Document_and_Entity_Informatio
Document and Entity Information (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Aug. 19, 2013 | |
Document And Entity Information | ||
Entity Registrant Name | Premier Oil Field Services, Inc. | |
Entity Central Index Key | 1488638 | |
Document Type | 10-Q | |
Document Period End Date | 30-Jun-13 | |
Amendment Flag | FALSE | |
Current Fiscal Year End Date | -19 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Public Float | $7,346,336 | |
Entity Common Stock, Shares Outstanding | 7,346,336 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2013 |
Consolidated_Balance_Sheets_Un
Consolidated Balance Sheets (Unaudited) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
Current assets: | ||
Cash and cash equivalents | $60,553 | $57,741 |
Accounts receivable (net of allowance for doubtful accounts of $1,164 and $0) | 0 | 226,814 |
Other current assets | 4,420 | 1,950 |
Total current assets | 64,973 | 286,505 |
Fixed assets (net of accumulated depreciation of $349,637 and $345,121) | 70,738 | 172,460 |
TOTAL ASSETS | 135,711 | 458,965 |
Current Liabilities: | ||
Accounts payable | 33,083 | 49,616 |
Accrued expenses | 342 | 0 |
Other liabilities - Settlement Payable | 5,096 | 35,672 |
Current portion of notes payable | 10,135 | 29,128 |
Total current liabilities | 48,656 | 114,416 |
Long term liabilities: | ||
Shareholder advances | 1,021 | 39,608 |
Long term accounts payable | 0 | 200 |
Notes payable | 44,875 | 142,704 |
Less: Current portion of notes payable | -10,135 | -29,128 |
Total long term liabilities | 35,761 | 153,384 |
TOTAL LIABILITIES | 84,417 | 267,800 |
Stockholders' Equity (Deficit) | ||
Preferred stock, $0.001 par value, 20,000,000 authorized, 0 issued and outstanding | 0 | 0 |
Common stock, $0.001 par value, 50,000,000 authorized, 7,346,336 and 7,000,000 issued and outstanding | 7,346 | 7,346 |
Additional paid in capital | 277,862 | 277,862 |
Accumulated deficit | -233,914 | -94,043 |
Total Stockholders' Equity (Deficit) | 51,294 | 191,165 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) | $135,711 | $458,965 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $1,164 | $0 |
Accumulated depreciation | ($349,637) | ($345,121) |
Preferred stock, par or stated value | $0.00 | $0.00 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares outstanding | 7,346,336 | 7,346,336 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2013 | Jun. 30, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | |
REVENUES: | ||||
Third party revenues | $81,120 | $39,637 | $652,450 | $212,349 |
TOTAL REVENUES | 81,120 | 39,637 | 652,450 | 212,349 |
Cost of sales (inclusive of depreciation of $20,183 and $24,958) | 242,515 | 32,665 | 437,460 | 78,055 |
Gross Profit | -161,395 | 6,972 | 214,990 | 134,294 |
Operating Expenses: | ||||
Other general and administative | 194,971 | 96,808 | 364,279 | 214,579 |
Total operating expenses | 194,971 | 96,808 | 364,279 | 214,579 |
Operating income (loss) | -356,366 | -89,836 | -149,289 | -80,285 |
Other income (expense): | ||||
Interest (income) expense, net | 1,659 | 8,245 | 3,556 | 11,401 |
(Gain) Loss on sale of assets | -16,083 | 0 | -12,974 | 0 |
Total other (income) expense net | -14,424 | 8,245 | -9,418 | 11,401 |
Net Loss Before Income Taxes | -341,942 | -98,081 | -139,871 | -91,686 |
Provision for Income Tax (Expense) Benefit | 42,081 | 0 | 0 | 0 |
Net income (loss) | ($299,861) | ($98,081) | ($139,871) | ($91,686) |
Basic and diluted loss per share | ($0.01) | ($0.01) | ($0.02) | ($0.01) |
Weighted average shares outstanding: basic and diluted | 7,346,336 | 7,346,336 | 7,346,336 | 7,346,336 |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations (Parenthetical) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Jun. 30, 2012 | |
Income Statement [Abstract] | ||
Depreciation Expense | $20,183 | $24,958 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Jun. 30, 2012 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | ($139,871) | ($91,686) |
Adjustments to reconcile net loss to net cash used by operating activities: | ||
Depreciation expense | 36,859 | 50,418 |
Bad debt expense | 1,164 | 0 |
Loss on sale of assets | -12,974 | 0 |
Change in assets and liabilities: | ||
Accounts receivable | 225,650 | 34,748 |
Other current assets | -2,470 | -170 |
Accounts payable | -47,308 | -6,760 |
Accrued expenses | 342 | -16,745 |
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 61,392 | -30,195 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Proceeds from sale of assets | 77,836 | 0 |
Purchase of fixed assets | 0 | -172,499 |
NET CASH (USED IN) INVESTING ACTIVITIES | 77,836 | -172,499 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Sale of stock for cash | 0 | 19,765 |
Repayments on shareholder loan | -38,587 | 24,935 |
Payments on notes payable | -97,829 | -13,271 |
Proceeds from notes payable | 0 | 150,787 |
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | -136,416 | 162,451 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 2,812 | -40,243 |
CASH AND CASH EQUIVALENTS AT BEGINING OF PERIOD | 57,741 | 112,895 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 60,553 | 72,652 |
SUPPLEMENTAL DISCLOSURES: | ||
Cash paid during period for interest expense | 3,568 | 9,299 |
Non-cash impact on loss of sale of assets | ($12,974) | $0 |
Consolidated_Shareholders_Equi
Consolidated Shareholders Equity (USD $) | Common Stock | Additional Paid-In Capital | Retained Earnings / Accumulated Deficit | Total |
Begining balance, APIC at Dec. 31, 2011 | $277,862 | |||
Begining balance, stockholders' equity (deficit) at Dec. 31, 2011 | -196,249 | |||
Begining balance, amount at Dec. 31, 2011 | 7,346 | |||
Begining balance, shares outstanding at Dec. 31, 2011 | 7,346,336 | |||
Net income (loss) | 102,206 | |||
Ending balance, APIC at Dec. 31, 2012 | 277,862 | |||
Accumulated Deficit at Dec. 31, 2012 | -94,044 | -94,043 | ||
Common stock, amount at Dec. 31, 2012 | 7,346 | |||
Common stock, shares outstanding at Dec. 31, 2012 | 7,346,336 | 7,346,336 | ||
Begining balance, stockholders' equity (deficit) at Dec. 31, 2012 | 191,165 | |||
Issuance of common stock for cash, amount | 0 | |||
Net income (loss) | -139,871 | -139,871 | ||
Stockholders' equity (deficit) at Jun. 30, 2013 | 51,294 | |||
Accumulated Deficit at Jun. 30, 2013 | -233,914 | -233,914 | ||
Ending balance, APIC at Jun. 30, 2013 | 277,862 | |||
Common stock, amount at Jun. 30, 2013 | $7,346 | |||
Common stock, shares outstanding at Jun. 30, 2013 | 7,346,336 | 7,346,336 |
NOTE_1_NATURE_OF_ACTIVITIES_AN
NOTE 1 NATURE OF ACTIVITIES AND SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended | ||
Jun. 30, 2013 | |||
Accounting Policies [Abstract] | |||
NOTE 1 NATURE OF ACTIVITIES AND SIGNIFICANT ACCOUNTING POLICIES | Nature of Activities, History and Organization: | ||
Premier Oil Field Services, Inc. (The “Company” or "Premier") serves the oil and gas industry with down-hole drilling motors. These motors are used in the oil and gas well drilling process to drill out frac plugs and other debris in the well bore. The Company is located in Rockwall, Texas and was incorporated on June 29, 2009 under the laws of the State of Nevada. | |||
Premier Oil Field Services, Inc., is the parent company of Coil Tubing Motors Corporation, (“CTM”), a company incorporated under the laws of the State of Texas. CTM was established in June 2006. | |||
Premier is a private holding company established under the laws of Nevada on June 29, 2009, was formed in order to acquire 100% of the outstanding membership interests of CTM. On September 30, 2009, Premier issued 7,000,000 shares of common stock in exchange for a 100% equity interest in CTM. As a result of the share exchange, CTM became the wholly owned subsidiary of Premier. As a result, the members of CTM owned a majority of the voting stock of Premier. The transaction was accounted for as a reverse merger whereby CTM was considered to be the accounting acquirer as its members retained control of Premier after the exchange, although Premier is the legal parent company. The share exchange was treated as a recapitalization of Premier. As such, CTM, (and its historical financial statements) is the continuing entity for financial reporting purposes. The financial statements have been prepared as if Premier had always been the reporting company and then on the share exchange date, had changed its name and reorganized its capital stock. The share exchange transaction was effected to change the state of incorporation to allow the opportunity for a reduction of franchise taxes under the new Texas franchise tax calculations and to facilitate the initial public offering. At the time of the exchange transaction, Premier had no assets or liabilities and CTM had assets of approximately $409,000 with equity of approximately $81,800. | |||
The capital structure of Premier is presented as a consolidated entity as if the transaction had been effected in 2006 to consistently reflect the number of shares outstanding. However, the capital structure as presented is different that the capital structure that appears in the historical statements of CTM, in earlier periods due to the recapitalization accounting. | |||
The Company operates on a calendar year-end. Due to the nature of their operations, the Company operates in only one business segment. | |||
Basis of Accounting and Consolidation: | |||
The Company prepares its financial statements on the accrual basis of accounting. It has one wholly owned subsidiary, Coil Tubing Motors, Corporation, which is consolidated. All intercompany balances and transactions are eliminated. | |||
The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States and applicable Securities and Exchange Commission (“SEC”) regulations. | |||
Unaudited Interim Financial Statements: | |||
The accompanying unaudited interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States and applicable Securities and Exchange Commission (“SEC”) regulations for interim financial information. These financial statements are unaudited and, in the opinion of management, include all adjustments (consisting of normal recurring accruals) necessary to present fairly the balance sheets, statements of operations and statements of cash flows for the periods presented in accordance with accounting principles generally accepted in the United States. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to SEC rules and regulations. It is presumed that users of this interim financial information have read or have access to the audited financial statements and footnote disclosure for the preceding year contained in the Company’s Annual Report on Form 10-K. filed on April 16, 2013 and amended on April 19, 2013. Operating results for the interim periods presented are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. | |||
Significant Accounting Policies: | |||
The Company’s management selects accounting principles generally accepted in the United States of America and adopts methods for their application. The application of accounting principles requires the estimating, matching and timing of revenue and expense. | |||
The financial statements and notes are representations of the Company’s management which is responsible for their integrity and objectivity. Management further acknowledges that it is solely responsible for adopting sound accounting practices, establishing and maintaining a system of internal accounting control and preventing and detecting fraud. The Company's system of internal accounting control is designed to assure, among other items, that 1) recorded transactions are valid; 2) valid transactions are recorded; and 3) transactions are recorded in the proper period in a timely manner to produce financial statements which present fairly the financial condition, results of operations and cash flows of the Company for the respective periods being presented. | |||
Cash and Cash Equivalents: | |||
All highly liquid investments with original maturities of three months or less are included in cash and cash equivalents. All deposits are maintained in FDIC insured depository accounts in local financial institutions and balances are insured up to $250,000. | |||
Fair Value of Financial Instruments: | |||
In accordance with the reporting requirements of ASC 820, the Company calculates the fair value of its assets and liabilities which qualify as financial instruments under this statement and includes this additional information in the notes to the financial statements when the fair value is different than the carrying value of those financial instruments. | |||
The carrying amounts of cash, cash equivalents, accounts receivable, accounts payable and notes payable approximate their fair values due to the short-term maturities of these instruments. The carrying amount of the Company’s marketable securities and capital leases approximate fair value due to the stated interest rates approximating market rates. | |||
Accounts Receivable: | |||
Accounts receivable are carried at their face amount, less an allowance for doubtful accounts. On a periodic basis, the Company evaluates accounts receivable and establishes the allowance for doubtful accounts based on a combination of specific customer circumstances and credit conditions, based on a history of write offs and collections. The Company’s policy is generally not to charge interest on trade receivables after the invoice becomes past due. A receivable is considered past due if payments have not been received within agreed upon invoice terms. The Company provides an allowance for all receivables that are greater than 90 days old. Allowances for Doubtful Accounts totaled $1,164 and $0 at June 30, 2013 and December 31, 2012, respectively. Write offs are recorded at a time when a customer receivable is deemed uncollectible. | |||
Revenue Recognition: | |||
The Company recognizes revenue in accordance with ASC 605-10. Revenue will be recognized only when all of the following criteria have been met: | |||
● | Persuasive evidence of an arrangement exists; | ||
● | Ownership and all risks of loss have been transferred to buyer, which is generally upon shipment or at the time the service is provided; | ||
● | The price is fixed and determinable; and | ||
● | Collectability is reasonably assured. | ||
All services are billed when rendered and payment is due upon receipt of invoice. Revenue is recorded net of any sales taxes charged. | |||
Advertising: | |||
The Company did not incur any advertising expenses in the three and six months ended June 30, 2013 and 2012. | |||
Cost of Sales: | |||
Cost of sales consists primarily of shop supplies, contract labor, field related expenses, and deprecation on equipment used in providing services. | |||
Income Taxes: | |||
The Company has adopted ASC 740-10 which requires the use of the liability method in the computation of income tax expense and the current and deferred income taxes payable. | |||
Earnings per Share: | |||
Earnings per share (basic) is calculated by dividing the net income (loss) by the weighted average number of common shares outstanding for the period covered. As the Company has no potentially dilutive securities, fully diluted earnings per share is equal to earnings per share (basic). | |||
Use of Estimates: | |||
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. | |||
Recently Issued Accounting Pronouncements: | |||
The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow. | |||
Employee Benefit Plans: | |||
The Company has no employee benefit plans. | |||
Emerging Growth Company Critical Accounting Policy Disclosure | |||
The Company qualifies as an “emerging growth company” under the 2012 JOBS Act. Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. As an emerging grown company, the Company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company may elect to take advantage of the benefits of this extended transition period in the future. |
NOTE_2_FIXED_ASSETS
NOTE 2 FIXED ASSETS | 6 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
FIXED ASSETS | Fixed assets at June 30, 2013 and December 31, 2012 are as follows: | ||||||||
June 30, | December 31, | ||||||||
20132 | 2012 | ||||||||
Office Equipment | $ | 9,748 | $ | 9,748 | |||||
Trucks & Trailers | 28,286 | 125,492 | |||||||
Machinery & Equipment | 382,341 | 382,341 | |||||||
Less: Accumulated Depreciation | (349,637 | ) | (345,121 | ) | |||||
Total Fixed Assets | $ | 70,738 | $ | 172,460 | |||||
Depreciation expense for the three months ended June 30, 2013 and 2012 was $16,127 and $25,209, respectively. Depreciation expense for the six months ended June 30, 2013 and 2012 was $36,859 and $50,418, respectively. | |||||||||
In January 2013 the Company sold a vehicle for $29,586 and realized a loss of $3,109 on the transaction. In June the Company disposed of a vehicle generating a gain of $16,083. | |||||||||
In February 2012 the Company purchased a trailer for $128,907 and due to misrepresentation by the seller the trailer was returned in August 2012 and the bank released the Company of its obligation which was $114,599 at the time. Other income of $11,613 was recorded on the settlement. | |||||||||
NOTE_3_EQUITY
NOTE 3 EQUITY | 6 Months Ended |
Jun. 30, 2013 | |
Equity [Abstract] | |
NOTE 3 EQUITY | The Company is authorized to issue 20,000,000 preferred shares at a par value of $0.001 per share. These shares have full voting rights. At June 30, 2013 and December 31, 2012, there were zero shares issued and outstanding. |
The Company is authorized to issue 50,000,000 common shares at a par value of $0.001 per share. These shares have full voting rights. At June 30, 2013 and December 31, 2012, there were 7,346,336 and 7,346,336 shares issued and outstanding, respectively. |
NOTE_4_COMMITMENTS_AND_CONTING
NOTE 4 COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |
NOTE 4 COMMITMENTS AND CONTINGENCIES | The Company operates out of a mobile trailer as it is on-site at gas fields. The Company uses the President’s home address as its mailing address. |
At June 30, 2013, the Company had the following outstanding notes payable: | |
Vehicle loan from Alliance Bank, dated September 17, 2012, originally for $52,119, at an annual interest rate of 4.75% due August 17, 2017. Amount due at June 30, 2013 was $44,875. The current principal amount due in one year is $10,135. | |
NOTE_5_INCOME_TAXES
NOTE 5 INCOME TAXES | 6 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Income Tax Disclosure [Abstract] | |||||||||
NOTE 5 INCOME TAXES | The Company has adopted ASC 740-10, which requires the use of the liability method in the computation of income tax expense and the current and deferred income taxes payable (deferred tax liability) or benefit (deferred tax asset). Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. | ||||||||
The cumulative tax effect at the expected tax rate of 25% of significant items comprising the Company’s net deferred tax amounts as of June 30, 2013 and December 31, 2012 are as follows: | |||||||||
Deferred tax asset related to: | |||||||||
June 30, | December 31, | ||||||||
2013 | 2012 | ||||||||
Prior Year | $ | 33,748 | $59,300 | ||||||
Utilization of NOL | - | (25,552 | ) | ||||||
Tax Benefit for Current Period | 34,968 | - | |||||||
Net Operating Loss Carryforward | $ | 68,716 | $ | 33,748 | |||||
Less: Valuation Allowance | (68,716 | ) | (33,748 | ) | |||||
Net Deferred Tax Asset | $ | 0 | $ | 0 | |||||
The Company now has a cumulative net operating loss at June 30, 2013 of $233,914 and a cumulative net operating loss carry-forward of $94,043 at December 31, 2012, | |||||||||
NOTE_6_LEGAL_PROCEEDINGS
NOTE 6 LEGAL PROCEEDINGS | 6 Months Ended |
Jun. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |
LEGAL PROCEEDINGS | The Company is involved in one legal proceeding. On June 15, 2010, the Company was served with a lawsuit from National Oilwell Varco LP (“VARCO”), a vendor of the Company, for $114,065, related to unpaid invoices from October 25, 2007 to September 30, 2008 During April, 2011 the Company agreed to a settlement that would require the Company to pay $122,304 over the next 24 months in equal installments of $5,096 month. The parties to the settlement also signed a judgment for $140,000 that will only be filed in the event of a default by the Company. As of August 9, 2012 the Company failed to make payments in May, June and July and technically is in default, therefore the Company accrued an additional $29,141 ($25,935 of principal and $3,206 of interest) to true-up the balance to the $140,000 original judgment, as agreed. In August 2012 the Company and VARCO agreed that the Company will resume payments by August 20, 2012 and will continue to make such payments by the 15th of each month thereafter as set forth in the original agreement. The final payment will now be due by September 15, 2013. In consideration for this agreement the Company agreed to pay VARCO an additional $1,500. VARCO retains the right to execute the original agreement should the Company breach this amendment. The balance owed at June 30, 2013 and December 31, 2012 was $5,096 and $35,672, respectively. |
NOTE_7_FINANCIAL_CONDITION_AND
NOTE 7 FINANCIAL CONDITION AND GOING CONCERN | 6 Months Ended |
Jun. 30, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NOTE 7 FINANCIAL CONDITION AND GOING CONCERN | The Company has a retained deficit through June 30, 2013 totaling $233,914 and positive working capital of $16,317. Although the Company has retained earnings it has a history of an accumulated deficit and it is uncertain whether additional working capital will be required to develop its business operations. |
The Company has experienced no loan defaults, labor stoppages, legal proceedings or any other operating interruption in 2013. Therefore, these items will not factor into whether the business continues as a going concern, and accordingly, management has not made any plans to dispose of assets or factor receivables to assist in generating working capital. | |
The Company intends to raise additional working capital either through private placements, and/or bank financing, or additional loans from Management if there is need for liquidity. Management may also consider reducing administrative costs. There are no assurances that the Company will be able to either (1) achieve a level of revenues adequate to generate sufficient cash flow from operations; or (2) obtain additional financing through either private placement, and/or bank financing necessary to support the Company’s working capital requirements. To the extent that funds generated from private placements, and/or bank financing are insufficient, the Company will have to raise additional working capital. No assurance can be given that additional financing will be available, or if available, will be on terms acceptable to the Company. If adequate working capital is not generated from operations, financing is not available, or the Management cannot loan sufficient funds, the Company may not be able to continue its operations. | |
Management believes that the efforts it has made to promote its operation will continue for the foreseeable future. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
NOTE_8_REVENUE_CONCENTRATION
NOTE 8 REVENUE CONCENTRATION | 6 Months Ended | ||
Jun. 30, 2013 | |||
Risks and Uncertainties [Abstract] | |||
NOTE 8 REVENUE CONCENTRATION | The Company provides drilling services to the oil and gas industry and has three significant customers from which 100% of revenues were derived during the three months ended June 30, 2013. | ||
Top Customers – Sales $ | YTD 2013 | YTD 2012 | |
Customer A – Related Party | 0 | 0 | |
Customer B | 652,450 | 182,589 | |
Others | 0 | 29,760 | |
TOTAL | 652,450 | 212,349 | |
Top Customers – Sales % | YTD 2013 | YTD 2012 | |
Customer A – Related Party | 0 | 0 | |
Customer B | 100 | 86 | |
Others | 0 | 14 | |
TOTAL | 100 | 100 | |
None of the Company’s revenue for the three or six months ended June 30, 2013 was generated from services performed for an entity controlled by the Company’s chief executive officer. | |||
NOTE_9_RECECNT_ACCOUNTING_PRON
NOTE 9 RECECNT ACCOUNTING PRONOUNCEMENTS | 6 Months Ended |
Jun. 30, 2013 | |
Accounting Changes and Error Corrections [Abstract] | |
NOTE 9 RECECNT ACCOUNTING PRONOUNCEMENTS | The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow. |
NOTE_10_SUBSEQUENT_EVENTS
NOTE 10 SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2013 | |
Subsequent Events [Abstract] | |
NOTE 9 SUBSEQUENT EVENTS | No reportable subsequent events were noted as of the date of the report |
NOTE_1_NATURE_OF_ACTIVITIES_AN1
NOTE 1 NATURE OF ACTIVITIES AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 18 Months Ended |
Jun. 30, 2013 | |
Accounting Policies [Abstract] | |
Basis of Accounting and Consolidation | Basis of Accounting and Consolidation: |
The Company prepares its financial statements on the accrual basis of accounting. It has one wholly owned subsidiary, Coil Tubing Motors, Corporation, which is consolidated. All intercompany balances and transactions are eliminated. | |
The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States and applicable Securities and Exchange Commission (“SEC”) regulations. | |
Cash and Cash Equivalents | Cash and Cash Equivalents: |
All highly liquid investments with original maturities of three months or less are included in cash and cash equivalents. All deposits are maintained in FDIC insured depository accounts in local financial institutions and balances are insured up to $250,000. | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments: |
In accordance with the reporting requirements of ASC 820, the Company calculates the fair value of its assets and liabilities which qualify as financial instruments under this statement and includes this additional information in the notes to the financial statements when the fair value is different than the carrying value of those financial instruments. | |
The carrying amounts of cash, cash equivalents, accounts receivable, accounts payable and notes payable approximate their fair values due to the short-term maturities of these instruments. The carrying amount of the Company’s marketable securities and capital leases approximate fair value due to the stated interest rates approximating market rates. | |
Accounts Receivable | Accounts Receivable: |
Accounts receivable are carried at their face amount, less an allowance for doubtful accounts. On a periodic basis, the Company evaluates accounts receivable and establishes the allowance for doubtful accounts based on a combination of specific customer circumstances and credit conditions, based on a history of write offs and collections. The Company’s policy is generally not to charge interest on trade receivables after the invoice becomes past due. A receivable is considered past due if payments have not been received within agreed upon invoice terms. The Company provides an allowance for all receivables that are greater than 90 days old. Write offs are recorded at a time when a customer receivable is deemed uncollectible. | |
Revenue Recognition | Revenue Recognition: |
The Company recognizes revenue in accordance with ASC 605-10. Revenue will be recognized only when all of the following criteria have been met: | |
? Persuasive evidence of an arrangement exists; ? Ownership and all risks of loss have been transferred to buyer, which is generally upon shipment or at the time the service is provided; ? The price is fixed and determinable; and ? Collectability is reasonably assured. | |
All services are billed when rendered and payment is due upon receipt of invoice. Revenue is recorded net of any sales taxes charged. | |
Advertising | Advertising: |
The Company did not incur any advertising expenses in the three and six months ended June 30, 2012 and 2011. | |
Cost of Sales | Cost of Sales: |
Cost of sales consists primarily of shop supplies, field related expenses, and deprecation on equipment used in providing services. | |
Income Taxes | Income Taxes: |
The Company has adopted ASC 740-10 which requires the use of the liability method in the computation of income tax expense and the current and deferred income taxes payable. | |
Earnings per Share | Earnings per Share: |
Earnings per share (basic) is calculated by dividing the net income (loss) by the weighted average number of common shares outstanding for the period covered. As the Company has no potentially dilutive securities, fully diluted earnings per share is equal to earnings per share (basic). | |
Use of Estimates | Use of Estimates: |
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements: |
The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow. | |
Employee Benefit Plans | Employee Benefit Plans: |
The Company has no employee benefit plans. |
NOTE_2_FIXED_ASSETS_Tables
NOTE 2 FIXED ASSETS (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Fixed Assets | June 30, | December 31, | |||||||
20132 | 2012 | ||||||||
Office Equipment | $ | 9,748 | $ | 9,748 | |||||
Trucks & Trailers | 28,286 | 125,492 | |||||||
Machinery & Equipment | 382,341 | 382,341 | |||||||
Less: Accumulated Depreciation | (349,637 | ) | (345,121 | ) | |||||
Total Fixed Assets | $ | 70,738 | $ | 172,460 | |||||
NOTE_5_INCOME_TAXES_Tables
NOTE 5 INCOME TAXES (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Income Tax Disclosure [Abstract] | |||||||||
Deferred Tax Table | June 30, | December 31, | |||||||
2013 | 2012 | ||||||||
Prior Year | $ | 33,748 | $59,300 | ||||||
Utilization of NOL | - | (25,552 | ) | ||||||
Tax Benefit for Current Period | 34,968 | - | |||||||
Net Operating Loss Carryforward | $ | 68,716 | $ | 33,748 | |||||
Less: Valuation Allowance | (68,716 | ) | (33,748 | ) | |||||
Net Deferred Tax Asset | $ | 0 | $ | 0 | |||||
NOTE_8_REVENUE_CONCENTRATION_T
NOTE 8 REVENUE CONCENTRATION (Tables) | 18 Months Ended | ||
Jun. 30, 2013 | |||
Risks and Uncertainties [Abstract] | |||
Customer Sales, Revenue | Top Customers – Sales $ | YTD 2012 | YTD 2011 |
Customer A – Related Party | 0 | 85,001 | |
Customer B | 224,039 | 130,170 | |
Customer C | 14,100 | 30,500 | |
Others | 15,660 | 55,186 | |
TOTAL | 253,779 | 300,857 | |
Customer Sales, Percent | Top Customers – Sales % | YTD 2012 | YTD 2011 |
Customer A – Related Party | 0 | 28 | |
Customer B | 88 | 43 | |
Customer C | 6 | 10 | |
Others | 6 | 19 | |
TOTAL | 100 | 100 |
NOTE_2_FIXED_ASSETS_Fixed_Asse
NOTE 2 FIXED ASSETS - Fixed Assets (Details) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2012 |
Notes to Financial Statements | |||
Trucks & Trailers | $81,898 | $125,492 | |
Office Equipment | 9,748 | 9,748 | |
Machinery & Equipment | 382,341 | 382,341 | |
Less: Accumulated Depreciation | -349,637 | -345,121 | -345,121 |
Total Fixed Assets | $70,738 | $172,460 | $172,460 |
NOTE_5_INCOME_TAXES_Deferred_T
NOTE 5 INCOME TAXES - Deferred Tax Table (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Jun. 30, 2012 | |
Notes to Financial Statements | ||
Prior Year | $33,748 | $59,300 |
Utilization of NOL | -25,552 | |
Tax Benefit for Current Period | 34,968 | |
Net Operating Loss Carryforward | 68,716 | 33,748 |
Less: Valuation Allowance | -68,716 | -33,748 |
Net Deferred Tax Asset | $0 | $0 |
NOTE_8_REVENUE_CONCENTRATION_N
NOTE 8 REVENUE CONCENTRATION - NOTE 8 Customer Sales, Revenue (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Jun. 30, 2012 | |
Notes to Financial Statements | ||
Customer A Related Party | $0 | $0 |
Customer B | 652,450 | 182,589 |
Customer C | 0 | 14,100 |
Others | 0 | 15,660 |
TOTAL | $652,450 | $212,349 |
NOTE_8_REVENUE_CONCENTRATION_N1
NOTE 8 REVENUE CONCENTRATION - NOTE 8 Customer Sales, Percent (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Jun. 30, 2012 | |
Notes to Financial Statements | ||
Customer A Related Party | $0 | $0 |
Customer B | 100 | 86 |
Customer C | 6 | |
Others | 0 | 8 |
TOTAL | $100 | $100 |
NOTE_2_FIXED_ASSETS_Details_Na
NOTE 2 FIXED ASSETS (Details Narrative) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2013 | Jun. 30, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | |
Notes to Financial Statements | ||||
Depreciation Expense | $16,127 | $25,209 | $36,859 | $50,418 |
NOTE_3_EQUITY_Details_Narrativ
NOTE 3 EQUITY (Details Narrative) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
Notes to Financial Statements | ||
Preferred Stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred Stock, par value | $0.00 | $0.00 |
Preferred Stock, shares outstanding | 0 | 0 |
Common Stock, shares authorized | 50,000,000 | 50,000,000 |
Common Stock, par value | $0.00 | $0.00 |
Common Stock, shares outstanding | 7,346,336 | 7,346,336 |
NOTE_4_COMMITMENTS_AND_CONTING1
NOTE 4 COMMITMENTS AND CONTINGENCIES (Details Narrative) (USD $) | Jun. 30, 2013 |
Notes to Financial Statements | |
Loan 1 Alliance Balance | $0 |
Loan 1 Alliance Current | 0 |
Loan 2 FMC Balance | 0 |
Loan 2 FMC Current | 0 |
Loan 3 Alliance Balance | 0 |
Loan 3 Alliance Current | 0 |
Loan 4 Alliance Balance | 0 |
Loan 4 Alliance Current | 0 |
Loan 6 Alliance Balance | 44,875 |
Loan 6 Alliance Current | 10,135 |
Loan 5 Southside Balance | 0 |
Loan 5 Southside Current | $0 |
NOTE_5_INCOME_TAXES_Details_Na
NOTE 5 INCOME TAXES (Details Narrative) (USD $) | 6 Months Ended | |
Jun. 30, 2013 | Dec. 31, 2012 | |
Notes to Financial Statements | ||
EffectiveTax Rate | 2500.00% | |
Cummulative Operating Loss Carryforward | ($233,914) | ($94,043) |
NOTE_6_LEGAL_PROCEEDINGS_Detai
NOTE 6 LEGAL PROCEEDINGS (Details Narrative) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
Notes to Financial Statements | ||
VARCO settlement balance | $5,096 | $35,672 |
NOTE_7_FINANCIAL_CONDITION_AND1
NOTE 7 FINANCIAL CONDITION AND GOING CONCERN (Details Narrative) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
Notes to Financial Statements | ||
Accumulated Deficit | ($233,914) | ($94,043) |
Working Capital | $16,317 |