25 Nov 2015capital raising announcement▼ Bad
Drew a third $200,000 tranche from the Silver Star line.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
23 Oct 2015capital raising announcement▼ Bad
Sold Silver Star a second $200,000 convertible note on October 23, 2015, effective October 21, under its $2.4 million credit line. The first $200,000 note had been sold on September 28.
1 Oct 2015capital raising announcement▼ BadMajor
Drew the first $200,000 under its new $2.4 million Silver Star Oil Company convertible-note credit line -- 6% interest (15% in default), convertible at $1.50/share -- opening a fresh drip-financing relationship after the Victory Energy deal fell through.
25 Sept 2015capital raising announcement● Neutral
Sold 45,546 treasury shares to Allied Petroleum (run by a Silver Star Oil Company principal) for $104,756 at a 17% discount to market -- a minor transaction tied to the new Silver Star credit line.
1 Sept 2015material agreement▼ BadMajor
With NYSE MKT delisting still looming after 18 months of compliance extensions, Lucas Energy lined up a new $2.4 million convertible-note credit line from Silver Star Oil Company and further eased lender Louise H. Rogers's loan terms (maturity pushed to October 2016) - stopgap financing while its listing status stayed unresolved.
30 June 2015capital raising announcement● Neutral
Lucas settled with Victory and Earthstone, ending the planned merger and related agreements. Earthstone agreed to pay Lucas $54,020, and Lucas agreed to issue 1,101,729 restricted shares to Victory for the $600,000 owed, in lieu of pledged shares never issued. Lucas also sold 139.04 net Karnes County acres to Earthstone for $347,600.
15 May 2015material agreement termination▼ BadMajor
The non-binding letter of intent for a merger with Victory Energy was terminated on May 11, 2015. Under the loan agreement Victory will extend no further credit to Lucas, and the two are negotiating an unwinding of the steps already taken.
20 Apr 2015business combination● Neutral
Lucas Energy said Victory Energy, its proposed merger partner under a letter of intent, planned to present at the IPAA Oil & Gas Investment Symposia in New York on April 20, 2015. Lucas disclaimed any responsibility for the Victory PowerPoint.
20 Apr 2015merger communication● Neutral
Lucas Energy filed the standard legal notice required ahead of registering the proposed Victory Energy merger with the SEC - a procedural filing with no new deal terms.
15 Apr 2015merger communication● Neutral
A months-old NYSE MKT notice giving Lucas Energy until March 31, 2015 to regain listing compliance was re-filed under SEC merger-communication rules once the Victory Energy deal was pending - no new information.
15 Apr 2015capital raising announcement● NeutralMajor
The detail behind the abandoned Victory Energy reverse merger: alongside the pre-merger collaboration agreement with Victory, Aurora Energy Partners and Navitus Energy Group, Lucas took a draw-down loan from Victory secured on pledged Lucas shares and capped at 19.9% of the company. Lucas was being funded by the party proposing to take it over, before the deal lapsed the following month.
15 Apr 2015merger communication● Neutral
A second, later NYSE MKT compliance-extension notice (targeting August 28, 2015) was likewise re-filed under merger-communication rules - no new information.
15 Apr 2015merger communication● Neutral
Lucas Energy disclosed the underlying February 2015 collaboration and funding agreements with Victory Energy Corporation that led to the proposed merger, intended to fund several Eagle Ford wells and working capital ahead of the deal.
15 Apr 2015material agreement● Neutral
Lucas re-filed as an 8-K/A its February 23, 2015 letter agreement with senior lender Louise Rogers, solely to mark it as a merger communication under Rules 425 and 14a-12. It added no new terms.
15 Apr 2015merger communication● Neutral
Lucas's senior lender, Louise Rogers, agreed to cut interest to 12% and to let Lucas extend the loan's maturity from August 13 to September 13, then October 13, 2015, for 2% fees. The deal also released her mortgage on certain wells for the planned Victory merger.
15 Apr 2015merger communication● NeutralMajor
Lucas re-filed its February 4, 2015 announcement of a non-binding letter of intent to merge with Victory Energy, with Victory and Navitus holders expected to own a majority of the combined company. Victory was also to fund seven Eagle Ford wells and Lucas's working capital.
3 Mar 2015capital raising announcement▼ BadMajor
Lucas agreed with Victory to borrow up to $2 million, starting with a $250,000 Draw Note secured by pledged Lucas shares capped at 19.9% of outstanding stock. Victory also had to give senior lender Louise Rogers a $250,000 contingent note at 18% interest, in return for her releasing the well rights from her security.
24 Feb 2015material agreement▲ GoodMajor
Lender Louise H. Rogers agreed to defer Lucas Energy's recent missed interest payments and cut its rate back to 12% through August 2015, while tying the loan's fate to the pending Victory Energy merger - if the merger falls through, a newly formed entity must give Rogers a $250,000 note, and if it closes, that note is cancelled.
9 Feb 2015business combination▲ GoodMajor
Lucas Energy signed a non-binding letter of intent to merge with Victory Energy Corporation, with plans to also form a joint venture to fund new wells and cover cash-flow shortfalls in the meantime.
30 Jan 2015debt default or forbearance▼ BadMajor
Lucas Energy defaulted on its roughly $7.7 million loan from senior lender Louise H. Rogers, missing a $266,000 principal payment - triggering an 18% default interest rate. The lender has not yet acted on the default but is reserving her rights.
14 Oct 2014director officer appointment▼ BadMajor
Lucas sold its whole working interest in about 450 net mineral acres and the wells on them in Madison County, Texas for $700,000, with the buyer taking on the plugging liability - selling producing assets to raise small change. On the same day all three of the outside directors, Ken Daraie, W. Andrew Krusen and Ryan Morris, resigned from the board; Daraie and Krusen were the insiders who had lent the company $2.25 million eighteen months earlier.
26 Aug 2014material agreement▲ GoodMajor
Lucas Energy brought in Oak Valley Operating and Sabine River Energy as drilling partners on its undeveloped Karnes County Eagle Ford acreage: Oak Valley pays $444,285 for a 50% working interest and will fund half the cost of drilling two initial horizontal wells, expected to spud by December 2014 if Lucas can raise its share of the money.
2 May 2014capital raising announcement▼ BadMajor
Seven months after borrowing $7.5 million from private lender Louise Rogers, the company had to have the terms rewritten: monthly principal repayments, which had only just started, were deferred, and 75,000 shares went to the intermediary as the price of the accommodation. The Rogers loan would be renegotiated repeatedly over the following three years as cash got tighter.
1 May 2014capital raising announcement▼ BadMajor
Amended the terms of its senior secured loan from Louise Rogers (then $7.3 million outstanding, originally a $7.5 million loan from August 2013) to defer principal payments for six months at a temporarily higher 15% interest rate -- the Rogers loan's actual start predates the 2014 date currently on record for this lender relationship.
16 Apr 2014material agreement● Neutral
Lucas Energy raised $2 million selling stock-and-warrant units to existing shareholders, including Ironman Energy Master Fund and John B. Helmers, who becomes a greater-than-10% owner as a result.
6 Mar 2014listing compliance notice▼ BadMajor
NYSE MKT warned Lucas Energy it no longer meets listing standards because its losses are too large relative to its size and finances - an early sign of the going-concern strain that would recur for years. The company had until mid-March 2014 to submit a compliance plan.
11 Sept 2013material agreement● Neutral
The offering announced days earlier closed, bringing in the full $3.45 million gross ($3.17 million net) as planned.
4 Sept 2013material agreement● Neutral
Lucas Energy launched another registered stock offering, agreeing to sell 2.95 million shares at $1.17 each for about $3.45 million gross to fund drilling and working capital.
9 Apr 2013material agreement▲ GoodMajor
Lucas Energy fully settled the Seidler Oil & Gas lawsuit over its Hagen Ranch wells: it returned about $1.3 million to the private well investors and paid Seidler's legal fees in exchange for a full release and dismissal of the suit.
8 Apr 2013director officer appointment▼ BadMajor
Lucas borrowed $2.75 million at 14% interest, including $2 million from an entity of director Ken Daraie, $250,000 from entities of director W. Andrew Krusen and $500,000 from an unrelated lender, with warrants attached and a maturity of October 2013. William J. Dale was appointed chief financial officer the same day.