UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

☒ Quarterly Report Pursuant to Section 13 Or 15(d) Of The Securities Exchange Act of 1934

For the quarterly period ended ~~June 30, 2022~~March 31, 2023

☐ Transition Report Under Section 13 Or 15(d) Of The Securities Exchange Act of 1934

For the transition period ________ to ________

COMMISSION FILE NUMBER 001-08675

UNITED STATES ANTIMONY CORPORATION

(Exact name of ~~small business issuer~~registrant as specified in its charter)

Montana		81-0305822
(State or other jurisdiction of incorporation or organization)		(IRS Employer Identification No.)

P.O. Box 643 Thompson Falls, MT		59873
(Address of principal executive office)		(Postal Code)

(406) 827-3523

(Registrant’s telephone number)

Securities registered pursuant to Section 12(b) of the Act:

~~(406) 827-3523~~

~~(Issuer’s telephone number)~~

Title of Each Class	Trading Symbol	Name of Each Exchange on Which Registered
Common Stock, $0.01 par value	UAMY	NYSE American

Indicate by check mark whether the ~~issuer~~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. Yes ☐ No ☒ ~~No ☐~~

Indicate by checkmark whether the registrant has submitted electronically ~~and posted on its corporate Website, if any,~~ every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post filed). Yes ☒ No ☐

Indicate by checkmark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of “Accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act (Check one):

Large Accelerated Filer	☐	Accelerated Filer	☐
Non-accelerated Filer	☒	Smaller Reporting Company	☒
Emerging Growth Company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of ~~August 16, 2022,~~ October 4, 2023, there were ~~106,240,361~~107,647,317 shares outstanding of the registrant’s ~~common stock,~~ $0.01 par value ~~issued and outstanding.~~common stock.

Contents

PART I - FINANCIAL INFORMATION			3

ITEM 1.	FINANCIAL STATEMENTS	3	3

ITEM 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION.	14	17

ITEM 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	20	28

ITEM 4.	CONTROLS AND PROCEDURES	20	29

PART II - OTHER INFORMATION			30

ITEM 1.	LEGAL PROCEEDINGS.	21	30

ITEM 1A.	RISK FACTORS.	21	30

ITEM 2.	RECENT SALES OF UNREGISTERED SECURITIES.	21	30

ITEM 3.	DEFAULTS UPON SENIOR SECURITIES.	21	30

ITEM 4.	MINE SAFETY DISCOSURES.	21	30

ITEM 5.	OTHER INFORMATION.	21	30

ITEM 6.	EXHIBITS.		3122

Page 2 of 3223

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PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)~~

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)							UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
	June 30, 2022			December 31, 2021				March 31, 2023			December 31, 2022
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	8,312,469		$	21,363,048			$	15,361,064		$	19,060,378
Certificates of deposit		259,210			259,210				259,856			259,857
Accounts receivable		1,604,660			891,314
Prepaid expenses		60,916			0
Inventories (NOTE 5)		590,204			1,055,420
Investments (NOTE 11)		13,299,393			0
Accounts receivable, net									1,704,276			784,457
Inventories									1,610,216			1,375,068
Prepaids expenses and other current assets									279,451			137,599
Total current assets		24,126,852			23,568,992				19,214,863			21,617,359
Properties, plants and equipment, net (NOTE 6)		11,242,721			11,133,733
Properties, plants and equipment, net									12,518,653			12,128,124
Restricted cash for reclamation bonds		57,281			57,281				57,288			57,288
IVA receivable and other assets		329,163			242,721				1,070,955			897,679
Total assets	$	35,756,017		$	35,002,727			$	32,861,759		$	34,700,450
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable	$	679,597		$	1,385,752			$	835,652		$	628,803
Payable to related parties		4,084			0
Accrued liabilities		685,918			621,873				169,422			201,149
Long-term debt, current portion (NOTE 8)		91,347			13,230
Accrued liabilities – directors and related parties									92,709			72,963
Royalties payable									15,884			435,075
Dividends payable									-			787,730
Long-term debt, current portion									95,573			94,150
Total current liabilities		1,460,946			2,020,855				1,209,240			2,219,870

Long-term debt, net of current portion (NOTE 8)		265,636			201,920
Long-term debt, net of current portion									193,410			217,855
Stock payable to directors for services		187,500			112,500				61,459			61,459
Asset retirement obligations and accrued reclamation costs (NOTE 7)		325,657			298,649
Asset retirement obligations and accrued reclamation costs									335,379			332,011
Total liabilities		2,239,739			2,633,924				1,799,488			2,831,195
COMMITMENTS AND CONTINGENCIES (NOTE 9)
STOCKHOLDERS’ EQUITY
Preferred stock, $0.01 par value; 10,000,000 shares authorized:
Series A: 0 shares issued and outstanding		0			0				-			-
Series B: 750,000 shares issued and outstanding (liquidation preference $956,250 and $952,500, respectively)		7,500			7,500
Series B: 750,000 shares issued and outstanding (liquidation preference $961,875 and $960,000, respectively)									7,500			7,500
Series C: 177,904 shares issued and outstanding (liquidation preference $97,847 both periods)		1,779			1,779				1,779			1,779
Series D: 1,692,672 shares issued and outstanding (liquidation preference $4,979,632 both periods)		16,926			16,926
Common stock, $0.001 par value; 300,000,000 shares authorized; 106,240,361 shares issued and outstanding		1,062,402			1,062,402
Series D: 0 and 1,692,672 shares issued and outstanding (liquidation preference $0 and $5,019,410, respectively)									-			16,926
Common stock, $0.01 par value; 150,000,000 shares authorized; 107,647,317 shares issued and outstanding at March 31, 2023 and 106,373,341shares issued and outstanding at December 31, 2022									1,076,472			1,063,732
Additional paid-in capital		63,991,459			63,991,459				63,853,836			64,052,630
Shares to be returned to treasury									-			(202,980	)
Accumulated deficit		(31,563,788	)		(32,711,263	)			(33,877,316	)		(33,070,332	)
Total stockholders’ equity		33,516,278			32,368,803				31,062,271			31,869,255
Total liabilities and stockholders’ equity	$	35,756,017		$	35,002,727			$	32,861,759		$	34,700,450

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

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UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

	Three months ended June 30,						Six months ended June 30,						For the three months ended
	2022			2021			2022			2021			March 31, 2023			March 31, 2022
REVENUE	$	3,587,925		$	2,275,562		$	7,168,231		$	3,528,849		$	2,210,844		$	3,580,306
COST OF REVENUE		2,865,515			2,079,164			5,306,433			3,120,294			2,746,263			2,440,918
GROSS PROFIT		722,410			196,398			1,861,798			408,555
OPERATING EXPENSES
GROSS PROFIT (LOSS)														(535,419	)		1,139,388
OPERATING EXPENSES:
General and administrative		220,591			290,111			381,272			460,161			155,594			160,681
Salaries and benefits		72,912			77,278			146,047			153,937			127,692			73,135
Other operating expenses		14,045			0			17,960			184,037			108,345			3,915
Legal and professional fees		47,927			61,199			170,004			184,336
Professional fees														84,806			122,077
TOTAL OPERATING EXPENSES		355,475			428,588			715,283			982,471			476,437			359,808
INCOME (LOSS) FROM OPERATIONS		366,935			(232,190	)		1,146,515			(573,916	)		(1,011,856	)		779,580
OTHER INCOME (EXPENSE)
Interest expense		(3,081	)		(880	)		(6,063	)		(3,135	)
Interest and investment income		30,052			13,389			39,706			21,882			122,372			9,654
Change in fair value of investments		(93,458	)		0			(93,458	)		0
Trademark and licensing income		60,775			0			60,775						7,525			-
Gain on forgiveness – CARES Act debt		0			443,400			0			443,400
Gain on settlement of Hillgrove advance		0			113,422			0			113,422
Other miscellaneous income (expense)														74,975			(2,982	)
TOTAL OTHER INCOME (EXPENSE)		(5,712)			569,331			960			575,569			204,872			6,672
NET INCOME		361,223			337,141			1,147,475			1,653
NET INCOME (LOSS)														(806,984	)		786,252
Preferred dividends		(11,819	)		(12,162	)		(23,639	)		(24,325	)		(1,875	)		(11,819	)
Net income available to common stockholders		349,404			324,979			1,123,836			(22,672	)
Net income per share of common stock
Net income (loss) available to common stockholders													$	(808,859	)	$	774,432
Net income (loss) per share of common stock:
Basic and diluted	$	Nil		$	Nil		$	0.01		$	Nil		$	(0.01	)	$	0.01
Weighted average shares outstanding:
Basic		106,240,361			106,315,419			106,240,361			99,513,378			107,260,472			106,240,361
Diluted		106,240,361			108,696,704			106,240,361			99,513,378			107,260,472			106,389,761

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

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UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (UNAUDITED)

For the three ~~and six~~ months ended ~~June 30,~~March 31, 2023 and 2022 ~~and 2021~~

Total Preferred Stock

Common Stock

Additional

Accumulated

Total
Stockholders’

Shares

Amount

Shares

Amount

Paid in Capital

Deficit

Equity

BALANCE, December 31, 2020

2,678,909

$ 26,788

75,949,757

$ 759,496

$ 39,050,899

$ (32,650,794 )

$ 7,186,389

Common shares issued for cash

-

0

26,290,000

262,900

24,734,100

0

24,997,000

Common stock issuance costs

-

0

-

0

(1,654,820 )

0

(1,654,820 )
Common stock issued for exercise of warrants

-

0

3,723,810

37,238

1,726,381

0

1,763,619

Net loss

-

0

-

0

0

(335,488 )

(335,488 )
BALANCE, March 31, 2021

2,678,909

$ 26,788

105,963,567

$ 1,059,634

$ 63,856,560

$ (32,986,282 )

$ 31,956,700

Common stock issued for exercise of warrants

-

0

41,667

417

26,667

0

27,084

Net income

-

0

-

0

0

337,141

337,141

BALANCE, June 30, 2021

2,678,909

$ 26,788

106,005,234

$ 1,060,051

$ 63,883,227

$ (32,649,141 )

$ 32,320,925

BALANCE, December 31, 2021

2,620,576

$ 26,205

106,240,361

$ 1,062,402

$ 63,991,459

$ (32,711,263 )

$ 32,368,803

Net income

-

0

-

0

0

786,252

786,252

BALANCE, March 31, 2022

2,620,576

$ 26,205

106,240,361

$ 1,062,402

$ 63,991,459

$ (31,925,011 )

$ 33,155,055

Net income

-

0

-

0

0

361,223

361,223

BALANCE, June 30, 2022

2,620,576

$ 26,205

106,240,361

$ 1,062,402

$ 63,991,459

$ (31,563,788 )

$ 33,516,278

	Preferred Stock						Common Stock						Additional Paid in			Shares To Be Returned To		Accumulated			Total Stockholders’
	Shares			Amount			Shares			Amount			Capital			Treasury		Deficit			Equity
BALANCE, December 31, 2021		2,620,576		$	26,205			106,240,361		$	1,062,402		$	63,991,459			-	$	(32,711,263	)	$	32,368,803
Net income (loss)		-			-			-			-			-			-		786,252			786,252
BALANCE, March 31, 2022		2,620,576		$	26,205			106,240,361		$	1,062,402		$	63,991,459			-	$	(31,925,011	)	$	33,155,055

BALANCE, December 31, 2022		2,620,576		$	26,205			106,373,341		$	1,063,732		$	64,052,630		$	(202,980)	$	(33,070,332	)	$	31,869,255
Share buyback and retirement		-			-			(418,696	)		(4,187	)		(198,793	)		202,980		-			-
Conversion of Preferred Series D to Common Stock		(1,692,672	)		(16,926	)		1,692,672			16,927			(1	)		-		-			-
Net income (loss)		-			-			-			-			-			-		(806,984	)		(806,984	)
BALANCE, March 31, 2023		927,904		$	9,279			107,647,317		$	1,076,472		$	63,853,836			-	$	(33,877,316	)	$	31,062,271

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

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UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

Six months ended June 30,

2022

2021

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income

$ 1,147,475

$ 1,653

Adjustments to reconcile net income to net cash used by operating activities:

Depreciation and amortization

451,207

442,408

Accretion of asset retirement obligation

11,412

1,732

Common stock payable for directors fees

75,000

56,250

Gain on settlement of Hillgrove advance

0

(113,422 )
Gain on forgiveness of Cares Act debt

0

(443,400 )
Write down of inventory to net realizable value

136,836

66,054

Change in fair value of investments

93,458

0

Changes in operating assets and liabilities:

Accounts receivable

(713,346 )

(362,681
)
Inventories

328,380

17,448

Prepaid expenses

(60,916 )

0

IVA receivable and other assets

(86,442 )

(15,402 )
Accounts payable

(706,155 )

(519,570 )
Accrued liabilities

64,045

(92,927 )
Export tax assessment payable

0

(1,120,730 )
Payable to related parties

4,084

(154,022 )
Net cash provided (used) by operating activities

745,038

(2,236,609 )
CASH FLOWS FROM INVESTING ACTIVITIES:

Proceeds from redemption of certificates of deposit

0

210,184

Purchase of investments

(13,789,772 )

0

Proceeds from sales of investments

396,921

0

Purchase of properties, plants and equipment

(382,999 )

(115,127
)
Net cash provided (used) by investing activities

(13,775,850 )

95,057
CASH FLOWS FROM FINANCING ACTIVITIES:

Change in checks issued and payable

0

(86,685
)
Payments on advances from related party

0

(56,416
)
Proceeds from issuance of common stock, net of issuance costs

0

23,342,180
Proceeds from exercise of warrants

0

1,790,703

Payments on Hillgrove advances payable

0

(1,020,799
)
Principal paid on notes payable to bank

0

(100,000
)
Principal payments of long-term debt

(19,767
)

(27,926
)
Net cash provided (used) by financing activities

(19,767 )

23,841,057
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH

(13,050,579 )

21,699,505

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD

21,420,329

722,377

CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD

$ 8,369,750

$ 22,421,882

NON-CASH FINANCING AND INVESTING ACTIVITIES:

Equipment purchased with note payable

$ 161,600

$ 0

Common stock payable to directors

0

130,483

Payable to related party satisfied with exercise of stock purchase warrants

0

62,500

	For the three months ended
	March 31, 2023			March 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(806,984	)	$	786,252
Adjustments to reconcile net income (loss) to net cash provided (used) by operating activities:
Depreciation and amortization		224,241			220,150
Accretion of asset retirement obligation		3,368			1,732
Common stock payable for directors fees		-			28,125
Write-down of inventory to net realizable value		246,792			-
Changes in operating assets and liabilities:
Accounts receivable		(919,819	)		(584,539	)
Inventories		(481,940	)		28,440
Prepaid expenses and other current assets		(141,852	)		-
IVA receivable and other assets		(173,275	)		(41,023	)
Accounts payable		206,849			(278,178	)
Accrued liabilities		(31,727	)		2,944
Accrued liabilities – directors and related parties		19,746			-
Royalties payable		(419,191	)		-
Net cash provided (used) by operating activities		(2,273,792	)		163,903
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of properties, plants and equipment		(614,770	)		(188,541	)
Net cash used by investing activities		(614,770	)		(188,541	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments of long-term debt		(23,022	)		(4,057	)
Dividends paid		(787,730	)		-
Net cash used by financing activities		(810,752	)		(4,057	)
NET DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH		(3,699,314	)		(28,695	)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD		19,117,666			21,420,329
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD	$	15,418,352		$	21,391,634
NON-CASH FINANCING AND INVESTING ACTIVITIES:
Share retirement	$	202,980		$	-
Conversion of Preferred Series D to Common Stock	$	16,927		$	-

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

Page 6 of 3223

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UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

~~June 30, 2022~~March 31, 2023

NOTE 1 - NATURE OF OPERATIONS

~~AGAU Mines, Inc., predecessor of~~ United States Antimony Corporation and its subsidiaries in the U.S. and Mexico (“USAC” or “the Company”), was incorporated in June 1968 as a Delaware corporation to mine gold and silver. USAC was incorporated in Montana in January 1970 to mine and produce antimony products. In June 1973, AGAU Mines, Inc. was merged into USAC. In December 1983, the ~~Company suspended its~~“Company”) sell processed antimony, mining operations when it became possible to purchase antimony raw materials more economically from foreign sources. The principal business of the Company has been the production and sale of antimony products.

~~During 2000, the Company formed a 75% owned subsidiary, Bear River Zeolite Company (“BRZ”), to mine and market~~ zeolite, and ~~zeolite~~precious metals products ~~from a mineral deposit~~ in ~~southeastern Idaho. In 2001, an operating plant was constructed at~~ the ~~zeolite site~~U.S. and ~~zeolite production~~abroad. The Company processes antimony ore in the U.S. and ~~sales commenced. During 2002, the Company acquired the remaining 25% of BRZ and continued to produce and sell zeolite products.~~

~~During 2005, the Company formed a 100% owned subsidiary, Antimonio de~~ Mexico ~~S.A. de C.V. (“AM”), to explore and develop potential antimony properties in Mexico.~~

~~During 2006, the Company acquired 100% ownership in United States Antimony, Mexico S.A. de C.V. (“USAMSA”), which became a wholly-owned subsidiary of the Company.~~

In 2018, the Company acquired 100% ownership in Stibnite Holding Company US Inc. (previously Lanxess Holding Company US Inc.), Antimony Mining and Milling US LLC (previously Lanxess Laurel US LLC), a Delaware limited liability company and Lanxess Laurel de Mexico, S.A. de C.V (“Lanxess Laurel Mexico”), a Mexico corporation, both of which became a wholly-owned subsidiary of the Company.

~~In its operations in Montana, the Company produces~~primarily into antimony oxide and antimony metal at its facilities in Mexico and ~~precious metals. Antimony~~Montana. Our antimony oxide is ~~a fine, white powder that is~~ used ~~primarily in conjunction with a halogen~~ to form a ~~synergistic~~ flame-retardant system for plastics, rubber, fiberglass, textile goods, paints, coatings and ~~paper. Antimony oxide is also used~~paper, as a color fastener in paint, ~~as a catalyst for production of polyester resins for fibers~~ and ~~film, as a catalyst for production of polyethylene pthalate in plastic bottles,~~ as a phosphorescent agent in fluorescent light ~~bulbs, and as an opacifier for porcelains. The Company also sells~~bulbs. Our antimony metal ~~for use~~is used in bearings, storage batteries, and ordnance.

In its operations in Idaho, the Company ~~produces~~mines and processes zeolite, a group of industrial minerals used in ~~a variety of purposes including~~ soil amendment and ~~fertilizer. Zeolite is also used for~~fertilizer, water filtration, sewage treatment, nuclear waste and other environmental cleanup, odor control, gas separation, animal nutrition, and other miscellaneous applications.

NOTE 2 –- BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of its financial position as of ~~June 30, 2022,~~March 31, 2023, and its results of operations ~~for the three and six months ended June 30, 2022, and 2021,~~ and cash flows for the ~~six~~three months ended ~~June 30, 2022~~March 31, 2023 and ~~2021.~~2022. The condensed consolidated balance sheet atas of December 31, ~~2021,~~2022, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. ~~Operating results for the three and six month periods ended June 30, 2022, are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2022.~~

These unaudited interim financial statements have been prepared by management in accordance with generally accepted accounting principles used in the United States of America (“U.S. GAAP”). These unaudited interim financial statements should be read in conjunction with the annual audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, ~~2021~~2022 filed with the Securities and Exchange Commission on ~~March 31, 2022.~~July 18, 2023.

This summary of significant accounting policies of the Company is presented to assist in understanding the Company’s financial statements. ~~The financial statements and notes are representations of the Company’s management, which is responsible for their integrity and objectivity.~~ These accounting policies conform to U.S. GAAP and have been consistently applied in the preparation of the financial statements.

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~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

Reclassifications

Certain reclassifications have been made to conform prior ~~periods’~~period amounts to the current presentation. These reclassifications have no effect on the results of operations, stockholders’ equity and cash flows as previously reported.

~~COVID -19~~

The Company’s operations and business have experienced disruption due to the unprecedented conditions surrounding the COVID-19 pandemic spreading throughout the United States and elsewhere, causing disruptions to the Company’s business operations and management. These disruptions are most evident in the Company’s ability to retain and house employees and properly manage them while maintaining proper social distancing and with delays in obtaining materials and supplies.

The effects of the continued outbreak of COVID-19 and related government responses could also include extended disruptions to supply chains and capital markets, reduced availability of contractors and a prolonged reduction in economic activity. These effects could have a variety of adverse impacts on the Company, including its ability to conduct operations.

The Company has taken steps to mitigate the potential risks to suppliers and employees posed by the spread of COVID-19, including work from home policies where appropriate. The Company will continue to monitor developments affecting both its workforce and contractors, and will take additional precautions as necessary. The ultimate impact of COVID-19 depends on factors beyond management’s knowledge or control, including its duration and third-party actions to contain its spread and mitigate its public health effects. Therefore, the Company cannot estimate the potential future impact to its financial position, results of operations and cash flows, but the impacts could be material.

~~Investments~~

The Company determines the appropriate classification of investments at the time of acquisition and re-evaluates such determinations at each reporting date. Equity securities that have a readily determinable fair value are carried at fair value determined using Level 1 fair value measurement inputs with the change in fair value recognized as unrealized gain (loss) in the consolidated statement of operations each reporting period. Gains and losses on the sale of securities are recognized on a specific identification basis.

~~New~~Recent Accounting Pronouncements

Management does not believe that any recently issued but not yet effective, accounting pronouncements, if currently adopted, would have a material effect on the Company’s financial statements.

Recently Adopted Accounting ~~standards that have been issued or proposed by~~Pronouncements:

In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.2016-13, ”Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”, which requires entities to use a forward-looking approach based on expected losses to estimate credit losses on certain types of financial instruments, including trade receivables. The FASB has subsequently issued updates to the standard to provide additional clarification on specific topics. The Company adopted the ASU on January 1, 2023 and determined that ~~do not require adoption until a future date are not expected to have a~~it had no material impact on the Company’s unaudited condensed consolidated financial statements ~~upon adoption.~~and disclosures.

Page 7 of 23

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

March 31, 2023

NOTE 3–3 – EARNINGS PER SHARE

Basic Earnings Per Share (“EPS”) is computed as net income (loss) available to common stockholders divided by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur from common shares issuable through convertible preferred stock, stock options, and warrants.

For the three months ended March 31, 2022, the calculation of diluted income per common share included 149,400 warrants to purchase one share of common stock. At ~~June 30,~~March 31, 2023 and 2022, ~~and 2021,~~ the potentially dilutive common stock equivalents not included in the calculation of diluted earnings per share as their effect would have been anti-dilutive ~~are~~were as follows:

June 30,
2022

June 30,
2021

Warrants

12,489,922

2,471,089

Convertible preferred stock

1,692,672

1,751,005

TOTAL POSSIBLE DILUTIVE SHARES

14,182,594

4,222,094

~~Page 8 of 32~~

~~Table of Contents~~

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

	March 31, 2023		March 31, 2022
Warrants		12,346,215		9,400,207
Convertible preferred stock		-		1,692,672
TOTAL POSSIBLE DILUTIVE SHARES		12,346,215		11,092,879

NOTE 4 – REVENUE RECOGNITION

Products consist of the following:

	·	Antimony: includes antimony oxide, sodium antimonate, antimony trisulfide, and antimony metal
	·	Zeolite: includes coarse and fine zeolite crushed in various sizes
	·	Precious metals: includes unrefined and refined gold and silver

Sales of products for the ~~three-months~~three months ended ~~June 30,~~March 31, 2023 and 2022 ~~and 2021~~ were as follows:

For the three months ended

June 30,
2022

June 30,
2021

Antimony

$ 2,472,081

$ 1,428,939

Zeolite

1,020,391

716,428

Precious metals

95,453

130,195

TOTAL REVENUE BY PRODUCT

$ 3,587,925

$ 2,275,562

~~Sales of products for the six months ended June 30, 2022 and 2021 were as follows:~~

For the six months ended

June 30,
2022

June 30,
2021

Antimony

$ 5,301,011

$ 2,086,046

Zeolite

1,694,433

1,236,375

Precious metals

172,787

206,428

TOTAL REVENUE BY PRODUCT

$ 7,168,231

$ 3,528,849

For the three and six months ended June 30, 2022, the Company also received royalties related to a trademark and licensing agreement in its antimony business segment. For the three and six months ended June 30, 2022, trademark and licensing income of $60,775 is included in other income in the antimony business segment (Note 12). For the three and six months ended June 30, 2021, trademark and licensing income was $Nil.

	For the three months ended
	March 31, 2023		March 31, 2022
Antimony	$	1,612,639	$	2,828,930
Zeolite		482,093		674,042
Precious metals		116,112		77,334
TOTAL REVENUE	$	2,210,844	$	3,580,306

The Company’s trade accounts receivable balance related to contracts with customers was ~~$1,604,660~~$1,704,276 at ~~June 30, 2022~~March 31, 2023 and ~~$891,314~~$784,457 at December 31, ~~2021.~~2022. The Company’s allowance for doubtful accounts related to trade accounts receivables was $50,000 at March 31, 2023 and $31,440 at December 31, 2022. The Company’s products do not involve any warranty agreements and product returns are not typical.

Page 8 of 23

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

March 31, 2023

NOTE 5– INVENTORIES

Inventories at ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021~~2022 consisted primarily of finished antimony products, antimony metal, antimony oxide, and antimony ore, and finished zeolite ~~products that~~products. Inventories are stated at the lower of first-in, first-out cost or estimated net realizable value. Finished antimony products, ~~antimony~~ metal and oxide, and finished zeolite products costs include raw materials, direct labor, ~~and~~ processing facility overhead costs and freight. Inventories at ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021 are~~2022 were as follows:

June 30,
2022

December 31,
2021

Antimony Metal

$ 128,591

$ 234,461

Antimony Oxide

278,134

439,086

Antimony Ore Concentrates

28,392

119,046

Total antimony

435,117

792,593

Zeolite

155,087

262,827

TOTAL INVENTORIES

$ 590,204

$ 1,055,420

~~Page 9 of 32~~

~~Table of Contents~~

	March 31, 2023		December 31, 2022
Antimony Metal	$	221,137	$	142,230
Antimony Oxide		303,167		509,643
Antimony Ore and Concentrates		762,378		545,373
Total antimony		1,286,682		1,197,246
Zeolite		323,534		177,822
TOTAL INVENTORIES	$	1,610,216	$	1,375,068

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

~~Inventories are~~At March 31, 2023 and December 31, 2022, inventories were valued at cost, except for the portion of inventory related to Mexican operations which ~~are~~was valued at net realizable value because the production costs of the Mexican inventory were greater than the amount the Company expected to receive on the sale of ~~the pounds of~~ antimony contained in inventory. The adjustment to inventory ~~which is included in cost of revenue on the statements of operations~~for net realizable value was ~~$136,836~~$246,792 and ~~$66,054~~$Nil for the ~~six~~three months ended ~~June 30,~~March 31, 2023 and 2022, ~~and 2021,~~ respectively.

Antimony oxide and metal inventory consisted of finished product held at the Company’s plants in Montana and Mexico. Antimony ~~concentrates~~ore and ~~ore~~concentrates were held primarily at sites in Mexico. The Company’s zeolite inventory ~~consists~~consisted of saleable zeolite ~~material.~~material at the Company’s plant in Idaho.

NOTE 6 – PROPERTIES, PLANTS AND EQUIPMENT

The major components of the Company’s properties, plants and equipment by segment at ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021 are shown below:~~2022 were as follows:

	Antimony Segment						Zeolite Segment			Precious Metals						Antimony Segment						Zeolite Segment			Precious Metals
June 30, 2022	USAC			USAMSA			BRZ			Segment			TOTAL
March 31, 2023																USAC			USAMSA			BRZ			Segment			TOTAL
Plant and equipment	$	1,759,271		$	9,197,870		$	4,051,016		$	1,347,912		$	16,356,069		$	1,764,475		$	9,454,833		$	5,216,880		$	1,347,912		$	17,784,100
Buildings		243,248			590,128			801,764			0			1,635,140			243,248			870,534			1,047,023			-			2,160,805
Land and other																	2,431,387			2,826,037			16,753			-			5,274,177
Construction in progress		0			280,406			332,629			0			613,035			-			-			447,525			-			447,525
Land and other		2,431,387			2,656,037			16,753			0			5,104,177
		4,433,906			12,724,441			5,202,162			1,347,912			23,708,421
Total																	4,439,110			13,151,404			6,728,181			1,347,912			25,666,607
Accumulated depreciation		(2,747,396	)		(5,904,748	)		(3,318,286	)		(495,270	)		(12,465,700	)		(2,776,083	)		(6,349,548	)		(3,444,034	)		(578,289	)		(13,147,954	)
	$	1,686,510		$	6,819,693		$	1,883,876		$	852,642		$	11,242,721
Properties, Plants, and Equipment, Net																$	1,663,027		$	6,801,856		$	3,284,147		$	769,623		$	12,518,653

Antimony Segment

Zeolite Segment

Precious Metals

December 31, 2021

USAC

USAMSA

BRZ

Segment

TOTAL

Plant and equipment

$ 1,684,977

$ 8,905,899

$ 3,853,056

$ 1,330,394

$ 15,774,326

Buildings

243,248

870,534

801,764

0

1,915,546

Construction in progress

0

280,406

184,972

0

465,378

Land and other

2,431,387

2,640,441

16,753

0

5,088,581

$ 4,359,612

$ 12,697,280

$ 4,856,545

$ 1,330,394

$ 23,243,831

Accumulated depreciation

(2,732,809 )

(5,622,555 )

(3,314,658 )

(440,076 )

(12,110,098 )

$ 1,626,803

$ 7,074,725

$ 1,541,887

$ 890,318

$ 11,133,733

~~At June 30, 2022 and December 31, 2021, the Company had $613,035 and $665,175, respectively, of assets that were not yet placed in service and have not yet been depreciated.~~

	Antimony Segment						Zeolite Segment			Precious Metals
December 31, 2022	USAC			USAMSA			BRZ			Segment			TOTAL
Plant and equipment	$	1,760,926		$	9,090,860		$	4,996,216		$	1,347,912		$	17,195,914
Buildings		243,248			870,534			1,047,023			-			2,160,805
Land and other		2,431,387			2,796,037			16,753			-			5,244,177
Construction in progress		-			280,406			170,535			-			450,941
Total		4,435,561			13,037,837			6,230,527			1,347,912			25,051,837
Accumulated depreciation		(2,767,803	)		(6,212,433	)		(3,392,861	)		(550,616	)		(12,923,713	)
Properties, Plants, and Equipment, Net	$	1,667,758		$	6,825,404		$	2,837,666		$	797,296		$	12,128,124

Page 10 9 of 32 23

~~Table of Contents~~

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

~~June 30, 2022~~March 31, 2023

~~NOTE 7 – ASSET RETIREMENT OBLIGATION AND ACCRUED RECLAMATION COSTS~~

~~Changes in the asset retirement obligation for the three and six months ended June 30, 2022 and 2021 are as follows:~~

Three months ended June 30,

2022

2021

Asset retirement obligation, beginning of period

$ 192,881

$ 184,219

Change in estimate of asset retirement obligation

15,596

0

Accretion expense

9,680

1,732

Asset retirement obligation, end of period

$ 218,157

$ 185,951

Six months ended June 30,

2022

2021

Asset retirement obligation, beginning of period

$ 191,149

$ 184,219

Change in estimate of asset retirement obligation

15,596

0

Accretion expense

11,412

1,732

Asset retirement obligation, end of period

$ 218,157

$ 185,951

~~The Company’s total asset retirement obligation and accrued reclamation costs of $325,657 and $298,649, at June 30, 2022~~At March 31, 2023 and December 31, ~~2021,~~2022, the Company had $1,132,474 and $1,117,041, respectively, ~~includes reclamation obligations for the Idaho~~of assets that were not yet placed in service and ~~Montana operations of $107,500.~~were not yet depreciated.

NOTE 87 – DEBT

Long term debt at ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021 is~~2022 was as follows:

	June 30, 2022			December 31, 2021			March 31, 2023			December 31, 2022
Promissory note payable to First Security Bank of Missoula, bearing interest at 2.25%, payable in 59 monthly installments of $1,409 with a final payment of $152,726 maturing November 9, 2026; collateralized by a lien on Certificate of Deposit	$	208,046		$	215,150		$	198,795		$	201,908
Installment contract payable to Caterpillar Financial Services, bearing interest at 6.65%, payable in 24 monthly installments of $7,210 maturing April 28, 2024; collateralized by 2007 Caterpillar 740 articulated truck		148,937			0			90,188			110,097
		356,983			215,150
Less current portion		(91,347	)		(13,230	)
Long term portion	$	265,636		$	201,920
Total debt								288,983			312,005
Less current portion of debt								(95,573	)		(94,150	)
Long term portion of debt							$	193,410		$	217,855

At ~~June 30, 2022,~~March 31, 2023, principal payments on debt ~~are~~were due as follows:

Twelve months ending June 30,

Principal payment

2023

$ 91,347

2024

82,573

2025

12,925

2026

13,219

2027

156,919

$ 356,983

~~Page 11 of 32~~

~~Table of Contents~~

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

Twelve months ending March 31,	Principal payment
2024	$	95,573
2025		20,021
2026		13,144
2027		160,245
	$	288,983

NOTE 98 – COMMITMENTS AND CONTINGENCIES

The Company follows U.S. GAAP guidance in determining its ~~accrual~~accruals and disclosures with respect to loss contingencies and ~~evaluate~~evaluates such accruals and contingencies for each reporting period. Accordingly, estimated losses from loss contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable that a ~~liability~~loss could be incurred, and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the loss contingency is made in the financial statements when it is at least reasonably possible that a material loss could be incurred.

From time to time, the Company is assessed fines and penalties by the Mine Safety and Health Administration (“MSHA”). Using appropriate regulatory channels, management may contest these proposed assessments. At ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021,~~2022, the Company had no accrued liabilities ~~of $1,270 and $Nil, respectively,~~ relating to such assessments.

The Company pays various royalties on the sale of zeolite products. On a combined basis, royalties generally vary ~~from~~around 8%~~-13%~~ to 13%. During the three months ended June 30, 2022 and 2021, the Company incurred royalty expense of $85,870 and $69,437, respectively. During the six months ended June 30, 2022 and 2021, the Company incurred royalty expense of $147,900 and $131,567 respectively. Royalty expense is included in cost of goods sold on the condensed consolidated statement of operations.

At ~~June 30, 2022~~March 31, 2023 and December 31, ~~2021,~~2022, the Company had accrued royalties payable of ~~$409,887~~$15,884 and $346,242 respectively, which is included in accrued liabilities on the condensed consolidated balance sheets. The Company is currently in negotiations with certain royalty holders to modify the terms of the agreements.

~~NOTE 10 – STOCKHOLDERS’ EQUITY~~

During the six months ended June 30, 2021, the Company sold shares of its common stock in two separate transactions: on February 3, 2021, 15,300,000 shares were sold at $0.70 for gross proceeds of $10,710,000; and on February 18, 2021, 10,990,000 shares were sold at $1.30 for gross proceeds of $14,287,000. A total of $1,654,820 of issuance costs were incurred on these sales.

~~During the six months ended June 30, 2021, the Company issued 3,765,477 shares of common stock and received $1,790,703 in cash from the exercise of warrants.~~

$435,075, respectively. During the three months ended ~~June 30, 2022 and June 30, 2021,~~March 31, 2023, the Company ~~expensed $46,875 and $28,125, respectively, in directors’ fees payable that are anticipated to be~~ paid ~~in common stock. During the six months ended June 30, 2022 and June 30, 2021, the Company expensed $75,000 and $28,125, respectively in directors’ fees payable~~

~~At June 30, 2022 and December 31, 2021, the accrued balance of stock payable to directors fees for services was $187,500 and $112,500, respectively.~~

~~The Company issued no shares of common stock during the three or six months ended June 30, 2022. During the three and six months ended June 30, 2022, no warrants were exercised.~~

~~Common stock warrants~~

In February 2021, concurrent with sale of common stock, the Company issued warrants to purchase 7,650,000 shares of common stock at an exercise price of $0.85 per share. The warrants are initially exercisable six months following issuance and expire five and one-half years from the issuance date. In connection with the February 2021 sales of common stock, the Company also issued 1,606,500 warrants with an exercise price of $0.85 and 804,000 warrants with an exercise price of $0.46 as commissiona royalty obligation related to the ~~placement agent. There were no warrants exercised during the three or six months ended June 30, 2022.~~

~~The Company issued no warrants~~time period from 2016 to ~~purchase common stock during the three or six months ended June 30, 2022.~~2022 after finalizing its estimates.

Page 1210 of 3223

~~Table of Contents~~

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

~~June 30, 2022~~March 31, 2023

~~The following is a summary of the Company’s warrants to purchase shares of common stock activity:~~

Number of warrants

Exercise prices

Balance outstanding at December 31, 2020

6,194,899

$ 0.65

Issued

10,060,500

$0.46 - $0.85

Exercised

(3,765,477 )

$0.46 - $0.65

Balance outstanding at December 31, 2021 and June 30, 2022

12,489,922

$ 0.75

~~The composition of the Company’s warrants outstanding at June 30, 2022 is as follows:~~

Number of warrants

Exercise Price

Expiration Date

Remaining life (years)

143,707

$ 0.65

8/12/2022

0.12

2,285,715

0.46

7/31/2025

3.09

804,000

0.46

1/27/2026

3.58

7,650,000

0.85

8/3/2026

4.10

1,606,500

0.85

2/1/2026

3.59

12,489,922

~~NOTE 11 – INVESTMENTS~~

~~In April 2022, the Company opened an investment account composed of U.S. Treasury bonds which are measured using Level 1 fair value inputs that are based on quoted prices in active markets.~~

For the three and six months ended June 30, 2022, the Company recognized $93,458 in the change in fair value of investments on the condensed consolidated statement of operations. As of June 30, 2022, the cost and fair value of the investment portion of the account was $13,492,655 and $13,431,774, respectively.

~~As of June 30, 2022, the cash and cash equivalent portion of the account was $132,380, which is included in cash and cash equivalents on the condensed consolidated balance sheet.~~

~~NOTE 12 – BUSINESS SEGEMENTS~~

The Company is currently organized and managed by four segments, which represent our operating units: United States antimony operations, Mexican antimony operations, precious metals recovery and United States zeolite operations.

~~Page 13 of 32~~

~~Table of Contents~~

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

The Puerto Blanco mill and the Madero smelter at the Company’s Mexico operation bring antimony up to an intermediate or finished stage, which may be sold directly or shipped to the United States operation for finishing at the Thompson Falls, Montana plant. The Puerto Blanco mill in Mexico is the site of our crushing and flotation plant, and a cyanide leach plant which will recover precious metals after the ore goes through the crushing and flotation cycles. A precious metals recovery plant is operated in conjunction with the antimony processing plant at Thompson Falls, Montana, where a 99% precious metals mix will be produced. The zeolite operation produces zeolite near Preston, Idaho. Almost all of the sales of products from the United States antimony and zeolite operations are to customers in the United States, although the Company does have a sales operation in Canada.

For the three months ended June 30,

For the six months ended June 30,

Capital expenditures

2022

2021

2022

2021

Antimony

United States

$ 51,927

$ 0

$ 80,277

$ 0

Mexico

10,724

4,872

11,565

9,744

Subtotal antimony

62,651

4,872

91,842

9,744

Precious metals

9,138

18,921

17,518

37,347

Zeolite

299,865

68,036

435,239

68,036

Total

$ 371,654

$ 91,829

$
544,599

$ 115,127

Total Assets:

June 30,
2022

December 31,
2021

Antimony

United States

$ 24,552,558

$ 24,130,348

Mexico

7,446,054

7,771,515

Subtotal antimony

31,998,612

31,901,863

Precious metals

United States

183,713

107,464

Mexico

668,929

782,854

Subtotal precious metals

852,642

890,318

Zeolite

2,904,763

2,210,546

TOTAL

$ 35,756,017

$ 35,002,727

~~Page 14 of 32~~

~~Table of Contents~~

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

Segment operations for the three months ended June 30, 2022

Antimony - USA

Antimony -Mexico

Total antimony

Precious Metals

Zeolite

Total

Total revenues

$ 1,644,259

$ 827,822

$ 2,472,081

$ 95,453

$ 1,020,391

$ 3,587,925

Depreciation and amortization

$ 11,101

$ 143,736

$ 154,837

$ 27,674

$ 48,546

$ 231,057

Income from operations

$ 120,636

$ 24,396

$ 145,032

$ 67,779

$ 154,124

$ 366,935

Other income (expense)

(3,975)

0

(3,975)

0

(1,737)

(5,712)
NET INCOME

$ 116,661

$ 24,396

$ 141,057

$ 67,779

$ 152,387

$ 361,223

~~Page 15 of 32~~

~~Table of Contents~~

~~UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES~~

~~NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)~~

~~June 30, 2022~~

Segment operations for the three months ended June 30, 2021

Antimony - USA

Antimony -Mexico

Total antimony

Precious Metals

Zeolite

Total

Total revenues

$ 1,428,939

$ 0

$ 1,428,939

$ 130,195

$ 716,428

$ 2,275,562

Depreciation and amortization

$ 7,893

$ 144,999

$ 152,892

$ 28,226

$ 38,826

$ 219,944

Income (loss) from operations

$ 99,642

$ (575,363 )

$ (475,721 )

$ 101,969

$ 141,562

$ (232,190 )
Other income (expense)

456,725

113,422

570,147

0

(816 )

569,331

NET LOSS

$ 556,367

$ (461,941 )

$ 94,426

$ 101,969

$ 140,746

$ 337,141

Segment operations for the six months ended June 30, 2022

Antimony - USA

Antimony -Mexico

Total antimony

Precious Metals

Zeolite

Total

Total revenues

$ 4,473,189

$ 827,822

$ 5,301,011

$ 172,787

$ 1,694,433

$ 7,168,231

Depreciation and amortization

$ 20,570

$ 282,193

$ 302,763

$ 55,194

$ 93,250

$ 451,207

Income (loss) from operations

$ 1,512,148

$ (659,641 )

$ 852,507

$ 117,593

$ 176,415

$ 1,146,515

Other income (expense)

3,335

0

3,335

0

(2,375 )

960
NET INCOME (LOSS)

$ 1,515,483

$ (659,641 )

$ 855,842

$ 117,593

$ 174,040

$ 1,147,475

Segment operations for the six months ended June 30, 2021

Antimony - USA

Antimony -Mexico

Total antimony

Precious Metals

Zeolite

Total

Total revenues

$ 2,086,046

$ 0

$ 2,086,046

$ 206,428

$ 1,236,375

$ 3,528,849

Depreciation and amortization

$ 15,784

$ 289,951

$ 305,735

$ 55,830

$ 80,843

$ 442,408

Income (loss) from operations

$ (119,027 )

$ (813,931 )

$ (932,958 )

$ 150,598

$ 208,444

$ (573,916 )
Other income (expense)

463,360

113,422

576,782

0

(1,213 )

575,569

NET INCOME (LOSS)

$ 344,333

$ (700,509 )

$ (356,176 )

$ 150,598

$ 207,231

$ 1,653

~~NOTE 13 – SUBSEQUENT EVENTS~~

On August 8, 2022, the Company executed a preliminary Purchase Option Agreement (the ~~‘agreement”~~“Agreement”) with SB Wadley SA de CV (“Wadley”) whereby the Company leases, with an option to acquire, mining claims located in Mexico known as the Wadley Property. Under the ~~agreement,~~Agreement, the Company will pay Wadley eight monthly installments of ~~$11,600~~$10,000 plus VAT for the right to mine and conduct geological and resource studies as due diligence and exploration on the Wadley Property. At the end of ~~the eight months,~~such eight-month period, should the Company choose to exercise ~~the~~its option to acquire following due diligence and assessment of geological and resource studies, the Company will pay Wadley $2,230,000 and seven annual payments of $1,160,000. The due diligence period under the Agreement has been extended to October 15, 2023. As of March 31, 2023 and December 31, 2022, the Company had capitalized $70,000 and $40,000, respectively, of payments to Wadley.

Mexican Tax Assessment

In 2015, the Mexican tax authority (“SAT”) initiated an audit of the USAMSA’s 2013 income tax return. In October 2016, as a result of its audit, SAT assessed the Company $13.8 million pesos, which was approximately $666,400 in U.S. Dollars (“USD”) as of December 31, 2016. SAT’s assessment was based on the disallowance of specific costs that the Company deducted on the 2013 USAMSA income tax return. The assessment was settled in 2018 with no assessment against the Company.

In early 2019, the Company was notified that SAT re-opened its assessment of USAMSA’s 2013 income tax return and, in November 2019, SAT assessed the Company $16.3 million pesos, which was approximately $795,000 USD as of December 31, 2021.

Management reviewed the 2019 assessment notice from SAT and, similar to the earlier assessment, believes the findings have no merit. An appeal was filed by the Company in November 2019 suspending SAT from taking immediate action regarding the assessment. The Company posted a guarantee of the amount in March 2020 as is required under the appeal process. In August 2020, the Company filed a lawsuit against SAT for resolution of the process and, in December 2020, filed closing arguments. During the year ended December 31, 2022, the Mexican court ruled against the Company in the above matter. The Company appealed the ruling, which is still pending.

As of March 31, 2023, the updated SAT assessment was approximately $30.2 million pesos, which was approximately $1,674,000 USD for $907,000 of unpaid income taxes and $767,000 of interest and penalties. Management assessed the possible outcomes for this tax audit and believes, based on discussions with its tax attorney in Mexico, that the most likely outcome will be that the Company will be successful in its appeal resulting in no tax due. Management determined that no amount should be accrued at March 31, 2023 or December 31, 2022 relating to this potential tax liability. There can be no assurance that the Company’s ultimate liability, if any, will not have a material adverse effect on the Company’s results of operations or financial position.

If an issue addressed during the SAT audit is resolved in a manner inconsistent with management expectations, the Company will record changes to tax attributes, recognize penalties in general and administrative expense, interest will be recorded as interest expense and record the tax expense associated with the assessment.

NOTE 9 – STOCKHOLDERS’ EQUITY

On January 25, 2023, the holders of 1,692,672 shares of Series D Preferred stock converted the preferred shares and the Company issued 1,692,672 shares of common stock. The Company also paid the holders $787,730 for dividends payable as declared on November 28, 2022. 1,590,672 shares of the 1,692,672 shares of Series D Preferred stock that were converted and $740,261 of the $787,730 of dividends paid related to the estate of John Lawrence, who was a prior President and Chairman of the Company.

On January 26, 2023, in conjunction with its share repurchase plan, the Company returned to treasury and cancelled 418,696 of its common shares which were repurchased prior to December 31, 2022 for $202,980.

Page 1611 of 3223

~~Table of Contents~~

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

March 31, 2023

Common stock warrants

No warrants were issued or exercised during the three months ended March 31, 2023 and 2022.

The following summarizes warrant activity:

		Number of warrants				Exercise prices
Balance outstanding at December 31, 2022 and March 31, 2023			12,346,215			$	0.75

The composition of the Company’s warrants outstanding at March 31, 2023 was as follows:

Number of warrants		Exercise Price		Expiration Date	Remaining life in years
	2,285,715	$	0.46	7/31/2025		2.34
	804,000	$	0.46	1/27/2026		2.83
	7,650,000	$	0.85	8/3/2026		3.35
	1,606,500	$	0.85	2/1/2026		2.84
	12,346,215

NOTE 10 – BUSINESS SEGEMENTS

The Company is organized and managed with four business segments, which represent our operating units: United States antimony operations, Mexican antimony operations, precious metals recovery and United States zeolite operations.

The Puerto Blanco mill and the Madero smelter at the Company’s Mexico operation bring antimony up to an intermediate or finished stage, which may be sold directly to customers in the United States or shipped to the United States operation for finishing at the Company’s plant near Thompson Falls, MT. The Puerto Blanco mill in Mexico is the site of our crushing and flotation plant, and a cyanide leach plant which recovers precious metals after the ore goes through the crushing and flotation cycles. A precious metals recovery plant is operated in conjunction with the antimony processing plant at Thompson Falls, MT, where a 99% precious metals mix is produced. The zeolite operation produces zeolite near Preston, Idaho. Almost all the sales of products from the United States antimony and zeolite operations are to customers in the United States. Sales to foreign countries are primarily to customers in Canada.

Total Assets:	March 31, 2023		December 31, 2022
Antimony
United States	$	18,807,438	$	21,636,386
Mexico		8,818,420		8,484,131
Subtotal antimony		27,625,858		30,120,517
Precious metals
United States		211,754		172,004
Mexico		603,473		625,292
Subtotal precious metals		815,227		797,296
Zeolite		4,420,674		3,782,637
TOTAL	$	32,861,759	$	34,700,450

Page 12 of 23

UNITED STATES ANTIMONY CORPORATION AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

March 31, 2023

	For the three months ended
Capital expenditures:	March 31, 2023		March 31, 2022
Antimony
United States	$	3,550	$	28,350
Mexico		113,568		16,437
Subtotal antimony		117,118		44,787
Precious metals		-		8,380
Zeolite		497,652		135,374
TOTAL	$	614,770	$	188,541

Segment operations for the three months ended March 31, 2023	Antimony - USA		Antimony -Mexico			Total antimony			Precious Metals		Zeolite			Total
Total revenues	$	1,612,639	$	-		$	1,612,639		$	116,112	$	482,093		$	2,210,844
Depreciation and amortization		8,280		137,114			145,394			27,673		51,174			224,241
Income (loss) from operations	$	62,072	$	(1,097,762	)	$	(1,035,690	)	$	88,439	$	(64,605	)	$	(1,011,856	)
Other income (expense)															204,872
Net income (loss)														$	(806,984	)

Segment operations for the three months ended March 31, 2022	Antimony - USA		Antimony -Mexico			Total antimony		Precious Metals		Zeolite		Total
Total revenues	$	2,828,930	$	-		$	2,828,930	$	77,334	$	674,042	$	3,580,306
Depreciation and amortization		9,469		138,457			147,926		27,520		44,704		220,150
Income (loss) from operations	$	1,391,512	$	(684,037	)	$	707,475	$	49,814	$	22,291	$	779,580
Other income (expense)													6,672
Net income (loss)												$	786,252

Page 13 of 23

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This quarterly report and the exhibits attached hereto contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements concern the Company’s anticipated results and developments in the Company’s operations in future periods, planned exploration and development of its properties, plans related to its business and other matters that may occur in the future. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management.

Any statement that expresses or involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always using words or phrases such as “expects” or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “estimates”, or “intends”, or states that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking statements, including, without ~~limitation:~~limitation risks related to:

	·	~~Risks related to the~~ The Company’s properties being in the exploration stage;
	·	~~Risks related to the~~ The mineral operations being subject to government regulation;
	·	~~Risks related to environmental concerns;~~
	·	~~Risks related to the~~The Company’s ability to obtain additional capital to develop the Company’s resources, if any;
	·	~~Risks related to mineral~~ Mineral exploration and development activities;
	·	~~Risks related to mineral~~ Mineral estimates;
	·	~~Risks related to the~~ The Company’s insurance coverage for operating risks;
	·	~~Risks related to the~~ The fluctuation of prices for precious and base metals, such as gold ~~silver~~ and ~~copper;~~silver;
	·	~~Risks related to the~~ The competitive industry of mineral exploration;
	·	~~Risks related to the~~ The title and rights in the Company’s mineral properties;
	·	~~Risks related to the~~ Environmental hazards;
	·	The possible dilution of the Company’s common stock from additional financing activities;
	·	~~Risks related to potential conflicts of interest with the Company’s management;~~ Metallurgical and other processing problems;
	·	~~Risks related~~ Unexpected geological formations;
	·	Global economic and political conditions;
	·	Staffing in remote locations;
	·	Changes in product costing;
	·	Inflation on operational costs and profitability;
	·	Competitive technology positions and operating interruptions (including, but not limited to, labor disputes, leaks, fires, flooding, landslides, power outages, explosions, unscheduled downtime, transportation interruptions, war and terrorist activities);
	·	Global pandemics or civil unrest;
	·	Mexican labor and cartel issues regarding safety and organized control over our properties;
	·	The possible dilution of the Company’s ~~shares~~common stock from additional financing activities;
	·	Potential conflicts of interest with the Company’s management; and
	·	The Company’s common ~~stock;~~stock.

This list is not exhaustive of the factors that may affect the Company’s forward-looking statements. Some of the important risks and uncertainties that could affect forward-looking statements are described further under the sections titled “Risk Factors”, “Description of Business” and “Management’s Discussion and Analysis and Plan of Operation” of this Quarterly Report. ~~Should~~If one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, believed, estimated or expected. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. United States Antimony Corporation disclaims any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as required by law. The Company advises readers to carefully review the reports and documents filed from time to time with the Securities and Exchange Commission (the “SEC”), particularly the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

Page 14 of 23

~~United States Antimony Corporation qualifies all forward-looking statements contained in this Quarterly Report by the foregoing cautionary statement.~~

Certain statements contained in this Quarterly Report on Form 10-Q constitute “forward-looking statements.” These statements, identified by words such as “plan,” “anticipate,” “believe,” “estimate,” “should,” “expect,” and similar expressions include the Company’s expectations and objectives regarding its future financial position, operating results and business strategy. These statements reflect the current views of management with respect to future events and are subject to risks, uncertainties and other factors that may cause actual results, performance or achievements, or industry results, to be materially different from those described in the forward-looking statements. Such risks and uncertainties include those set forth under the caption “Management’s Discussion and Analysis or Plan of Operation” and elsewhere in this Quarterly Report.

As used in this Quarterly Report, the terms “we,” “us,” “our,” “United State Antimony Corporation,”, “US ~~Antinomy “and~~Antimony,” “USAC,” and the “Company”, mean United States Antimony Corporation, unless otherwise indicated. All dollar amounts in this Quarterly Report are expressed in U.S. dollars, unless otherwise indicated.

~~Page 17 of 32~~

~~Table of Contents~~

Management’s Discussion and Analysis is intended to be read in conjunction with the Company’s condensed consolidated financial statements and the integral notes (“Notes”) thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ~~ended~~ending December 31, ~~2021.~~2022. The following statements may be forward-looking in nature and actual results may differ materially.

~~Reports to Security Holders~~

The Registrant does not issue annual or quarterly reports to security holders other than the annual Form 10-K and quarterly Forms 10-Q as electronically filed with the SEC. Electronically filed reports may be accessed at ~~www.sec.gov~~

DESCRIPTION OF BUSINESS

History

United States Antimony Corporation ~~or USAC,~~ was incorporated in Montana in January 1970 to mine and produce antimony products. In December 1983, wethe Company suspended antimony ore mining operations in the U.S. but continued to produce antimony products ~~from domestic and~~using foreign ~~sources.~~sources of antimony ore. In April 1998, wethe Company formed United States Antimony Mexico SA de CV ~~or USAMSA,~~(“USAMSA”) to ~~mine and~~ smelt antimony in ~~Mexico. Bear River Zeolite~~Mexico, and, in August 2005, the Company ~~or BRZ, was incorporated in 2000, and it is mining and producing zeolite in southeastern Idaho. On August 19, 2005, USAC~~ formed Antimonio de Mexico, S. A. de C. V. (“ADM”) to explore and develop antimony and silver deposits in Mexico. The Company formed Bear River Zeolite Company (“BRZ”) in 2000 for the purpose of mining and producing zeolite in southeastern Idaho. Our principal business is the production and sale of antimony, silver, gold, and zeolite products. OnIn May ~~16,~~ 2012, weour shares of common stock started trading on the NYSE MKT (now NYSE AMERICAN) under the symbol UAMY.

Although we extract minerals from the Los Juarez, Mexico antimony property and the Bear River, Idaho zeolite property that we later process and sell, each of our mining properties is classified under Regulation S-K Item 1300 as an exploration stage property and the Company is classified as an exploration stage issuer because we have not prepared a technical report summary for any of our properties making a determination that the property contains proven mineral reserves or probable mineral reserves.

Antimony Division

~~Our antimony smelter and precious metals plant is located in the~~The Burns Mining District of Sanders County, ~~Montana,~~MT, which is approximately 15 miles west of Thompson Falls, ~~MT.~~MT, is the location of one of our antimony smelters and precious metals plants. We hold 2 patented ~~mill sites~~claims, meaning owned claims, where the plant is located. ~~We have no “proven reserves” or “probable reserves” of antimony. Environmental~~Mining was suspended at this site in December 1983, because antimony ore could be purchased more economically from foreign sources; currently, environmental restrictions preclude mining at this site.

~~Mining was suspended in December~~Since 1983, ~~because antimony could be purchased more economically from foreign sources.~~

~~For 2021, and since 1983,~~ we have relied on foreign sources for ~~raw materials,~~antimony ore, and there are risks of interruption in procurement from these sources and/or volatile changes in world market prices for these materials that are not controllable by us. We have sources of antimony in Mexico, but we ~~are still depending~~also depend on foreign companies for ~~raw material in the future.~~antimony ore. We expect to continue to receive ~~raw materials~~antimony from our owned and leased properties ~~for 2022~~in Mexico and ~~later years. We continue working with~~from foreign suppliers in ~~North America,~~Canada, Mexico, and Central ~~America, and South~~ America.

We currently own 100% of the common stock, equipment, and the leases on real property of United States Antimony, Mexico S.A. de C.V. or “USAMSA”, which was formed in April 1998. We currently own 100% of the stock in Antimony de Mexico SA de CV (ADM) which owns the San Miguel concession of the Los Juarez property. USAMSA has two divisions, (1) the Madero smelter in Coahuila, (2) the Puerto Blanco flotation mill and oxide circuit in Guanajuato. ADM possesses the Los Juarez mineral deposit.

In ~~our existing operations in~~ Montana, we produce antimony oxide, antimony metal, and precious metals. ~~Antimony~~Our antimony oxide is ~~a fine, white powder that is~~ used ~~primarily~~ in conjunction with a halogen to form a synergistic flame-retardant system for plastics, rubber, fiberglass, textile goods, paints, coatings, and paper. ~~Antimony~~Our antimony oxide is also used as a color fastener in paint ~~as a catalyst for production of polyester resins for fibers~~ and ~~film, as a catalyst for production of polyethylene pthalate in plastic bottles,~~ as a phosphorescent agent in fluorescent light ~~bulbs, and as an opacifier for porcelains. We also sell~~bulbs. Our antimony metal ~~for use~~is used in bearings, storage batteries and ordnance.

~~Page 18 of 32~~

~~Table of Contents~~

We estimate (but have not independently confirmed) that our present share of the domestic market and international market for antimony oxide products is approximately 4% and less than 1%, respectively. We are the only significant U.S. producer of antimony products, while China supplies 92% of the world antimony demand. We believe we are competitive both domestically and ~~world-wide~~worldwide due to the ~~following:~~following factors:

	·	We have a reputation for quality products delivered on a timely basis.

	·	We have the only two operating, permitted antimony smelters in North and Central America.

	·	We are the only ~~domestic~~U.S. producer of antimony products.

Page 15 of 23

	·	We can ship on short notice to domestic customers.

	·	We are vertically integrated, with ~~raw materials from our own~~antimony mines, mills, and a smelter in Mexico, along with ~~the raw materials from~~our facilities in Montana and exclusive supply agreements ~~we have~~for antimony ore with ~~numerous ore and raw material~~third-party suppliers.

	·	Our smelter in Coahuila is the largest operating antimony smelter in Mexico or the United States, with a current maximum processing capacity of ~~about~~approximately 32,600 pounds of ~~feed~~antimony ore per day, and permitting ~~for 50%~~to expand capacity up to 70% ~~expansion.~~.

Zeolite Division

We own 100% of ~~Bear River Zeolite Company, (BRZ, an Idaho corporation) that was incorporated on June 1, 2000.~~BRZ. BRZ has a lease with Zeolite LLC (f/k/a Webster Farm, L.L.C.) that entitles BRZ to surface mine and process zeolite on property located near Preston, Idaho, in exchange for a royalty payment. ~~In 2010 the~~The annual royalty payment ~~was adjusted to $10 per ton sold. The current~~is the greater of: (1) the minimum annual royalty ~~is $60,000. In addition,~~of $60,000, adjusted annually for the Consumer Price Index for all Urban Consumers, or (2) $11.00 per ton for the first ten thousand tons, $9.90 per ton for tons in excess of ten thousand up to twenty thousand, and $8.80 per ton for tons in excess of twenty thousand. This Zeolite LLC lease also requires BRZ ~~has more zeolite~~to pay $10,000 to the lessor on ~~U.S. Bureau~~March 1 of ~~Land Management land. The Company~~each year during the term of the lease which ends March 1, 2025. BRZ also pays ~~various~~other royalties on the sale of zeolite products. ~~William Raymond and Nancy Couse are paid a royalty that varies from $1 to $5 per ton. On a combined basis,~~In total, royalties vary from 8%~~-13%~~ to 13% of sales. ~~Shortly after inception~~In addition, BRZ can surface mine and process zeolite on property owned by the U.S. Bureau of Land Management that is adjacent to the Company’s Preston, Idaho property. Also, given the mining difficulties in the winter season, BRZ constructed ~~a processing plant on the property which improved its productive capacity. Ground-breaking for an additional warehouse~~warehouses to store additional inventory and a shop to service equipment started in 2021 and the warehouse and shop are expected to be completed by mid-2022. A vertical-shaft-impactor crusher was replaced by a hammer mill for crushing line number 1 in 2021 for increased production rate. A replacement jaw crusher was installed and put into service in 2021. The new jaw crusher was further improved with a variable-speed apron feeder in late 2021 and subsequent and substantial improvements have been mademined zeolite prior to the ~~jaw crusher~~winter season to remain in ~~2022. In 2021,~~production during the ~~Company purchased a house in Preston Idaho for the express purpose of housing workers for its zeolite operation.~~

~~We have no reserves nor resources of zeolite.~~winter season.

“Zeolite” refers to a group of industrial minerals that consist of hydrated aluminosilicates that hold cations such as calcium, sodium, ammonium, various heavy metals, and potassium in their crystal lattice. Water is loosely held in cavities in the lattice. BRZ zeolite is regarded as one of the best zeolites in the world due to its high ~~CEC~~cation exchange capacity (CEC) of approximately 180-220 meq/100 gr. (which predicts plant nutrient availability and retention in soil), its hardness and high clinoptilolite content (which is an effective barrier to prevent problematic radionuclide movement), its absence of clay minerals, and its low sodium content. ~~BRZ’s~~Our zeolite ~~deposits’ characteristics which make the mineral useful for a variety of purposes including:~~is used in:

	☐	Soil Amendment and Fertilizer. Zeolite has been successfully used to fertilize golf courses, sports fields, parks and common areas, and high value agricultural ~~crops~~crops.

	☐	Water Filtration. Zeolite is used for particulate, heavy metal and ammonium removal in swimming pools, municipal water systems, fisheries, fish farms, and aquariums.

	☐	Sewage Treatment. Zeolite is used in sewage treatment plants to remove nitrogen and as a carrier for microorganisms.

	☐	Nuclear Waste and Other Environmental Cleanup. Zeolite has shown a strong ability to selectively remove strontium, cesium, radium, uranium, and various other radioactive isotopes from solution. Zeolite can also be used for the cleanup of soluble metals such as mercury, chromium, copper, lead, zinc, arsenic, molybdenum, nickel, cobalt, antimony, calcium, silver and uranium.

	☐	Odor Control. A major cause of odor around cattle, hog, and poultry feed lots is the generation of the ammonium in urea and manure. The ability of zeolite to absorb ammonium prevents the formation of ammonia gas, which disperses the odor.

~~Page 19 of 32~~

~~Table of Contents~~

	☐	Gas Separation. Zeolite has been used for some time to separate gases, to re-oxygenate downstream water from sewage plants, smelters, pulp and paper plants, and ~~fish ponds~~fishponds and tanks, and to remove carbon dioxide, sulfur dioxide and hydrogen sulfide from methane generators as organic waste, sanitary landfills, municipal sewage systems, animal waste treatment facilities, and is excellent in pressure swing apparatuses.

	☐	Animal Nutrition. According to ~~other~~third-party research, feeding up to 2% zeolite increases growth rates, decreases conversion rates, and prevents scours. ~~BRZ does not make these claims.~~

	☐	Miscellaneous Uses. Other uses include catalysts, petroleum refining, concrete, solar energy and heat exchange, desiccants, pellet binding, horse and kitty litter, floor cleaner, traction control, ammonia removal from mining waste, and carriers for insecticides, pesticides and ~~herbicides~~.herbicides.

Page 16 of 23

SELECTED FINANCIAL DATA.

~~Statement~~Results of ~~Operations Information:~~Operations:

	For the three months ended June 30,						For the six months ended June 30,					For the three months ended
	2022			2021			2022		2021			March 31, 2023			March 31, 2022
Revenues	$	3,587,925		$	2,275,562		$	7,168,231	$	3,528,849		$	2,210,844		$	3,580,306
Costs of revenues		2,865,515			2,079,164			5,306,433		3,120,294
Gross profit		722,410			196,398			1,861,798		408,555
Cost of revenues													2,746,263			2,440,918
Gross profit (loss)													(535,419	)		1,139,388
Total operating expenses		355,475			428,588			715,283		982,471			476,437			359,808
Income (loss) from operations		366,935			(232,190	)		1,146,515		(573,916	)		(1,011,856	)		779,580
Other income (expense)		(5,712	)		569,331			960		575,569			204,872			6,672
NET INCOME	$	361,223		$	337,141		$	1,147,475	$	1,653
NET INCOME (LOSS)												$	(806,984	)	$	786,252

Weighted average shares of common stock (basic)		106,240,361			106,315,419			106,240,361		99,513,378			107,260,472			106,240,361
Weighted average shares of common stock (diluted)		106,240,361			108,696,704			106,240,361		99,513,378			107,260,472			106,389,761

Income (loss) per share (basic and diluted)												$	(0.01	)	$	0.01

Balance Sheet Information:

June 30,
2022

December 31,
2021

Working capital

$ 22,665,906

$ 21,548,137

Total assets

35,756,017

35,002,727

Accumulated deficit

(31,563,788 )

(32,711,263 )
Stockholders’ equity

33,516,278

32,368,803

~~Page 20 of 32~~

~~Table of Contents~~

	March 31, 2023			December 31, 2022
Working capital	$	18,005,623		$	19,397,489
Total assets		32,861,759			34,700,450
Accumulated deficit		(33,877,316	)		(33,070,332	)
Stockholders’ equity		31,062,271			31,869,255

Operational and financial performance

by Segment:

Antimony

Financial and operational ~~metrics~~performance of antimony for the three months ended ~~June 30,~~March 31, 2023 and 2022 ~~and 2021 are as follows:~~

Three months ended June 30,

Pct. Increase

Antimony - Combined USA and Mexico

2022

2021

$ Change

(Decrease)

Total revenue -antimony

$ 2,472,081

$ 1,428,939

$ 1,043,142

73.0 %
Gross profit - antimony

490,559

(62,222 )

552,781

(888.4 )%
Total lbs of antimony metal sold

363,128

339,117

24,011

7.1 %
Average sales price/lb metal

6.81

4.21

2.59

61.6 %
Average cost/lb metal

5.46

4.40

1.06

24.1 %
Average gross profit/lb metal

1.35

(0.18 )

1.53

(836.3 )%

~~Financial and operational metrics of antimony for the six months ended June 30, 2022 and 2021~~ was as follows:

Six months ended June 30,

Pct Increase

Antimony - Combined USA and Mexico

2022

2021

$ Change

(Decrease)

Total revenue -antimony

$ 5,301,011

$ 2,086,046

$ 3,214,965

154.1 %
Gross profit - antimony

1,546,336

25,245

1,521,091

6,025.3 %
Total lbs of antimony metal sold

796,478

521,086

275,392

52.8 %
Average sales price/lb metal

6.66

4.00

2.65

66.3 %
Average cost/lb metal

4.71

3.95

0.76

19.2 %
Average gross profit/lb metal

1.94

0.05

1.89

3,907.4 %

Antimony – combined USA and Mexico	2023			2022
Revenue	$	1,612,639		$	2,828,930
Gross profit (loss)	$	(653,285	)	$	1,055,777
Pounds of antimony sold		343,044			433,350
Average sales price per pound	$	4.70		$	6.53
Average cost per pound	$	6.61		$	4.09
Average gross profit (loss) per pound	$	(1.91	)	$	2.44

During the three months ended ~~June 30, 2022, the average sales price for~~March 31, 2023, total antimony ~~increased $2.60 per pound~~revenue decreased $1,216,291, or 43%, compared to the three months ended ~~June 30, 2021. Gross profit~~March 31, 2022. The decrease was primarily due to the lower sales price per pound, ~~increased $1.53 per pound over~~which was largely in line with the market rates for antimony, coupled with a decrease in the pounds of antimony sold in 2023 compared to 2022. The volume decrease was primarily attributable to antimony ore supply shortages related to a third-party supplier due to the supplier’s machinery and equipment failures during the three months ended ~~June 30, 2021.~~March 31, 2023. These third-party machinery and equipment failures were fixed during the first quarter of 2023.

~~During the six months ended June 30, 2022, the average sales price for antimony increased $2.66 per pound compared to the six months ended June 30, 2021.~~ Gross profit ~~per pound increased $1.89 per pound over~~for the three months ended ~~June 30, 2021.~~March 31, 2023 was lower by $1,709,062 compared to the three months ended March 31, 2022 primarily due to the lower sales price per pound, the decrease in pounds sold, processing of antimony ore with less antimony percentage concentrate, and supplier and labor cost increases in 2023 compared to 2022.

Page 21 17 of 3223

~~Table of Contents~~

Zeolite

Financial and operational performance of zeolite for the three months ended ~~June 30,~~March 31, 2023 and 2022 ~~and 2021~~ was as follows:

Three months ended June 30,

Pct Increase

Zeolite

2022

2021

$ Change

(Decrease)

Total revenue - zeolite

$ 1,020,391

$ 716,428

303,963

42.4 %
Gross profit - zeolite

164,072

156,651

7,421

4.7 %
Tons of zeolite sold

4,046

3,035

1,011

33.3 %
Average sales price/ton

252.20

236.06

16.14

6.8 %
Average cost/ton

211.65

184.44

27.21

14.8 %
Average gross profit/ton

40.55

51.61

(11.06 )

(21.4
%)

~~Financial and operational performance of zeolite for the six months ended June 30, 2022 and 2021 was as follows:~~

Six months ended June 30,

Pct. Increase

Zeolite

2022

2021

$ Change

(Decrease)

Total revenue - zeolite

$ 1,694,433

$ 1,236,375

458,058

37.0 %
Gross profit - zeolite

197,869

232,712

(34,843 )

(15.0
%)
Tons of zeolite sold

7,072

5,778

1,294

22.4 %
Average sales price/ton

239.60

213.98

25.62

12.0 %
Average cost/ton

211.62

173.70

37.92

21.8 %
Average gross profit/ton

27.98

40.28

(12.30 )

(30.5
%)

Sales volume of zeolite for the three months ended June 30, 2022 increased 1,011 tons over the three months ended June 30, 2021. Average sales price per ton increased $16.14 for the same comparable period. Sales volume of zeolite for the six months ended June 30, 2022 increased 1,294 tons over the six months ended June 30, 2021. Average sales price per ton increased $25.62 for the six months ended June 30, 2022 over the comparable six month period ending June 30, 2021.

Construction of the new 50’x100’ warehouse (for additional storage of product) and the 40’x60’ shop (for servicing equipment) continued. The structures are substantially complete as of the date of this report and will be put into service in the third quarter of 2022.

Zeolite	2023		2022
Revenue	$	482,093	$	674,042
Gross profit	$	29,427	$	33,797
Tons of zeolite sold		2,063		3,026
Average sales price per ton	$	233.69	$	222.75
Average cost per pound ton	$	219.42	$	211.58
Average gross profit per ton	$	14.26	$	11.17

During the three ~~and six~~ months ended ~~June 30, 2022,~~March 31, 2023, zeolite revenue decreased $191,949, or 28%, compared to the ~~Company purchased~~three months ended March 31, 2022. The decrease was primarily due to production downtime during approximately two months of the three months ended March 31, 2023 due to a ~~Cat 740 haul truck~~significant equipment failure, which was rectified prior to ~~replace aging equipment.~~March 31, 2023, partially offset by an increase in the average sales price in 2023 compared to 2022. The ~~Company also took delivery on~~cone of BRZ’s main cone crusher failed and production was curtailed until a ~~Cat 992 during~~new cone could be sourced, delivered, and installed. The new cone is equipped with performance monitoring features that are expected to enhance our preventive maintenance program, contribute to longer and more reliable run times, and enable a material increase in production. The failure of the ~~same period.~~original cone curtailed production for approximately two months in the first quarter of 2023 until completion of the new cone acquisition and installation. The curtailment of production resulted in lower revenue. The new cone has operated significantly more reliably since installation was completed and production rates have increased.

~~Page 22 of 32~~

~~Table of Contents~~

Precious Metals

Financial and operational performance of precious metals for the three months ended ~~June 30,~~March 31, 2023 and 2022 ~~and 2021~~ was as follows:

Three months ended June 30,

Precious metals

2022

2021

$ Change

Pct Change

Total revenue - precious metals

$ 95,453

$ 130,195

$ (34,742 )

(26.7 )%
Gross profit precious metals

67,779

101,969

(34,190 )

(33.5 )%
Ounces sold - gold

11.06

14.74

(3.68 )

(24.9 )%
Ounces sold - silver

3,319

6,254

(2,935
)

(46.9 )%

Precious metals	2023		2022
Revenue	$	116,112	$	77,334
Ounces sold – gold		11.22		10.29
Ounces sold – silver		7,337		4,856

~~Financial~~Earnings before Interest, Tax, Depreciation and ~~operational~~Amortization (“EBITDA”)

We present EBTIDA, a non-GAAP financial measurement, to supplement other measures of our financial performance. We believe that EBITDA is a useful measure of our operating performance because it eliminates non-cash expenses that do not reflect our underlying business performance. We use this measure to facilitate a comparison of ~~precious metals~~our operating performance on a consistent basis from period to period, to analyze the factors and trends affecting our business and to evaluate our performance.

We had EBITDA of ($579,056) for the three months ended ~~June 30, 2022 and 2021 was as follows:~~March 31, 2023, compared to EBITDA of $1,009,384 for the three months ended March 31, 2022.

Six months ended June 30,

Precious metals

2022

2021

$ Change

Pct Change

Total revenue - precious metals

172,787

206,428

(33,641 )

(16.3 )%
Gross profit precious metals

117,593

150,598

(33,005 )

(21.9 )%
Ounces sold-gold

21.35

22.00

(0.65 )

(3.0 )%
Ounces sold-silver

8,175

9,608

(1,433 )

(14.9 )%

Page 2318 of 3223

~~Table of Contents~~

~~EARNINGS BEFORE INTEREST TAX DEPRECIATION AND AMORTIZATION~~

~~The Company utilizes Earnings Before Interest Taxes Depreciation and Amortization (“EBITDA”), a non-GAAP financial measurement which approximates free cash flow.~~

Our company-wide Earnings Before Interest Taxes Depreciation Amortization (“EBITDA”) was $595,360 for the three months ended June 30, 2022, compared to EBITDA of $557,965 for the three months ended June 30, 2021. The primary driver of the June 30, 2021 EBITDA was a one-time non-recurring gain on forgiveness of CARES Act funds on a loan received in 2020 during the global pandemic and subsequent federal government economic stimulus program.

Income from operations improved from a company-wide loss of $232,190 for the three months ended June 30, 2021 to income from operations of $366,935 for the three months ended June 30, 2022. As a percentage of sales, income from operations improve from a negative 10.2% in 2021 to 11.7% in 2022 for the three-month period. Primary drivers include continued strong market prices for antimony and zeolite combined with relatively stable prices for cost of goods sold during the period.

EBIDTA ~~schedules~~ by ~~business~~ segment for the three months ended ~~June 30,~~March 31, 2023 and 2022 ~~and June 30, 2021 is presented~~was as follows.

Antimony - Combined USA and Mexico

Three months ended June 30, 2022

Three months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross antimony revenue

$ 2,472,081

100.0 %

$ 1,428,939

100.0 %

$ 1,043,142

0.0 %
Cost of sales

(1,981,522 )

(80.2 )%

(1,491,161 )

(104.4 )%

(490,361 )

24.2 %
Gross profit

490,559

19.8 %

(62,222 )

(4.4 )%

552,781

24.2 %
Operating expenses

(345,527 )

(14.0 )%

(413,499 )

(28.9 )%

67,972

15.0 %
Income (loss) from operations

145,032

5.9 %

(475,721 )

(33.3 )%

620,753

39.2 %
Non-operating income (expense)

(3,975 )

(2.6 )%

570,147

39.9 %

(574,122 )

(40.1 )%
Net income - antimony

141,057

5.7 %

94,426

6.6 %

46,631

(0.9 )%
Interest expense

1,343

0.1 %

38

0.0 %

1,305

0.1 %
Depreciation and amortization

154,837

6.3 %

152,892

10.7 %

1,945

(4.4 )%
EBITDA - antimony

$ 297,237

12.0 %

$ 247,356

17.3 %

$ 49,881

(5.3 )%

Antimony – Combined USA and Mexico	March 31, 2023					March 31, 2022
Revenue	$	1,612,639		100.0	%	$	2,828,930		100.0	%
Cost of sales		(2,265,924	)	(140.5	)%		(1,773,153	)	(62.7	)%
Gross profit (loss)		(653,285	)	(40.5	)%		1,055,777		37.3	%
Operating expenses		(382,405	)	(23.7	)%		(348,302	)	(12.3	)%
Non-operating income		204,966		12.7	%		7,310		0.3	%
Net income (loss)		(830,724	)	(51.5	)%		714,785		25.3	%
Interest expense		1,386		0.1	%		2,345		0.1	%
Depreciation and amortization		145,394		9.0	%		147,926		5.2	%
EBITDA	$	(683,944	)	(42.4	)%	$	865,055		30.6	%

Zeolite

Three months ended June 30, 2022

Three months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross zeolite revenue

$ 1,020,391

100.0 %

$ 716,428

100.0 %

$ 303,963

0.0 %
Cost of sales

(856,319 )

(83.9 )%

(559,777 )

(78.1 )%

(296,542 )

(5.8 )%
Gross profit - zeolite

164,072

16.1 %

156,651

21.9 %

7,421

(5.8 )%
Operating expenses

(9,948 )

(1.0 )%

(15,089 )

(2.1 )%

5,141

1.1 %
Income (loss) from operations

154,124

15.1 %

141,562

19.8 %

12,562

(4.7 )%
Non-operating expenses

(1,737 )

(0.2 )%

(816 )

(0.1 )%

(921 )

(0.1 )%
Net income - zeolite

152,387

14.9 %

140,746

19.6 %

11,641

(4.7 )%
Interest expense

1,738

0.2 %

842

0.1 %

896

0.1 %
Depreciation and amortization

48,546

4.8 %

38,826

5.4 %

9,720

(0.7 )%
EBITDA - zeolite

$ 202,671

19.9 %

$ 180,414

25.2 %

$ 22,257

(5.3 )%

Zeolite	March 31, 2023					March 31, 2022
Revenue	$	482,093		100.0	%	$	674,042		100.0	%
Cost of sales		(452,666	)	(93.9	)%		(640,245	)	(95.0	)%
Gross profit		29,427		6.1	%		33,797		5.0	%
Operating expenses		(94,032	)	(19.5	)%		(11,506	)	(1.7	)%
Non-operating expense		(94	)	0.0	%		(638	)	(0.1	)%
Net income (loss)		(64,699	)	(13.4	)%		21,653		3.2	%
Interest expense		2,301		0.5	%		638		0.1	%
Depreciation and amortization		51,174		10.6	%		44,704		6.6	%
EBITDA	$	(11,224	)	(2.3	)%	$	66,995		9.9	%

Precious Metals	March 31, 2023					March 31, 2022
Revenue	$	116,112		100.0	%	$	77,334		100.0	%
Cost of sales		(27,673	)	(23.8	)%		(27,520	)	(35.6	)%
Net income		88,439		76.2	%		49,814		64.4	%
Depreciation and amortization		27,673		23.8	%		27,520		35.6	%
EBITDA	$	116,112		100.0	%	$	77,334		100.0	%

Company-wide	March 31, 2023					March 31, 2022
Revenue	$	2,210,844		100.0	%	$	3,580,306		100.0	%
Cost of sales		(2,746,263	)	(124.2	)%		(2,440,918	)	(68.2	)%
Gross profit (loss)		(535,419	)	(24.2	)%		1,139,388		31.8	%
Operating expenses		(476,437	)	(21.6	)%		(359,808	)	(10.0	)%
Non-operating income		204,872		9.3	%		6,672		0.2	%
Net income (loss)		(806,984	)	(36.5	)%		786,252		22.0	%
Interest expense		3,687		0.2	%		2,983		0.1	%
Depreciation and amortization		224,241		10.1	%		220,150		6.1	%
EBITDA	$	(579,056	)	(26.2	)%	$	1,009,384		28.2	%

Page 2419 of 3223

~~Table of Contents~~

Precious Metals

Three months ended June 30, 2022

Three months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross precious metals revenue

95,453

100.0 %

130,195

100.0 %

(34,742 )

0.0 %
Production costs

(27,674 )

(29.0 )%

(28,226 )

(21.7 )%

552

(7.3 )%
Gross profit

67,779

71.0 %

101,969

78.3 %

(34,190 )

(7.3 )%
Operating expenses

-

0.0 %

-

0.0 %

-

0.0 %
Income from operations

67,779

71.0 %

101,969

78.3 %

(34,190 )

(7.3 )%
Non-operating income

-

0.0 %

-

0.0 %

-

0.0 %
Net income - antimony

67,779

71.0 %

101,969

78.3 %

(34,190 )

(7.3 )%
Interest expense

-

0.0 %

-

0.0 %

-

0.0 %
Depreciation and amortization

27,674

29.0 %

28,226

21.7 %

(552 )

7.3 %
EBITDA - precious metals

95,453

100.0 %

130,195

100.0 %

(34,742 )

0.0 %

Capital Resources and Liquidity: Working Capital	March 31, 2023			December 31, 2022
Current assets	$	19,214,863		$	21,617,359
Current liabilities		(1,209,240	)		(2,219,870	)
Working capital	$	18,005,623		$	19,397,489

Company-wide

Three months ended June 30, 2022

Three months ended June 30, 2021

Change

Change as a % of Revenue

Gross revenue

3,587,925

100.0 %

2,275,562

100.0 %

1,312,363

0.0 %
Cost of sales

(2,865,515 )

(79.9 )%

(2,079,164 )

(91.4 )%

(786,351 )

11.5 %
Gross profit

722,410

20.1 %

196,398

8.6 %

526,012

11.5 %
Operating expenses

(355,475 )

(9.7 )%

(428,588 )

(18.8 )%

73,113

8.9 %
Income (loss) from operations

366,935

10.2 %

(232,190 )

(10.2 )%

599,125

18.6

Non-operating income (expense)

(5,712 )

(0.2 )%

569,331

25.0 %

(575,043

(25.2 )%
Net income (loss)

361,223

10.1 %

337,141

14.8 %

24,082

(4.7 )%
Interest expense

3,081

0.1 %

880

0.0 %

2,201

0.0 %
Depreciation and amortization

231,057

6.4 %

219,944

9.7 %

11,113

(3.2 )%
EBITDA

595,360

16.6 %

557,965

24.5 %

37,395

(7.9 )%

~~Page 25 of 32~~

~~Table of Contents~~

~~EBIDTA schedules by business segment for the six months ended June 30, 2022 and June 30, 2021 is presented as follows.~~

Antimony - Combined USA and Mexico

Six months ended June 30, 2022

Six months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross antimony revenue

$ 5,301,011

100.0 %

$ 2,086,046

100.0 %

$ 3,214,965

0.0 %
Cost of sales

(3,754,675 )

(70.8 )%

(2,060,801 )

(98.8 )%

(1,693,874 )

28.0 %
Gross profit

1,546,336

29.2 %

25,245

1.2 %

1,521,091

28.0 %
Operating expenses

(693,829 )

(13.1 )%

(958,203 )

(45.9 )%

264,374

32.8 %
Income (loss) from operations

852,507

16.1 %

(932,958 )

(44.7 )%

1,785,465

60.8 %
Non-operating income (expense)

3,335 )

(0.1 )%

576,782

27.6 %

(573,447 )

(27.6 )%
Net income (loss) - antimony

855,843

16.1 %

(356,176 )

(17.1 )%

1,212,018

33.2 %
Interest expense

3,688

0.1 %

1,565

0.1 %

2,123

(0.0 )%
Depreciation and amortization

302,763

5.7 %

305,735

14.7 %

(2,972 )

(8.9 )%
EBITDA - antimony

$ 1,162,294

21.9 %

$ (48,876 )

(2.3 )%

$ 1,211,169

24.3 %

Zeolite

Six months ended June 30, 2022

Six months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross zeolite revenue

$ 1,694,433

100.0 %

$ 1,236,375

100.0 %

$ 458,058

0.0 %
Cost of sales

(1,496,564 )

(88.3 )%

(1,003,663 )

(81.2 )%

(492,901 )

(7.1 )%
Gross profit - zeolite

197,869

11.7 %

232,712

18.8 %

(34,843 )

(7.1 )%
Operating expenses

(21,454 )

(1.3 )%

(24,268 )

(2.0 )%

2,814

0.7 %
Income from operations

176,415

10.4 %

208,444

16.9 %

(32,029 )

(6.4 )%
Non-operating expenses

(2,375 )

(0.1 )%

(1,213 )

(0.1 )%

(1,162 )

(0.0 )%
Net income - zeolite

174,040

10.3 %

207,231

16.8 %

(33,191 )

(6.5 )%
Interest expense

2,375

0.1 %

1,570

0.1 %

805

0.0 %
Depreciation and amortization

93,250

5.5 %

80,843

6.5 %

12,407

(1.0 )%
EBITDA - zeolite

$ 269,665

15.9 %

$ 289,644

23.4 %

$ (19,979 )

(7.5 )%

~~Page 26 of 32~~

~~Table of Contents~~

Precious Metals

Six months ended June 30, 2022

Six months ended June 30, 2021

$ Change

Change as a %
of Revenue

Gross precious metals revenue

$ 172,787

100.0 %

$ 206,428

100.0 %

$ (33,641 )

0.0 %
Cost of sales

(55,194 )

(31.9 )%

(55,830 )

(27.0 )%

636

(4.9 )%
Gross profit - precious metals

117,593

68.1 %

150,598

73.0 %

(33,005 )

(4.9 )%
Operating expenses

-

0.0 %

-

0.0 %

-

0.0 %
Income from operations

117,593

68.1 %

150,598

73.0 %

(33,005 )

(4.9 )%
Non-operating expenses

-

0.0 %

-

0.0 %

-

0.0 %
Net income - precious metals

117,593

68.1 %

150,598

73.0 %

(33,005 )

(4.9 )%
Interest expense

-

0.0 %

-

0.0 %

-

0.0 %
Depreciation and amortization

55,194

31.9 %

55,830

27.0 %

(636 )

4.9 %
EBITDA - precious metals

$ 172,787

100.0 %

$ 206,428

100.0 %

$ (33,641 )

0.0 %

Company-wide

Six months ended June 30, 2022

Six months ended June 30, 2021

Change

Change as a %
of Revenue

Gross revenue

$ 7,168,231

100.0 %

$ 3,528,849

100.0 %

$ 3,639,382

0.0 %
Cost of sales

(5,306,433 )

(74.0 )%

(3,120,294 )

(88.4 )%

(2,186,139

14.4 %
Gross profit

1,861,798

26.0 %

408,555

11.6 %

1,453,243

14.4 %
Operating expenses

(715,283 )

(10.0 )%

(982,471 )

(27.8 )%

267,188

17.9 %
Income (loss) from operations

1,146,515

16.0 %

(573,916 )

(16.3 )%

1,720,431

32.3 %
Non-operating income (expense)

960

(0.0 )%

575,569

16.3 %

(574,609 )

(16.3 )%
Net income

1,147,475

16.0 %

1,653

0.0 %

1,145,822

16.0 %
Interest expense

6,063

0.1 %

3,135

0.1 %

2,928

(0.0 )%
Depreciation and amortization

451,207

6.3 %

442,408

12.5 %

8,799

(6.2 )%
EBITDA

$ 1,604,745

22.4 %

$ 447,196

12.7 %

$ 1,157,549

9.7 %

~~Page 27 of 32~~

~~Table of Contents~~

~~LIQUIDITY AND FINANCIAL CONDITION~~

WORKING CAPITAL

June 30,
2022

December 31,
2021

Current assets

$ 24,126,852

$ 23,568,992

Current liabilities

(1,460,946 )

(2,020,855 )
Working capital

$ 22,665,906

$ 21,548,137

	For the six months ended						For the three months ended
CASH FLOWS	June 30, 2022			June 30, 2021
Cash Flows							March 31, 2023			March 31, 2022
Cash flow provided (used) by operating activities	$	745,038		$	(2,236,609	)	$	(2,273,792	)	$	163,903
Cash flow used by investing activities		(13,775,850	)		95,057			(614,770	)		(188,541	)
Cash flow provided (used) by financing activities		(19,767	)		23,841,057			(810,752	)		(4,057	)
Net change in cash during period	$	(13,050,579	)	$	21,699,505		$	(3,699,314	)	$	(28,695	)

As of ~~June 30, 2022,~~March 31, 2023, the Company had cash and cash equivalents of ~~hand of $8,369,750 which consisted of $8,312,469 in money market funds and deposit accounts along with $57,281 of restricted cash.~~$15,361,064.

~~Net~~Cash flow used by operating activities was $2,273,792 for the three months ended March 31, 2023, compared to cash flow provided by operating activities ~~was $745,038~~of $163,903 for the ~~six-month period ending June 30, 2022, compared with~~three months ended March 31, 2022. The $2,437,695 decrease in cash ~~used by operating activities of $2,236,609 during the six-month period ended June 20, 2021. The $2,981,647 change in cash~~flow from operating activities iswas attributable primarily to ~~a decrease~~an increase in ~~existing~~accounts receivable and inventories ~~coupled with continuing strong revenue from antinomy sales~~and payment of royalties and dividends, partially offset by an increase in accounts payable. The majority of the increase in accounts receivable was due to product shipments towards the end of the first quarter of 2023, which ~~have more than doubled in~~were billed by the ~~current year.~~end of the first quarter of 2023 and collected after the first quarter of 2023.

~~Net cash~~Cash flow used by investing activities ~~of $13,775,850 included the purchase of a caterpillar~~increased by $426,229 to $614,770 for the ~~Bear River Zeolite operation and ongoing construction~~three months ended March 31, 2023, compared to $188,541 for the three months ended March 31, 2022. This increase in the use of ~~a new warehouse in Preston, ID. The Company also invested $13,500,000 in a managed investment account, seeking~~cash was primarily due to ~~improve its return on investment versus maintaining deposits in a low-interest bearing money market account. The managed investment account invests in primarily US Treasury Bonds and other~~increased purchases of fixed ~~income funds.~~assets at BRZ.

Cash flow used by financing activities increased by $806,695 to $810,752 for the ~~six~~three months ended ~~June 30, 2022 was $19,767~~March 31, 2023, compared to ~~a cash flow provided by financing activities of $23,841,057~~$4,057 for the ~~six~~three months ended ~~June 30, 2021. In 2021,~~March 31, 2022. This increase in the ~~Company raised $25,132,883 from~~use of cash was primarily due to the ~~issuance~~payment of dividends of $787,730 on January 25, 2023 to the holders of 1,692,672 shares of Series D Preferred stock related to the conversion of these shares into common ~~stock and warrants and the exercise of warrants by existing shareholders. This capital raise was not recurring during the six months ended June 30, 2022.~~stock.

~~For the year ending December 31, 2022, we~~We are planning to use our funds ~~acquired from the two stock offerings raised in 2021~~ to make ~~significant~~ improvements to our operations ~~at Madero, Puerto Blanco, Bear River Zeolite, and Thompson Falls facilities~~ with the goal of increasing production and decreasing ~~costs.~~costs and for revenue growth. Also, we plan to continue to review the operations and financial results of each segment to make decisions that benefit the Company overall.

In the past, the Company has been successful in raising required capital from sale of common ~~stock.~~stock and, to a lesser extent, from debt issuance. As a result of planned operations and potential equity sales and potential debt borrowings, management believes cash flows from operations and existing cash and ~~investments~~cash equivalents are sufficient to conduct planned operations and meet contractual obligations for the next 12 months.

~~OFF-BALANCE SHEET ARRANGEMENTS~~

The Company has no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to its stockholders.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

~~The Company does not hold any derivative instruments and does not engage in any hedging activities.~~Not applicable.

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ITEM 4. CONTROLS AND PROCEDURES

Conclusions of Management Regarding Effectiveness of Disclosure Controls and Procedures

At the end of the period covered by this Quarterly Report on Form 10-Q, an evaluation was carried out under the supervision and with the participation of the Company’s management, including the ~~President and~~ Principal Executive Officer (“PEO”) and Principal Financial Officer (“PFO”), of the effectiveness of the design and operations of the Company’s disclosure controls and procedures (as defined in Rule 13a – 15(e) and Rule 15d – 15(e) under the Exchange Act). Based on that evaluation, the PEO and the PFO have concluded that as of the end of the period covered by this report, the Company’s disclosure controls and procedures were not effective as it was determined that there were material weaknesses affecting our disclosure controls and ~~procedures.~~procedures related to segregation of accounting duties.

Management of the Company believes that these material weaknesses are due to the small size of the Company’s accounting staff. The small size of the Company’s accounting staff may prevent adequate controls in the future, such as segregation of duties, due to the cost/benefit of such remediation. To mitigate the current limited resources and limited employees, we rely heavily on direct management oversight of transactions, along with the use of external ~~legal~~accounting and ~~accounting~~legal professionals. As the Company grows, management expects to increase the number of employees, which will enable us to implement adequate segregation of duties within the internal control framework.

Changes in Internal Control over Financial Reporting

There have been no changes during the quarter ended ~~June 30, 2022~~March 31, 2023 in the Company’s internal controls over financial reporting that have materially affected, or are reasonably likely to materially affect, internal controls over financial reporting.

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PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS.

United States Antimony Corporation is not a party to any material legal proceedings, and, to Management’s knowledge, no such proceedings are threatened or contemplated. No director, officer or affiliate of United States Antimony Corporation and no owner of record or beneficial owner of more than 5% of the Company’s securities or any associate of any such director, officer or security holder is a party adverse to United States Antimony Corporation or has a material interest adverse to United States Antimony Corporation in reference to pending litigation.

ITEM 1A. RISK FACTORS.

There have been no material changes from the risk factors as previously disclosed in the Company’s Form 10-K for the year ended December 31, ~~2021~~2022 which was filed with the SEC on ~~March 31, 2022.~~July 18, 2023.

ITEM 2. RECENT SALES OF UNREGISTERED SECURITIES.

~~For~~On January 25, 2023, the ~~three months ended June 30, 2022,~~holders of 1,692,672 shares of Series D Preferred stock converted the preferred shares and the Company ~~sold no~~issued 1,692,672 shares of common stock. The Company also paid the holders $787,730 for dividends payable as declared on November 28, 2022.

During the three months ended June 30, 2022, neither the Company nor any “affiliated purchaser” (as defined in Rule 10b-18(a)(3) under the Exchange Act) purchased any shares of our Common Stock, the only class of the Company’s equity securities registered pursuant to section 12 of the Exchange Act at the date of this filing.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES.

~~None~~None.

ITEM 4. MINE SAFETY DISCOSURES.

Pursuant to Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (the “Dodd-Frank Act”), issuers that are operators, or that have a subsidiary that is an operator, of a coal or other mine in the United States are required to disclose in their periodic reports filed with the SEC information regarding specified health and safety violations, orders and citations, related assessments and legal actions, and mining-related fatalities. The information concerning mine safety violations or other regulatory matters required by Section 1503 (a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K is included in Exhibit 95 to this ~~Annual Report.~~report.

ITEM 5. OTHER INFORMATION.

~~None~~None.

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ITEM 6. EXHIBITS.

Exhibit No.		Description
3.1		Second Restated Articles of Incorporation (incorporated by reference as Exhibit 3.1 to the Company’s current Report on Form 8-K filed with the SEC on January 15, 2021).
3.2		Second Restated Amended and Restated Bylaws (incorporated by reference to Exhibit 3.02 to the Company’s Current Report on Form 8-K filed with the SEC on December 20, 2012)
31.1		Rule 15d-14(a) Certification by Principal Executive Officer
31.2		Rule 15d-14(a) Certification by Principal Financial Officer
32.1		Section 1350 Certification of Principal Executive Officer
32.2		Section 1350 Certification of Principal Financial Officer
95		Mine Safety Disclosure
101.INS		Inline XBRL Instance Document.
101.SCH		Inline XBRL Taxonomy Extension Schema Document.
101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document.
101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document.
101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document.
104		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

In accordance with Rule 402 of Regulation S-T, the XBRL information included in Exhibit 101 to this Form 10-Q shall not be deemed to be filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

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SIGNATURES

Pursuant to the requirements 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.

	UNITED STATES ANTIMONY CORPORATION

~~Date: August 16, 2022~~	~~By:~~	~~/s/ Russell Lawrence~~
			~~Russell Lawrence~~
Date: October 5, 2023	By:	/s/ John C. Gustavsen
		John C. Gustavsen
		(Principal Executive Officer ~~President~~ and ~~Director)~~Chief Executive Officer)

Date: ~~August 16, 2022~~October 5, 2023	By:	/s/ ~~Kelly J. Stopher~~Richard R. Isaak
		~~Kelly J. Stopher~~Richard R. Isaak
		(Principal Accounting Officer and Chief Financial Officer)

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