Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 30, 2018 | Aug. 08, 2018 | |
Document And Entity Information | ||
Entity Registrant Name | Barrel Energy Inc. | |
Entity Central Index Key | 1,631,463 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2018 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --09-30 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 12,301,332 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,018 |
BALANCE SHEETS (Unaudited)
BALANCE SHEETS (Unaudited) - USD ($) | Jun. 30, 2018 | Sep. 30, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 8,090 | $ 250,160 |
Total current assets | 8,090 | 250,160 |
Total assets | 8,090 | 250,160 |
Current liabilities: | ||
Accounts payable and accrued expenses | 24,393 | 28,241 |
Advances from shareholder | 29,470 | 62,994 |
Convertible note - related party | 2,245 | |
Convertible notes payable | 51,517 | 54,515 |
Total current liabilities | 105,380 | 147,995 |
Total liabilities | 105,380 | 147,995 |
Stockholders' equity (deficit): | ||
Preferred stock, $0.001 par value, 5,000,000 authorized, zero issued and outstanding | ||
Common stock, $0.001 par value, 70,000,000 authorized, 12,301,332 issued and outstanding as of June 30, 2018 and September 30, 2017, respectively | 12,301 | 12,301 |
Additional paid in capital | 272,638 | 272,638 |
Accumulated other comprehensive loss | (7,867) | (4,297) |
Accumulated deficit | (374,362) | (178,477) |
Total stockholders' equity (deficit) | (97,290) | 102,165 |
Total liabilities and stockholders' equity (deficit) | $ 8,090 | $ 250,160 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2018 | Sep. 30, 2017 |
Stockholders' equity (deficit): | ||
Preferred stock, Par value | $ 0.001 | $ 0.001 |
Preferred stock, Authorized | 5,000,000 | 5,000,000 |
Preferred stock, Issued | 0 | 0 |
Preferred stock, Outstanding | 0 | 0 |
Common Stock, Par value | $ 0.001 | $ 0.001 |
Common Stock, Authorized | 70,000,000 | 70,000,000 |
Common Stock, Issued | 12,301,332 | 12,301,332 |
Common Stock, Outstanding | 12,301,332 | 12,301,332 |
STATEMENTS OF OPERATIONS AND CO
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Operating expenses: | ||||
Impairment of unproven property | $ 45,042 | |||
General and administrative expense | 7,319 | 17,445 | 192,025 | 34,183 |
Loss from operations | (7,319) | (17,445) | (192,025) | (79,225) |
Other expense | ||||
Gain on debt forgiveness | 24,625 | 24,625 | ||
Interest expense | (1,256) | (1,834) | (3,860) | (5,364) |
Total other expense | (1,256) | 22,791 | (3,860) | 19,261 |
Net income (loss) | (8,575) | 5,346 | (195,885) | (59,964) |
Foreign currency translation adjustment | 6,188 | (7,886) | (3,570) | (5,435) |
Comprehensive loss | $ (2,387) | $ (2,540) | $ (199,455) | $ (65,399) |
Net income (loss) per common share, Basic and Diluted | $ 0 | $ 0 | $ (0.02) | $ (0.01) |
Weighted average number of common shares outstanding, basic and diluted | 12,301,332 | 10,804,000 | 12,301,322 | 10,804,000 |
STATEMENTS OF CASH FLOWS (Unaud
STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 9 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (195,885) | $ (59,964) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Gain on debt forgiveness | (24,625) | |
Impairment of unproven property | 45,042 | |
Changes in operating assets and liabilities: | ||
Accounts payable and accrued expense | 53,111 | 44,852 |
Net cash provided by (used in) operating activities | (142,744) | 5,305 |
Cash flows from financing activities: | ||
Repayment of related party advances and convertible note payable | (92,739) | |
Net cash used in financing activities | (92,739) | |
Effects of currency translation | (6,587) | (5,435) |
Net decrease in cash | (242,070) | (130) |
Cash - beginning of period | 250,160 | 330 |
Cash - end of period | 8,090 | 200 |
SUPPLEMENT DISCLOSURES: | ||
Interest paid | ||
Income taxes paid | ||
NON CASH INVESTING AND FINANCING ACTIVITIES | ||
Advances due to related party for expenses paid on behalf of the Company | $ 51,898 | $ 34,829 |
NATURE OF BUSINESS
NATURE OF BUSINESS | 9 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
NOTE 1 - NATURE OF BUSINESS | Barrel Energy Inc (“we”, “our”, the “Company”, “Barrel”) was incorporated on January 27, 2014 under the laws of the State of Nevada. The Company was formed to invest in producing oil and gas properties. On September 26, 2014, the Company leased a non-producing oil and gas property in the province of Alberta, Canada. BASIS OF PRESENTATION The accompanying unaudited interim financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission for interim financial information and with the instructions to Form 10-Q. Accordingly, they do not include all of the information required to be included in a complete set of financial statements in accordance with accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended June 30, 2018 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2018. Notes to the financial statements which would substantially duplicate the disclosures contained in the audited financial statements for the most recent fiscal period, as reported in the Form 10-K, have been omitted. The accompanying unaudited financial statements should be read in conjunction with the audited September 30, 2017 financial statements and related notes included in the Company’s form 10-K filed with the SEC on December 29, 2017. Basic and diluted net income per share Basic loss per share is calculated as net loss to common stockholders divided by the weighted average number of common shares outstanding during the period. Diluted loss per share for the period equals basic loss per share as the effect of any stock based compensation awards or stock warrants would be antidilutive. |
GOING CONCERN
GOING CONCERN | 9 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
NOTE 2 - GOING CONCERN | The Company’s unaudited interim financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern that contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company, as shown in the accompanying balance sheets, has negative working capital and an accumulated deficit as of June 30, 2018. The Company has not established any source of revenue to cover its operating costs. These factors raise substantial doubt about the company’s ability to continue as a going concern. The unaudited interim financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company will engage in very limited activities that must be satisfied in cash until a source of funding is secured. The Company will offer noncash consideration and seek equity lines as a means of financing its operations. If the Company is unable to obtain revenue producing contracts or financing or if the revenue or financing it does obtain is insufficient to cover any operating losses it may incur, it may substantially curtail or terminate its operations or seek other business opportunities through strategic alliances, acquisitions or other arrangements that may dilute the interests of existing stockholders. |
CONVERTIBLE NOTE
CONVERTIBLE NOTE | 9 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
NOTE 3 - CONVERTIBLE NOTE | On July 1, 2014, the Company issued a USD $67,215 (CAD $75,000) convertible note for cash. The note bears an interest rate of 9.5% and matured on December 31, 2015. The note, plus accrued interest, is convertible by the holder, in part or whole, until the date of maturity into common stock of the Company at CAD one cent ($0.01) per share. The note is in default. The Company by resolution has elected to allow conversion of any and all the notes outstanding principal and interest until the note is fully paid. On September 30, 2017 the Company issued 700,000 shares of common stock with a value of $5,612 (CDN $7,000) for partial conversion of the convertible note. As of June 30, 2018, the convertible debt outstanding was USD $51,517 plus accrued interest of USD $20,893 for a total liability of USD $72,410. On December 1, 2014, the Company issued to a related party, who is an officer and director of the Company, a convertible note for USD $2,226 (CAD $2,800). The note bears an interest rate of 5% per annum and matured on December 31, 2015. On December 29, 2017 the Company paid the outstanding principal of $2,226 and interest of $334 for a total of $2,560. The Company analyzed the conversion option under ASC for “Derivatives and Hedging” and “Convertible Securities with Beneficial Conversion Features” and concluded that none applied. |
RELATED PARTY
RELATED PARTY | 9 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
NOTE 4 - RELATED PARTY | During the nine months ended June 30, 2018, an officer and director of the Company paid USD $51,989 of operating expenses on behalf of the Company while the Company repaid the related party $90,513. The total amount due as of June 30, 2018 is $29,470 The advances are unsecured, bear no interest and are payable on demand. During the nine months period ended June 30, 2018, the Company paid a related party, who is an officer and director of the Company, USD $100,000 in consulting fees under a consulting agreement with the Company. On December 1, 2014, the Company issued to a related party, who is an officer and director of the Company, a convertible note for USD $ 2,226 (CAD $2,800). The note bears an interest rate of 5% per annum and matured on December 31, 2015. On December 29, 2017 the Company paid the outstanding principal of $2,226 and interest of $334 for a total of $2,560. Our operations are currently being conducted out of the premises at 1206-588 Broughton Street Vancouver, B.C. Canada |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Jun. 30, 2018 | |
Notes to Financial Statements | |
NOTE 5 - SUBSEQUENT EVENTS | On July 20, 2018 an officer and director of the Company paid on behalf of the Company $3,500 in accounts payable. |
NATURE OF BUSINESS (Details Nar
NATURE OF BUSINESS (Details Narrative) | 9 Months Ended |
Jun. 30, 2018 | |
Nature Of Business Details Narrative | |
State country name | State of Nevada |
Date of Incorporation | Jan. 27, 2014 |
CONVERTIBLE NOTE (Details Narra
CONVERTIBLE NOTE (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended | |
Sep. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Convertible debt outstanding | $ 51,517 | ||
Convertible note – related party | $ 2,245 | ||
Total liability | 72,410 | ||
Accrued interest | 20,893 | ||
Repayment of related party debt | 92,739 | ||
December 29, 2017 [Member] | |||
Repayment of related party debt | 2,226 | ||
Repayment of related party debt interest | 334 | ||
Total repayment | 2,560 | ||
On December 1, 2014 [Member] | |||
Convertible note – related party | $ 2,226 | ||
Interest rate | 5.00% | ||
Debt maturity date | Dec. 31, 2015 | ||
On July 1, 2014 [Member] | |||
Convertible debt outstanding | $ 67,215 | ||
Interest rate | 9.50% | ||
Debt conversion, converted instrument, amount | $ 5,612 | ||
Debt conversion, converted instrument, shares issued | 700,000 | ||
Debt maturity date | Dec. 31, 2015 |
RELATED PARTY (Details Narrativ
RELATED PARTY (Details Narrative) - USD ($) | 9 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Sep. 30, 2017 | |
Convertible note - related party | $ 2,245 | ||
Repayment of related party debt | 92,739 | ||
Advances from shareholder | 29,470 | $ 62,994 | |
Officer and Director [Member] | |||
Repayment of related party debt | 90,513 | ||
Advances from shareholder | 51,989 | ||
Consulting fees | $ 100,000 | ||
On December 1, 2014 [Member] | |||
Interest rate | 5.00% | ||
Convertible note - related party | $ 2,226 | ||
Debt maturity date | Dec. 31, 2015 | ||
December 29, 2017 [Member] | |||
Repayment of related party debt | $ 2,226 | ||
Repayment of related party debt interest | 334 | ||
Total repayment | $ 2,560 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | 1 Months Ended | 9 Months Ended | |
Jul. 20, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | |
Advances due to related party for expenses paid on behalf of the Company | $ 51,898 | $ 34,829 | |
Officer and Director [Member] | Subsequent Event [Member] | |||
Advances due to related party for expenses paid on behalf of the Company | $ 3,500 |