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Note 4 - Oil and Gas Properties | 12 Months Ended
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Dec. 31, 2011
Oil and Gas Exploration and Production Industries Disclosures [Text Block] | Note 4 – Oil and Gas Properties The following tables summarize gross and net productive oil wells by state at December 31, 2011 and 2010. A net well represents our percentage ownership of a gross well. The following tables do not include wells in which our interest is limited to royalty and overriding royalty interests. The following tables also do not include wells which were awaiting completion, in the process of completion or awaiting flow back subsequent to fracture stimulation.
|  | December 31, 2011 |  | December 31, 2010 |
|  | Gross |  |  | Net |  | Gross |  |  | Net |
North Dakota |  |  | 24 |  |  |  | 0.68 |  |  |  | - |  |  |  | - |
The Company’s oil and gas properties consist of all acreage acquisition costs (including cash expenditures and the value of stock consideration), drilling costs and other associated capitalized costs. As of December 31, 2011 and 2010, our principal oil and gas assets included approximately 10,457 and 3,712 net acres, respectively, located in North Dakota. The following table summarizes our capitalized costs for the purchase and development of our oil and gas properties for the year ended December 31, 2011 and the period from April 9, 2010 (inception) to December 31, 2010, respectively:
| For the |  | April 9, 2010 |
| Year Ended |  | (inception) to |
| December 31, |  | December 31, |
| 2011 |  | 2010 |
Purchases of oil and gas properties and development costs for cash |  | $ | 12,731,225 |  |  | $ | 3,090,569 |
Purchase of oil and gas properties paid subsequent to period-end |  |  | 2,422,150 |  |  |  | - |
Purchases of oil and gas properties through the issuance of common stock |  |  | 4,940,269 |  |  |  | 1,252,820 |
Capitalized asset retirement obligations |  |  | 3,391 |  |  |  | - |
Total purchase and development costs, oil and gas properties |  | $ | 20,097,035 |  |  | $ | 4,343,389 |
2011 Acquisitions On October 21, 2011, the Company, working in conjunction with another oil and gas company, acquired a total of 320 net mineral acres of undeveloped oil and gas properties located in McKenzie County within North Dakota. In consideration for the assignment of these mineral leases, the Company paid a total of $960,000, or $3,000 per net acre, and then assigned 80% of our interests, or 256 net acres at $3,000 per net acre to our bidding partners. This resulted in a net acquisition of 64 net mineral acres in exchange for net proceeds paid of $192,000. No gain or loss was recognized on the subsequent assignment of the properties. On October 7, 2011, the Company acquired a total of 636 net mineral acres of undeveloped oil and gas properties located in Mountrail, Williams, Dunn and Billings Counties within North Dakota. In consideration for the assignment of these mineral leases, the Company paid a total of $1,413,659. On August 22, 2011, the Company acquired a total of 240 net mineral acres. In consideration for their assignment of these mineral leases, the Company paid a total of $720,667 of cash, including $667 of title fees. On April 28, 2011, we entered into an asset purchase agreement (“5a - Donkey”) with Twin City Technical, LLC, a North Dakota limited liability company, and Irish Oil and Gas, Inc., a Nevada corporation (collectively, the “Sellers”), to acquire all of the Sellers’ right, title and interest in and to those certain oil and gas mineral leases comprising approximately 3,837 net acres of undeveloped oil and gas properties located in Dunn County, North Dakota, in consideration for a total of $2,685,900 of cash, plus 2,302,200 shares of the common stock of the Company. On April 5, 2011, we entered into another asset purchase agreement (the “Harris/Furlong IV”) with Twin City Technical, LLC, a North Dakota limited liability company, and Irish Oil and Gas, Inc., a Nevada corporation (collectively, the “Sellers”), to acquire all of the Sellers’ right, title and interest in and to those certain oil and gas mineral leases comprising approximately 116 net acres of undeveloped oil and gas properties located in the counties of Billings and Stark, North Dakota, in consideration for a total of $145,025 of cash, plus 55,689 shares of the common stock of the Company. On March 16, 2011, we closed an asset purchase agreement with the Sellers under which we acquired Sellers’ ownership interest in several mineral leases covering approximately 1,105 net acres of undeveloped oil and gas properties and 20 net acres of developed producing properties in Mountrail, Williams and Burke Counties in North Dakota in the Williston Basin. In consideration for their assignment of the mineral leases, we paid Sellers a total of $1,372,787 of cash and issued to them 871,960 shares of our common stock, and issued an additional 400,000 shares of our common stock to an unaffiliated designee of the Sellers. On February 28, 2011, we closed an asset purchase agreement with the Sellers under which we acquired Sellers’ ownership interest in several mineral leases covering approximately 732 net acres of oil and gas properties in Williams, Mountrail, Dunn, Burke, Billings, Golden Valley, McKenzie and Stark counties in North Dakota. In consideration for their assignment of these mineral leases, we paid Sellers a total of $821,270 of cash and issued to them 205,050 shares of our common stock. On February 11, 2011, we acquired additional oil and gas acreage from three unaffiliated sellers in two separate transactions encompassing mineral leases covering a total of approximately 117 net acres in Mountrail, Williams and Dunn counties in North Dakota for which we paid total cash of $215,975 and issued a total of 17,952 shares of our common stock. 2011 Disposals On December 30, 2011, the Company sold a total of approximately 123 net acres at $2,750 per acre for total proceeds of $336,925. No gain or loss was recorded pursuant to the sale. 2010 Acquisitions On October 7, 2010, the Company acquired ownership interest in several mineral leases covering approximately 3,712 net acres. In consideration for their assignment of these mineral leases, the Company paid the sellers a total of $2,969,648 of cash and issued to them 5,011,281 shares of our common stock, and assigned to the sellers a 2% overriding royalty interest in the mineral leases, effective on the closing.

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- Definition The entire disclosure for oil and gas producing industries. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 19 -Paragraph 59A-59Z, 59AA, 59BB, 59CC -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. + Details
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