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Related Party Transactions
 6 Months Ended
Oct. 31, 2013
Related Party Transactions [Abstract]  
Related Party Transactions

NOTE 3: RELATED PARTY TRANSACTIONS

 

Accounts payable - related parties includes the following expense reimbursements due to related parties at October 31, 2013 and April 30, 2013. Amounts due include reimbursements for travel, legal and cash advances for payment of other administrative expenses.

 

    October 31, 2013   April 30, 2013
         
Alan G. Massara, Chief Financial Officer   $ 20,257     $ 20,257  
    $ 20,257     $ 20,257  

 

Effective June 15, 2011, the Board of Directors approved compensation to begin accruing at the rate of $10,000 per month for each of the two listed executive officers. At October 31, 2011, accrued expenses included $90,000 accrued for compensation. Beginning effective November 1, 2011, the compensation rate for Mr. Coldren increased to $20,833 per month and for Mr. Massara increased to $18,750 per month. Both agreed to discontinue accruing their salary effective January 31, 2012 until conditions improve.

  

Accrued expenses include the following:

 

      October 31, 2013   April 30, 2013
           
  Accrued compensation due officers   $ 208,750     $ 208,750  
  Accrued interest due CEO     66,774       47,534  
  Amount due related parties     275,524       256,284  
  Accrued interest - other     4,352       3,572  
  Asset retirement obligation     483       460  
      $ 280,359     $ 260,316  

 

Convertible note payable – officer

 

Interim financing for due diligence expenses and operations is being funded pursuant to a $500,000 multiple advance bridge loan provided to the Company by Clinton W. Coldren, CEO. In evidence of the loan, on November 3, 2011, the Company issued to Clinton W. Coldren a 8% Convertible Note in the principal amount of $500,000. The Convertible Note had an original term of one year and is convertible into shares of common stock of the Company, in whole or in part at any time, at an initial conversion price equal to 130% of the volume-weighted average price of the common stock for the 50 trading days following October 31, 2011, subject to adjustment for distributions to shareholders, stock splits, reclassification of shares and tender or exchange offers. The Company does not have the right to prepay all or any portion of the Note prior to the Maturity Date. The loan balance was $491,039 and $464,992 at October 31, 2013 and April 30, 2013, respectively. Mr. Coldren has agreed to extend the maturity date of the note to January 1, 2014.