Company's Annual Meeting of Stockholders held on September 28, 2015, the Company's stockholders ratified the designation of the Company's Series A Preferred and on the same date, the Company designated Series A Preferred Stock with the Secretary of State of Nevada, provided that the approval of the Series A Preferred Stock was only to ratify the effect of certain prior transactions, and the Company has no outstanding Series A Preferred Stock and no current plans to issue Series A Preferred Stock at this time.

Oil and Gas Properties (Tables)

Oil and Gas Properties (Tables)	3 Months Ended
	Oct. 31, 2015
Oil and Gas Properties [Abstract]
Schedule of Oil and Natural Gas Properties	Oil and natural gas properties consisted of the following: October 31, 2015 July 31, 2015 Evaluated Properties Costs subject to depletion $ 19,669,327 $ 19,578,916 Accumulated impairment (373,335 ) (373,335 ) Accumulated depletion (4,860,218 ) (4,381,912 ) Total evaluated properties 14,435,774 14,823,669 Unevaluated properties 2,260,912 2,260,912 Net oil and gas properties $ 16,696,686 $ 17,084,581

Asset Retirement Obligation (Ta

Asset Retirement Obligation (Tables)	3 Months Ended
	Oct. 31, 2015
Asset Retirement Obligation [Abstract]
Reconciliation of Asset Retirement Obligation Liability	The following is a reconciliation of our asset retirement obligation (ARO) liability as of October 31, 2015 and July 31, 2015, respectively. October 31, 2015 July 31, 2015 Reconciliation of asset retirement obligation balance: Liability for asset retirement obligation, beginning of period $ 10,822,858 $ 11,716,230 Asset retirement obligations sold - - Accretion 248,299 993,579 Revisions in estimated cash flows - (1,845,967 ) Costs incurred - (40,984 ) Liability for asset retirement obligation, end of period $ 11,071,157 $ 10,822,858 Current portion of asset retirement obligation $ 25,000 $ 25,000 Noncurrent portion of asset retirement obligation 11,046,157 10,797,858 Total liability for asset retirement obligation $ 11,071,157 $ 10,822,858

Derivative Liabilities (Tables)

Derivative Liabilities (Tables)	3 Months Ended
	Oct. 31, 2015
Derivative Liabilities [Abstract]
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis	The following table sets forth, by level within the fair value hierarchy, the Company's financial assets and liabilities that were accounted for at fair value on a recurring basis as of October 31, 2015: Description (Level 1) (Level 2) (Level 3) Total Carrying Value Convertible Notes $ - $ - $ 1,067,414 $ 1,067,414 Tainted Conversion Notes (Note 6) $ - $ - $ 1,766,456 1,766,456 Total $ - $ - $ 2,833,870 $ 2,833,870
Embedded Derivative Instruments [Member]
Derivative [Line Items]
Summary of Fair Values for Embedded Derivative Instruments and Warrant Derivatives Using Lattice Valuation Model	The Company determined the fair values of the embedded convertible notes derivatives and tainted convertible notes using the lattice valuation model with the following assumptions: Initial October Common stock issuable 5,884,277 5,949,825 Market value of common stock on measurement date (1) $ 0.91 – 1.50 $ 1.17 Adjusted exercise price $ 0.52 – 4.00 $ 0.28-4.00 Risk free interest rate (2) 0.06% - 0.25 % 0.01%-1.00 % Instrument lives in years 0.17 – 2.00 0.17 – 1.90 Expected volatility (3) 82%-115 % 85%-119 % Expected dividend yields (4) None None (1) The market value of common stock is the stock price at the close of trading on the date of issuance or at period-end, as applicable. (2) The risk-free interest rate was determined by management using between the 0.17 and 2 - year Treasury Bill as of the respective offering or measurement date. (3) The historical trading volatility was determined by the Company's trading history. (4) Management determined the dividend yield to be -0-% based upon its expectation that it will not pay dividends for the foreseeable future.
Summary of Activity of Derivative Instruments	Activity for embedded derivative instruments during the year ended October 31, 2015 was as follows: Balance at July 31, 2015 Initial Valuation of Embedded Derivative Instruments Issued During the Period Increase (Decrease) in Fair Value of Derivative Liabilities Fair Value of Derivative Liabilities on Repayment of Debt Change of Derivative Liabilities upon Conversion Balance at October 31, 2015 Typenex Co-Investment $ 1,212,688 $ 1,072,506 $ (428,740 ) $ (789,040 ) $ $ 1,067,414 Duma Holdings 546 - (546 ) - - KBM Worldwide, Inc. - - 469,272 (469,272 ) -- VIS VIRES Group, Inc - - 504,222 (504,222 ) -- Embedded Convertible Note-Subtotal 1,213,234 1,072,506 544,208 (1,762,534 ) 1,067,414 Tainted Kent P. Watts 319,960 692,719 (138,202 ) - (363,659 ) 510,818 Tainted Christian Smith & Jewell 167,077 - (132,130 ) - 34,947 Tainted David L. Gillespie 4,956 - 824 - (5,780 ) - Tainted Brian Kenny 34,330 - (3,540 ) - 30,790 Farid Barkhorder - 78,685 (29,016 ) - 49,669 Robert Klinek and Susan Pack - 389,566 (120,800 ) - 268,766 Lee Walinsky - 34,074 (9,326 ) - 24,748 S. Chris Herndon - 144,336 (44,997 ) - 99,339 Robert B. Kahw - 120,023 (45,660 ) - 74,363 Donald P. Clary - 68,148 (18,652 ) - 49,496 Jay Fishman - 102,222 (27,978 ) - 74,244 Carl Miller and Deanna Miller - 45,431 (12,434 ) - 32,997 Barry Robbins - 50,746 (13,761 ) - 36,985 Brent & Silvia Sagissor - 45,431 (12,435 ) - 32,996 David and Ginger Levy Trust - 212,393 (63,114 ) - 149,279 Kevin R. Minor - 45,431 (12,434 ) - 32,997 Timothy Hoke Smith - 45,431 (12,434 ) - 32,997 Clint D. Summers - 113,579 (31,087 ) - 82,492 Sean M. Crowley Trust - 189,971 (41,438 ) - 148,533 Tainted Note - Subtotal 526,323 2,378,186 (768,614 ) - 1,766,456 Note Derivatives - Total $ 1,739,557 $ 3,450,692 $ (224,406 ) $ (1,762,534 ) $ (369,439 ) $ 2,833,870
Warrants [Member]
Derivative [Line Items]
Summary of Fair Values for Embedded Derivative Instruments and Warrant Derivatives Using Lattice Valuation Model	The Company determined the fair values of the warrant derivatives using the lattice valuation model with the following assumptions: Initial October 31, 2015 Common stock issuable 705,556 666,667 Market value of common stock on measurement date (1) $ 0.92-1.07 $ 1.17 Adjusted exercise price $ 2.25-7.50 $ 7.50 Risk free interest rate (3) 0.25-1.57 % 0.08 % Instrument lives in years 1.00-5.00 0.29 Expected volatility 112 % 84 % Expected dividend yields (4) None None (1) The market value of common stock is the stock price at the close of trading on the date of issuance or at period-end, as applicable. (3) The risk-free interest rate was determined by management using 0.29 - year Treasury Bill as of the respective offering or measurement date. (4) Management determined the dividend yield to be -0-% based upon its expectation that it will not pay dividends for the foreseeable future.
Summary of Activity of Derivative Instruments	Activity for derivative warrant instruments during the three months ended October 31, 2015 was as follows: Balance at July 31, 2015 Initial Valuation Increase (Decrease) in Fair Value of Derivative Liabilities Change of Derivative Liabilities upon Conversion Balance at October 31, 2015 Tainted Warrant-Geoserve (Note 7) $ 8,722 $ - $ (8,722 ) $ - $ - Typenex Co-Warrants $ 252,855 $ - $ 89,381 $ (342,236 ) $ - $ 261,577 $ - $ 80,659 $ (342,236 ) $ -

Capital Stock (Tables)

Capital Stock (Tables)	3 Months Ended
	Oct. 31, 2015
Capital Stock [Abstract]
Schedule of Information for Stock Options Granted to Nonemployees under Stock Incentive Plans	The following table provides information about options granted to non-employees under our stock incentive plans during the years ended as follows: As of October 31 2015 2014 Number of options granted - 25,000 Compensation expense recognized $ - $ 112,500 Weighted average exercise price of options granted $ - $ 4.50
Summary Information Regarding Stock Options Issued and Outstanding	Summary information regarding stock options issued and outstanding as follows: Options Weighted average share price Aggregate intrinsic value Weighted average remaining contractual life (in years) Outstanding at July 31, 2015 $ 198,333 $ 6.52 $ - 4.06 Granted - - - - Exercised - - - - Expired or forfeited - - - - Exercisable at October 31 $ 198,333 $ 6.63 $ - 6.48
Warrant Activity	Summary information regarding common stock warrants issued and outstanding as of October 31, 2015, is as follows: Warrants Weighted average share price Aggregate intrinsic value Weighted average remaining contractual life (in years) Outstanding at year ended July 31, 2015 978,299 $ 5.20 $ 302,283 1.84 Granted Exercised 311,632 0.28 302,283 Expired Outstanding at year ended October 31 666,667 7.5 - 0.29
Schedule of Warrants Outstanding and Exercisable	Warrants outstanding and exercisable as of October 31, 2015: Exercise Price Outstanding Number of Shares Remaining Life Exercisable Number of Shares $ 7.50 666,667 1 year or less 666,667 666,667 666,667

Commitments and Contingencies (

Commitments and Contingencies (Tables)	3 Months Ended
	Oct. 31, 2015
Commitments and Contingencies [Abstract]
Schedule Of Prepaid Balances	The following table reflects the prepaid balances as follows: October 2015 2014 Prepaid letter of credit fees $ 99,300 $ 101,251 Amortization (24,825 ) (33,950 ) Net prepaid letter of credit fees $ 74,475 $ 67,301

Description of Business and S25

Description of Business and Summary of Significant Accounting Policies (Details) - shares	Sep. 28, 2015	Oct. 31, 2015	Aug. 31, 2015	Jul. 31, 2015
Subsidiary or Equity Method Investee [Line Items]
Common stock, shares authorized (in shares)		1,000,000,000		1,000,000,000
Series A Convertible Preferred Stock [Member]
Subsidiary or Equity Method Investee [Line Items]
Preferred stock, shares authorized (in shares)		10,000		10,000
Preferred Stock, shares issued (in shares)		0		0
Series B Convertible Preferred Stock [Member]
Subsidiary or Equity Method Investee [Line Items]
Preferred stock, shares authorized (in shares)		35,000
Preferred Stock, shares issued (in shares)		3,120
Hydrocarb Energy Corp [Member]
Subsidiary or Equity Method Investee [Line Items]
Common stock, shares authorized (in shares)	1,000,000,000
Preferred stock, shares authorized (in shares)	1,000,000,000
Hydrocarb Energy Corp [Member] | Series A Convertible Preferred Stock [Member]
Subsidiary or Equity Method Investee [Line Items]
Preferred Stock, shares issued (in shares)	10,000
Dividend rate of preferred stock	7.00%
Hydrocarb Energy Corp [Member] | Series B Convertible Preferred Stock [Member]
Subsidiary or Equity Method Investee [Line Items]
Preferred Stock, shares issued (in shares)	35,000
Penasco Petroleum Inc [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Galveston Bay, LLC [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
SPE Navigation I, LLC [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Namibia Exploration, Inc [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Working interest rights			39.00%
Hydrocarb Corporation, HCN [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Hydrocarb Texas Corporation [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Hydrocarb Namibia Energy [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		100.00%
Otaiba Hydrocarb LLC [Member]
Subsidiary or Equity Method Investee [Line Items]
Ownership interest		95.00%

Oil and Gas Properties (Details

Oil and Gas Properties (Details) - USD ($)	3 Months Ended	12 Months Ended
	Oct. 31, 2015	Jul. 31, 2015
Evaluated Properties [Abstract]
Costs subject to depletion	$ 19,669,327	$ 19,578,916
Accumulated impairment	(373,335)	(373,335)
Accumulated depletion	(4,860,218)	(4,381,912)
Total evaluated properties	14,435,774	14,823,669
Unevaluated properties	2,260,912	2,260,912
Net oil and gas properties	16,696,686	17,084,581
Geological and geophysical costs	$ 90,411	$ 2,271,509
Namibia Exploration, Inc. [Member]
Evaluated Properties [Abstract]
Ownership percentage	90.00%
Cost responsibility percentage	100.00%
Exploration costs	$ 2,300,000

Asset Retirement Obligation (De

Asset Retirement Obligation (Details) - USD ($)	3 Months Ended		12 Months Ended
	Oct. 31, 2015	Oct. 31, 2014	Jul. 31, 2015	Oct. 31, 2015	Jul. 31, 2015
Reconciliation of asset retirement obligation balance [Roll Forward]
Liability for asset retirement obligation, beginning of period	$ 10,822,858	$ 11,716,230	$ 11,716,230
Asset retirement obligations sold	0		0
Accretion	248,299	302,208	993,579
Revisions in estimated cash flows	0	(52,431)	(1,845,967)
Costs incurred	0		(40,984)
Liability for asset retirement obligation, end of period	11,071,157		10,822,858
Current portion of asset retirement obligation				$ 25,000	$ 25,000
Noncurrent portion of asset retirement obligation				11,046,157	10,797,858
Total liability for asset retirement obligation	$ 10,822,858	$ 11,716,230	$ 11,716,230	$ 11,071,157	$ 10,822,858

Related Party Notes Payable (De

Related Party Notes Payable (Details)

Nov. 30, 2015USD ($)

Sep. 21, 2015USD ($)shares

Sep. 14, 2015USD ($)$ / sharesshares

Jul. 21, 2015shares

Jul. 16, 2015USD ($)$ / sharesshares

Jun. 10, 2015USD ($)$ / sharesshares

May. 31, 2015USD ($)

Apr. 30, 2014USD ($)

Sep. 30, 2015USD ($)$ / sharesshares

Oct. 31, 2015USD ($)Payment$ / sharesshares

Oct. 31, 2014USD ($)

Sep. 17, 2015USD ($)

Aug. 26, 2015USD ($)

Jul. 31, 2015USD ($)shares

Jul. 15, 2015$ / shares

Nov. 30, 2013USD ($)

Debt Instrument [Line Items]

Additional funds borrowed

$ 2,116,155

$ 3,452,812

Amortization of debt discount

$ 1,518,758

$ 196,278

Common stock, shares issued (in shares) | shares

24,208,742

23,001,589

Notes payable, related parties, current

$ 348,215

$ 1,708,637

Amortization of financing costs and discounts

5,476

Unamortized debt issuance cost

17,516

Subsequent Event [Member]

Debt Instrument [Line Items]

Accrued interest

$ 19,705

Extension fee

$ 3,500

Kent P. Watts [Member]

Debt Instrument [Line Items]

Stock conversion price (in dollars per share) | $ / shares

$ 5

Consecutive trading days

30 days

Trading volume (in shares) | shares

100,000

Conversion price (in dollars per share) | $ / shares

$ 0.75

Common stock, shares issued (in shares) | shares

2,500

Notes payable, related parties, current

32,535

Amortization of financing costs and discounts

32,535

S. Chris Herndon [Member]

Debt Instrument [Line Items]

Notes payable, related parties, current

9,166

Amortization of financing costs and discounts

$ 9,166

Minimum [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Consecutive trading days

20 days

Restricted Common Stock [Member]

Debt Instrument [Line Items]

Shares issued (in shares) | shares

25,000

Series A 7% Convertible Preferred Stock [Member]

Debt Instrument [Line Items]

Preferred stock, shares exchanged (in shares) | shares

8,188

Face value of rights exchanged

$ 3,275,200

Dividend rate of preferred stock

7.00%

Number of units exchanged for accrued and unpaid dividends (in shares) | shares

32

Value of shares issued for acquisition

$ 327,879

Common Stock [Member]

Debt Instrument [Line Items]

Shares issued (in shares) | shares

800,000

100,000

Stock conversion price (in dollars per share) | $ / shares

$ 4

Series B Convertible Preferred Stock [Member]

Debt Instrument [Line Items]

Preferred stock, shares exchanged (in shares) | shares

3,070

Face value of rights exchanged

$ 3,120,000

$ 0

Amortization of debt discount

$ 734,024

Conversion price (in dollars per share) | $ / shares

$ 1,000

Convertible Promissory Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 3,200,000

$ 3,000,000

Interest rate in the event default

12.00%

Accrued interest

70,000

Convertible Promissory Note [Member] | S. Chris Herndon [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

Convertible Promissory Note [Member] | Duma Holdings [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

Number of units exchanged for accrued and unpaid dividends (in shares) | shares

1.75

Common stock aggregate (in shares) | shares

393,750

Interest rate in the event default

15.00%

Proceeds from related party debt

$ 350,000

Debt discount

$ 7,000

Convertible Promissory Note [Member] | Common Stock [Member]

Debt Instrument [Line Items]

Number of shares exchanged (in shares) | shares

750,000

Debt discount

$ 614,141

Convertible Promissory Note [Member] | Common Stock [Member] | Duma Holdings [Member]

Debt Instrument [Line Items]

Shares issued (in shares) | shares

25,000

Convertible Promissory Note [Member] | Series B Convertible Preferred Stock [Member]

Debt Instrument [Line Items]

Conversion price (in dollars per share) | $ / shares

$ 1,000

Convertible Promissory Note [Member] | Series B Convertible Preferred Stock [Member] | Duma Holdings [Member]

Debt Instrument [Line Items]

Conversion price (in dollars per share) | $ / shares

$ 1,000

Conversion of notes (in shares) | shares

350,000

Convertible Subordinated Promissory Notes [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

$ 1,745,832

Convertible Subordinated Promissory Notes [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 350,000

$ 516,667

$ 166,667

Amortization of debt discount

135,910

Stock interest rate percentage

12.00%

12.00%

Trading volume (in shares) | shares

100,000

Notes due period

2 years

2 years

Common stock, shares issued (in shares) | shares

2,500

Debt discount

1,487,716

Convertible Subordinated Promissory Notes [Member] | S. Chris Herndon [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

Exchange Agreement [Member]

Debt Instrument [Line Items]

Reduction in total units (in shares) | shares

30

30

Exchange Agreement [Member] | Convertible Promissory Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 3,000,000

WTI Interest Rate [Member] | Convertible Promissory Note [Member]

Debt Instrument [Line Items]

Average quarterly closing spot price interest rate

0.00%

WTI Interest Rate [Member] | Convertible Promissory Note [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Average quarterly closing spot price (in dollars per share) | $ / shares

$ 40

Average quarterly closing spot price interest rate

0.00%

Average quarterly closing spot price for the prior quarter (in dollars per share) | $ / shares

$ 60

Average quarterly closing spot price subsequent quarter interest rate percentage

8.00%

Debt instrument, interest rate description

The “WTI Rate” equals an annualized percentage interest rate equal to the average of the closing spot prices for West Texas Intermediate crude oil on each trading day during the immediately prior calendar quarter divided by ten, plus two (the “WTI Interest Rate”). For example, if the average quarterly closing spot Price was $60 for the prior quarter, the applicable interest rate for the next quarter would be 8% per annum ($60 / 10 = 6 + 2 = 8%).

WTI Interest Rate [Member] | Convertible Promissory Note [Member] | Maximum [Member]

Debt Instrument [Line Items]

Average quarterly closing spot price (in dollars per share) | $ / shares

$ 40

WTI Interest Rate [Member] | Convertible Subordinated Promissory Notes [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Stock conversion price (in dollars per share) | $ / shares

$ 5

Average quarterly closing spot price (in dollars per share) | $ / shares

$ 40

Average quarterly closing spot price interest rate

0.00%

Average quarterly closing spot price subsequent quarter interest rate percentage

8.00%

Conversion price (in dollars per share) | $ / shares

$ 0.75

Debt instrument, interest rate description

The “WTI Rate” equals an annualized percentage interest rate equal to the average of the closing spot prices for West Texas Intermediate crude oil on each trading day during the immediately prior calendar quarter divided by ten, plus two (the “WTI Interest Rate”). For example, if the average quarterly closing spot Price was $60 for the prior quarter, the applicable interest rate for the next quarter would be 8% per annum ($60 / 10 = 6 + 2 = 8%).

Note Payable-Chairman [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 600,000

$ 100,000

Debt instrument, interest rate

6.25%

5.00%

Number of monthly payment | Payment

36

Principal balance

$ 600,000

Additional funds borrowed

$ 300,000

$ 200,000

Notes Payable and Convertible29

Notes Payable and Convertible Notes (Details)

Oct. 16, 2015USD ($)$ / sharesshares

Sep. 14, 2015USD ($)$ / sharesshares

Jul. 28, 2015USD ($)$ / shares

Jul. 15, 2015USD ($)$ / sharesshares

Jun. 10, 2015USD ($)shares

May. 29, 2015USD ($)$ / shares

Mar. 31, 2015USD ($)$ / sharesshares

Mar. 05, 2015USD ($)$ / sharesshares

Feb. 19, 2015USD ($)shares

Aug. 15, 2014USD ($)shares

Feb. 28, 2015USD ($)Payment

Sep. 30, 2015USD ($)$ / sharesshares

Oct. 31, 2015USD ($)Payment$ / sharesshares

Oct. 31, 2014USD ($)

Sep. 28, 2015shares

Sep. 17, 2015USD ($)

Jul. 31, 2015USD ($)$ / sharesshares

Nov. 30, 2013USD ($)

Debt Instrument [Line Items]

Due and payable date

Jun. 10, 2018

Common stock, shares issued (in shares) | shares

24,208,742

23,001,589

Warrants, exercise price (in dollars per share) | $ / shares

$ 7.5

$ 5.20

Amortization of debt discount

$ 1,518,758

$ 196,278

Note payable

442,883

$ 374,053

Unamortized debt issuance cost

$ 17,516

Series B Convertible Preferred Stock [Member]

Debt Instrument [Line Items]

Preferred stock, shares issued (in shares) | shares

3,120

Conversion price (in dollars per share) | $ / shares

$ 1,000

Amortization of debt discount

$ 734,024

Kent P. Watts [Member]

Debt Instrument [Line Items]

Stock conversion price (in dollars per shares) | $ / shares

$ 5

Trading volume (in shares) | shares

100,000

Common stock, shares issued (in shares) | shares

2,500

Conversion price (in dollars per share) | $ / shares

$ 0.75

Consecutive trading days

30 days

Kent P. Watts [Member] | Minimum [Member]

Debt Instrument [Line Items]

Consecutive trading days

20 days

Brian Kenny [Member]

Debt Instrument [Line Items]

Original issue discount

28,294

Conversion price (in dollars per share) | $ / shares

$ 0.75

Amortization of debt discount

4,074

Consecutive trading days

30 days

Debt instrument, outstanding balance

4,206

Brian Kenny [Member] | Minimum [Member]

Debt Instrument [Line Items]

Consecutive trading days

20 days

Convertible Subordinated Promissory Notes [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

$ 1,745,832

Convertible Subordinated Promissory Notes [Member] | Clint Summers [Member]

Debt Instrument [Line Items]

Convertible note, face amount

83,333

Convertible Subordinated Promissory Notes [Member] | S. Chris Herndon [Member]

Debt Instrument [Line Items]

Convertible note, face amount

100,000

Convertible Subordinated Promissory Notes [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 350,000

$ 516,667

$ 166,667

Notes due period

2 years

2 years

Stock interest rate percentage

12.00%

12.00%

Trading volume (in shares) | shares

100,000

Common stock, shares issued (in shares) | shares

2,500

Original issue discount

1,487,716

Net payable balance

135,910

Amortization of debt discount

$ 135,910

WTI Interest Rate [Member] | Convertible Subordinated Promissory Notes [Member] | Kent P. Watts [Member]

Debt Instrument [Line Items]

Stock conversion price (in dollars per shares) | $ / shares

$ 5

Average quarterly closing spot price (in dollars per share) | $ / shares

$ 40

Average quarterly closing spot price interest rate, percentage

0.00%

Average quarterly closing spot price subsequent quarter interest rate

8.00%

Debt instrument, interest rate description

The “WTI Rate” equals an annualized percentage interest rate equal to the average of the closing spot prices for West Texas Intermediate crude oil on each trading day during the immediately prior calendar quarter divided by ten, plus two (the “WTI Interest Rate”). For example, if the average quarterly closing spot Price was $60 for the prior quarter, the applicable interest rate for the next quarter would be 8% per annum ($60 / 10 = 6 + 2 = 8%).

Conversion price (in dollars per share) | $ / shares

$ 0.75

KBM Worldwide, Inc. Convertible Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 350,000

Due and payable date

Feb. 19, 2016

Interest rate

8.00%

Interest rate in case of default

22.00%

Conversion price percentage average of the two lowest closing bid prices of common stock

50.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

9.99%

Legal fees

$ 4,000

Net amount received in connection with the sale

$ 320,000

Reserve for authorized and unissued shares, multiplier

8

Entered date

Feb. 17, 2015

Original issue discount

$ 14,381

Common stock deposited into escrow (in shares) | shares

750,000

Amortization of debt discount

$ 26,000

$ 14,381

Unamortized debt issuance cost

$ 11,063

KBM Worldwide, Inc. Convertible Note [Member] | Minimum [Member]

Debt Instrument [Line Items]

Percentage of prepayment amount of the outstanding balance of the Convertible Note

110.00%

KBM Worldwide, Inc. Convertible Note [Member] | Maximum [Member]

Debt Instrument [Line Items]

Percentage of prepayment amount of the outstanding balance of the Convertible Note

135.00%

Typenex Co-Investment, LLC Convertible Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 350,000

Due and payable date

Jan. 5, 2016

Interest rate

10.00%

Interest rate in case of default

22.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

4.99%

Percentage of prepayment amount of the outstanding balance of the Convertible Note

125.00%

Legal fees

$ 5,000

Net amount received in connection with the sale

300,000

Original issue discount

$ 45,000

Conversion price (in dollars per share) | $ / shares

$ 2.25

Current market capitalization limit

$ 20,000,000

Multiplier

80.00%

Reduction in convertible note, percentage

5.00%

Market price limit (in dollars per share) | $ / shares

$ 0.75

Prepayment minimum amount

$ 70,000

Percentage increase of market capitalization

9.99%

Number of days notice required to increase market capitalization percentage

61 days

Market capitalization limit

$ 10,000,000

Warrants, granted (in shares) | shares

38,889

Warrants, exercise price (in dollars per share) | $ / shares

$ 2.25

Term of warrants

5 years

Anti-dilutive adjustment of warrants, multiplier

3

Shares pledged by Christopher Watts (in shares) | shares

1,100,000

Pledged, amount minimum

$ 900,000

Amortization of debt discount

$ 142,165

Unamortized debt issuance cost

22,099

Typenex Co Investment LLC Convertible Note Two [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 1,730,000

Interest rate in case of default

22.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

4.99%

Legal fees

$ 5,000

Original issue discount

475,000

1,420,661

Purchase price of convertible notes

263,011

Cash proceeds from sale of convertible notes

986,990

Prepayment amount on or before 90 days

1,492,500

Prepayment amount after 90 days before 135 days

1,611,250

Prepayment amount between 135 days and on maturity date

$ 1,730,000

Net payable balance

309,339

Number of times of issuable common shares reserve to be maintained to avoid customary event of default

3

Number of shares reserve to be maintained to avoid customary event of default (in shares) | shares

3,000,000

Number of days within which all current outstanding to be repaid to avoid customary default

30 days

Multiplier

80.00%

Reduction in convertible note, percentage

5.00%

Conversion price after reduction, percentage

75.00%

Additional reduction in conversion price, percentage

5.00%

Total additional reduction in conversion price, percentage

10.00%

Additional reduction in convertible note in the event of default, percentage

15.00%

Additional reduction in convertible note per the occurrence of first three major defaults, percentage

5.00%

Market price limit (in dollars per share) | $ / shares

$ 0.75

Percentage increase of market capitalization

9.99%

Number of days notice required to increase market capitalization percentage

61 days

Market capitalization limit

$ 10,000,000

Shares pledged by Christopher Watts (in shares) | shares

2,100,000

Share pledged by Kent P Watts (in shares) | shares

1,000,000

Number of times balance amount declines to make default

1.5

Pledged, amount minimum

$ 2,595,000

Amortization of debt discount

126,844

Unamortized debt issuance cost

$ 17,516

Vis Vires Group Convertible Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 414,500

Due and payable date

Apr. 2, 2016

Interest rate

8.00%

Interest rate in case of default

22.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

9.99%

Legal fees

$ 5,000

Net amount received in connection with the sale

$ 400,000

Conversion price

50.00%

Original issue discount

$ 6,351

Common stock shares authorized but unissued (in shares) | shares

8,000,000

Conversion price (in dollars per share) | $ / shares

$ 0.00005

Amortization of debt discount

$ 9,500

6,351

Unamortized debt issuance cost

$ 16,712

Vis Vires Group Convertible Note [Member] | Minimum [Member]

Debt Instrument [Line Items]

Percentage of prepayment amount of the outstanding balance of the Convertible Note

110.00%

Vis Vires Group Convertible Note [Member] | Maximum [Member]

Debt Instrument [Line Items]

Percentage of prepayment amount of the outstanding balance of the Convertible Note

135.00%

JMJ Convertible Promissory Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 373,333

Due and payable date

Jul. 28, 2017

Interest rate

12.00%

Debt instrument, original discount percentage

10.00%

Term of debt instrument

2 years

Debt instrument, conversion period

180 days

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

4.99%

Net amount received in connection with the sale

$ 300,000

Original issue discount

$ 28,865

Net payable balance

344,468

Conversion price (in dollars per share) | $ / shares

$ 1.23

Debt instrument, additional discount percentage condition 1

10.00%

Debt instrument, additional discount percentage condition 2

5.00%

Percentage of conversion price during 25 days prior to any conversion

60.00%

Amortization of debt discount

$ 3,268

JMJ Convertible Promissory Note [Member] | Maximum [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 1,000,000

Debt instrument, additional face amount

900,000

David L. Gillespie Unit Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 100,000

Interest rate

12.00%

Average quarterly closing spot price (in dollars per share) | $ / shares

$ 40

Preferred stock, shares issued (in shares) | shares

50

Average quarterly closing spot price interest rate, percentage

0.00%

Debt instrument, interest rate description

The interest rate of the Note was equal to the average of the closing spot prices for West Texas Intermediate crude oil on each trading day during the immediately prior calendar quarter divided by ten, plus two (the “WTI Interest Rate”).

Conversion price (in dollars per share) | $ / shares

$ 4

Number of units sold (in shares) | shares

0.5

Purchase price of units

$ 50,000

Restricted stock issued (in shares) | shares

25,000

David L. Gillespie Unit Note [Member] | Series B Convertible Preferred Stock [Member]

Debt Instrument [Line Items]

Preferred stock, shares issued (in shares) | shares

50

50

Conversion price (in dollars per share) | $ / shares

$ 1,000

Amortization of debt discount

$ 17,282

Note Payable for Commercial Insurance Program [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 414,384

Number of required periodic payments | Payment

8

Periodic installments amount

$ 52,586

Note Payable-Chairman [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 600,000

$ 100,000

Number of required periodic payments | Payment

36

Principal balance

$ 600,000

Term Loan [Member] | Shadow Tree Capital Management, LLC [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 4,000,000

Principal balance

$ 4,545,454

Due and payable date

Aug. 15, 2016

Debt instrument, original discount percentage

12.00%

Net amount received in connection with the sale

$ 3,463,539

Entered date

Aug. 15, 2014

Original issue discount

$ 77,743

Structuring fee

$ 90,909

Structuring fee, percentage

2.00%

Debt issuance cost

$ 172,824

283,455

Placement fee, percentage

5.00%

Placement fee

$ 227,273

Consulting fee, percentage

1.00%

Consulting fee

$ 45,455

Additional borrowing capacity

1,000,000

Sale of equity

$ 750,000

Credit agreement period sale of equity

150 days

Structuring Fee on additional borrowings

2.00%

Threshold revenues under condition one

$ 900,000

Threshold revenues under condition two

$ 900,000

Interest rate under condition one, percentage

16.00%

Interest rate under condition two, percentage

14.00%

Restricted shares issued (in shares) | shares

60,000

Restricted shares issued after 12 months from effective date (in shares) | shares

32,500

Restricted shares issued after 18 months from effective date (in shares) | shares

32,500

Restricted shares issued after 21 months from effective date (in shares) | shares

25,000

Amortization of debt discount

254,809

Note payable

4,467,712

Amortization expenses classified as interest expenses

68,342

Unamortized debt issuance cost

24,626

Term Loan [Member] | Christian Smith & Jewell [Member]

Debt Instrument [Line Items]

Net payable balance

442,784

Amortization of debt discount

$ 28,488

Restated Credit Agreement [Member] | Shadow Tree Capital Management, LLC [Member]

Debt Instrument [Line Items]

Principal balance

475,632

Due and payable date

Nov. 30, 2015

Original issue discount

$ 26,635

Debt issuance cost

$ 73,023

23,782

Placement fee, percentage

6.00%

Exit fee under condition one, percentage

4.00%

Exit fee under condition two, percentage

5.00%

Interest rate under condition one, percentage

16.00%

Restricted shares issued (in shares) | shares

32,500

Voting stock percentage

25.00%

Payables in case of default

$ 250,000

Period of default

30 days

Amortization of debt discount

45,686

Note payable

448,997

Amortization expenses classified as interest expenses

13,113

Unamortized debt issuance cost

4,930

Revolving Line of Credit Agreement [Member] | Christian Smith & Jewell [Member]

Debt Instrument [Line Items]

Interest rate

3.00%

Line of credit, amount of legal fees

$ 350,000

Line of credit, outstanding amount

$ 200,000

Interest rate in case of default

12.00%

Number of days for notice to repay debt amount

30 days

Debt instrument, ownership limitation percentage

4.99%

Conversion price (in dollars per share) | $ / shares

$ 1.17

Convertible Promissory Note [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 50,000

Convertible Promissory Note [Member] | Brian Kenny [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 32,500

Due and payable date

Jul. 31, 2017

Interest rate

12.00%

Convertible Promissory Note [Member] | Christian Smith & Jewell [Member]

Debt Instrument [Line Items]

Convertible note, face amount

$ 200,000

Derivative Liabilities (Details

Derivative Liabilities (Details)		3 Months Ended		12 Months Ended
		Oct. 31, 2015USD ($)Bid$ / sharesshares	Oct. 31, 2014USD ($)	Jul. 31, 2011$ / sharesshares	Sep. 18, 2015shares	Sep. 08, 2015$ / sharesshares	Jul. 31, 2015$ / sharesshares
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares		24,208,742					23,001,589
Activity for Embedded Derivatives and Warrants [Abstract]
Increase (decrease) in fair value of derivative liabilities		$ 1,273,926	$ 0
Exercise price (in dollars per share) | $ / shares		$ 7.5					$ 5.20
Geoserve Marketing, LLC [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Total shares of common stock issuable under warrants (in shares) | shares				400,000
Geoserve Marketing, LLC [Member] | Warrant B [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Period for calculating average closing price				5 days
Average closing stock price that will trigger issuance of additional warrants (in dollars per share) | $ / shares				$ 22.50
Number of warrants exercisable upon attaining target average closing price (in shares) | shares				200,000
Exercise price (in dollars per share) | $ / shares				$ 7.50
Expiration date		Feb. 15, 2016
Geoserve Marketing, LLC [Member] | Warrant C [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Period for calculating average closing price				5 days
Average closing stock price that will trigger issuance of additional warrants (in dollars per share) | $ / shares				$ 45
Number of warrants exercisable upon attaining target average closing price (in shares) | shares				200,000
Exercise price (in dollars per share) | $ / shares				$ 7.50
Expiration date		Feb. 15, 2016
Typenex Co-Investment [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares					128,048	128,048
Activity for Embedded Derivatives and Warrants [Abstract]
Total shares of common stock issuable under warrants (in shares) | shares						260,788
Exercise price (in dollars per share) | $ / shares		$ 2.25				$ 1.17
Warrants [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares		666,667
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 1.17
Adjusted exercise price (in dollars per share) | $ / shares		$ 7.50
Risk free interest rate	[2]	0.08%
Instrument lives in years		3 months 14 days
Expected volatility		84.00%
Expected dividend yields	[3]	0.00%
Risk-free interest rate determination term on treasury bill		3 months 14 days
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		$ 261,577
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		80,659
Change of derivative liabilities upon conversion		(342,236)
Balance		$ 0
Warrants exercise period		5 years
Warrants issued to purchase shares of common stock		$ 87,500
Number of lowest closing bid price | Bid		5
Number of trading days determining market price		20 days
Initial exercise price (in dollars per share) | $ / shares		$ 2.25
Warrants exercisable (in shares) | shares		38,889
Aggregate fair value of derivative liabilities		$ 2,833,870
Warrants [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares		705,556
Expected volatility		112.00%
Expected dividend yields	[3]	0.00%
Warrants [Member] | Tainted Warrants-Geoserve [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		$ 8,722
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		(8,722)
Change of derivative liabilities upon conversion		0
Balance		0
Warrants [Member] | Typenex Co-Warrants [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		252,855
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		89,381
Change of derivative liabilities upon conversion		(342,236)
Balance		$ 0
Embedded Derivative Instruments [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares		5,949,825
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 1.17
Expected dividend yields	[3]	0.00%
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		$ 1,739,557
Initial valuation of embedded derivative instruments issued during the period		3,450,692
Increase (decrease) in fair value of derivative liabilities		(224,406)
Fair value of derivative liabilities on repayment of debt		(1,762,534)
Change of derivative liabilities upon conversion		(369,439)
Balance		$ 2,833,870
Embedded Derivative Instruments [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Common stock issuable (in shares) | shares		5,884,277
Expected dividend yields	[3]	0.00%
Embedded Derivative Instruments [Member] | Typenex Co-Investment [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		$ 1,212,688
Initial valuation of embedded derivative instruments issued during the period		1,072,506
Increase (decrease) in fair value of derivative liabilities		(428,740)
Fair value of derivative liabilities on repayment of debt		(789,040)
Balance		1,067,414
Embedded Derivative Instruments [Member] | Duma Holdings [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		546
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		(546)
Fair value of derivative liabilities on repayment of debt		0
Balance		0
Embedded Derivative Instruments [Member] | Embedded Convertible Note - Subtotal [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		1,213,234
Initial valuation of embedded derivative instruments issued during the period		1,072,506
Increase (decrease) in fair value of derivative liabilities		544,208
Fair value of derivative liabilities on repayment of debt		(1,762,534)
Balance		1,067,414
Embedded Derivative Instruments [Member] | Tainted Kent P. Watts [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		319,960
Initial valuation of embedded derivative instruments issued during the period		692,719
Increase (decrease) in fair value of derivative liabilities		(138,202)
Fair value of derivative liabilities on repayment of debt		0
Change of derivative liabilities upon conversion		(363,659)
Balance		510,818
Embedded Derivative Instruments [Member] | Tainted Christian Smith & Jewell [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		167,077
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		(132,130)
Fair value of derivative liabilities on repayment of debt		0
Balance		34,947
Embedded Derivative Instruments [Member] | Tainted David L. Gillespie [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		4,956
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		824
Fair value of derivative liabilities on repayment of debt		0
Change of derivative liabilities upon conversion		(5,780)
Balance		0
Embedded Derivative Instruments [Member] | Tainted Brian Kenny [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		34,330
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		(3,540)
Fair value of derivative liabilities on repayment of debt		0
Balance		30,790
Embedded Derivative Instruments [Member] | Farid Barkhorder [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		78,685
Increase (decrease) in fair value of derivative liabilities		(29,016)
Fair value of derivative liabilities on repayment of debt		0
Balance		49,669
Embedded Derivative Instruments [Member] | Robert Klinek and Susan Pack [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		389,566
Increase (decrease) in fair value of derivative liabilities		(120,800)
Fair value of derivative liabilities on repayment of debt		0
Balance		268,766
Embedded Derivative Instruments [Member] | Lee Walinsky [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		34,074
Increase (decrease) in fair value of derivative liabilities		(9,326)
Fair value of derivative liabilities on repayment of debt		0
Balance		24,748
Embedded Derivative Instruments [Member] | S. Chris Herndon [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		144,336
Increase (decrease) in fair value of derivative liabilities		(44,997)
Fair value of derivative liabilities on repayment of debt		0
Balance		99,339
Embedded Derivative Instruments [Member] | Robert B. Kahw [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		120,023
Increase (decrease) in fair value of derivative liabilities		(45,660)
Fair value of derivative liabilities on repayment of debt		0
Balance		74,363
Embedded Derivative Instruments [Member] | Donald P. Clary [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		68,148
Increase (decrease) in fair value of derivative liabilities		(18,652)
Fair value of derivative liabilities on repayment of debt		0
Balance		49,496
Embedded Derivative Instruments [Member] | Jay Fishman [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		102,222
Increase (decrease) in fair value of derivative liabilities		(27,978)
Fair value of derivative liabilities on repayment of debt		0
Balance		74,244
Embedded Derivative Instruments [Member] | Carl Miller and Deanna Miller [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		45,431
Increase (decrease) in fair value of derivative liabilities		(12,434)
Fair value of derivative liabilities on repayment of debt		0
Balance		32,997
Embedded Derivative Instruments [Member] | Barry Robbins [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		50,746
Increase (decrease) in fair value of derivative liabilities		(13,761)
Fair value of derivative liabilities on repayment of debt		0
Balance		36,985
Embedded Derivative Instruments [Member] | Brent & Silvia Sagissor [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		45,431
Increase (decrease) in fair value of derivative liabilities		(12,435)
Fair value of derivative liabilities on repayment of debt		0
Balance		32,996
Embedded Derivative Instruments [Member] | David and Ginger Levy Trust [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		212,393
Increase (decrease) in fair value of derivative liabilities		(63,114)
Fair value of derivative liabilities on repayment of debt		0
Balance		149,279
Embedded Derivative Instruments [Member] | Kevin R. Minor [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		45,431
Increase (decrease) in fair value of derivative liabilities		(12,434)
Fair value of derivative liabilities on repayment of debt		0
Balance		32,997
Embedded Derivative Instruments [Member] | Timothy Hoke Smith [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		45,431
Increase (decrease) in fair value of derivative liabilities		(12,434)
Fair value of derivative liabilities on repayment of debt		0
Balance		32,997
Embedded Derivative Instruments [Member] | Clint D. Summers [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		113,579
Increase (decrease) in fair value of derivative liabilities		(31,087)
Fair value of derivative liabilities on repayment of debt		0
Balance		82,492
Embedded Derivative Instruments [Member] | Sean M. Crowley Trust [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		189,971
Increase (decrease) in fair value of derivative liabilities		(41,438)
Fair value of derivative liabilities on repayment of debt		0
Balance		148,533
Embedded Derivative Instruments [Member] | Tainted Note - Subtotal [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		526,323
Initial valuation of embedded derivative instruments issued during the period		2,378,186
Increase (decrease) in fair value of derivative liabilities		(768,614)
Fair value of derivative liabilities on repayment of debt		0
Balance		1,766,456
Embedded Derivative Instruments [Member] | KBM Worldwide, Inc [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		469,272
Fair value of derivative liabilities on repayment of debt		(469,272)
Balance		0
Embedded Derivative Instruments [Member] | VIS VIRES Group, Inc [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Balance		0
Initial valuation of embedded derivative instruments issued during the period		0
Increase (decrease) in fair value of derivative liabilities		504,222
Fair value of derivative liabilities on repayment of debt		(504,222)
Balance		$ 0
Minimum [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Risk-free interest rate determination term on treasury bill		2 months 1 day
Minimum [Member] | Warrants [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Conversion factor		70.00%
Minimum [Member] | Warrants [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 0.92
Adjusted exercise price (in dollars per share) | $ / shares		$ 2.25
Risk free interest rate	[2]	0.25%
Instrument lives in years		1 year
Minimum [Member] | Embedded Derivative Instruments [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Adjusted exercise price (in dollars per share) | $ / shares		$ 0.28
Risk free interest rate	[4]	0.01%
Instrument lives in years		2 months 1 day
Expected volatility	[5]	85.00%
Minimum [Member] | Embedded Derivative Instruments [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 0.91
Adjusted exercise price (in dollars per share) | $ / shares		$ 0.52
Risk free interest rate	[4]	0.06%
Instrument lives in years		2 months 1 day
Expected volatility	[5]	82.00%
Maximum [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Risk-free interest rate determination term on treasury bill		2 years
Maximum [Member] | Warrants [Member]
Activity for Embedded Derivatives and Warrants [Abstract]
Conversion factor		80.00%
Maximum [Member] | Warrants [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 1.07
Adjusted exercise price (in dollars per share) | $ / shares		$ 7.50
Risk free interest rate	[2]	1.57%
Instrument lives in years		5 years
Maximum [Member] | Embedded Derivative Instruments [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Adjusted exercise price (in dollars per share) | $ / shares		$ 4
Risk free interest rate	[4]	1.00%
Instrument lives in years		1 year 10 months 24 days
Expected volatility	[5]	119.00%
Maximum [Member] | Embedded Derivative Instruments [Member] | Initial [Member]
Fair Value of Embedded Derivatives and Warrants [Abstract]
Market value of common stock on measurement date (in dollars per share) | $ / shares	[1]	$ 1.50
Adjusted exercise price (in dollars per share) | $ / shares		$ 4
Risk free interest rate	[4]	0.25%
Instrument lives in years		2 years
Expected volatility	[5]	115.00%
Recurring [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		$ 0
Recurring [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		0
Recurring [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		2,833,870
Recurring [Member] | Carrying Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		2,833,870
Recurring [Member] | Convertible Notes [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		0
Recurring [Member] | Convertible Notes [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		0
Recurring [Member] | Convertible Notes [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		1,067,414
Recurring [Member] | Convertible Notes [Member] | Carrying Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		1,067,414
Recurring [Member] | Tainted Conversion Notes [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		0
Recurring [Member] | Tainted Conversion Notes [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		0
Recurring [Member] | Tainted Conversion Notes [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		1,766,456
Recurring [Member] | Tainted Conversion Notes [Member] | Carrying Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Carrying Value		$ 1,766,456
[1]	The market value of common stock is the stock price at the close of trading on the date of issuance or at period-end, as applicable.
[2]	The risk-free interest rate was determined by management using between 0.29 - year Treasury Bill as of the respective offering or measurement date.
[3]	Management determined the dividend yield to be -0-% based upon its expectation that it will not pay dividends for the foreseeable future.
[4]	The risk-free interest rate was determined by management using between the 0.17 and 2 - year Treasury Bill as of the respective offering or measurement date.
[5]	The historical trading volatility was determined by the Company's trading history.

Capital Stock (Details)

Capital Stock (Details) - USD ($)

Aug. 31, 2015

Jun. 10, 2015

Apr. 27, 2015

Aug. 04, 2014

Dec. 04, 2013

Sep. 06, 2013

Sep. 30, 2015

Jul. 09, 2015

Oct. 31, 2015

Oct. 31, 2014

Jul. 31, 2015

Sep. 28, 2015

Sep. 18, 2015

Sep. 08, 2015

Class of Stock [Line Items]

Common stock, shares issued (in shares)

24,208,742

23,001,589

Maturity Date

Jun. 10, 2018

Compensation expense for shares issued for services

$ (1,564,000)

$ 0

Stock issued for interest

17,419

$ 0

Derivative liability amount for warrant exercises

$ 24,209

$ 23,002

Par value of common stock issued (in dollars per share)

$ 0.001

$ 0.001

Maximum percentage of proceeds to be received upon sale of stock to third party

100.00%

95.00%

Maximum proceeds to be received upon sale of stock to third party

$ 1,000,000

Period of stock listing on major stock exchange within which the Company will receive proceeds from sale of stock

60 days

90 days

90 days

Note receivable, outstanding

$ 325,000

Period of six month anniversary of stock sale within which the Company will receive proceeds from sale of stock

60 days

Period from date that shares become unrestricted within which the Company will receive proceeds from sale of stock

60 days

Percentage of remaining receivable balance is due within stock listing period

100.00%

Minimum share price for note receivable to be due to company (in dollars per share)

$ 6

Note receivable extension fee

$ 50,000

Note payable remaining balance repaid in future

$ 750,000

Offer period to repay note receivable

90 days

Discount percentage offered on note receivable

67.00%

Discounted value of offered note receivable

$ 619,898

Proceeds from note receivable

$ 531,000

Remaining balance of discounted note receivable

$ 88,898

Writes off related to the discount on notes receivable

$ 1,239,981

HCN [Member]

Class of Stock [Line Items]

Number of shares of common stock issued in exchange for note receivable (in shares)

619,960

191,667

Value of common stock issued in exchange for note receivable

$ 1,859,879

$ 1,000,000

Period of six month anniversary of stock sale within which the Company will receive proceeds from sale of stock

60 days

Minimum share price for note receivable to be due to company (in dollars per share)

$ 6

James W. Christian [Member]

Class of Stock [Line Items]

Compensation expense for shares issued for services

$ 84,000

Shares issued for legal service (in shares)

60,000

Typenex Co-Investment, LLC Convertible Note [Member]

Class of Stock [Line Items]

Common stock, shares issued (in shares)

128,048

128,048

Derivative liability amount for warrant exercises

$ 342,236

Par value of common stock issued (in dollars per share)

$ 0.001

Restricted Common Stock [Member]

Class of Stock [Line Items]

Restricted common stock (in shares)

25,000

Offer period to repay note receivable

90 days

Discount percentage offered on note receivable

67.00%

Discounted value of offered note receivable

$ 619,898

Proceeds from note receivable

$ 531,000

Remaining balance of discounted note receivable

88,898

Writes off related to the discount on notes receivable

$ 1,239,981

Restricted Common Stock [Member] | Snap or Tap Productions, LLC [Member]

Class of Stock [Line Items]

Compensation expense for shares issued for services

$ 1,480,000

Shares issued for services rendered (in shares)

1,000,000

Restricted Common Stock [Member] | Directors [Member]

Class of Stock [Line Items]

Restricted common stock (in shares)

6,796

Restricted common stock, value

$ 8,000

Convertible Promissory Note [Member] | Restricted Common Stock [Member]

Class of Stock [Line Items]

Shares issued for interest (in shares)

12,309

Stock issued for interest

$ 17,419

Common Stock [Member]

Class of Stock [Line Items]

Restricted common stock (in shares)

800,000

100,000

Compensation expense for shares issued for services

$ 266,700

Series B Convertible Preferred Stock [Member]

Class of Stock [Line Items]

Convertible preferred stock, per share (in dollars per share)

$ 1,000

Series B Convertible Preferred Stock [Member] | David L. Gillespie Unit Note [Member]

Class of Stock [Line Items]

Convertible preferred stock, per share (in dollars per share)

$ 1,000

Series B Convertible Preferred Stock [Member] | Watts [Member]

Class of Stock [Line Items]

Convertible preferred stock shares issued upon conversion (in shares)

3,070

Convertible preferred stock, per share (in dollars per share)

$ 1,000

Capital Stock, Options Granted

Capital Stock, Options Granted (Details) - USD ($)	3 Months Ended		12 Months Ended
	Oct. 31, 2015	Oct. 31, 2014	Jul. 31, 2014	Jul. 31, 2015
Information about options granted to non-employees and employee under stock incentive plans [Abstract]
Compensation expense recognized	$ 8,000	$ 280,475
Stock Option [Member]
Information about options granted to non-employees and employee under stock incentive plans [Abstract]
Number of options granted (in shares)	0
Weighted average exercise price of options granted (in dollars per share)	$ 0
Options [Roll Forward]
Outstanding, beginning balance (in shares)				198,333
Granted (in shares)	0
Exercised (in shares)	0
Expired or forfeited (in shares)	0
Exercisable, ending balance (in shares)	198,333
Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning balance (in dollars per share)				$ 6.52
Granted (in dollars per share)	$ 0
Exercised (in dollars per share)	0
Expired (in dollars per share)	0
Exercisable, ending balance (in dollars per share)	$ 6.63
Aggregate intrinsic value, beginning balance				$ 0
Aggregate intrinsic value, exercisable	$ 0
Weighted average remaining contractual life			4 years 22 days
Weighted average remaining contractual life, Granted	0 years
Weighted average remaining contractual life, exercisable	6 years 5 months 23 days
Stock Option [Member] | Non Employees [Member]
Information about options granted to non-employees and employee under stock incentive plans [Abstract]
Number of options granted (in shares)	0	25,000
Compensation expense recognized	$ 0	$ 112,500
Weighted average exercise price of options granted (in dollars per share)	$ 0	$ 4.50
Options [Roll Forward]
Granted (in shares)	0	25,000
Weighted Average Exercise Price [Roll Forward]
Granted (in dollars per share)	$ 0	$ 4.50
2013 Stock Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares authorized (in shares)	267,744
2015 Stock Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares authorized (in shares)	1,000,000

Capital Stock, Warrants (Detail

Capital Stock, Warrants (Details) - USD ($)	3 Months Ended	12 Months Ended
	Oct. 31, 2015	Jul. 31, 2014	Oct. 31, 2015	Sep. 18, 2015	Sep. 08, 2015	Jul. 31, 2015	Jul. 31, 2011
Class of Warrant or Right [Line Items]
Exercise price (in dollars per share)	$ 5.20		$ 7.5			$ 5.20
Outstanding number of shares (in shares)	978,299		666,667			978,299
Common stock, shares issued (in shares)			24,208,742			23,001,589
Warrants [Roll Forward]
Outstanding, beginning balance (in shares)	978,299
Granted (in shares)	311,632
Exercised (in shares)	0
Expired (in shares)	0
Outstanding, beginning balance (in shares)	666,667
Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning balance (in dollars per share)	$ 5.20
Granted (in dollars per share)	0.28
Exercised (in dollars per share)	0
Expired (in dollars per share)	0
Outstanding, beginning balance (in dollars per share)	$ 7.5
Aggregate intrinsic value, beginning balance	$ 302,283
Aggregate intrinsic value, Granted	302,283
Aggregate intrinsic value, ending balance	$ 0
Weighted average remaining contractual life	3 months 14 days	1 year 10 months 2 days
Weighted average remaining contractual life, Granted	0 years
Typenex Co-Investment, LLC Convertible Note [Member]
Class of Warrant or Right [Line Items]
Total shares of common stock issuable under warrants (in shares)					260,788
Exercise price (in dollars per share)	$ 2.25		$ 2.25		$ 1.17
Outstanding number of shares (in shares)					38,889
Common stock, shares issued (in shares)				128,048	128,048
Weighted Average Exercise Price [Roll Forward]
Outstanding, beginning balance (in dollars per share)	$ 2.25
Geoserve Marketing, LLC [Member]
Class of Warrant or Right [Line Items]
Total shares of common stock issuable under warrants (in shares)							400,000
Geoserve Marketing, LLC [Member] | Warrant B [Member]
Class of Warrant or Right [Line Items]
Exercise price (in dollars per share)							$ 7.50
Geoserve Marketing, LLC [Member] | Warrant C [Member]
Class of Warrant or Right [Line Items]
Exercise price (in dollars per share)							$ 7.50

Capital Stock, Warrants Outstan

Capital Stock, Warrants Outstanding and Exercisable (Details) - $ / shares	3 Months Ended	12 Months Ended
	Oct. 31, 2015	Jul. 31, 2014	Jul. 31, 2015
Warrants Outstanding And Exercisable [Line Items]
Exercise price (in dollars per share)	$ 7.5		$ 5.20
Outstanding number of shares (in shares)	666,667		978,299
Remaining life	3 months 14 days	1 year 10 months 2 days
Exercisable number of shares (in shares)	666,667
Exercise Price 7.50 [Member]
Warrants Outstanding And Exercisable [Line Items]
Exercise price (in dollars per share)	$ 7.50
Outstanding number of shares (in shares)	666,667
Exercisable number of shares (in shares)	666,667
Exercise Price 7.50 [Member] | Maximum [Member]
Warrants Outstanding And Exercisable [Line Items]
Remaining life	1 year

Related Party Transactions (Det

Related Party Transactions (Details)

Jul. 16, 2015USD ($)$ / sharesshares

Jun. 10, 2015USD ($)shares

Apr. 27, 2015USD ($)

Aug. 04, 2014

Dec. 04, 2013USD ($)$ / sharesshares

Sep. 06, 2013USD ($)shares

Nov. 30, 2013USD ($)

Oct. 31, 2013USD ($)shares

Jul. 09, 2015USD ($)

Oct. 31, 2015USD ($)Child$ / sharesshares

Jul. 31, 2015USD ($)

Sep. 21, 2015USD ($)

Jul. 15, 2015$ / shares

Related Party Transaction [Line Items]

Due to related parties

$ 156,585

$ 78,585

Maximum percentage of proceeds to be received upon sale of stock to third party

100.00%

95.00%

Maximum proceeds to be received upon sale of stock to third party

$ 1,000,000

Note receivable, outstanding

$ 325,000

Period of stock listing on major stock exchange within which the Company will receive proceeds from sale of stock

60 days

90 days

90 days

Period of stock sale from date that the share become unrestricted, condition 2

60 days

Share price (in dollars per share) | $ / shares

$ 6

Offer period to repay note receivable

90 days

Discount percentage offered on note receivable

67.00%

Discounted value of offered note receivable

$ 619,898

Proceeds from note receivable

$ 531,000

Remaining balance of discounted note receivable

$ 88,898

Writes off related to the discount on notes receivable

1,239,981

Common Stock [Member]

Related Party Transaction [Line Items]

HCN Issuance of common stock (in shares) | shares

800,000

100,000

Shares issued (in shares) | shares

800,000

100,000

Series B Convertible Preferred Stock [Member]

Related Party Transaction [Line Items]

Conversion price (in dollars per share) | $ / shares

$ 1,000

Convertible Promissory Note [Member]

Related Party Transaction [Line Items]

Debt instrument, face amount

$ 3,200,000

$ 3,000,000

Convertible note, face amount

$ 3,200,000

3,000,000

Interest rate in the event default

12.00%

Convertible Promissory Note [Member] | Common Stock [Member]

Related Party Transaction [Line Items]

Original issue discount

$ 614,141

Convertible Promissory Note [Member] | Series B Convertible Preferred Stock [Member]

Related Party Transaction [Line Items]

Conversion price (in dollars per share) | $ / shares

$ 1,000

HCN [Member]

Related Party Transaction [Line Items]

Due to related parties

$ 156,585

Number of shares of common stock issued in exchange for note receivable (in shares) | shares

619,960

191,667

Value of common stock issued in exchange for note receivable

$ 1,000,000

Unregistered and restricted common stock (in shares) | shares

619,960

191,667

Amount receivable on non-interest bearing note receivable

$ 1,859,879

$ 1,000,000

Percentage of shares payable from sale or by the owner of share to third party, condition 1

100.00%

Period of stock sale from date that the share become unrestricted, condition 2

60 days

Percentage of remaining balance due within the period of company being listed, condition 3

100.00%

Period of company being listed on a major stock exchange, condition 3

90 days

Share price (in dollars per share) | $ / shares

$ 6

Father-In-Law of Chief Executive Officer [Member]

Related Party Transaction [Line Items]

Number of adult children of related party who are significant shareholders | Child

1

Percentage of outstanding common stock owned by beneficial owners

55.00%

Company received payment from related party

58,000

Percentage working interest purchased

5.00%

Outstanding billed and unbilled joint interest billings owed by related party

$ 72

186

Proceeds from related party debt

$ 58,000

Chairman [Member]

Related Party Transaction [Line Items]

Debt instrument, face amount

$ 100,000

Term of promissory note

1 year

Interest rate on debt

5.00%

Maximum borrowing capacity

$ 600,000

Interest rate

6.25%

Additional borrowing capacity

$ 200,000

Remaining balance borrowing amount

$ 300,000

Number of monthly payment

36 months

Convertible note, face amount

$ 100,000

Chairman' Nephew [Member]

Related Party Transaction [Line Items]

Stock issued during period for acquisition, shares (in shares) | shares

191,667

Due from employee

$ 1,000,000

Unrelated Party in which Michael Watts has Minority Interest [Member]

Related Party Transaction [Line Items]

Due from employee

$ 1,859,879

HCN Obligation [Member]

Related Party Transaction [Line Items]

Stock issued during period for acquisition, shares (in shares) | shares

619,960

Due to related parties

$ 2,400,000

Interest and late fees

533,630

HCN Obligation [Member] | Settled with Cash [Member]

Related Party Transaction [Line Items]

Interest and late fees

$ 25,000

Duma Holdings [Member] | Convertible Promissory Note [Member]

Related Party Transaction [Line Items]

Company received payment from related party

$ 350,000

Debt instrument, face amount

100,000

Convertible note, face amount

$ 100,000

Number of units exchanged for accrued and unpaid dividends (in shares) | shares

1.75

Common stock aggregate (in shares) | shares

393,750

Interest rate in the event default

15.00%

Proceeds from related party debt

$ 350,000

Original issue discount

$ 7,000

Duma Holdings [Member] | Convertible Promissory Note [Member] | Common Stock [Member]

Related Party Transaction [Line Items]

HCN Issuance of common stock (in shares) | shares

25,000

Shares issued (in shares) | shares

25,000

Duma Holdings [Member] | Convertible Promissory Note [Member] | Series B Convertible Preferred Stock [Member]

Related Party Transaction [Line Items]

Conversion price (in dollars per share) | $ / shares

$ 1,000

Conversion of notes (in shares) | shares

350,000

Commitments and Contingencies36

Commitments and Contingencies (Details)	Dec. 31, 2014USD ($)shares	Aug. 29, 2014USD ($)Lawsuit	Feb. 28, 2014USD ($)ft²	Oct. 31, 2015USD ($)LetterofCredit	Apr. 30, 2015shares	Jul. 31, 2015USD ($)shares	Oct. 31, 2014USD ($)
Loss Contingencies [Line Items]
Number of Lawsuit | Lawsuit		1
Loss estimation with respect to lawsuit		$ 0
Other Commitments [Line Items]
Monthly compression and handling fees				$ 1,000
Number of letters of credit in favor of the Railroad Commission of Texas | LetterofCredit				2
Schedule of prepaid balances [Abstract]
Prepaid letter of credit fees				$ 99,300			$ 101,251
Amortization				(24,825)			(33,950)
Net prepaid letter of credit fees				74,475			$ 67,301
Minimum [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate				150,000
Maximum [Member]
Loss Contingencies [Line Items]
Loss contingency, estimate				$ 900,000
Accounts Payable and Accrued Expenses [Member]
Loss Contingencies [Line Items]
Environmental remediation expense						$ 150,000
Houston, Texas Office [Member]
Other Commitments [Line Items]
Operating lease, term of lease				3 years
Operating lease, term of lease extension				3 years
Monthly rental payments				$ 6,406
Monthly rental payments, year two				6,673
Monthly rental payments, year three				$ 6,940
Area of office space subleased | ft²			4,915
Term of lease				Dec. 31, 2017
Houston, Texas Office [Member] | Lease from March 1, 2014 through December 31, 2014 [Member]
Other Commitments [Line Items]
Sublease rental income			$ 10,650
Houston, Texas Office [Member] | Lease from January 1, 2015 through December 31, 2015 [Member]
Other Commitments [Line Items]
Sublease rental income			10,854
Houston, Texas Office [Member] | Lease from January 1, 2016 through December 31, 2016 [Member]
Other Commitments [Line Items]
Sublease rental income			11,059
Houston, Texas Office [Member] | Lease from January 1, 2017 through December 31, 2017 [Member]
Other Commitments [Line Items]
Sublease rental income			$ 11,264
Mr. Scaturro [Member]
Loss Contingencies [Line Items]
Consideration received, promissory note	$ 475,000
Percentage of sell of Stock after listing on exchanges per moving average	5.00%
Moving volume weighted average of shares period	10 days
Mr. Scaturro [Member] | Maximum [Member]
Loss Contingencies [Line Items]
Additional shares agreed to sell (in shares) | shares	500
Mr. Scaturro [Member] | Common Stock [Member]
Loss Contingencies [Line Items]
Shares agreed to sell (in shares) | shares	475,000				75,000
Number of remaining shares available (in shares) | shares						307,058
Kent P. Watts [Member] | Common Stock [Member]
Loss Contingencies [Line Items]
Number of shares transferred (in shares) | shares						2,237,500
Shares issued for services rendered (in shares) | shares						300,000
Two Children of Kent P [Member] | Common Stock [Member]
Loss Contingencies [Line Items]
Number of shares transferred (in shares) | shares						162,500
Letter of Credit One [Member]
Other Commitments [Line Items]
Debt instrument, face amount				$ 6,610,000
Debt instrument, fee percentage				1.50%
Letter of Credit Two [Member]
Other Commitments [Line Items]
Debt instrument, face amount				$ 120,000
Debt instrument, fee percentage				1.50%

Subsequent Events (Details)

Subsequent Events (Details)

Dec. 15, 2015

Nov. 30, 2015USD ($)$ / bbl

Nov. 25, 2015USD ($)shares

Nov. 17, 2015USD ($)$ / shares

Nov. 13, 2015Director

Nov. 09, 2015USD ($)$ / sharesshares

Sep. 14, 2015USD ($)

Aug. 25, 2015USD ($)Directorshares

Dec. 03, 2013

Oct. 31, 2015USD ($)

Sep. 30, 2015USD ($)

Sep. 17, 2015USD ($)

Aug. 26, 2015USD ($)

Jun. 10, 2015USD ($)

Subsequent Event [Line Items]

Due and payable date

Jun. 10, 2018

Kent P. Watts [Member]

Subsequent Event [Line Items]

Common stock shares owned (in shares) | shares

4,946,955

Sale of securities in private transactions to make voting agreement effective

$ 1,000,000

Consecutive trading days

30 days

Kent P. Watts [Member] | Minimum [Member]

Subsequent Event [Line Items]

Consecutive trading days

20 days

S. Chris Herndon [Member]

Subsequent Event [Line Items]

Percentage of voting rights required to elect or remove directors

66.60%

Number of elect or remove directors under voting rights | Director

2

Number of directors | Director

3

Convertible Subordinated Promissory Notes [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 1,745,832

$ 100,000

Convertible Subordinated Promissory Notes [Member] | Kent P. Watts [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 350,000

516,667

$ 166,667

Convertible Subordinated Promissory Notes [Member] | S. Chris Herndon [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 100,000

Convertible Promissory Note [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 3,000,000

$ 3,200,000

Interest rate in the event default

12.00%

Convertible Promissory Note [Member] | S. Chris Herndon [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 100,000

Subsequent Event [Member]

Subsequent Event [Line Items]

Number of directors before filling the newly created vacancy | Director

2

Number of directors after filling the newly created vacancy | Director

3

Subsequent Event [Member] | Adar Bays, LLC and Union Capital, LLC Notes [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 416,000

Debt instrument, interest rate

8.00%

Legal fees

$ 16,000

Diligence fees

30,000

Subsequent Event [Member] | JSJ Investments Inc. Convertible Note [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 350,000

Debt instrument, interest rate

8.00%

Debt Instrument, accrued interest rate

18.00%

Initial notes prepayment period

180 days

Common stock, shares convertible, conversion, grace period

3 days

Initial notes conversion into our common stock discount percentage

40.00%

Prepayment percentage until 60th day

25.00%

Prepayment percentage from 61st day to 120th day

35.00%

Prepayment percentage after 120th day

45.00%

Debt instrument premium percentage

50.00%

Initial soft floor price per share on conversions (in dollars per share) | $ / shares

$ 0.30

Common stock closing price per share on conversions (in dollars per share) | $ / shares

0.30

Common stock closing price per share for 10 trading days immediately preceding first time (in dollars per share) | $ / shares

0.30

Common stock closing price per share in 10 trading days (in dollars per share) | $ / shares

0.30

Common stock soft floor price per share on conversions one (in dollars per share) | $ / shares

0.15

Common stock soft floor price per share on conversions two (in dollars per share) | $ / shares

$ 0.075

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

4.90%

Percentage increase of market capitalization

9.99%

Subsequent Event [Member] | JSJ Investments Inc. Convertible Note [Member] | Maximum [Member]

Subsequent Event [Line Items]

Repayment of debt

$ 35,000

Subsequent Event [Member] | JSJ Investments Inc. Convertible Note [Member] | Minimum [Member]

Subsequent Event [Line Items]

Repayment of debt

25,000

Subsequent Event [Member] | Darling Capital LLC Note Member [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 200,000

Debt instrument, interest rate

8.00%

Debt Instrument, accrued interest rate

8.00%

Initial notes prepayment period

180 days

Common stock, shares convertible, conversion, grace period

3 days

Conversion price percentage increase in the event of "DTC chill"

10.00%

Prepayment percentage until 60th day

15.00%

Prepayment percentage from 61st day to 120th day

35.00%

Prepayment percentage after 120th day

45.00%

Initial soft floor price per share on conversions (in dollars per share) | $ / shares

$ 0.30

Common stock closing price per share on conversions (in dollars per share) | $ / shares

0.30

Common stock closing price per share for 10 trading days immediately preceding first time (in dollars per share) | $ / shares

0.30

Common stock closing price per share in 10 trading days (in dollars per share) | $ / shares

0.30

Common stock soft floor price per share on conversions one (in dollars per share) | $ / shares

0.15

Common stock soft floor price per share on conversions two (in dollars per share) | $ / shares

$ 0.075

Additional increase in convertible note per the occurrence of first three major defaults, percentage

22.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

9.90%

Repayment of debt

$ 20,000

Market price per share (in dollars per share) | $ / shares

$ 0.001

Subsequent Event [Member] | Darling Capital LLC Note Member [Member] | Maximum [Member]

Subsequent Event [Line Items]

Initial notes conversion into our common stock discount percentage

40.00%

Subsequent Event [Member] | Typenex Co-Investment, LLC Convertible Note [Member]

Subsequent Event [Line Items]

Debt instrument, interest rate

8.00%

Interest rate in the event default

22.00%

Increase percentage in principal note balance for default

15.00%

Increase in principal note balance for default

$ 259,500

Principal balance in the event of default

$ 2,006,429

Number of pledged shares foreclosed (in shares) | shares

3,100,000

Due and payable date in case of default

Dec. 2, 2015

Number of days before the note payable balance need to be repaid to become convertible

180 days

Number of cure right days

15 days

Prior notice period to agent

60 days

Subsequent Event [Member] | Restated Credit Agreement [Member] | Shadow Tree Capital Management, LLC [Member]

Subsequent Event [Line Items]

Principal balance

$ 5,020,000

Due and payable date

May 31, 2016

Exit fee under condition one, percentage

8.00%

Exit fee under condition two, percentage

10.00%

Percentage of subordinated financing proceeds to repay lenders

35.00%

Crude oil price under condition one (in dollars per barrel) | $ / bbl

35

Consecutive trading days

10 days

Outstanding principal amount under condition one

$ 2,021,086

Crude oil price under condition two (in dollars per barrel) | $ / bbl

30

Subsequent Event [Member] | Restated Credit Agreement [Member] | Shadow Tree Capital Management, LLC [Member] | Minimum [Member]

Subsequent Event [Line Items]

Subordinated debt financing to repay debt

$ 4,000,000

Subordinated debt financing to repay debt under condition one

$ 2,000,000

Percentage of subordinated financing proceeds to repay debt

40.00%

Principal payment required to avoid default

$ 2,000,000

Subsequent Event [Member] | Initial Notes [Member] | Adar Bays, LLC and Union Capital, LLC Notes [Member]

Subsequent Event [Line Items]

Convertible note, face amount

208,000

Legal fees paid to investors

8,000

Diligence fees paid for initial notes

$ 15,000

Debt Instrument, accrued interest rate

8.00%

Term of debt instrument

2 years

Initial notes prepayment period

180 days

Common stock, shares convertible, conversion, grace period

3 days

Conversion price percentage increase in the event of "DTC chill"

50.00%

Initial notes conversion into our common stock discount percentage

40.00%

Prepayment percentage until 60th day

115.00%

Prepayment percentage from 61st day to 120th day

135.00%

Prepayment percentage after 120th day

145.00%

Redemption percentage

150.00%

Number of times balance amount declines to make default

4

Convertible note, initial amount

$ 1,100,000

Initial soft floor price per share on conversions (in dollars per share) | $ / shares

$ 0.30

Common stock closing price per share on conversions (in dollars per share) | $ / shares

0.30

Common stock closing price per share for 10 trading days immediately preceding first time (in dollars per share) | $ / shares

0.30

Common stock closing price per share in 10 trading days (in dollars per share) | $ / shares

0.30

Common stock soft floor price per share on conversions one (in dollars per share) | $ / shares

0.15

Common stock soft floor price per share on conversions two (in dollars per share) | $ / shares

$ 0.075

Excess of common stock value delisted from exchange (in shares) | shares

250,000

Additional increase in convertible note per the occurrence of first three major defaults, percentage

24.00%

Excess percentage of outstanding shares that convertible note cannot be converted to Company's common stock

9.90%

Repayment of debt

$ 20,000

Subsequent Event [Member] | Initial Notes [Member] | Adar Bays, LLC and Union Capital, LLC Notes [Member] | Maximum [Member]

Subsequent Event [Line Items]

Total payable, defaults and additional penalties percentage

50.00%

Subsequent Event [Member] | Initial Notes [Member] | Adar Bays, LLC and Union Capital, LLC Notes [Member] | Minimum [Member]

Subsequent Event [Line Items]

Total payable, defaults and additional penalties percentage

10.00%

Subsequent Event [Member] | Second Notes [Member] | Adar Bays, LLC and Union Capital, LLC Notes [Member]

Subsequent Event [Line Items]

Convertible note, face amount

$ 208,000

Debt Instrument, accrued interest rate

8.00%

Market price limit (in dollars per share) | $ / shares

$ 0.50

Common stock aggregate value for consecutive five trading days

$ 50,000

Repayment of debt

$ 20,000