Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jun. 30, 2017 | Sep. 25, 2017 | Dec. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | VERDE RESOURCES, INC. | ||
Entity Central Index Key | 1,506,929 | ||
Trading Symbol | vrdr | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | Yes | ||
Current Fiscal Year End Date | --06-30 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding | 96,038,909 | ||
Entity Public Float | $ 2,531,570 | ||
Document Type | 10-K | ||
Document Period End Date | Jun. 30, 2017 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 38,616 | $ 16,113 |
Amount due from related parties | 4,088 | 3,619 |
Inventories | 8,832 | 123,238 |
Other deposit & prepayment | 2,352 | 1,546 |
Total Current Assets | 53,888 | 144,516 |
Long Term Assets | ||
Property, plant and equipment | 23,388 | 151,625 |
Total Long Term Assets | 23,388 | 151,625 |
TOTAL ASSETS | 77,276 | 296,141 |
Current Liabilities | ||
Accounts payable | 1,560,749 | 1,626,524 |
Advanced from related parties | 728,634 | 781,333 |
Accrual | 101,979 | 147,310 |
Taxation payable | 3,758 | 2,473 |
Loans from banks | 4,645 | 27,319 |
Total Current Liabilities | 2,399,765 | 2,584,959 |
Long term Liabilities | ||
Loans from banks (non-current) | 2,466 | 7,777 |
Total Long Term Liabilities | 2,466 | 7,777 |
TOTAL LIABILITIES | 2,402,231 | 2,592,736 |
STOCKHOLDERS' DEFICIT | ||
Preferred stock, par value $0.001, 50,000,000 shares authorized, none issued and outstanding | ||
Common stock, par value $0.001, 250,000,000 shares authorized, 96,038,909 & 91,288,909 shares issued and outstanding as of June 30, 2017 & June 30, 2016 respectively | 96,039 | 91,289 |
Additional paid-in capital | 2,055,243 | 1,869,993 |
Accumulated deficit | (4,628,182) | (4,235,777) |
Accumulated other comprehensive income (loss) | 731,182 | 531,571 |
Non-controlled interest | (579,237) | (553,671) |
Total Stockholders' Deficit | (2,324,955) | (2,296,595) |
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT | $ 77,276 | $ 296,141 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2017 | Jun. 30, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 96,038,909 | 91,288,909 |
Common stock, shares outstanding | 96,038,909 | 91,288,909 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
REVENUES | ||
Revenue | $ 819,448 | $ 929,655 |
Cost of revenue | (1,051,759) | (1,134,808) |
Gross loss | (232,311) | (205,153) |
OPERATING EXPENSES: | ||
Selling, general & administrative expenses | (316,620) | (498,411) |
LOSS FROM OPERATIONS | (548,931) | (703,564) |
OTHER INCOME (EXPENSE) | 130,960 | 77,093 |
NET LOSS BEFORE INCOME TAX | (417,971) | (626,471) |
Provision of Income Tax | ||
NET LOSS | (417,971) | (626,471) |
Non-controlled interest | 25,566 | 44,393 |
Net loss contributed to the group | (392,405) | (582,078) |
Other comprehensive income (loss) | ||
Foreign currency translation gain (loss) | 199,611 | 127,550 |
Comprehensive loss | $ (192,794) | $ (454,528) |
Basic and Diluted Loss per Common Share (in dollars per share) | $ (0.004) | $ (0.006) |
Weighted Average Number of Common Shares Outstanding (in shares) | 94,867,676 | 91,288,909 |
Statement of Changes in Stockho
Statement of Changes in Stockholders' Equity (Deficit) - USD ($) | Common Shares | Additional Paid-In Capital | Accumulated Deficit | Non-Controlling Interest | Accumulated Other Comprehensive Income (Loss) | Total |
Balance at Jun. 30, 2015 | $ 91,289 | $ 1,869,993 | $ (3,653,699) | $ (509,278) | $ 404,021 | $ (1,797,674) |
Balance (in shares) at Jun. 30, 2015 | 91,288,909 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares issued | $ 5,900 | 289,100 | 295,000 | |||
Shares issued (in shares) | 5,900,000 | |||||
Net loss for the period | (582,078) | (44,393) | (626,471) | |||
Foreign currency translation gain | 127,550 | 127,550 | ||||
Balance at Jun. 30, 2016 | $ 91,289 | 1,869,993 | (4,235,777) | (553,671) | 531,571 | $ (2,296,595) |
Balance (in shares) at Jun. 30, 2016 | 91,288,909 | 91,288,909 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares issued | $ 4,750 | 185,250 | $ 190,000 | |||
Shares issued (in shares) | 4,750,000 | |||||
Net loss for the period | (392,405) | (25,566) | (417,971) | |||
Foreign currency translation gain | 199,611 | 199,611 | ||||
Balance at Jun. 30, 2017 | $ 96,039 | $ 2,055,243 | $ (4,628,182) | $ (579,237) | $ 731,182 | $ (2,324,955) |
Balance (in shares) at Jun. 30, 2017 | 96,038,909 | 96,038,909 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash flows from operating activities: | ||
Net loss | $ (417,971) | $ (626,471) |
Adjustments to reconcile loss to net cash used in operations | ||
Depreciation | 118,662 | 290,774 |
Gain on disposal of fixed assets | ||
Issuance of common stock (non-cash) | ||
(Increase) decrease in: | ||
Amount due from related party | (709) | (773) |
Deposits and prepayment | (70) | 159,792 |
Inventory | 106,253 | (112,046) |
Increase (decrease) in: | ||
Accounts payable | 41,835 | (4,673) |
Accrued liabilities | (41,856) | (7,419) |
Advanced from sub-contractor & related parties | (12,890) | 267,366 |
GST Tax payable | 1,449 | 1,063 |
Net cash (used in) operating activities | (205,297) | (32,387) |
Cash flows from investing activities: | ||
Proceeds from disposal of plant and equipment | ||
Addition of motor vehicle | ||
Net cash provided by investing activities | ||
Cash flows from financing activities: | ||
Proceeds from bank loans | ||
Repayments of bank loans | (25,663) | (39,866) |
Proceeds from issuance of common stock | 190,000 | |
Net cash (used in) provided by financing activities | 164,337 | (39,866) |
Net (decrease) in cash and cash equivalents | (40,960) | (72,253) |
Effect of exchange rate changes on cash | 63,463 | 51,439 |
Net (decrease) in cash and cash equivalents | 22,503 | (20,814) |
Cash and cash equivalents at beginning of year | 16,113 | 36,927 |
Cash and cash equivalents at end of year | 38,616 | 16,113 |
Supplementary cash flow information | ||
Income taxes paid | ||
Interest paid | 777 | 2,453 |
Supplementary non-cash information | ||
Reorganization | ||
Issuance of common stock (non-cash) |
ORGANIZATION AND DESCRIPTION OF
ORGANIZATION AND DESCRIPTION OF BUSINESS | 12 Months Ended |
Jun. 30, 2017 | |
Organization And Description Of Business [Abstract] | |
ORGANIZATION AND DESCRIPTION OF BUSINESS | NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS Verde Resources, Inc. (the “Company” or “VRDR”) was incorporated on April 22, 2010, in the State of Nevada, U.S.A. The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America, and the Company’s fiscal year end is June 30. Gold Billion Global Limited (“Gold Billion” or “GBL”) was incorporated in British Virgin Islands on February 7, 2013. GBL is setup by the Board of Director of Federal Mining Resources Limited (“FMR”). The major operation of GBL is to manage and monitor the mineral exploration and mining projects of FMR. On July 1, 2013, FMR has assigned its rights and obligation on Champmark Sdn Bhd (“CSB”) to GBL. Four of the five members of CSB Board of Directors were appointed by FMR, with two of the GBL Board of Directors currently sitting on the CSB Board. According to ASC 810-05-08 A, CSB is a deemed subsidiary of GBL where it has controlled the CSB Board of Directors, has assigned rights to receive future benefits and residual value, and obligation to absorb loss and finance for CSB by GBL. GBL has the power to direct the activities of CSB that most significantly impact CSB’s economic performance and the obligation to absorb losses of CSB that could potentially be significant to the CSB or the right to receive benefits from CSB that could potentially be significant to CSB. GBL is the primary beneficiary of CSB because it has been assigned with all relevant rights and obligation and can direct the activities of CSB through the common directors and the 85% shareholder, FMR. Under 810-23-42, 43, it is determined that CSB is de-facto agent of GBL and GBL is the de-facto principal of CSB. GBL will start to consolidate CSB from July 1, 2013 and the Company will consolidated GBL and CSB from October 25, 2013 onwards. On February 17, 2014, the Company entered into a Supplementary Agreement to the Assignment Agreement and completed an acquisition of GBL pursuant to the Supplementary Agreement. The acquisition was a reverse acquisition in accordance with ASC 805-40 “Reverse Acquisitions”. The legal parent was VRDR which was the accounting acquiree while GBL was the accounting acquirer. There was a 15% non-controlling interest of Champmark SDN BHD (“CSB”) after the acquisition. This transaction was accounted for as a recapitalization effected by a share exchange, wherein GBL with its 85% deemed subsidiary CSB was considered the acquirer for accounting and financial reporting purposes. The assets and liabilities of the acquired entity have been brought forward at their book value and no goodwill has been recognized. As a result of the acquisition, the Company holds 100% equity interest in GBL and 85% variable interest in CSB. Our consolidated subsidiaries include GBL being our wholly-owned subsidiary and 85% of CSB being a variable interest entity (VIE) and deemed subsidiary of GBL. On March 17, 2014, the Company through GBL and its deemed subsidiary CSB entered into a Sub-Contract Agreement with Borneo Oil & Gas Corporation Sdn Bhd (“BOG”) for the engagement of its sub-contractor services to carry out exploration and exploitation works on alluvial and lode gold resources at Site IV-1 of the Merapoh Mine. The Sub-Contract Agreement is for a period of 5 years with a renewal for another 5 years subject to review by both parties. BOG is a wholly-owned subsidiary of Borneo Oil Berhad (BOB) which is listed on the main market of Kuala Lumpur Stock Exchange. BOG being a local company in Malaysia provides the Company with the advantage of local knowledge and well-established connection in dealing with the relevant local authorities in our mining operations. On April 1, 2014, GBL purchased 85% equity interest of CSB, and CSB became indirect subsidiary of the Company. Effective August 27, 2014, the Company’s Articles of Incorporation were amended to increase the authorized shares of the Company from 100,000,000 shares of common stock to 250,000,000 shares of common stock. A copy of the Certificate of Amendment was filed with the Nevada Secretary of State. The Form 8K announcing the increase of the authorized shares of the Company was filed with SEC on September 15, 2014. Effective February 20, 2016, Mr. Wu Ming Ding resigned all of his positions as President and Director of the Company with Mr. Balakrishnan B S Muthu being appointed President to fill the vacancy created. Effective February 20, 2016, Mr. Chen Ching was appointed Director of the Company and the entire Board of Directors now consists of Mr. Balakrishnan B S Muthu and Mr. Chen Ching. The SC 14F1 and Form 8-K announcing the change in officers and directors were filed with SEC on February 10, 2016 and February 22, 2016 respectively. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (GAAP). These consolidated financial statements are expressed in United States dollars ($). Financial statements prepared in accordance with GAAP contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. These condensed consolidated audited financial statements include all adjustments that, in the opinion of management, are necessary in order to make the financial statements not misleading. Basis of Consolidation The condensed consolidated financial statements include the financial statements of Verde Resources, Inc., its wholly owned subsidiary Gold Billion Global Limited (“GBL”) and the 85% of the deemed subsidiary variable interest of Champmark SDN BHD (“CSB”). All inter-company balances and transactions between the Company and its subsidiary and variable interest entity (VIE) have been eliminated upon consolidation. The Company has adopted ASC Topic 810-10-5-8, “Variable Interest Entities”, which requires a variable interest entity or VIE to be consolidated by a company if that company is subject to a majority of the risk of loss for the VIE or is entitled to receive a majority of the VIE’s residual returns. Variable Interest Entity On July 1, 2013, the Company’s subsidiary, GBL entered into a series of agreements (“VIE agreements”) with FMR and details of the VIE agreements are as follows : 1. Management Agreement, FMR entrusted the management rights of its subsidiary CSB to GBL that include: i) management and administrative rights over the day-to-day business affairs of CSB and the mining operation at Site IV-1 of the Merapoh Gold Mine; ii) final right for the appointment of members to the Board of Directors and the management team of CSB; iii) act as principal of CSB; iv) obligation to provide financial support to CSB; v) option to purchase an equity interest in CSB; vi) entitlement to future benefits and residual value of CSB; vii) right to impose no dividend policy; viii) human resources management. 2. Debt Assignment, FMR assigned to GBL the sum of money in the amount of US Dollars One Hundred Nine Thousand Eight Hundred One And Cents Seventy-Two Only (US$ 109,801.72), now due to GBL from CSB under the financing obligation from the FMR to CSB. With the above agreements, GBL demonstrates its ability to control CSB as the primary beneficiary and the operating results of the VIE was included in the condensed consolidated financial statements for the year ended June 30, 2014. On April 1, 2014, the Board of Director of GBL notified FMR upon the decision to exercise the right of option to purchase 85% equity interest of CSB under Management Agreement Section 3.2.4 dated July 1, 2013 between GBL and FMR. This acquisition was completed on April 1, 2014 with consideration of US$1. GBL then became 85% shareholder of CSB and is required to consolidate CSB as a subsidiary. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company’s periodic filings with the Securities and Exchange Commission include, where applicable, disclosures of estimates, assumptions, uncertainties and markets that could affect the financial statements and future operations of the Company. Cash and Cash Equivalents Cash and cash equivalents include cash in banks, money market funds, and certificates of term deposits with maturities of less than three months, which are readily convertible to known amounts of cash and which, in the opinion of management, are subject to an insignificant risk of loss in value. The Company had $38,616 and $16,113 in cash and cash equivalents at June 30, 2017 and June 30, 2016, respectively. Concentrations of Credit Risk The Company’s financial instruments that are exposed to concentrations of credit risk primarily consist of its cash and cash equivalents and related party payables it will likely incur in the near future. The Company places its cash and cash equivalents with financial institutions of high credit worthiness. At times, its cash and cash equivalents with a particular financial institution may exceed any applicable government insurance limits. The Company’s management plans to assess the financial strength and credit worthiness of any parties to which it extends funds, and as such, it believes that any associated credit risk exposures are limited. Risks and Uncertainties The Company operates in the resource exploration industry that is subject to significant risks and uncertainties, including financial, operational, technological, and other risks associated with operating a resource exploration business, including the potential risk of business failure. Accounts Receivable Accounts receivable are recognized and carried at net realizable value. An allowance for doubtful accounts will be recorded in the period when a loss is probable based on an assessment of specific evidence indicating troubled collection, historical experience, accounts aging, ongoing business relation and other factors. Accounts are written off after exhaustive efforts at collection. If accounts receivable are to be provided for, or written off, they would be recognized in the consolidated statement of operations within operating expenses. At June 30, 2017 and June 30, 2016, the Company has no allowance for doubtful accounts, as per management’s judgment based on their best knowledge. As of June 30, 2017 and June 30, 2016, the longest credit term for certain customers are 60 days. Provision for Doubtful Accounts The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivables and reviews accounts receivable by amounts due by customers which are past due to identify specific customers with known disputes or collectability issues. In determining the amount of the reserve, the Company makes judgments about the creditworthiness of customers based on past collection experience and ongoing credit risk evaluations. At June 30, 2017 and June 30, 2016 there was no allowance for doubtful accounts. Fair Value ASC Topic 820 “Fair Value Measurement and Disclosures” These tiers include: · Level 1 - defined as observable inputs such as quoted prices in active markets; · Level 2 - defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and · Level 3 - defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company’s financial instruments consist of cash and cash equivalents, trade receivables, other receivables, payables, and short term and long term debt. The carrying values of cash and cash equivalents, trade receivables, other receivables, and payables approximate their fair value due to their short maturities. The carrying value of long term debt approximates the fair value of debt of similar terms and remaining maturities available to the company. The Company’s non-financial assets are measured on a recurring basis. These non-financial assets are measured for impairment annually on the Company’s measurement date at the reporting unit level using Level 3 inputs. For most assets, ASC 820 requires that the impact of changes resulting from its application be applied prospectively in the year in which the statement is initially applied. The Company’s non-financial assets measured on a non-recurring basis include the Company’s property, plant and equipment and finite-use intangible assets which are measured for recoverability when indicators for impairment are present. ASC 820 requires companies to disclose assets and liabilities measured on a non-recurring basis in the period in which the re-measurement at fair value is performed. The Company did not have any convertible bonds as of June 30, 2017 and June 30, 2016. Foreign Currency Translation The Company’s reporting currency is the United States dollar (“$”) and the accompanying consolidated financial statements have been expressed in United States dollars. The Company’s functional currency is the Malaysian Ringgit ( “MYR”) which is a functional currency as being the primary currency of the economic environment in which their operations are conducted. In accordance with ASC Topic 830 “Translation of Financial Statements” June 30, 2017 June 30, 2016 Year-end MYR : $1 exchange rate 0.2329 0.2494 Average MYR : $1 exchange rate 0.2338 0.2442 Comprehensive Income Comprehensive income is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. Among other disclosures, all items that are required to be recognized under current accounting standards as components of comprehensive income are required to be reported in a financial statement that is presented with the same prominence as other financial statements. Comprehensive income includes net income and the foreign currency translation changes. Segment Reporting The Company currently engages in one operation segment: Gold Mining. The expenses incurred were consisting principally of management services. The Company’s major operation is located in Malaysia. Mineral Acquisition and Exploration Costs The Company has been in the exploration stage since its formation on April 22, 2010. It has been primarily engaged in the acquisition, exploration, and development of mining properties. The Company was no longer considered to be in the exploration stage after the reverse take-over with its subsidiary GBL. Mineral property acquisition and exploration costs are expensed as incurred. When it has been determined that a mineral property can be economically developed as a result of establishing proven and probable reserves, the costs incurred to develop such property are capitalized. Such costs will be amortized using the units-of-production method over the estimated life of the probable reserves. Environmental Expenditures The operations of the Company have been, and may in the future be affected from time to time in varying degree by changes in environmental regulations, including those for future reclamation and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company vary greatly and are not predictable. The Company’s policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures. Environmental expenditures that relate to ongoing environmental and reclamation programs are charged against earnings as incurred or capitalized and amortized depending on their future economic benefits. All of these types of expenditures incurred since inception have been charged against earnings due to the uncertainty of their future recoverability. Estimated future reclamation and site restoration costs, when the ultimate liability is reasonably determinable, are charged against earnings over the estimated remaining life of the related business operation, net of expected recoveries. Revenue Recognition In accordance with the ASC Topic 605, “Revenue Recognition”, the Company recognizes revenue when persuasive evidence of an arrangement exists, transfer of title has occurred or services have been rendered, the selling price is fixed or determinable and collectibility is reasonably assured. The Company derives revenues primarily from the sales of gold mineral to registered gold trading companies in Malaysia. The Company generally recognizes its revenues at the time of gold sales and its selling price is determined by the prevailing market value of gold bullion quoted by the leading registered gold trading company in Malaysia. Sales invoice will be duly presented to the trading companies when delivery is completed and revenue is then recognized. Cost of Revenue The cost of revenue consists of exploration cost, mine equipment depreciation, production cost, mine site management cost, sub-contractor cost, and royalty and tribute payment which are levied on the gross revenue at the rate of 18% on the invoiced value of gold sales. Advertising Expenses Advertising costs are expensed as incurred under ASC Topic 720, “Advertising Costs” Income Taxes The provision for income taxes is determined in accordance with the provisions of ASC Topic 740, “Accounting for Income Taxes” ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. As of June 30, 2017 and June 30, 2016, the Company did not have any significant unrecognized uncertain tax positions. Recent Accounting Pronouncements The FASB has issued Accounting Standards Update (ASU) No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities The new guidance makes targeted improvements to existing U.S. GAAP by: - Requiring equity investments (except those accounted for under the equity method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income; - Requiring public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; -Requiring separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (i.e., securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; - Eliminating the requirement to disclose the fair value of financial instruments measured at amortized cost for organizations that are not public business entities; - Eliminating the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; and - Requiring a reporting organization to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk (also referred to as “own credit”) when the organization has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. The new guidance is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For private companies, not-for-profit organizations, and employee benefit plans, the new guidance becomes effective for fiscal years beginning after December 15, 2018, and for interim periods within fiscal years beginning after December 15, 2019. The new guidance permits early adoption of the own credit provision. In addition, the new guidance permits early adoption of the provision that exempts private companies and not-for-profit organizations from having to disclose fair value information about financial instruments measured at amortized cost. On February 25, 2016, the Financial Accounting Standards Board (FASB) issued its new lease accounting guidance in Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) Under the new guidance, lessees will be required recognize the following for all leases (with the exception of short-term leases) at the commencement date: - A lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and-A right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers The new lease guidance simplified the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. Lessees will no longer be provided with a source of off-balance sheet financing. Public business entities should apply the amendments in ASU 2016-02 for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (i.e., January 1, 2019, for a calendar year entity). Nonpublic business entities should apply the amendments for fiscal years beginning after December 15, 2019 (i.e., January 1, 2020, for a calendar year entity), and interim periods within fiscal years beginning after December 15, 2020. Early application is permitted for all public business entities and all nonpublic business entities upon issuance. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. The FASB has issued Accounting Standards Update (ASU) No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net). Revenue from Contracts with Customers The amendments are intended to improve the operability and understandability of the implementation guidance on principal versus agent considerations by clarifying the following: - An entity determines whether it is a principal or an agent for each specified good or service promised to a customer. - An entity determines the nature of each specified or service (e.g., whether it is a good, service, or a right to a good or service). - When another entity is involved in providing goods or services to a customer, an entity that is a principal obtains control of: (a) (b) (c) - The purpose of the indicators in paragraph 606-10-55-39 is to support or assist in the assessment of control. The amendments in paragraph 606-10-55-39A clarify that the indicators may be more or less relevant to the control assessment and that one or more indicators may be more or less persuasive to the control assessment, depending on the facts and circumstances. The amendments amend certain existing illustrative examples and add additional illustrative examples to assist in the application of the guidance. The effective date and transition of these amendments is the same as the effective date and transition of ASU 2014-09, Revenue from Contracts with Customers (Topic 606) The FASB has issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting Several aspects of the accounting for share-based payment award transactions are simplified, including: ( a b c 1. Practical Expedient for Expected Term: In lieu of estimating the period of time that a share-based award will be outstanding, private companies can now apply a practical expedient to estimate the expected term for all awards with performance or service conditions that have certain characteristics. 2. Intrinsic Value: Private companies can now make a one-time election to switch from measuring all liability-classified awards at fair value to measuring them at intrinsic value. Previously, private companies were provided an option to measure all liability-classified awards at intrinsic value, but some private companies were unaware of that option. Accounting for employee share-based awards was identified by the Private Company Council (PCC) as an area of concern among private company stakeholders. The PCC worked with the FASB to discuss and analyze the issues that private companies have encountered in this area when applying the standard. The PCC also asked the FASB staff to conduct outreach with users as a part of the FASB’s pre-agenda research on the topic. The FASB also considered the conclusions in the Financial Accounting Foundation’s Post-Implementation Review Report on Statement 123(R), Share-Based Payment For public companies, the amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For private companies, the amendments are effective for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Early adoption is permitted for any organization in any interim or annual period. The FASB has issued Accounting Standards Update No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing (a) (b) The effective date and transition requirements for the amendments are the same as the effective date and transition requirements in Topic 606. Public entities should apply the amendments for annual reporting periods beginning after December 15, 2017, including interim reporting periods therein (i.e., January 1, 2018, for a calendar year entity). Early application for public entities is permitted only as of annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The effective date for nonpublic entities is deferred by one year. Identifying Performance Obligations Before an entity can identify its performance obligations in a contract with a customer, the entity first identifies the promised goods or services in the contract. The amendments add the following guidance: 1. An entity is not required to assess whether promised goods or services are performance obligations if they are immaterial in the context of the contract with the customer. 2. An entity is permitted, as an accounting policy election, to account for shipping and handling activities that occur after the customer has obtained control of a good as an activity to fulfill the promise to transfer the good rather than as an additional promised service. To identify performance obligations in a contract, an entity evaluates whether promised goods and services are distinct. The amendments improve the guidance on assessing the promises are separately identifiable criterion by: 1. Better articulating the principle for determining whether promises to transfer goods or services to a customer are separately identifiable by emphasizing that an entity determines whether the nature of its promise in the contract is to transfer each of the goods or services or whether the promise is to transfer a combined item (or items) to which the promised goods and/or services are inputs. 2. Revising the related factors and examples to align with the improved articulation of the separately identifiable principle. Licensing Implementation Guidance Topic 606 includes implementation guidance on determining whether an entity’s promise to grant a license provides a customer with either a right to use the entity’s intellectual property (which is satisfied at a point in time) or a right to access the entity’s intellectual property (which is satisfied over time). The amendments are intended to improve the operability and understandability of the licensing implementation guidance by clarifying the following: 1. An entity’s promise to grant a customer a license to intellectual property that has significant standalone functionality (e.g., the ability to process a transaction, perform a function or task, or be played or aired) does not include supporting or maintaining that intellectual property during the license period. 2. An entity’s promise to grant a customer a license to symbolic intellectual property (that is, intellectual property that does not have significant standalone functionality) includes supporting or maintaining that intellectual property during the license period. 3. An entity considers the nature of its promise in granting a license, regardless of whether the license is distinct, in order to apply the other guidance in Topic 606 to a single performance obligation that includes a license and other goods or services (in particular, the guidance on determining whether a performance obligation is satisfied over time or at a point in time and the guidance on how best to measure progress toward the complete satisfaction of a performance obligation satisfied over time). The FASB has issued Accounting Standards Update (ASU) No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments The ASU requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. The ASU requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. These disclosures include qualitative and quantitative requirements that provide additional information about the amounts recorded in the financial statements. In addition, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The ASU is effective for SEC filers for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019 (i.e., January 1, 2020, for calendar year entities). For public companies that are not SEC filers, the ASU is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. For all other organizations, the ASU on credit losses will take effect for fiscal years beginning after December 15, 2020, and for interim periods within fiscal years beginning after December 15, 2021. Early application will be permitted for all organizations for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company has considered all new accounting pronouncements and has concluded that there are no new pronouncements that may have a material impact on results of operations, financial condition, or cash flows, based on current information. The FASB has issued Accounting Standards Update No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The amendments are intended to help companies and other organizations evaluate whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments provide a more robust framework to use in determining when a set of assets and activities is a business. They also provide more consistency in applying the guidance, reduce the costs of application, and make the definition of a business more operable. For public companies, the amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. For all other companies and organizations, the amendments are effective for annual periods beginning after December 15, 2018, and interim periods within annual periods beginning after December 15, 2019. The FASB has issued Accounting Standards Update No. 2017-05, Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets. A contract may involve the transfer of both nonfinancial assets and financial assets (e.g., cash and receivables). The amendments clarify that a financial asset is within the scope of Subtopic 610-20 if it meets the definition of an in substance nonfinancial asset. The amendments also define the term in substance nonfinancial asset. The amendments clarify that nonfinancial assets within the scope of Subtopic 610-20 may include nonfinancial assets transferred within a legal entity to a counterparty. For example, a parent may transfer control of nonfinancial assets by transferring ownership interests in a consolidated subsidiary. A contract that includes the transfer of ownership interests in one or more consolidated subsidiaries is within the scope of Subtopic 610-20 if substantially all of the fair value of the assets that are promised to the counterparty in a contract is concentrated in nonfinancial assets. The amendments clarify that an entity should identify each distinct nonfinancial asset or in substance nonfinancial asset promised to a counterparty and derecognize each asset when a counterparty obtains control of it. The amendments are effective at the same time Topic 606, Revenue from Contracts with Customers The FASB has issued Accounting Standards Update (ASU) No. 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . Compensation — Retirement Benefits The amendments require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. If a separate line item or items are used to present the other components of net benefit cost, that line item or items must be appropriately described. If a separate line item or items are not used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. The amendments also allow only the service cost component to be eligible for capitalization when applicable (e.g., as a cost of internally manufactured inventory or a self-constructed asset). The amendments are effective for public business entities for annual periods beginning after December 15, 2017, including interim periods within those annual periods. For other entities, the amendments are effective for annual periods beginning after December 15, 2018, and interim periods within annual periods beginning after December 15, 2019. Early adoption is permitted as of the beginning of an annual period for which financial statements (interim or annual) have not been issued or made available for issuance. The FASB has issued Accounting Standards Update (ASU) No. 2017-09, Compensation—Stock Compensation (Topic 718) — Scope of Modification Accounting The FASB adopted ASU 2017-09 to provide clarity and reduce diversity in practice as well as cost and complexity when applying the guidance in Topic 718, Compensation—Stock Compensation Diversity in practice has arisen in part because some entities apply modification accounting under Topic 718 for modifications to terms and conditions that they consider substantive, but do not when they conclude that particular modifications a |
CASH AND CASH EQUIVALENT
CASH AND CASH EQUIVALENT | 12 Months Ended |
Jun. 30, 2017 | |
Cash and Cash Equivalents [Abstract] | |
CASH AND CASH EQUIVALENT | NOTE 3 - CASH AND CASH EQUIVALENT The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. At of June 30, 2017 and June 30, 2016 cash and cash equivalents consisted of bank deposits in banks in Malaysia and petty cash on hands. |
AMOUNT DUE FROM RELATED PARTIES
AMOUNT DUE FROM RELATED PARTIES | 12 Months Ended |
Jun. 30, 2017 | |
Due from Related Parties, Current [Abstract] | |
AMOUNT DUE FROM RELATED PARTIES | NOTE 4 - AMOUNT DUE FROM RELATED PARTIES Amount due from related parties at June 30, 2017 and June 30, 2016 consist of the following items: June 30, 2017 June 30, 2016 Amount due from Stable Treasure Sdn. Bhd. (*) $ 4,088 $ 3,619 _______ (*) One of the directors of Stable Treasure Sdn. Bhd., Mr. Balakrishnan B S Muthu is also the director of the Company. The advances related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
INVENTORIES
INVENTORIES | 12 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | NOTE 5 - INVENTORIES Inventories are valued at cost, not in excess of market. Inventories are determined at first in first out basis and comprised of production cost, mine site management cost and sub-contractor cost. Inventories, at June 30, 2017 and June 30, 2016 are summarized as follows: June 30, 2017 June 30, 2016 Inventories $ 8,832 $ 123,238 The inventories represent the gold minerals as at June 30, 2017 and June 30, 2016, which were comprised of 8% share by the Company and 92% share by the sub-contractor and the other parties such as original mine assigner. |
ACCOUNTS PAYABLE AND ADVANCED F
ACCOUNTS PAYABLE AND ADVANCED FROM RELATED PARTIES | 12 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ADVANCED FROM RELATED PARTIES | NOTE 6 - ACCOUNTS PAYABLE AND ADVANCED FROM RELATED PARTIES Accounts Payable Accounts payable at June 30, 2017 and June 30, 2016 consist of the following items: June 30, 2017 June 30, 2016 Due to Changxin Wanlin Technology Co Ltd(*) $ 1,501,406 $ 1,607,775 Other accounts payable 59,343 18,749 $ 1,560,749 $ 1,626,524 _______ (*) Due to Changxin Wanlin Technology Co Ltd are accounts payable derived from ordinary business transactions. One of the directors of Changxin Wanlin Technology Co. Ltd., Mr. Wu Ming Ding, has resigned as director of VRDR (as of February 20, 2016), GBL (as of February 11, 2016) and CSB (as of February 17, 2016). This accounts payable bears no interest or collateral, repayable and renewable under normal business accounts payable terms . Advanced from related parties Advanced from related parties at June 30, 2017 and June 30, 2016 consist of the following items: June 30, 2017 June 30, 2016 Advanced from BOG (#1) $ 430,169 $ 492,868 Advanced from Federal Mining Resources Limited(#2) $ 173,465 $ 173,465 Advanced from Federal Capital Investment Limited (#3) $ 98,000 $ 88,000 Advanced from Yorkshire Capital Limited (#4) $ 27,000 $ 27,000 $ 728,634 $ 781,333 ________ (#1) BOG is one of the shareholders of the Company. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#2) One of the directors of Federal Mining Resources Limited, Mr. Chen Ching, has been appointed as director of the Company effective February 20, 2016. Another director of Federal Mining Resources Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#3) One of the directors of Federal Capital Investment Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#4) One of the directors of Yorkshire Capital Limited, Mr. Lai Kui Shing, Andy, has resigned as director of CSB effective February 17, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | NOTE 7 - PROPERTY, PLANT AND EQUIPMENT Property and equipment at June 30, 2017, and June 30, 2016, are summarized as follows: June 30, 2017 June 30, 2016 Land and Building $ 915,962 $ 980,855 Plant and Machinery 144,268 154,489 Office equipment 18,340 19,640 Project equipment 1,038,707 1,112,294 Computer 9,976 10,683 Motor Vehicle 107,381 114,988 Accumulated depreciation (2,211,246 ) (2,241,324 ) $ 23,388 $ 151,625 The depreciation expenses charged for the year ended June 30, 2017 and 2016 were $118,662 and $290,774 respectively. |
LOANS FROM BANKS (HIRE PURCHASE
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) | 12 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) | NOTE 8 - LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) The loans from banks include long term and short term and are summarized as follow: June 30, 2017 June 30, 2016 Loans from banks $ 4,645 $ 27,319 Loans from banks(non-current) 2,466 7,777 Total $ 7,111 $ 35,096 Hire purchase installment loans with total amount $7,533 and $36,377 as at June 30, 2017, and June 30, 2016, are $7,111 and $35,096 net of imprest charges equivalent to interest $422 and $1,281 respectively are summarized as follows: Interest Rate Monthly Due June 30, 2017 June 30, 2016 Financial institution in Malaysia N/A* 283 - 1,405 Financial institution in Malaysia N/A* 283 - 1,405 Financial institution in Malaysia N/A* 1,514 1,514 21,141 Financial institution in Malaysia N/A* 266 1,059 4,558 Financial institution in Malaysia N/A* 199 4,960 7,868 Hire purchase loans payable to banks $ 7,533 $ 36,377 _____ (*) Hire purchase installment loans with Motor Vehicles as collateral. The financial institutions in Malaysia are Islamic banks and bear no interest in the installment agreement. However, there are certain imprest charges equivalent to interests which are being calculated at an average annual rate of approximate 5.93% for the rest of entire loans life and periods. The scheduled maturities of the CSB’s hire purchase installment loans are as follows: June 30, 2018 $ 4,960 2019 2,387 2020 186 2021 Later years Total minimum hire purchase installment payment $ 7,533 Less: Amount representing imprest charges equivalent to interest (current portion: $315 and non-current portion:$107) 422 Present value of net minimum lease payments (#) $ 7,111 _____ (#) Minimum payment reflected in the balance sheet as current and non-current obligations under hire purchases installment loans as at June 30, 2017. |
INCOME TAX
INCOME TAX | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAX | NOTE 9 - INCOME TAX The Company and its subsidiaries are subject to income taxes on an entity basis on income arising in, or derived from, the tax jurisdiction in which they operate. The Company is a Nevada incorporated company and subject to United State Federal Income Tax. GBL is a British Virgin Islands incorporated company and not required to pay income tax on corporate income. CSB is a Malaysia incorporated company and required to pay corporate income tax at 25% of taxable income. A reconciliation between the income tax computed at the relevant statutory rate and the Company’s provision for income tax is as follows: For the year ended For the period ended June 30, 2017 June 30, 2016 US Federal Income Tax Rate. 34 % 34 % Valuation allowance - US Rate (34 )% (34 )% BVI Income Tax Rate 0 % 0 % Valuation allowance - BVI Rate (0 )% (0 )% Malaysia Income Tax Rate 25 % 25 % Valuation allowance - Malaysia Rate (25 )% (25 )% Provision for income tax - - Summary of the Company’s net deferred tax liabilities and assets are as follows: June 30, 2017 June 30, 2016 Deferred tax assets: Tax attribute carryforwards $ 114,774 $ 229,475 Valuation allowances (114,774 ) (229,475 ) Total $ - $ - The Company has recorded valuation allowances for certain tax attribute carry forwards and other deferred tax assets due to uncertainty that exists regarding future realizability. If in the future the Company believes that it is more likely than not that these deferred tax benefits will be realized, the majority of the valuation allowances will be recognized in the consolidated statement of operations. The Company did not have any interest and penalty provided or recognized in the income statements for years ended June 30, 2017 and June 30, 2016 or balance sheet as of June 30, 2017 and June 30, 2016. The Company did not have uncertainty tax positions or events leading to uncertainty tax position within the next 12 months. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 10 - COMMITMENTS AND CONTINGENCIES As at June 30, 2017, the Company’s office rent has expired and is currently being rent under month to month term. There are no commitments and contracts on such rental expenses as at June 30, 2017. As at June 30, 2017, the Company’s hire purchase installment agreements are disclosed in Note 8. See Note 8 for the commitments for minimum installment payments under these agreements. |
EARNINGS_(LOSS) PER SHARE
EARNINGS/(LOSS) PER SHARE | 12 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
EARNINGS/(LOSS) PER SHARE | NOTE 11 - EARNINGS/(LOSS) PER SHARE The Company has adopted ASC Topic No. 260, “Earnings Per Share,” The following table sets forth the computation of basic and diluted earnings per share: Year Ended June 30, 2017 2016 Net loss applicable to common shares $ (392,405 ) $ (582,078 ) Weighted average common shares outstanding (Basic) 94,867,676 91,288,909 Options - - Warrants - - Weighted average common shares outstanding (Diluted) 94,867,676 91,288,909 Net loss per share (Basic and Diluted) $ (0.004 ) $ (0.006 ) The Company has no potentially dilutive securities, such as options or warrants, currently issued and outstanding. |
CAPITAL STOCK
CAPITAL STOCK | 12 Months Ended |
Jun. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
CAPITAL STOCK | NOTE 12 - CAPITAL STOCK Authorized Stock The Company has authorized 250,000,000 common shares and 50,000,000 preferred shares, both with a par value of $0.001 per share. Each common share entitles the holder to one vote, in person or proxy, on any matter on which action of the stockholders of the corporation is sought. Share Issuance As of September 30, 2013, the Company has issued 2,500,000 and 1,477,500 common shares at $0.01 and $0.04 per share, respectively, resulting in total cash proceeds of $84,100, being $3,978 for par value shares and $80,122 for capital in excess of par value. On October 25, 2013, the Company issued 80,000,000 common shares at par value under the terms of the Assignment Agreement whereby FMR will assign its management rights of CSB’s mining operation in the Mining Lease to VRDR, through its wholly-owned subsidiary GBL, in exchange for 80,000,000 shares of the Company’s common stock. On November 11, 2013, the Company issued 75,000 common shares at US$1.75 per share to Marketing Management International, LLC (“MMI”), a Florida Limited Liability Company, under the terms of the Consulting Agreement for the engagement of its consulting services. On January 29, 2014, the Company issued a total of 643,229 common shares for $665,238, of which 288,288 common shares at US$1.25 per share, 183,661 common shares at US$0.83 per share and 171,280 common shares at US$0.89 per share, to Borneo Oil & Gas Corporation Sdn Bhd (“BOG”), a Malaysia Limited Liability Company, under the terms of the Sub-Contractor Agreement for the engagement of its sub-contractor services. On March 10, 2014, the Company issued a total of 693,180 common shares for $609,756, of which 179,340 common shares at US$0.85 per share and 513,840 common shares at US$0.89 per share, to Borneo Oil & Gas Corporation Sdn Bhd (“BOG”), a Malaysia Limited Liability Company, under the terms of the Sub-Contractor Agreement for the engagement of its sub-contractor services. On January 21, 2015, the Company issued 5,900,000 common shares at US$0.05 per share to Borneo Oil & Gas Corporation Sdn Bhd (“BOG”), a Malaysia Limited Liability Company, under the terms of the Consultant Agreement for the additional services of its sub-contractor. On September 29, 2016, the Company issued a total of 4,750,000 common shares at US$0.04 per share, of which 2,375,000 common shares to Vincent Lee Sen Min and 2,375,000 common shares to Reggie Abraham, both are Malaysian citizens. There were 96,038,909 and 91,288,909 common shares issued and outstanding at June 30, 2017 and June 30, 2016 respectively. There are no preferred shares outstanding. The Company has issued no authorized preferred shares. The Company has no stock option plan, warrants, or other dilutive securities. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Jun. 30, 2017 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 13 - RELATED PARTY TRANSACTIONS As at June 30, 2017, advances were made by five companies of $2,230,040 related to ordinary business transactions. All advances related to ordinary business transactions, bear no interest or collateral, repayable and renewable under normal advancement terms. Details are disclosed in Note 6. As of June 30, 2017, amounts due from one company of $4,088 related to ordinary business transactions. The receivable amounts related to ordinary business transactions bear no interest or collateral, repayable and renewable under normal advancement terms. Details are disclosed in Note 4. During the year ended June 30, 2017, the Company sold $727 worth of gold to BOG. During the year ended June 30, 2017, the Company earned equipment and vehicle lease rental income of $119,300 from BOG. During the year ended June 30, 2017, the Company incurred cost of revenue worth of $605,854 to BOG. |
GOING CONCERN AND LIQUIDITY CON
GOING CONCERN AND LIQUIDITY CONSIDERATIONS | 12 Months Ended |
Jun. 30, 2017 | |
Going Concern And Liquidity Considerations [Abstract] | |
GOING CONCERN AND LIQUIDITY CONSIDERATIONS | NOTE 14 - GOING CONCERN AND LIQUIDITY CONSIDERATIONS The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. As of and for the year ended June 30, 2017, the Company has a loss from operations of $548,931 and working capital deficiency of $2,345,877. The Company intends to fund operations through debt and equity financing arrangements. The ability of the Company to survive is dependent upon, among other things, obtaining additional financing to continue operations, and development of its business plan. In response to these problems, management intends to raise additional funds through public or private placement offerings, and related party loans. These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. |
CONCENTRATIONS
CONCENTRATIONS | 12 Months Ended |
Jun. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | NOTE 15 - CONCENTRATIONS Suppliers The Company’s major suppliers for the year ended June 30, 2017 and 2016 are listed as following: Subcontractors Accounts Payable Year Year Ended Ended Major Suppliers June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Company A 100 % 100 % 0 % 0 % Customers The Company’s major customers for the year ended June 30, 2017 and 2016 are listed as following: Sales Accounts Receivable Year Year Ended Ended Major Customers June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Company M 0 % 0 % 0 % 0 % Company N 1 % 1 % 0 % 0 % Company O 19 % 0 % 0 % 0 % Company P 80 % 99 % 0 % 0 % |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 16 - SUBSEQUENT EVENTS The Company’s office rent has expired as at June 30, 2017, and the Company intends to renew the rental agreement for one year period pending final execution with the landlord. The Company has evaluated subsequent events from the balance sheet date through the date the financial statements were issued and determined that there are no additional items to disclose except above mentioned matters. |
SUMMARY OF SIGNIFICANT ACCOUN23
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (GAAP). These consolidated financial statements are expressed in United States dollars ($). Financial statements prepared in accordance with GAAP contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. These condensed consolidated audited financial statements include all adjustments that, in the opinion of management, are necessary in order to make the financial statements not misleading. |
Basis of Consolidation | Basis of Consolidation The condensed consolidated financial statements include the financial statements of Verde Resources, Inc., its wholly owned subsidiary Gold Billion Global Limited (“GBL”) and the 85% of the deemed subsidiary variable interest of Champmark SDN BHD (“CSB”). All inter-company balances and transactions between the Company and its subsidiary and variable interest entity (VIE) have been eliminated upon consolidation. The Company has adopted ASC Topic 810-10-5-8, “Variable Interest Entities”, which requires a variable interest entity or VIE to be consolidated by a company if that company is subject to a majority of the risk of loss for the VIE or is entitled to receive a majority of the VIE’s residual returns. |
Variable Interest Entity | Variable Interest Entity On July 1, 2013, the Company’s subsidiary, GBL entered into a series of agreements (“VIE agreements”) with FMR and details of the VIE agreements are as follows : 1. Management Agreement, FMR entrusted the management rights of its subsidiary CSB to GBL that include: i) management and administrative rights over the day-to-day business affairs of CSB and the mining operation at Site IV-1 of the Merapoh Gold Mine; ii) final right for the appointment of members to the Board of Directors and the management team of CSB; iii) act as principal of CSB; iv) obligation to provide financial support to CSB; v) option to purchase an equity interest in CSB; vi) entitlement to future benefits and residual value of CSB; vii) right to impose no dividend policy; viii) human resources management. 2. Debt Assignment, FMR assigned to GBL the sum of money in the amount of US Dollars One Hundred Nine Thousand Eight Hundred One And Cents Seventy-Two Only (US$ 109,801.72), now due to GBL from CSB under the financing obligation from the FMR to CSB. With the above agreements, GBL demonstrates its ability to control CSB as the primary beneficiary and the operating results of the VIE was included in the condensed consolidated financial statements for the year ended June 30, 2014. On April 1, 2014, the Board of Director of GBL notified FMR upon the decision to exercise the right of option to purchase 85% equity interest of CSB under Management Agreement Section 3.2.4 dated July 1, 2013 between GBL and FMR. This acquisition was completed on April 1, 2014 with consideration of US$1. GBL then became 85% shareholder of CSB and is required to consolidate CSB as a subsidiary. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company’s periodic filings with the Securities and Exchange Commission include, where applicable, disclosures of estimates, assumptions, uncertainties and markets that could affect the financial statements and future operations of the Company. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash in banks, money market funds, and certificates of term deposits with maturities of less than three months, which are readily convertible to known amounts of cash and which, in the opinion of management, are subject to an insignificant risk of loss in value. The Company had $38,616 and $16,113 in cash and cash equivalents at June 30, 2017 and June 30, 2016, respectively. |
Concentrations of Credit Risk | Concentrations of Credit Risk The Company’s financial instruments that are exposed to concentrations of credit risk primarily consist of its cash and cash equivalents and related party payables it will likely incur in the near future. The Company places its cash and cash equivalents with financial institutions of high credit worthiness. At times, its cash and cash equivalents with a particular financial institution may exceed any applicable government insurance limits. The Company’s management plans to assess the financial strength and credit worthiness of any parties to which it extends funds, and as such, it believes that any associated credit risk exposures are limited. |
Risks and Uncertainties | Risks and Uncertainties The Company operates in the resource exploration industry that is subject to significant risks and uncertainties, including financial, operational, technological, and other risks associated with operating a resource exploration business, including the potential risk of business failure. |
Accounts Receivable | Accounts Receivable Accounts receivable are recognized and carried at net realizable value. An allowance for doubtful accounts will be recorded in the period when a loss is probable based on an assessment of specific evidence indicating troubled collection, historical experience, accounts aging, ongoing business relation and other factors. Accounts are written off after exhaustive efforts at collection. If accounts receivable are to be provided for, or written off, they would be recognized in the consolidated statement of operations within operating expenses. At June 30, 2017 and June 30, 2016, the Company has no allowance for doubtful accounts, as per management’s judgment based on their best knowledge. As of June 30, 2017 and June 30, 2016, the longest credit term for certain customers are 60 days. |
Provision for Doubtful Accounts | Provision for Doubtful Accounts The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivables and reviews accounts receivable by amounts due by customers which are past due to identify specific customers with known disputes or collectability issues. In determining the amount of the reserve, the Company makes judgments about the creditworthiness of customers based on past collection experience and ongoing credit risk evaluations. At June 30, 2017 and June 30, 2016 there was no allowance for doubtful accounts. |
Fair Value | Fair Value ASC Topic 820 “Fair Value Measurement and Disclosures” These tiers include: · Level 1 - defined as observable inputs such as quoted prices in active markets; · Level 2 - defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and · Level 3 - defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company’s financial instruments consist of cash and cash equivalents, trade receivables, other receivables, payables, and short term and long term debt. The carrying values of cash and cash equivalents, trade receivables, other receivables, and payables approximate their fair value due to their short maturities. The carrying value of long term debt approximates the fair value of debt of similar terms and remaining maturities available to the company. The Company’s non-financial assets are measured on a recurring basis. These non-financial assets are measured for impairment annually on the Company’s measurement date at the reporting unit level using Level 3 inputs. For most assets, ASC 820 requires that the impact of changes resulting from its application be applied prospectively in the year in which the statement is initially applied. The Company’s non-financial assets measured on a non-recurring basis include the Company’s property, plant and equipment and finite-use intangible assets which are measured for recoverability when indicators for impairment are present. ASC 820 requires companies to disclose assets and liabilities measured on a non-recurring basis in the period in which the re-measurement at fair value is performed. The Company did not have any convertible bonds as of June 30, 2017 and June 30, 2016. |
Foreign Currency Translation | Foreign Currency Translation The Company’s reporting currency is the United States dollar (“$”) and the accompanying consolidated financial statements have been expressed in United States dollars. The Company’s functional currency is the Malaysian Ringgit ( “MYR”) which is a functional currency as being the primary currency of the economic environment in which their operations are conducted. In accordance with ASC Topic 830 “Translation of Financial Statements” June 30, 2017 June 30, 2016 Year-end MYR : $1 exchange rate 0.2329 0.2494 Average MYR : $1 exchange rate 0.2338 0.2442 |
Comprehensive Income | Comprehensive Income Comprehensive income is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. Among other disclosures, all items that are required to be recognized under current accounting standards as components of comprehensive income are required to be reported in a financial statement that is presented with the same prominence as other financial statements. Comprehensive income includes net income and the foreign currency translation changes. |
Segment Reporting | Segment Reporting The Company currently engages in one operation segment: Gold Mining. The expenses incurred were consisting principally of management services. The Company’s major operation is located in Malaysia. |
Mineral Acquisition and Exploration Costs | Mineral Acquisition and Exploration Costs The Company has been in the exploration stage since its formation on April 22, 2010. It has been primarily engaged in the acquisition, exploration, and development of mining properties. The Company was no longer considered to be in the exploration stage after the reverse take-over with its subsidiary GBL. Mineral property acquisition and exploration costs are expensed as incurred. When it has been determined that a mineral property can be economically developed as a result of establishing proven and probable reserves, the costs incurred to develop such property are capitalized. Such costs will be amortized using the units-of-production method over the estimated life of the probable reserves. |
Environmental Expenditures | Environmental Expenditures The operations of the Company have been, and may in the future be affected from time to time in varying degree by changes in environmental regulations, including those for future reclamation and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company vary greatly and are not predictable. The Company’s policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures. Environmental expenditures that relate to ongoing environmental and reclamation programs are charged against earnings as incurred or capitalized and amortized depending on their future economic benefits. All of these types of expenditures incurred since inception have been charged against earnings due to the uncertainty of their future recoverability. Estimated future reclamation and site restoration costs, when the ultimate liability is reasonably determinable, are charged against earnings over the estimated remaining life of the related business operation, net of expected recoveries. |
Revenue Recognition | Revenue Recognition In accordance with the ASC Topic 605, “Revenue Recognition”, the Company recognizes revenue when persuasive evidence of an arrangement exists, transfer of title has occurred or services have been rendered, the selling price is fixed or determinable and collectibility is reasonably assured. The Company derives revenues primarily from the sales of gold mineral to registered gold trading companies in Malaysia. The Company generally recognizes its revenues at the time of gold sales and its selling price is determined by the prevailing market value of gold bullion quoted by the leading registered gold trading company in Malaysia. Sales invoice will be duly presented to the trading companies when delivery is completed and revenue is then recognized. |
Cost of Revenue | Cost of Revenue The cost of revenue consists of exploration cost, mine equipment depreciation, production cost, mine site management cost, sub-contractor cost, and royalty and tribute payment which are levied on the gross revenue at the rate of 18% on the invoiced value of gold sales. |
Advertising Expenses | Advertising Expenses Advertising costs are expensed as incurred under ASC Topic 720, “Advertising Costs” |
Income Taxes | Income Taxes The provision for income taxes is determined in accordance with the provisions of ASC Topic 740, “Accounting for Income Taxes” ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. As of June 30, 2017 and June 30, 2016, the Company did not have any significant unrecognized uncertain tax positions. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The FASB has issued Accounting Standards Update (ASU) No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities The new guidance makes targeted improvements to existing U.S. GAAP by: - Requiring equity investments (except those accounted for under the equity method of accounting, or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income; - Requiring public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; -Requiring separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (i.e., securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; - Eliminating the requirement to disclose the fair value of financial instruments measured at amortized cost for organizations that are not public business entities; - Eliminating the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; and - Requiring a reporting organization to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk (also referred to as “own credit”) when the organization has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. The new guidance is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For private companies, not-for-profit organizations, and employee benefit plans, the new guidance becomes effective for fiscal years beginning after December 15, 2018, and for interim periods within fiscal years beginning after December 15, 2019. The new guidance permits early adoption of the own credit provision. In addition, the new guidance permits early adoption of the provision that exempts private companies and not-for-profit organizations from having to disclose fair value information about financial instruments measured at amortized cost. On February 25, 2016, the Financial Accounting Standards Board (FASB) issued its new lease accounting guidance in Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) Under the new guidance, lessees will be required recognize the following for all leases (with the exception of short-term leases) at the commencement date: - A lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and-A right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers The new lease guidance simplified the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. Lessees will no longer be provided with a source of off-balance sheet financing. Public business entities should apply the amendments in ASU 2016-02 for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (i.e., January 1, 2019, for a calendar year entity). Nonpublic business entities should apply the amendments for fiscal years beginning after December 15, 2019 (i.e., January 1, 2020, for a calendar year entity), and interim periods within fiscal years beginning after December 15, 2020. Early application is permitted for all public business entities and all nonpublic business entities upon issuance. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. Lessees and lessors may not apply a full retrospective transition approach. The FASB has issued Accounting Standards Update (ASU) No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net). Revenue from Contracts with Customers The amendments are intended to improve the operability and understandability of the implementation guidance on principal versus agent considerations by clarifying the following: - An entity determines whether it is a principal or an agent for each specified good or service promised to a customer. - An entity determines the nature of each specified or service (e.g., whether it is a good, service, or a right to a good or service). - When another entity is involved in providing goods or services to a customer, an entity that is a principal obtains control of: (a) (b) (c) - The purpose of the indicators in paragraph 606-10-55-39 is to support or assist in the assessment of control. The amendments in paragraph 606-10-55-39A clarify that the indicators may be more or less relevant to the control assessment and that one or more indicators may be more or less persuasive to the control assessment, depending on the facts and circumstances. The amendments amend certain existing illustrative examples and add additional illustrative examples to assist in the application of the guidance. The effective date and transition of these amendments is the same as the effective date and transition of ASU 2014-09, Revenue from Contracts with Customers (Topic 606) The FASB has issued Accounting Standards Update No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting Several aspects of the accounting for share-based payment award transactions are simplified, including: ( a b c 1. Practical Expedient for Expected Term: In lieu of estimating the period of time that a share-based award will be outstanding, private companies can now apply a practical expedient to estimate the expected term for all awards with performance or service conditions that have certain characteristics. 2. Intrinsic Value: Private companies can now make a one-time election to switch from measuring all liability-classified awards at fair value to measuring them at intrinsic value. Previously, private companies were provided an option to measure all liability-classified awards at intrinsic value, but some private companies were unaware of that option. Accounting for employee share-based awards was identified by the Private Company Council (PCC) as an area of concern among private company stakeholders. The PCC worked with the FASB to discuss and analyze the issues that private companies have encountered in this area when applying the standard. The PCC also asked the FASB staff to conduct outreach with users as a part of the FASB’s pre-agenda research on the topic. The FASB also considered the conclusions in the Financial Accounting Foundation’s Post-Implementation Review Report on Statement 123(R), Share-Based Payment For public companies, the amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For private companies, the amendments are effective for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Early adoption is permitted for any organization in any interim or annual period. The FASB has issued Accounting Standards Update No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing (a) (b) The effective date and transition requirements for the amendments are the same as the effective date and transition requirements in Topic 606. Public entities should apply the amendments for annual reporting periods beginning after December 15, 2017, including interim reporting periods therein (i.e., January 1, 2018, for a calendar year entity). Early application for public entities is permitted only as of annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. The effective date for nonpublic entities is deferred by one year. Identifying Performance Obligations Before an entity can identify its performance obligations in a contract with a customer, the entity first identifies the promised goods or services in the contract. The amendments add the following guidance: 1. An entity is not required to assess whether promised goods or services are performance obligations if they are immaterial in the context of the contract with the customer. 2. An entity is permitted, as an accounting policy election, to account for shipping and handling activities that occur after the customer has obtained control of a good as an activity to fulfill the promise to transfer the good rather than as an additional promised service. To identify performance obligations in a contract, an entity evaluates whether promised goods and services are distinct. The amendments improve the guidance on assessing the promises are separately identifiable criterion by: 1. Better articulating the principle for determining whether promises to transfer goods or services to a customer are separately identifiable by emphasizing that an entity determines whether the nature of its promise in the contract is to transfer each of the goods or services or whether the promise is to transfer a combined item (or items) to which the promised goods and/or services are inputs. 2. Revising the related factors and examples to align with the improved articulation of the separately identifiable principle. Licensing Implementation Guidance Topic 606 includes implementation guidance on determining whether an entity’s promise to grant a license provides a customer with either a right to use the entity’s intellectual property (which is satisfied at a point in time) or a right to access the entity’s intellectual property (which is satisfied over time). The amendments are intended to improve the operability and understandability of the licensing implementation guidance by clarifying the following: 1. An entity’s promise to grant a customer a license to intellectual property that has significant standalone functionality (e.g., the ability to process a transaction, perform a function or task, or be played or aired) does not include supporting or maintaining that intellectual property during the license period. 2. An entity’s promise to grant a customer a license to symbolic intellectual property (that is, intellectual property that does not have significant standalone functionality) includes supporting or maintaining that intellectual property during the license period. 3. An entity considers the nature of its promise in granting a license, regardless of whether the license is distinct, in order to apply the other guidance in Topic 606 to a single performance obligation that includes a license and other goods or services (in particular, the guidance on determining whether a performance obligation is satisfied over time or at a point in time and the guidance on how best to measure progress toward the complete satisfaction of a performance obligation satisfied over time). The FASB has issued Accounting Standards Update (ASU) No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments The ASU requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. The ASU requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. These disclosures include qualitative and quantitative requirements that provide additional information about the amounts recorded in the financial statements. In addition, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The ASU is effective for SEC filers for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019 (i.e., January 1, 2020, for calendar year entities). For public companies that are not SEC filers, the ASU is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. For all other organizations, the ASU on credit losses will take effect for fiscal years beginning after December 15, 2020, and for interim periods within fiscal years beginning after December 15, 2021. Early application will be permitted for all organizations for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company has considered all new accounting pronouncements and has concluded that there are no new pronouncements that may have a material impact on results of operations, financial condition, or cash flows, based on current information. The FASB has issued Accounting Standards Update No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The amendments are intended to help companies and other organizations evaluate whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments provide a more robust framework to use in determining when a set of assets and activities is a business. They also provide more consistency in applying the guidance, reduce the costs of application, and make the definition of a business more operable. For public companies, the amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. For all other companies and organizations, the amendments are effective for annual periods beginning after December 15, 2018, and interim periods within annual periods beginning after December 15, 2019. The FASB has issued Accounting Standards Update No. 2017-05, Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets. A contract may involve the transfer of both nonfinancial assets and financial assets (e.g., cash and receivables). The amendments clarify that a financial asset is within the scope of Subtopic 610-20 if it meets the definition of an in substance nonfinancial asset. The amendments also define the term in substance nonfinancial asset. The amendments clarify that nonfinancial assets within the scope of Subtopic 610-20 may include nonfinancial assets transferred within a legal entity to a counterparty. For example, a parent may transfer control of nonfinancial assets by transferring ownership interests in a consolidated subsidiary. A contract that includes the transfer of ownership interests in one or more consolidated subsidiaries is within the scope of Subtopic 610-20 if substantially all of the fair value of the assets that are promised to the counterparty in a contract is concentrated in nonfinancial assets. The amendments clarify that an entity should identify each distinct nonfinancial asset or in substance nonfinancial asset promised to a counterparty and derecognize each asset when a counterparty obtains control of it. The amendments are effective at the same time Topic 606, Revenue from Contracts with Customers The FASB has issued Accounting Standards Update (ASU) No. 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . Compensation — Retirement Benefits The amendments require that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. If a separate line item or items are used to present the other components of net benefit cost, that line item or items must be appropriately described. If a separate line item or items are not used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. The amendments also allow only the service cost component to be eligible for capitalization when applicable (e.g., as a cost of internally manufactured inventory or a self-constructed asset). The amendments are effective for public business entities for annual periods beginning after December 15, 2017, including interim periods within those annual periods. For other entities, the amendments are effective for annual periods beginning after December 15, 2018, and interim periods within annual periods beginning after December 15, 2019. Early adoption is permitted as of the beginning of an annual period for which financial statements (interim or annual) have not been issued or made available for issuance. The FASB has issued Accounting Standards Update (ASU) No. 2017-09, Compensation—Stock Compensation (Topic 718) — Scope of Modification Accounting The FASB adopted ASU 2017-09 to provide clarity and reduce diversity in practice as well as cost and complexity when applying the guidance in Topic 718, Compensation—Stock Compensation Diversity in practice has arisen in part because some entities apply modification accounting under Topic 718 for modifications to terms and conditions that they consider substantive, but do not when they conclude that particular modifications are not substantive. Others apply modification accounting for any change to an award, except for changes that they consider purely administrative in nature. Still others apply modification accounting when a change to an award changes the fair value, the vesting, or the classification of the award. In practice, it appears that the evaluation of a change in fair value, vesting, or classification may be used to evaluate whether a change is substantive. Although the Master Glossary of the FASB Accounting Standards Codification™ currently defines the term modification as “a change in any of the terms or conditions of a share-based payment award,” Topic 718 does not contain guidance on what changes are substantive or purely administrative. The amendments in ASU 2017-09 include guidance on determining which changes to the terms and conditions of share-based payment awards require an entity to apply modification accounting under Topic 718. These amendments require the entity to account for the effects of a modification unless all of the following conditions are met: · The fair value (or calculated value or intrinsic value, if such an alternative measurement method is used) of the modified award is the same as the fair value (or value using an alternative measurement method) of the original award immediately before the original award is modified. If the modification does not affect any of the inputs to the valuation technique that the entity uses to value the award, the entity is not required to estimate the value immediately before and after the modification; · The vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified; and · The classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. The amendments are effective for all entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2017. Early adoption is permitted, including adoption in any interim period for: ( a b |
SUMMARY OF SIGNIFICANT ACCOUN24
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Schedule of exchange differences recorded in consolidated statement of operations | June 30, 2017 June 30, 2016 Year-end MYR : $1 exchange rate 0.2329 0.2494 Average MYR : $1 exchange rate 0.2338 0.2442 |
AMOUNT DUE FROM RELATED PARTI25
AMOUNT DUE FROM RELATED PARTIES (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Due from Related Parties, Current [Abstract] | |
Schedule of amount due from related parties | June 30, 2017 June 30, 2016 Amount due from Stable Treasure Sdn. Bhd. (*) $ 4,088 $ 3,619 _______ (*) One of the directors of Stable Treasure Sdn. Bhd., Mr. Balakrishnan B S Muthu is also the director of the Company. The advances related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | June 30, 2017 June 30, 2016 Inventories $ 8,832 $ 123,238 |
ACCOUNTS PAYABLE AND ADVANCED27
ACCOUNTS PAYABLE AND ADVANCED FROM SUB-CONTRACTOR AND RELATED PARTIES (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Payables and Accruals [Abstract] | |
Schedule of accounts payable | June 30, 2017 June 30, 2016 Due to Changxin Wanlin Technology Co Ltd(*) $ 1,501,406 $ 1,607,775 Other accounts payable 59,343 18,749 $ 1,560,749 $ 1,626,524 _______ (*) Due to Changxin Wanlin Technology Co Ltd are accounts payable derived from ordinary business transactions. One of the directors of Changxin Wanlin Technology Co. Ltd., Mr. Wu Ming Ding, has resigned as director of VRDR (as of February 20, 2016), GBL (as of February 11, 2016) and CSB (as of February 17, 2016). This accounts payable bears no interest or collateral, repayable and renewable under normal business accounts payable terms . |
Schedule of advanced from subcontractor & related parties | June 30, 2017 June 30, 2016 Advanced from BOG (#1) $ 430,169 $ 492,868 Advanced from Federal Mining Resources Limited(#2) $ 173,465 $ 173,465 Advanced from Federal Capital Investment Limited (#3) $ 98,000 $ 88,000 Advanced from Yorkshire Capital Limited (#4) $ 27,000 $ 27,000 $ 728,634 $ 781,333 ________ (#1) BOG is one of the shareholders of the Company. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#2) One of the directors of Federal Mining Resources Limited, Mr. Chen Ching, has been appointed as director of the Company effective February 20, 2016. Another director of Federal Mining Resources Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#3) One of the directors of Federal Capital Investment Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. (#4) One of the directors of Yorkshire Capital Limited, Mr. Lai Kui Shing, Andy, has resigned as director of CSB effective February 17, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | June 30, 2017 June 30, 2016 Land and Building $ 915,962 $ 980,855 Plant and Machinery 144,268 154,489 Office equipment 18,340 19,640 Project equipment 1,038,707 1,112,294 Computer 9,976 10,683 Motor Vehicle 107,381 114,988 Accumulated depreciation (2,211,246 ) (2,241,324 ) $ 23,388 $ 151,625 |
LOANS FROM BANKS (HIRE PURCHA29
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of the summary of loans from banks | June 30, 2017 June 30, 2016 Loans from banks $ 4,645 $ 27,319 Loans from banks(non-current) 2,466 7,777 Total $ 7,111 $ 35,096 |
Schedule of hire purchase installment | Interest Rate Monthly Due June 30, 2017 June 30, 2016 Financial institution in Malaysia N/A* 283 - 1,405 Financial institution in Malaysia N/A* 283 - 1,405 Financial institution in Malaysia N/A* 1,514 1,514 21,141 Financial institution in Malaysia N/A* 266 1,059 4,558 Financial institution in Malaysia N/A* 199 4,960 7,868 Hire purchase loans payable to banks $ 7,533 $ 36,377 _____ (*) Hire purchase installment loans with Motor Vehicles as collateral. The financial institutions in Malaysia are Islamic banks and bear no interest in the installment agreement. However, there are certain imprest charges equivalent to interests which are being calculated at an average annual rate of approximate 5.93% for the rest of entire loans life and periods. |
Schedule of maturities of the CSB's hire purchase installment loans | June 30, 2018 $ 4,960 2019 2,387 2020 186 2021 Later years Total minimum hire purchase installment payment $ 7,533 Less: Amount representing imprest charges equivalent to interest (current portion: $315 and non-current portion:$107) 422 Present value of net minimum lease payments (#) $ 7,111 _____ (#) Minimum payment reflected in the balance sheet as current and non-current obligations under hire purchases installment loans as at June 30, 2017. |
INCOME TAX (Tables)
INCOME TAX (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of reconciliation between the income tax at statutory rate and the Company's provision for income tax | For the year ended For the period ended June 30, 2017 June 30, 2016 US Federal Income Tax Rate. 34 % 34 % Valuation allowance - US Rate (34 )% (34 )% BVI Income Tax Rate 0 % 0 % Valuation allowance - BVI Rate (0 )% (0 )% Malaysia Income Tax Rate 25 % 25 % Valuation allowance - Malaysia Rate (25 )% (25 )% Provision for income tax - - |
Schedule of deferred tax liabilities and assets, net | June 30, 2017 June 30, 2016 Deferred tax assets: Tax attribute carryforwards $ 114,774 $ 229,475 Valuation allowances (114,774 ) (229,475 ) Total $ - $ - |
EARNINGS_(LOSS) PER SHARE (Tabl
EARNINGS/(LOSS) PER SHARE (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of computation of basic and diluted earnings per share | Year Ended June 30, 2017 2016 Net loss applicable to common shares $ (392,405 ) $ (582,078 ) Weighted average common shares outstanding (Basic) 94,867,676 91,288,909 Options - - Warrants - - Weighted average common shares outstanding (Diluted) 94,867,676 91,288,909 Net loss per share (Basic and Diluted) $ (0.004 ) $ (0.006 ) |
CONCENTRATIONS (Tables)
CONCENTRATIONS (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Major suppliers | |
Concentration Risk [Line Items] | |
Schedules of concentration of risk | Subcontractors Accounts Payable Year Year Ended Ended Major Suppliers June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Company A 100 % 100 % 0 % 0 % |
Major customers | |
Concentration Risk [Line Items] | |
Schedules of concentration of risk | Sales Accounts Receivable Year Year Ended Ended Major Customers June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Company M 0 % 0 % 0 % 0 % Company N 1 % 1 % 0 % 0 % Company O 19 % 0 % 0 % 0 % Company P 80 % 99 % 0 % 0 % |
ORGANIZATION AND DESCRIPTION 33
ORGANIZATION AND DESCRIPTION OF BUSINESS (Detail Textuals) - shares | 1 Months Ended | |||||||
Mar. 17, 2014 | Feb. 17, 2014 | Jun. 30, 2017 | Jun. 30, 2016 | Aug. 27, 2014 | Aug. 26, 2014 | Apr. 01, 2014 | Jul. 01, 2013 | |
Variable Interest Entity [Line Items] | ||||||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | 250,000,000 | 100,000,000 | ||||
Gold Billion Global Limited | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Equity interest ownership percentage | 100.00% | |||||||
Champmark SDN BHD ("CSB") | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Variable interest, ownership percentage | 85.00% | |||||||
Champmark SDN BHD ("CSB") | FMR | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Equity interest ownership percentage | 85.00% | |||||||
Champmark SDN BHD ("CSB") | Gold Billion Global Limited | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Non-controlling interest, percentage | 15.00% | |||||||
Equity interest ownership percentage | 85.00% | 85.00% | ||||||
Champmark SDN BHD ("CSB") | Gold Billion Global Limited | Borneo Oil And Gas Corporation Sdn Bhd | ||||||||
Variable Interest Entity [Line Items] | ||||||||
Term of contract | 5 years | |||||||
Renewal term of subcontract | 5 years |
SUMMARY OF SIGNIFICANT ACCOUN34
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Summary of exchange differences (Details) | Jun. 30, 2017 | Jun. 30, 2016 |
Accounting Policies [Abstract] | ||
Year-end MYR : $1 exchange rate | 0.2329 | 0.2494 |
Average MYR : $1 exchange rate | 0.2338 | 0.2442 |
SUMMARY OF SIGNIFICANT ACCOUN35
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals) - Gold Billion Global Limited - USD ($) | Apr. 01, 2014 | Feb. 17, 2014 |
Variable Interest Entity [Line Items] | ||
Equity interest ownership percentage | 100.00% | |
Champmark SDN BHD ("CSB") | ||
Variable Interest Entity [Line Items] | ||
Equity interest ownership percentage | 85.00% | 85.00% |
Amount of consideration for acquisition | $ 1 |
SUMMARY OF SIGNIFICANT ACCOUN36
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals 1) | 12 Months Ended | ||
Jun. 30, 2017USD ($)Segment | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | |
Variable Interest Entity [Line Items] | |||
Cash and cash equivalents | $ 38,616 | $ 16,113 | $ 36,927 |
Longest credit term for certain customers | 60 days | 60 days | |
Number of operating segments | Segment | 1 | ||
Percentage of gross revenue as cost of revenue | 18.00% | ||
Advertising expenses | $ 0 | $ 0 | |
Gold Billion Global Limited | |||
Variable Interest Entity [Line Items] | |||
Debt assigned | $ 109,801.72 |
AMOUNT DUE FROM RELATED PARTI37
AMOUNT DUE FROM RELATED PARTIES (Details) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Related Party Transaction [Line Items] | |||
Amount due from related parties | $ 4,088 | $ 3,619 | |
Stable Treasure Sdn. Bhd. | |||
Related Party Transaction [Line Items] | |||
Amount due from related parties | [1] | $ 4,088 | $ 3,619 |
[1] | One of the directors of Stable Treasure Sdn. Bhd., Mr. Balakrishnan B S Muthu is also the director of the Company. The advances related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
INVENTORIES - Summary of invent
INVENTORIES - Summary of inventories (Details) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Inventory Disclosure [Abstract] | ||
Inventories | $ 8,832 | $ 123,238 |
INVENTORIES - (Detail Textuals)
INVENTORIES - (Detail Textuals) | Jun. 30, 2017 | Jun. 30, 2016 |
Inventory [Line Items] | ||
Percentage of share of inventories | 8.00% | 8.00% |
Sub-contractor | ||
Inventory [Line Items] | ||
Percentage of share of inventories | 92.00% | 92.00% |
ACCOUNTS PAYABLE AND ADVANCED40
ACCOUNTS PAYABLE AND ADVANCED FROM RELATED PARTIES - Summary of accounts payable (Details) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |||
Due to Changxin Wanlin Technology Co Ltd | [1] | $ 1,501,406 | $ 1,607,775 |
Other accounts payable | 59,343 | 18,749 | |
Total accounts payable | $ 1,560,749 | $ 1,626,524 | |
[1] | Due to Changxin Wanlin Technology Co Ltd are accounts payable derived from ordinary business transactions. One of the directors of Changxin Wanlin Technology Co. Ltd., Mr. Wu Ming Ding, has resigned as director of VRDR (as of February 20, 2016), GBL (as of February 11, 2016) and CSB (as of February 17, 2016). This accounts payable bears no interest or collateral, repayable and renewable under normal business accounts payable terms . |
ACCOUNTS PAYABLE AND ADVANCED41
ACCOUNTS PAYABLE AND ADVANCED FROM RELATED PARTIES - Summary of advanced from related parties (Details 1) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Related Party Transaction [Line Items] | |||
Advanced from related parties | $ 728,634 | $ 781,333 | |
BOG | |||
Related Party Transaction [Line Items] | |||
Advanced from related parties | [1] | 430,169 | 492,868 |
Director | Federal Mining Resources Limited | |||
Related Party Transaction [Line Items] | |||
Advanced from related parties | [2] | 173,465 | 173,465 |
Director | Federal Capital Investment Limited | |||
Related Party Transaction [Line Items] | |||
Advanced from related parties | [3] | 98,000 | 88,000 |
Director | Yorkshire Capital Limited | |||
Related Party Transaction [Line Items] | |||
Advanced from related parties | [4] | $ 27,000 | $ 27,000 |
[1] | BOG is one of the shareholders of the Company. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. | ||
[2] | One of the directors of Federal Mining Resources Limited, Mr. Chen Ching, has been appointed as director of the Company effective February 20, 2016. Another director of Federal Mining Resources Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. | ||
[3] | One of the directors of Federal Capital Investment Limited, Mr. Wu Ming Ding, has resigned as director of the Company effective February 20, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. | ||
[4] | One of the directors of Yorkshire Capital Limited, Mr. Lai Kui Shing, Andy, has resigned as director of CSB effective February 17, 2016. The advances are related to ordinary business transactions and bear no interest or collateral, repayable and renewable under normal business advancement terms. |
PROPERTY, PLANT AND EQUIPMENT -
PROPERTY, PLANT AND EQUIPMENT - Summary of property and equipment (Details) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Property, Plant and Equipment [Line Items] | ||
Accumulated depreciation | $ (2,211,246) | $ (2,241,324) |
Property, plant and equipment, Net | 23,388 | 151,625 |
Land and Building | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 915,962 | 980,855 |
Plant and Machinery | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 144,268 | 154,489 |
Office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 18,340 | 19,640 |
Project equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 1,038,707 | 1,112,294 |
Computer | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 9,976 | 10,683 |
Motor Vehicle | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 107,381 | $ 114,988 |
PROPERTY, PLANT AND EQUIPMENT43
PROPERTY, PLANT AND EQUIPMENT (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expenses | $ 118,662 | $ 290,774 |
LOANS FROM BANKS (HIRE PURCHA44
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) - Loans from banks include long term and short term (Details) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |||
Loans from banks | $ 4,645 | $ 27,319 | |
Loans from banks (non-current) | 2,466 | 7,777 | |
Total | [1] | $ 7,111 | $ 35,096 |
[1] | Minimum payment reflected in the balance sheet as current and non-current obligations under hire purchases installment loans as at June 30, 2017. |
LOANS FROM BANKS (HIRE PURCHA45
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS)- Summary of hire purchase installment loans (Details 1) - USD ($) | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | ||
Debt Instrument [Line Items] | |||
Hire purchase loans payable to banks | $ 7,533 | $ 36,377 | |
Financial institution in Malaysia | Installment One | |||
Debt Instrument [Line Items] | |||
Interest Rate | [1] | ||
Monthly Due | $ 283 | ||
Hire purchase loans payable to banks | 1,405 | ||
Financial institution in Malaysia | Installment Two | |||
Debt Instrument [Line Items] | |||
Interest Rate | [1] | ||
Monthly Due | $ 283 | ||
Hire purchase loans payable to banks | 1,405 | ||
Financial institution in Malaysia | Installment Three | |||
Debt Instrument [Line Items] | |||
Interest Rate | [1] | ||
Monthly Due | $ 1,514 | ||
Hire purchase loans payable to banks | $ 1,514 | 21,141 | |
Financial institution in Malaysia | Installment Four | |||
Debt Instrument [Line Items] | |||
Interest Rate | [1] | ||
Monthly Due | $ 266 | ||
Hire purchase loans payable to banks | $ 1,059 | 4,558 | |
Financial institution in Malaysia | Installment Five | |||
Debt Instrument [Line Items] | |||
Interest Rate | [1] | ||
Monthly Due | $ 199 | ||
Hire purchase loans payable to banks | $ 4,960 | $ 7,868 | |
[1] | Hire purchase installment loans with Motor Vehicles as collateral. The financial institutions in Malaysia are Islamic banks and bear no interest in the installment agreement. However, there are certain imprest charges equivalent to interests which are being calculated at an average annual rate of approximate 5.93% for the rest of entire loans life and periods. |
LOANS FROM BANKS (HIRE PURCHA46
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) - Summary of hire purchase installment loans (Parentheticals) (Details 1) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | ||
Average annual rate of imprest charges equivalent to interests | 5.93% | 5.93% |
LOANS FROM BANKS (HIRE PURCHA47
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) - Maturities of CSB's hire purchase installment loans (Details 2) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |||
2,018 | $ 4,960 | ||
2,019 | 2,387 | ||
2,020 | 186 | ||
2,021 | |||
Later years | |||
Total minimum hire purchase installment payment | 7,533 | $ 36,377 | |
Less: Amount representing imprest charges equivalent to interest (current portion: $315 and non-current portion:$107) | 422 | 1,281 | |
Present value of net minimum lease payments | [1] | $ 7,111 | $ 35,096 |
[1] | Minimum payment reflected in the balance sheet as current and non-current obligations under hire purchases installment loans as at June 30, 2017. |
LOANS FROM BANKS (HIRE PURCHA48
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) - Maturities of CSB's hire purchase installment loans (Parentheticals) (Details 2) | Jun. 30, 2017USD ($) |
Debt Disclosure [Abstract] | |
Imprest charges equivalent to interest, current portion | $ 315 |
Imprest charges equivalent to interest, non - current portion | $ 107 |
LOANS FROM BANKS (HIRE PURCHA49
LOANS FROM BANKS (HIRE PURCHASE INSTALLMENT LOANS) (Detail Textuals) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |||
Hire purchase loans payable to banks | $ 7,533 | $ 36,377 | |
Loans from banks | [1] | 7,111 | 35,096 |
Amount representing imprest charges equivalent to interest | $ 422 | $ 1,281 | |
[1] | Minimum payment reflected in the balance sheet as current and non-current obligations under hire purchases installment loans as at June 30, 2017. |
INCOME TAX - Reconciliation bet
INCOME TAX - Reconciliation between the income tax computed at the relevant statutory rate and provision for income tax (Details) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||
US Federal Income Tax Rate | 34.00% | 34.00% |
Valuation allowance - US Rate | (34.00%) | (34.00%) |
BVI Income Tax Rate | 0.00% | 0.00% |
Valuation allowance - BVI Rate | (0.00%) | (0.00%) |
Malaysia Income Tax Rate | 25.00% | 25.00% |
Valuation allowance - Malaysia Rate | (25.00%) | (25.00%) |
Provision for income tax |
INCOME TAX - Summary of net def
INCOME TAX - Summary of net deferred tax liabilities and assets (Details 1) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Deferred tax assets: | ||
Tax attribute carryforwards | $ 114,774 | $ 229,475 |
Valuation allowances | (114,774) | (229,475) |
Total |
INCOME TAX (Detail Textuals)
INCOME TAX (Detail Textuals) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||
Corporate income tax | 25.00% | 25.00% |
EARNINGS_(LOSS) PER SHARE - Com
EARNINGS/(LOSS) PER SHARE - Computation of basic and diluted earnings per share (Details) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||
Net loss applicable to common shares | $ (392,405) | $ (582,078) |
Weighted average common shares outstanding (Basic) (in shares) | 94,867,676 | 91,288,909 |
Options | ||
Warrants | ||
Weighted average common shares outstanding (Diluted) (in shares) | 94,867,676 | 91,288,909 |
Net loss per share (Basic and Diluted) (in dollars per share) | $ (0.004) | $ (0.006) |
CAPITAL STOCK (Detail Textuals)
CAPITAL STOCK (Detail Textuals) - USD ($) | Mar. 10, 2014 | Nov. 11, 2013 | Sep. 29, 2016 | Jan. 21, 2015 | Jan. 29, 2014 | Oct. 25, 2013 | Sep. 30, 2013 | Jun. 30, 2017 | Jun. 30, 2016 | Aug. 27, 2014 | Aug. 26, 2014 |
Stockholders Equity [Line Items] | |||||||||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | 250,000,000 | 100,000,000 | |||||||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | |||||||||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |||||||||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |||||||||
Proceeds from issuance of common stock | $ 84,100 | $ 190,000 | |||||||||
Common stock, value | 3,978 | 96,039 | $ 91,289 | ||||||||
Additional paid-in capital | $ 80,122 | $ 2,055,243 | $ 1,869,993 | ||||||||
Common stock, shares issued | 96,038,909 | 91,288,909 | |||||||||
Common stock, shares outstanding | 96,038,909 | 91,288,909 | |||||||||
Number of common stock issued for services (in shares) | 4,750,000 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 0.04 | ||||||||||
Vincent Lee Sen Min | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 2,375,000 | ||||||||||
Reggie Abraham | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 2,375,000 | ||||||||||
Equity issuance one | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Common shares issued for cash (in shares) | 2,500,000 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 0.01 | ||||||||||
Equity issuance two | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Common shares issued for cash (in shares) | 1,477,500 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 0.04 | ||||||||||
Assignment Agreement | Federal Mining Resources Limited | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of shares issued in exchange for mining lease | 80,000,000 | ||||||||||
Consulting Agreement | Marketing Management International, LLC ("MMI") | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 75,000 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 1.75 | ||||||||||
Sub-Contractor Agreement | Borneo Oil And Gas Corporation Sdn Bhd | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 693,180 | 5,900,000 | 643,229 | ||||||||
Value of stock issued for services | $ 609,756 | $ 665,238 | |||||||||
Common stock issued, price per share (in dollars per share) | $ 0.05 | ||||||||||
Sub-Contractor Agreement | Borneo Oil And Gas Corporation Sdn Bhd | US$1.25 | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 288,288 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 1.25 | ||||||||||
Sub-Contractor Agreement | Borneo Oil And Gas Corporation Sdn Bhd | US$0.83 | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 183,661 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 0.83 | ||||||||||
Sub-Contractor Agreement | Borneo Oil And Gas Corporation Sdn Bhd | US$0.85 | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 179,340 | ||||||||||
Common stock issued, price per share (in dollars per share) | $ 0.85 | ||||||||||
Sub-Contractor Agreement | Borneo Oil And Gas Corporation Sdn Bhd | US$0.89 | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Number of common stock issued for services (in shares) | 513,840 | 171,280 | |||||||||
Common stock issued, price per share (in dollars per share) | $ 0.89 | $ 0.89 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Related Party Transaction [Line Items] | ||
Advances made by five companies | $ 2,230,040 | |
Amount due from related parties | 4,088 | $ 3,619 |
Revenue on sold of gold | 819,448 | 929,655 |
Cost of revenue | 1,051,759 | $ 1,134,808 |
BOG | ||
Related Party Transaction [Line Items] | ||
Revenue on sold of gold | 727 | |
Equipment and vehicle lease rental income | 119,300 | |
Cost of revenue | $ 605,854 |
GOING CONCERN AND LIQUIDITY C56
GOING CONCERN AND LIQUIDITY CONSIDERATIONS (Detail Textuals) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Going Concern And Liquidity Considerations [Abstract] | ||
Loss from operations | $ (548,931) | $ (703,564) |
Working capital deficiency | $ (2,345,877) |
CONCENTRATIONS - Summary of maj
CONCENTRATIONS - Summary of major suppliers and customers (Details) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Supplier Concentration Risk | Company A | Subcontractors | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 100.00% | 100.00% |
Supplier Concentration Risk | Company A | Accounts Payable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |
Customer Concentration Risk | Company M | Sales | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |
Customer Concentration Risk | Company M | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |
Customer Concentration Risk | Company N | Sales | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 1.00% | 1.00% |
Customer Concentration Risk | Company N | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |
Customer Concentration Risk | Company O | Sales | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 19.00% | 0.00% |
Customer Concentration Risk | Company O | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |
Customer Concentration Risk | Company P | Sales | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 80.00% | 99.00% |
Customer Concentration Risk | Company P | Accounts Receivable | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 0.00% | 0.00% |