Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 30, 2019 | Aug. 10, 2019 | |
Details | ||
Registrant CIK | 0001288750 | |
Fiscal Year End | --09-30 | |
Registrant Name | Timberline Resources Corp | |
SEC Form | 10-Q | |
Period End date | Jun. 30, 2019 | |
Trading Symbol | TLRS | |
Trading Exchange | NONE | |
Tax Identification Number (TIN) | 82-0291227 | |
Number of common stock shares outstanding | 64,027,819 | |
Filer Category | Non-accelerated Filer | |
Current with reporting | Yes | |
Interactive Data Current | Yes | |
Shell Company | false | |
Small Business | true | |
Emerging Growth Company | false | |
Entity File Number | 001-34055 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 101 EAST LAKESIDE AVENUE | |
Entity Address, City or Town | COEUR D’ALENE | |
Entity Address, State or Province | ID | |
Entity Address, Postal Zip Code | 83814 | |
City Area Code | 208 | |
Local Phone Number | 664-4859 | |
Title of 12(b) Security | Common Stock, $0.001 par value | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Timberline Resources Corp and S
Timberline Resources Corp and Subsidiaries Consolidated Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2019 | Sep. 30, 2018 | |
CURRENT ASSETS: | |||
Cash | $ 114,322 | $ 110,736 | |
Prepaid expenses and other current assets | 44,098 | 44,782 | |
TOTAL CURRENT ASSETS | 158,420 | 155,518 | |
PROPERTY, MINERAL RIGHTS AND EQUIPMENT, net | 15,079,636 | 14,926,417 | |
OTHER ASSETS: | |||
Reclamation bonds | 307,286 | 307,286 | |
Deposits and other assets | 5,700 | 5,700 | |
TOTAL OTHER ASSETS | 312,986 | 312,986 | |
TOTAL ASSETS | 15,551,042 | 15,394,921 | |
CURRENT LIABILITIES: | |||
Accounts payable | 144,235 | 110,134 | |
Accrued expenses | 100,665 | 42,166 | |
Accrued payroll, benefits and taxes | 61,057 | 32,295 | |
Senior unsecured note payable - net of discount | 255,709 | 0 | |
TOTAL CURRENT LIABILITIES | 561,666 | 184,595 | |
LONG-TERM LIABILITIES: | |||
Asset retirement obligation | 166,587 | 160,588 | |
Payment obligation | 178,533 | 198,806 | |
Senior unsecured note payable - net of discount | 161,874 | 196,432 | |
TOTAL LONG-TERM LIABILITIES | 506,994 | 555,826 | |
COMMITMENTS AND CONTINGENCIES (Notes 7) | [1] | 0 | 0 |
STOCKHOLDERS' EQUITY: | |||
Preferred stock, $0.01 par value; 10,000,000 shares authorized, no shares issued and outstanding | 0 | 0 | |
Common stock, $0.001 par value; 200,000,000 shares authorized, 64,027,819 and 53,527,819 shares issued and outstanding, respectively | 64,028 | 53,528 | |
Additional paid-in capital | 74,302,230 | 73,197,430 | |
Accumulated deficit | (59,883,876) | (58,596,458) | |
TOTAL STOCKHOLDERS' EQUITY | 14,482,382 | 14,654,500 | |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 15,551,042 | $ 15,394,921 | |
[1] | Note 7 |
Timberline Resources Corp and_2
Timberline Resources Corp and Subsidiaries Consolidated Balance Sheets (Unaudited) - Parenthetical - $ / shares | Jun. 30, 2019 | Sep. 30, 2018 |
Details | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 |
Common Stock, Shares, Issued | 64,027,819 | 53,527,819 |
Common Stock, Shares, Outstanding | 64,027,819 | 53,527,819 |
Timberline Resources Corp and_3
Timberline Resources Corp and Subsidiaries Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
OPERATING EXPENSES: | ||||
Mineral exploration | $ 312,960 | $ 22,891 | $ 612,987 | $ 70,159 |
Abandonment of mineral rights | 0 | 0 | 0 | 3,231,700 |
Salaries and benefits | 49,326 | 89,044 | 120,987 | 403,564 |
Professional fees | 56,924 | 27,662 | 219,456 | 128,233 |
Insurance expense | 21,961 | 22,760 | 70,008 | 69,996 |
Other general and administrative | 30,592 | 162,066 | 137,969 | 450,158 |
TOTAL OPERATING EXPENSES | 471,763 | 324,423 | 1,161,407 | 4,353,810 |
LOSS FROM OPERATIONS | (471,763) | (324,423) | (1,161,407) | (4,353,810) |
OTHER INCOME (EXPENSE): | ||||
Foreign exchange gain (loss) | (64) | (884) | 688 | (973) |
Interest expense | (48,018) | (4,011) | (126,710) | (14,125) |
Miscellaneous other income | 4 | 0 | 11 | 14,633 |
TOTAL OTHER INCOME (EXPENSE) | (48,078) | (4,895) | (126,011) | (465) |
LOSS BEFORE INCOME TAXES | (519,841) | (329,318) | (1,287,418) | (4,354,275) |
INCOME TAX PROVISION (BENEFIT) | 0 | 0 | 0 | 0 |
NET LOSS | $ (519,841) | $ (329,318) | $ (1,287,418) | $ (4,354,275) |
NET LOSS PER SHARE AVAILABLE TO COMMON STOCKHOLDERS, BASIC AND DILUTED | $ (0.01) | $ (0.01) | $ (0.02) | $ (0.12) |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING, BASIC AND DILUTED | 61,511,335 | 40,478.368 | 61,172,171 | 37,023,636 |
Timberline Resources Corp and_4
Timberline Resources Corp and Subsidiaries Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) | Common Stock | Additional Paid-in Capital | Retained Earnings | Total |
Equity Balance at Sep. 30, 2017 | $ 33,147 | $ 70,408,144 | $ (53,538,664) | $ 16,902,627 |
Equity balance, shares at Sep. 30, 2017 | 33,146,952 | |||
Common stock and warrants issued for cash | $ 2,881 | 861,379 | 0 | 864,260 |
Common stock and warrants issued for cash | 2,880,867 | |||
Issuance costs | $ 0 | (42,493) | 0 | (42,493) |
Stock based compensation | 0 | 15,000 | 0 | 15,000 |
Net loss | $ 0 | 0 | (329,162) | (329,162) |
Equity balance, shares at Dec. 31, 2017 | 36,027,819 | |||
Equity Balance at Dec. 31, 2017 | $ 36,028 | 71,242,030 | (53,867,826) | 17,410,232 |
Equity Balance at Sep. 30, 2017 | $ 33,147 | 70,408,144 | (53,538,664) | 16,902,627 |
Equity balance, shares at Sep. 30, 2017 | 33,146,952 | |||
Stock based compensation | $ 0 | 192,000 | 0 | 192,000 |
Net loss | $ 0 | 0 | (3,695,795) | (3,695,795) |
Equity balance, shares at Mar. 31, 2018 | 36,027,819 | |||
Equity Balance at Mar. 31, 2018 | $ 36,028 | 71,434,030 | (57,563,621) | 13,906,437 |
Stock based compensation | 0 | 16,000 | 0 | 16,000 |
Common stock and warrants issued for cash | $ 7,500 | 592,500 | 0 | 600,000 |
Common stock and warrants issued for cash | 7,500,000 | |||
Net loss | $ 0 | 0 | (329,318) | (329,318) |
Equity balance, shares at Jun. 30, 2018 | 43,527,819 | |||
Equity Balance at Jun. 30, 2018 | $ 43,528 | 72,042,530 | (57,892,939) | 14,193,119 |
Equity Balance at Sep. 30, 2018 | $ 53,528 | 73,197,430 | (58,596,458) | 14,654,500 |
Equity balance, shares at Sep. 30, 2018 | 53,527,819 | |||
Common stock and warrants issued for cash | $ 7,500 | 592,500 | 0 | 600,000 |
Common stock and warrants issued for cash | 7,500,000 | |||
Stock based compensation | $ 0 | 5,000 | 0 | 5,000 |
Warrants issued for joint venture to AGEI | 0 | 176,000 | 0 | 176,000 |
Net loss | $ 0 | 0 | (549,653) | (549,653) |
Equity balance, shares at Dec. 31, 2018 | 61,027,819 | |||
Equity Balance at Dec. 31, 2018 | $ 61,028 | 73,970,930 | (59,146,111) | 14,885,847 |
Equity Balance at Sep. 30, 2018 | $ 53,528 | 73,197,430 | (58,596,458) | 14,654,500 |
Equity balance, shares at Sep. 30, 2018 | 53,527,819 | |||
Common stock and warrants issued for cash | $ 2,000 | 158,000 | 0 | 160,000 |
Common stock and warrants issued for cash | 2,000,000 | |||
Net loss | $ 0 | 0 | (217,924) | (217,924) |
Equity balance, shares at Mar. 31, 2019 | 63,027,819 | |||
Equity Balance at Mar. 31, 2019 | $ 63,028 | 74,128,930 | (59,364,035) | 14,827,923 |
Common stock and warrants issued for cash | $ 1,000 | 79,000 | 0 | 80,000 |
Common stock and warrants issued for cash | 1,000,000 | |||
Warrants issued with debt | $ 0 | 94,300 | 0 | 94,300 |
Net loss | $ 0 | 0 | (519,841) | (519,841) |
Equity balance, shares at Jun. 30, 2019 | 64,027,819 | |||
Equity Balance at Jun. 30, 2019 | $ 64,028 | $ 74,302,230 | $ (59,883,876) | $ 14,482,382 |
Timberline Resources Corp and_5
Timberline Resources Corp and Subsidiaries Consoldiated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (1,287,418) | $ (4,354,275) |
Adjustments to reconcile net loss to net cash used by operating activities: | ||
Stock based compensation | 5,000 | 223,000 |
Abandonment of mineral properties | 0 | 3,231,700 |
Accretion of asset retirement obligation | 5,999 | 5,713 |
Amortization of debt discount | 65,451 | 0 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other current assets | 683 | (246,364) |
Deposits and other assets | 0 | 4,050 |
Accounts receivable | 0 | 2,633 |
Accounts payable | 34,101 | (62,662) |
Accrued expenses | 58,499 | (1,984) |
Accrued payroll, benefits and taxes | 28,762 | (52,038) |
Net cash used by operating activities | (1,088,923) | (1,250,227) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of property, mineral rights and equipment | (54,000) | (71,500) |
Proceeds from sale of property | 0 | 100,000 |
Proceeds from lease of property | 76,782 | 87,424 |
Net cash provided by investing activities | 22,782 | 115,924 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from issuance of units, net | 840,000 | 1,421,767 |
Cash paid on payment obligation | (20,273) | (51,194) |
Proceeds from senior unsecured notes payable and warrants | 250,000 | 0 |
Net cash provided by financing activities | 1,069,727 | 1,370,573 |
Net increase (decrease) in cash and cash equivalents | 3,586 | 236,270 |
CASH AT BEGINNING OF PERIOD | 110,736 | 67,154 |
CASH AT END OF PERIOD | 114,322 | 303,424 |
NON-CASH FINANCING AND INVESTING ACTIVITIES: | ||
Warrants issued for purchase of mineral properties | 176,000 | 0 |
Warrants issued with debt financing | $ 94,300 | $ 0 |
Note 1 - Organization and Descr
Note 1 - Organization and Description of Business | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 1 - Organization and Description of Business: | NOTE 1 ORGANIZATION AND DESCRIPTION OF BUSINESS: Timberline Resources Corporation (Timberline or the Company) was incorporated in August of 1968 under the laws of the State of Idaho as Silver Crystal Mines, Inc., for the purpose of exploring for precious metal deposits and advancing them to production. In 2008, the Company reincorporated into the State of Delaware, pursuant to a merger agreement approved by its shareholders. Basis of Presentation - |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 2 - Summary of Significant Accounting Policies: | NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: This summary of significant accounting policies is presented to assist in understanding the financial statements. The financial statements and notes are representations of the Companys management, which is responsible for their integrity and objectivity. These accounting policies conform to GAAP and have been consistently applied in the preparation of the financial statements. a. Going Concern The consolidated financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. If the going concern basis were not appropriate for these financial statements, adjustments would be necessary in the carrying value of assets and liabilities, the reported expenses and the balance sheet classifications used. b. New Accounting Pronouncements - In June 2018, the FASB issued ASU No. 2018-07, Compensation-Stock Compensation, Improvements to Nonemployee Share-Based Payment Accounting. ASU No. 2018-07 expands the scope of Accounting Standards Codification (ASC) 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The update is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company is currently evaluating the impact of this update on its consolidated financial statements and related disclosures. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. c. Principles of Consolidation d. Reclassifications e. Royalties f. Exploration Expenditures g. Property Holding Costs h. Fair Value of Financial Instruments At June 30, 2019 and September 30, 2018, the Company had no assets or liabilities accounted for at fair value on a recurring basis or nonrecurring basis. The carrying amounts of financial instruments, including senior unsecured notes payable, approximate fair value at June 30, 2019 and September 30, 2018. i. Cash Equivalents j. Reclamation Bonds k. Estimates and Assumptions l. Property and Equipment . m. Review of Carrying Value of Property, Mineral Rights and Equipment for Impairment n. Asset Retirement Obligations o. Provision for Income Taxes p. Translation of Foreign Currencies q. Stock-based Compensation The value of common stock awards is determined based upon the closing price of the Companys stock on the grant date of the award. Compensation expense for grants that vest is recognized ratably over the vesting period. The fair value of stock unit or stock awards is determined by the closing price of the Companys common stock on the date of the grant. r. Net Income (Loss) per Share The dilutive effect of convertible and outstanding securities as of June 30, 2019 and 2018 is as follows: June 30, 2019 June 30, 2018 Stock options 3,280,000 3,180,000 Warrants 45,489,967 28,340,873 Total potential dilution 48,769,967 31,520,873 At June 30, 2019 and 2018, the effect of the Companys common stock equivalents would have been anti-dilutive. Accordingly, only basic EPS is presented. |
Note 3 - Property, Mineral Righ
Note 3 - Property, Mineral Rights, and Equipment | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 3 - Property, Mineral Rights, and Equipment: | NOTE 3 PROPERTY, MINERAL RIGHTS, AND EQUIPMENT: The following is a summary of property, mineral rights, and equipment and accumulated depreciation at June 30, 2019 and September 30, 2018, respectively: Expected Useful Lives (years) June 30, 2019 September 30, 2018 Mineral rights Eureka - $ 13,656,159 $ 13,678,940 Mineral rights Elder Creek - 1,322,000 1,146,000 Mineral rights Other - 50,000 50,000 Total mineral rights 15,028,159 14,874,940 Equipment and vehicles 2-5 53,678 53,678 Office equipment and furniture 3-7 70,150 70,150 Land - 51,477 51,477 Total property and equipment 175,305 175,305 Less accumulated depreciation (123,828) (123,828) Property, mineral rights, and equipment, net $ 15,079,636 $ 14,926,417 Depreciation expense for the three- and nine-month periods ended June 30, 2019 and 2018, was nil and nil, respectively. During the year ended September 30, 2018, the Companys management and Board of Directors determined that certain payments received by the Company from a party of interest in two of the Companys leases beginning in August 2017, which had been held and not recorded as royalty income or deposited pending an expected resolution of circumstances relating to two historic leases at the Companys Eureka property, should be deposited. The payments had been received from a third party with whom the Company is in discussions to resolve matters that had been under negotiation since the Company acquired the Eureka property in 2010. The total amount of these payments received for the quarter ended June 30, 2019 were $25,664 and $76,782 for the nine-month period ended June 30, 2019. Monthly payments in the amount of approximately $8,500 are expected to continue to be received, recorded and deposited until the situation concerning the leases is resolved. These receipts are recorded as a reduction to property, mineral rights, and equipment. Elder Creek property: On May 23, 2018, the Company executed a definitive agreement with AGEI (the Definitive Agreement) for the purchase of interests in two mineral properties in Nevada (the Transaction). The mineral properties include the Elder Creek project, currently owned by McEwen Mining Inc., which includes an option to acquire up to 65% of the project interest, and an approximate 73.7% interest in the Paiute property (formerly ICBM), with LAC Minerals (USA) LLC, a wholly owned subsidiary of Barrick Gold Corporation. The Company is the operator at both of these projects. The consideration for the Transaction consisted of ten million shares of the Companys common stock, valued at $0.0806 per share, or $806,000, and five million non-transferrable Class D-2 share purchase warrants, with each warrant exercisable to acquire one share of the Companys common stock for $0.24 for a period of three years. The warrants were fair valued at $240,000 on the transaction date. On June 18, 2018, the Company entered into an amendment to the Definitive Agreement wherein the Company agreed, upon closing of the Transaction, to reimburse AGEI for the initial payment of $100,000 due under the Elder Creek agreement with McEwen Mining. During the fourth quarter of the 2018 fiscal year, the Company paid the $100,000. Total consideration given during the year ended September 30, 2018 for the Transaction was $1,146,000 in the form of cash, common stock and warrants. In addition, the amendment to the Definitive Agreement required the Company to deliver to AGEI, subject to any required regulatory approval, an additional 5,000,000 common stock purchase warrants with the same terms and in the same form as the Consideration Warrants if and when the earlier of the following occurs: (i) the Company enters into an arrangement with a funding partner for the advancement of the Elder Creek Joint Venture, or (ii) the Company met the 2018 work commitment of $500,000. The Company met the 2018 work commitment, and issued 5,000,000 Class G warrants, fair valued at $176,000 on the date the commitment was satisfied. (See Note 7 for valuation assumptions). Joint Venture on Lookout Mountain Gold Project: On May 9, 2019, the Company entered into a non-binding Letter of Intent to form a joint venture (the Agreement) with PM & Gold Mines, Inc. (PM&G) for the advanced exploration, and if determined feasible, the development of the Companys Lookout Mountain Gold project, located on the southern end of the Battle Mountain-Eureka Trend near Eureka, Nevada. A final Agreement received regulatory approval from the TSX Venture Exchange on July 27, 2019, subsequent to the close of the quarter ended June 30, 2019. PM&G is a private firm incorporated in Nevada with an interest to explore and advance gold projects to production. The parties executed a binding definitive joint venture agreement (the Definitive Agreement) on July 3, 2019 following completion of business and technical due diligence. The Definitive Agreement calls for the Companys partner PM&G to fund exploration and development activities in two stages for earned equity in the project. Timberline will contribute the claims that constitute the Lookout Mountain project and adjacent historic Oswego Mine area (the Project) to the joint venture company in exchange for its ownership position. Timberline will manage the joint venture at least through Stage I of investment. PM&G shall retain the right to manage all Stage II activities with or without Timberlines participation. Subsequent to June 30, 2019, and concurrent with completion of the Agreement, PM&G also participated in investment in a private placement in Timberline at an above-market price to acquire 4.99% of Timberlines common shares. The placement will include the right of PM&G to maintain its position in Timberline by pro-rata participation in future financings and includes a full warrant for a period of 3 years. Stage I Earn 51%: Stage II Earn 70%: Timberline Option to Participate 51- 49%: When the $6 million expenditure is reached (Stage I), Timberline has the option to participate in subsequent expenditures at the 49% level. Should Timberline determine to participate, all future costs incurred to bring the Project to production will be split on a pro-rata basis. If Timberline should choose not to participate, the Company will be further diluted and PM&G will earn 70% ownership by completing the above activities defined as Stage II. Timberline Option to Participate 70 30%: Reduce its interest to a 10% net profit interest (NPI) or a 2% net smelter royalty (NSR), or Sell its remaining interest in the Project to PM&G at a price agreed between the parties following completion and evaluation of Stage I and Stage II exploration, per terms of the Mutual Right of First Refusal (ROFR) defined below. If PM&G determines not to advance beyond the 51% following completion of Stage I, it may elect one of the following options: · · · Mutual Right of First Refusal (ROFR) |
Note 4 - Related-party Transact
Note 4 - Related-party Transactions | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 4 - Related-party Transactions: | NOTE 4 RELATED-PARTY TRANSACTIONS: In connection with the Definitive Agreement with AGEI for the purchase of two joint venture interests during the fiscal year ended September 30 2018, Mr. Donald J. McDowell and Mr. Dave Mathewson were appointed to the Companys Board of Directors on June 21, 2018. Mr. McDowell is the majority owner of AGEI and is the beneficial owner of the majority of the consideration for the Transaction. Therefore, he is the beneficial owner of the majority of the 5,000,000 Class G warrants issued to AGEI as described in Note 3 Property, Mineral Rights and Equipment. During the quarter ended December 31, 2018, the Board of Directors agreed to issue 100,000 stock options to acquire shares of common stock of the Company to Mr. Ted R. Sharp, the Companys Chief Financial Officer, appointed to the position in September of 2018. The options were fair valued at $5,000 based upon the closing price of the Companys shares of common stock at December 31, 2018 (See Note 7 for valuation assumptions). During the quarter ended December 31, 2018, two executive officers participated in a private placement offering of Units of the Company, purchasing 1,062,500 units for total proceeds of $85,000. Each Unit was priced at $0.08 and consisted of one share of common stock of the Company and one common share Class E Warrant, with each warrant exercisable to acquire an additional share of common stock of the Company at a price of $0.14 per share until April 30, 2021. During the quarters ended March 31, 2019 and June 30, 2019, three executive officers participated in private placement offerings of Units of the Company, purchasing 1,100,000 units for total proceeds of $88,000. Each Unit was priced at $0.08 and consisted of one share of common stock of the Company and one common share Class H Warrant, with each warrant exercisable to acquire an additional share of common stock of the Company at a price of $0.14 per share until March 22, 2022. The participation of the executive officers of the Company in these private placements was done at the same terms as the other investors in the private placement offerings. The Board of Directors approved the insiders participation in the private placements. |
Note 5 - Payment Obligation
Note 5 - Payment Obligation | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 5 - Payment Obligation: | NOTE 5 PAYMENT OBLIGATION: On September 12, 2017, the Company entered into an agreement (the Payment Agreement) with a creditor (the Creditor) to pay by way of a payment plan an existing obligation of $250,000 (the Payment Obligation) related to a potential corporate transaction in 2015 that was not completed. Pursuant to the Payment Agreement, the Company agreed to pay the Payment Obligation to the Creditor, including interest, on or before September 12, 2020. Interest accrues on the unpaid principal amount of the Payment Obligation at the Wells Fargo Bank prime rate (5.25% at June 30, 2019), as such rate may change from time to time, plus 3% per annum. The Company agreed to pay the Creditor 5% of the gross proceeds of any funds raised, whether through equity sales, borrowings or sales of assets. If the gross proceeds of any equity financing are at least $1 million, then the Company agreed to also commence monthly installment payments of $10,000 until the Payment Obligation is paid. During the quarter and nine months ended June 30, 2019, the Company paid $30,000 (5% of the $600,000 private placement) to the Creditor, which included $9,727 of interest. The balance of the Payment Obligation at June 30, 2019 and September 30, 2018 was $178,533 and $198,806, respectively. At June 30, 2019, an additional $4,000 is due and payable (5% of the $80,000 private placement) to the Creditor, which will be applied to accrued interest payable when paid. |
Note 6 - Senior Unsecured Note
Note 6 - Senior Unsecured Note Payable | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 6 - Senior Unsecured Note Payable: | NOTE 6 SENIOR UNSECURED NOTE PAYABLE: On July 30, 2018, the Company entered into a binding loan agreement and promissory note with William Matlack (the Lender). Under the loan agreement, the Lender loaned the Company $300,000 in the form of a senior unsecured note, with the principal bearing interest at an annual rate of 18%, compounded monthly. The loan is unsecured and the principal and accrued interest will become due for repayment on January 20, 2020, but may be repaid early without penalty. Pursuant to the terms of the loan agreement, the Company issued to the Lender 3,265,500 non-transferrable Series F Warrants to purchase common shares of the Company. The exercise price of the warrants is $0.09, and the warrants contain a provision restricting their exercise in the event any such exercise would cause the Lender to own 10% or more of the Companys outstanding common shares. The relative fair value of the warrants issued in connection with the senior unsecured note was estimated at $110,900, based upon a total fair value as calculated by a Black-Scholes option-pricing model. The relative fair value of the warrants was recorded as a discount of the note, with $19,462 amortized to interest expense in the quarter ended June 30, 2019 and $59,277 for the nine months ended June 30, 2019. At June 30, 2019, the note payable was $255,709, net of the unamortized discount of $44,291. On May 8, 2019, the Company entered into an additional binding loan agreement and promissory note with William Matlack. Under the loan agreement, the Lender loaned the Company $250,000 in the form of a senior unsecured note, with the principal bearing interest at an annual rate of 18%, compounded monthly. The loan is unsecured and the principal and accrued interest will become due for repayment on November 7, 2020, but may be repaid early without penalty. Pursuant to the terms of the loan agreement, the Company issued to the Lender 3,543,600 non-transferrable Series I Warrants to purchase common shares of the Company. The exercise price of the warrants is $0.07, with a term of eighteen months, and the warrants contain a provision restricting their exercise in the event any such exercise would cause the Lender to own 10% or more of the Companys outstanding common shares. The relative fair value of the warrants issued in connection with the senior unsecured note was estimated at $94,300, based upon a total fair value as calculated by a Black-Scholes option-pricing model. The relative fair value of the warrants was recorded as a discount of the note, with $6,174 amortized to interest expense in the quarter and nine months ended June 30, 2019. At June 30, 2019, the note payable was $161,874, net of the unamortized discount of $88,126. |
Note 7 - Common Stock, Warrants
Note 7 - Common Stock, Warrants and Preferred Stock | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 7 - Common Stock, Warrants and Preferred Stock: | NOTE 7 COMMON STOCK, WARRANTS AND PREFERRED STOCK: Common Shares - Private Placement On October 18, 2018, and on December 3, 2018, the Company closed two tranches of On March 29, 2019, the Company closed the sale of 2,000,000 Units, the first tranche of a private placement offering of up to 7,500,000 Units of the Company at a price of US$0.08 per Unit, for total proceeds of $160,000. Each Unit of the offering consists of one share of common stock of the Company and one common share purchase Class H warrant, with each warrant exercisable to acquire an additional share of common stock of the Company at a price of US$0.14 per share until March 30, 2022. As a result, 2,000,000 shares of the Companys common stock and 2,000,000 Warrants were issued. On June 14, 2019, the Company closed the sale of 1,000,000 Units, the second tranche of a private placement offering of up to 7,500,000 Units of the Company at a price of $0.08 per Unit, for total proceeds of $80,000. Each Unit of the offering consists of one share of common stock of the Company and one common share purchase Class H warrant, with each warrant exercisable to acquire an additional share of common stock of the Company at a price of $0.14 per share until March 30, 2022. As a result, 1,000,000 shares of the Companys common stock and 1,000,000 Warrants were issued. Warrants During the nine-month period ended June 30, 2019, 18,843,600 warrants were issued, 7,500,000, 2,000,000 and 800,000 pursuant to the private placement offerings, 3,543,600 issued pursuant to the Senior unsecured note payable, and another 5,000,000 warrants issued to AGEI under the terms of the Elder Creek purchase of mineral rights (See Note 3). The fair value of the 5,000,000 warrants issued in connection with the purchase of mineral rights was estimated at $176,000 on the date of issuance. The fair value of the 3,543,600 warrants issued with a Senior unsecured note payable was $151,400 (with a relative fair value of $94,300) on the date of issuance. The fair value of warrants was determined with a Black-Scholes option-pricing model. The assumptions used to calculate fair values are noted in the following table: Warrants Issued During the Nine Months Ended June 30, 2019 Expected volatility 137.4 % - 138.5 % Stock price on date of grant $ 0.06 - $ 0.07 Exercise price $ 0.07 - $ 0.24 Expected dividends - Expected term (in years) 1.5 - 3 Risk-free rate 2.26 % 2.46 % Expected forfeiture rate 0 % On May 31, 2019, 9,960,006 3-year Class A warrants expired. There were 45,489,967 and 36,606,373 warrants outstanding as of June 30, 2019 and September 30, 2018, respectively. The warrants expire from January 31, 2020 through March 22, 2022. The weighted average exercise price was $0.21 and $0.26 as of June 30, 2019 and September 30, 2018, respectively. Preferred Stock The Company is authorized to issue up to 10,000,000 shares of preferred stock, $0.01 par value. The Companys board of directors is authorized to issue the preferred stock from time to time in series, and is further authorized to establish such series, to fix and determine the variations in the relative rights and preferences as between series, to fix voting rights, if any, for each series, and to allow for the conversion of preferred stock into common stock. There is no preferred stock issued as of June 30, 2019. |
Note 8 - Stock-based Awards
Note 8 - Stock-based Awards | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 8 - Stock-based Awards: | NOTE 8 STOCK-BASED AWARDS: During the quarter ended December 31, 2018, the Companys shareholders approved and the Companys Board of Directors adopted of the Companys 2018 Stock and Incentive Plan. This plan replaced the Companys 2015 Equity Incentive Plan. The aggregate number of shares that may be issued to employees, directors, and consultants under all stock-based awards made under the 2018 Stock and Incentive Plan is 8 million shares of the Companys common stock. Upon exercise of options or other awards, shares are issued from the available authorized shares of the Company. Option awards are granted with an exercise price equal to the fair value of the Companys stock at the date of grant. During the quarter ended December 31, 2018, the Board of Directors agreed to issue 100,000 stock options to the Chief Financial Officer. The fair value of the option awards granted during the quarter ended December 31, 2018 was $5,000 and measured on the date of the issuance with a Black-Scholes option-pricing model using the assumptions noted in the following table: Option Obligation Matured During Quarter Ended December 31, 2018 Expected volatility 137.4% Stock price on date of grant $ 0.06 Exercise price $ 0.10 Expected dividends - Expected term (in years) 5 Risk-free rate 2.46 % Expected forfeiture rate 0 % During the nine-month period ended June 30, 2019, 100,000 options were terminated as a result of the resignation of a member of the Board of Directors. The following is a summary of options issued and outstanding at June 30, 2018: 2018 Options Weighted Average Exercise Price Outstanding at September 30, 2017 2,233,334 $ 0.41 Issued 1,900,000 0.16 Expired (853,334) (0.43) Outstanding and exercisable at June 30, 2018 3,280,000 $ 0.26 Average remaining contractual term of options outstanding and exercisable at June 30, 2018 (years) 3.74 The aggregate of options exercisable as of June 30, 2018 had an intrinsic value of nil, based on the closing price of $0.17 per share of the Companys common stock on June 30, 2018. The following is a summary of options issued and outstanding at June 30, 2019: 2019 Options Weighted Average Exercise Price Outstanding at September 30, 2018 3,280,000 $ 0.26 Issued 100,000 0.10 Terminated (100,000) (0.10) Outstanding and exercisable at June 30, 2019 3,280,000 $ 0.26 Average remaining contractual term of options outstanding and exercisable at June 30, 2019 (years) 3.26 The aggregate of options exercisable as of June 30, 2019 had an intrinsic value of nil, based on the closing price of $0.08 per share of the Companys common stock on June 28, 2019. |
Note 9 - Commitments and Contin
Note 9 - Commitments and Contingencies | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 9 - Commitments and Contingencies: | NOTE 9 COMMITMENTS AND CONTINGENCIES : Mineral Exploration A portion of the Companys mining claims on the Companys properties are subject to lease and option agreements with various terms, obligations, and royalties payable in certain circumstances. The Company pays federal and county claim maintenance fees on unpatented claims that are included in the Companys mineral exploration properties. Should the Company continue to explore all of the Companys mineral properties, it expects annual fees to total approximately $255,500 per year in the future, of which $105,778 is for the two joint venture mineral property interests (See Note 3). Real Estate Lease Commitments As of June 30, 2019, the Company has real estate lease commitments for certain mineral properties totaling $82,000. The Companys office in Coeur dAlene, Idaho and its facilities in Eureka, Nevada are rented on a month-to-month basis. Lease expense for mineral exploration and real estate lease expense is included in the following line items in the Consolidated Balance Sheets and Consolidated Statements of Operations: Three months ended June 30, Nine months ended June 30, 2019 2018 2019 2018 Mineral property purchases $ 18,000 $ 18,000 $ 36,000 $ 36,000 Mineral exploration expenses 3,900 6,900 7,800 32,700 Other general and administrative expenses 10,500 10,500 21,000 31,500 Total $ 32,400 $ 35,400 $ 64,800 $ 100,200 |
Note 10 - Subsequent Events
Note 10 - Subsequent Events | 9 Months Ended |
Jun. 30, 2019 | |
Notes | |
Note 10 - Subsequent Events: | NOTE 10 SUBSEQUENT EVENTS : On July 11, 2019, the Company entered into the Definitive Agreement to form the joint venture with PM & Gold Mines, Inc. (PM&G and together with Timberline, the JV Partners) whereby the JV Partners formed a limited liability company to conduct operations on the Companys Lookout Mountain Project in Nevada (the Project) pursuant to a limited liability company agreement (the Agreement). Pursuant to the Agreement, PM&G can earn an initial 51% interest in the project, which is located on the southern end of the Battle Mountain-Eureka Trend, by expending $6 million on exploration and development over a 2-year period. In connection with the Agreement as approved by the TSX Venture Exchange, further to Timberlines February 8, 2019 news release announcing a $500,000 non-brokered private placement of Timberline units at a price of $0.08 per unit (the Offering), PM&G has subscribed for a 4.99% ownership position in the Company under the Offering. Pursuant to additional Offering subscriptions received, the Company closed the Offering on a fully subscribed basis following TSX Venture Exchange approval of the Offering and Agreement. Total shares issued under the Agreement was 3,367,441, with a like number of warrants, for cash proceeds of $269,395. |
Note 2 - Summary of Significa_2
Note 2 - Summary of Significant Accounting Policies: a. Going Concern (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
a. Going Concern | a. Going Concern The consolidated financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. If the going concern basis were not appropriate for these financial statements, adjustments would be necessary in the carrying value of assets and liabilities, the reported expenses and the balance sheet classifications used. |
Note 2 - Summary of Significa_3
Note 2 - Summary of Significant Accounting Policies: b. New Accounting Pronouncements (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
b. New Accounting Pronouncements | b. New Accounting Pronouncements - In June 2018, the FASB issued ASU No. 2018-07, Compensation-Stock Compensation, Improvements to Nonemployee Share-Based Payment Accounting. ASU No. 2018-07 expands the scope of Accounting Standards Codification (ASC) 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The update is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company is currently evaluating the impact of this update on its consolidated financial statements and related disclosures. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. |
Note 2 - Summary of Significa_4
Note 2 - Summary of Significant Accounting Policies: c. Principles of Consolidation (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
c. Principles of Consolidation | c. Principles of Consolidation |
Note 2 - Summary of Significa_5
Note 2 - Summary of Significant Accounting Policies: d. Reclassifications (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
d. Reclassifications | d. Reclassifications |
Note 2 - Summary of Significa_6
Note 2 - Summary of Significant Accounting Policies: e. Royalities (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
e. Royalities | e. Royalties |
Note 2 - Summary of Significa_7
Note 2 - Summary of Significant Accounting Policies: f. Exploration Expenditures (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
f. Exploration Expenditures | f. Exploration Expenditures |
Note 2 - Summary of Significa_8
Note 2 - Summary of Significant Accounting Policies: g. Property Holding Costs (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
g. Property Holding Costs | g. Property Holding Costs |
Note 2 - Summary of Significa_9
Note 2 - Summary of Significant Accounting Policies: h. Fair Value of Financial Instruments (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
h. Fair Value of Financial Instruments | h. Fair Value of Financial Instruments At June 30, 2019 and September 30, 2018, the Company had no assets or liabilities accounted for at fair value on a recurring basis or nonrecurring basis. The carrying amounts of financial instruments, including senior unsecured notes payable, approximate fair value at June 30, 2019 and September 30, 2018. |
Note 2 - Summary of Signific_10
Note 2 - Summary of Significant Accounting Policies: i. Cash Equivalents (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
i. Cash Equivalents | i. Cash Equivalents |
Note 2 - Summary of Signific_11
Note 2 - Summary of Significant Accounting Policies: j. Reclamation Bonds (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
j. Reclamation Bonds | j. Reclamation Bonds |
Note 2 - Summary of Signific_12
Note 2 - Summary of Significant Accounting Policies: k. Estimates and Assumptions (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
k. Estimates and Assumptions | k. Estimates and Assumptions |
Note 2 - Summary of Signific_13
Note 2 - Summary of Significant Accounting Policies: l. Property and Equipment (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
l. Property and Equipment | l. Property and Equipment |
Note 2 - Summary of Signific_14
Note 2 - Summary of Significant Accounting Policies: m. Review of Carrying Value of Property, Mineral Rights and Equipment for Impairment (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
m. Review of Carrying Value of Property, Mineral Rights and Equipment for Impairment | m. Review of Carrying Value of Property, Mineral Rights and Equipment for Impairment |
Note 2 - Summary of Signific_15
Note 2 - Summary of Significant Accounting Policies: n. Asset Retirement Obligations (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
n. Asset Retirement Obligations | n. Asset Retirement Obligations |
Note 2 - Summary of Signific_16
Note 2 - Summary of Significant Accounting Policies: o. Provision for Income Taxes (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
o. Provision for Income Taxes | o. Provision for Income Taxes |
Note 2 - Summary of Signific_17
Note 2 - Summary of Significant Accounting Policies: p. Translation of Foreign Currencies (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
p. Translation of Foreign Currencies | p. Translation of Foreign Currencies |
Note 2 - Summary of Signific_18
Note 2 - Summary of Significant Accounting Policies: q. Stock-based Compensation (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
q. Stock-based Compensation | q. Stock-based Compensation The value of common stock awards is determined based upon the closing price of the Companys stock on the grant date of the award. Compensation expense for grants that vest is recognized ratably over the vesting period. The fair value of stock unit or stock awards is determined by the closing price of the Companys common stock on the date of the grant. |
Note 2 - Summary of Signific_19
Note 2 - Summary of Significant Accounting Policies: r. Net Income (Loss) per Share (Policies) | 9 Months Ended |
Jun. 30, 2019 | |
Policies | |
r. Net Income (Loss) per Share | r. Net Income (Loss) per Share The dilutive effect of convertible and outstanding securities as of June 30, 2019 and 2018 is as follows: June 30, 2019 June 30, 2018 Stock options 3,280,000 3,180,000 Warrants 45,489,967 28,340,873 Total potential dilution 48,769,967 31,520,873 At June 30, 2019 and 2018, the effect of the Companys common stock equivalents would have been anti-dilutive. Accordingly, only basic EPS is presented. |
Note 2 - Summary of Signific_20
Note 2 - Summary of Significant Accounting Policies: r. Net Income (Loss) per Share: Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Tables) | 9 Months Ended |
Jun. 30, 2019 | |
Tables/Schedules | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | June 30, 2019 June 30, 2018 Stock options 3,280,000 3,180,000 Warrants 45,489,967 28,340,873 Total potential dilution 48,769,967 31,520,873 |
Note 3 - Property, Mineral Ri_2
Note 3 - Property, Mineral Rights, and Equipment: Property, Plant and Equipment (Tables) | 9 Months Ended |
Jun. 30, 2019 | |
Tables/Schedules | |
Property, Plant and Equipment | Expected Useful Lives (years) June 30, 2019 September 30, 2018 Mineral rights Eureka - $ 13,656,159 $ 13,678,940 Mineral rights Elder Creek - 1,322,000 1,146,000 Mineral rights Other - 50,000 50,000 Total mineral rights 15,028,159 14,874,940 Equipment and vehicles 2-5 53,678 53,678 Office equipment and furniture 3-7 70,150 70,150 Land - 51,477 51,477 Total property and equipment 175,305 175,305 Less accumulated depreciation (123,828) (123,828) Property, mineral rights, and equipment, net $ 15,079,636 $ 14,926,417 |
Note 7 - Common Stock, Warran_2
Note 7 - Common Stock, Warrants and Preferred Stock: Schedule of fair value of warrants issued for mineral rights (Tables) | 9 Months Ended |
Jun. 30, 2019 | |
Tables/Schedules | |
Schedule of fair value of warrants issued for mineral rights | Warrants Issued During the Nine Months Ended June 30, 2019 Expected volatility 137.4 % - 138.5 % Stock price on date of grant $ 0.06 - $ 0.07 Exercise price $ 0.07 - $ 0.24 Expected dividends - Expected term (in years) 1.5 - 3 Risk-free rate 2.26 % 2.46 % Expected forfeiture rate 0 % |
Note 8 - Stock-based Awards_ Su
Note 8 - Stock-based Awards: Summary of options issued and outstanding (Tables) | 12 Months Ended |
Sep. 30, 2018 | |
Tables/Schedules | |
Summary of options issued and outstanding | Option Obligation Matured During Quarter Ended December 31, 2018 Expected volatility 137.4% Stock price on date of grant $ 0.06 Exercise price $ 0.10 Expected dividends - Expected term (in years) 5 Risk-free rate 2.46 % Expected forfeiture rate 0 % |
Note 8 - Stock-based Awards_ Sh
Note 8 - Stock-based Awards: Share-based Compensation, Stock Options, Activity (Tables) | 9 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Tables/Schedules | ||
Share-based Compensation, Stock Options, Activity | 2019 Options Weighted Average Exercise Price Outstanding at September 30, 2018 3,280,000 $ 0.26 Issued 100,000 0.10 Terminated (100,000) (0.10) Outstanding and exercisable at June 30, 2019 3,280,000 $ 0.26 Average remaining contractual term of options outstanding and exercisable at June 30, 2019 (years) 3.26 | 2018 Options Weighted Average Exercise Price Outstanding at September 30, 2017 2,233,334 $ 0.41 Issued 1,900,000 0.16 Expired (853,334) (0.43) Outstanding and exercisable at June 30, 2018 3,280,000 $ 0.26 Average remaining contractual term of options outstanding and exercisable at June 30, 2018 (years) 3.74 |
Note 9 - Commitments and Cont_2
Note 9 - Commitments and Contingencies: Schedule of Rent Expense (Tables) | 9 Months Ended |
Jun. 30, 2019 | |
Tables/Schedules | |
Schedule of Rent Expense | Three months ended June 30, Nine months ended June 30, 2019 2018 2019 2018 Mineral property purchases $ 18,000 $ 18,000 $ 36,000 $ 36,000 Mineral exploration expenses 3,900 6,900 7,800 32,700 Other general and administrative expenses 10,500 10,500 21,000 31,500 Total $ 32,400 $ 35,400 $ 64,800 $ 100,200 |
Note 2 - Summary of Signific_21
Note 2 - Summary of Significant Accounting Policies: a. Going Concern (Details) | 9 Months Ended |
Jun. 30, 2019 | |
Details | |
Substantial Doubt about Going Concern, Conditions or Events | The Company has incurred losses since its inception. The Company does not have sufficient cash to fund normal operations and meet all of its obligations for the next 12 months without raising additional funds. The Company currently has no historical recurring source of revenue, and its ability to continue as a going concern is dependent on its ability to raise capital to fund future exploration and working capital requirements, or the Company’s ability to profitably execute its business plan. |
Substantial Doubt about Going Concern, Management's Plans, Substantial Doubt Not Alleviated | The Company’s plans for the long-term return to and continuation as a going concern include financing its future operations through sales of common stock and/or debt and the eventual profitable exploitation of its mining properties. Additionally, the current capital markets and general economic conditions in the United States and Canada are significant obstacles to raising the required funds. While the Company has been successful in the past in obtaining financing, there is no assurance that it will be able to obtain adequate financing in the future or that such financing will be on terms acceptable to the Company. |
Note 2 - Summary of Signific_22
Note 2 - Summary of Significant Accounting Policies: r. Net Income (Loss) per Share: Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares | 9 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Details | ||
Stock options | 3,280,000 | 3,180,000 |
Warrants | 45,489,967 | 28,340,873 |
Total potential dilution | 48,769,967 | 31,520,873 |
Note 3 - Property, Mineral Ri_3
Note 3 - Property, Mineral Rights, and Equipment: Property, Plant and Equipment (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2018 | Jun. 30, 2019 | |
Details | ||
Mineral rights Eureka | $ 13,678,940 | $ 13,656,159 |
Mineral rights Elder Creek | 1,146,000 | 1,322,000 |
Mineral rights | 50,000 | 50,000 |
Mineral rights | 14,874,940 | 15,028,159 |
Equipment and vehicles | 53,678 | 53,678 |
Office equipment and furniture | 70,150 | 70,150 |
Land | 51,477 | 51,477 |
Property, Plant and Equipment, Gross | 175,305 | 175,305 |
Depreciation, Depletion and Amortization, Nonproduction | (123,828) | |
Property, mineral rights and equipment, net | $ 14,926,417 | $ 15,079,636 |
Note 3 - Property, Mineral Ri_4
Note 3 - Property, Mineral Rights, and Equipment (Details) - USD ($) | 9 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Details | ||
Depreciation | $ 0 | $ 0 |
Note 4 - Related-party Transa_2
Note 4 - Related-party Transactions (Details) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2018 | Jun. 30, 2019 | Sep. 30, 2018 | |
Details | |||
Related Party Transaction, Description of Transaction | In connection with the Definitive Agreement with AGEI for the purchase of two joint venture interests during the fiscal year ended September 30 2018, Mr. Donald J. McDowell and Mr. Dave Mathewson were appointed to the Company’s Board of Directors on June 21, 2018. | ||
Stock options issued to officer | 100,000 | ||
Stock options issued to officer, value | $ 5,000 | ||
Private placement units sold to related parties | 1,062,500 | 1,100,000 | |
Private placement units sold to related parties, value | $ 85,000 | $ 88,000 | |
Private placement units sold to related parties, price per unit | 0.08 | 0.08 |
Note 5 - Payment Obligation (De
Note 5 - Payment Obligation (Details) - USD ($) | Sep. 12, 2017 | Jun. 30, 2019 | Sep. 30, 2018 |
Details | |||
Debt Instrument, Description | On September 12, 2017, the Company entered into an agreement (the “Payment Agreement”) with a creditor (the “Creditor”) to pay by way of a payment plan an existing obligation of $250,000 (the “Payment Obligation”) related to a potential corporate transaction in 2015 that was not completed. | ||
Payment obligation | $ 178,533 | $ 198,806 | |
Payment obligation, additional | $ 4,000 |
Note 6 - Senior Unsecured Not_2
Note 6 - Senior Unsecured Note Payable (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Sep. 30, 2018 | |
Details | ||
Proceeds from Unsecured Notes Payable | $ 250,000 | $ 300,000 |
Series F Warrants Issued | 3,265,500 | |
Relative fair value of warrants issued, Series F | $ 110,900 | |
Series I Warrants Issued | 3,543,600 | |
Relative fair value of warrants issued, Series I | $ 94,300 |
Note 7 - Common Stock, Warran_3
Note 7 - Common Stock, Warrants and Preferred Stock (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2019 | Dec. 31, 2019 | Sep. 30, 2018 | |
Details | ||||||
Units sold | $ 1,000,000 | $ 2,000,000 | $ 7,500,000 | |||
Units sold net proceeds | 80,000 | $ 160,000 | $ 600,000 | |||
Warrant units, gross | $ 18,843,600 | |||||
Purchase of Nevada Mineral Properties, Additional Warrants Issued | 5,000,000 | |||||
Purchase of Nevada Mineral Properties, Additional Warrants Issued, Value | $ 176,000 | |||||
Warrants and Rights Outstanding | $ 45,489,967 | $ 45,489,967 | $ 36,606,373 | |||
Preferred stock shares authorized | 10,000,000 | 10,000,000 | 10,000,000 | |||
Preferred stock par or state value per share | $ 0.01 | $ 0.01 | $ 0.01 |
Note 7 - Common Stock, Warran_4
Note 7 - Common Stock, Warrants and Preferred Stock: Schedule of fair value of warrants issued for mineral rights (Details) | 9 Months Ended |
Jun. 30, 2019$ / shares | |
Details | |
Expected volatility rate, minimum | 137.40% |
Expected volatility rate, maximum | 138.50% |
Stock price on date of grant, minimum | $ 0.06 |
Stock price on date of grant, maximum | $ 0.07 |
Minimum exercise price | 0.07% |
Maximum exercise price | 0.24% |
Expected term simplified minimum | 1.5 |
Expected term simplified maximum | 3 |
Risk free interest rate, minimum | 2.26% |
Risk free interest rate, maximum | 2.46% |
Expected forfeiture rate | 0.00% |
Note 8 - Stock-based Awards (De
Note 8 - Stock-based Awards (Details) - USD ($) | 3 Months Ended | 9 Months Ended |
Dec. 31, 2018 | Jun. 30, 2019 | |
Details | ||
Stock options issued, CFO | 100,000 | |
Stock options issued, CFO, Value | $ 5,000 | |
Shares forfeited | 100,000 |
Note 8 - Stock-based Awards_ _2
Note 8 - Stock-based Awards: Summary of options issued and outstanding (Details) | 3 Months Ended |
Dec. 31, 2018$ / shares | |
Details | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 137.40% |
Sale of Stock, Price Per Share | $ 0.06 |
Exercise price | $ 0.10 |
Expected term (in years) | 5 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 2.46% |
Expected forfeiture rate | 0.00% |
Note 9 - Commitments and Cont_3
Note 9 - Commitments and Contingencies (Details) | 9 Months Ended |
Jun. 30, 2019USD ($) | |
Details | |
Real estate lease commitments mineral properties | $ 82,000 |
Note 9 - Commitments and Cont_4
Note 9 - Commitments and Contingencies: Schedule of Rent Expense (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Details | ||||
Mineral property purchases | $ 18,000 | $ 18,000 | $ 36,000 | $ 36,000 |
Mineral exploration expenses | 3,900 | 6,900 | 7,800 | 32,700 |
Other General and Administrative Expense | 10,500 | 10,500 | 21,000 | 31,500 |
Operating Leases, Rent Expense | $ 32,400 | $ 35,400 | $ 64,800 | $ 100,200 |
Note 10 - Subsequent Events (De
Note 10 - Subsequent Events (Details) | Jul. 11, 2019 |
Details | |
Subsequent Event, Description | On July 11, 2019, the Company entered into the Definitive Agreement to form the joint venture with PM & Gold Mines, Inc. (“PM&G” and together with Timberline, the “JV Partners”) whereby the JV Partners formed a limited liability company to conduct operations on the Company’s Lookout Mountain Project in Nevada (the “Project”) pursuant to a limited liability company agreement (the “Agreement”). |