Complaint Review: DominiQ Resources Inc.

Did DominiQ Resources Commit Fraud on the Big Horn?

We asked Matt Sebanc, President of DominiQ Resources to answer this question:

Expert witnesses have testified that the total cost of producing a 2000 foot, “commercially viable” well, in the area you were drilling (Southcentral Kentucky), is approximately $85,000, including drilling, testing and completion, utilizing all new equipment per well (I have lived in this area for 13 plus years and have never seen new equipment). According to your Big Horn Project’s “Drilling Program Fact Sheet” provided by you to your clients, the project included 4 wells with a “Project Total Cost” of $1,100,000 including drilling, testing and completion. In addition, you state that one of the primary objectives would be the Knox Formation, arguably, the most productive formation in this part of the country; situated at somewhere between 1500 and 2000feet.

You have allegedly revealed to some of your clients that there were, in fact, only 2 wells actually drilled and neither were, “commercially viable” according to the revenue checks received by your clients.

Also, in an email to your clients, after basically abandoning the Big Horn Project and after you became aware of Colt Ledger being involved, you stated you were going to be in Kentucky to “deepen the Big Horn 2” and that you would update them on the results. You failed to report those results.

Now, as you know, the only thing below the Knox is water! So, since you stated that your “primary objectives” included the, historically, productive Knox formation, how could you “deepen” a well that had already, allegedly, been drilled to the Knox, i.e., as deep as you could go without striking water and ruining the well, not to mention, the possibility of creating an environmental catastrophe?

Therefore, based of expert testimony, a total cost of $85,000 per ‘commercially viable” well would bring the total cost of the project to approximately $340,000, plus another $160,000 in “expenses”; if 4 “commercially viable” wells had been drilled in. However, from the revenue checks received by your clients, it is obvious that you did not drill in a single “commercially viable” well and you may have only drilled 2 of the intended 4 wells bought and paid for by your investors.

In an effort to find the truth, we have obtained from the Kentucky State Department for Natural Resources, Division of Oil and Gas Conservation documents supplied by you to them. These are the official results of the Big Horn Project as reported by you and recorded by the Kentucky State agency:

Big Horn 1 Permit 111754, Drilled to 907’, Dry Hole

Big Horn 2 Permit 111722, Drilled to 1555’, Dry Hole

Big Horn 3 Permit 111691, Never Drilled

Big Horn 4 Never Permitted, Never Drilled

So it appears that the “2 well” theory is correct and documented by you. And since neither well was drilled to include the entire Knox Formation and one was drilled to only 907’ and neither were “commercially viable wells”, the actual total cost of the Big Horn project lies closer to $100,000! 

So, Mr. Sebanc, unless you can prove that you lied to the State of Kentucky regarding your sworn drilling and plug and abandonment statements, where is the, approximate, $1,000,000 you over charged your clients on the Big Horn project?

Mr. Sebanc has not only refused to answer the question, he has also refused to provide his clients/victims with an explanation and/or an accounting of how he utilized the Big Horn funds. He has, however, filed a motion in court ordering Colt Ledger to cease and desist disseminating this type of “disparaging information” regarding his multi-million dollar alleged scam. Only an idiot would sign such an order with the preponderance of evidence mounting against Mr. Sebanc; most of which he has supplied!

One final note: Mr. Sebanc and several other questionable individuals raised millions for, approximately, 10 similar projects containing, approximately 30 wells and, thus far, none have been “commercially viable”. However