Kabe Exploration Inc (KABX) – will forward split number two send this one into promo status?

Published On December 23, 2012 » 1553 Views» By nodummy » Open, Research Report

 

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Kabe Exploration Inc (KABX) will be seeing the ‘D’ drop off soon following the 2nd forward split during the brief history of this shell.  KABX already had a nice pre-promo share structure prior to the more recent 3:1 forward split, but now with the new forward split over 58,000,000 free trading shares will be ready to be dumped during a possible future paid promotion.

A new website is in place, new business progress was just announced.  This one could be ready to go right after the New Year.  KABE is definitely worth a full research report.

 

Early Set-up

Some interesting names can be connected to the KABX shell when it first went public.

Kabe Exploration Inc was incorporated in Nevada on December 15, 2005 by Anthony Claydon (aka Antony Claydon) of Vancouver.  Antony Claydon had been involved with publicly trading shells for almost 10 years prior to registering Kabe Explorations.  He has also been involved with several other publicly traded companies since.  Some of those companies (both US and Canadian exchanges included) include:

Electra Gold Ltd.
Great Atlantic Resources Corp.
Sanfred Resources
Ultra Lithium Inc
Abzu Gold Ltd
Alliance Mining Corp.
Silver Lake Resources Limited
Pacific Potash Corporation
Mega Copper Ltd.
Olympic Resources Ltd.
Signature Resources Ltd.
Universal Ventures Inc.
Totem Minerals Inc

 

On March 1, 2006, to help the shell prepare to go public, Anthony Claydon signed a mineral lease agreement for a property known as the Checkup Property in Storey County, Nevada which consisted of one unpatented mining claim from George J Eliopulos   The lease agreement required KABX to pay $5,000 by the end of 1 year, $25,000 by the end of the 2nd, 3rd, and 4th years, and $75,000 by the end of the 5th year. George J Eliopulos had previously been involved in the following publicly traded companies – Drew Resources Inc (became Galloway Energy Inc – revoked by the SEC on 6/14/11), Foothills Resources Inc (FTRS) – went bankrupt and no longer trades, and Manaki Mining Inc (MNEK) – has links to Fransisco Abellan and Michael Kang now OSL Holdings (OSLH).

The geologist providing the consent for the property was Richard R. Kern.

Richard R. Kern controls a company called MinQuest which has been involved in helping provide properties for a few different AwesomePennyStock, Carrillo Huettel shells like Centor Inc (CNTO), Graphite Corp (GRPH), North Springs Resources Corp (NSRS), Willow Creek Resources Inc (WLOC), and other shells like Punchline Resources Ltd (PUNL), Goldfields International Inc (GDFI), Patriot Gold Corp (PGOL), All American Gold Corp (AAGC), Tundra Gold Corp (TNUG), Star Gold Corp (SRGZ), Ranger Gold Corp (RNGC), and Dakota Gold Corp (DAKO) among others.

The SB-2 to take Kabe Exploration Inc public was filed on March 30, 2007. 

The attorney helping to take the shell public was William D O’Neal of The O’Neil Law Firm of Fountain Hills, Arizona.  William D O’Neal and the O’Neal Law Firm would end up getting banned by the SEC on March 15, 2006.  William O’Neal got busted providing bogus legal opinion letters to illegally make stock free trading.  O’Neal was also selling stock into the market that wasn’t legally made free trading for his own profits.

The auditor providing the consent letter for the Kabe Exploration Inc financials was John Kinross-Kennedy.  Kinross-Kennedy remains the auditor for the shell even today According to information published by pumpsanddumps.com, Kinross-Kennedy has been involved in allegedly “cooking the books” for at least two scammy penny stocks – Sauer Energy Inc (SENY) and Victory Energy Corp (VYEY):

“As we told you in a previous alert on SENY, we are concerned about the books being cooked by John Kinross-Kennedy, a favorite auditor amongst past penny stock schemers in California.  Perhaps the most prevalent example of his complicity in these conspiracies, is his enabling of Jon Fullenkamp’s manipulation of Victory Energy Corporation (VYEY), which resulted in Fullenkamp’s eventual ouster by the board he himself named, and a restatement of financials.  The Fullenkamp/Kinross-Kennedy conspiracy resulted in millions in investors’ losses and a lawsuit against Kinross-Kennedy for Professional Negligence.  That lawsuit was settled quickly settled in Kinross-Kennedy’s attempt to keep his license.”

 

Initial Share Structure

When Kabe Exploration went public there were 3,387,500 shares outstanding.

- Antony Claydon (president, CEO, Secretary, Treasurer, and director) owned 1,500,000 shares received for $15,000 ($.001/share)
- Rory Moss (director) owned 250,000 shares received for $2,500 ($.01/share)
- Friends and family of Claydon and Moss owned 1,637,500 shares purchased for $32,750 ($.02/share).

 

Change in Control

On January 28, 2008, the lease agreement for the single unpatented mining claim with George J. Eliopulos was terminated.

About 10 months after being granted public trading status, on February 14, 2008, Antony Claydon and Rory Moss sold their 1,750,000 shares to Erik Ulsteen (aka Svein Erik Ulsteen) for $50,000 giving Ulsteen control of the KABX shell on paper.  Erik Ulsteen also became the new sole officer of the KABX shell. Stale Werner Nielson and Bjorn Rene Sigdahlsen were also added as directors. 

Erik Ulsteen had been the Chairman of the Board and CEO of Emission & Power Solutions Inc, a Carlsbad, California company.  Emission & Power Solutions Inc claimed to be a UK based publicly listed company trading on both the Frankfurt stock exchange (symbol EPI) and on the Xetra platform that also maintained a corporate office in Carlsbad, California and since 2003 had developed, licensed and acquired technologies for improving fuel economy while reducing environmentally harmful exhaust emissions using advanced patented and proprietary fuel treatment devices.

On April 15, 2008, 300,000 shares were sold to an anonymous private investor for $12,000 ($.04/share).

On October 14, 2008, KABX would enter into a definitive agreement to merge Ulsteen’s company, Emission & Power Solutions Inc into the KABX shell.  Corresponding with the plan of merger, KABX conducted a 10:1 forward split that became effective on December 12, 2008.  That brought the new share count to:

Erik Ulsteen – 17,500,000 shares (restricted)
Seed Shareholders – 16,375,000 shares (free trading) – costing $.002/share)
1 Private Investor – 3,000,000 shares (free trading) – costing $.004/share)

 

The Emission & Power Solutions Inc (EPS) merger was dangled out there waiting for final approval from the EPS shareholders for several months.  Then finally some time around May or June of 2009 the plan of merger got cancelled.  Turns out that Emission & Power Solutions Inc was having all sorts of financial issues and the company had to close down.  All of the assets got liquidated as seen on the EPS website.  Anturion Ltd (PLUS:ATNP) was the company that acquird the assets.  ATNP hired Erik Ulsteen as a consultant, but Anturion terminated that consulting agreement on November 30, 2012.  Erik Ulsteen remains the owner of almost 50,000,000 shares (24.74% ownership) of Auturion as seen in their application to be listed on the PLUS exchange.  Ulsteen’s personal attorney, Thor Johansen, also owns over 8,000,000 shares of Anturion stock.

The following is a youtube video of Erik Ulsteen being interviewed by stock tube while he was still a paid consultant for ATNP

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During this period of time that KABX remained in limbo, 2,328,250 shares were issued for services at $.01/share.  Erik Ulsteen got 2,008,250 shares, Stale Werner got 160,000 shares, and Bjorn Rene Sigdahlsen got 160,000 shares.

Also during this time KABX took out some loans from its CEO, Erik Ulsteen, held in the name of Ulsteen’s company, Chapman Industries Inc.  Those loans currently total $63,487 as of the last reporting period (September 30, 2012).

The cancellation of the definitive agreement caused KABX to be nothing but a empty shell (a developmental phase company) with no business operations.  The KABX shell would remain that way for over 3 years until recently.

 

Erik Ulsteen / Emission & Power Solutions Inc background of fraud

Prior to being renamed Emission & Power Solutions Inc, the company was called Fuel FX International Inc.  During this time Erik Ulsteen also headed the company.

Fuel FX International Inc was used previously in connection to past publicly traded shells.  This sharesleuth article published by Chris Carey in 2006 talked about past frauds connected to Erik Ulsteen’s company, Fuel FX International Inc.  The whole article is worth reading, but basically Carey heavily scrutinized the claims being made by Fuel FX International Inc and cited a federal court case in San Diego that found Fuel FX International Inc guilty of a fraud scheme that took more than $12 million from investors.

 

 

Recent Developments

Earlier this month, KABX made some very notable changes that may be setting the shell up for a future paid promotion.

On December 7, 2012, KABX raised the authorized share count from 750,000,000 to 2,250,000,000 and conducted another forward split.  This time a 3:1 forward split.

KABX also entered into a new agreement which has yet to show up in any 8K filings only in press releases.

On November 14, 2012, KABX put out a press release announcing that they had signed a letter of intent for the acquisition of 1,500 +/- gross acres with planned expansion of up to 15,000 additional acres for Horizontal Mississippian Lime Oil Development in Cowley County, Kansas.

On December 13, 2012, KABX put out a press release announcing that their intention to hire Fortune Oil and Gas which is a publicly traded company under the symbol FOGC as the operator for its oil and gas assets on a turn-key basis.

On December 17, 2012, KABX announced in a press release that they had closed the acquisition agreement for the purchase of 7,300 acres of oil leases in the Mississippian field of southern Kansas.  The press release already shamelessly began to tout the forward looking potential of the oil wells.

KABX also registered a brand new website on November 11, 2012.

 

More on Fortune Oil and Gas (FOGC) the possible future partner of KABX

Fortune Oil and Gas (FOGC) is a scammy company controlled by Mina Mar Group that current trades at $.0001/share.  The shell doesn’t provide any disclosure to shareholders in the form of filings.  They counted on shareholders believing everything put in press releases while the stock got diluted down to no bid.  Here is the company website.

Earlier this year, Mina Mar Group converted FOGC out of Nevada and into the state of Wyoming.  MinaMar group has failed to authorized common shares with the state of Wyoming so we have no way of knowing exactly how many shares could be getting issued and dumped.

 

Current Share Count after the 3:1 forward split

Authorized – 2,250,000,000 shares
Outstanding – 117,609,750 shares
Erik Ulsteen – between 58,524,750 and 60,576,000 shares (restricted)
Stale Werner Nielson – 160,000 shares (restricted)
Bjorn Rene Singdahlsen – 160,000 shares (restricted)
Seed Shareholders – 49,125,000 shares (free trading) – costing $.00067/share
Private Investor – between 9,000,000 and 6,948,750 shares (free trading) – costing $.0013/share

 

Conclusion

The ‘D’ will be dropped for KABX in the next few trading days.  Once that happens KABX will be as ready as it needs to be for a paid promotion which could start right after the New Year.   At least 56,000,000 free trading shares, all new business operations and website, lots of insiders linked to past frauds…. yup this one could definitely end up being the subject of a future paid promotion.  That is why today I am adding Kabe Exploration Inc (KABX) to our list of tickers to watch for a future paid promotion.

 

 

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One Response to Kabe Exploration Inc (KABX) – will forward split number two send this one into promo status?

  1. ALiVE ALiVE says:

    losing the D Monday 1.7.13

    12:57 1/7/2013 KABXD Kabe Exploration Inc. NEW Common Stock KABX Kabe Exploration Inc. Common Stock

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