Oil Reserve Inc. entered into a letter of intent to acquire Saccharum Energy Corp. (TSXV:SHM) in a reverse merger transaction on July 26, 2013. As a part of the transaction, common shares of the resulting issuer shall be held by the former holders of Saccharum common shares for 14.81% and by the former Oil Reserve shareholders for 85.19% prior to taking into consideration the possible exercise of any outstanding options or warrants and the effects of a proposed financing. Upon the terms of transaction, Johannes Kingma agreed to immediately resign as a Director and officer of Saccharum, David Pinkman, Chief Financial Officer and a Director of Saccharum agreed to act as and have been appointed as interim Chief Executive Officer for the purpose of administering the affairs of Saccharum until the closing of the transaction.

Post acquisition, Saccharum Energy Corp. will change its name to Oil Reserve Company. Saccharum and/or ORI intend to enter into an agreement with a registered investment banking firm for the completion of an equity financing in an amount of at least CAD 5 million. The transaction is subject to receipt of all third party consents and necessary regulatory and TSXV approval, shareholders and Board of Directors approvals, completion of equity financing for at least CAD 5 million, due diligence review and other customary conditions. The transaction is expected to be completed prior to December 31, 2013.

Oil Reserve Inc. cancelled the acquisition of Saccharum Energy Corp. (TSXV:SHM) in a reverse merger transaction on August 1, 2014. The transaction is cancelled due to Saccharum's inability to obtain the required financing and secure a senior management team, as well as the continuing impact of other negative market conditions, particularly as such relate to junior oil sands exploration businesses.