Discovery Energy (DENR) 10-K 13 Jun 17 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Feb. 28, 2017	Jun. 05, 2017	Aug. 31, 2016
Document And Entity Information
Entity Registrant Name	Discovery Energy Corp.
Entity Central Index Key	1,435,387
Trading Symbol	DENR
Document Type	10-K
Document Period End Date	Feb. 28, 2017
Amendment Flag	false
Current Fiscal Year End Date	--02-28
Entity a Well-known Seasoned Issuer	No
Entity a Voluntary Filer	No
Entity's Reporting Status Current	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 9,868,830
Entity Common Stock, Shares Outstanding		141,665,396
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,017

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Feb. 28, 2017	Feb. 29, 2016
Current Assets
Cash	$ 533,749	$ 15,895
Prepaid expenses	18,783	17,059
GST Receivable	8,359
Total Current Assets	560,891	32,954
Oil and gas property - not subject to amortization (successful efforts method)	2,621,415	2,421,415
Other Assets	38,440
Total Assets	3,220,746	2,454,369
Current Liabilities
Accounts payable and accrued liabilities	336,859	97,277
Accounts payable- related parties	139,948	123,508
Other liabilities	4,396	13,623
Promissory notes-related parties	0	139,953
Promissory notes		542,294
Total Current Liabilities	481,203	916,655
Derivative liabilities	8,221,135
Convertible debentures payable, net of debt discount of $4,680,580 and $0, respectively at February 28, 2017 and February 29, 2016, respectively	556,920
Total Liabilities	9,259,258	916,655
Commitments and Contingencies
Stockholders' Equity (Deficit)
Preferred stock - 10,000,000 shares authorized, zero issued and outstanding
Common stock - 500,000,000 shares authorized, $0.001 par value - 141,665,396 and 140,189,501 shares issued and outstanding as of February 28, 2017 and February 29, 2016, respectively	141,665	140,189
Additional paid-in capital	4,246,650	3,952,947
Accumulated other comprehensive income (loss)	(89,010)	(11,830)
Accumulated deficit	(10,337,817)	(2,543,592)
Total Stockholders' Equity (Deficit)	(6,038,512)	1,537,714
Total Liabilities and Stockholders' Equity (Deficit)	$ 3,220,746	$ 2,454,369

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Feb. 28, 2017	Feb. 29, 2016
Statement of Financial Position [Abstract]
Debt discount on convertible note payable	$ 4,680,580	$ 0
Preferred stock, authorized	10,000,000	10,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, authorized	500,000,000	500,000,000
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, issued	141,665,396	140,189,501
Common stock, outstanding	141,665,396	140,189,501

Consolidated Statements of Oper

Consolidated Statements of Operations and Other Comprehensive Loss - USD ($)	12 Months Ended
	Feb. 28, 2017	Feb. 29, 2016
Operating Expenses
General and administrative	$ 226,035	$ 67,386
Exploration costs	3,172,442	61,993
Professional fees	327,168	98,832
Rent	10,318	12,992
Travel	96,495	40,000
Total operating expenses	3,832,458	281,203
Other (Income) Expenses
Gain on conversion of debt	(57,545)
Interest expense	6,013,747	21,457
Change in fair value of derivative liabilities	(1,987,177)
Miscellaneous income	(3,659)	(52)
(Gain) loss of foreign currency transactions	(3,599)	(18,327)
Other (income) expenses	3,961,767	3,078
Net loss	$ (7,794,225)	$ (284,281)
Net loss per common share - basic and diluted (in dollars per share)	$ (0.06)	$ 0
Weighted average number of common shares outstanding-basic and diluted (in shares)	140,446,842	139,983,353
Comprehensive Income (Loss)
Net loss	$ (7,794,225)	$ (284,281)
Other comprehensive income (loss) - gain (loss) on foreign currency translation	(77,180)	(5,146)
Total comprehensive loss	$ (7,871,405)	$ (289,427)

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Deficit) - USD ($)	Common Stock [Member]	Additional Paid-In Capital [Member]	Deficit Accumulated During the Exploration Stage [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total
Balance, beginning at Feb. 28, 2014	$ 138,452	$ 3,319,365	$ (1,802,128)	$ (2,197)	$ 1,653,492
Balance, beginning (in shares) at Feb. 28, 2014	138,451,200
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Capital stock issued for cash	$ 237	94,763			95,000
Capital stock issued for cash (in shares)	237,500
Capital stock issued for services rendered	$ 248	99,271			99,519
Capital stock issued for services rendered (in shares)	248,800
Capital stock issued upon conversion of notes payable	$ 302	120,498			120,800
Capital stock issued upon conversion of notes payable (in shares)	302,000
Net loss for the year			(457,183)		(457,183)
Comprehensive income (loss) for the year				(4,487)	(4,487)
Balance, ending at Feb. 28, 2015	$ 139,239	3,633,897	(2,259,311)	(6,684)	1,507,141
Balance, ending (in shares) at Feb. 28, 2015	139,239,500
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Capital stock issued for cash	$ 950	319,050			320,000
Capital stock issued for cash (in shares)	950,001
Net loss for the year			(284,281)		(284,281)
Comprehensive income (loss) for the year				(5,146)	(5,146)
Balance, ending at Feb. 29, 2016	$ 140,189	3,952,947	(2,543,592)	(11,830)	$ 1,537,714
Balance, ending (in shares) at Feb. 29, 2016	140,189,501				140,189,501
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Capital stock issued for cash	$ 325	64,675			$ 65,000
Capital stock issued for cash (in shares)	325,000				325,000
Capital stock issued upon conversion of notes payable	$ 1,151	229,028			$ 230,179
Capital stock issued upon conversion of notes payable (in shares)	1,150,895
Net loss for the year			(7,794,225)		(7,794,225)
Comprehensive income (loss) for the year				(77,180)	(77,180)
Balance, ending at Feb. 28, 2017	$ 141,665	$ 4,246,650	$ (10,337,817)	$ (89,010)	$ (6,038,512)
Balance, ending (in shares) at Feb. 28, 2017	141,665,396				141,665,396

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Feb. 28, 2017	Feb. 29, 2016
Cash flows used in operating activities
Net loss	$ (7,794,225)	$ (284,281)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of debt discount	507,006
Change in fair value of derivative liabilities	(1,987,177)
Interest expense related to derivative liabilities in excess of debt	5,245,923
Gain on conversion of debt to equity	(57,545)
Foreign currency transaction (gain) loss	(3,599)	(18,327)
Changes in assets and liabilities:
GST receivable	8,700
Prepaid expenses	(18,783)	(883)
Accounts payable and accrued liabilities	54,187	18,111
Accounts payable - related party	16,440	(10,791)
Net cash used in operating activities	(4,029,073)	(296,171)
Cash flows from investing activities
Cash paid for oil and gas property bond	(38,440)
Cash paid for royalty interest	(200,000)
Net cash flows used in investing activities	(238,440)
Cash flows from financing activities
Proceeds from notes payable - related party	6,400	60,353
Repayments on promissory notes - related party	(146,353)	(64,000)
Repayments on notes payable	(300,000)
Proceeds from issuance of convertible debentures	5,237,500
Proceeds from issuance of common stock	65,000	320,000
Net cash flows from financing activities	4,862,547	316,353
Effect of foreign currency translation on cash	(77,180)	(5,146)
Change in cash during the year	517,854	15,036
Cash beginning of the year	15,895	859
Cash end of the year	533,749	15,895
Supplemental disclosures
Interest paid in the period	12,635
Income taxes paid in the period
Noncash investing and financing activities
Debt discount on convertible debentures	225,197
Derivative liabilities debt discount	10,208,312
Interest payable converted to principal on outstanding promissory notes	45,430
Shares issued for conversion of notes payable	$ 230,179

Nature of Operations

Nature of Operations	12 Months Ended
	Feb. 28, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations	1. Nature of Operations The principal business of Discovery Energy, Inc. (the “Company”) is the proposed exploration and development of the 584,651 gross acres (the “Prospect”) in the State of South Australia covered by Petroleum Exploration License (PEL) 512 (the “License”). The Prospect involves a 100% working interest in the preceding acreage, which overlies portions of the Cooper and Eromanga basins. The Company has not presently determined whether the Prospect contains any crude oil and natural gas reserves that are economically recoverable. While the Company’s present focus is on the Prospect, the Company may consider the acquisition of other attractive oil and gas properties under the right circumstances. In May 2012, the Company incorporated a wholly-owned Australian subsidiary, Discovery Energy SA Ltd. (the “Subsidiary”) for purposes of acquiring the License. On May 25, 2016, the Subsidiary changed its status from a public company to private company (as those forms of entities are provided under applicable Australian law) and, accordingly changed its name to Discovery Energy SA Pty Ltd.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Feb. 28, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. Intercompany transactions and balances have been eliminated upon consolidation. Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Net Loss Per Share Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period would be used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. For the years ended February 28, 2017 and February 29, 2016, the following share equivalents related to convertible debt and warrants to purchase shares of common stock were excluded from the computation of diluted net loss per share, as the inclusion of such shares would be anti-dilutive. Year Ended Year Ended Common Shares Issuable for: February 28, 2017 February 29, 2016 Convertible debt 34,253,931 - Stock warrants 17,625,000 - 51,878,931 - Comprehensive Loss FASB accounting standard for “Reporting Comprehensive Income” establishes standards for the reporting and display of comprehensive loss and its components in the financial statements. As of February 28, 2017, the Company has recognized Currency translation adjustments as a component of comprehensive loss. Cash and Cash Equivalents The Company considers all highly liquid instruments with maturity of three months or less at the time of acquisition to be cash equivalents. Oil and Gas Property and Exploration Costs The Company is in the exploration stage and has not yet realized any revenue from its planned operations. It is primarily engaged in the proposed exploration and development of the Prospect and the extraction of crude oil and natural gas located there under. The Company applies the successful efforts method of accounting for oil and gas properties. Under this method, exploration costs such as exploratory geological and geophysical costs, delay rentals and exploratory overhead are expensed as incurred. Costs to acquire mineral interests in crude oil and natural gas properties, drill and equip exploratory wells that find proved reserves, and drill and equip development wells are capitalized. Acquisition costs of unproved leaseholds are assessed for impairment during the holding period and transferred to proved oil and gas properties to the extent associated with successful exploration activities. Significant undeveloped leases are assessed individually for impairment, based on the Company’s current exploration plans, and a valuation allowance is provided if impairment is indicated. Capitalized costs of producing crude oil and natural gas properties, along with support equipment and facilities, are amortized to expense by the unit-of-production method based on proved crude oil and natural gas reserves on a field-by-field basis, as estimated by qualified petroleum engineers. Long-lived Assets The carrying value of long-lived assets is reviewed on a regular basis for the existence of facts or circumstances that may suggest impairment. The Company recognizes impairment when the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset. Impairment losses, if any, are measured as the excess of the carrying amount of the asset over its estimated fair value. Fair Value of Financial Instruments and Derivative Financial Instruments The carrying amounts of cash, receivables, accounts payable and accrued liabilities, and shareholder loan approximate their fair values because of the short maturity of these items. Certain fair value estimates may be subject to and involve uncertainties and matters of significant judgment, and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect these estimates. The Company does not hold or issue financial instruments for trading purposes, nor does it utilize derivative instruments in the management of its foreign exchange, commodity price, or interest rate market risks. Income Taxes Deferred income taxes are reported for timing differences between items of income or expense reported in the financial statements and those reported for income tax purposes. The Company uses the asset/liability method of accounting for income taxes. Deferred income taxes and tax benefits are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, and for tax loss and credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The Company provides a valuation allowance for deferred taxes for the estimated future tax effects attributable to temporary differences and carry-forwards when realization is not more likely than not. The Company accounts for uncertain income tax positions by recognizing in the financial statements, the impact of a tax position, if that position is more likely than not of being sustained on examination by taxation authorities, based on the technical merits of the position. Foreign Currency Translation The Company’s functional and reporting currency is the United States dollar. Monetary assets and liabilities denominated in foreign currencies are translated, using the exchange rate prevailing at the balance sheet date. Non-monetary assets are translated at historical exchange rates, and revenue and expense items at the average rate of exchange prevailing during the period. Differences resulting from translation are presented in equity as Accumulated Other Comprehensive Income. Gains and losses arising on settlement of foreign currency denominated transactions or balances are included in the determination of income. Foreign currency transactions are primarily undertaken in Canadian and Australian dollars. The Company has not, to the date of these financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. Fair Value Considerations The Company follows ASC 820, “Fair Value Measurements and Disclosures,” as amended by Financial Accounting Standards Board (FASB) Financial Staff Position (FSP) No. 157 and related guidance. Those provisions relate to the Company’s financial assets and liabilities carried at fair value and the fair value disclosures related to financial assets and liabilities. ASC 820 defines fair value, expands related disclosure requirements, and specifies a hierarchy of valuation techniques based on the nature of the inputs used to develop the fair value measures. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, assuming the transaction occurs in the principal or most advantageous market for that asset or liability. There are three levels of inputs to fair value measurements - Level 1, meaning the use of quoted prices for identical instruments in active markets; Level 2, meaning the use of quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active or are directly or indirectly observable; and Level 3, meaning the use of unobservable inputs. The Company uses Level 1 inputs for its fair value measurements whenever there is an active market, with actual quotes, market prices, and observable inputs on the measurement date. The Company uses Level 2 inputs for fair value measurements whenever there are quoted prices for similar securities in an active market or quoted prices for identical securities in an inactive market. The Company uses observable market data whenever available. In accordance with ASC 815-40-25 and ASC 815-10-15 Derivatives and Hedging and ASC 480-10-25 Liabilities-Distinguishing Liabilities from Equity, the embedded derivate associated with the convertible note payable and warrant are accounted for as liabilities during the term of the related note payable and warrant. Recent Accounting Pronouncements In accordance with ASU 2014-15, the Company has addressed the Going Concern issue above in detail and in the following footnote. The Company does not expect the adoption of any other recently issued accounting pronouncements to have a significant effect on its financial statements.

Going Concern

Going Concern	12 Months Ended
	Feb. 28, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	3. Going Concern The accompanying consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated revenues since inception and has never paid dividends and is unlikely to pay dividends or generate earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the ability of the Company to obtain necessary equity or debt financing to continue operations, the successful development of the Prospect or one or more alternative oil and gas properties, and the attainment of profitable operations. As of February 28, 2017, the Company has not generated any revenues and has an accumulated loss of $10,337,817 since inception. These factors raise substantial doubt regarding the Company's ability to continue as a going concern from the filing date of these financial statements. The accompanying financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. In May 2016, we secured $3.5 million in funding through a convertible debenture sale. In August 2016, we secured an additional $450,000 in funding by that sale of two additional convertible debentures, one in the original principal amount of $200,000 acquired by the original purchaser, DEC Funding LLC (the “Original Investor”), of the first $3.5 million Debenture and one in the original principal amount of $250,000 acquired by a new purchaser (the “New Investor”). The New Investor had an obligation to acquire additional debentures (the “Rincon-Related Debentures”) not to exceed in the aggregate the lesser of $150,000 or those amounts that are paid to Rincon Energy, LLC pursuant to a geophysical consulting agreement among the Company, the New Purchaser, Rincon Energy, LLC and the Company’s subsidiary. In December 2016, two additional convertible debentures were issued to the New Investor, one in the original principal amount of $150,000 for amounts paid to Rincon Energy, LLC and one in the original principal amount of $137,500. In February 2017, an additional $1 million in funding was secured through sale of a debenture to the Original Investor. The New Investor also has the right but not the obligation to acquire additional Debentures (“Additional Debentures”) through September 30, 2018, provided that a cap is imposed on the aggregate principal amount of Additional Debentures that may be acquired (the “Principal Cap”). The Principal Cap is initially the difference between $1,250,000 minus In addition, the Original Purchaser of the $3.5 million convertible debentures has a right of first offer through the end of June 2017 to invest an additional $20.0 million in the Company.

Oil and Gas Properties

Oil and Gas Properties	12 Months Ended
	Feb. 28, 2017
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Oil and Gas Properties	4. Oil and Gas Properties On May 19, 2014, the Company received notice from the Government of South Australia that this government had issued certain modifications to the License and suspended the License for a period of six months. Such a suspension functions like an extension. Under the amended License, the Company will be required to drill 7 exploratory wells rather than 12, as originally required. These required wells must be drilled in years 3, 4, and 5 (2, 2, and 3 wells, respectively). The amount of required 2D seismic was also reduced to 100 kilometers (in year 3) from 250 kilometers (in year 2) but the total 3D seismic work guaranteed increased to 500 square kilometers from 400 square kilometers. However, the 3D seismic survey requirement is spread over years 2, 3 and 4 (100, 200 and 200 sq. km. respectively). Subsequent to this modification and suspension, the Company received two additional six-month suspensions, one in February 2015 and one in July 2015, and a one-year suspension in February 2016. On June 22, 2016, the Company lifted the February 2016 License suspension in preparation for a 3D seismic survey (the “ Nike 3D Seismic Survey th In view of the activity, modifications and suspensions described above, the Company’s remaining work commitments involve the following: * Year 3 ending April 27, 2018 - Acquire new 2D seismic data totaling at least 100 kilometers, acquire 3D seismic data totaling at least 200 square kilometers and drill two wells. * Year 4 ending April 27, 2019 - Acquire new 3D seismic data totaling at least 200 square kilometers and drill two wells. * Year 5 ending April 27, 2020 - Drill three wells.

Related Party Transactions

Related Party Transactions	12 Months Ended
	Feb. 28, 2017
Related Party Transactions [Abstract]
Related Party Transactions	5. Related Party Transactions As of February 28, 2017 and February 29, 2016, the Company owed $139,948 and $123,508, respectively, to certain Company directors for reimbursement of expenses paid on behalf of the Company. In addition, as of February 28, 2017 and February 29, 2016, the Company owed $0 and $139,953, respectively, for promissory notes issued to various related parties. During the fiscal year ended February 29, 2016, the Company entered into a series of notes with its two of its directors. These transactions are summarized in the table below and are further described in Note 6. Director No. of Transactions Transaction Type & Dates Total Transaction Amount Keith Spickelmier 1 Company payment of 3 prior notes; 3/31/15 $ (50,000 ) Keith Spickelmier 4 Additional notes; 11/20/15, 8/12/15, 12/2 & 4/16 $ 29,000 William E. Begley 2 Company payment of 3 prior notes; 6/9/15 & 7/3/15 $ (14,000 ) William E. Begley 7 Additional notes; 3/9/15, 1/19/16, 12/16/15, 1/15/16, 1/19/16, 2/3 & 4/16 $ 31,353

Promissory Notes

Promissory Notes	12 Months Ended
	Feb. 28, 2017
Debt Disclosure [Abstract]
Promissory Notes	6. Promissory Notes Two promissory notes were issued on October 26, 2012 to Liberty Petroleum Corporation (“Liberty”) upon delivery of the License with an aggregate principal amount of $650,000. The original terms of the note were: (i) One note in the original principal amount of $500,000 was originally due on April 26, 2013. (ii) The other note in the original principal amount of $150,000 was originally due on July 26, 2013. (iii) Both notes accrued interest at a floating rate equal to the one-month term LIBOR rate, plus an additional 3%. Accrued interest of $10,484 and $42,065 is included in other liabilities as of November 30, 2016, and February 29, 2016, respectively. These promissory notes had undergone a number of amendments, including extensions of the due dates. On September 26, 2013, these promissory notes were combined into a single consolidation promissory note (the “Consolidated Note”) in the original principal amount of $542,294, as some of the principal had been reduced and some interest had accrued. On July 20, 2016, the Company and Liberty amended the Consolidated Note so that all the previous outstanding principal ($542,294) and the interest accrued through May 5, 2016 ($45,430) were combined. The resulting new principal ($587,724) of this Note and the interest that accrues on the Note after May 5, 2016 would be due in a single balloon payment on September 20, 2016. On August 23, 2016, the Company made a payment to Liberty in the amount of $100,000 to reduce the principal amount ($587,724) of the Consolidated Note to $487,724. On October 28, 2016, the Company made a payment to Liberty in the amount of $100,000 to reduce the principal amount ($487,724) of the Consolidated Note to $387,724. On December 29, 2016, the Company made a payment to Liberty in the amount of $50,000 and two days later (December 31, 2016) the Company issued 1,150,895 shares of the Company’s common stock as payment for $287,724 of principal. On February 21, 2017, the Company made a payment to Liberty in the amount of $61,907 that repaid the remaining $50,000 in principal and $11,907 in accrued interest. On March 9, 2015, the Company entered into an unsecured corporate demand note with William Begley, a related party. The note was in the amount of $4,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On March 31, 2015, the Company repaid three unsecured corporate demand notes with Keith Spickelmier, a related party, totaling $50,000. The notes were dated September 26, 2013, December 16, 2013, and January 8, 2014 for $7,500, $17,500, and $25,000, respectively. On May 5, 2015, the Company entered into an amendment of a previous unsecured corporate demand note with Keith Spickelmier. The note was in the amount of $3,100 and the maximum term was amended and extended to the second anniversary from the date of the note. None of the other provisions of the original notes were changed. On June 9, 2015, the Company repaid an unsecured corporate demand note with William Begley totaling $2,000. The note was dated February 21, 2015. On July 3, 2015, the Company repaid two unsecured corporate demand notes with William Begley totaling $12,000. The notes were dated December 17, 2014 and January 1, 2015 for $6,000 each. On August 11, 2015, the Company entered into an unsecured corporate demand note with William Begley. The note was in the amount of $3,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On November 20, 2015, the Company entered into an unsecured corporate demand note with Keith Spickelmier. The note was in the amount of $10,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On December 16, 2015, the Company entered into an unsecured corporate demand note with William E. Begley. The note was in the amount of $5,353, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On January 15, 2016, the Company entered into an unsecured corporate demand note with Keith Spickelmier. The note was in the amount of $5,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On January 15, 2016, the Company entered into an unsecured corporate demand note with William E. Begley. The note was in the amount of $1,500, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On January 19, 2016, the Company entered into an unsecured corporate demand note with William E. Begley. The note was in the amount of $3,500, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On February 2, 2016, the Company entered into an unsecured corporate demand note with Keith Spickelmier. The note was in the amount of $7,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On February 3, 2016, the Company entered into an unsecured corporate demand note with William E. Begley. The note was in the amount of $4,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On February 4, 2016, the Company entered into an unsecured corporate demand note with William E. Begley. The note was in the amount of $10,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On February 4, 2016, the Company entered into an unsecured corporate demand note with Keith Spickelmier. The note was in the amount of $7,000, and repayment can be demanded, with 5-days notice, at any time after the passage of 20 business days from the date of the note. If no demand is made on the note, the note becomes due and payable in full on its first anniversary. The note is non-interest bearing. On September 1, 2016, the Company repaid eight unsecured corporate demand notes to Keith Spickelmier, a related party, totaling $77,600. The original notes repaid were dated March 31, 2014, May 5, 2014, July 16, 2014, September 29, 2014, December 18, 2014, January 29, 2015, November 20, 2015, and January 15, 2016 for $25,000, $3,100, $10,000, $16,000, $6,000, $2,500, $10,000 and $5,000 respectively. On November 28, 2016, the Company repaid two unsecured corporate demand notes to Keith Spickelmier, a related party, totaling $14,000. The original notes repaid were dated February 2, 2016 and February 4, 2016, and each had a principal amount of $7,000. On December 7, 2016, the Company repaid an unsecured corporate demand note to Keith Spickelmier, a related party, in the principal amount of $4,600. The original note was dated May 10, 2016. On February 15, 2017, the Company repaid an unsecured corporate demand note to Mark S. Thompson/EMTEECO Holdings with a principal amount of $17,000. On February 16, 2017, the Company repaid seven unsecured corporate demand notes to William Begley, a related party, totaling $29,153. The original notes repaid were dated August 11, 2015, December 16, 2016, January 15, 2016, January 19, 2016, February 3, 2016, February 4, 2016, and April 20, 2016 for $3,000, $5,353, $1,500, $3,500, $4,000, $10,000 and $1,800, respectively.

Convertible Debentures Payable

Convertible Debentures Payable	12 Months Ended
	Feb. 28, 2017
Debt Disclosure [Abstract]
Convertible Debentures Payable	7. Convertible Debentures Payable On May 27, 2016, pursuant to a securities purchase agreement (the “Agreement”), the Company sold a $3.5 million senior secured convertible debenture (singly a “ Debenture Debentures Initial Debenture Among other provisions, the Initial Debenture sale transaction included warrants (the “Warrants”) to purchase 13,125,000 shares of the Company’s common stock (singly a “ Common Share Common Shares The Company also recorded debt discount in the amount of $3,320,000 related to the conversion feature associated with this debenture. On August 16, 2016, the Company entered into a first amendment (the “Amendment”) to the Agreement that the Company entered into on May 27, 2016 with the Original Investor. The parties to the Amendment include the Company, the Original Investor and a new investor (the “ New Investor Pursuant to the Amendment, the Company sold the following securities: to the New Investor, a Debenture due May 27, 2021 having an original principal amount of $250,000, and to the Original Investor, a Debenture due May 27, 2021 having an original principal amount of $200,000 and to the Original Investor, Warrants to purchase up to a maximum of 750,000 Common Shares (prior to any required adjustment) at an initial per-share exercise price of $0.20. The Debentures and the Warrants include a reset provision whereby the investor is entitled to reset the conversion price of the Debentures and the Warrants in the event that the Company issues securities priced below the conversion price of the Debentures and the Warrants. The Company has analyzed the reset provision of the Debentures and the Warrants and calculated the fair market value of the ensuing derivative liability, as discussed in Note 8. In conjunction with the Amendment, the Company recorded debt discount of $449,999, which includes legal costs of $35,699. Effective December 30, 2016, the Company sold a Debenture due May 27, 2021 having an original principal amount of $287,500. This Debenture was sold to the New Investor. Of the $287,500 original principal amount this Debenture, $150,000 represents amounts that the New Investor was obligated to purchase related to amounts paid to Rincon Energy, LLC pursuant to a consulting agreement among it, the New Investor and the Company. In conjunction with this issuance, the Company recorded debt discount of $228,089. Effective February 15, 2017, the Company sold two additional Debentures. One of these Debentures with an original principal amount of $1,000,000 was sold to Original Investor with a due date of May 27, 2021 and bearing interest of 8% per annum. This new Debenture features an initial conversion price of $0.16 for each Company common share acquired upon conversion. Warrants to purchase up to a maximum of 3,750,000 Common Shares at $0.20 were also included in this transaction. In conjunction with the issuance, the Company recorded debt discount of $1,009,498, which includes legal costs of $9,498. The second of the two Debentures was sold to the New Investor with an original purchase amount of $150,000, a due date of May 27, 2021 and an initial conversion price of $0.16. It also bears interest of 8% per annum. The purchase price will be remitted in monthly installments of at least $30,000 beginning February 2017, provided that the New Investor will be deemed to have satisfied such installments for all amounts that the New Investor pays to Rincon Energy, LLC pursuant to the supplemental consulting agreement. As of February 28, 2017 no installments had been paid pending the receipt of the Rincon February invoice by New Investor. With the completion of the fourth round of Debenture placements, the Company has issued Debentures having an aggregate original principal amount of $5,237,500, and warrants to purchase 17,625,000 of the Company’s common shares, which would result in proceeds to the Company of $3,525,000 if all such warrants were exercised. The Company recognized $507,006 in discount amortization during the twelve months ended February 28, 2017. There was no debt discount amortization recognized by the Company during the twelve months ended February 29, 2016.

Derivative Liabilities

Derivative Liabilities	12 Months Ended
	Feb. 28, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Liabilities	8. Derivative Liabilities The debentures and related warrants issued by the Company contain a price-reset provision (the “Reset Provision”) that gives rise to a derivative liability. The Company has measured its derivative liability at fair value and recognized the derivative value as a current liability and recorded the derivative value on its consolidated balance sheet. The derivative is valued primarily using a binomial latticed-based model based on observable inputs that are supported by little to no market activity. The Level 1 input is the stock price on the valuation date. The Level 2 inputs are the interest rate and expected volatility. There are no Level 3 inputs. These inputs represent management’s best estimate of what market participants would use in pricing the liability at the measurement date and thus are classified as Level 3. Changes in the fair values of the derivative are recognized as earnings or losses in the current period in other (income) expense on the consolidated statement of operations and other comprehensive loss. The fair values of derivative liability related to the Reset Provision contained within the debentures as of May 27, 2016, and as of February 28, 2017, were estimated on the transaction dates and balance sheet dates under the following assumptions: May 27, Issuances / February 28, Shares of common stock issuable upon exercise of debt 21,875,000 12,005,521 33,880,521 Estimated market value of common stock on measurement date $ 0.26 $ (0.01 ) $ 0.25 Exercise price $ 0.16 $ - $ 0.16 Risk free interest rate 1.37 % 0.36% - 0.39 % 1.73% - 1.76 % Expected dividend yield 0.00 % 0.00 % 0.00 % Expected volatility 306.96 % (229.20)% - (231.50 )% 75.46% - 77.76 % Expected exercise term in years 4.992 0.00 4.24 The fair values of derivative liability related to the Reset Provision contained within the warrants as of May 27, 2016, the date of issuance, and as of February 28, 2017, were estimated on the transaction dates and balance sheet dates under the following assumptions: May 27, Issuances / February 28, Shares of common stock issuable upon exercise of warrant 13,125,000 4,500,000 17,625,000 Estimated market value of common stock on measurement date $ 0.26 $ (0.01 ) $ 0.25 Exercise price $ 0.20 $ - $ 0.20 Risk free interest rate 1.37 % (0.09)% - (0.10 )% 1.28% - 1.47 % Expected dividend yield 0.00 % 0.00 % 0.00 % Expected volatility 306.96 % (224.64)% - (220.13 )% 82.32% - 86.83 % Expected exercise term in years 2.992 0.00 2.24 to 2.96 The changes in fair values of the derivative liabilities related to the debentures and warrants for the twelve months ended February 28, 2017 are summarized as follows: Fair value of derivative liabilities at February 29, 2016 $ - Fair value of derivative liabilities on issuance date 10,208,312 Conversion of derivative liabilities - Change in fair value of derivative liabilities (1,987,177 ) Fair value of derivative liabilities at February 28, 2017 $ 8,221,135 The Company recognized a net gain on the change in fair value of derivative liabilities of $1,987,177 during the twelve months ended February 28, 2017. There was no change in fair value of derivative liabilities recognized by the Company during the twelve months ended February 29, 2016.

Income Taxes

Income Taxes	12 Months Ended
	Feb. 28, 2017
Income Tax Disclosure [Abstract]
Income Taxes	9. Income Taxes The significant components of deferred income tax assets at February 28, 2017 and February 29, 2016 are as follows: February 28, February 29, Deferred Tax Asset Capitalized Geological/Geophysical $ 112,305 $ 18,728 Debt Discount (1,523,874 ) - Federal Net Operating Loss 1,002,989 713,027 Less: Valuation Allowance 408,580 (731,755 ) Net Deferred Tax Asset $ - $ - The amount taken into income as deferred income tax assets must reflect that portion of the income tax loss carry forwards that is more likely-than-not to be realized from future operations. The Company has chosen to provide a full valuation allowance against all available income tax loss carry forwards. The Company has recognized a valuation allowance for the deferred income tax asset since the Company cannot be assured that it is more likely than not that such benefit will be utilized in future years. The valuation allowance is reviewed annually. When circumstances change and which cause a change in management's judgment about the realize-ability of deferred income tax assets, the impact of the change on the valuation allowance is generally reflected in current income. Management has considered the likelihood and significance of possible penalties associated with its current and intended filing positions and has determined, based on their assessment, that such penalties, if any, would not be expected to be material. No provision for income taxes has been provided in these financial statements due to the net loss for the years ended February 28, 2017 and February 29, 2016. An NOL carryforward of $2,949,968 has accumulated as of February 28, 2017 with portions beginning to expire in 2032.

Stockholders' Equity (Deficit)

Stockholders' Equity (Deficit)	12 Months Ended
	Feb. 28, 2017
Stockholders Equity Deficit
Stockholders' Equity (Deficit)	10. Stockholders’ Equity (Deficit) As of February 28, 2017 and February 29, 2016, the Company had 141,665,396 and 140,189,501 shares of its common stock issued and outstanding, respectively. During fiscal year 2017, the Company issued 325,000 shares of common stock to several private investors in exchange for gross proceeds of $65,000 at a price of $0.20 per share pursuant to the Company’s private placement. On December 31, 2016, the Company issued 1,150,895 shares of the Company’s common stock with a grant date fair value of $230,179 to settle $287,724 of outstanding promissory notes. As a result, the Company recognized a gain on conversion of debt of $57,545 on the statement of operations as of February 28, 2017. Warrants During the year ended February 28, 2017, the Company issued 17,625,000 warrants to purchase shares of the Company’s common stock as a part of the convertible debentures described above in Note 7. These warrants contain a price-reset provision described above in Note 8. A summary of the activity in the Company’s warrants during the year ended February 28, 2017 is presented below: Number of Weighted Average Outstanding and exercisable at February 29, 2016 - $ 0.00 Issued 17,625,000 $ 0.20 Outstanding and exercisable at February 28, 2017 17,625,000 $ 0.20 The intrinsic value of warrants outstanding at February 28, 2017 was $881,250.

Subsequent Events

Subsequent Events	12 Months Ended
	Feb. 28, 2017
Stockholders Equity Deficit
Subsequent Events	11. Subsequent Events On March 31, 2017, the Company sold a Senior Secured Convertible Debenture due May 27, 2021 with an original principal amount of $200,000 to the New Investor. This new Debenture bears an interest rate of 8% per annum and a conversion price of $0.20 per Common Share.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Feb. 28, 2017
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. Intercompany transactions and balances have been eliminated upon consolidation.
Reclassifications	Reclassifications Certain reclassifications have been made to prior period amounts to conform to the current period financial statement presentation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Net Loss Per Share	Net Loss Per Share The Company computes net income (loss) per share in accordance with FASB accounting standards for “Earnings per Share”, which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period would be used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. For the years ended February 28, 2017 and February 29, 2016, the following share equivalents related to convertible debt and warrants to purchase shares of common stock were excluded from the computation of diluted net loss per share, as the inclusion of such shares would be anti-dilutive. Year Ended Year Ended Common Shares Issuable for: February 28, 2017 February 29, 2016 Convertible debt 34,253,931 - Stock warrants 17,625,000 - 51,878,931 -
Comprehensive Loss	Comprehensive Loss FASB accounting standard for “Reporting Comprehensive Income” establishes standards for the reporting and display of comprehensive loss and its components in the financial statements. As of February 28, 2017 the Company has recognized Currency translation adjustments as a component of Comprehensive loss.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid instruments with maturity of three months or less at the time of acquisition to be cash equivalents.
Oil and Gas Property and Exploration Costs	Oil and Gas Property and Exploration Costs The Company is in the exploration stage and has not yet realized any revenue from its planned operations. It is primarily engaged in the proposed exploration and development of the Prospect and the extraction of crude oil and natural gas located there under. The Company applies the successful efforts method of accounting for oil and gas properties. Under this method, exploration costs such as exploratory geological and geophysical costs, delay rentals and exploratory overhead are expensed as incurred. Costs to acquire mineral interests in crude oil and natural gas properties, drill and equip exploratory wells that find proved reserves, and drill and equip development wells are capitalized. Acquisition costs of unproved leaseholds are assessed for impairment during the holding period and transferred to proved oil and gas properties to the extent associated with successful exploration activities. Significant undeveloped leases are assessed individually for impairment, based on the Company’s current exploration plans, and a valuation allowance is provided if impairment is indicated. Capitalized costs of producing crude oil and natural gas properties, along with support equipment and facilities, are amortized to expense by the unit-of-production method based on proved crude oil and natural gas reserves on a field-by-field basis, as estimated by qualified petroleum engineers.
Long-lived Assets	Long-lived Assets In accordance with FASB accounting standard “Accounting for the Impairment or Disposal of Long-Lived Assets”, the carrying value of long-lived assets is reviewed on a regular basis for the existence of facts or circumstances that may suggest impairment. The Company recognizes impairment when the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset. Impairment losses, if any, are measured as the excess of the carrying amount of the asset over its estimated fair value.
Fair Value of Financial Instruments and Derivative Financial Instruments	Fair Value of Financial Instruments and Derivative Financial Instruments The Company has adopted FASB’s accounting standards for Disclosure about Derivative Financial Instruments and Fair Value of Financial Instruments. The carrying amounts of cash, receivables, accounts payable and accrued liabilities, and shareholder loan approximate their fair values because of the short maturity of these items. Certain fair value estimates may be subject to and involve uncertainties and matters of significant judgment, and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect these estimates. The Company does not hold or issue financial instruments for trading purposes, nor does it utilize derivative instruments in the management of its foreign exchange, commodity price, or interest rate market risks.
Income Taxes	Income Taxes Deferred income taxes are reported for timing differences between items of income or expense reported in the financial statements and those reported for income tax purposes in accordance with FASB’s accounting standard for income taxes, which requires the use of the asset/liability method of accounting for income taxes. Deferred income taxes and tax benefits are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, and for tax loss and credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The Company provides a valuation allowance for deferred taxes for the estimated future tax effects attributable to temporary differences and carry-forwards when realization is not more likely than not. The Company accounts for uncertain income tax positions in accordance with FASB’s accounting standard for Accounting for Uncertainty in Income Taxes, which requires that the Company recognize in the financial statements, the impact of a tax position, if that position is more likely than not of being sustained on examination by taxation authorities, based on the technical merits of the position.
Foreign Currency Translation	Foreign Currency Translation The Company’s functional and reporting currency is the United States dollar. Monetary assets and liabilities denominated in foreign currencies are translated in accordance with FASB’s accounting standard for “Foreign Currency Translation”, using the exchange rate prevailing at the balance sheet date. Non-monetary assets are translated at historical exchange rates, and revenue and expense items at the average rate of exchange prevailing during the period. Differences resulting from translation are presented in equity as Accumulated Other Comprehensive Income. Gains and losses arising on settlement of foreign currency denominated transactions or balances are included in the determination of income. Foreign currency transactions are primarily undertaken in Canadian and Australian dollars. The Company has not, to the date of these financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations.
Fair Value Considerations	Fair Value Considerations The Company follows ASC 820, “Fair Value Measurements and Disclosures,” as amended by Financial Accounting Standards Board (FASB) Financial Staff Position (FSP) No. 157 and related guidance. Those provisions relate to the Company’s financial assets and liabilities carried at fair value and the fair value disclosures related to financial assets and liabilities. ASC 820 defines fair value, expands related disclosure requirements, and specifies a hierarchy of valuation techniques based on the nature of the inputs used to develop the fair value measures. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, assuming the transaction occurs in the principal or most advantageous market for that asset or liability. There are three levels of inputs to fair value measurements - Level 1, meaning the use of quoted prices for identical instruments in active markets; Level 2, meaning the use of quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active or are directly or indirectly observable; and Level 3, meaning the use of unobservable inputs. The Company uses Level 1 inputs for its fair value measurements whenever there is an active market, with actual quotes, market prices, and observable inputs on the measurement date. The Company uses Level 2 inputs for fair value measurements whenever there are quoted prices for similar securities in an active market or quoted prices for identical securities in an inactive market. The Company uses observable market data whenever available. In accordance with ASC 815-40-25 and ASC 815-10-15 Derivatives and Hedging and ASC 480-10-25 Liabilities-Distinguishing Liabilities from Equity, the embedded derivate associated with the convertible note payable and warrant are accounted for as liabilities during the term of the related note payable and warrant.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In accordance with ASU 2014-15, the Company has addressed the Going Concern issue above in detail and in the following footnote. The Company does not expect the adoption of any other recently issued accounting pronouncements to have a significant effect on its financial statements.

Summary of Significant Accoun19

Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Feb. 28, 2017
Accounting Policies [Abstract]
Schedule of common stock were excluded from the computation of diluted net loss per share, as the inclusion of such shares would be anti-dilutive	For the years ended February 28, 2017 and February 29, 2016, the following share equivalents related to convertible debt and warrants to purchase shares of common stock were excluded from the computation of diluted net loss per share, as the inclusion of such shares would be anti-dilutive. Year Ended Year Ended Common Shares Issuable for: February 28, 2017 February 29, 2016 Convertible debt 34,253,931 - Stock warrants 17,625,000 - 51,878,931 -

Related Party Trannsactions (Ta

Related Party Trannsactions (Tables)	12 Months Ended
	Feb. 28, 2017
Related Party Transactions [Abstract]
Schedule of related party transactions	During the fiscal year ended February 29, 2016, the Company entered into a series of notes with its two of its directors. These transactions are summarized in the table below and are further described in Note 6. Director No. of Transactions Transaction Type & Dates Total Transaction Amount Keith Spickelmier 1 Company payment of 3 prior notes; 3/31/15 $ (50,000 ) Keith Spickelmier 4 Additional notes; 11/20/15, 8/12/15, 12/2 & 4/16 $ 29,000 William E. Begley 2 Company payment of 3 prior notes; 6/9/15 & 7/3/15 $ (14,000 ) William E. Begley 7 Additional notes; 3/9/15, 1/19/16, 12/16/15, 1/15/16, 1/19/16, 2/3 & 4/16 $ 31,353

Derivative Liabilities (Tables)

Derivative Liabilities (Tables)	12 Months Ended
	Feb. 28, 2017
Derivative Liabilities Tables
Schedule of valuation assumptions	The fair values of derivative liability related to the Reset Provision contained within the debentures as of May 27, 2016, and as of February 28, 2017, were estimated on the transaction dates and balance sheet dates under the following assumptions: May 27, Issuances / February 28, Shares of common stock issuable upon exercise of debt 21,875,000 12,005,521 33,880,521 Estimated market value of common stock on measurement date $ 0.26 $ (0.01 ) $ 0.25 Exercise price $ 0.16 $ - $ 0.16 Risk free interest rate 1.37 % 0.36% - 0.39 % 1.73% - 1.76 % Expected dividend yield 0.00 % 0.00 % 0.00 % Expected volatility 306.96 % (229.20)% - (231.50 )% 75.46% - 77.76 % Expected exercise term in years 4.992 0.00 4.24 The fair values of derivative liability related to the Reset Provision contained within the warrants as of May 27, 2016, the date of issuance, and as of February 28, 2017, were estimated on the transaction dates and balance sheet dates under the following assumptions: May 27, Issuances / February 28, Shares of common stock issuable upon exercise of warrant 13,125,000 4,500,000 17,625,000 Estimated market value of common stock on measurement date $ 0.26 $ (0.01 ) $ 0.25 Exercise price $ 0.20 $ - $ 0.20 Risk free interest rate 1.37 % (0.09)% - (0.10 )% 1.28% - 1.47 % Expected dividend yield 0.00 % 0.00 % 0.00 % Expected volatility 306.96 % (224.64)% - (220.13 )% 82.32% - 86.83 % Expected exercise term in years 2.992 0.00 2.24 to 2.96
Schedule of changes in fair values of the derivative liabilities related to the debentures and warrants	The changes in fair values of the derivative liabilities related to the debentures and warrants for the twelve months ended February 28, 2017 are summarized as follows: Fair value of derivative liabilities at February 29, 2016 $ - Fair value of derivative liabilities on issuance date 10,208,312 Conversion of derivative liabilities - Change in fair value of derivative liabilities (1,987,177 ) Fair value of derivative liabilities at February 28, 2017 $ 8,221,135

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Feb. 28, 2017
Income Taxes Tables
Schedule of components of deferred income tax assets	The significant components of deferred income tax assets at February 28, 2017 and February 29, 2016 are as follows: February 28, February 29, Deferred Tax Asset Capitalized Geological/Geophysical $ 112,305 $ 18,728 Debt Discount (1,523,874 ) - Federal Net Operating Loss 1,002,989 713,027 Less: Valuation Allowance 408,580 (731,755 ) Net Deferred Tax Asset $ - $ -

Stockholders' Equity (Deficit)

Stockholders' Equity (Deficit) (Tables)	12 Months Ended
	Feb. 28, 2017
Stockholders Equity Deficit Tables
Schedule of warrant activity	A summary of the activity in the Company’s warrants during the year ended February 28, 2017 is presented below: Number of Weighted Average Outstanding and exercisable at February 29, 2016 - $ 0.00 Issued 17,625,000 $ 0.20 Outstanding and exercisable at February 28, 2017 17,625,000 $ 0.20

Nature of Operations (Details N

Nature of Operations (Details Narrative)	12 Months Ended
	Feb. 28, 2017a
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Proposed exploration and development gross area	584,651
Percent working interest of preceeding acreas	100.00%

Summary of Significant Accoun25

Summary of Significant Accounting Policies (Details) - shares	12 Months Ended
	Feb. 28, 2017	Feb. 29, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Common Shares Issuable	51,878,931
Convertible Debt [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Common Shares Issuable	34,253,931
Stock Warrants [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Common Shares Issuable	17,625,000

Going Concern (Details Narrativ

Going Concern (Details Narrative)	Dec. 31, 2016USD ($)N	Feb. 28, 2017USD ($)$ / shares	Dec. 31, 2016USD ($)$ / shares	Aug. 31, 2016USD ($)N	May 31, 2016USD ($)$ / shares	Feb. 28, 2017USD ($)$ / shares	Feb. 29, 2016USD ($)
Accumulated deficit		$ (10,337,817)				$ (10,337,817)	$ (2,543,592)
Proceeds from sale of convertible debentures				$ 450,000	$ 3,500,000	5,237,500
Number of convertible debentures | N				2
Original Investor [Member]
Proceeds from sale of convertible debentures		1,000,000		$ 200,000
Number of convertible debentures | $ / shares					1
Additional investment amount due to right ff first offer		20,000,000				20,000,000
New Investor [Member]
Principal amount	$ 137,500		$ 137,500	$ 250,000
Number of convertible debentures	2		1		1
Amount of debenture was obligated to purchase					$ 150,000
Initial principal cap minuend		$ 1,250,000				$ 1,250,000
New Investor [Member] | Prior to January 31, 2017
Conversion price (in dollars per share) | $ / shares		$ .16				$ .16
New Investor [Member] | After January 31, 2017
Conversion price (in dollars per share) | $ / shares		$ .20				$ .20

Oil and Gas Properties (Details

Oil and Gas Properties (Details Narrative)	Jun. 22, 2016km²	May 19, 2014km²N	Feb. 29, 2016	Jul. 31, 2015	Feb. 28, 2015	Feb. 28, 2017
License Amendment [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Period of suspension of the License subsequent to certain modifications		6 months	1 year	6 months	6 months
Number of exploratory wells required to be drilled under license | N		7
3D seismic survey work required to be completed (in square kilometers)		500
Number of days required to complete the year-3 work set out below						339 days
License Amendment [Member] | Year 2, ended October 5, 2016 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
2D seismic survey work required to be completed (in square kilometers)		250
3D seismic survey work required to be completed (in square kilometers)		100
3D seismic survey completed (in square kilometers)	179
License Amendment [Member] | Year 3, ended April 27, 2018 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Number of exploratory wells required to be drilled under license | N		2
2D seismic survey work required to be completed (in square kilometers)		100
3D seismic survey work required to be completed (in square kilometers)		200
License Amendment [Member] | Year 4, ended April 27, 2019 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Number of exploratory wells required to be drilled under license | N		2
3D seismic survey work required to be completed (in square kilometers)		200
License Amendment [Member] | Year 5, ended April 27, 2020 [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Number of exploratory wells required to be drilled under license | N		3
Original License Agreement [Member]
Oil and Gas Delivery Commitments and Contracts [Line Items]
Number of exploratory wells required to be drilled under license | N		12
3D seismic survey work required to be completed (in square kilometers)		400

Related Party Transactions (Det

Related Party Transactions (Details Narrative)	Feb. 16, 2017USD ($)	Feb. 28, 2017USD ($)	Feb. 29, 2016USD ($)$ / shares
Related Party Transactions [Abstract]
Reimbursement expenses payable		$ 139,948	$ 123,508
Promissory notes - related parties		0	139,953
Related Party Transactions [Line Items]
Repayments on promissory notes - related party		(146,353)	(64,000)
Proceeds from notes payable - related party		$ 6,400	$ 60,353
Keith Spickelmier [Member] | Company payment of 3 prior notes; 3/31/15
Related Party Transactions [Line Items]
Number of company payment transactions (in Integer) | $ / shares			1
Number of notes (in Integer) | $ / shares			3
Repayments on promissory notes - related party			$ (50,000)
Keith Spickelmier [Member] | Additional notes; 11/20/15, 8/12/15, 12/2 & 4/16 [Member]
Related Party Transactions [Line Items]
Number of notes (in Integer) | $ / shares			4
Proceeds from notes payable - related party			$ 29,000
Mr. William Begley [Member]
Related Party Transactions [Line Items]
Repayments on promissory notes - related party	$ (29,153)
Mr. William Begley [Member] | Company payment of 3 prior notes; 3/31/15
Related Party Transactions [Line Items]
Number of company payment transactions (in Integer) | $ / shares			2
Number of notes (in Integer) | $ / shares			3
Repayments on promissory notes - related party			$ (14,000)
Mr. William Begley [Member] | Additional notes; 3/9/15, 1/19/16, 12/16/15, 1/15/16, 1/19/16, 2/3 & 4/16 [Member]
Related Party Transactions [Line Items]
Number of notes (in Integer) | $ / shares			7
Proceeds from notes payable - related party			$ 31,353

Promissory Notes (Details Narra

Promissory Notes (Details Narrative)

Feb. 21, 2017USD ($)

Feb. 16, 2017USD ($)N

Dec. 29, 2016USD ($)

Nov. 28, 2016USD ($)N

Oct. 28, 2016USD ($)

Sep. 01, 2016USD ($)N

Aug. 23, 2016USD ($)

Jul. 03, 2015USD ($)

Jun. 09, 2015USD ($)

May 05, 2015USD ($)

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

Oct. 26, 2012USD ($)N

Feb. 28, 2017USD ($)shares

Feb. 29, 2016USD ($)shares

Feb. 15, 2017USD ($)

Dec. 31, 2016USD ($)shares

Nov. 30, 2016USD ($)

Oct. 29, 2016USD ($)

Aug. 24, 2016USD ($)

Jul. 21, 2016USD ($)

Jul. 20, 2016USD ($)

Feb. 04, 2016USD ($)

Feb. 03, 2016USD ($)

Feb. 02, 2016USD ($)

Jan. 19, 2016USD ($)

Jan. 15, 2016USD ($)

Dec. 16, 2015USD ($)

Nov. 20, 2015USD ($)

Aug. 11, 2015USD ($)

Mar. 09, 2015USD ($)

Debt Instrument [Line Items]

Aggregate principal amount

$ 287,724

Common stock issued | shares

141,665,396

140,189,501

Repayments on promissory notes - related party

$ 146,353

$ 64,000

Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Repayments on promissory notes - related party

$ 14,000

$ 77,600

Number of unsecured corporate demand related party notes | N

2

8

Mark S. Thompson [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 17,000

Mr. William Begley [Member]

Debt Instrument [Line Items]

Repayments on promissory notes - related party

$ 29,153

Number of unsecured corporate demand related party notes | N

7

Aggregate Liberty Notes [Member]

Debt Instrument [Line Items]

Number of notes issued | N

2

Aggregate principal amount

$ 650,000

Accrued Interest payable

$ 42,065

$ 10,484

$500,000 Liberty Note [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 500,000

Maturity date

Apr. 26, 2013

Variable rate basis

LIBOR

Basis spread

3.00%

$150,000 Liberty Note [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 150,000

Maturity date

Jul. 26, 2013

Variable rate basis

LIBOR

Basis spread

3.00%

Liberty Notes Combined in Debt Modification [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 50,000

$ 287,724

$ 387,724

$ 487,724

$ 587,724

$ 542,294

Accrued Interest payable

11,907

Accrued interest rolled into new note

$ 45,430

Common stock issued | shares

1,150,895

Note payment issued

$ 61,907

$ 50,000

$ 100,000

$ 100,000

Unsecured Corporate Demand Note Dated February 2, 2016 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 7,000

Unsecured Corporate Demand Note Dated February 4, 2016 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

7,000

Unsecured Corporate Demand Note Dated May 10, 2016 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

4,600

Unsecured Corporate Demand Note Dated March 31, 2014 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

25,000

Unsecured Corporate Demand Note Dated May 5, 2014 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

3,100

Unsecured Corporate Demand Note Dated July 16, 2014 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

10,000

Unsecured Corporate Demand Note Dated September 29, 2014 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

16,000

Unsecured Corporate Demand Note Dated December 18, 2014 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

6,000

Unsecured Corporate Demand Note Dated January 29, 2015 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

2,500

Unsecured Corporate Demand Note Dated November 20, 2015 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

10,000

Note payable to related party

$ 10,000

Unsecured Corporate Demand Note Dated January 15, 2016 [Member ] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 10,000

Unsecured Corporate Demand Note Dated August 11, 2015 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 3,000

Note payable to related party

$ 3,000

Unsecured Corporate Demand Note Dated December 16, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

5,353

Unsecured Corporate Demand Note Dated January 15, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

1,500

Unsecured Corporate Demand Note Dated January 19, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

3,500

Unsecured Corporate Demand Note Dated February 3, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

4,000

Unsecured Corporate Demand Note Dated February 4, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

10,000

Unsecured Corporate Demand Note Dated April 20, 2016 [Member ] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Aggregate principal amount

$ 1,800

Unsecured Corporate Demand Note Dated 03/09/2015 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 4,000

Unsecured Corporate Demand Note Dated 03/31/2015 [Member] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Repayments on promissory notes - related party

$ 50,000

Number of unsecured corporate demand related party notes | $ / shares

3

Value of related party note (1 of 3)

$ 7,500

Value of related party note (2 of 3)

17,500

Value of related party note (3 of 3)

$ 25,000

Unsecured Corporate Demand Note Dated 05/05/2015 [Member] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Value of related party note amended

$ 3,100

Unsecured Corporate Demand Note Dated 06/09/2016 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Repayments on promissory notes - related party

$ 2,000

Unsecured Corporate Demand Note Dated 07/03/2015 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Repayments on promissory notes - related party

$ 12,000

Value of each related party note repaid

$ 6,000

Unsecured Corporate Demand Note Dated 12/16/2015 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 5,353

Unsecured Corporate Demand Note Dated 01/15/2016 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 1,500

Unsecured Corporate Demand Note Dated 01/15/2016-2 [Member] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 5,000

Unsecured Corporate Demand Note Dated 01/19/2016 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 3,500

Unsecured Corporate Demand Note Dated 02/02/2016 [Member] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 7,000

Unsecured Corporate Demand Note Dated 02/03/2016 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 4,000

Unsecured Corporate Demand Note Dated 02/04/2016 [Member] | Mr. William Begley [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 10,000

Unsecured Corporate Demand Note Dated 02/04/2016-2 [Member] | Mr. Keith Spickelmier [Member]

Debt Instrument [Line Items]

Note payable to related party

$ 7,000

Convertible Debentures Payable

Convertible Debentures Payable (Details Narrative) - USD ($)	Feb. 15, 2017	Dec. 30, 2016	Aug. 16, 2016	May 27, 2016	Feb. 28, 2017	Feb. 29, 2016
Debt Instrument [Line Items]
Senior secured convertible debenture sold					$ 5,387,500
Number of common shares purchasable with warrants issued with debenture					17,625,000
Exercise price of warrants issued (in dollars per share)					$ 0.20
Debt discount					$ 4,680,580	$ 0
Amortization of debt discount					507,006
Proceeds from warrants exercised					3,525,000
Original Investor DEC Funding LLC [Member]
Debt Instrument [Line Items]
Senior secured convertible debenture sold			$ 200,000	$ 3,500,000
Maturity date				May 27, 2021
Debenture interest rate				8.00%
Number of common shares purchasable with warrants issued with debenture				13,125,000
Exercise price of warrants issued (in dollars per share)				$ 0.20
Warrant term (in Duration)				3 years
Legal and professional fees incurred with convertible debt issuance				$ 180,000
Debt discount				$ 3,320,000
Original and New Investor [Member]
Debt Instrument [Line Items]
Maturity date			May 27, 2021
Number of common shares purchasable with warrants issued with debenture			750,000
Exercise price of warrants issued (in dollars per share)			$ 0.20
Legal and professional fees incurred with convertible debt issuance			$ 35,699
Debt discount			449,999
New Investor [Member]
Debt Instrument [Line Items]
Senior secured convertible debenture sold		$ 287,500	$ 250,000
Maturity date		May 27, 2021
Original Purchaser [Member]
Debt Instrument [Line Items]
Senior secured convertible debenture sold	$ 1,000,000
Maturity date	May 27, 2021
Debenture interest rate	8.00%
Debenture conversion price (in dollars per share)	$ 0.16
Number of common shares purchasable with warrants issued with debenture	3,750,000
Exercise price of warrants issued (in dollars per share)	$ 0.20
Debt discount	$ 324,314
New Purchaser [Member]
Debt Instrument [Line Items]
Senior secured convertible debenture sold	$ 150,000
Maturity date	May 27, 2021
Debenture interest rate	8.00%
Debenture conversion price (in dollars per share)	$ 0.16
New Purchaser [Member] | Rincon Energy, LLC [Member] | Consulting Agreement [Member]
Debt Instrument [Line Items]
Monthly purchase price remittance					$ 30,000

Derivative Liabilities (Details

Derivative Liabilities (Details) - Level 3 - Observable Inputs [Member] - $ / shares	May 27, 2016	Feb. 28, 2017
Debentures [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Shares of common stock issuable upon exercise of debt	21,875,000	33,880,521
Estimated market value of common stock on measurement date	$ 0.26	$ 0.25
Exercise price	$ 0.16	$ 0.16
Risk free interest rate	1.37%	1.73%
Expected dividend yield	0.00%	0.00%
Expected volatility	306.96%	77.76%
Expected exercise term in years	4 years 11 months 28 days	4 years 2 months 276 days
Issuances / changes in shares of common stock issuable upon exercise of debt		12,005,521
Issuances / changes in estimated market value of common stock on measurement date		$ (0.01)
Issuances / changes in exercise price		$ 0
Issuances / changes in risk free interest rate		36.00%
Issuances / changes in expected dividend yield		0.00%
Issuances / changes in expected volatility		229.20%
Issuances / changes in expected exercise term in years		0 years
Warrants [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Shares of common stock issuable upon exercise of debt	13,125,000	17,625,000
Estimated market value of common stock on measurement date	$ 0.26	$ 0.25
Exercise price	$ 0.20	$ 0.20
Risk free interest rate	1.37%	1.28%
Expected dividend yield	0.00%	0.00%
Expected volatility	306.96%	86.83%
Expected exercise term in years	2 years 11 months 28 days
Issuances / changes in shares of common stock issuable upon exercise of debt		4,500,000
Issuances / changes in estimated market value of common stock on measurement date		$ (0.01)
Issuances / changes in exercise price
Issuances / changes in risk free interest rate		(0.90%)
Issuances / changes in expected dividend yield		0.00%
Issuances / changes in expected volatility		220.13%
Issuances / changes in expected exercise term in years		0 years
Warrants [Member] | Minimum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Expected exercise term in years		2 years 2 months 26 days
Warrants [Member] | Minimum [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Expected exercise term in years		2 years 11 months 16 days

Derivative Liabilities (Detai32

Derivative Liabilities (Details 1)	12 Months Ended
	Feb. 28, 2017USD ($)
Derivative Liability [Roll Forward]
Fair value of derivative liabilities
Fair value of derivative liabilities on issuance date	10,208,312
Conversion of derivative liabilities
Change in fair value of derivative liabilities	(1,987,177)
Fair value of derivative liabilities	$ 8,221,135

Income Taxes (Details)

Income Taxes (Details) - USD ($)	Feb. 28, 2017	Feb. 29, 2016
Income Tax Disclosure [Abstract]
Capitalized Geological/Geophysical	$ 112,304	$ 18,728
Debt Discount	(1,523,874)
Federal Net Operating Loss	1,002,989	713,027
Less: Valuation Allowance	408,580	(731,755)
Net Deferred Tax Asset

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2017	Feb. 29, 2016
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 0	$ 0
Net operating loss carryforward	$ 2,949,968
Operating loss carryforward, expiration year	2,032

Stockholders' Equity (Deficit35

Stockholders' Equity (Deficit) (Details)	12 Months Ended
	Feb. 28, 2017$ / sharesshares
Number of Warrants [Roll Forward]
Outstanding and exercisable at beginning | shares
Issued | shares	17,625,000
Outstanding and exercisable at end | shares	17,625,000
Weighted Average Exercise Price [Roll Forward]
Outstanding and exercisable at begining | $ / shares	$ 0
Issued | $ / shares	0.20
Outstanding and exercisable at end | $ / shares	$ 0.20

Stockholders' Equity (Tables) (

Stockholders' Equity (Tables) (Details) - USD ($)	Dec. 31, 2016	Feb. 28, 2017	Feb. 29, 2016	Feb. 28, 2015
Equity [Abstract]
Common stock, shares issued		141,665,396	140,189,501
Common stock, shares outstanding		141,665,396	140,189,501
Proceeds from common stock issued		$ 65,000	$ 320,000	$ 95,000
Number of common shares issued	1,150,895	325,000
Conversion price (in dollars per share)		$ 0.20	$ 0.20
Number of warrant issued to purchase of common shares		17,625,000
Intrinsic value of warrants outstanding		$ 881,250
Gain on conversion of debt		$ 57,545
Outstanding promissory notes	$ 287,724
Grant date fair value of common stock	230,179

Subsequent Events (Narrative) (

Subsequent Events (Narrative) (Details) - Subsequent Event [Member] - 8% Senior Secured Convertible Debenture Due May 27, 2021 [Member]	Mar. 31, 2017USD ($)$ / shares
Subsequent Event [Line Items]
Sale of convertible debenture to new investor | $	$ 200,000
Conversion price (in dollars per share) | $ / shares	$ 0.20