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18th Annual Dear Shareholder, The meeting this year turned out pretty upbeat. We had a good turnout and the group seemed pretty lively with good feedback. The directors were present and there were several guests, including Alex Bailey, John Bowles (stock consultant), Charles Sandidge (petroleum geologist), Gordon Dihle (Chairman of Spencer Edwards, Inc.), and Howard Ayers (new accounting assistant). The meeting started of an update by Howard Ayers on the status of the accounting and the upcoming Audit. Mr. Ayers indicated that the account should be completed by the end of June and the audit completed by September. John Bowles then discussed the implications of the Reverse 1 for 10 split to possibly place the company in a better standing then as a Penny stock showing it as a Dollar stock with an operating income. The shareholders voted in favor of the Reverse Split which will not take place until the first of the year when Eagle Oil Holding Company (the new name) will be the official new name also approved by the stockholders. We started off with a past year review of the oil fields and new operations management person, Fred Churchman. Fred has done a good job in the field and has been the one that got our wells up and running since February. The severance was lifted in late February 2008 and now we are pumping oil, selling oil and opening up new wells. The oil field is also split into three leases with leases A, B and C. Fred spoke about what it takes to bring up an inactive well to production. Charles Sandidge gave a talk about the viability of the oil field and why it might be feasible to drill additional wells on the East side of the highway where the oil is "pinched" between the formation. He also touched on the possibilities of establishing a commercial salt water disposal facility at the site. Such a program would generate its own cash flow to the company, and would or should increase the production of the existing wells currently in production because the wells in our area are "water driven," which means the greater the underground pressure, the more oil can be brought to the surface. The company has begun to investigate the possibilities as additional funds are available. Alex Bailey gave a detailed presentation on the CryoYcix development and marketing program he is pursuing. He covered the current targeted market of cutting and what the other possibilities were available from a symposium he had attended. At this time, we have the plans ready and upon adequate funding, we are ready to begin construction. Heather Walsh-Harvey also discussed how the CryoYcix can be used in Nuclear plants which could be Huge for Eagle. Judy Thompson then let the shareholders know that CalPers has an arm which provides funding for high technology and Green industries. Judy will be submitting a request for funding after the first part of the year. The ballots were counted and the 2008 slate of directors was elected. The current directors are Brian Wilmot, Judith Wilmot, Connie Helwig, Gayle Durst, Mark Wayne, Gary Hill, Julia E. Thompson, Heather Walsh-Harvey and Randy Nordlof. Details on these new directors will be posted on the web page as soon as the information is available. Mark Wayne also indicated that Gallina LLP are the new financial advisors, the new company name will become Eagle Oil Holding Company and the Reverse 1 for 10 Stock split was approved by a wide margin. The ballots in favor of the slate totaled over 50% of the outstanding and issued voting shares. Brian Wilmot spoke briefly about the new form 10, formally
the 10 SB. This the form submitted to
the SEC before coming back on the stock market.
Included in the form 10 is also all the accounting and audit
information. This information will go
the SEC attorney in In closing, Mark Wayne indicated that the company is in a money-raising mode to activate as many wells as feasible before the end of the year when the company comes back out on the stock market. For those that attended the meeting, it was a pleasure to see you all again. I expect a great year in 2008/2009. Yours truly, Mark Wayne President
____________________________ 18th Annual Eagle Environmental Dear Shareholder, Enclosed is your notice of the upcoming shareholder meeting, management discussion of the company, financial information and your ballot or proxy if you are unable to attend. At the time of this notice, we have not completed the 2007 audited financials. We are making available the draft copies of the financials on the web page and enclosed herein. This year’s meeting will be on Wednesday, June 11, 2008, at 9:00 AM at The Peppermill Hotel and Casino, 2707 South Virginia St., Reno, NV 800-648-6992. The meeting is called for the following purposes:
Any action may be taken on these matters at the annual meeting, or on the date to which the annual meeting may be continued, postponed or adjourned. Our Board of Directors has chosen May 30, 2008 as the record date for determining the stockholders who will be entitled to receive notice or our annual meeting and to vote at that meeting. The proxy statement included with this notice discusses each of our proposals to be considered at the annual meeting of stockholders. We have included a management’s statement on the company along with this notice. All information contained herein is also on the website at: www.egvr.com. An informal hospitality session is scheduled June 10th at the hotel. This is your chance to meet with the management and to meet other shareholders in a relaxed atmosphere. Doors open on this room at 6:00 PM. It will be held in the 17th floor Skyline 1735 room. Plan now to attend. We have blocked a group of rooms for the Eagle shareholders at a special rate. You will need to call in your reservation directly to the hotel before May 30th and use the group code “CEAGLE8” to get the rates. We hope you come to the meeting and the hospitality event as we will be discussing the previous year's events, and the news for this upcoming year. Also be sure to check our web page for current events at www.egvr.com. Thank you for your past support and we hope to see you at the meeting. Yours Truly, Mark Wayne, President ____________________________ 17th Annual Eagle Environmental Technologies Dear Shareholder, The meeting this year turned out pretty exciting. We had a good turnout, more than in the past years, and the group seemed pretty upbeat. Jim Frye, the Engineer/Director, was unable to make it this year due to family illness, and Richard LaMantain was away on a business trip. The other directors were present and several guests, including Alex Bailey, John Bowles (stock consultant), Charles Sandidge (petroleum geologist), Joe Kapka (stock broker), and Howard Ayers (new accounting assistant). We started off with a past year review of the oil fields and new operations management person, Fred Churchman. Fred has done wonders in the field and has been the one that got our wells up and running since February. Joe Kapka discussed on the methods of the OTC market and how the process works for the small investor. He provides trading assistance to shareholders and the company. Larry Wold discussed the process of “severance” in Texas and how the State can hold up our oil sales by proclaiming a problem on a well or group of wells, and stop the sale of oil already produced. He discussed the current plan on well development and when the severance could be lifted. We had 17 wells that needed service, and with the workover rig working now, we are in processing get those wells ready. Upon completion of the service work, the severance will be lifted and we can start selling. We have approximately 1100 barrels of oil in storage. It will take about 3 days per well to get back in the selling mode, but we are still producing. A short video and a PowerPoint presentation was conducted on the fields to show the type of activities we do in Texas. Charles Sandidge gave a talk on the possibilities of establishing a commercial salt water disposal facility at the site. Such a program would generate its own cash flow to the company, and would or should increase the production of the existing wells currently in production because the wells in our area are “water driven”, which means the greater the underground pressure, the more oil can be brought to the surface. The company has begun to investigate the possibilities. Alex Bailey gave a detailed presentation on the CryoYcix development and marketing program he is pursuing. He covered the current targeted market of cutting and what the other possibilities were available from a symposium he had attended. At this time, we have the plans ready and upon adequate funding, we are ready to begin construction. Although Duane Corcoran was unable to attend, Alex detailed the size and capability of the facility available to us for the manufacturing and how excited Duane is about the new equipment and design which he co-developed. We expect to begin manufacture by July this year. Each unit would sell for approximately $500,000. They take approximately 30 to 45 days to construct. John Bowles presented the GREATEST NEWS of the day with his pronouncement of the new Broker Dealer willing to sponsor Eagle to the OTC. We have already submitted information to the dealer and he is processing at this time. We have not set a time when we will be trading again, but it could be very soon. The broker’s support is mandatory to get back on the trading boards, so this was a big jump for all of us. Details of the activities will be posted as they develop. We have no set price established at this time but we expect to have all details soon. Howard Ayers gave us a current status on the accounting and the information on the new proposed auditors. The new proposed auditors were approved by the shareholders and directors. They are from the Reno area and have already assisted us in getting prepared for the OTC market. The OTC does not require audited financials, but does require detailed ones with support documents. We have provided those to the new personnel. The CEO went over the status of the E2000 suit in Tulsa OK. The case has stopped activity and is being set for settling by July. The original E2000 personnel are being investigated by the State of OK, and the case fell out of the court process. The ballots were counted and the slate of directors was elected with the following exceptions: Jim Frye was removed due to his physical condition. Other names were added from floor votes: Ronald Bender, Julia Thompson, Heather Walsh. Details on these new directors will be posted on the web page as soon as the information is available. The ballots in favor of the slate totaled: 66,017,440. In closing, the CEO announced his retirement, due to illness, at the end of this year or sooner if the replacement is found. The Board is currently seeking a new officer for the post of President and CEO. No details were given. For those that attended the meeting, it was a pleasure to see you all again. I expect a great year in 2007/2008. Yours truly, ____________________________ 16th Annual Eagle Environmental Technologies June 10, 2006 The President, Heather Walsh, gave a welcome and introduction to the shareholders and the current officers and directors: Brian Wilmot, Judy Wilmot, Heather Walsh, Rick LaMantain, James Frye, Howard Ayers; and officers: Brian Wilmot, CEO; Judy Wilmot, SEC/TREAS; Heather Walsh President/COO; Rick LaMantain, Domestic Marketing; Jim Frye Vice President, Engineering. The guests were introduced, Fred Welch (Siler Oil Field Manager), Alex Bailey (CryoYcix Global Launch Marketer), Brian Souza (CryoYcix Technical Coordinator), Duane Corcoran (ACT Owner/CEO; CryoYcix Assembler and Customer Interface), John Bowles (Investor Relations), Mark Bailey (Accounting consultant), Connie Helwig (Director; New/Elect), Gayle Durst (Director; New/Elect) An announcement was made that Gayle Durst nominee for Director will replace
Nancy Yeager listed on the Nomination Ballot.
The President gave a short summation of the past year that included compliance
issues on the Siler lease, acquiring of oil field equipment, lifting of the oil
production severance, re-starting oil production, Siler lease operator/manager
changeover, renaming of Zawcad to CryoYcix, SEC halting of trade, and the
upward trend in stock activity leading up to the time it was halted. The
president commented that over the past year on the oil lease, one would attribute
the major changes from “reactionary” to organized “planning,” with a reputation
of being “good neighbors.” The President stated that the Siler field has 153 production wells, the CEO mention that six wells were producing, four wells were ready to be placed on line pending pump replacement, and that another five were planning to be added in the near future. Much of the progress toward adding wells is dependent on the amount of funds received. Depending on the quality and condition of the well, costs could include $20,000 for well casing (roughly 4000 length of pipe), $10,000 for submersible pump and hook-up, and additional costs for perforating, and pipe lining. A Siler Oil field video was presented showing historical production information for the East Texas Woodbine field and the potential at our Siler lease. It was stated in the video that independent assessments estimate that there is about 12 million barrels of recoverable oil in our Siler lease and that Eagle Environmental Technology owns about 10% of the East Texas Woodbine Oil fields. The video also highlighted that the submersible pumps that are being installed in the Siler lease will effectively increase production of fluid in the production process, which equates to increase oil production. A video CryoYcix’s capability was presented showing diverse applications for liquid nitrogen cutting, abrading, and decontamination technology. The video discussed the attributes for saving the environmental and the cost savings associated with attaining Zero-Added-Waste. The President acknowledged Alex Bailey’s assistance with the production of
both the Siler Oil field video and the CryoYcix video. Duane Corcoran, shareholder and CEO of Applied Control Technology, was introduced by the President to highlight the Letter of Intent between Eagle Environmental Technologies and Applied Control Technology regarding large-scale fabrication of the CryoYcix units and the installation capability and customized user interface for prospect buyers. Duane Corcoran presented a short summary of his company’s capabilities and the enhancements his company can provide Eagle Environmental Technologies with fabrication and customized installations. Follow-on uses for CryoYcix technology was presented by Brian Souza. One of the major focuses was on Eagle Environmental Technologies project ZAWMet which uses CryoYcix technology to remove contaminant metal build-up from metal catalysts. Removal of metal contaminants increases liquid production yields in the petroleum refining process and may replace the need for purchasing fresh catalyst at US $1800/ton. In addition, ZAWMet appeals to tough environmental laws and reduces the need for technology based on extreme heat, harsh chemicals, and waste generation. ZAWMet goals for 2006 were identified as reviewing data from earlier studies, demonstrating functionality of portable CryoYcix unit, developing a working protocols, identifying a test facility with possible off-site partnership, establishing US petroleum industry contacts, continuing dialogue with foreign customers and developing expertise in domestic petroleum production and refinery processes. The CEO, Brian Wilmot, provided a general summation of events and how he envisioned the future of Eagle Environmental Technologies. He provided a discussion on the SEC halting issues, the reason for the halting. He stated that Eagle Environmental Technologies had anticipated the SEC to halt trading, but did not know the actual date of the occurrence. The halting was due to a past action from the SEC resulting from an error in the original filing of the 10SB in 2000. The Company was never notified that the original filing had created a “reporting Company”, and hence had not done the correct quarterly filings (8Qs, 10Qs). The SEC had notified us in 2005 that we were in “non-compliance” with the reports, so we agreed to withdraw our original filing, and upgrade our old audited financials to the new standard, include the 2005 audits and resubmit the form 10SB again. The agreement with the SEC saved the Company several hundred thousand dollars and cleared any regulatory clouds from our Company. Management was striving to have the new audits etc. ready prior to the event, but the auditors were unable to complete the extensive reviews instigated by the new laws, Sarbanes/Oxley. It was announced that the closing stock price will not change until the Company is back on the market, so no loss of value is realized at this time. Mark Bailey, Eagle Environmental Technologies Accountant firm, provided a very complete and insightful description of the accounting and auditory review process for the Company to re-file the application (10 SB) for trading. Much of the discussion was based on the new federal law passed in response to a number of major corporate and accounting scandals involving prominent companies in the United States: The Sarbanes-Oxley Act of 2002 (also known as the Public Company Accounting Reform and Investor Protection Act of 2002). The Sarbanes-Oxley Act includes new provisions for certification of financial reports by chief executive officers and chief financial officers; auditor independence, including outright bans on certain types of work and pre-certification by the company's Audit Committee of all other non-audit work; criminal and civil penalties for violations of securities law; significantly longer jail sentences and larger fines for corporate executives who knowingly and willfully misstate financial statements; and a requirement that publicly traded companies furnish independent annual audit reports on the existence and condition (i.e., reliability) of internal controls as they relate to financial reporting. Mark Bailey, enlightened the shareholders as to the small pool of auditors willing to take on these new rules, especially for small public companies. He stated that he felt it was best that we stay with the current auditor and complete the process. The issues left to resolve were now minimal, if not, already resolved. He stated that the auditor thought it would take three to five weeks to complete the audit. Additional information regarding cost estimates for audits of small business (less than $5 billion) was provided. The average additional audit hours were around 6 thousand with an average total compliance cost around $1.9 millions. It was brought out by the CEO that the costs for our audits to date have been significantly lower that the typical small public company. The CEO, further described the process for re-filing to the stock exchange. Upon completion of the audit, contacts have already been made to file the 10SB which automatically puts us onto the Bulletin Board. Contacts have been made with Rutledge Investments to further put Eagle Environmental Technologies onto the NYSE Arca (formerly know as the Archipelago Exchange). The valuations to increase this posting are a result of equipment and income associated with Eagle Environmental Technologies. The CEO also discussed the two core focus areas of Eagle Environmental Technologies. One core focus is on energy production, while the other is on environmental technology and equipment. It was discussed that the company may possibly split the company into two divisions, in order to properly serve each segment of operation. The shareholders than elected the new Directors: The Board of Directors Meeting, which immediately followed the shareholders
meeting, was called to elect the officers for the New Year: A. Brian Wilmot, CEO All were nominees were elected with the voting data: 73,299,626 for the slate with changes to Durst; and 20,167 against the slate. Next, the Board approved shareholders meeting minutes The Board approved the audit committee. The Board also approved the current direction of the company and recommended expansion of the oil fields as well as the efforts to expand the CryoYcix unit development and its related technology. Yours truly,
Heather Walsh, President ____________________________ Message to Shareholders April 10, 2006 Texas trip, March 29 – April 3, 2006 by Brian Wilmot, CEO Trip Chronology: March 30 Met George in the AM and told him of the change in management. He was relieved of all duties. I requested a list of any equipment that he was claiming as his on the well site, so we could either buy it or have him remove it. I picked up the check book and all outstanding invoices. Essentially, I fired the entire crew effective the 31st . The new manager, Fred Welch, had the option of hiring back anyone he may have wanted or getting all new people. I notified the operator, B&B Oil that the change had
been made and a letter was to be sent to the State of After our morning meeting, I went to the site to check on past progress from the items we had listed on the last trip (first of March). He did get some of the pump jacks moved to the correct locations, but not operating. However, with some additional work, wells 131, 20, 176, & 186 will be ready to operate by May, for a total of 14 in production. At 2 PM I met up with the Petroleum Engineer and reviewed the possibility of putting in a commercial water disposal facility using our injection system. A company representative from a disposal company came along and we toured the facility. If we were able to do this process, we would be disposing of about 10,000 barrels of water a day at a price of 50 cents per barrel which would help our cash flow. It needs to be determined if the disposal system would benefit our wells or not. Once we have the studies on that, we can make a determination. March 31 Met up with Fred Welch (the new manager) in the morning, reviewed the current circumstances and changes. Reviewed each crew member and what they do and if they are worth re-hiring under his leadership. 9AM we left for the wells. Fred immediately went on an inspection and tour of the facility to get a handle on what would need to be done promptly to get into production. The crew had several safety concerns which will need to be addressed. Some equipment will need proper modifications to prevent accidents and down time. Fred set his up coming priorities:
April 1 Met up with Fred at the wells. Crew was off so we discussed the things that would have to be done when Fred starts up on Monday. Fred and I returned to Kilgore to meet up with Larry Wold, the new President of Hohle Oil Services Co, the new site operator. The three of us returned to the wells to begin a tour of the items Fred needed to do first to get the wells in production and get our oil conditioned enough to sell it. His plan:
Fred departed for home later this day. April 2 Larry and I toured the site to photo all of the wells, tanks
and current conditions to have a back ground to compare after Fred gets his
items finished. We can use the items changed as examples for progress that we
can show at the shareholders meetings. After careful inspection of the site, we
determined that there is lots of parts and equipment that is useful for reuse
and can save us money on repairs and purchases. Several of the wells have been
tested for the State, passed and have pipe ready in the hole. These will need
equipment to pump, electrical hookups and flow pipe inspections, but we should
be able to put about 2 to 4 wells on per month with proper care. We also
determined that a particular “ April 3 I left in the AM to catch the ____________________________ Message to Shareholders January 23, 2006 Texas trip, January 9 – 12, 2006 by Brian Wilmot, CEO Trip Chronology:
Met with the Engineer about the evaluation of the reserves of oil. He was re-assessing the field to get a clear level of the reserves, and what had been pumped out. To date, the only accurate figure is the oil that had been produced. We planned on what new wells we were going to log and perforate. We have three that are available with pipe, pumps and electrical hookups, 105, 103, 38.
Day 2 (Jan. 10): Bought a used Hot Oil Truck for well and tank oil treatment. The process now will be much faster with our own rig unit. This procurement is also a cost savings measure. In the past, we used the Hot Oil Truck 3 to 4 times a month at a cost of around $3,000-5,000 per use. In the future, as we get more wells on-line, we plan on additional usage for this equipment. Our plans are to recoup our expenditure by the end of the year.
Presented and reviewed the new reporting forms to George and others to make clear on what documentation the management wanted regarding oil production, expenses and plans. Rechecked Well 138 and it continued to produce the 50 barrels of oil per day rate. A very good little well.
The rig was moved to Well 131 as it had failed a pressure test and the pipe had to be pulled for leak checking. It takes most of a day to pull a well and another day to put the pipe back in the hole. 131 was going to be on the new re-check list for later in January after the pipe gets serviced.
The crew pumped oil, about 200 barrels, from Well 121 in preparation for the testing planned the following week. The oil needs to come out and salt water put in to get a proper test reading. The oil does not hold the pressure well as it breaks down under high pressure and allows gas to form, which causes the pressure to drop, and fails the test. Salt water does not do that.
Day 3 (Jan. 11): Crew still pumping the oil out of Well 121. It is done by truck as no pump is on the well. The oil is actually “pushed” out of the well by injecting water under pressure to the outside of the central tube (down the casing) and pushes the oil out from the bottom. You get pure oil out this way but it is slow, as you have to continually empty the truck.
I reviewed the road and power grid conditions and noted that several areas needed extensive work to get them in good shape. I assigned a crew member to do tree trimming and clean up when not assigned to any other task. If we do more preventive work, we will probably save more time on future repairs to our grid work.
All of the older wells appear to need an acid wash. This is designed to open the existing perforations and allow better flow into the lines. Iron, salt and other mineral deposits tend to build up around the pores and choke off the flow. The acid eats that up. After the acid, a xylene compound is pumped in to neutralize the acid and flush out the leftovers. Each treatment takes about 2 days to complete and costs about $1400, but it is worth it when you measure up the increased production, from 1% cut to 10% cut.
Day 4 (Jan. 12): I left early in the AM for Oklahoma City (OKC) to meet up with one or our associates concerning the coal deposit and other opportunities he may have for us. We discussed several areas of mutual interest with no set conclusions at this time. Respectfully submitted, Brian Wilmot, CEO ____________________________ Message to Shareholders December 6, 2005 Texas trip, November 28 – December 2, 2005 by Brian Wilmot, CEO General: Current wells in production: [NOTE: All flows are estimated only until the H-10 tests are completed on December 7 or 8.]
Wells needing service now as the next group to be put on line:
Wells 138, 105, 78 are to be on own generator system being installed. Expect to be operational by January pending any additional log or perforation tests. Wells set for planned maintenance: Well injection pump is set for generator operation. Wiring is in place. The hold up is with the hook up to gas line to feed the operation motor of the generator. It is expected to be running by end of December. That would cut our power bill by 50%. Geologist Evaluation:
Action Plan:
Trip Chronology: Day 2: Crew set up on #94 to pull two joints from hole to get a retest on the failed H 15 test the week previously. Turns out well has a casing problem as drilling mud was pulled from the tubing. Well will probably have to be treated and re-bored within the next 90 days. Met up with George and the Geologist and set plans for putting the new treated wells into operation. After logging and setting the perforating, the new wells have to be treated with a 15% acid solution and xylene. This will open the pores more and allow a greater flow from the new and the old perforations. The wells are than treated with a high pressure hot oil flow to wash out the material. Next new motors or pumps as required are installed. Day 3: George went to the RRC to file the latest reports on the wells and request any extensions for the “squeeze” plan. George gave an estimate of about 25 wells that may need this kind of work over time. He will do them about 5 at a time. It is quite extensive. They pull all of the pipe out, put a bridge plug down the hole, pour concrete down on it under pressure, let it set up, re drill through the concrete, replace the pipe and pumps and you are ready again. The whole process costs about 7 to 10 thousand dollars. About 3 PM the first of two loads was hauled out of the storage. We have about 4 to 5 more in the tanks and more coming in each day. We have to treat the currently stored oil as it has been sitting since June. They add a chemical to break down the wax and solids, add dry ice to the tank to make it bubble, push hot oil into the tank to make it circulate. The process is called “rolling the oil”. After we get the “old” oil out of the tanks, we will not have to do all of this again George is to finish H 10 reports (production reports to the State of Texas) this Monday and Tuesday. They will give us clear numbers on the well flow and oil cuts. I will adjust our projections upon receiving the H 10 reports. Respectfully submitted, Brian Wilmot, CEO ____________________________ Message to Shareholders October 26, 2005 Dear Shareholder, Stock (504 D) Offering. We started this last June but we had two basic problems. The people setting it up were really inexperienced, and the SEC requirements, due to the previous attorney’s errors in our earlier filings had us in a quandary. Our problem was that in the year 2000 we had submitted a form, SEC 10SB, to become the OTCBB Company. They bounced the application back to us for comments and we responded right away. The attorney handling it errored, as it seems we became a reporting company automatically within 60 days of the application, yet we were not informed of the change. Since we did not keep up with various reports, we became a defaulting reporting company. Now with the rules change for the audits, (Think Enron) the SEC wanted us to either:
Audits. Normally only the members of the audit committee would be looking forward to the big audit package, but not this time. The audits, the ones supposed to be completed in July, are still ongoing. Most of the stuff has been done, but we are still in the “verification” stage. This means that they are asking to match up checks with invoices, bank statements etc, from the year 2001 forward. I have about 100 “random” items to match. My best guess (emphasis added) is that they will be completed sometime in November. The good note is that the Reno guys are also working on our 2005 audits already so we will be ready to submit to the new stock exchange (OTCBB) as soon we want after our audit is over and the 504 is used. Our total audit costs on this will easily reach $150,000 to $250,000. We have passed $80,000 already. Oil Production. A subject close to anyone’s heart I am sure. We are still in the “Texas Holdem” category. We have tested over 60 wells already for the State requirements, but we are still in “severance” (this means we cannot produce or sell oil) as to sales and production. We are currently doing some integrity tests and fluid level tests on certain wells targeted by the State to assure the wells are not a hazard to the environment. Last week Heather and I spent time watching the procedure. It is quite intricate. (See testing details and photos of the oil site.) In the meantime, George has prepared about 25 wells to start production as soon as the severance is lifted. He is meeting with the State officials this week to see about the lifting. We have purchased some additional pumping equipment to prepare some more wells. George showed us a couple of wells that were actually flowing. That means, no pumps need to push the oil out. This field is not anywhere near depleted. The original drilling logs showed at least two additional zones that have not been tapped. We have no idea of the reserves in those zones, as they have not yet been listed and were not part of the original 24,000,000 barrels that we have now. We have about 1600 or more barrels currently in storage ready for sale as soon as they let us. It will not take long to get the revenue coming in. The rest of the equipment, tanks, pumps etc. are OK and in good standby condition. We will be replacing about seven small pumps that were not capable of handling the loads in the past, but that is not a problem as they were submersibles and easy to service. ZawCAD NOW CryoYcix. One of the upcoming changes is the name change of the ZawCAD units to CryoYcix units. Same process, new name. We have enlisted Alex Bailey to begin a sales campaign to develop interest in the equipment. He created a new DVD for the sales and it is great. It will be up on the web page soon. It is professionally done and very classy. Alex has several parties wanting to work with us on the equipment. The units would be the portable ones we designed previously, but with the new name and configuration. Time will tell, but by the end of the year, we should be building the first one. Yours truly, Brian Wilmot, CEO ____________________________ 15TH YEAR ANNIVERSARY The Chairman gave a welcome and introduction to the shareholders and
the current officers and directors: B. Wilmot, J. Wilmot, Rick LaMantain,
James Frye, and officers: B. Wilmot, CEO, J. Wilmot, SEC/TREAS, Rick LaMantain,
Domestic Marketing, Jim Frye Vice President, engineering. The guests were
introduced, Heather Walsh (New President), Pamela Runyon (New VP ZawCAD
sales), Joe Kapka (Broker), George Burke (Oil field manager), John Bowles
(Investor Relations), Mark Bailey (Accounting consultant), Marc Lumer
(Accountant), Mac Shearer (ZawCAD sales) The shareholders than elected the new Directors: The Board of Directors Meeting, which immediately followed the shareholders
meeting, was called to elect the officers for the New Year:
The officers were all unanimously elected. Next, the Board approved shareholders meeting minutes The Board approved the new auditors, audit committee and the new accountant consultants. The Board also approved the new direction of the company and recommended expansion of the oil fields as well as the efforts to expand the new ZawCAD division sales. Yours truly, Brian Wilmot, Chairman ____________________________ Letter to the Shareholders April 2005 Dear Shareholder, Enclosed is your notice of the upcoming shareholder meeting
and your ballot or proxy if you are unable to attend. If you are mailing
in your ballot, be sure it arrives before June 1, 2005 so it may be counted. Yours Truly, Brian D. Wilmot, Enclosure: Ballot |
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