UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549  (Mark One) FORM 10-K  X.ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934  For the fiscal year ended December 31, 2014  or  .TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934  For the transition period from _____________ to _____________  Commission file number 333-139746  TRANSACT ENERGY CORP. (Exact name of registrant as specified in its charter)  Nevada98-0515445(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)  Suite 207 - 23705 IH 10 West, San Antonio, TX, 78257 United States (Address of principal executive offices) (Zip Code)  Registrants telephone number, including area code210-888-0785  Securities registered pursuant to Section 12(b) of the Act: None  Securities registered pursuant to Section 12(g) of the Act: None  Common Stock, par value $0.001 (Title of each class)  None (Name of each exchange on which registered)  Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. . Yes X. No  Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. . Yes X. No  Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. X. Yes . No  Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§ 229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrants knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. X.  Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of large accelerated filer, accelerated filer and smaller reporting company in Rule 12b-2 of the Exchange Act.  Large accelerated filer.Accelerated filer.Non-accelerated filer.(Do not check if a smaller reporting company)Smaller reporting companyX.   1   Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). . Yes X. No  State the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrants most recently completed second fiscal quarter.On June 30th, 2014 the aggregate market value of the voting stock of Transact Energy Corp. held by non-affiliates of the registrant was $$2,277,007.13   Indicate the number of shares outstanding of each of the registrant's classes of common stock, as of the latest practicable date: As of December 31, 2014 we had issued and outstanding 47,867,097shares common stock, $.001 par value  APPLICABLE ONLY TO REGISTRANTS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS:  Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. . Yes . No  DOCUMENTS INCORPORATED BY REFERENCE  List hereunder the following documents if incorporated by reference and the Part of the Form 10-K (e.g., Part I, Part II, etc.) into which the document is incorporated: (1) Any annual report to security holders; (2) Any proxy or information statement; and (3) Any prospectus filed pursuant to Rule 424(b) or (c) under the Securities Act of 1933. The listed documents should be clearly described for identification purposes (e.g., annual report to security holders for fiscal year ended December 24, 1980). None   2   PART I  CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS  The statements contained in this Annual Report on Form 10-K may not be historical facts and may be "forward-looking statements." Such forward-looking statements can be identified by, among other things, the use of forward-looking terminology such as "believes," "intends," "plan" "expects," "may," "will," "should," or "anticipates" or the negative thereof or other variations thereon or comparable terminology, and similar expressions are intended to identify forward-looking statements. We remind readers that forward-looking statements are merely predictions and therefore inherently subject to uncertainties and other factors and involve known and unknown risks that could cause the actual results, performance, levels of activity, or our achievements, or industry results, to be materially different from any future results, performance, levels of activity, or our achievements, or industry results, expressed or implied by such forward-looking statements. Such forward-looking statements appear in Item 1 - "Business" and Item 7 - "Management's Discussion and Analysis of Financial Condition and Results of Operations," as well as elsewhere in this Annual Report and include statements regarding the following: the expected development and potential benefits from our products to consumers, progress in our efforts to develop our facilities and our products and to achieve and maintain regulatory approvals, the potential market demand for our products, our expectations regarding our short- and long-term capital requirements, our outlook for the coming months and information with respect to any other plans and strategies for our business.  The factors discussed herein, including those risks described in Item 1A, and expressed from time to time in our filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this filing, and we undertake no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.  INTRODUCTION  Unless otherwise specified or required by context, as used in this annual report, the terms "we," "our," "us" and the "Company" refer collectively to (i) TransAct Energy Corp., a Nevada corporation ("TransAct").  The Company's current corporate structure results from the issuance of founding shares equal to nine million four hundred thousand (9,400,000), an initial public offering (IPO) of one million one hundred and two thousand shares (1,102,000) at twenty-five cents ($0.25), the acquisition of a technology asset of two million six hundred thousand shares (2,600,000) and thirty-four million seven hundred and sixty-five thousand, and ninety-seven (34,765,097) shares for operations (including consulting, management and debt settlement).  The Company was originally formed to manage energy related assets and has changed its scope to sustainable energy development. The Company incorporates new technologies to provide sustainable/green energy sources and power production. It has now focused completely on waste optimization converting municipal waste streams 100% into useable products without emissions.  Our financial statements are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles (U.S. GAAP) by management.  In this annual report, unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to "common shares" refer to the common shares in our capital stock.  Item 1. Business.  Our History and Business  We formed TransAct Energy Corp. as a Nevada corporation on March 15, 2006. Although our business plan called for the securing and managing of any energy leasehold, the Company focused on securing producing and non-producing oil and gas leases in Alberta, Canada. On September 7, 2006 we acquired a one hundred percent (100%) interest in a Petroleum and Natural Gas Lease, from the province of Alberta, Canada for twelve thousand and fifty-one dollars ($12,051), the MedHat Project. We did not develop this resource. We looked to expand our holdings in Alberta through acquisitions and joint ventures for the following two years. We have since allowed this lease to lapse and moved away from this focus.  3    A distinct trend appeared in the energy sector supporting sustainable energies. About the same time in late 2008 the Company was introduced to Dr. Mory Gomshei one of the worlds leading geothermal experts and two of his geothermal power (using superheated water from the earth to turn turbines) projects in British Columbia, Canada. The acquisition, resource evaluation, exploration process and administration for geothermal are very similar and in many jurisdictions come under the petroleum sector. We worked with independent companies Aqua Terra Power and Aqua Terra Geothermal through the balance of 2009 on the two geothermal power projects in British Columbia. Other than lending Aqua Terra funds no formal arrangement was entered into pending them securing drill permits on the two projects. These licenses lapsed under their original owners and were re-posted by the government for public tender; an Ontario corporation associated with Dr. Ghomshei acquired most of the original licences and have initiated drilling applications. We entered discussions with this entity in the latter half of 2011 to form a Farm-in relationship. We have put these discussions on hold pending the completion of our first operating plants in the Energy from Waste Division although we are maintaining dialogue with Dr. Gomshei as it relates to utilizing Geothermal in the plants themselves.  TransAct in mid-2009 started introducing the concept of geothermal power to markets in Western and South Asia with the plan to enter joint venture relationships to develop geothermal power projects in these areas. To enter these markets as a power producer the Company found it strategic to develop traditional carbon fuelled power projects in addition. After discussions with the Republic of Iraq regarding geothermal opportunities in Northern Iraq, the Company, together with Spectrum Energy Project Investments (a UAE power company), submitted applications to the Basra Investment Commission to develop/manage three natural gas power plants. These multi-billion dollar projects come with long-term power purchase agreements (PPA) and sovereign guarantees and our application through Spectrum was shortlisted. We were unsuccessful in completing our acquisition of 50% of Spectrum and the initial offering lapsed.  On August 31, 2009, TransAct Energy completed and closed its initial public offering at twenty-five cents ($0.25) per share selling one million one hundred and two thousand shares (1,102,000) for a total capital raise of two-hundred and seventy four thousand three hundred and ninety-eight dollars ($274,398 USD). The majority of these funds were placed with Aqua Terra Power as convertible notes to secure and develop the four (4) geothermal licenses in British Columbia, Canada; the balance was used to pay the costs of the offering and a small amount went to working capital.  The Company was approved for listing on the OTCBB in December 2009 and received the trading symbol TEGY.  Throughout 2010 we laid the ground work for large power projects in South Europe, Asia and Africa; smaller projects for solar, waste to energy and hydrogen fuel cells specifically in India.  We worked to secure markets for geothermal, new solar photo-voltaic, waste to energy and hydrogen fuel cell generators.  Joint development agreement negotiations took place in December 2010 clearing the way for Transact to enter into one major project in South East Asia in 2011.  This project was stalled throughout 2011 because TransAct was unable to secure the funds it required to proceed.  The 2011 year was frustrated with the companys inability to collect raised or earned funds into the companys bank account. Thus projects, joint ventures and previous efforts were postponed or lost permanently. While we did maintain the companys trading status the year was taken up with collection efforts and supporting business relationships while in limbo. We did initiate discussions on new waste to energy technologies to leverage the work we had done previously in this sector.  The Companys 2012 efforts were focused on building out its Energy from Waste (EfW) division, TransAct Energy from Waste.  We completed a Business Plan for this division and entered a Joint Development Agreement with the owners of a proprietary emissions free EfW technology that has been operating a 20 tonne per day plant for the past two years. We reconnected with clients in India and Brazil for future EfW opportunities.  From the second quarter through to the end of 2012 we worked to raise the necessary funds to build a municipal scale plant (500 tonnes per day) in Scotland.  2013 continued as a building year for both the company and its EfW division. We completed the acquisition of our EfW technology from the Scottish Inventor and brought him on as a long term member of our team. We successfully negotiated a relationship with the international firm Fichtner Consulting Engineers in order to complete the certification of our plants going forward. We identified suppliers of waste for the proposed United Kingdom plants, initiated the relationships for the uptake of the Natural Gas and Electricity in the United Kingdom and tentatively sourced the capital required for the first plant in the United Kingdom. Globally we negotiated the intent to build a plant in Mexico that includes the required equity and waste. In Brazil we initiated a relationship to create a green energy fund in order to grow both the market in Brazil and the other strategic areas of South America. Initial talks have taken place with potential development partners for a few of the major Brazil markets pending the success of the UK or Mexico plant. In the USA and China we are in talks with potential development partners that can deliver significant capital/waste and see our technology as the best solution going forward.  4    Throughout 2014 TransAct worked to finalize the engineering review and agreements necessary to develop the first Zero Emissions Waste Optimization PlantsTM (Z.E.W.O.P.TM) in Puebla, Mexico. The plant under design is capable of processing 1320 metric tons per day of Municipal Solid Waste (MSW) and is estimated to cost approximately three hundred million dollars. In late November Fichtner Consulting Engineers reported they believed the Z.E.W.O.P.TMwas able to process the MSW 100% into useable products without emissions. The Fichtner report provided TransAct the opportunity to submit the Waste Supply Agreement to the Municipality of Puebla, prepare off-take agreements for interested buyers of the Z.E.W.O.P.TMproducts and formalize the share purchase agreement with the Puebla Waste Consortium (PWC).  PWC intends on providing 30% of the capital required to build the Z.E.W.O.P.TM , while TransAct negotiates third party lenders for the remaining 70% of the cost through debt instruments.  Because of the specialized nature of many of the Z.E.W.O.P.TMcomponents we initiated some of the equipment procurement As a result we entered a design/supply agreement for our proprietary reactors with a specialized engineering firm in Australia.  The Company formed subsidiary corporations in Ireland and Mexico. In Ireland we established the wholly owned subsidiary TransAct Energy Global Ltd, this company will in turn wholly own each national subsidiary. The first national subsidiary of TransAct Global is TransAct Energy Mexico which will own a majority shareholding of each holding company that owns a Z.E.W.O.P.TM like Puebla ZEWOP 1.  During the year as per a directors resolution TransAct set out to raise corporate operating capital for the next fourteen months, budgeted at $3.6 Million. TransAct contracted the same through Solo Investments of Brazil. Solo is the same company building an independent investment fund to finance the construction of multiple Z.E.W.O.P.TMs in Brazil. To date Solo has not released these funds, but intends to in the first quarter of 2015. Although energy products (fuels) are part of the product matrix of the Z.E.W.O.P.TMTransActs focus through 2014 broadened from Waste to Energy to Waste Optimization.  Business Strategy  Puebla is our opportunity to demonstrate to Mexico and the World a municipal scale solution to managing waste without emissions and land filling. All efforts throughout the first quarter of 2015 will be directed to breaking ground in Puebla. TransAct intends on finalizing the Waste Supply Agreement, our partnership with PWC, securing 75-80% of our product sales under off-take agreements and completing the engineering review of our selected site for the plant in Puebla. These agreements completed should lead to the financing commitment we have been seeking for the $200 Million (+/-) debt portion of the Puebla ZEWOP 1. In the second quarter we should be in a position to complete the Puebla Z.E.W.O.P.TMbuilding/plant design and permit/permission application process. Simultaneously we intend to award an EPC contract and its related subcontracts. TransAct hopes to establish manufacturing of our proprietary reactors in Mexico in order to supply the demand for both Mexico and the USA.  Subject to our funding draw down schedule and the permit/permission process we intend on constructing the Z.E.W.O.P.TMbuildings in the third quarter. Provided all equipment manufacturers can supply their components we intend on assembling the plant by the end of the year and initiating commissioning early 2016.  Once TransAct is confident the development of the Puebla ZEWOP 1 is well underway it will proceed with the scheduling and planning of additional plants. These will include the second Puebla Z.E.W.O.P.TM and our first European Z.E.W.O.P.TM.  South America, including Brazil and now Argentina has generated multiple opportunities for Z.E.W.O.P.TMand the capital required developing those opportunities. We intend on continuing to work these opportunities in order to secure a foothold in these markets.  Although we have been approached to build in the United States we feel the market is best approached when the Puebla ZEWOP 1 is fully operational in order to garner EPA and individual state support. This will insure a smoother entry into the US market, having said that once we break ground we will make sure major municipalities throughout the US and Canada are aware of our process so we get on the technology review lists.  Besides finding capital for individual projects, until such time as the first revenues from operations come in, our corporate operations will continue to be funded by raising money through private placements or public offerings. We anticipate bringing on an expanded management team to oversee our operational growth throughout this year and plan on raising additional capital as required. The first $3.6 Million of this budgeted capital should come in the first quarter of 2015.  Markets and Customers  The markets for waste optimization, the complete processing of waste into useable products/commodities without emissions or land-filling are global. Countries around the world are adopting standards that will reduce green house gas emissions and are promoting better use of resources, ultimately seeking freedom from foreign petroleum. The TransAct Z.E.W.O.P.TM provides these markets with an emissions free solution utilizing their waste and turning it into products, including fuels that can be used in these domestic markets.  5    We currently have discussions and or contract negotiations with entities in Argentina, Brazil, Canada, China, Europe, Mexico and USA. Europe is the most advanced market with legislation in place targeting zero landfills, zero emissions within a few short years. The current Z.E.W.O.P.TM design for mass production has a plant size processing capacity of approximately 1320 tonnes per day of raw municipal solid waste (based on 2 Kgs per day per person, approximately 660,000 people in North America slightly less in Europe).  Our target service customers are corporations or municipalities with municipal solid waste, plastic, tires or medical waste as these are the most profitable waste streams. However we can process any carbon based waste stream including sewage and agricultural.  Our target Z.E.W.O.P.TM product customers are current manufacturers of fuels for airlines, shipping companies, bus companies, trucking companies or fuel retailers requiring direct blend green fuels to meet legislated targets.  The EU 20/20 legislation started on January 1st of this year it requires a 20% green fuel blend by 2020. It creates customers needing a green fuel that can blend with existing refined fuels. Any airplane or ship landing in the EU will need 15% of its fuel to be green starting this year we anticipate being able to use our fuels going forward in this capacity upon EU certification.  Our customers include friction product manufacturers (brake pads, clutch plates, sanding disks) and wood product manufacturers (plywood, particle board, OSB etc) that utilize phenol resins in their manufacturing process.  We target manufacturers of biodegradable plastics and pharmaceuticals for our Levoglucosan.  Tire and rubber manufacturers, lithographers and printers requiring high quality carbon black are customers. Waxes for the cosmetic industry, paraffin waxes for a variety of other uses including candles, along with high grade lubricating oils are Z.E.W.O.P.TM products. We produce fertilizers for the agricultural industry, a brick mix for the construction industry, a variety of reclaimed metals, and purified (distilled) water. Acetic acid and furfural are manufactured for industrial chemical manufacturers. We have a diverse mix of products and potential customers.   Employees  At December 31, 2014, the Company has a combined CEO/CFO and a SVP Technology under contract with everyone else required by the company being fulfilled by consultants on a demand basis. Going forward we have pending agreements for a COO, SVP Business Development, VP Operations South America, VP Operations Mexico & Central America, VP Operations Europe and a VP Operations USA.  As the company ramps up the Z.E.W.O.P.TMin Puebla, Mexico it anticipates bringing on 50 employees in this subsidiary.  The Company did not experience any labour disputes or labour stoppages during the current fiscal year.  Principal Products  The Companys principal products are carbon black, phenol resins and Levoglucosan making up approximately 70% of our proposed revenue. Waxes account for another 15% while fuels represent 6%.  Sources and Availability of Raw Materials  The raw material for the Z.E.W.O.P.TM is municipal solid waste (MSW) better known as trash or garbage. Garbage is readily available in every municipality on the planet with only a modest percentage committed to reprocessing, the majority is land-filled or incinerated. Alternatives to MSW include medical waste, agricultural waste, and carbon based industrial waste.  Seasonality of Business  Waste from human activities is generated 365 days a year with slight seasonal variations occurring in MSW. Our facilities are designed to run every day of the year.  Industry Practices/Needs for Working Capital  The Company is heavily involved in development operations; therefore high levels of working capital will be committed, either directly or indirectly to the construction efforts. After a Z.E.W.O.P.TM becomes commercially operational, the needs of working capital are expected to be low. The Company is expecting to be significantly involved in development activities for the next 5 to 10 years.  6    Dependence on Few Customers  The waste being supplied to each Z.E.W.O.P.TM comes from hundreds of thousands of residence of a city; however the contract is awarded by one customer, the city in question. Heavy dependency on one customer for the feedstock is mitigated by the form of agreement, long-term and guaranteed provided we stay operational.  Ultimately, the market for our products is vast; however, the numbers of entities that can physically, logistically and economically purchase the commodity in large quantities in our area of operations are limited. The Companys primary revenues should originate from carbon black (30 %+) and phenol resin (27 %+) sales. Currently, the Company has interest in these products and others from three multi-national corporations. Again, the only mitigation from the risk of only a few customers is their credit-worthiness, a guaranteed long term contract, with no out, unless we do not perform.  We do have the alternative of building up a multitude of small order customers over time.   Competitive Conditions  The interest in the waste to energy sector has continued to grow as have the amounts of garbage.  Every government on the planet is faced with these growing amounts of garbage and the mandate to use it as a resource rather than bury or burn it.  The demand for sustainable energy continues to increase almost everywhere on the planet at the same time. Climate changes affect the demand for heating and cooling and the lack of rain in certain areas impacts on the ability to produce hydro-electricity. Political instability or the threat there of, in oil producing regions sends countries that have petroleum based economies scrambling for alternatives. Economic instability impacts on many countries abilities to import energy causing them to look within their own borders for energy that provides autonomy.  Finally the pressure is on all nations to look at and change the environmental impact of their waste.  Each product we produce is made by reprocessing waste that we are paid to receive, making the resulting product green and cheaper. Our production process has no emissions or environmental impact compared to competitive products that come from crude oil and natural gas. Because our raw material is garbage we are not subjected to market fluctuations and can consistently maintain our cost of goods compared to our competitors. The finished products are produced at much lower costs than our competitors giving us a natural advantage going forward.  Any technology that can produce clean energy from waste in a cost effective manner has a competitive advantage in the complex matrix of sustainable energy production. There have been no emissions free and cost effective energy from waste technologies to handle the ever growing waste. So governments have settled for incineration with scrubbers that remove the pollutants to established levels. The new emission targets being established for waste going forward, limits the competition. TransActs Energy from Waste technology at present will be the only technology capable of meeting the future conditions of competition in this arena.  Availability of resources, upfront capital and customers willing to pay for the resulting products, determine the generation resource. In markets where they have resources but not expertise or upfront capital the field of competition opens up for those able to build, own, and operate the facility at a profit over the long-term.  The Company believes that the combination of the technologies emissions free status, low operating costs, ability to process all waste streams into useable products with full carbon capture and a low "full life" cost will allow it to successfully compete for long-term waste processing and green product supply agreements globally.  Factors that can influence the overall market for our products include some of the following:  ·number of market participants buying and selling green products including fuels;·environmental regulations that impact us and our competitors;·availability of production tax credits and other benefits allowed by tax law;·relative ease or difficulty of developing and constructing new facilities; and·credit worthiness and risk associated with buyers.  Environmental Compliance   The TransAct Z.E.W.O.P.TM already meets the European Union Environmental Protection Agency emission free standards. The plants do not incinerate so there are no flue gases and no ash, all waste delivered to the plant is converted to useable products.  The incoming waste is maintained in-doors under cover, at three-day processing levels, to avoid any possible nuisance.  7    The storage systems for fuels produced on site pending shipment meet or exceed regional standards for safety and environmental impact.  All known environmental issues in Z.E.W.O.P.TM have been identified and solutions obtained that will mitigate these issues beyond established compliance.   Available Information  We will be making available in the near term,  through our Internet website at http://www.transactenergycorp.com, our annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as soon as reasonably practicable after such material is electronically filed with or furnished to the SEC. Information on our website is not incorporated into this report and is not a part of this report.  All material press releases are disseminated through a North America wide news wire service and published on our website and twitter feed (transactenergycorp@transactenergyc).  Governmental Regulation  Although we intend to comply with all applicable laws and regulations, we cannot assure you that we are in compliance or that we will be able to comply with all future laws and regulations. Additional national or regional legislation, or changes in regulatory implementation, may limit our activities in the future or significantly increase the cost of regulatory compliance. If we fail to comply with applicable laws and regulations, criminal sanctions or civil remedies, including fines, injunctions, or seizures, could be imposed on us. This could have a material adverse effect on our operations.  The business of industrial plant development and operation is subject to substantial regulation under governmental laws relating to the development, upgrading, marketing, pricing, taxation, and distribution of our products and other matters. Amendments to current laws and regulations governing development and operations of industrial plants could have a material adverse impact on our business. In addition, there can be no assurance that income tax laws, royalty regulations and government incentive programs related to our industry generally, will not be changed in a manner which may adversely affect our progress and cause delays, inability to develop or abandonment of these interests.  Permits, leases, licenses, and approvals are required from a variety of regulatory authorities at various stages of development and operation of industrial projects. There can be no assurance that the various government permits, leases, licenses and approvals sought will be granted in respect of our activities or, if granted, will not be cancelled or will be renewed upon expiry. There is no assurance that such permits, leases, licenses, and approvals will not contain terms and provisions which may adversely affect our development and operating activities.  The development and operations of our proposed projects are or will be subject to stringent federal, state, provincial and local laws and regulations relating to improving or maintaining environmental quality. Environmental laws often require parties to pay for remedial action or to pay damages regardless of fault. Environmental laws also often impose liability with respect to divested or terminated operations, even if the operations were terminated or divested many years ago.  The development activities and operating programs on our proposed and future projects are or will be subject to extensive laws and regulations governing, development, production, imports, taxes, labor standards, occupational health, waste disposal, protection and remediation of the environment, protection of endangered and protected species, plant safety, toxic substances and other matters. Power development and operations are also subject to risks and liabilities associated with pollution of the environment and disposal of waste products. Compliance with these laws and regulations will impose substantial costs on us and will subject us to significant potential liabilities.  Our business is subject to various federal, provincial, state and local laws and governmental regulations that may be changed from time to time in response to economic or political conditions. TransAct Energy Corp. in each jurisdiction is subject to regulation in respect of the production, sale and distribution of energy in the form of fuel or electricity.   TransAct will be required to obtain various government approvals for construction of future facilities.  For project development TransAct will hire consulting and engineering services for site development, design, air quality, cooling water reuse, permitting, environmental engineering and regulatory compliance.  8    Environmental Credits  As a future green product producer, environmental-related credits, such as renewable energy credits or carbon credits may become available for sale to power companies (to allow them to meet their green power requirements) or to businesses which produce carbon based pollution. If available, these credits will belong exclusively to us or our joint venture, and may provide an additional source of revenue.  Item 1A. Risk Factors.  General Business Risks  We are a new business with limited operating history and making an investment in TransAct is risky. If we are unable to successfully identify and secure energy projects or energy conservation projects, then we will not be successful as a business. It will be difficult for you to evaluate an investment in our stock since our operating history is limited to developing our business plan, obtaining 100% interest in a petroleum and natural gas lease in Alberta, Canada referred to as the MedHat Project and bidding on multiple energy projects globally. As a young Company, we are especially vulnerable to any problems, delays, expenses and difficulties we may encounter while implementing our business plan. We have not proven the essential elements of profitable operations and you will bear the risk of complete loss of your investment if we are not successful.  Our future performance may depend on our ability to establish that a particular energy technology is economically sustainable.Sustainable energy technology development and operations involve a high degree of risk. The execution of our business plan is generally, dependent upon the existence of economically usable resources. Expansion of the production of energy from our technology interests is not certain and depends on successful production in quantities and containing sufficient marketable energy economically for future plants.  We have a need for substantial additional financing and will have to significantly delay, curtail or cease operations if we are unable to secure such financing.The Company requires substantial additional financing to fund the cost of acquiring and developing energy projects. The Company also requires funds for other operating activities and to finance the growth of our business, including the construction and commissioning of sustainable energy facilities. We may not be able to obtain the needed funds on terms acceptable to us or at all. Further, if additional funds are raised by issuing equity securities, significant dilution to our current shareholders may occur and new investors may get rights that are preferential to current shareholders. Alternatively, we may have to bring in joint venture partners to fund further development work, which would result in reducing our interests in the projects.  We may be unable to obtain the financing we need to pursue our growth strategy in energy production, which may adversely affect our ability to expand our operations.When we identify an energy project that we may seek to acquire or to develop, a substantial capital investment will be required. Our continued access to capital, through project financing or through a partnership or other arrangements with acceptable terms, is necessary for the success of our growth strategy. Our attempts to secure the necessary capital may not be successful on favorable terms, or at all.  Market conditions and other factors may not permit future project and acquisition financing on terms favorable to us. Our ability to arrange for financing on favorable terms, and the costs of such financing, are dependent on numerous factors, including general economic and capital market conditions, investor confidence, the continued success of current projects, the credit quality of the projects being financed, the political situation in the jurisdiction in which the project is located and the continued existence of tax laws which are conducive to raising capital. If we are unable to secure capital through partnership or other arrangements, we may have to finance the projects using equity financing which will have a dilutive effect on our common stock. Also, in the absence of favorable financing or other capital options, we may decide not to build new plants or acquire facilities from third parties. Any of these alternatives could have a material adverse effect on our growth prospects and financial condition.   It is very costly to place plants into commercial production.Before the sale of any energy can occur, it will be necessary to construct a gathering and separating system, a plant a delivery system and considerable administrative costs would be incurred To fund expenditures of this magnitude, we may have to find a joint venture participant with substantial financial resources. There can be no assurance that a participant can be found and, if found, it would result in us having to substantially reduce our interest in the project.  We may be unable to realize our strategy of utilizing the tax and other incentives available for developing sustainable energy projects to attract strategic alliance partners, which may adversely affect our ability to complete these projects.Part of our business strategy is to utilize tax and other incentives available to developers of sustainable energy plants to attract strategic alliance partners with the capital sufficient to complete these projects. Many of the incentives available for these projects are new and highly complex. There can be no assurance that we will be successful in structuring agreements that are attractive to potential strategic alliance partners. If we are unable to do so, we may be unable to complete the development of our energy projects and our business could be harmed.  9      We may not be able to manage our growth due to the commencement of operations which could negatively impact our operations and financial condition. Significant growth in our operations will place demands on our operational, administrative and financial resources, and the increased scope of our operations will present challenges to us due to increased management time and resources required and our existing limited staff. Our future performance and profitability will depend in part on our ability to successfully integrate the operational, financial and administrative functions of our projects and other acquired properties into our operations, to hire additional personnel and to implement necessary enhancements to our management systems to respond to changes in our business. There can be no assurance that we will be successful in these efforts. Our inability to manage the increased scope of operations, to integrate acquired properties, to hire additional personnel or to enhance our management systems could have a material adverse effect on our results of operations.  If we incur material debt to fund our business, we could face significant risks associated with such debt levels.We will need to procure significant additional financing to construct, commission and operate our plants in order to generate and sell energy. If this financing includes the issuance of material amounts of debt, this would expose the Company to risks including, among others, the following:  · a portion of our cash flow from operations would be used for the payment of principal and interest on such indebtedness and would not be available for financing capital expenditures or other purposes; · a significant level of indebtedness and the covenants governing such indebtedness could limit our flexibility in planning for, or reacting to, changes in our business because certain activities or financing options may be limited or prohibited under the terms of agreements relating to such indebtedness; · a significant level of indebtedness may make us more vulnerable to defaults by the purchasers of electricity or in the event of a downturn in our business because of fixed debt service obligations; and · the terms of agreements may require us to make interest and principal payments and to remain in compliance with stated financial covenants and ratios. If the requirements of such agreements were not satisfied, the lenders could be entitled to accelerate the payment of all outstanding indebtedness and foreclose on the collateral securing payment of that indebtedness, which would likely include our interest in the project.  In such event, we cannot assure you that we would have sufficient funds available or could obtain the financing required to meet our obligations, including the repayment of outstanding principal and interest on such indebtedness.  We may not be able to successfully integrate companies that we may acquire in the future, which could materially and adversely affect our business, financial condition, future results and cash flow.Our strategy is to continue to expand in the future, including through acquisitions. Integrating acquisitions is often costly, and we may not be able to successfully integrate our acquired companies with our existing operations without substantial costs, delays or other adverse operational or financial consequences. Integrating our acquired companies involves a number of risks that could materially and adversely affect our business, including:   · failure of the acquired companies to achieve the results we expect;  · inability to retain key personnel of the acquired companies;  · risks associated with unanticipated events or liabilities; and  · the difficulty of establishing and maintaining uniform standards, controls, procedures and policies, including accounting controls and procedures.  If any of our acquired companies suffer performance problems, the same could adversely affect the reputation of our group of companies and could materially and adversely affect our business, financial condition, future results and cash flow.  The success of our business relies on retaining our key personnel.We are dependent upon the services of our President and Chief Executive Officer, Roderick C. Bartlett, our Chief Financial Officer, Rod Bartlett, our SVP Technology Bruce Hutchon, our Director and COO Joe F. Dickson. The loss of any of their services could have a material adverse effect upon us. As of the date of this report, the Company has executed compensation agreements with some of these persons but does not hold key-man insurance on any of them.   The impact of governmental regulation could adversely affect our business by increasing costs for financing or development of energy plants. Our business is subject to certain jurisdictional laws and regulations, including laws and regulations on taxation, the exploration for and development, production and distribution of energy, and environmental and safety matters.  10    Environmental assessments of proposed projects carry a heightened degree of responsibility for companies and directors, officers and employees. The cost of compliance with changes in governmental regulations has a potential to reduce the profitability of operations.   Because of these jurisdictional regulations, we could incur liability to governments or third parties for any unlawful discharge of pollutants into the air, soil or water, including responsibility for remediation costs. We could potentially discharge such materials into the environment via:  ·leakage of fluids or airborne pollutants from gathering systems, pipelines, plant and storage tanks;·damage resulting from accidents during normal operations; and·explosions.  Because the requirements imposed by such laws and regulations are frequently changed, we cannot assure you that laws and regulations enacted in the future, including changes to existing laws and regulations, will not adversely affect our business by increasing cost and the time required to explore and develop geothermal projects.  Industry competition may impede our growth and ability to enter into energy purchase agreements on terms favorable to us, or at all, which would negatively impact our revenue. The electrical power generation and fuel production industry is highly competitive and we may not be able to compete successfully or grow our business. We compete in areas of pricing, grid access and markets. The industry in many jurisdictions is complex as it is composed of public utility districts, cooperatives and investor-owned energy companies. Many of the participants produce and distribute electricity and fuels. Their willingness to purchase electricity or fuel from an independent producer may be based on a number of factors and not solely on pricing and surety of supply. If we cannot enter into energy purchase agreements on terms favorable to us, or at all, it would negatively impact our revenue and our decisions regarding development of additional plants.   Actual costs of construction or operation of a plant may exceed estimates used in negotiation of purchase and financing agreements.If the actual costs of construction or operations exceed the model costs, the Company may not be able to build the contemplated plants, or if constructed, may not be able to operate profitably. The Companys financing agreements will typically provide for a priority payback to our partner. If the actual costs of construction or operations exceed the model costs, we may not be able to operate profitably or receive the planned share of cash flow and proceeds from the project.  There are some risks for which we do not or cannot carry insurance.Because our current operations are limited in scope, the Company carries property and, public liability insurance coverage as needed, but does not currently insure against any other risks.   As its operations progress, the Company will acquire additional coverage consistent with its operational needs, but the Company may become subject to liability for pollution or other hazards against which it cannot insure or cannot insure at sufficient levels or against which it may elect not to insure because of high premium costs or other reasons. In particular, coverage is not available for environmental liability or earthquake damage.  Our officers and directors may have conflicts of interests arising out of their relationships with other companies.Several of our directors and officers serve (or may agree to serve) as directors or officers of other companies or have significant shareholdings in other companies. To the extent that such other companies may participate in ventures in which the Company may participate, the directors may have a conflict of interest in negotiating and concluding terms respecting the extent of such participation. From time to time, several companies may participate in the acquisition and development of properties thereby allowing for their participation in larger programs, permitting involvement in a greater number of programs and reducing financial exposure in respect of any one program. It may also occur that a particular company will assign all or a portion of its interest in a particular program to another of these companies due to the financial position of the company making the assignment.  Risks Relating To the Market for Our Securities  A significant number of shares of our common stock are eligible for public resale. If a significant number of shares are resold on the public market, the share price could be reduced and could adversely affect our ability to raise needed capital. The market price for our common stock could decrease significantly and our ability to raise capital through the issuance of additional equity could be adversely affected by the availability and resale of such a large number of shares in a short period of time. If we cannot raise additional capital on terms favorable to us, or at all, it may delay our exploration or development of existing properties or limit our ability to acquire new properties, which would be detrimental to our business.  11     Because the public market for shares of our common stock is limited, investors may be unable to resell their shares of common stock.There is currently only a limited public market for our common stock on the OTCBB in the United States, and investors may be unable to resell their shares of common stock. The development of an active public trading market depends upon the existence of willing buyers and sellers that are able to sell their shares and market makers that are willing to make a market in the shares. Under these circumstances, the market bid and ask prices for the shares may be significantly influenced by the decisions of the market makers to buy or sell the shares for their own account, which may be critical for the establishment and maintenance of a liquid public market in our common stock. We cannot give you any assurance that an active public trading market for the shares will develop or be sustained.  The price of our common stock is volatile, which may cause investment losses for our shareholders.The market for our common stock although newly initiated is assumed to be highly volatile. The trading price of our common stock on the OTCBB is subject to wide fluctuations in response to, among other things, quarterly variations in operating and financial results, and general economic and market conditions. In addition, statements or changes in opinions, ratings, or earnings estimates made by brokerage firms or industry analysts relating to our market or relating to our Company could result in an immediate and adverse effect on the market price of our common stock. The highly volatile nature of our stock price may cause investment losses for our shareholders.  We do not intend to pay any cash dividends in the foreseeable future.We intend to reinvest any earnings in the development of our projects. Payments of future dividends, if any, will be at the discretion of our board of directors after taking into account various factors, including our business, operating results and financial condition, current and anticipated cash.  Our stock is subject to the Penny Stock rules, which impose significant restrictions on broker-dealers and may affect the resale of our stock.A penny stock is generally a stock that:  ·is not listed on a national securities exchange or NASDAQ,·is listed in the "pink sheets" or on the NASD OTC Bulletin Board,·has a price per share of less than $5.00 and·is issued by a company with net tangible assets less than $5 million.  The penny stock trading rules impose additional duties and responsibilities upon broker-dealers and salespersons effecting purchase and sale transactions in common stock and other equity securities, including:  ·determination of the purchaser's investment suitability,·delivery of certain information and disclosures to the purchaser, and·receipt of a specific purchase agreement before effecting the purchase transaction.  Many broker-dealers will not effect transactions in penny stocks, except on an unsolicited basis, in order to avoid compliance with the penny stock trading rules. In the event our common stock becomes subject to the penny stock trading rules,  ·such rules may materially limit or restrict the ability to resell our common stock, and·the liquidity typically associated with other publicly traded equity securities may not exist.  Because of the significant restrictions on trading penny stocks, a public market may never emerge for our securities. If this happens, you may never be able to publicly sell your shares.  Item 2. Properties.  Our principal mailing address is Suite 207 - 23705 IH 10 West, San Antonio, TX, 78257 United States.  Our telephone number is 210-888-0785.  Item 3. Legal Proceedings.  Our Company is not a party to any bankruptcy, receivership or other legal proceeding.  Terra Energy Corp. whos President Chris van Vliet was a shareholder of TransAct through his legal council Palkowski & Company threatened in October 2010 to take legal action against TransAct Energy Corp. in regards to a $10,000 convertible promissory note. Terra Energy demanded conversion of the note to which TransAct Energy decided under the terms of the note they were not entitled to and instead issued them a cheque for payment in full which was promptly refused by Terra Energy. Since this time their legal council Mr. Robert J. Palkowski is no longer practising law and no further action has been taken. Terra Energy has verbally represented that they will only be satisfied with an issuance of common stock as demanded. We have had a legal review of the note in question and will defend the Company vigorously from any further claim.  12    Aqua Terra Power Corp. whos president Chris van Vliet was a shareholder of TransAct Energy Corp. borrowed money from TransAct Energy in regards to geothermal projects in British Columbia, Canada. At the time TransAct was contemplating acquiring Aqua Terra Power if they were successful in their geothermal exploration. Aqua Terra was not successful and any contemplated relationship was terminated. Since that time the Aqua Terra notes payable to TransAct Energy, now totalling $306,766.86 (no further interest is accrued on this loan because of its status) matured and were demanded. No payment has been made and to the best of our understanding they have no ability to repay this debt. We will take legal action if the cost of said action can be justified.  Mr. Shahhid Vohra was under a two year contract with TransAct Energy Corp. this relationship was terminated by Vohra and accepted effective the end of September 2010. Vohra threatened legal action after making a claim against the Company of $44,263.66 through his council Robert J. Palkowski. The Company disagreed with the claim and instead claimed back that Vohra owed them $26,052.80. The Company intends on pursuing these funds.   Vohra to date has taken no further action other than disparaging the Company to clients Vohra was aware of. The Company is assessing if any material damage has occurred.  Apollo Financial Management Group, LLC and their attorney Robert Cook accepted escrow funds from TransAct Energy in the amount of $15,000. The terms of the agreement with Apollo were never met and TransAct terminated the agreement and demanded repayment of the escrow funds. To date there has been no return of the funds nor any response to our claims so the Company will evaluate its next legal steps in collecting its money.  Item 4. Submission of Matters to a Vote of Security Holders.  None.   PART II  Item 5. Market for Registrants Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.  The Company first traded on February 24, 2010 on the Over-The-Counter Bulletin Board (the OTCBB) under the trading symbol TEGY. Future trading prices of our common shares will depend on many factors, including, among others, our operating results and the market for similar securities.  As of December 31st, 2014, there are 60 active shareholders of record holding 34,692,722 restricted shares of the Companys common stock and 13,174,375 unrestricted shares eligible for trading of which 11,393,487 are considered active shares. The total issued and outstanding is 47,867,097shares of common stock. The holders of common stock are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders. Holders of the common stock have no pre-emptive rights and no right to convert their common stock into any other securities. There are no redemption or sinking fund provisions applicable to the common stock.  We have not paid, nor declared, any dividends since our inception and do not intend to declare any such dividends in the foreseeable future. Our ability to pay dividends is subject to limitations imposed by Nevada law. Under Nevada law, dividends may be paid to the extent that a corporations assets exceed its liabilities and it is able to pay its debts as they become due in the usual course of business.  Item 6. Selected Financial Data.  Not Applicable.  Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations.  In order to leverage the waste optimization technology the Company acquired in 2013 it needed to build the first municipal scale zero emissions waste optimization plant (Z.E.W.O.P. TM) The company spent the year working on the components required to develop the first municipal scale, Z.E.W.O.P. TM in Puebla, Mexico. These components included a long term waste supply of 1320 tonnes per day of municipal solid waste, 30% of the equity required to build the plant approximately $100 Million USD, a financing for the balance of the plant-cost approximately $225 Million, an acceptable place to build the plant, a recognized engineering firm that could verify the plant could process the municipal waste 100% into useable products without emissions and presales of the products to credit worthy buyers.  To that end, we formed an initial share-purchase agreement on January 30, 2014 with a consortium from Puebla that was willing to provide the required equity and could assist in many of the other components. This group provided $300,000 to the Company for a phase one engineering review to be completed by Fichtner Consulting Engineers. The review was completed at the end of November and stated the Z.E.W.O.P. TM would be capable of processing the contemplated 1320 tonnes of municipal solid waste 100 % into eighteen (18) useable products/commodities without emissions to land, air or water.  13    The review process required us to contract a specialty engineering firm that will design/build our proprietary reactors specific to the Puebla plant in order to confirm the reactor inputs and outputs.  The overall contract is estimated at five-hundred and twelve thousand dollars plus material and fabricating costs.  The company formed a wholly owned subsidiary TransAct Global Limited in Ireland and had it form a wholly owned subsidiary TransAct Mexico which in turn formed a subsidiary Puebla ZEWOP 1, which will hold the Z.E.W.O.P.TMin Puebla. It is this latter company that we will sell common shares of to, the Puebla consortium.  The incorporations and the pre-development work are reflected on our balance sheet under current assets and other non-current assets. The engineering, accounting and legal works resulted in some additional accounts payable.  Besides the initial three-hundred thousand dollars from the consortium the working capital required throughout the year came through short-term notes all of which were converted to common stock of the Company. This capital is reflected on the balance sheet as an increase in common stock and capital in excess of par value.  Financing efforts for the Z.E.W.O.P.TM in Puebla, Mexicoalthough progressing, did notresult in material contracts and as such did not impact on our financial results. Market development efforts will not be material and reflected in our financial statements until bonafide agreements are monetized.  Plan of Operation  For the 2015 year the Companys focus is to:  1) Secure working capital for the Company significant enough to maintain accounts payable at a current status and fund day to day corporate costs through to cash-flow from first operations, including expansion of corporate management team in order facilitate global dissemination of Z.E.W.O.P. TM;  2) Complete the development of the Z.E.W.O.P. TM in Puebla, Mexico as follows; a) Finalize waste supply agreement, share purchase, Product Purchase Agreements; b) Secure all required permits and permissions; c) Finalize debt portion of plant cost; d) Complete EPC contracts and supplier agreements; e) Initiate site development, construction and assembly of plant.  3) Initiate second Puebla, Mexico Z.E.W.O.P. TM contracts in order to launch development in 2016.  4) Continue with European market entrance towards end of 2015  Results of Operations  Period from January 1, 2014 to December 31, 2014  We generated zero ($0 USD) in revenue from January 1, 2014 to December 31, 2014. For the year ended December 31, 2014 our general administrative expenses were $504,163. Currently our general administrative expenses consist primarily of management fees (59%) and legal fees (21%).  During 2014 we recorded interest expense of $322,878 as a result of notes payable. As a result, we have reported a net loss of $827,041 for the period ended December 31, 2014. Our total net loss from inception on March 15, 2006 through December 31, 2014 was $(4,942,202).  Stock-Based Compensation Costs  Stock-based compensation represents 9.1% of the Companys operating expenses for the fiscal year ended December 31, 2014 however this included stock issued for services provided in 2013 and 2014. The stocks are a part of our annual executive compensation plan, and are issued to obtain, retain and motivate our directors, executives and employees.  The company agreed to convert compensation accrued previous to 2014 in the amount of $397,886.26 and $33,333.74 accrued in 2014.  The results were reflected in a reduction in Compensation Payable and an increase in the value of shares issued and capital in excess of par value.  14    Liquidity and Capital Resources  At December 31, 2014 we had total assets of $335,973. Our Current assets are $192,240. We have completely written down our software. Current liabilities at December 31, 2014 totalled $2,743,466 they consisted of accounts payable in the amount of $315,203, accrued interest of $1,179,230, compensation payable in the amount of $1,000,000, notes payable net in the amount of $249,033.  We filed a registration statement on Form S-1 with the Securities and Exchange Commission to register up to 2,000,000 shares of common stock for sale at a price of $.25 per share for a total of up to $500,000. The registration statement was declared effective on December 12, 2008. We exceeded the minimum of our offering of $250,000 on or before August 31, 2009 and subsequently closed the offering. We issued a total of 1,102,000 shares under our offering of $0.25 per share to raise a total of $274,398. The funds were used as per the prospectus to cover the offering costs and to secure additional business for our operations.  The Company has relied on short term notes (12 months or less) with a conversion to common stock provision and offshore restricted stock sales to fund its corporate activities over the past year.  This has resulted in more shareholders which creates the potential for greater liquidity going forward however it also provides greater dilution of individual holdings.  The Company has limited capability without significant assets or earnings to raise debt. The development of Z.E.W.O.P. TMthe core business of the Company will rely on debt markets. In order to attract this capital the Company will have to secure long term waste supply contracts and long term product sales contracts both from high credit worthy entities. The Company will have to agree to encumber the assets associated with each Z.E.W.O.P. TMand all net revenue until the debt is retired. This arrangement will restrict the Companys ability to pay dividends to its shareholders.  Potential Acquisitions  There are no acquisitions contemplated over the next year. Going forward we may be required to acquire existing waste supply agreements in order to operate in some cities. We may also elect to acquire some of the technologies we intend on using in order to further protect the intellectual property of our Z.E.W.O.P. TM.  Critical Accounting Policies  The discussion and analysis of our financial condition and results of operations are based upon the financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these financial statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. Certain accounting policies involve judgments and uncertainties to such an extent that there is reasonable likelihood that materially different amounts could have been reported under different conditions, or if different assumptions had been made. We evaluate our estimates and assumptions on a regular basis. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for the financial statements.  Cash and Cash Equivalents  The Company considers cash deposits and highly liquid investments to be cash and cash equivalents for financial reporting presentation on the balance sheet and statement of cash flows. The Company subscribes to the accounting standards that define cash equivalents as highly liquid, short-term instruments that are readily convertible to known amounts of cash, which are generally defined investments that have original maturity dates of less than three months.  Contractual Obligations  We have material commitments for the next twelve months that include the office facilities, support staff, supporting professionals (including our accountants, lawyers and auditors) and the management compensation agreements. We will require additional capital to meet our liquidity needs. As a result, our independent auditors have expressed substantial doubt about our ability to continue as a going concern. In the past, we have relied on capital contributions from shareholders to supplement operating capital when necessary. We anticipate that we will receive sufficient contributions from shareholders to continue operations for at least the next twelve months. However, there are no agreements or understandings to this effect. We may sell common stock, take loans from officers, directors or shareholders or enter into debt financing agreements.  15    Need for Additional Financing  We estimate our upcoming operating expenses to increase substantially as we transcend from development stage to operating stage and maybe as much as $4,000,000.00 per year. We do not have any commitments for capital expenditures however we do anticipate entering into commitments to secure acquisitions. We believe we will need additional funds to cover our expenses and acquisitions for the next twelve months. Our need for capital may change dramatically as we pursue our business plan during that period. At present, we have no material understandings, commitments or agreements with respect to the acquisition of any business venture or capital commitments. Further, we cannot assure that we will be successful in consummating business opportunities on favourable terms or we will be able to profitably manage any business opportunities. Should we require additional capital, we may seek additional advances from officers, sell common stock or find other forms of debt financing.  Off Balance Sheet Arrangements  As of December 31, 2014, the Company does not have any off balance sheet arrangements.  Item 7A. Quantitative and Qualitative Disclosures About Market Risk.  Not Applicable.  Item 8. Financial Statements and Supplementary Data.  See Financial Statements following the signature page of this report.  Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure.  None  Item 9A. Controls and Procedures.  None.  Item 9A(T). Controls and Procedures.  (a)Evaluation of Disclosure Controls and Procedures. The Companys management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as amended). We are committed to maintaining disclosure controls and procedures designed to ensure that information required to be disclosed in our periodic reports filed under the Securities Exchange Act of 1934, as amended, or the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in the SECs rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate, to allow for timely decisions regarding required disclosure. In designing and evaluating our disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management necessarily is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures and implementing controls and procedures.  Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of our disclosure controls and procedures, as such term is defined under Rules 13a-15(e) and 15d-15(e) promulgated under the Exchange Act and based on the criteria established in Internal Control  Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on this evaluation, our principal executive officer and our principal financial officer concluded that our disclosure controls and procedures were effective at a reasonable assurance level as of December 31, 2014, the end of the period covered by this Report. However anticipating greater levels of business activity in the near term we expect that we will require a financial controller in order to maintain our disclosure controls and procedures. Steps have been taken to bring on this person in a timely manner.  Managements Annual Report on Internal Control over Financial Reporting.Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act). Our internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes of accounting principles generally accepted in the United States.  Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Therefore, even those systems determined to be effective can provide only reasonable assurance of achieving their control objectives.  16    Our management, with the participation of the President, evaluated the effectiveness of the Companys internal control over financial reporting as of December 31, 2014.  In making this assessment, our management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in Internal Control  Integrated Framework.  Based on this evaluation, our management, with the participation of the President, concluded that, as of December 31, 2014, our internal control over financial reporting was effective.  This annual report does not include an attestation report of the Companys registered public accounting firm regarding internal control over financial reporting. Managements report was not subject to attestation by the Companys registered public accounting firm pursuant to temporary rules of the Securities and Exchange Commission that permit the Company to provide only managements report in this annual report.  (b) Changes in Internal Control over Financial Reporting. There were no changes in the Company's internal controls or procedures over financial reporting, known to the chief executive officer or the chief financial officer that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting.  Item 9B. Other Information.  There are no further disclosures. All information that was required to be disclosed in 2014 has been disclosed.  PART III  Item 10. Directors, Executive Officers and Corporate Governance.  Identification of Directors, Executive Officers and Significant Employees  The following sets forth certain information concerning the current directors, executive officers and significant employees of our company. Each director has been elected to serve until our next annual meeting of stockholders and until his successor has been elected and qualified. Each executive officer serves at the discretion of the board of directors of our Company, and each has been elected for a 1 year term.   NAMEAGEPOSITIONRoderick C. Bartlett (1)58Chief Operating Officer acting Chief Financial Officer and Director Corporate SecretaryTina VanderHeyden (2)
Joseph F. Dickson (1) (2)63
59Director
COO, DirectorDes Biali (2)67Director(1)Member of the Compensation and Governance Committees.(2)Independent Director.  Our director and executive officer has not, during the past five years:  · had any bankruptcy petition filed by or against any business of which such individual was a general partner or executive officer, either at the time of the bankruptcy or within two years prior to that time, · been convicted in a criminal proceeding and is not subject to a pending criminal proceeding, · been subject to any order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining, barring, suspending or otherwise limiting his involvement in any type of business, securities, futures, commodities or banking activities; or been found by a court of competent jurisdiction (in a civil action), the Securities Exchange Commission or the Commodity Futures Trading Commission to have violated a federal or state securities or commodities law, and the judgment has not been reversed, suspended or vacated.  Business Experience  The following is a brief biography of our officers and directors.  Rod Bartlett. President, CEO and Director has over 38 years of experience in business development. Rod was a founding shareholder of TransAct Energy Corp. and has been instrumental in bringing it through the regulatory and business development process. Rod is heavily involved in the negotiations related to securing future business for the company. During the last decade, Rod has been active in the public markets. ActionView International (advertising), Quest Oil (oil & gas), and S2C Global Systems (water distribution) are a few of the companies that he has been instrumental in developing and taking them to the next level.  17    Des Biali (B.Sc. Electrical Engineering, P.Eng.).Director & Advisory Board Member: Des Biali has owned and operated DB Systems Inc. for the past 28 years. Prior to this, he was an Engineering Consultant with R.J. Wong and Associates Ltd., responsible for detailed engineering, design, and construction supervision of major projects. Mr. Biali has a degree in engineering, post graduate training in advanced control systems from the University of Saskatchewan, Canada and is a licensed member of the Association of Professional Engineers in British Columbia and Saskatchewan, Canada.  Joseph F. Dickson. COO, Director: Joseph Dickson was the Chief Operating Officer of Innovation Fuels, Inc. out of Syracuse, NY leading the companys bio-diesel plant operation and project development efforts from Sept. 2007 until Dec. 2009. Mr. Dickson was the Director of Entrepreneurship at Syracuse University, Syracuse, NY from Feb. 2006 to Sept. 2007, the COO, Integrated Defense Systems, Inc., Glen Rock, PA from June 2005 to Jan. 2006 and the COO, Drug Risk Solutions, LLC a drug discovery company from June 2000 to June 2005. Mr. Dickson has 38 years of business experience in new ventures, business plan execution, organizational management, and operations. He has a background in high tech product design and development, manufacturing, and sales and marketing to commercial and military markets gained while working at GE and other high tech companies. He started and successfully financed two companies in the microelectronics and information technology industries. He has an undergraduate degree in chemistry and an MBA.  Tina VanderHeyden.Director: Tina VanderHeyden is a senior level executive with 30 years diverse funding and business development experience in both the public and private sectors.  For the green technology sector, she recently completed funding and co-managed the installation of a major geothermal system and HVAC overhaul for a Heritage estate. In addition to her long term fundraising work in the education and cultural sectors, she spent several years leading research and funding for bio-tech and new technology start-ups including new business development for the Bedminster BioEnergy Technology; which uses recovered high quality Biomass to provide renewable energy.  Significant Employees Who Are Not Executive Officers  Bruce Hutchons, our SVP Technology is significant to the development of our Z.E.W.O.P. TM.  Family  There are no family relationships between the members of our board of directors.  Audit Committee and Audit Committee Financial Expert  To date, board of directors (BOD) has not formed a formal audit committee, nor has it secured an audit committee financial expert. The BOD intends to form said committee and secure said expert when it becomes operational.  Audit Committee Financial Expert  Our board of directors currently acts as our audit committee. Because we have not commenced significant operations to date, our Board of Directors is still in the process of finding an "audit committee financial expert" (as defined in Regulation S-K) and directors that are "independent" (as that term is used in Section 10A of the Securities Exchange Act).  Audit Committee  Our audit committee will oversee a broad range of issues surrounding our accounting and financial reporting processes and audits of our financial statements, including by (1) assisting our board in monitoring the integrity of our financial statements, our compliance with legal and regulatory requirements, our independent auditor's qualifications and independence and the performance of our internal audit function and independent auditors, (2) appointing, compensating, retaining and overseeing the work of any independent registered public accounting firm engaged for the purpose of performing any audits, reviews or attest services, and (3) preparing the audit committee report that may be included in our annual proxy statement or annual report on Form 10-K. We will have at least three directors on our audit committee, each of whom will be independent under the requirements of the NASDAQ Capital Market, the Sarbanes-Oxley Act and the rules and regulations of the SEC.  Other Committees of the Board  Compensation Committee.Our compensation committee will review and recommend our policies relating to compensation and benefits for our executive officers and other significant employees, including reviewing and approving corporate goals and objectives relevant to compensation of our Chief Executive Officer and other executive officers, evaluating the performance of our executive officers relative to goals and objectives, determining compensation for these executive officers based on these evaluations and overseeing the administration of our incentive compensation plans. The compensation committee will also prepare the compensation committee report that may be included in our annual proxy statement or annual report on Form 10-K. We will have at least two directors on our compensation committee, each of whom will be independent under the requirements of the NASDAQ Capital Market.  18    Nominating and corporate governance committee. Our nominating and corporate governance committee will (1) identify, review and recommend nominees for election as directors, (2) advise our board of directors with respect to board composition, procedures and committees, (3) recommend directors to serve on each committee, (4) oversee the evaluation of our board of directors and our management, and (5) develop, review and recommend corporate governance guidelines and policies. We will have at least two directors on our nominating and corporate governance committee, each of whom will be independent under the requirements of the NASDAQ Capital Market.  Code of EthicsWe have recently adopted a Code of Ethics and Business Conduct authorizing the establishment of a committee to ensure that our disclosure controls and procedures remain effective. Our Code also defines the standard of conduct expected by our officers, directors and employees.  Item 11. Executive Compensation.  We have a formal compensation agreements or employment contracts with our Chief Executive Officer and our SVP Technology. We do not currently have a compensation agreement with our BOD and our Advisory Board members, although we intend to do so in the future. All Officers, Directors and Advisory Board members are reimbursed for their expenses related to Company service. Our active officers did receive compensation for the year ended December 31, 2014. The Directors were paid $6,650 in restricted stock awards for the 2014 year on Dec 31, 2014.  SUMMARY COMPENSATION TABLE  Name and
Principal PositionYear
EndedAnnual CompensationLong Term CompensationAll Other Compensation
($)AwardsPayoutsSalary
($)Bonus
($)Other Annual
Compensation
($)Restricted Stock Awards
($)Securities Underlying Options/
SARs (#)LTIP Payouts ($)Roderick Bartlett, CEO,President and Director2014$250,000-0--0-$6,262.50-0--0-$-0-Des Biali,Director2014$-0--0--0-$6,262.50-0--0-$-0-Joe F. Dickson,Director2014$-0--0--0-$6,262.50-0--0-$-0-Bruce Hutchon,SVP Technology2014$100,000-0--0--0--0--0-$-0-Tina Vanderheyden,
Director2014$-0--0--0-$6,262.50-0--0-$-0-   19    Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.  The following table sets forth as of December  31, 2014, the name and shareholdings of each person known to us that either directly or beneficially holds more than 5% of our 47,867,097 issued and outstanding shares of common stock, $.001 par value. The table also lists the name and shareholdings of each director and of all officers and directors as a group. Except as otherwise indicated, the persons named in the table have sole voting and dispositive power with respect to all shares beneficially owned, subject to community property laws where applicable.  Name & AddressTitle of ClassNumber of Shares Beneficially Owned% of ClassRoderick Bartlett(1)
Suite 207 - 23705 IH 10 West
San Antonio, TX, 78257Common10,360,24121.64%Jenny Chen
------------------------
Taipei, TaiwanCommon3,373,3317.05%Tina VanderHeyden (1)
c/o Suite 207 - 23705 IH 10 West
San Antonio, TX, 78257Common260,0800.54%Joe F Dickson (1)
2345 Tucker Rd, New Woodstock, NY 13122Common750,4231.57%Des Biali (1)
126 Kahana Nui Rd
Lahaina , HI ,  USA  96761Common435,0000.91%Bruce Hutchon
Roxstone House, 24 Murrayfield Ave, Murryfield  UK EH126AXCommon3,617,2547.56%Linda Hutchon
Roxstone House, 24 Murrayfield Ave, Murryfield  UK EH126AXCommon1,300,0002.72%All directors and executive officers as a group:
(4 person)Common11,805,74424.67%  (1) Officer and/or director.  Item 13. Certain Relationships and Related Transactions, and Director Independence.  We have received funds from our officers and directors to fund the Companys activities. Currently we owe Mr. Rod Bartlett $3,644.59 (which includes interest) but does not include compensation and expenses. The Company lent Aqua Terra Power a company wholly owned by one of our previous shareholders, $263,520. Terra Energy, a company owned by one of our previous shareholders lent us $27,500.  Except for the foregoing, we have not been a party to any transaction, proposed transaction or series of transactions in which the amount involved exceeded the lesser of $120,000 or one percent of the average of the Company's total assets at year end for the last two completed fiscal years, and in which, to our knowledge, any of our directors, officers, five percent beneficial security holders or any member of the immediate family of the foregoing persons has had or will have a direct or indirect material interest.  20    Except for the foregoing, none of the following parties has, since the date of incorporation of the Company, had any material interest, direct or indirect, in any transaction with the Company or in any presently proposed transaction that has or will materially affect us:  ·any of our directors or officers;·any person proposed as a nominee for election as a director;·any person who beneficially owns, directly or indirectly, shares carrying more than 10% of the voting rights attached to our outstanding shares of common stock; or·any relative or spouse of any of the foregoing persons who has the same house as such person.   Item 14. Principal Accounting Fees and Services.  The fees for services billed by Pritchett, Siler & Hardy, P.C. to the Company in the last two fiscal years were as follows:  Twelve months
ended onTwelve months
ended onDecember 31,
2014December 31,
2013Audit Fees$0$0Audit-Related Fees$0$0Tax Fees$0$0All Other Fees$0$0Total Fees$0$0  Audit Fees. There were no fees charged in 2014 as no audit of our financial statements for our annual report on Form 10-K and the review of our quarterly financial statements for our quarterly reports on Form 10-Q that are customary under auditing standards generally accepted in the United States took place. There were no fees charged in 2013 as no professional services were rendered in connection with the audit of our financial statements for our annual report on Form 10-K nor did they do a review of our quarterly financial statements for our quarterly reports on Form 10-Q that are customary under auditing standards generally accepted in the United States. Our Auditors accrued interest against our outstanding account of $6,355.38.  Audit Committee Pre Approval Policies and Procedures  The Company does not have an audit committee and is in search of qualified candidates to form such committee. As a result, the Company does not have any pre-approval policies or procedures for audit or non-audit services.  PART IV  Item 15. Exhibits, Financial Statement Schedules.  (a) Index to Financial Statements and Financial Statement Schedules  The following un-audited financial statements are included on the pages indicated:  F-1 Balance Sheets as of December 31, 2014 and 2013 F-2 Statements of Operations for the years ended December 31, 2014 and 2013 F-3 Statements of Stockholders' Equity (Deficit) for the years ended December 31, 2014 and 2013 F-4 Statements of Cash Flows for the years ended December 31, 2014 and 2013 F-5 Notes to Financial Statements  21    (b) Exhibits


|               |                                                                                                                                                          |         
|-------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------- | --------
|Exhibit Number | Title                                                                                                                                                    | Location
|               |                                                                                                                                                          |         
|Exhibit 3(i)   | Articles of Incorporation                                                                                                                                | *       
|               |                                                                                                                                                          |         
|Exhibit 3(ii)  | Bylaws                                                                                                                                                   | *       
|               |                                                                                                                                                          |         
|Exhibit 31     | Certification of the Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                               | Attached
|               |                                                                                                                                                          |         
|Exhibit 31     | Certification of the Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                               | Attached
|               |                                                                                                                                                          |         
|Exhibit 32     | Certification of the Principal Executive Officer pursuant to U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 ** | Attached
|               |                                                                                                                                                          |         
|Exhibit 32     | Certification of the Principal Financial Officer pursuant to U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 ** | Attached

* Incorporated by reference. Filed as exhibit to S-1 filed October 28, 2008 **The Exhibit attached to this Form 10-K shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to liability under that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.  22   SIGNATURES  Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.  TRANSACT ENERGY CORP.  By: /s/ Roderick C. BartlettChief Executive Officer, Corporate SecretaryFebruary 23, 2015Roderick C. BartlettBy /s/ Roderick BartlettChief Financial Officer,February 23, 2015Roderick Bartlett    Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.   By: /s/ Roderick C. BartlettDirectorFebruary 10, 2015Roderick C. BartlettBy /s/ Tins VanderHeydenDirectorFebruary 10, 2015Tina VanderHeydenBy: /s/ Des BialiDirectorFebruary 10, 2015Des BialiBy: /s/ Joe F. DicksonJoe F. DicksonDirectorFebruary 10, 2015               23               TRANSACT ENERGY CORP. [A Development Stage Company]  FINANCIAL STATEMENTS  DECEMBER 31, 2014 ______________  (Unaudited)                 F-1    TRANSACT ENERGY CORP. [A Development Stage Company]  (Unaudited)    CONTENTS  PAGE       Balance Sheets, December 31, 2014 and 2013 F-3    — Statements of Operations, for the years ended December 31, 2014 and 2013 and from inception on March 15, 2006 through December 31, 2014 F-4    — Statement of Stockholders Equity (Deficit), from inception on  March 15, 2006 through December 31, 2014 F-5    — Statements of Cash Flows, for the years ended December 31, 2013 and 2012 and from inception on March 15, 2006 through December 31, 2014 F-8    Notes to Financial Statements F-9  F-18       F-2    TRANSACT ENERGY CORP.(A Development Stage Company)__________________________BALANCE SHEETS( Unaudited)ASSETSDecember 31,December 31,20142013CurrentCash$4,154$67Receivable79,822-Prepaid expenses108,26485,525Total Current Assets192,24085,592CapitalFurniture & Equipment1,422Software--Total Capital Assets1,422-OtherIncorporation Costs11,791-Intellectual Property130,520130,520Total Other Non-current Assets142,311130,520$335,973$216,112LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)CurrentBank indebtedness$-$-Accounts payable315,203187,164Accrued interest1,178,917873,558Accrued interest - related party313-Compensation payable1,000,0001,112,247Notes payable - net of discount245,702251,226Notes payable - Related parties, net of discount3,33154,440Total Current Liabilities2,743,4662,478,635Stockholders' Equity (Deficit)Preferred stock, $.001 par value,10,000,000 shares authorized no shares issued and outstanding--Common Stock, $.001 par value,100,000,000 shares authorized47,867,097 shares  issued and outstanding47,86730,076Capital in excess of par value2,486,8421,830,228Subscriptions receivable--Deficit accumulated during the development stage(4,942,202)(4,122,827)Total Stockholders' Equity (Deficit)(2,407,493)(2,262,523)$335,973$216,112  The accompanying notes are an integral part of these financial statements.  F-3    TRANSACT ENERGY CORP.(A Development Stage Company)__________________________STATEMENTS OF OPERATIONS(Unaudited)Cumulativefrom inceptionFor theFor theMarch 15, 2006Year endedYear endedDecember 31,December 31,December 31,201420142013REVENUE$-$-$-EXPENSESGeneral and administrative3,256,398504,163(38,520)Unsuccessful lease purchases18,673--Total Expenses3,275,071504,163(38,520)LOSS BEFORE OTHER INCOME (EXPENSE)(3,275,071)(504,163)38,520Interest income50,954--Interest expense(1,440,791)(322,878)(320,351)Gain on debt  settlement34,864--Loss on write off of investment in lease(12,684)--Allowance for loss on loans receivable and related interest(299,474)--LOSS FROM OPERATIONSBEFORE INCOME TAXES(4,942,202)(827,041)(281,831)CURRENT TAX EXPENSE---DEFERRED TAX EXPENSE---NET LOSS$(4,942,202)$(827,041)$(281,831)LOSS PER COMMON SHARE (Weighted Av)$(0.02)$(0.01)   The accompanying notes are an integral part of these financial statements.  F-4


|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|----------------------------------------------------------------------------------------------------------------------- |  | --------------- | - | ------------ |  | ---------- | - | ----------- | - | ---------- | - | -----------
|TRANSACT ENERGY CORP.                                                                                                  
|(A Development Stage Company)                                                                                          
|STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIT)                                                                            
|__________________________                                                                                             
|FROM INCEPTION ON MARCH 15, 2006 THROUGH DECEMBER 31, 2014                                                             
|(Unaudited)                                                                                                            
|                                                                                                                        |  |                 |   |              |  | Deficit   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   | Accumulated
|                                                                                                                        |  |                 |   |              |  |            |   |             |   | Capital in |   | During the 
|                                                                                                                        |  | Preferred stock |   | Common Stock |  | Excess of  |   | Development
|                                                                                                                        |  | Shares          |   | Amount       |  | Shares     |   | Amount      |   | Par Value  |   | Stage      
|BALANCE, March 15,2006                                                                                                  |  | -               | $ | -            |  | -          | $ | -           | $ | -          | $ | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 8,500,000 shares of common stock for cash at $.001 per share, April 2006                                    |  | -               |   | -            |  | 8,500,000  |   | 8,500       |   | -          |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 900,000 shares of common stock for cash at $.05 per share, August 2006                                      |  | -               |   | -            |  | 900,000    |   | 900         |   | 44,100     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Net loss for the period ended December 31, 2006                                                                         |  | -               |   | -            |  | -          |   | -           |   | -          |   | (12,181)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|BALANCE, December 31, 2006                                                                                              |  | -               |   | -            |  | 9,400,000  |   | 9,400       |   | 44,100     |   | (12,181)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Net loss for the period ended December 31, 2007                                                                         |  | -               |   | -            |  | -          |   | -           |   | -          |   | (22,024)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|BALANCE, December 31, 2007                                                                                              |  | -               |   | -            |  | 9,400,000  |   | 9,400       |   | 44,100     |   | (34,205)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Net loss for the period ended December 31, 2008                                                                         |  | -               |   | -            |  | -          |   | -           |   | -          |   | (54,563)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|BALANCE, December 31, 2008                                                                                              |  | -               |   | -            |  | 9,400,000  |   | 9,400       |   | 44,100     |   | (88,768)   
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 1,102,000 shares of common stock for cash at $.25 per share, September 2009                                 |  | -               |   | -            |  | 1,102,000  |   | 1,102       |   | 274,398    |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Deferred offering costs offset against offering                                                                         |  | -               |   | -            |  | -          |   | -           |   | (13,263)   |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Beneficial conversion feature on notes payable                                                                          |  | -               |   | -            |  | -          |   | -           |   | 65,464     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Net loss for the period ended December 31, 2009                                                                         |  | -               |   | -            |  | -          |   | -           |   | -          |   | (191,386)  
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|BALANCE, December 31, 2009                                                                                              |  | -               |   | -            |  | 10,502,000 |   | 10,502      |   | 370,699    |   | (280,154)  
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issued for services at  $ .55 per share                                                                                 |  | -               |   | -            |  | 135,000    |   | 135         |   | 74,115     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issued for services at  $ 1.39 per share                                                                                |  | -               |   | -            |  | 48,775     |   | 49          |   | 67,693     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Shares issued to existing shareholders in exchange for 1,008,625 free trading shares valued at $.50 per share           |  | -               |   | -            |  | 1,109,488  |   | 1,110       |   | 553,634    |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 7,770,148 common shares pursuant to conversion of notes payable at $ .01 per share                          |  | -               |   | -            |  | 7,770,148  |   | 7,770       |   | 69,931     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 315,909 common shares valued at $.41 -$.47  per share in exchange  for compensation and consulting services |  | -               |   | -            |  | 315,909    |   | 316         |   | 142,934    |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Beneficial conversion feature on notes payable                                                                          |  | -               |   | -            |  | -          |   | -           |   | 56,334     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 83,333 common shares on conversion of debt at $.18 per share                                                |  | -               |   | -            |  | 83,333     |   | 83          |   | 14,917     |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Net loss for the year ended December 31,2010                                                                            |  | -               |   | -            |  | -          |   | -           |   | -          |   | (1,086,561)
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|BALANCE, December 31, 2010                                                                                              |  | -               |   | -            |  | 19,964,653 |   | 19,965      |   | 1,350,257  |   | (1,366,715)
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 838,235 shares of common stock for cash at $.15,$.17 &  $.20 per share, June 2011                           |  | -               |   | -            |  | 838,237    |   | 838         |   | 139,162    |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 375,739 common shares valued at $.015  per share pursuant to compensation agreements                        |  | -               |   | -            |  | 375,739    |   | 376         |   | 5,260      |   | -          
|                                                                                                                        |  |                 |   |              |  |            |   |             |   |            |   |            
|Issuance of 404,040 common shares on conversion of notes payable at $.03 per share                                      |  | -               |   | -            |  | 404,040    |   | 404         |   | 11,596     |   | -          

F-5


|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|--------------------------------------------------------------------------------------------------------------------------------- |  | - |  | - |  | ---------- |  | ------ |  | --------- |  | -----------
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 750,000 common shares on conversion of debt at $.013 per share                                                        |  | - |  | - |  | 750,000    |  | 750    |  | 9,250     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Beneficial conversion feature on notes payable                                                                                    |  | - |  | - |  | -          |  | -      |  | 2,750     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Net loss for the year ended December 31,2011                                                                                      |  | - |  | - |  | -          |  | -      |  | -         |  | (1,545,762)
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|BALANCE, December 31, 2011                                                                                                        |  | - |  | - |  | 22,332,669 |  | 22,333 |  | 1,518,275 |  | (2,912,477)
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 3,316,500 common shares valued at $0.035 per share in exchange for consulting services                                |  | - |  | - |  | 3,316,500  |  | 3,317  |  | 116,078   |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 275,000 common shares valued at $0.0182 per share for financing services                                              |  | - |  | - |  | 275,000    |  | 275    |  | 4,730     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 625,000 common shares valued at $0.05 per share for compensation services                                             |  | - |  | - |  | 625,000    |  | 625    |  | 24,375    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 119,783 common shares valued at $0.045 per share for compensation services                                            |  | - |  | - |  | 119,783    |  | 120    |  | 5,869     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Beneficial conversion feature on notes payable                                                                                    |  | - |  | - |  | -          |  | -      |  | -         |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Net loss for the year ended December 31,2012                                                                                      |  | - |  | - |  | -          |  | -      |  | -         |  | (929,603)  
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|BALANCE, December 31, 2012                                                                                                        |  | - |  | - |  | 26,668,952 |  | 26,670 |  | 1,669,327 |  | (3,842,080)
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 2,600,000 common shares valued at $.0502 per share for technology purchase agreement                                  |  | - |  | - |  | 2,600,000  |  | 2,600  |  | 127,920   |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 500,000 common shares at a valued at $.0501 per share for compensation services                                       |  | - |  | - |  | 500,000    |  | 500    |  | 24,550    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Cancellation of 250,000 common shares;125,000 shares valued at $.0501 and 125,000 shares valued at $.05 for compensation services |  | - |  | - |  | (250,000)  |  | (250)  |  | (11,013)  |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 555,556 common shares at $.036 per share for conversion of note                                                       |  | - |  | - |  | 555,556    |  | 556    |  | 19,444    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Beneficial conversion feature on notes payable                                                                                    |  | - |  | - |  | -          |  | -      |  | -         |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Net loss for the year ended December 31,2013                                                                                      |  | - |  | - |  | -          |  | -      |  | -         |  | (281,831)  
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|BALANCE, December 31, 2013                                                                                                        |  | - |  | - |  | 30,074,508 |  | 30,075 |  | 1,830,228 |  | (4,122,827)
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 475,080 common shares for compensation services at a value of $.041 per share.                                        |  | - |  | - |  | 475,080    |  | 475    |  | 19,003    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 14,210,235 common shares for $397,887 of compensation payable.                                                        |  | - |  | - |  | 14,210,235 |  | 14,210 |  | 383,677   |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 200,000 common shares for compensation services at a value of $.05 per share.                                         |  | - |  | - |  | 200,000    |  | 200    |  | 9,800     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 474,360 common shares pursuant to a convertible option of notes payable totaling $23,718 at $.05 per share.           |  | - |  | - |  | 474,360    |  | 474    |  | 23,244    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 221,778 common shares pursuant to a convertible option of notes payable totaling $9,980 at $.045 per share.           |  | - |  | - |  | 221,778    |  | 222    |  | 9,758     |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 300,000 common shares pursuant to a convertible option of notes payable totaling $18,000 at $.06 per share.           |  | - |  | - |  | 300,000    |  | 300    |  | 17,700    |  | -          
|                                                                                                                                  |  |   |  |   |  |            |  |        |  |           |  |            
|Issuance of 665,750 common shares pursuant to a convertible option of notes payable totaling $39,975 at $.06 per share.           |  | - |  | - |  | 665,750    |  | 666    |  | 39,279    |  | -          

F-6


|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|----------------------------------------------------------------------------------------------------------------------- |  | - | - | - |  | ---------- | - | ------ | - | --------- | - | -----------
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Issuance of 641,715 common shares pursuant to a convertible option of notes payable totaling $44,920 at $.07 per share. |  | - |   | - |  | 641,715    |   | 642    |   | 44,278    |   | -          
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Issuance of 229,750 common shares pursuant to an Offshore Securities Agreement totalling $50,545 @ $0.22 per share      |  | - |   | - |  | 229,750    |   | 230    |   | 50,315    |   | -          
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Issuance of 233,921 common shares for compensation services totalling $33,333.68 at a value of $0.1425 per share        |  | - |   | - |  | 233,921    |   | 234    |   | 33,100    |   | -          
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Issuance of 140,000 common shares for compensation services totalling $26,600 at a value of $0.19 per share             |  | - |   | - |  | 140,000    |   | 140    |   | 26,460    |   | -          
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Beneficial conversion feature on notes payable                                                                          |  | - |   | - |  | -          |   | -      |   | -         |   | -          
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|Net loss for the year ended December 31,2014                                                                            |  | - |   | - |  | -          |   | -      |   | -         |   | (827,041)  
|                                                                                                                        |  |   |   |   |  |            |   |        |   |           |   |            
|BALANCE, December 31, 2014                                                                                              |  | - | $ | - |  | 47,867,097 | $ | 47,867 | $ | 2,486,842 | $ | (4,942,202)

The accompanying notes are an integral part of these financial statements.  F-7


|                                                                     |   |                   |   |              |   |             
|-------------------------------------------------------------------- | - | ----------------- | - | ------------ | - | ------------
|TRANSACT ENERGY CORP.                                               
|(A Development Stage Company)                                       
|__________________________                                          
|STATEMENTS OF CASH FLOWS                                            
|(Unaudited)                                                         
|                                                                     |   |                   |   |              |   |             
|                                                                     |   | Cumulative        |   |              |   |             
|                                                                     |   | from inception    |   | For the      |   | For the     
|                                                                     |   | March 15, 2006 to |   | Year ended   |   | Year ended  
|                                                                     |   | December 31,      |   | December 31, |   | December 31,
|                                                                     |   | 2014              |   | 2014         |   | 2013        
|Cash Flow From Operating Activities:                                 |   |                   |   |              |   |             
|Net loss for the period                                              | $ | (4,942,202)       | $ | (827,041)    | $ | (281,831)   
|Adjustments to reconcile net loss to cash used by                    |   |                   |   |              |   |             
|operating activities:                                                |   |                   |   |              |   |             
|Stock issued for services                                            |   | 935,900           |   | 487,299      |   | -           
|Stock issued for expenses                                            |   | 4,313             |   | -            |   | -           
|Debt issued for services                                             |   | 12,847            |   | -            |   | -           
|Amortization                                                         |   | 4,253             |   | 773          |   | -           
|Loss on write off of investment in lease                             |   | 12,684            |   | -            |   | -           
|Allowance for interest receivable                                    |   | 50,954            |   | -            |   | -           
|Allowance for loans receivable                                       |   | 248,521           |   | -            |   | -           
|Interest expense from beneficial conversion feature on notes payable |   | 124,548           |   | -            |   | -           
|Loss on stock subscriptions receivable                               |   | 550,431           |   | -            |   | -           
|Gain on debt settlement                                              |   | (34,864)          |   | -            |   | -           
|Change in assets and liabilities:                                    |   |                   |   |              |   |             
|Decrease (Increase) in interest receivable                           |   | (50,954)          |   | -            |   | -           
|Decrease (Increase) in prepaid expenses                              |   | (108,264)         |   | (22,739)     |   | -           
|Decrease (Increase) in accounts receivable                           |   | (79,822)          |   | (79,822)     |   | -           
|Increase (decrease) in accounts payable                              |   | 315,203           |   | 128,039      |   | 2,336       
|Increase in compensation payable                                     |   | 1,000,000         |   | (112,247)    |   | (139,510)   
|Increase in accrued interest                                         |   | 1,178,917         |   | 305,359      |   | 291,590     
|Net Cash (used) by Operating Activities                              |   | (777,535)         |   | (120,379)    |   | (127,415)   
|                                                                     |   |                   |   |              |   |             
|Cash Flows From Investing Activities:                                |   |                   |   |              |   |             
|Acquisition of oil and gas leases                                    |   | (12,684)          |   | -            |   | -           
|Acquisition of Intellectual Property                                 |   | (130,520)         |   | (130,520)    |   | (130,520)   
|Purchase of software                                                 |   | (3,480)           |   | -            |   | -           
|Purchase of furniture & equipment                                    |   | (1,714)           |   | (1,714)      |   | -           
|Loans receivable                                                     |   | (263,521)         |   | -            |   | -           
|Proceeds from loans receivable                                       |   | 15,000            |   | -            |   | -           
|Net Cash (Used) by Investing Activities                              |   | (396,919)         |   | (132,234)    |   | (130,520)   
|                                                                     |   |                   |   |              |   |             
|Cash Flow From Financing Activities                                  |   |                   |   |              |   |             
|Proceeds from common stock issuance                                  |   | 942,838           |   | 226,562      |   | 164,308     
|Proceeds received for stock not yet issued                           |   | -                 |   | -            |   | -           
|Stock offering costs                                                 |   | (13,263)          |   | -            |   | -           
|Proceeds from notes payable                                          |   | 649,596           |   | 137,000      |   | 113,500     
|Repayment of notes payable                                           |   | (400,563)         |   | (106,826)    |   | (19,387)    
|Net Cash Provided by Financing Activities                            |   | 1,178,608         |   | 256,736      |   | 257,971     
|                                                                     |   |                   |   |              |   |             
|Net Increase (Decrease) in Cash                                      |   | 4,154             |   | 4,123        |   | 36          
|                                                                     |   |                   |   |              |   |             
|Cash at Beginning of Period                                          |   | -                 |   | 31           |   | 31          
|                                                                     |   |                   |   |              |   |             
|Cash (Bank Indebtedness) at End of Period                            | $ | 4,154             | $ | 4,154        | $ | 67          

F-8


|                                                                     |   |           |   |         |   |       
|-------------------------------------------------------------------- | - | --------- | - | ------- | - | ------
|                                                                     |   |           |   |         |   |       
|Supplemental Disclosures of Cash Flow Information:                   |   |           |   |         |   |       
|Cash paid during the period for:                                     |   |           |   |         |   |       
|Interest                                                             | $ | -         | $ | -       | $ | -     
|Income taxes                                                         | $ | -         | $ | -       | $ | -     
|                                                                     |   |           |   |         |   |       
|Supplemental Schedule of Noncash Investing and Financing Activities: |   |           |   |         |   |       
|For the years ended December 31, 2012 and 2011:                      |   |           |   |         |   |       
|Shares issued for services                                           | $ | 935,900   | $ | 487,299 | $ | 13,788
|Shares issued on conversion of debt                                  | $ | 254,826   | $ | 140,125 | $ | -     
|Shares issued  for acquisition                                       | $ | 130,250   | $ | -       | $ | -     
|Shares issued to shareholders in exchange for free trading shares    | $ | 554,744   | $ | -       | $ | -     
|Subscriptions receivable                                             | $ | (550,431) | $ | -       | $ | -     
|Beneficial conversion feature on notes payable                       | $ | 59,084    | $ | -       | $ | -     

The accompanying notes are an integral part of these financial statements.  F-9    NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  Organization - TransAct Energy Corp. (the Company) was organized under the laws of the State of Nevada on March 15, 2006. The Company is in the business of developing and managing power production facilities globally, primarily using alternative/sustainable energy sources. The Company has not generated revenues and is considered a development stage company as defined in Accounting Standards Codification (ASC) Topic No. 915. The Company has, at the present time, not paid any dividends and any dividends that may be paid in the future will depend upon the financial requirements of the Company and other relevant factors.  Cash and Cash Equivalents - The Company considers all highly liquid debt investments purchased with a maturity of three months or less to be cash equivalents.  Software and related amortization - Software is recorded at cost and the Company provides for amortization using the straight line method over three years.  Income Taxes -The Company accounts for income taxes in accordance with ASC Topic No. 740, Accounting for Income Taxes.  The Company adopted the provisions of ASC Topic No. 740, Accounting for Income Taxes, on January 1, 2007. As a result of the implementation of ASC Topic No. 740, the Company recognized approximately no increase in the liability for unrecognized tax benefits.  The Company has no tax positions at December 31, 2014 and 2013 for which the ultimate deductibility is highly certain but for which there is uncertainty about the timing of such deductibility.  The Company recognizes interest accrued related to unrecognized tax benefits in interest expense and penalties in operating expenses. During the years ended December 31, 2014 and 2013, the Company recognized no interest and penalties. The Company had no accruals for interest and penalties at December 31, 2014 and 2013. All tax years starting with 2008 are open for examination.  Loss Per Share - The computation of loss per share is based on the weighted average number of shares outstanding during the period presented in accordance with ASC Topic No. 260, Earnings Per Share [See Note 11].  Accounting Estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimated by management.  Recently Enacted Accounting Standards - In September 2009 the FASB established the Accounting Standards Codification (Codification or ASC) as the source of authoritative accounting principles recognized by the FASB to be applied by nongovernmental entities in the preparation of financial statements in accordance with generally accepted accounting principles in the United States (GAAP). Rules and interpretive releases of the Securities and Exchange Commission (SEC) issued under authority of federal securities laws are also sources of GAAP for SEC registrants.  Existing GAAP was not intended to be changed as a result of the Codification, and accordingly the change did not impact our financial statements. The ASC does change the way the guidance is organized and presented.  Accounting Standards Update (ASU) ASU No. 2009-05 (ASC Topic 820), which amends Fair Value Measurements and Disclosures  Overall, ASU No. 2009-13 (ASC Topic 605), Multiple-Deliverable Revenue Arrangements, ASU No. 2009-14 (ASC Topic 985), Certain Revenue Arrangements that include Software Elements, and various other ASUs No. 2009-2 through ASU No. 2011-2 which contain technical corrections to existing guidance or affect guidance to specialized industries or entities were recently issued.  These updates have no current applicability to the Company or their effect on the financial statements would not have been significant.  Investment in Leases -All costs such as bid fees and lease rental payments related to the acquisition of energy leases are deferred and amortized on a straight-line basis over the term of the lease (See Note 3).   F-10    NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  Foreign Currency Translation - Transactions in foreign currencies are translated into U.S. dollars using the exchange rate at each balance sheet date for assets and liabilities and the weighted average exchange rate for each period for revenues, expenses, gains and losses. Translation adjustments are recorded as a separate component of accumulated other comprehensive income (loss) when material and foreign currency transaction gains and losses are recorded in other income and expense.  Stock Offering Costs - Costs incurred in connection with stock offerings will be deferred and offset against the proceeds of the stock offering.  Costs incurred in connection with unsuccessful offerings will be expensed.  Reclassification Certain prior year amounts have been reclassified to conform with current year presentation.  NOTE 2  LOANS RECEIVABLE  RELATED PARTY  The $12,000, $5,000, $7,000, $212,000 and $12,520 loans receivable from a company whose sole shareholder holds less than 10% in TransAct, are unsecured and were due on November 1, November 10, November 29, December 6 and December 6, 2010, respectively. The loans are secured by certain assets and equipment of the company and bear interest at rates between 15% and 18% per annum for the terms of the loans. At June 30, 2011 and December 31, 2010 interest receivable was $50,954. These notes have not been granted an extension, are in default and management has formally demanded payment of the outstanding principal and interest and may pursue legal action if the cost of said action can be justified. At December 31, 2010 the Company recorded a total allowance of $299,475 charged to operations including principal of $248,521 and interest of $50,954.  NOTE 3  SOFTWARE  AccumulatedNet Book ValueCostAmortization20142013Software$3,480$3,480$-$-  NOTE 4  NOTES PAYABLE  The $10,000 convertible promissory note payable to a company whose shareholders hold less than 10% in TransAct is unsecured, bears interest at 10% per annum and was due and payable on March 31, 2010. The payee had the option to convert the entire principal amount on or before April 29, 2009 into common shares of the Company based on a conversion rate of $.00345 per share. No interest was payable if the principal was converted to shares of the Company. The payee did not exercise its conversion option. The note is currently outstanding and in October 2010 the Company issued a check in the amount of $11,876 as payment in full of principal and interest which was returned un-cashed by the payee. The Company is currently in dispute regarding the expiration date of the conversion option in the agreement and the note remains in default. At December 31, 2014 accrued interest was $ 6436.  The $17,500 promissory note payable to a company whose shareholders hold less than 10% in TransAct is unsecured, bears interest at 10% per annum and is due on demand. This note is currently in default. At December 30, 2014 accrued interest was $10,488.  The $25,000 convertible promissory note dated June 10, 2010 and $40,000 convertible promissory note dated October 5, 2010 bore interest at 8% per annum and were due and payable on March 11, 2011 and July 7, 2011, respectively. The holder had the option to convert the entire principal amount of each particular note on or before March 11, 2011 and July 7, 2011 into common shares of the Company based on a conversion rate of 60% of the market price being the average of the lowest three trading prices over the past ten days prior to the conversion. At no time could the holder convert into an amount of shares which would result in the holder and its affiliates to beneficially own more than 4.99% of the outstanding shares of common stock. In February 2011 the holder elected to convert $12,000 of the June 10, 2010 note into 404,040 common shares of the Company which were issued. In February 2011 the terms of the June 10, 2010 and October 5, 2010 convertible promissory notes were amended by both parties to include a repayment option. Under this repayment option the borrower had the right to repay the balance of a note in cash equal to 150% of the outstanding principal and interest. On February 24, 2011 the Company paid $22,000 including $9,000 of interest to repay the remaining $13,000 balance of the June 10, 2010 note. In addition, on April 21, 2011 the Company paid $61,600 including $21,600 of interest to repay the $40,000 note dated October 5, 2010.  A beneficial conversion feature of $53,334 has been recorded as a discount to the notes with an offset to additional paid in capital. The discount was amortized over the life of the notes. The remaining unamortized discount has been expensed as interest since the note was repaid.  F-11    NOTE 4 - NOTES PAYABLE  CONTINUED  The $25,000 and $18,828 ($20,000 CAD) promissory notes payable dated April 22, 2011 and March 31, 2011 respectively are unsecured and bear interest at 60% per annum or $2,500 and $2,002 ($2,000 CAD) respectively whichever is greater. The notes are due on demand and may be prepaid in whole or part without penalty. Accrued interest was $ 112,971 at December 31, 2014.  The $ 4,707 ($5,000 CAD) promissory note payable dated September 12, 2011 is unsecured and bears interest at $ 505 ($500 CAD) up to September 16, 2011 and $ 47 ($50 CAD) per diem until all principal and interest is repaid. The note is due on demand and may be prepaid in whole or part without penalty. Accrued interest was $ 52,207 at December 31, 2014.  The $2,500 promissory note payable dated April 2, 2013 is unsecured, bears interest at 10% per annum and is due on demand. At December 31, 2014 accrued interest was unchanged at $274. The principal was repaid May 6, 2014.  The $100,000 promissory note payable dated June 30, 2013 is unsecured and is non-interest bearing.  The $1,000 promissory note payable dated July 23, 2013 is unsecured, bears interest at 10% per annum and is due on demand. It was paid out on May 6, 2014.  At December 31, 2014 accrued interest was unchanged at $80.  An $8,700 promissory note payable dated January 17, 2013 to an individual whose shareholdings equal less than 10% in TransAct is unsecured, has a fixed interest component of $1,300. The owner of this note negotiated to change the terms of the note to that of a $10,000 convertible note payable effective Aug 21, 2013 is unsecured, bears interest at 12% per annum and is convertible into common stock of the company within the one year term of the loan at 75% of the closing price on the day the conversion is elected but no less than $.036. This note was subsequently converted and as such has been paid out in full.  A $10,000 convertible note payable effective Aug 21, 2013 to an individual whose shareholdings equal less than 10% in TransAct is unsecured, bears interest at 12% per annum and is convertible into common stock of the company within the one year term of the loan at 75% of the closing price on the day the conversion is elected but no less than $.036. This note was subsequently converted and as such has been paid out in full.  A $10,000 convertible note payable effective Sep 6, 2013 to an individual whose shareholdings equal less than 10% in TransAct is unsecured, bears interest at 12% per annum and is convertible into common stock of the company within the one year term of the loan at 75% of the closing price on the day the conversion is elected but no less than $.04. At December 31, 2013 accrued interest was $381.37.  A $22,030 promissory note payable dated February 24, 2011 to a former officer (more than 6 months ago) bears interest of $6,000 and was due on March 4, 2011. This note is accruing interest at $360 per day for every day after March 4, 2011 until the note is repaid in full. At December 31, 2014 accrued interest was $ 541,680.  A $46,660 promissory note payable dated April 22, 2011 to a former officer (more than 6 months ago) bears interest at 1% per diem. A beneficial conversion feature of $2,750 was recorded as a discount to the notes with the offset to Additional Paid In Capital. In May 2011 the holder of the note converted $10,000 of principal into 750,000 shares of common stock and the discount was expensed to interest. The remaining balance of $36,660 is due on demand. At December 31, 2014 accrued interest was $ 531,452.  A $3,000 convertible promissory note payable to a former officer (more than 6 months ago) is secured by certain assets and equipment of the Company and bore interest at 8% per annum through the due date in November 2010 and is currently in default and bearing interest at 60% the highest lawful rate. A beneficial conversion feature of $3,000 has been recorded as a discount to the note with an offset to additional paid in capital. The discount was fully amortized in 2010. At December 31, 2014 accrued interest was $8,586.  NOTE 5  NOTES PAYABLE  RELATED PARTIES  Promissory notes payable after being reduced up to and including the end of December 2014 total $3331 to an officer and shareholder are secured by certain assets and equipment of the Company and  bear interest at 8% and 10% per annum and are due on demand. At December 30, 2014 accrued interest was $3011 but paid down to $314.  Accrued interest and late fees for the notes at December 31, 2014 and December 31, 2013 was $ 1,179,230and $873,558respectively.  F-12      NOTE 6 - CAPITAL STOCK  Preferred Stock - The Company has authorized 10,000,000 shares of preferred stock, $.001 par value, with such rights, preferences and designations and to be issued in such series as determined by the Board of Directors. No shares are issued and outstanding at December 31, 2014.  Common Stock - The Company has authorized 100,000,000 shares of common stock, $.001 par value, with such rights, preferences and designations and to be issued in such series as determined by the Board of Directors.  During April 2006, the Company issued 8,500,000 shares of its previously authorized, but unissued common stock. Total proceeds from the sale of stock amounted to $8,500 (or $.001 per share).  During August 2006, the Company issued 900,000 shares of its previously authorized, but unissued common stock. Total proceeds from the sale of stock amounted to $45,000 (or $.05 per share).  During September 2009, the Company issued 1,102,000 shares of its previously authorized, but unissued common stock. Total proceeds from the sale of stock amounted to $275,500 (or $.25 per share). Offering costs of $13,263 were netted against the proceeds.  On July 6, 2010, the Company issued 125,000 common shares in exchange for consulting services at a value of $.55 per share.  On July 6, 2010, the Company issued 48,775 common shares in exchange for consulting services at a value of $1.39 per share.  On July 6, 2010, the Company issued 10,000 common shares in exchange for consulting services at a value of $.55 per share.  During September 2010, the Company issued 1,109,488 shares of its previously authorized, but unissued common stock for consulting services at a value of $.50 per share.  In November 2010 the Company issued 225,000 shares of its previously authorized, but unissued common stock for consulting and compensation services at a value of $.50 per share.  On November 3, 2010 the Company issued 90,909 common shares in exchange for consulting services at a value of $.41 per share.  In November 2010 the Company issued 2,828,892 common shares pursuant to a convertible option of certain promissory notes totaling $28,289 including principal and interest.  In December 2010 the Company issued 4,941,256 common shares pursuant to a convertible option of certain promissory notes totaling $49,412 including principal and interest.  In December 2010 proceeds were received for 200,000 common shares at $.15 per share and 50,000 common shares at $.20 per share for a total of $ 40,000. These shares were issued in June 2011.  In January 2011 the Company issued 588,235 common shares at $.17 per share for total proceeds received of $100,000.  In February 2011 the Company issued 404,040 common shares pursuant to a convertible option of a note payable totaling $12,000 at $.0297 per share.  In June 2011 the Company issued 200,000 common shares for compensation services at a value of $.015 per share.  In June 2011 the Company issued 750,000 common shares pursuant to a convertible option of a note payable totaling $10,000 at $.013 per share.  In June 2011 the Company issued 175,739 common shares at a value of $.015 per share in exchange for consulting services accrued as a liability at December 31, 2010 in the amount of $ 37,500. The difference of $34,864 has been recorded as a gain on debt settlement.  F-13    NOTE 6 - CAPITAL STOCK - CONTINUED  In May 2012 the Company issued 3,316,500 common shares for consulting services at a value of $.035 per share (see Note 10).  In May 2012 the Company issued 275,000 common shares as a fee related to financing services at a value of $.0182 per share.  In May 2012 the Company issued 625,000 common shares for compensation services at a value of $.05 per share.  In May 2012 the Company issued 119,783 common shares for compensation services at a value of $.045 per share.  In May 2013 the Company issued 2,600,000 common shares as payment related to a technology purchase agreement at a value of $.0502 per share.  In May 2013 the Company issued 500,000 common shares for compensation services at a value of $.0501 per share.  At June 30, 2013 the Company caused the cancellation of 250,000 shares that had been issued for compensation services 125,000 shares at a value of $.0501 and 125,000 shares at $.05.  In August 2013 the Company issued 555,556 common shares pursuant to a convertible option of notes payable totaling $20,000 at $.036 per share.  In March 2014 the Company authorized the issuance of 475,080 common shares for compensation services at a value of $.041 per share.  In March 2014 the Company authorized the issuance of 14,210,235 common shares for $397,887 of compensation payable.  In April 2014 the Company authorized the issuance of 200,000 common shares for compensation services at a value of $.05 per share.  In April 2014 the Company authorized the issuance of 474,360 common shares pursuant to a convertible option of notes payable totaling $23,718 at $.05 per share.  In August 2014 the Company authorized the issuance of 221,778 common shares pursuant to a convertible option of notes payable totaling $9,980 at $.045 per share.  In August 2014 the Company authorized the issuance of 300,000 common shares pursuant to a convertible option of notes payable totaling $18,000 at $.06 per share.  In September 2014 the Company authorized the issuance of 665,750 common shares pursuant to a convertible option of notes payable totaling $39,975 at $.06 per share.  In September 2014 the Company authorized the issuance of 641,715 common shares pursuant to a convertible option of notes payable totaling $44,920 at $.07 per share.  In October 2014 the Company authorized the issuance of 229,750 common shares pursuant to a restricted securities agreement totaling $50,545 at $0.22 per share.  In December 2014 the Company authorized the issuance of 140,000 common shares for compensation services of $26,600 at $0.19 per share.  In December 2014 the Company authorized the issuance of 233,921 common shares for $33,333.68 of compensation payable at $0.1425.  See Note 10 regarding a subscription agreement dated September 27, 2014  F-14    NOTE 7 - INCOME TAXES  The Company accounts for income taxes in accordance with ASC Topic No. 740, Income Taxes. This standard requires the Company to provide a net deferred tax asset or liability equal to the expected future tax benefit or expense of temporary reporting differences between book and tax accounting and any available operating loss or tax credit carry forwards.  The Company adopted the provisions of ASC Topic 740, Accounting for Uncertainty in Income Taxes, on January 1, 2007. As result of the implementation of ASC Topic 740, the Company recognized approximately no increase in the liability for unrecognized tax benefits.  The Company has no tax provisions at December 31, 2014 and 2013, for which the ultimate deductibility is highly certain but for which there is uncertainty about the timing of such deductibility.  The Company recognizes interest accrued related to unrecognized tax benefits in interest expense and penalties in operating expenses. During the periods ended December 31, 2014 and 2013, the Company recognized no interest and penalties. The Company had no accruals for interest and penalties at December 31, 2014 and December 31, 2013.  Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss (NOL). Tax credit carry forwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.  Net deferred tax assets (liabilities) consist of the following components as of December 31, 2014 and 2013:  20142013Deferred tax assets:$$NOL Carryover827,041281,831Related Party Accrual--Valuation allowance(827,041)(281,831)Net deferred tax assets$-$-  The income tax provision differs from the amount of estimated income tax determined by applying the U.S. federal income tax rate to pretax income from continuing operations for the periods ended December 31, 2014 and 2013 due to the following:  20142013Book Loss (20% statutory rate)$(165,408)$(56,366)Valuation allowance165,40856,366Tax at effective rate$-$-  At December 31, 2014, the Company had net operating loss carry forwards of approximately $ 4,942,202 that may be offset against future taxable income from the year 2014 through 2034. No tax benefit has been reported in the December 31, 2014 or 2013 financial statements since the potential tax benefit is offset by a valuation allowance of the same amount.  Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carry forwards may be limited as to use in future years.  F-15    NOTE 8 - GOING CONCERN  The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern.  However, the Company has a working capital deficit and has incurred losses since its inception. These factors raise substantial doubt about the ability of the Company to continue as a going concern. In this regard, management is proposing to raise any necessary additional funds not provided by operations through loans and/or through additional sales of its common stock. There is no assurance that the Company will be successful in raising this additional capital or in achieving profitable operations. The financial statements do not include any adjustments that might result from the outcome of these uncertainties.  NOTE 9 - RELATED PARTY TRANSACTIONS  Management Compensation -  The Company has also accrued executive compensation of $250,000 to the President of the Company for the year ended December 31, 2014 (See Note 11).  NOTE 10 - LOSS PER SHARE  The following data show the amounts used in computing loss per share for the periods presented:  Year ended
December, 31, 2014Year ended
December, 31, 2013Loss from operations available to common shareholders (numerator)$(827,041)$(281,831)Weighted average number of common shares outstanding during the period used in loss per share (denominator)42,277,53829,106,324  Dilutive loss per share was not presented; as the Company had no common equivalent shares for all periods presented that would affect the computation of diluted loss per share.  NOTE 11  COMMITMENTS AND CONTINGENCIES  Compensation agreement - Effective October 1, 2009 through September 30, 2011, the Company entered into a compensation agreement with Shahhid Shafiq Vohra to assist the Company with business development globally for consideration of $90,000 for the contract period to be paid over 12 months plus 100,000 common shares of the Company valued at $0.55 per share which were issued in July 2010. On September 30, 2010 Shahhid Vohra resigned and terminated the agreement. Vohra threatened legal action after making a claim against the Company of $44,264 through his legal council. The Company has claimed back that Vohra owes them $26,052 and intends on pursuing this claim. The $26,052 has been charged to operations as consulting fees. If any funds are received they will be recorded as an expense recovery in the year received.  Compensation agreement - Effective January 1, 2011 the Company entered into a CFO compensation agreement for a term of 5 years to December 31, 2016. The agreement pays an annual base salary of $250,000 and includes a signing bonus of 200,000 shares which was issued in June 2011. The compensation agreement also provides for a cash bonus equal to 3% of the annual EBITDA to a maximum of $15,000,000 in the first year with a 10% increase each year thereafter. This agreement was terminated effective June 30, 2013, $105,000 salary and 200,000 shares were paid under this contract.  Lease agreement - The Company was committed to a three year lease for office space which commenced July 1, 2010 and expired on June 30, 2013. In September 2011 the lease was terminated by both parties and the Company forfeited its lease deposit and the landlord subsequently subleased the property.  F-16    NOTE 11  COMMITMENTS AND CONTINGENCIES (CONTINUED)  Financing agreement - In April 2010 the Company entered into an investment banking agreement to arrange funding of not less than $6,000,000 through the sale of common shares of the Company. The Company has agreed to pay a fee in the amount of $50,000 of which $15,000 was paid and still held in escrow, to be disbursed for third party due diligence expenses according to the terms of the agreement. Under the terms of the agreement the Company has also agreed to pay a fee of not less than 2% of the monies obtained as a loan and 8% of the monies obtained via equity investors. InNovember 2010 the Company terminated this agreement due to unfulfilled terms and requested the funds held in escrow to be released back to the Company. As of December 31, 2011 the Company has not received any funds nor any response and has expensed the $15,000 as consulting fees. If any funds are returned they will be recorded as an expense recovery in the year received.  Compensation agreement  The President and Chief Executive Officer agreement pays an annual base salary of $250,000 which has been accrued to date, with a cash bonus annually based on 5% of EBITDA and a stock bonus formulated around the return on invested capital where the issued and outstanding stock of the Company times the rate of return divided by ten will equate to the stock issued.  Administration agreement  The agreement for administration services paid a salary of $ 41,541 ($42,000 CAD) per annum which was terminated on December 31, 2011.  Consulting agreement - Pursuant to an agreement dated September 15, 2010 the Company entered into a strategic and financial consulting agreement to assist the Company in its current financing activities. As an engagement fee for their services, the consultant is to receive 1,000,000 free trading common shares valued at $.50 per share.  In order to facilitate the terms of this agreement the Company by way of special resolution identified certain shareholders of the Company that had sufficient unrestricted common shares and agreed to replace the unrestricted shares with restricted common shares plus an incentive of an additional 10% of bonus shares. In September 2010 the Company issued 1,109,488 common shares, including 100,863 bonus shares, valued at $.50 per share.  In January 2011 the Company, due to the unfulfilled terms by the consultant, demanded a full refund of the shares issued. The Company is currently negotiating for a return of 70% of the original 1,000,000 free trading common shares. As of June 30, 2011 the Company has not received any return of the shares or any response and has expensed the stock subscription receivable in the amount of $550,431 as consulting fees. If any shares are returned they will be recorded as an expense recovery in the period received.  Consulting agreement -On May 3, 2012 the company entered into an agreement whereby 3,015,000 free trading shares are to be issued in exchange for a $20,000 advance to TransAct and the settlement of any and all obligations given to the parties of the agreement. These shares are intended to be sold to cover their costs including the advances and any balance of these shares not used in settlement would be used to raise capital and split evenly between the parties. The portion that goes to the consulting company will be expensed as consulting fees. In order to facilitate the terms of this agreement the Company by way of special resolution identified certain shareholders of the Company that had sufficient unrestricted common shares and agreed to replace the unrestricted shares with restricted common shares plus an incentive of an additional 10% of bonus shares. In May 30, 2012 the Company issued 3,316,500 common shares, including 301,500 bonus shares, valued at $.036 per share. In June 2014 the company returned the original $20,000.  Loan Agreement-Pursuant to an Agreement on June 28th, 2012 that was extended to August 31, 2012 and then on Aug 30th, 2012 to November 15th, 2012, and is now extended to March 15, 2014; where originally on May 11, 2012 the Company arranged for 3,005,000 free trading shares to be placed as additional security for a $100,000 loan as a retainer for a financing of 100 million dollars. TransAct had a Memorandum of Understanding (MOU) to receive one third or 30 million dollars of this financing this has since expired. TransAct has assumed this $100,000 as debt as part of the settlement with our previous CFO it is currently recorded under notes payable.  If these shares are used to repay the loan TransAct will have to issue the shares used plus 10% additional shares to the contributing shareholders and expense whatever shares used as financing costs.  Compensation agreement  The Senior Vice President of Technology agreement pays an annual base salary of $100,000 Starting June 2013 which has been accrued to date, with a cash bonus annually based on 0.25% of EBITDA and a stock bonus formulated around the return on invested capital where the issued and outstanding stock of the Company times the rate of return divided by forty will equate to the stock issued.    F-17    NOTE 11  COMMITMENTS AND CONTINGENCIES (CONTINUED)  Share-purchase Agreement On January 30, 2014 the Company entered a share-purchase agreement for shares in a proposed subsidiary that would own and operate a zero emissions waste optimization plant (Z.E.W.O.P.TM) in Puebla, Mexico. The agreement provided for the purchaser to own up to 45% of the subsidiary.  The Purchaser advanced $300,000 of the proposed 30% of CAPEX to the Company to facilitate a phase one engineering review. With a positive outcome to the review the Company has now formed the subsidiary in question Puebla ZEWOP 1 and is formalizing the share purchase agreement between our wholly owned subsidiary TransAct Mexico and the Puebla Waste Consortium. Under this agreement our subsidiary will be committed to build and operate a 1320 tonne per day Z.E.W.O.P.TMestimated at $320 Million USD. The Company has a receivable due from the subsidiary at Dec 31, 2014 of $79,822.  Consulting Agreement-On August 20th, 2014 the company entered into an Engineering Services Agreement to facilitate the design/build of the proprietary reactors for the Puebla, MX Zero Emissions Waste Optimization Plant. The estimated cost of the contract is $450,000 over the next 12 months, out of pocket reimbursements, cost plus 10% on all material and outside labor and a stock bonus of 150,000 common shares upon completion of the scope of work. To date the company has paid $40,839.67.  Subscription Agreement-Pursuant to an Agreement on September 27th, 2014 the company agreed to sell restricted securities of the Company in the form of common stock upon receipt of three tranches of capital equaling $1,200,000 each. The common stock is to be sold for $0.50 for the first tranche of 2,400,000 shares and is due in the week of September 28, 2014, $1.00 for the second tranche of 1,200,000 shares and is due in the week of March 1, 2015, $1.50 for the third tranche of 800,000 shares due in August 2nd, 2015. To date the first tranche has not been paid in and the agreement is not reflected on the balance sheet.(See note 12.)  NOTE 12  SUBSEQUENT EVENTS  In February 2015 the subscribers of $3.6 Million dollars of our common stock advised us they would be unable to fulfill their commitment under the restricted securities agreement. We have received the same in writing and agreed to a settlement with the parties involved where they purchase 526,316 common shares @ $0.19.    F-18