On February 10, 2010, the Company completed
the sale of all of its oil and gas business interests in exchange for cancellation of all obligations under an outstanding promissory
note having a principal amount of $1,000,000 and accrued interest of $115,527. The Company recorded a gain on disposal
of assets totaling $115,527 for the year ended October 31, 2010. Pursuant to FASB standards, the Company has retro-actively
presented its oil and gas business as discontinued operations.
The Companys gain from discontinued
operations for the year ended October 31, 2010 totaled $115,527. The Companys loss from discontinued operations
since inception through October 31, 2010 totaled $213,194.