Quarterly report pursuant to Section 13 or 15(d)

Subsequent Events

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Subsequent Events
3 Months Ended
Nov. 30, 2019
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS
29. SUBSEQUENT EVENTS

Events after the reporting date not otherwise separately disclosed in these consolidated financial statements are:


(a) Debt settlements

On December 6, 2019, the Company issued 4,308,000 common shares in terms of debt settlement agreements entered into with three service providers to settle debts amounting to $1,065,500 of debt related to board advisory fees and engineering fees related to the construction and completion of the oil processing facility in Utah.


(b) Financing Activity

On December 17, 2019, the Company issued a convertible promissory note of $81,000, including an original issue discount of $8,000, for net proceeds of $70,000 after certain legal expenses. The note bears interest at 12% per annum and matures on December 17, 2020. The note may be prepaid subject to certain prepayment penalties ranging from 110% to 130% based on the period of prepayment. The outstanding principal amount of the note is convertible at any time and from time to time at the election of the holder into shares of the Company’s common stock at a conversion price equal to 75% of the average of the lowest three trading bid prices during the previous fifteen prior trading days.


On December 4, 2019, the Company concluded its second closing of gross proceeds of $360,000 under the convertible note term sheet as disclosed under 13(l) above, issuing a convertible note of $432,000. Warrants exercisable for 2,117,520 common shares and placement agent warrants exercisable for 169,200 common shares were issued on December 4, 2019.


On December 13, 2019, the Company concluded its third closing of gross proceeds of $132,500 under the convertible note term sheet as disclosed under 13(l) above, issuing a convertible note of $159,000. Warrants exercisable for approximately 779,412 common shares and placement agent warrants exercisable for approximately 62,275 common shares will be issued once approval has been obtained from the Toronto Ventures Exchange.


On December 20, 2019, the Company concluded its fourth closing of gross proceeds of $205,000 under the convertible note term sheet as disclosed under 13(l) above, issuing a convertible note of $246,000. Warrants exercisable for approximately 1,205,882 common shares and placement agent warrants exercisable for approximately 96,350 common shares will be issued once approval has been obtained from the Toronto Ventures Exchange.


On December 6, 2019, the Company issued a convertible promissory note of $150,000, including an original issue discount of $22,500 for net proceeds of $123,750 after certain legal expenses. The note bears interest at 8% per annum and matures on August 21, 2020. The note may be prepaid subject to certain prepayment penalties with a maximum of 130% based on the period of prepayment. The outstanding principal amount of the note is convertible at any time and from time to time at the election of the holder into shares of the Company’s common stock at a conversion price equal to 70% of the two lowest traded prices or the lowest trading bid prices during the previous fifteen prior trading days.


On January 16, 2020, the Company issued a convertible debenture of $55,000 and a one year warrant, expiring on January 16, 2021, exercisable for 357,142 common shares at an exercise price of $0.14 per share, for gross proceeds of $50,000 after an OID of $5,000. The convertible debenture bears interest at 10.0% per annum and matures on January 16, 2021. The convertible debenture may be converted into 357,142 common shares of the Company at a conversion price of $0.14 per share.