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3. Business Combinations
 12 Months Ended
Mar. 31, 2015
Business Combinations [Abstract]  
Business Combinations

3. Business Combinations

 

On December 31, 2012, the Company purchased all of the outstanding ownership interests of TBO Oil & Gas, LLC (“TBO”), a Texas limited liability company which owns non-operated working interests in approximately 280 wells producing primarily oil, expanding the Company’s revenues. The cash purchase price of $1,150,000 was funded from its $4.9 million bank credit facility.

  

The purchase price was allocated to the assets acquired and liabilities assumed at estimated fair values as follows:

  

Proved oil and gas properties  $1,202,013 
Accounts receivable   74,623 
Total assets acquired   1,276,636 
      
Accounts payable   (45,876)
Asset retirement obligations assumed   (80,760)
Net purchase price  $1,150,000 

The Company’s results of operations for fiscal year 2015 include approximately $366,000 in revenues and approximately $120,000 in earnings from TBO. The Company’s results of operations for fiscal year 2014 include approximately $705,000 in revenues and approximately $448,000 in earnings from TBO. The Company’s results of operations for fiscal year 2013 include approximately $119,800 in revenues and approximately $62,400 in earnings from TBO.

  

The Company has not disclosed the pro forma information for this acquisition because the revenue and expenses for this acquisition were immaterial to its consolidated financial statements.